RECEIVABLES

9 Months Ended

Sep. 30, 2014

Notes to Financial Statements

RECEIVABLES

7.   RECEIVABLES

The Company recognizes tenant rentals on a straight-line basis over the reasonably assured lease term. The Company's tenant rental agreements provide for scheduled rent increases during the lease term. Tenant rental revenue that has been earned on a straight-line basis over the reasonably assured rental term, but has not been invoiced as yet under the terms of the tenant rental agreement, has either been classified as current or non-current under tenant receivable. Tenant rental revenue that has been earned on a straight-line basis, but that will not be invoiced to tenants under the terms of the tenant rental agreement within twelve months of the balance sheet date, has been classified as non-current under tenant receivable.

Receivables consist of the following at September 30, 2014. (There were no comparable amounts at December 31, 2013.):

		September 30, 2014
		(unaudited)
Tenant receivable, current	$	16,282
Tenant receivable, non-current		17,316
Receivables		33,598
Less: Allowance for doubtful accounts		-
Receivables, net	$	33,598

Tenant rental income invoiced but not earned was $17,713 and $0 for the three months ended September 30, 2014 and 2013, respectively. Tenant rental income earned but not invoiced was $17,316 and $0 for the nine months ended September 30, 2014 and 2013, respectively.  During the three months and nine month periods ended September 30, 2014, the Company wrote-off the remaining consulting services receivable balance of $33,600 and $60,000, respectively, due to the mutual cancellation of the consulting contract.

The following discloses scheduled tenant receipts for the remainder of 2014, the next five fiscal years, and thereafter (see Note 18):

		Scheduled Tenant Receipts
Remainder of 2014	$	46,477
2015		148,205
2016		110,536
2017		112,753
2018		115,008
2019		117,308
Thereafter		246,203
Total scheduled rental receipts	$	896,490