-----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, KGpwxRLGLuLQkA8nR1rZ7FV4OmPwBJNpjqdmbCw7NAtJtDRpmV3fYDStABP7awiA Nz/5mlUGxKbt0c9di9CUbg== 0000317969-97-000016.txt : 19970514 0000317969-97-000016.hdr.sgml : 19970514 ACCESSION NUMBER: 0000317969-97-000016 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970331 FILED AS OF DATE: 19970513 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: ANGELES PARK COMMUNITIES LTD CENTRAL INDEX KEY: 0000317969 STANDARD INDUSTRIAL CLASSIFICATION: LAND SUBDIVIDERS & DEVELOPERS (NO CEMETERIES) [6552] IRS NUMBER: 953558497 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: 1934 Act SEC FILE NUMBER: 000-10199 FILM NUMBER: 97602006 BUSINESS ADDRESS: STREET 1: ONE INSIGNIA FINANCIAL PLZ STREET 2: PO BOX 1089 CITY: GREENVILLE STATE: SC ZIP: 29602 BUSINESS PHONE: 8032391000 MAIL ADDRESS: STREET 1: ONE INSIGNIA FINANCIAL PLAZA STREET 2: PO BOX 1089 CITY: GREENVILLE STATE: SC ZIP: 29603 10QSB 1 FORM 10-QSB.--QUARTERLY REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 QUARTERLY OR TRANSITIONAL REPORT (As last amended by 34-32231, eff. 6/3/93.) U.S. Securities and Exchange Commission Washington, D.C. 20549 FORM 10-QSB [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 1997 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT For the transition period.........to......... Commission file number 0-10199 ANGELES PARK COMMUNITIES, LTD. (Exact name of small business issuer as specified in its charter) California 95-3558497 (State or other jurisdiction of (IRS Employer incorporation or organization) Identification No.) One Insignia Financial Plaza, P.O. Box 1089 Greenville, South Carolina 29602 (Address of principal executive offices) (Zip Code) Issuer's telephone number (864) 239-1000 Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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 PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS a) ANGELES PARK COMMUNITIES, LTD. CONSOLIDATED BALANCE SHEET (Unaudited) (in thousands, except unit data) March 31, 1997 Assets Cash and cash equivalents: Unrestricted $ 326 Restricted--tenant security deposits 3 Accounts receivable 10 Escrow for taxes 73 Other assets 223 Investment properties: Land $ 1,043 Buildings and related personal property 4,902 5,945 Less accumulated depreciation (4,563) 1,382 $ 2,017 Liabilities and Partners' Deficit Liabilities Accounts payable $ 11 Tenant security deposits 3 Other liabilities 221 Mortgage note payable 4,904 Partners' Deficit General partners' $ (163) Limited partners' (15,044 units issued and outstanding) (2,959) (3,122) $ 2,017 See Accompanying Notes to Consolidated Financial Statements b) ANGELES PARK COMMUNITIES, LTD. CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (in thousands, except unit data) Three Months Ended March 31, 1997 1996 Revenues: Rental income $ 512 $ 504 Other income 7 17 Total revenues 519 521 Expenses: Operating 168 177 General and administrative 43 41 Maintenance 37 23 Depreciation 17 81 Interest 124 125 Property taxes 54 54 Total expenses 443 501 Net income $ 76 $ 20 Net income allocated to general partners (1%) $ 1 $ -- Net income allocated to limited partners (99%) 75 20 Net income $ 76 $ 20 Net income per limited partnership unit $ 5.00 $ 1.33 See Accompanying Notes to Consolidated Financial Statements c) ANGELES PARK COMMUNITIES, LTD. CONSOLIDATED STATEMENT OF CHANGES IN PARTNERS' DEFICIT (Unaudited) (in thousands, except unit data)
Limited Partnership General Limited Units Partners Partners Total Original capital contributions 15,112 $ 1 $15,112 $15,113 Partners' deficit at December 31, 1996 15,044 $ (164) $(3,034) $(3,198) Net income for the three months ended March 31, 1997 -- 1 75 76 Partners' deficit at March 31, 1997 15,044 $ (163) $(2,959) $(3,122) See Accompanying Notes to Consolidated Financial Statements
d) ANGELES PARK COMMUNITIES, LTD. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (in thousands) Three Months Ended March 31, 1997 1996 Cash flows from operating activities: Net income $ 76 $ 20 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 17 81 Amortization of loan costs 12 12 Change in accounts: Restricted cash -- (9) Accounts receivable 14 1 Escrows for taxes (55) (44) Other assets -- -- Accounts payable (42) -- Tenant security deposit payable -- 9 Other liabilities 40 9 Net cash provided by operating activities 62 79 Cash flows from investing activities: Property improvements and replacements (73) (53) Cash flows used in financing activities: Payments on mortgage notes payable (10) (9) Net (decrease) increase in cash (21) 17 Cash and cash equivalents at beginning of period 347 181 Cash and cash equivalents at end of period $ 326 $ 198 Supplemental disclosure of cash flow information: Cash paid for interest $ 112 $ 113 See Accompanying Notes to Consolidated Financial Statements e) ANGELES PARK COMMUNITIES, LTD. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE A - BASIS OF PRESENTATION The accompanying unaudited financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-QSB and Item 310(b) of Regulation S-B. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of Angeles Realty Corporation (the "Managing General Partner"), all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three month period ended March 31, 1997, are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 1997. For further information, refer to the financial statements and footnotes thereto included in Angeles Park Communities, Ltd.'s (the "Partnership") annual report on Form 10- KSB for the fiscal year ended December 31, 1996. NOTE B - TRANSACTIONS WITH AFFILIATED PARTIES The Partnership has no employees and is dependent on the Managing General Partner and its affiliates for the management and administration of all Partnership activities. The Partnership Agreement provides for payments to affiliates for services and as reimbursement of certain expenses incurred by affiliates on behalf of the Partnership. The following amounts were paid to the Managing General Partner and affiliates during the three month periods ended March 31, 1997 and 1996 (dollar amounts in thousands): 1997 1996 Property management fees (included in operating expenses) $27 $25 Reimbursement for services of affiliates (included in general and administrative expenses) 32 29 The Partnership insures its properties under a master policy through an agency and insurer unaffiliated with the Managing General Partner. An affiliate of the Managing General Partner acquired, in the acquisition of a business, certain financial obligations from an insurance agency which was later acquired by the agent who placed the current year's master policy. The current agent assumed the financial obligations to the affiliate of the Managing General Partner who receives payments on these obligations from the agent. The amount of the Partnership's insurance premiums accruing to the benefit of the affiliate of the Managing General Partner by virtue of the agent's obligations is not significant. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION The Partnership's investment properties consist of one mobile home park and one recreational vehicle park. The following table sets forth the average occupancy of the properties for each of the three month periods ended March 31, 1997 and 1996: Average Occupancy Property 1997 1996 Cloverleaf Farms, Mobile Home Park 99% 99% Brooksville, Florida Cloverleaf Forest, Recreational 85% 84% Vehicle Park Brooksville, Florida (1) (1) This is a normal average occupancy for this property for this time of the year due to many tenants returning to their summer homes which are located in cooler climates. Occupancy should increase again in the fall and winter months. For the three months ended March 31, 1997, the Partnership generated a net income of $76,000 versus net income of $20,000 for the three months ended March 31, 1996. The increase in net income is primarily due to a decrease in depreciation expense. The decrease in depreciation expense is due to a major building and improvement at the Cloverleaf Farms property becoming fully depreciated at December 1996. The decrease in depreciation expense was partially offset by an increase in maintenance expense. Maintenance expense increased due to an increase in contract yards and grounds expense at Cloverleaf Farms as more work could be done during the first quarter of 1997 due to the warmer weather. As part of the ongoing business plan of the Partnership, the Managing General Partner monitors the rental market environment of each of its investment properties to assess the feasibility of increasing rents, maintaining or increasing occupancy levels and protecting the Partnership from increases in expense. As part of this plan, the Managing General Partner attempts to protect the Partnership from inflation-related increases in expenses by increasing rents and maintaining a high overall occupancy level. However, due to changing market conditions, which can result in the use of rental concessions and rental reductions to offset softening market conditions, there is no guarantee that the Managing General Partner will be able to sustain such a plan. On March 31, 1997, the Partnership had unrestricted cash of $326,000 versus $198,000 at March 31, 1996. The decrease in cash provided by operating activities is primarily due to a decrease in accounts payable due to the payment of invoices accrued at year-end which is partially offset by an increase in other liabilities during the three months ended March 31, 1997. The increase in cash used in investing activities is attributable to an increase in spending on capital improvements. The sufficiency of existing liquid assets to meet future liquidity and capital expenditure requirements is directly related to the level of capital expenditures required at the properties to adequately maintain the physical assets and other operating needs of the Partnership. The mortgage indebtedness of $4,904,000 is being amortized over 30 years with a balloon payment of $4,692,000 due in July 2001, at which time the properties will either be refinanced or sold. In the fourth quarter of 1996, the Managing General Partner received a purchase offer from the homewoners association of Cloverleaf Farms. The Managing General Partner has rejected the purchase offer and extended a counteroffer to the homeowners association. Future cash distributions will depend on the levels of net cash generated from operations, property sales and the availability of cash reserves. There were no cash distributions during the three months ended March 31, 1997 and 1996. PART II - OTHER INFORMATION ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K a) Exhibits: Exhibit 27, Financial Data Schedule. b) Reports on Form 8-K: None filed during the quarter ended March 31, 1997. 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. ANGELES PARK COMMUNITIES, LTD. By: Angeles Realty Corporation Managing General Partner By: /s/Carroll D. Vinson Carroll D. Vinson President, Director By: /s/Robert D. Long, Jr. Robert D. Long, Jr. Vice President and Chief Accounting Officer Date: May 13, 1997 EX-27 2
5 This schedule contains summary financial information extracted from Angeles Park Communities, Ltd. 1997 First Quarter 10-QSB and is qualified in its entirety by reference to such 10-QSB filing. 0000317969 ANGELES PARK COMMUNITIES, LTD. 1,000 3-MOS DEC-31-1997 MAR-31-1997 326 0 0 0 0 0 5,945 (4,563) 2,017 0 4,904 0 0 0 (3,122) 2,017 0 519 0 0 443 0 124 76 0 76 0 0 0 76 5.00 0 Registrant has an unclassified balance sheet. Multiplier is 1.
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