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Revenues
9 Months Ended
Sep. 30, 2021
Revenues [Abstract]  
Revenues

 

Note 8. Revenues

Rental revenues for the three and nine months ended September 30, 2021 and 2020, respectively, comprise the following:

 

 

 

Three months ended September 30,

 

 

Nine months ended September 30,

 

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Base rents

 

$

22,657,000

 

 

$

23,233,000

 

 

$

70,249,000

 

 

$

71,776,000

 

Expense recoveries

 

 

7,385,000

 

 

 

6,812,000

 

 

 

23,185,000

 

 

 

21,695,000

 

Percentage rent

 

 

78,000

 

 

 

823,000

 

 

 

1,004,000

 

 

 

1,152,000

 

Straight-line rents

 

 

7,000

 

 

 

(277,000

)

 

 

366,000

 

 

 

(1,222,000

)

Amortization of intangible lease liabilities, net

 

 

268,000

 

 

 

299,000

 

 

 

807,000

 

 

 

1,065,000

 

Total rents

 

$

30,395,000

 

 

$

30,890,000

 

 

$

95,611,000

 

 

$

94,466,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The Company reviews the collectability of charges under its tenant operating leases on a regular basis, taking into consideration changes in factors such as the tenant’s payment history, the financial condition of the tenant, business conditions in the industry in

which the tenant operates and economic conditions in the area where the property is located. During 2021 and 2020, the Company’s assessment has specifically included the impact of the COVID-19 pandemic, which represents a material risk to collectability. In the event that collectability with respect to any tenant changes the Company recognizes an adjustment to rental income. The Company’s review of collectability of charges under its operating leases includes any accrued rental revenues related to the straight-line method of reporting rental revenue. During 2021 and 2020, the Company identified various tenants where collection was no longer considered probable, and therefore, during the three and nine months ended September 30, 2021, respectively, $0.3 million and $1.3 million of billed charges, consisting of rent and tenant reimbursements, were unpaid. Based on the Company’s determination to record revenue on a cash basis for these tenants, these amounts were not recorded as revenue.