Notes Receivable

3 Months Ended

Mar. 31, 2014

Notes Receivable

5. Notes Receivable

On February 8, 2013 the mortgage note borrower for the 2824 E. Foothill Blvd. loan repaid, ahead of schedule, the outstanding principal in full. We received gross proceeds from this payoff of $5.4 million, including $6,310 in per diem interest, of which $2.5 million was used to repay the loan secured by this note. The remaining proceeds were paid as a distribution to investors in RIF V. Our predecessor recorded a $1.4 million gain on collection of notes receivable during the three months ended March 31, 2013.

The following table summarizes the balance of our notes receivable:

	March 31, 2014			December 31, 2013
Face Amount	$	14,093,000		$	14,161,000
Unrecognized Accretable Yield		(958,000	)		(1,022,000	)
Note Receivable(1)	$	13,135,000		$	13,139,000

(1) This is a mortgage loan secured by 32401-32803 Calle Perfecto.