Notes Receivable

3 Months Ended

Mar. 31, 2014

Notes Receivable

4. NOTES RECEIVABLE

The Company has notes receivable, including accrued interest, that are collateralized by certain rights in development projects, partnership interests, sponsor guaranties and/or real estate assets, some of which are subordinate to other financings.

Notes receivable consist of the following (in thousands):

	March 31, 2014		December 31, 2013
Loans receivable	$	72,805	$	72,218
Other notes		1,030		1,034
Tax Increment Financing Bonds (“TIF Bonds”)(A)		5,110		5,086
	$	78,945	$	78,338

(A) 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, 2014 and December 31, 2013, the Company had seven loans receivable outstanding. The following table reconciles the loans receivable on real estate for the three-month periods ended March 31, 2014 and 2013 (in thousands):

	2014			2013
Balance at January 1	$	72,218		$	60,378
Additions:
Interest		473			123
Accretion of discount		227			214
Deductions:
Payments of principal and interest		(113	)		(11,310	)
Balance at March 31	$	72,805		$	49,405

At March 31, 2014, the Company had one loan outstanding aggregating $9.8 million that matured in September 2011 and was more than 90 days past due and partially reserved and one loan that is fully reserved. No other loans outstanding are past due. The Company is no longer accruing interest income on these notes as no payments have been received.