OTHER ASSETS AND LIABILITIES

6 Months Ended

Jun. 30, 2019

OTHER ASSETS AND LIABILITIES

OTHER ASSETS AND LIABILITIES

OTHER ASSETS AND LIABILITIES

Prepaid Expenses and Other Assets

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

	June 30,		December 31,
(In thousands)	2019		2018
Condominium inventory	$	62,039	$	198,352
Straight-line rent	53,692		50,493
Intangibles	33,615		33,955
Special Improvement District receivables	18,091		18,838
Security and escrow deposits	17,960		17,670
Prepaid expenses	15,669		16,981
Equipment, net of accumulated depreciation of $9.2 million and $8.3 million, respectively	14,707		15,543
Other	10,233		18,429
Tenant incentives and other receivables	8,398		8,745
TIF receivable	5,820		2,470
In-place leases	4,923		6,539
Food and beverage and lifestyle inventory	3,353		1,935
Above-market tenant leases	790		1,044
Federal income tax receivable	200		2,000
Interest rate swap derivative assets	—		346
Below-market ground leases	—		18,296
Prepaid expenses and other assets, net	$	249,490	$	411,636

The $162.1 million net decrease primarily relates to $136.3 million and $18.3 million decreases in Condominium inventory and Below-market ground leases, respectively. Condominium inventory represents completed units for which sales have not yet closed. The decrease in Condominium inventory from December 31, 2018 is primarily attributable to the contracted units at Ae‘o and Ke Kilohana, which have closed in the first and second quarters of 2019, respectively. The decrease in Below-market ground leases is attributable to the adoption of the New Leases Standard as of the Adoption Date. The balance of unamortized below-market ground leases was reclassified to Operating lease right-of-use assets upon adoption.

Accounts Payable and Accrued Expenses

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

	June 30,		December 31,
(In thousands)	2019		2018
Construction payables	$	300,014	$	258,749
Condominium deposit liabilities	158,164		263,636
Deferred income	54,102		42,734
Interest rate swap derivative liabilities	40,848		16,517
Tenant and other deposits	33,032		20,893
Accounts payable and accrued expenses	26,928		38,748
Accrued payroll and other employee liabilities	26,281		42,591
Accrued interest	22,933		23,080
Accrued real estate taxes	20,541		26,171
Other	14,920		29,283
Straight-line ground rent liability	—		16,870
Accounts payable and accrued expenses	$	697,763	$	779,272

The $81.5 million net decrease in total Accounts payable and accrued expenses primarily relates to a $105.5 million decrease in Condominium deposit liabilities primarily attributable to the contracted units at Ae‘o and Ke Kilohana, which have closed in the first and second quarters of 2019, respectively; a $41.3 million increase in Construction payables predominately related to the Two Lakes Edge, 110 North Wacker and Juniper Apartments projects under construction as the developments move toward completion; a $24.3 million increase in Interest rate swap derivative liabilities due to a decrease in the one-month London Interbank Offered Rate ("LIBOR") forward curve for the periods presented; a $16.3 million decrease in Accrued payroll and other employee liabilities due to payment in the first quarter of 2019 of annual incentive bonus for 2018; and a $16.9 million decrease in Straight-line ground rent liability attributable to the adoption of the New Leases Standard as of the Adoption Date.