Annual report pursuant to Section 13 and 15(d)

Deferred Rent

Deferred Rent
12 Months Ended
Dec. 31, 2015
Deferred Revenue Disclosure [Abstract]  
Deferred Rent

10.      Deferred Rent


On August 7, 2015, the Company signed a lease for 21,697 square feet of mixed office and manufacturing space in Alameda, CA. The term of the lease is 76 months plus 6 months pre commencement date for tenant improvement construction. The total cost of the lease is $3,033,241 which is being amortized over 82 months at approximately $36,991 per month. As of December 31, 2015 the landlord had paid for $869,262 in tenant improvements. The tenant improvements cost has been included in owned assets and deferred rent and is being amortized over the life of the lease. Net deferred rent expense for the period ended December 31, 2015 was $163,485. The December 31, 2015 short term deferred rent balance of $38,382 is included in prepaid expenses and other current assets and the remaining liability of $1,071,129 is classified as long term deferred rent.


The future minimum payments related to the lease are as follows as of December 31, 2015:


2016   $ 273,382  
2017     476,249  
2018     490,786  
2019     506,408  
2020     522,030  
Thereafter     764,386  
Total minimum lease payments   $ 3,033,241