-----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, RH3eHg0rO/lkf0thmjZEDpu7BhlBp1+4zCGAJeYHrT4yXuFg24O31tkTVR+OB5iF YAg0n4qmiInTDwO3RV7Hkg== 0000764586-98-000003.txt : 19981118 0000764586-98-000003.hdr.sgml : 19981118 ACCESSION NUMBER: 0000764586-98-000003 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 4 CONFORMED PERIOD OF REPORT: 19980930 FILED AS OF DATE: 19981113 FILER: COMPANY DATA: COMPANY CONFORMED NAME: DSI REALTY INCOME FUND VI CENTRAL INDEX KEY: 0000318835 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE [6500] IRS NUMBER: 953633566 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 002-68926 FILM NUMBER: 98749470 BUSINESS ADDRESS: STREET 1: 3701 LONG BEACH BLVD CITY: LONG BEACH STATE: CA ZIP: 90807 BUSINESS PHONE: 3105957711 MAIL ADDRESS: STREET 1: 3701 LONG BEACH BLVD CITY: LONG BEACH STATE: CA ZIP: 90807 FORMER COMPANY: FORMER CONFORMED NAME: DSI REALTY INCOME FUND 81-I DATE OF NAME CHANGE: 19870812 10-Q 1 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 quarterly period ended September 30, 1998 /___/ Transition report pursuant to Section 13 or 15(d) of the Securities Act of 1934 for the transition period from ______________ to ________________. Commission File Number 2-68926 DSI REALTY INCOME FUND VI, A California Limited Partnership (Exact name of registrant as specified in its charter) California_______________________________________95-3633566 (State or other jurisdiction of (I.R.S. Employer incorporation) Identification No.) 6700 E. Pacific Coast Hwy, Long Beach, California 90803 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code-(310)493-8881 _________________________________________________________________ Former name, former address and former fiscal year, if changed since last report. 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___. PART I - FINANCIAL INFORMATION Item 1. Financial Statements. The information required by Rule 10-01 of Regulation S-X is included in the Quarterly Report to the Limited Partners of Registrant for the period ended September 30, 1998, which is attached hereto as Exhibit"20" and incorporated herein by this reference. Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations. Registrant incorporates by this reference its Quarterly Report to Limited Partners for the period ended September 30, 1998. PART II - OTHER INFORMATION Item 6. Exhibits and Reports on Form 8K. (a) Attached hereto as Exhibit "20" is Registrant's Quarterly Report to Limited Partners for the period ended September 30, 1998. (B) Registrant did not file any reports on Form 8-K for the period reported upon. SIGNATURES Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Dated: October 31, 1998 DSI REALTY INCOME FUND VI A California Limited Partnership (Registrant) By__/s/ Robert J. Conway______ DSI Properties, Inc., as General Partner by ROBERT J. CONWAY, President and Chief Financial Officer SIGNATURES Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Dated: October 31, 1998 DSI REALTY INCOME FUND VI A California Limited Partnership (Registrant) By___/s/ Robert J. Conway_____ DSI Properties, Inc., as General Partner by ROBERT J. CONWAY, President and Chief Financial Officer EX-20 2 October 31, 1998 QUARTERLY REPORT TO THE LIMITED PARTNERS OF DSI REALTY INCOME FUND VI DEAR LIMITED PARTNERS: We are pleased to enclose the Partnership's unaudited financial statements for the period ended September 30, 1998. The following is Management's discussion and analysis of the Partnership's financial condition and results of its operations. For the three month periods ended September 30, 1998 and 1997, total revenues increased 8.5% from $652,761 to $708,070 and total expenses decreased 9.0% from $402,431 to $366,100. As a result, net income increased to 6.6% from $250,330 for the three-month period ended September 30, 1997, to $341,970 for the same period in 1998. The revenue increase can be attributed to an increase in rental income as a result of higher occupancy and unit rental rates. Occupancy levels for the Partnership's six mini-storage facilities averaged 87.6% for the three month period ended September 30, 1998, compared to 86.7% for the same period in 1997. The Partnership is continuing its marketing efforts to attract and keep new tenants in its various mini-storage facilities. Operating expenses decreased approximately $43,100 (12.0%) primarily due to decreases in maintenance and repair and salaries and wage expenses, partially offset by increases in property management fees and real estate tax expense. Property management fees, which are based on rental revenue, increased as a result of the increase in rental revenue. General and administrative expenses increased approximately $6,800 (15.5%) primarily as a result of an increase in incentive management fees. Incentive management fees, which are based on cash available for distribution, increased as a result of the increase in net income. For the nine-month periods ended September 30, 1998, and 1997, total revenues increased 8.3% from $1,900,046 to $2,058,300 and total expenses decreased 0.8% from $1,191,538 to $1,182,472. As a result, net income increased 23.6% from $708,508 for the nine months ended September 30, 1997, to $875,828 for the same period in 1998. The reason for the increase in revenues is the same as discussed above for the three-month period. Operating expenses decreased approximately $26,700 (2.6%) primarily due to same reasons as discussed for the three-month period above. General and administrative expenses increased approximately $17,600 (9.8%) for the same reason as discussed for the three- month period above. The General Partners plan to continue their policy of funding improvements and maintenance of Partnership properties with cash generated from operations. The Partnership's resources appear to be adequate to meet its needs. The General Partners anticipate distributions to the Limited Partners to remain at the current level for the foreseeable future. The Year 2000 issue refers to the inability of certain computer systems to recognize a date using "00" as the Year 2000. The Partnership has implemented a Year 2000 program, which has three phases: (1) identification; (2) remediation; and (3) testing and verification. The Partnership, as well as the property management company and the Partnership's warehouse facilities have completed those phases. Computer programs have been upgraded and tested to function properly with respect to the dates in the Year 2000 and thereafter. Year 2000 compliance costs are nominal and have been expensed in the regular course of business. The Partnership provides no assurance that third-party suppliers and customers will be compliant. Nevertheless, the Partnership does not believe that the Year 2000 issue will have a material adverse effect on its financial condition or results of operations. We are not enclosing a copy of the Partnership Form 10-Q as filed with the Securities and Exchange Commission since all the information set forth therein is contained either in this letter or in the attached financial statements. However, if you wish to receive a copy of said report, please send a written request to DSI Realty Income Fund VI, P.O. Box 357, Long Beach, California 90801. Very truly yours, DSI Realty Income Fund VI By: DSI Properties, Inc., as General Partner By___\s\ Robert J. Conway_______ ROBERT J. CONWAY, President EX-20 3 DSI REALTY INCOME FUND VI (A California Real Estate Limited Partnership) BALANCE SHEETS(UNAUDITED), SEPTEMBER 30, 1998 AND DECEMBER 31, 1997
September 30, December 31, 1998 1997 ASSETS CASH AND CASH EQUIVALENTS $ 871,271 $ 529,808 PROPERTY 3,598,911 3,900,913 OTHER ASSETS 85,960 38,842 TOTAL $4,556,142 $4,469,563 LIABILITIES AND PARTNERS' EQUITY LIABILITIES $388,526 $368,015 PARTNERS' EQUITY: General Partners (51,609) (52,270) Limited Partners 4,219,225 4,153,818 Total partners' equity 4,167,616 4,101,548 TOTAL $4,556,142 $4,469,563 See accompanying notes to financial statements (unaudited).
STATEMENTS OF INCOME (UNAUDITED) FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
September 30, September 30, 1998 1997 REVENUES: Rental Income $703,399 $647,974 Interest 4,671 4,787 Total revenue 708,070 652,761 EXPENSES: Operating Expenses 315,462 358,588 General and administrative 50,638 43,843 Total expenses 366,100 402,431 NET INCOME $341,970 $250,330 AGGREGATE NET INCOME ALLOCATED TO: Limited partners $338,550 $247,827 General partners 3,420 2,503 TOTAL $341,970 $250,330 NET INCOME PER LIMITED PARTNERSHIP UNIT $14.25 $10.43 LIMITED PARTNERSHIP UNITS USED IN PER UNIT CALCULATION 23,753 23,753 See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
September 30, September 30, 1998 1997 REVENUES: Rental Income $2,046,450 $1,888,221 Interest 11,850 11,825 Total Revenues 2,058,300 1,900,046 EXPENSES: Operating Expenses 985,345 1,011,999 General and administrative 197,127 179,539 Total expenses 1,182,472 1,191,538 NET INCOME 875,828 708,508 AGGREGATE NET INCOME ALLOCATED TO: Limited Partners 867,070 701,423 General Partners 8,758 7,085 TOTAL 875,828 708,508 NET INCOME PER LIMITED PARTNERSHIP UNIT 36.50 29.53 LIMITED PARTNERSHIP UNITS USED IN PER UNIT CALCULATION 23,753 23,753 See accompanying notes to financial statements (unaudited).
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (UNAUDITED) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
GENERAL LIMITED PARTNERS PARTNERS TOTAL EQUITY AT JANUARY 1, 1997 ($48,017) $4,574,918 $4,526,901 NET INCOME 7,085 701,423 708,508 DISTRIBUTIONS (8,097) (801,663) (809,760) EQUITY AT SEPTEMBER 30, 1997 ($49,029) $4,474,678 $4,425,649 EQUITY AT JANUARY 1, 1998 ($52,270) $4,153,818 $4,101,548 NET INCOME 8,758 867,070 875,828 DISTRIBUTIONS (8,097) (801,663) (809,760) EQUITY AT SEPTEMBER 30, 1998 ($51,609) $4,219,225 $4,167,616 See accompanying notes to financial statements (unaudited).
STATEMENTS OF CASH FLOWS (UNAUDITED) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
September 30, September 30, 1998 1997 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 875,828 $ 708,508 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 314,415 314,415 Changes in assets and liabilities: Increase in other assets (47,118) (34,376) Increase in liabilities 20,511 4,998 Net cash provided by operating activities 1,163,636 993,545 CASH FLOWS FROM INVESTING ACTIVITIES - Additions to property (12,413) CASH FLOWS FROM FINANCING ACTIVITIES - Distributions to partners (809,760) (809,760) NET INCREASE IN CASH AND CASH EQUIVALENTS 341,463 183,785 CASH AND CASH EQUIVALENTS: At beginning of period 529,808 560,121 At end of period $ 871,271 $ 743,906 See accompanying notes to financial statements (unaudited).
DSI REALTY INCOME FUND VI (A California Real Estate Limited Partnership) NOTES TO FINANCIAL STATEMENTS (UNAUDITED) 1. GENERAL DSI Realty Income Fund VI (the "Partnership"), a limited partnership, has two general partners (DSI Properties, Inc., and Diversified Investors Agency) and limited partners owning 23,753 limited partnership units. The Partnership was formed under the California Uniform Limited Partnership Act for the primary purpose of acquiring and operating real estate. The accompanying financial information as of September 30, 1998, and for the periods ended September 30, 1998 and 1997, is unaudited. Such financial information includes all adjustments which are considered necessary by the Partnership's management for a fair presentation of the results for the periods indicated. 2. PROPERTY Properties owned by the Partnership are all mini-storage facilities. Depreciation is calculated using the straight line method over the estimated useful life of 20 years. The total cost of property and accumulated depreciation at September 30, 1998, is as follows: Land $ 1,759,000 Buildings 8,391,680 Furniture and Equipment 35,185 Total 10,185,865 Less: Accumulated Depreciation ( 6,586,954) Property - Net $ 3,598,911
3. NET INCOME PER LIMITED PARTNERSHIP UNIT Net income per limited partnership unit is calculated by dividing the net income allocated to the limited partners by the number of limited partnership units outstanding during the period. EX-27 4
5 3-MOS YEAR DEC-31-1998 DEC-31-1998 SEP-30-1998 DEC-31-1998 871271 0 0 0 0 0 0 0 0 0 0 0 10185865 0 6586954 0 4556142 0 0 0 0 0 0 0 0 0 0 0 0 0 4556142 0 2046450 0 2058300 0 0 0 0 0 0 0 0 0 0 0 875828 0 0 0 875828 0 0 0 0 0 0 0 875828 0 0 0 0 0
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