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RELATED PARTY TRANSACTIONS
 12 Months Ended
Dec. 31, 2014
RELATED PARTY TRANSACTIONS  
RELATED PARTY TRANSACTIONS

 

13.  RELATED PARTY TRANSACTIONS

 

Affiliated Real Estate Investments

 

The Company provides management services to certain joint ventures and other related party facilities.  Management agreements provide generally for management fees of between 5-6% of total revenues earned on a cash basis at the facilities.  Total management fees for unconsolidated joint ventures or other entities in which the Company held an ownership interest for the years ending December 31, 2014, 2013 and 2012 respectively, were $0.9 million, $0.1 million and $0.2 million, respectively.

 

The management agreements for certain joint ventures, other related parties and third-party facilities provide for the reimbursement to the Company for certain expenses incurred to manage the facilities.  These amounts consist of amounts due for management fees, payroll and other expenses incurred on behalf of the facilities.  The amounts due to the Company were $1.6 million and $2.1 million as of December 31, 2014 and 2013, respectively.  Additionally, as discussed in note 12 the Company has outstanding mortgage loans receivable from consolidated joint ventures of $10.8 million and $15.8 million as of December 31, 2014 and 2013, respectively, which are eliminated for consolidation purposes.  The Company believes that all of these related-party receivables are fully collectible.

 

Corporate Office Leases

 

Subsequent to its entry into lease agreements with related parties for office space, the Operating Partnership entered into sublease agreements with various unrelated tenants for the related office space.  Each of these properties is part of Airport Executive Park, a 50-acre office and flex development located in Cleveland, Ohio, which is owned by former executives. Our independent Trustees approved the terms of, and entry into, each of the office lease agreements by the Operating Partnership.  The table below shows the office space subject to these lease agreements and certain key provisions, including the maturity date of each lease agreement and the minimum and maximum rents payable per month during the term.  The Operating Partnership did not extend these lease agreements beyond the maturity dates set forth below.

 

Office Space

 

Approximate
 Square Footage

 

Maturity Date

 

Fixed Minimum
Rent Per Month

 

Fixed Maximum
Rent Per Month

 

The Parkview Building — 6745 Engle Road; and 6751 Engle Road

 
21,900 

 

12/31/2014

 

$
25,673 

 

$
31,205 

 

6745 Engle Road — Suite 100

 
2,212 

 

12/31/2014

 

$
3,051 

 

$
3,709 

 

6745 Engle Road — Suite 110

 
1,731 

 

12/31/2014

 

$
2,387 

 

$
2,901 

 

6751 Engle Road — Suites C and D

 
3,000 

 

12/31/2014

 

$
3,137 

 

$
3,771 

 

 

In addition to monthly rent, the office lease agreements provide that our Operating Partnership reimburse for certain maintenance and improvements to the leased office space.  The aggregate amount of lease payments incurred under these lease agreements for each of the years ended December 31, 2014, 2013 and 2012 was approximately $0.5 million.