R.E. Lee entered into a 10-year lease in 2015 with Mr. Grant. In addition to the $18,000 a year rent he paid in 2019, he prepaid two months of 2020 rent totaling $3,000. Also, in 2019, Mr. Lee remodeled the kitchen at a cost of $4,500. How much rental income must Mr. Grant include in gross income in 2019? What is the tax status to Mr. Grant of the remodeling work completed by Mr. Lee?