-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, RPPpab92Gihtn3fJ2POAvOBwHR30y61kZaD78AY8tT9+VNpauRN3dBwYkIJT9Sld YeaCWAAQfTu14gsgnhXd1A== 0000202953-97-000008.txt : 19971114 0000202953-97-000008.hdr.sgml : 19971114 ACCESSION NUMBER: 0000202953-97-000008 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970930 FILED AS OF DATE: 19971112 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: PUBLIC STORAGE PROPERTIES LTD CENTRAL INDEX KEY: 0000202953 STANDARD INDUSTRIAL CLASSIFICATION: LESSORS OF REAL PROPERTY, NEC [6519] IRS NUMBER: 953196921 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-08667 FILM NUMBER: 97714420 BUSINESS ADDRESS: STREET 1: 701 WESTERN AVE STREET 2: SUITE 200 CITY: GLENDALE STATE: CA ZIP: 91201-2397 BUSINESS PHONE: 8182448080 MAIL ADDRESS: STREET 1: 701 WESTERN AVE STREET 2: SUITE 200 CITY: GLENDALE STATE: CA ZIP: 91201 10-Q 1 10-Q UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q [X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the period ended September 30, 1997 or [ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to ----------------- ----------------- Commission File Number 0-8667 ------ PUBLIC STORAGE PROPERTIES, LTD. ------------------------------- (Exact name of registrant as specified in its charter) California 95-3196921 - --------------------------------------- -------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification Number) 701 Western Ave. Glendale, California 91201-2349 - --------------------------------------- -------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (818) 244-8080 -------------- Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes X No --- --- INDEX Page ---- PART I. FINANCIAL INFORMATION Condensed balance sheets at September 30, 1997 and December 31, 1996 2 Condensed statements of income for the three and nine months ended September 30, 1997 and 1996 3 Condensed statement of partners' deficit for the nine months ended September 30, 1997 4 Condensed statements of cash flows for the nine months ended September 30, 1997 and 1996 5 Notes to condensed financial statements 6 Management's discussion and analysis of financial condition and results of operations 7-8 PART II. OTHER INFORMATION 9 PUBLIC STORAGE PROPERTIES, LTD. CONDENSED BALANCE SHEETS
September 30, December 31, 1997 1996 -------------------- ------------------- (Unaudited) ASSETS ------ Cash and cash equivalents $ 379,000 $ 69,000 Rent and other receivables 49,000 48,000 Real estate facilities, at cost: Building, land improvements and equipment 7,980,000 7,721,000 Land 2,511,000 2,511,000 -------------------- ------------------- 10,491,000 10,232,000 Less accumulated depreciation (5,375,000) (5,046,000) -------------------- ------------------- 5,116,000 5,186,000 -------------------- ------------------- Other assets 165,000 200,000 -------------------- ------------------- Total assets $ 5,709,000 $ 5,503,000 ==================== =================== LIABILITIES AND PARTNERS' DEFICIT --------------------------------- Accounts payable $ 47,000 $ 5,000 Deferred revenue 126,000 118,000 Notes payable 14,378,000 15,217,000 Partners' deficit: Limited partners' deficit, $500 per unit, 20,000 units authorized, issued and outstanding (6,565,000) (7,304,000) General partners' deficit (2,277,000) (2,533,000) -------------------- ------------------- Total partners' deficit (8,842,000) (9,837,000) -------------------- ------------------- Total liabilities and partners' deficit $ 5,709,000 $ 5,503,000 ==================== ===================
See accompanying notes. 2 PUBLIC STORAGE PROPERTIES, LTD. CONDENSED STATEMENTS OF INCOME (UNAUDITED)
Three Months Ended Nine Months Ended September 30, September 30, -------------------------------- -------------------------------- 1997 1996 1997 1996 --------------- -------------- -------------- --------------- REVENUES: Rental income $ 1,102,000 $ 1,012,000 $ 3,203,000 $ 2,960,000 Other income 4,000 2,000 9,000 4,000 --------------- -------------- -------------- --------------- 1,106,000 1,014,000 3,212,000 2,964,000 --------------- -------------- -------------- --------------- COSTS AND EXPENSES: Cost of operations 233,000 230,000 709,000 697,000 Management fees paid to affiliate 66,000 55,000 192,000 158,000 Depreciation 115,000 103,000 329,000 298,000 Administrative 14,000 15,000 39,000 36,000 Interest expense 310,000 343,000 948,000 1,032,000 --------------- -------------- -------------- --------------- 738,000 746,000 2,217,000 2,221,000 --------------- -------------- -------------- --------------- NET INCOME $ 368,000 $ 268,000 $ 995,000 $ 743,000 =============== ============== ============== =============== Limited partners' share of net income ($49.25 per unit in 1997 and $36.75 per unit in 1996) $ 985,000 $ 735,000 General partners' share of net income 10,000 8,000 -------------- --------------- $ 995,000 $ 743,000 ============== ===============
See accompanying notes. 3 PUBLIC STORAGE PROPERTIES, LTD. CONDENSED STATEMENT OF PARTNERS' DEFICIT (UNAUDITED)
Total Limited General Partners' Partners Partners Deficit --------------- -------------- -------------- Balance at December 31, 1996 $(7,304,000) $(2,533,000) $(9,837,000) Net Income 985,000 10,000 995,000 Equity transfer (246,000) 246,000 - --------------- -------------- -------------- Balance at September 30, 1997 $(6,565,000) $(2,277,000) $(8,842,000) =============== ============== ==============
See accompanying notes. 4 PUBLIC STORAGE PROPERTIES, LTD. CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)
Nine Months Ended September 30, ------------------------------------------ 1997 1996 ------------------- -------------------- CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 995,000 $ 743,000 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 329,000 298,000 (Increase) decrease in rent and other receivables (1,000) 7,000 Amortization of prepaid management fees - 137,000 Amortization of prepaid loan fees 25,000 25,000 Decrease (increase) in other assets 10,000 (13,000) Increase (decrease) in accounts payable 42,000 (28,000) Increase (decrease) in deferred revenue 8,000 (19,000) ------------------- -------------------- Total adjustments 413,000 407,000 ------------------- -------------------- Net cash provided by operating activities 1,408,000 1,150,000 ------------------- -------------------- CASH FLOWS FROM INVESTING ACTIVITIES: Additions to real estate facilities (259,000) (160,000) ------------------- -------------------- Net cash used in investing activities (259,000) (160,000) ------------------- -------------------- CASH FLOWS FROM FINANCING ACTIVITIES: Repayment of note payable to affiliate - (130,000) Principal payments on note payable (839,000) (857,000) ------------------- -------------------- Net cash used in financing activities (839,000) (987,000) ------------------- -------------------- Net increase in cash and cash equivalents 310,000 3,000 Cash and cash equivalents at the beginning of the period 69,000 89,000 ------------------- -------------------- Cash and cash equivalent at the end of the period $ 379,000 $ 92,000 =================== ====================
See accompanying notes. 5 PUBLIC STORAGE PROPERTIES, LTD. NOTES TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED) 1. The accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations, although management believes that the disclosures contained herein are adequate to make the information presented not misleading. These unaudited condensed financial statements should be read in conjunction with the financial statements and related notes appearing in the Partnership's Form 10-K for the year ended December 31, 1996. 2. In the opinion of management, the accompanying unaudited condensed financial statements reflect all adjustments, consisting of only normal accruals, necessary to present fairly the Partnership's financial position at September 30, 1997, the results of its operations for the three and nine months ended September 30, 1997 and 1996 and its cash flows for the nine months then ended. 3. The results of operations for the three and nine months ended September 30, 1997 are not necessarily indicative of the results expected for the full year. 6 PUBLIC STORAGE PROPERTIES, LTD., MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS RESULTS OF OPERATIONS - --------------------- THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1997 COMPARED TO THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1996: The Partnership's net income for the nine months ended September 30, 1997 was $995,000 compared to $743,000 for the nine months ended September 30, 1996, representing an increase of $252,000 or 34%. The Partnership's net income for the three months ended September 30, 1997 was $368,000 compared to $268,000 for the three months ended September 30, 1996, representing an increase of $100,000 or 37%. These increases are primarily a result of increased operating results at the Partnership's real estate facilities combined with a decrease in interest expense resulting from a lower notes payable balance in 1997 compared to 1996. Rental income for the nine months ended September 30, 1997 was $3,203,000 compared to $2,960,000 for the nine months ended September 30,1996, representing an increase of $243,000 or 8%. Rental income for the three months ended September 30, 1997 was $1,102,000 compared to $1,012,000 for the three months ended September 30, 1996, representing an increase of $90,000 or 9%. These increases are primarily attributable to higher rental rates and occupancy levels at the Partnership's mini-warehouse facilities. The weighted average occupancy levels at the mini-warehouse facilities were 95% and 91% for the nine months ended September 30, 1997 and 1996, respectively. Realized rent for the nine months ended September 30, 1997 increased to $.74 per occupied square foot from $.71 per occupied square foot for the nine months ended September 30, 1996. Cost of operations (including management fees paid to an affiliate) for the nine months ended September 30, 1997 was $901,000 compared to $855,000 for the nine months ended September 30, 1996, representing an increase of $46,000 or 5%. Cost of operations (including management fees paid to an affiliate) for the three months ended September 30, 1997 was $299,000 compared to $285,000 for the three months ended September 30, 1996, representing an increase of $14,000 or 5%. This increase is mainly attributable to increases in management fees, property tax and advertising and promotion expenses. In 1995, the Partnership prepaid eight months of 1996 management fees on its mini-warehouse operations discounted at the rate of 14% effective rate to compensate for early payment. As a result, management fee expense for the nine months ended September 30, 1996 was $20,000 lower than it would have been under the customary undiscounted fee structure. 7 Interest expense decreased $84,000 to $948,000 in the nine months ended September 30, 1997 from $1,032,000 in the same period in 1996. This decrease is mainly attributable to lower outstanding principal balances on the Partnership's notes payable. LIQUIDITY AND CAPITAL RESOURCES - ------------------------------- Cash generated from operations ($1,408,000 for the nine months ended September 30, 1997) has been sufficient to meet all current obligations of the Partnership. In the fourth quarter of 1990, quarterly distributions were discontinued to enable the Partnership to increase its cash reserves for principal payments that commenced in 1993. 8 PART II. OTHER INFORMATION ITEMS 1 through 5 are inapplicable. ITEM 6 Exhibits and Reports on Form 8-K (a) The following Exhibit is included herein: (27) Financial Data Schedule (b) Form 8 - K None. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. DATED: November 12, 1997 PUBLIC STORAGE PROPERTIES, LTD. BY: Public Storage, Inc. General Partner BY /s/ John Reyes -------------- John Reyes Senior Vice President and Chief Financial Officer 9 EX-27 2 FDS --
5 (Replace this text with the legend) 0000202953 Public Storage Properties, Ltd. 1 US 9-MOS Dec-31-1997 Jan-01-1997 Sep-30-1997 1 379,000 0 49,000 0 0 428,000 10,491,000 (5,375,000) 5,709,000 173,000 14,378,000 0 0 0 (8,842,000) 5,709,000 0 3,212,000 0 901,000 368,000 0 948,000 995,000 0 995,000 0 0 0 995,000 49.25 49.25
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