-----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, HiAYWt8Ou52qPjDNOfcWyv5U4suGJz4g/+9VZNQBQzXFc2zsgKjxtkE+feBNXkHn ZQBkakM6HBEcqN4hDzmyrQ== 0000318835-97-000012.txt : 19971114 0000318835-97-000012.hdr.sgml : 19971114 ACCESSION NUMBER: 0000318835-97-000012 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 4 CONFORMED PERIOD OF REPORT: 19970930 FILED AS OF DATE: 19971112 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: DSI REALTY INCOME FUND VIII CENTRAL INDEX KEY: 0000743366 STANDARD INDUSTRIAL CLASSIFICATION: LESSORS OF REAL PROPERTY, NEC [6519] IRS NUMBER: 950050204 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 002-90168 FILM NUMBER: 97714034 BUSINESS ADDRESS: STREET 1: 3701 LONG BEACH BLVD STREET 2: C/O DSI PROPERTIES INC 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 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, 1997 /___/ Transition report pursuant to Section 13 or 15(d) of the Securities Act of 1934 for the transition period from ______________ to ________________. Commission File Number 2-90168 DSI REALTY INCOME FUND VIII, A California Limited Partnership (Exact name of registrant as specified in its charter) California_______________________________________95-0050204 (State or other jurisdiction of (I.R.S. Employer incorporation) Identification No.) 3701 Long Beach Boulevard, Long Beach, California 90807 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code-(562)595-7711 _________________________________________________________________ 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, 1997, 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, 1997. 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, 1997. (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, 1997 DSI REALTY INCOME FUND VIII 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, 1997 DSI REALTY INCOME FUND VIII 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, 1997 QUARTERLY REPORT TO THE LIMITED PARTNERS OF DSI REALTY INCOME FUND VIII DEAR LIMITED PARTNERS: We are pleased to enclose the Partnership's unaudited financial statements for the period ended September 30, 1997. 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, 1997, and 1996, total revenues increased 4.9% from $410,582 to $430,542 and total expenses decreased 0.9% from $287,857 to $285,306. Equity in income of the real estate joint venture increased 2.0% from $24,134 to $24,611. As a result, net income increased 15.7% from $146,859 to $169,847 for the three month period ended September 30, 1997, as compared to the same period in 1996. Rental revenue increased as a result of higher occupancy and unit rental rates. Operating expenses decreased approximately $6,200 (2.4%) primarily as a result of lower real estate tax expense partially offset by higher yellow pages advertising costs and legal expenses. Real estate tax expense decreased as a result of refunds received from prior year reassessments. General and administrative expenses increased approximately $3,700 (10.9%) primarily as a result of higher incentive management fees. Incentive management fees, which are based on cash available for distribution, increased as a result of the increase in net income. Equity in income from the real estate joint venture remained constant. Occupancy levels for the Partnership's five mini-storage facilities averaged 86.8% for the three month periods ended September 30, 1997 as compared to 84.1% for the same period in 1996. The Partnership is continuing its advertising campaign to attract and keep new tenants in its various mini- storage facilities. For the nine month periods ended September 30, 1997, and 1996, total revenues increased 3.6% from $1,229,003 to $1,273,012 and total expenses increased 4.3% from $884,713 to $923,026. Equity in income of the real estate joint venture decreased 1.0% from $67,095 to $66,421. As a result, net income increased 1.2% from $411,385 to $416,407 for the nine month period ended September 30, 1997, as compared to the same period in 1996. Rental revenue increased as a result of higher occupancy and unit rental rates. Operating expenses increased approximately $33,600 (4.5%) primarily as a result of increases in yellow pages advertising costs, legal, fire and liability insurance and salaries and wage expenses partially offset by a decrease in real estate tax expense. The decrease in real estate tax expense was discussed above. General and administrative expenses increased approximately $4,700 (3.4%) primarily as a result of Colorado State Taxes, which were levied for the first time. Equity in income from the real estate joint venture remained constant. The General Partners will continue their policy of funding improvements and maintenance of Partnership properties with cash generated from operations. The Partnership's financial resources appear to be adequate to meet its needs. The General Partners anticipate distributions to Limited Partners to remain at the current level for the foreseeable future. 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 VIII, P.O. Box 357, Long Beach, California 90801. Very truly yours, DSI REALTY INCOME FUND VIII By: DSI Properties, Inc., as General Partner By /s/ Robert J. Conway ____________________________ ROBERT J. CONWAY, President EX-20 3 DSI REALTY INCOME FUND VIII (A California Real Estate Limited Partnership) BALANCE SHEETS(UNAUDITED) SEPTEMBER 30, 1997 AND DECEMBER 31, 1996
September 30, December 31, 1997 1996 ASSETS CASH AND CASH EQUIVALENTS $ 426,436 $ 389,413 PROPERTY 3,504,462 3,856,310 INVESTMENT IN REAL ESTATE JOINT VENTURE 327,864 364,645 OTHER ASSETS 21,684 21,684 TOTAL $4,280,446 $4,632,052 LIABILITIES AND PARTNERS' EQUITY LIABILITIES $ 660,174 $ 610,006 PARTNERS' EQUITY: General Partners (71,577) (67,560) Limited Partners 3,691,849 4,089,606 Total partners' equity 3,620,272 4,022,046 TOTAL $4,280,446 $4,632,052 See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED) FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
September 30, September 30, 1997 1996 REVENUES: Rental Income $ 428,743 $ 407,863 Interest 1,799 2,719 Total revenues 430,542 410,582 EXPENSES: Operating Expenses 247,659 253,892 General and administrative 37,647 33,965 Total expenses 285,306 287,857 INCOME BEFORE EQUITY IN INCOME OF REAL ESTATE JOINT VENTURE 145,236 122,725 EQUITY IN INCOME OF REAL ESTATE 24,611 24,134 NET INCOME $ 169,847 $ 146,859 AGGREGATE NET INCOME ALLOCATED TO: Limited partners $ 168,149 $ 145,390 General partners 1,698 1,469 TOTAL $ 169,847 $ 146,859 NET INCOME PER LIMITED PARTNERSHIP UNIT $ 7.01 $ 6.06 LIMITED PARTNERSHIP UNITS USED IN PER UNIT CALCULATION 24,000 24,000 See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
September 30, September 30, 1997 1996 REVENUES: Rental Income $1,267,821 $1,220,928 Interest 5,191 8,075 Total Revenues 1,273,012 1,229,003 EXPENSES: Operating Expenses 781,159 747,581 General and Administrative 141,867 137,132 Total Expenses 923,026 884,713 INCOME BEFORE EQUITY IN INCOME OF REAL ESTATE JOINT VENTURE 349,986 344,290 EQUITY IN INCOME OF REAL ESTATE JOINT VENTURE 66,421 67,095 NET INCOME $416,407 $411,385 AGGREGATE NET INCOME ALLOCATED TO: Limited Partners 412,243 407,271 General Partners 4,164 4,114 TOTAL 416,407 411,385 NET INCOME PER LIMITED PARTNERSHIP UNIT $17.18 $16.97 LIMITED PARTNERSHIP UNITS USED IN PER UNIT CALCULATION 24,000 24,000 See accompanying notes to financial statements(unaudited).
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (UNAUDITED) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
GENERAL LIMITED PARTNERS PARTNERS TOTAL EQUITY AT DECEMBER 31, 1995 ($61,424) $4,697,074 $4,635,650 NET INCOME 4,114 407,271 411,385 DISTRIBUTIONS (8,181) (810,000) (818,181) EQUITY AT SEPTEMBER 30, 1996 ($65,491) $4,294,345 $4,228,854 EQUITY AT DECEMBER 31, 1996 ($67,560) $4,089,606 $4,022,046 NET INCOME 4,164 412,243 416,407 DISTRIBUTIONS (8,181) (810,000) (818,181) EQUITY AT SEPTEMBER 30, 1997 ($71,577) $3,691,849 $3,620,272 See accompanying notes to consolidated financial statements(unaudited).
STATEMENTS OF CASH FLOWS (UNAUDITED) FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996
September 30, September 30, 1997 1996 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 416,407 $411,385 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 351,850 351,850 Distributions in excess of earnings in real estate joint venture 36,779 33,256 Changes in assets and liabilities: Decrease in other assets 0 39,012 Increase in liabilities 50,168 36,063 Net cash provided by operating activities 855,204 871,566 CASH FLOWS FROM INVESTING ACTIVITIES - Purchase of property and equipment 0 (19,800) CASH FLOWS FROM FINANCING ACTIVITIES - Distributions to partners (818,181) (818,181) NET DECREASE IN CASH AND CASH EQUIVALENTS 37,023 33,585 CASH AND CASH EQUIVALENTS: At beginning of period 389,413 445,657 At end of period $ 426,436 $479,242 See accompanying notes to financial statements(unaudited).
DSI REALTY INCOME FUND VIII (A California Real Estate Limited Partnership) NOTES TO FINANCIAL STATEMENTS (UNAUDITED) 1. GENERAL DSI Realty Income Fund VIII (the "Partnership"), a limited partnership, has two general partners (DSI Properties, Inc., and Diversified Investors Agency) and limited partners owning 24,000 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, 1997, and for the periods ended September 30, 1997, and 1996 is unaudited. Such financial information includes all adjustments considered necessary by the Partnership's management for a fair presentation of the results for the periods indicated. 2. PROPERTY The Partnership owns five mini-storage facilities located in Stockton, Pittsburg, El Centro, Lompoc and Huntington Beach, California. The total cost of property and accumulated depreciation at September 30, 1997, is as follows: Land $ 2,305,310 Buildings and improvements 7,071,497 Equipment 22,831 Total 9,399,638 Less: Accumulated Depreciation ( 5,895,176) Property - Net $ 3,504,462
3. INVESTMENT IN REAL ESTATE JOINT VENTURE The Partnership is involved in a joint venture with DSI Realty Income Fund IX through which the Partnership has a 30% interest in a mini-storage facility in Aurora, Colorado. Under the terms of the joint venture agreement, the Partnership is entitled to 30% of the profits and losses of venture and owns 30% of the mini-storage facility as a tenant in common with DSI Realty Income Fund IX, which has the remaining 70% interest in the venture. Summarized income statement information for the nine months ended September 30, 1997, and 1996 is as follows: 1997 1996 Revenue $489,546 $476,294 Operating Expenses 268,143 252,644 Net Income $221,403 $223,650
The Partnership accounts for its investment in the real estate joint venture under the equity method of accounting. 4. 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-31-1997 DEC-31-1997 SEP-30-1997 DEC-31-1997 426436 0 0 0 0 0 0 0 0 0 0 0 9399638 0 5895176 0 4280446 0 0 0 0 0 0 0 0 0 0 0 0 0 4280446 0 1267821 0 1273012 0 0 0 0 0 0 0 0 0 0 0 416407 0 0 0 416407 0 0 0 0 0 0 0 416407 0 0 0 0 0
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