NOTE 7. INTANGIBLE LEASE ASSETS AND LIABILITIES

Intangible lease assets and liabilities consist of the value of above-market and below-market leases, the value of in-place leases, and the value of leasing costs, based in each case on their fair values.

Intangible lease assets and liabilities consisted of the following as of September 30, 2017 and December 31, 2016:


	As of
	September 30, 2017		December 31, 2016
Intangible Lease Assets:
Value of In-Place Leases	$	34,382,237	$	30,978,776
Value of Above Market In-Place Leases		2,966,322		2,905,624
Value of Intangible Leasing Costs		8,480,647		7,010,192
Sub-total Intangible Lease Assets		45,829,206		40,894,592
Accumulated Amortization		(10,018,472)		(6,168,770)
Sub-total Intangible Lease Assets—Net		35,810,734		34,725,822
Intangible Lease Liabilities (included in accrued and other liabilities):
Value of Below Market In-Place Leases		(34,882,965)		(33,370,217)
Sub-total Intangible Lease Liabilities		(34,882,965)		(33,370,217)
Accumulated Amortization		4,855,971		2,852,166
Sub-total Intangible Lease Liabilities—Net		(30,026,994)		(30,518,051)
Total Intangible Assets and Liabilities—Net	$	5,783,740	$	4,207,771

The following table reflects the amortization of intangible assets and liabilities during the three and nine months ended September 30, 2017 and 2016:


	Three Months		Three Months		Nine Months		Nine Months
	Ended		Ended		Ended		Ended
	9/30/2017		9/30/2016		9/30/2017		9/30/2016
	($000's)		($000's)		($000's)		($000's)
Depreciation and Amortization Expense	$	1,201	$	626	$	3,479	$	1,715
Increase to Income Properties Revenue		(552)		(559)		(1,633)		(1,722)
Net Amortization of Intangible Assets and Liabilities	$	649	$	67	$	1,846	$	(7)

The estimated future amortization and accretion of intangible lease assets and liabilities is as follows:


			Future Accretion		Net Future
	Future		to Income		Amortization of
	Amortization		Property		Intangible Assets
Year Ending December 31,	Amount		Revenue		and Liabilities
Remainder of 2017	$	1,201,316	$	(551,619)	$	649,697
2018		4,805,264		(2,217,330)		2,587,934
2019		4,776,705		(2,212,206)		2,564,499
2020		4,335,284		(2,145,477)		2,189,807
2021		2,644,848		(2,296,332)		348,516
2022		2,026,921		(2,367,492)		(340,571)
Thereafter		13,789,831		(16,005,973)		(2,216,142)
Total	$	33,580,169	$	(27,796,429)	$	5,783,740