NOTE 13 OTHER ASSETS AND LIABILITIES

Prepaid Expenses and Other Assets

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


	March 31,		December 31,
(In thousands)	2017		2016
Condominium receivables (a)	$	265,999	$	210,219
Condominium deposits		159,530		193,197
Special Improvement District receivable		61,129		61,603
Straight-line rent, net		33,267		31,518
In-place leases		15,466		16,015
Below-market ground leases		18,901		18,986
Above-market tenant leases		2,243		2,457
Equipment, net of accumulated depreciation of $5.7 million and $4.9 million, respectively		17,172		17,556
Security and escrow deposits		54,605		61,304
Tenant incentives and other receivables		18,704		8,773
Prepaid expenses		11,323		11,177
Federal income tax receivable		16,186		15,763
Intangibles		36,350		4,046
Other		3,537		13,902
	$	714,412	$	666,516

(a)

We expect all the Condominium receivables outstanding at March 31, 2017 and December 31, 2016, to be collected in 2017 upon closing Anaha and the remaining units at Waiea.

The $47.9 million net increase primarily relates to the following increases: a $55.8 million increase in condominium receivables recorded with respect to sales recognized on a percentage of completion basis; a $32.3 million increase in intangibles due to our acquisition of our partner’s interest in the Las Vegas 51s; and a $9.9 million increase in tenant incentives and other receivables due to various tenant activities and $2.4 million in other increases.

These increases were partially offset by the following decreases: a $33.7 million decrease in condominium deposits due to closings of Waiea condominium units partially offset by higher net sales activity for Ae`o and Anaha; a $10.4 million decrease in Other assets primarily relating to third party reimbursements received for improvements made on the Merriweather Post Pavilion in 2016; a $6.7 million decrease in security and escrow deposits due primarily to the utilization of escrowed condominium deposits to fund remaining construction costs at Waiea; and $1.7 million in other decreases.

Accounts Payable and Accrued Expenses

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


	March 31,		December 31,
(In thousands)	2017		2016
Construction payables	$	203,141	$	207,917
Condominium deposit liabilities		121,527		117,015
Deferred income		82,259		85,158
Accounts payable and accrued expenses		30,683		33,050
Tenant and other deposits		24,700		28,559
Accrued interest		6,683		16,897
Accrued payroll and other employee liabilities		13,543		36,937
Accrued real estate taxes		8,386		16,726
Interest rate swaps		(540)		(149)
Straight-line ground rent liability		13,585		13,126
Above-market ground leases		1,174		1,762
Other		11,601		15,012
	$	516,742	$	572,010

The $55.3 million net decrease in total accounts payable and accrued expenses primarily relates to the following decreases: $23.4 million in accrued payroll and other employee liabilities due to payment in first quarter 2017 of 2016 annual incentive bonus; $10.2 million net decrease in accrued interest primarily due to payments of $24.1 million relating to redemption of the 2021 senior notes, offset by normal interest accrual activity; $8.3 million in accrued real estate taxes; $4.8 million in construction payables due primarily to continued development activities at Ward Village; $3.4 million in Other; $3.9 million in tenant and other deposits due primarily to amortization of a tenant’s prepaid rent; $2.4 million in accounts payable and accrued expenses; $2.9 million in deferred income; and $1.0 million in other immaterial decreases.

These decreases are partially offset by an increase of $4.5 million in condominium deposit liabilities for the towers under construction at Ward Village and $0.5 million in other immaterial increases.