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Mortgage Notes Payable | 12 Months Ended
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Dec. 31, 2015
Mortgage Loans On Real Estate [Abstract] |
Mortgage Notes Payable | 8. MORTGAGE NOTES PAYABLE Mortgage notes payable consisted of the following:
|  |  |  | Principal as of December 31, |  |  | Loan |  | Interest |  |  |
Mortgage note property |  | Notes |  | 2015 |  |  | 2014 |  |  | Type |  | Rate (1) |  |  | Maturity
Waterman Plaza |  |  |  | $ | — |  |  | $ | 3,368,146 |  |  | Fixed |  |  | 6.50 | % |  | 9/1/2015
Havana/Parker Complex |  |  |  |  | 2,500,000 |  |  |  | 2,500,000 |  |  | Fixed |  |  | 6.51 | % |  | 7/1/2016
Bismarck Office Building |  |  |  |  | 3,252,016 |  |  |  | 3,321,198 |  |  | Fixed |  |  | 6.12 | % |  | 10/1/2016
Sparky's Rialto |  | (2) |  |  | — |  |  |  | 2,119,037 |  |  | Fixed (reset) |  |  | 4.75 | % |  | 5/3/2018
Rangewood Medical Office Building |  |  |  |  | 1,027,085 |  |  |  | 1,092,778 |  |  | Fixed |  |  | 4.95 | % |  | 1/1/2019
Regatta Square |  |  |  |  | 1,183,473 |  |  |  | 1,214,799 |  |  | Fixed |  |  | 4.95 | % |  | 1/1/2019
Port of San Diego Complex |  |  |  |  | 10,097,726 |  |  |  | 10,368,228 |  |  | Fixed |  |  | 4.75 | % |  | 3/5/2020
Garden Gateway Plaza |  |  |  |  | 6,799,229 |  |  |  | 6,963,381 |  |  | Fixed |  |  | 5.00 | % |  | 4/5/2020
Sparky's Lancaster |  |  |  |  | — |  |  |  | 1,903,982 |  |  | Fixed |  |  | 5.00 | % |  | 6/1/2020
West Fargo Industrial |  |  |  |  | 4,500,000 |  |  |  | — |  |  | Fixed |  |  | 4.79 | % |  | 9/9/2020
Morena Office Center |  | (3) |  |  | 2,289,899 |  |  |  | 2,351,805 |  |  | Fixed (reset) |  |  | 4.50 | % |  | 1/1/2021
Pacific Oaks Plaza |  | (3) |  |  | 1,556,891 |  |  |  | 1,599,204 |  |  | Fixed (reset) |  |  | 4.50 | % |  | 6/1/2021
Shoreline Medical Building |  | (3) |  |  | 3,727,569 |  |  |  | 3,846,697 |  |  | Fixed (reset) |  |  | 5.10 | % |  | 6/1/2022
Highland Court |  |  |  |  | 6,958,147 |  |  |  | — |  |  | Fixed |  |  | 3.82 | % |  | 9/1/2022
Sparky's Palm, Joshua and Sunrise |  |  |  |  | — |  |  |  | 7,986,522 |  |  | Fixed |  |  | 4.70 | % |  | 12/6/2022
Sparky's Hesperia East |  | (4) |  |  | — |  |  |  | 830,883 |  |  | Variable |  |  | 4.75 | % |  | 12/18/2022
Dakota Bank Buildings |  |  |  |  | 10,825,201 |  |  |  | 10,993,386 |  |  | Fixed |  |  | 4.74 | % |  | 7/6/2024
Union Terrace Building |  |  |  |  | 6,600,000 |  |  |  | 6,600,000 |  |  | Fixed |  |  | 4.50 | % |  | 9/5/2024
The Presidio |  |  |  |  | 6,000,000 |  |  |  | 6,000,000 |  |  | Fixed |  |  | 4.54 | % |  | 12/1/2024
Centennial Tech Center |  |  |  |  | 10,237,591 |  |  |  | 10,250,000 |  |  | Fixed |  |  | 4.34 | % |  | 12/5/2024
Arapahoe Service Center |  |  |  |  | 8,500,000 |  |  |  | 8,500,000 |  |  | Fixed |  |  | 4.34 | % |  | 1/5/2025
Union Town Center |  |  |  |  | 8,440,000 |  |  |  | 8,440,000 |  |  | Fixed |  |  | 4.28 | % |  | 1/5/2025
Yucca Valley Retail Center |  |  |  |  | 6,000,000 |  |  |  | 2,982,411 |  |  | Fixed |  |  | 5.62 | % |  | 4/6/2025
Executive Office Park |  | (5) |  |  | 4,307,975 |  |  |  | 4,379,854 |  |  | Fixed (reset) |  |  | 5.80 | % |  | 7/1/2025
Genesis Plaza |  |  |  |  | 6,500,000 |  |  |  | 4,491,588 |  |  | Fixed |  |  | 4.65 | % |  | 9/6/2025
One Park Centre |  |  |  |  | 6,610,000 |  |  |  | — |  |  | Fixed |  |  | 4.77 | % |  | 9/5/2025
Shea Center II |  |  |  |  | 17,727,500 |  |  |  | — |  |  | Fixed |  |  | 4.92 | % |  | 1/5/2026
Sparky’s Thousand Palms |  | (6) |  |  | — |  |  |  | 4,092,100 |  |  | Variable |  |  | 5.50 | % |  | 3/1/2034
Subtotal, NetREIT, Inc. properties |  |  |  |  | 135,640,302 |  |  |  | 116,195,999 |  |  |  |  |  |  |  |  |
Model Home mortgage notes |  |  |  |  | 9,050,268 |  |  |  | 7,703,299 |  |  | Fixed |  |  | (7 | ) |  | 2015-2019
Mortgage Notes Payable, total |  |  |  | $ | 144,690,570 |  |  | $ | 123,899,298 |  |  |  |  |  |  |  |  |
(1) | Interest rates as of December 31, 2015
(2) | Interest subject to reset; thereafter, monthly payments of $11,982, including interest at rate indexed to 5-year Treasury Rate + 3%.
(3) | Interest rate subject to resetting on the 3r d and 6 th loan anniversary.
(4) | Interest at a variable rate indexed to the 5 year interest rate swap.
(5) | Interest rate is subject to reset on July 1, 2018.
(6) | Interest at variable rate ranging from 5.50%-10.50%.
(7) | Each Model Home has a standalone mortgage note at interest rates ranging from 4.9% to 5.8% (at December 31, 2015).
The Company is in compliance with all conditions and covenants of its mortgage notes payable. Scheduled principal payments of mortgage notes payable are as follows:
|  | Principal Payments |  |  | Scheduled |
Years Ending December 31: |  | NetREIT, Inc. Notes Payable |  |  | Model Homes Notes Payable |  |  | Principal Payments |
2016 |  |  | 7,245,568 |  |  |  | 901,272 |  |  |  | 8,146,840 |
2017 |  |  | 1,767,577 |  |  |  | 1,557,176 |  |  |  | 3,324,753 |
2018 |  |  | 5,973,359 |  |  |  | 1,581,239 |  |  |  | 7,554,598 |
2019 |  |  | 2,984,389 |  |  |  | 1,442,319 |  |  |  | 4,426,708 |
2020 |  |  | 2,276,109 |  |  |  | 3,568,262 |  |  |  | 5,844,371 |
Thereafter |  |  | 115,393,300 |  |  |  | - |  |  |  | 115,393,300 |
Total |  | $ | 135,640,302 |  |  | $ | 9,050,268 |  |  | $ | 144,690,570 |
In December 2014, the Company and the lender for the Company’s Havana Parker Complex entered into to a loan modification agreement pursuant to which the lender agreed to reduce the outstanding loan balance from $3,037,000 to $2,500,000, and also agreed to defer a portion of the monthly interest until loan maturity. Under the modified agreement, interest only payments (at 2.5%) are due through July 1, 2016, at which time all principal and deferred interest is due. The Company has the option to defer loan maturity for one additional year in exchange for making a one-time payment of $100,000 (which will be applied to outstanding principal).

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