Notes Receivable

3 Months Ended

Mar. 31, 2012

Notes Receivable [Abstract]

NOTES RECEIVABLE

4. NOTES RECEIVABLE

Notes receivable consist of the following (in millions):

	March 31, 2012		December 31, 2011
Loans receivable (A)	$	85.6	$	84.5
Other notes		3.0		3.0
Tax Increment Financing Bonds (“TIF Bonds”) (B)		6.5		6.4
	$	95.1	$	93.9

(A) Amounts exclude notes receivable and advances from unconsolidated joint ventures including those that were in default and reserved at March 31, 2012 and December 31, 2011.

(B) Principal and interest are payable solely from the incremental real estate taxes, if any, generated by the respective shopping center and development project pursuant to the terms of the financing agreement.

As of March 31, 2012 and December 31, 2011, the Company had six loans receivable outstanding, with total remaining non-discretionary commitments of $5.9 million and $6.0 million, respectively. The following table reconciles the loans receivable on real estate for the three-month periods ended March 31, 2012 and 2011 (in thousands):

	2012		2011
Balance at January 1	$	84,541	$	103,704
Additions:
New mortgage loans		75		—
Interest		793		633
Accretion of discount		202		191
Balance at March 31	$	85,611	$	104,528

The Company maintains a loan receivable with a carrying value of $10.8 million that was fully reserved at March 31, 2012 and 2011, resulting in a specific loan loss reserve of $10.8 million. The impairment was driven by the then deterioration of the economy and the dislocation of the credit markets. Interest income is no longer being recorded on this loan. At March 31, 2012, this note was more than 90 days past due on principal and interest payments. This is the only loan receivable in the Company’s portfolio that has a loan loss reserve and is considered impaired at March 31, 2012.

In addition, at March 31, 2012, the Company had one loan aggregating $9.8 million that matured in September 2011 and was more than 90 days past due. The Company is no longer recording interest income on this note. A loan loss reserve has not been established based on the estimated value of the underlying real estate collateral.