6.     Notes Payable

At September 30, 2020, the Company had three series of unsecured unsubordinated notes issued and outstanding having an outstanding aggregate principal amount of $72,526,750 in underwritten public offerings (collectively, the "Notes"). Each series was issued pursuant to an Indenture, dated as of June 21, 2020, between the Company and U.S. Bank National Association, as trustee, and a related supplement thereto. Collectively, the indenture and each supplement thereto is referred to as the "Indenture"). In June 2019, the Company issued and sold $23,663,000 aggregate principal amount of its 7.125% notes due 2024 (the “June 2024 Notes"); in November 2019, the Company issued and sold $34,500,000 of its 6.875% notes due 2024 (the “December 2024 Notes"); and in September 2020, the Company issued and sold $14,363,750 of its 7.75% notes due 2025 (the "September 2025 Notes “). The June 2024 Notes commenced accruing interest on June 25, 2019, the December 2024 Notes commenced accruing interest on November 7, 2019 and the September 2025 Notes commenced accruing interest on September 4, 2020. Accrued interest on the Notes is payable quarterly in cash, in arrears, on March 30, June 30, September 30 and December

30, commencing September 30, 2019 for the June Notes, December 30, 2019 for the December Notes and December 30, 2020 for the September Notes . The June Notes, December Notes and September Notes mature, and all amounts outstanding thereunder including principal, accrued but unpaid interest and any other fees and costs, June 30, 2024, December 30, 2024 and September 30, 2025, respectively. So long as the Notes are outstanding, the Company is prohibited from making distributions in excess of 90% of its taxable income, incurring any additional indebtedness for borrowed money or purchasing any shares of its capital stock unless it has an “Asset Coverage Ratio” of at least 150% after giving effect to the payment of such dividend, the incurrence of such indebtedness or the application of the net proceeds, as the case may be. The Company may redeem the Notes, in whole or in part, without premium or penalty, at any time after June 25, 2021, in the case of the June Notes, November 7, 2021, in the case of the December Notes, and September 4, 2022, in case of the September Notes, upon at least 30 days prior written notice to the holders of the Notes. The redemption price will be equal to the outstanding principal amount of the Notes redeemed plus the accrued but unpaid interest thereon up to, but not including, the date of redemption. The Notes are reflected on the Company’s September 30, 2020 and December 31, 2019 balance sheets net of deferred financing costs in the amount of approximately $3.6 million and $2.7 million, respectively.

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