SALE LEASEBACK TRANSACTION |
3 Months Ended | ||||||||||||||||||||||||||||||||||||
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Mar. 31, 2018 | |||||||||||||||||||||||||||||||||||||
| Leases [Abstract] | |||||||||||||||||||||||||||||||||||||
| SALE LEASEBACK TRANSACTION |
SALE LEASEBACK TRANSACTION
Rent expense for the sale-leaseback transaction entered into on September 30, 2016 totaled $574,633 for the three-month periods ended March 31, 2018 and March 31, 2017.
The amount of future minimum lease payments under the sale-leaseback transaction are as follows:
In accordance with the agreement, the amount of future lease payments as of March 31, 2018 includes a rent escalator equal to the lesser of 1.25 times the percentage increase in the Consumer Price Index since the previous increase or two percent.
The deferred gain recognized on the sale-leaseback transaction is amortized on the straight-line method over the life of the lease of 20 years. Deferred gain amortization began in October 2016 and totaled $83,568 for the three-month periods ended March 31, 2018 and March 31, 2017. The current portion of the deferred gain was $334,273 at March 31, 2018 and December 31, 2017, and is included in "Accrued expenses" in the accompanying Condensed Consolidated Balance Sheets. The long-term portion of the deferred gain was $5,849,782 and $5,933,350 at March 31, 2018 and December 31, 2017, respectively, and is included in "Long-term deferred gain, sale-leaseback" in the accompanying Condensed Consolidated Balance Sheets.
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