Leases

12 Months Ended

Dec. 31, 2016

Leases [Abstract]

Leases

4. LEASES:

Original lease terms for the majority of the leased Properties were generally five to 20 years from their inception. The leases generally provide for minimum rents and additional rents based upon percentages of gross sales in excess of specified breakpoints. The lessee is responsible for occupancy costs such as maintenance, insurance, real estate taxes, and utilities. Accordingly, these amounts are not reflected in the statements of income except in circumstances where, in the General Partner’s opinion, the Partnership will be required to pay such costs to preserve its assets (i.e., payment of past-due real estate taxes). Management has determined that the leases are properly classified as operating leases; therefore, rental income is reported when earned on a straight-line basis and the cost of the property, excluding the cost of the land, is depreciated over its estimated useful life.

As of December 31, 2016, the aggregate minimum operating lease payments to be received under the current operating leases for the Properties are as follows:

Year ending December 31,
2017	$	871,084
2018		818,061
2019		660,433
2020		660,433
2021		572,960
Thereafter		374,808
	$	3,957,779