Quarterly report pursuant to Section 13 or 15(d)

Construction in Progress

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Construction in Progress
9 Months Ended
Sep. 30, 2018
Fixed Assets  
Construction in Progress

6. Construction in progress

 

Construction in progress includes direct and indirect expenditures for the construction and expansion of the Company’s facilities and is stated at its acquisition cost. Independent contractors perform substantially all of the construction and expansion efforts of our facility.

 

Construction in progress includes construction progress payments, engineering costs, equipment not placed in service and other costs directly related to the construction of the facilities. Expenditures are capitalized during the construction period and construction in progress is transferred to the relevant class of property, plant and equipment when the assets are available for use, at which point the depreciation of the asset commences.

 

The following represents the construction in progress as of September 30, 2018:

 

    Contract     Date      
Facility   Price     Completed   Payments  
Andalucia (1)   $ 167,200     May 14, 2018*   $ 175,483  
Fajardo (2)     177,600     May 14, 2018     160,988  
Isla Verde     180,150     In progress     93,877  
Bayamon     1999,546     In progress     89,798  
Guaynabo     212,025     In progress     27,090  
420     35,000     In progress     16,380  
Sunset Connect     350,000     In progress     31,087  
Total               $ 594,703  

 

  (1) Commenced operations on October 2, 2018 following issuance of requisite operating permit from the DHPR. (Note 10).
     
  (2) While construction at the Fajardo facility is completed as of September 30, 2018, the Company is awaiting the issuance of the requisite operating permits and licenses from the DHPR in order to commence operations.