12  H&R REAL ESTATE INVESTMENT TRUST  H&R FINANCE TRUST  Notes to Combined Financial Statements   (In thousands of dollars, except unit and per unit amounts)  Years ended December 31, 2010 and 2009  3.  Income properties (continued): Acquisitions:  4. Properties under development: During the year ended December 31, 2010, the REIT acquired 16 income properties. These acquisitions have been  recorded by the purchase method with the results of operations included in these combined financial statements from the  date of acquisition. There were no acquisitions during the year ended December 31, 2009. The following table  summarizes the acquired net assets at fair value on their respective dates of acquisition:  2010 Assets Land 35,308 $ Building 100,801 Pav ing and equipment 4,173 Intangible in-place lease costs 16,253 Abov e-market leases 8,485 C ustomer relationship v alue 1,640 166,660 Liabilities Mortgages pay able, net of mark to market adjustments 82,495 Intangible below-market leases 3,743 Net assets acquired and settled by cash 80,422 $ Project Address 2010 2009 The Bow (note 25(a)) 5th Av e. at Centre Street, Calgary , AB 1,150,094 $  719,173 $ Heart Lake May field West Business Park, Caledon, ON 80,195 39,809 Airport Road 7900 Airport Road, Brampton, ON 38,042 35,552 1,268,331 $  794,534 $