OTHER ASSETS AND LIABILITIES

12 Months Ended

Dec. 31, 2013

OTHER ASSETS AND LIABILITIES

OTHER ASSETS AND LIABILITIES

NOTE 11 OTHER ASSETS AND LIABILITIES

The following table summarizes the significant components of Prepaid expenses and other assets:

	December 31,
	2013		2012
	(In thousands)
Special Improvement District receivable	$	39,688	$	39,659
Equipment, net of accumulated depreciation of $0.7 million		21,978		—
Tenant incentives and other receivables		6,757		2,346
Federal income tax receivable		6,053		5,367
Prepaid expenses		4,744		4,757
Below-market ground leases (Note 12)		20,002		20,341
Condominium deposits		12,405		19,616
Security and escrow deposits		28,082		12,865
Above-market tenant leases (Note 12)		1,095		1,896
Uncertain tax position asset		13,528		12,801
In-place leases (Note 12)		9,306		11,516
Intangibles		3,714		3,714
Other		6,588		8,592
	$	173,940	$	143,470

The $30.5 million increase as of December 31, 2013 compared to 2012 primarily relates to a $22.0 million increase in equipment related to an airplane purchase, a $4.4 million increase in tenant and other receivables primarily related to lease incentives at Ward Centers, and a $15.2 million increase in security and escrow deposits related primarily to approximately $14.7 million in escrow deposits for the South Street Seaport project. These increases are offset by a decrease of $7.2 million in condominium deposits due to the sale of our condominium rights for ONE Ala Moana.

The following table summarizes the significant components of Accounts payable and accrued expenses:

	December 31,
	2013		2012
	(In thousands)
Construction payables	$	106,741	$	17,501
Accounts payable and accrued expenses		46,998		39,634
Condominium deposits		12,405		19,616
Membership deposits		24,830		20,248
Above-market ground leases (Note 12)		2,431		2,590
Deferred income		18,963		7,767
Accrued interest		17,463		2,425
Accrued real estate taxes		8,581		6,622
Tenant and other deposits		9,490		8,096
Insurance reserve		1,417		9,037
Accrued payroll and other employee liabilities		15,666		11,514
Interest rate swaps		4,164		7,183
Special Assessement		2,603		2,868
Other		12,239		15,420
	$	283,991	$	170,521

The $113.5 million increase as of December 31, 2013 compared to 2012 is primarily due to the increase of $89.2 million in construction payables, which relates to construction and renovation activities primarily for The Shops at Summerlin, Ward Village and Riverwalk properties that are under development, an increase of $11.2 million in deferred income primarily due to increased land sales and the deferral of a portion of the income for post-sale land development obligations at our Summerlin MPC, and a $15.0 million increase in accrued interest mainly from the Senior Notes. These increases were partially offset by the decrease of $7.2 million in condominium deposits as of December 31, 2013 compared to 2012 due to the sale of our ONE Ala Moana condominium rights.