Notes Receivable

12 Months Ended

Dec. 31, 2014

Receivables [Abstract]

Notes Receivable

4. Notes Receivable

The Company has notes receivable, including accrued interest, that are collateralized by certain rights in development projects, partnership interests, sponsor guaranties and/or real estate assets, some of which are subordinate to other financings.  

Notes receivable consisted of the following (in thousands):

	December 31,
	2014		2013		Maturity Date	Interest Rate
Loans receivable	$	52,444	$	72,218	September 2011 to June 2023	5.7%–14.0%
Other notes		50		1,034	September 2017		12.0%
Tax Increment Financing Bonds    ("TIF Bonds")(A)		3,751		5,086	April 2018 to July 2026	5.6%–8.5%
	$	56,245	$	78,338

(A) Principal and interest are payable solely from the incremental real estate taxes, if any, generated by the respective shopping center and development project pursuant to the terms of the financing agreement.  

As of December 31, 2014 and 2013, the Company had six and seven loans receivable outstanding, respectively.  The following table reconciles the loans receivable on real estate from January 1, 2013, to December 31, 2014 (in thousands):

	2014			2013
Balance at January 1	$	72,218		$	60,378
Additions:
New mortgage loans		—			26,508
Interest		810			773
Accretion of discount		926			874
Deductions:
Payments of principal and interest		(460	)		(16,315	)
Loan loss reserve(A)		(500	)		—
Other(B)		(20,550	)		—
Balance at December 31	$	52,444		$	72,218

(A) Amount classified in Other Income (Expense) in the consolidated statement of operations for the year ended December 31, 2014.

(B) Loan applied toward the purchase price of the asset acquired in Chicago, Illinois (Note 3).

The following table summarizes the activity in the loan loss reserve from January 1, 2012, to December 31, 2014 (in thousands):

	2014		2013		2012
Balance at January 1	$	15,106	$	15,106	$	10,806
Additions:
Loan loss reserve		500		—		4,300
Balance at December 31	$	15,606	$	15,106	$	15,106

At December 31, 2014, the Company had one loan outstanding aggregating $9.8 million that matured and was more than 90 days past due and one loan that was fully reserved.  No other loans outstanding are past due.  The Company is no longer accruing interest income on these notes as no payments have been received.  For the $9.8 million loan, a loan loss reserve of $4.3 million was established in 2012, and an additional loan loss reserve of $0.5 million was recorded in 2014 based on the estimated value of the underlying real estate collateral.