NOTES AND INTEREST PAYABLE

3 Months Ended

Mar. 31, 2018

Debt Disclosure [Abstract]

NOTES AND INTEREST PAYABLE

NOTE 6. NOTES AND INTEREST PAYABLE

Below is a summary of our notes and interest payable as of March 31, 2018 (dollars in thousands):

	Notes Payable			Accrued Interest			Total Debt
Apartments	$	560,147		$	1,585		$	561,732
Apartments under Construction		96,026			113			96,139
Commercial		126,557			628			127,185
Land		16,000			598			16,598
Mezzanine financing		93,423			401			93,824
Other		9,572			(248	)		9,324
Total	$	901,725		$	3,077		$	904,802
Unamortized deferred borrowing costs		(18,248	)		—			(18,248	)
	$	883,477		$	3,077		$	886,554

The segment labeled as “Other” consists of unsecured or stock-secured notes payable.

There are various land mortgages, secured by the property, that are in the process of a modification or extension to the original note due to expiration of the loan. We are in constant contact with these lenders, working together in order to modify the terms of these loans and we anticipate a timely resolution that is similar to the existing agreement or subsequent modification.

In conjunction with the development of various apartment projects and other developments, we drew down $20.1 million in construction loans during the three months ended March 31, 2018.

The properties that we have sold to a related party and have deferred the recognition of the sale are treated as “subject to sales contract” on the Consolidated Balance Sheets. These properties were sold to a related party in order to help facilitate an appropriate debt or organizational restructure and may or may not be transferred back to the seller upon resolution. These properties have mortgages that are secured by the property and many have corporate guarantees. According to the loan documents, the maker is currently in default on these mortgages primarily due to lack of payment and is actively involved in discussions with every lender in order to settle or cure the default situation. We have reviewed each asset and taken impairment to the extent we feel the value of the property was less than our current basis.