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Revenues
12 Months Ended
Dec. 31, 2021
Revenues [Abstract]  
Revenues

Note 12. Revenues

Rents for 2021, 2020 and 2019, respectively, are comprised of the following:

 

 

 

Years ended December 31,

 

 

 

2021

 

 

2020

 

 

2019

 

Base rents

 

$

92,738,000

 

 

$

95,987,000

 

 

$

105,041,000

 

Expense recoveries

 

 

31,022,000

 

 

 

29,241,000

 

 

 

33,475,000

 

Percentage rent

 

 

1,347,000

 

 

 

1,778,000

 

 

 

971,000

 

Straight-line rents

 

 

270,000

 

 

 

(1,208,000

)

 

 

405,000

 

Amortization of intangible lease liabilities, net

 

 

1,074,000

 

 

 

1,373,000

 

 

 

2,827,000

 

Total rents

 

$

126,451,000

 

 

$

127,171,000

 

 

$

142,719,000

 

 

The Company recognizes lease termination income when the following conditions are met: (1) the lease termination agreement has been executed, (2) the lease termination fee is determinable, (3) all the Company’s landlord services pursuant to the terminated lease have been rendered, and (4) collectability of the lease termination fee is assured. On January 31, 2020, the Company agreed to a cash

payment in consideration for permitting a dark anchor tenant to terminate its lease prior to the contractual expiration at Metro Square. As a result of this termination, revenues for 2020, included approximately $7.1 million of other income.

 

The Company reviews the collectability of charges under its tenant operating leases on a regular basis, taking into consideration changes in factors such as the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in which the tenant operates and economic conditions in the area where the property is located. During 2021 and 2020, the Company’s assessment has specifically included the impact of the COVID-19 pandemic, which represents a material risk to collectability. In the event that collectability with respect to any tenant changes, the Company recognizes an adjustment to rental income. The Company’s review of collectability of charges under its operating leases includes any accrued rental revenues related to the straight-line method of reporting rental revenue. The Company identified various tenants where collection was no longer considered probable, and therefore, during the years ended December 31, 2021 and 2020, respectively, $0.7 million and $6.9 million of billed charges, consisting of rent and tenant reimbursements, were unpaid. Based on the Company’s determination to record revenue on a cash basis for these tenants, these amounts were not recorded as revenue.

 

Annual future base rents due to be received under non-cancelable operating leases in effect at December 31, 2021 are approximately as follows (excluding those base rents applicable to properties classified as real estate held for sale):

 

2022

 

$

87,221,000

 

2023

 

 

84,883,000

 

2024

 

 

74,689,000

 

2025

 

 

62,993,000

 

2026

 

 

51,829,000

 

Thereafter

 

 

201,182,000

 

 

 

$

562,797,000

 

 

Total future minimum rents do not include expense recoveries for real estate taxes and operating costs, or percentage rents based upon tenants’ sales volume. Such additional revenue amounts aggregated approximately $32.5 million, $31.1 million and $34.4 million for 2021, 2020 and 2019, respectively. Such amounts do not include amortization of intangible lease liabilities.