-----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, UAu0oRXagGww7D/Yjv+eeLeMINZ5gEAwkdrrWNFgt2iRhdXuHDeEW2bEMCDuyUXY tNfQrXyie+NeEGNZ5ux97w== 0000757642-96-000007.txt : 19961120 0000757642-96-000007.hdr.sgml : 19961120 ACCESSION NUMBER: 0000757642-96-000007 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960930 FILED AS OF DATE: 19961118 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: LIF CENTRAL INDEX KEY: 0000757642 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 942969720 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-15756 FILM NUMBER: 96668151 BUSINESS ADDRESS: STREET 1: 155 BOVET RD STREET 2: STE 100 CITY: SAN METEO STATE: CA ZIP: 94402 BUSINESS PHONE: 4155135200 MAIL ADDRESS: STREET 1: PO BOX 130 CITY: CARBONDALE STATE: CO ZIP: 81623 FORMER COMPANY: FORMER CONFORMED NAME: LANDSING INCOME FUND DATE OF NAME CHANGE: 19900827 FORMER COMPANY: FORMER CONFORMED NAME: LANDSING REALTY PARTNERS III DATE OF NAME CHANGE: 19850617 10-Q 1 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act of 1934 For Quarter Ended September 30, 1996 Commission File Number: 2-94509 LIF (Exact name of registrant as specified in its governing instruments) California 94-2969720 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification Number) P. O. Box 130, Carbondale, Colorado 81623 (Address of principal executive offices) (303) 963-8007 (Registrant's telephone number, including area code) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Sections 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 LIF CONSOLIDATED BALANCE SHEETS, SEPTEMBER 30, 1996 AND DECEMBER 31, 1995 (Unaudited) (In thousands)
September 30, December 31, 1996 1995 ASSETS INVESTMENTS IN REAL ESTATE: Rental properties $ 10,918 $10,267 Accumulated depreciation (2,208) (2,010) Rental properties - net 8,710 8,257 CASH AND CASH EQUIVALENTS (including interest bearing deposits of $257 in 1996 and $548 in 1995) 262 556 OTHER ASSETS: Short-term investment 0 99 Accounts receivable 24 15 Prepaid expenses and deposits 121 17 Notes Receivable 54 0 Deferred organization costs and loan costs (net of accumulated amortization of $130 in 1996 and $135 in 1995) 112 132 Total other assets 311 263 TOTAL $ 9,283 $ 9,076 LIABILITIES AND PARTNERS' EQUITY LIABILITIES: Notes payable $ 7,217 $ 6,897 Accounts payable 60 80 Other liabilities 234 170 Total liabilities 7,511 7,147 PARTNERS' EQUITY 1,772 1,929 TOTAL $ 9,283 $ 9,076 See Financial Notes.
LIF CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands except per unit amounts)
Three Months Ended Nine Months Ended September 30 September 30 1996 1995 1996 1995 REVENUE: Rental $393 $ 382 $1,141 $1,159 Interest 6 10 27 35 Total revenue 399 392 1,168 1,194 EXPENSE: Interest 160 139 481 373 Operating 156 157 446 473 Depreciation and amortization 82 72 268 210 General and administrative 39 40 167 144 Total expense 437 408 1,363 1,200 NET INCOME/(LOSS) BEFORE SALE OF REAL PROPERTY $(38) $ (16) $ (195) $ (6) GAIN (LOSS) SALE OF REAL PROPERTY 0 0 40 0 NET INCOME (LOSS) (38) (16) (155) (6) NET INCOME/(LOSS) PER PARTNERSHIP UNIT $ (3) $ (1) $ (12) $ (.5) See Financial Notes.
LIF CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' EQUITY FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1996 AND THE YEAR ENDED DECEMBER 31, 1995 (Unaudited) (Dollars in thousands)
..LIMITED PARTNERS.. NUMBER OF GENERAL TOTAL PARTNERSHIP PARTNER PARTNERS' UNITS AMOUNT AMOUNT DEFICIT BALANCE, JANUARY 1, 1995 12,820 $2,524 $(122) $2,402 Net loss - 1995 (52) 0 (52) Distributions - 1995 (385) (41) (426) Contributions - 1994 0 5 5 BALANCE, DECEMBER 31, 1995 12,820 (2,087) (158) 1,929 Net loss (155) 0 (155) BALANCE, SEPTEMBER 30, 1996 12,820 $1,932 $(158) $1,772 See Financial Notes.
LIF CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1996 AND 1995 (Unaudited) (In thousands)
1996 1995 CASH FLOWS FROM OPERATING ACTIVITIES: Net income (loss) $(194) $ (6) Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 268 198 Change in operating assets and liabilities: Increase in accounts receivable (9) (16) Increase in prepaid expenses (104) (35) Increase in deferred expenses 20 (101) (Increase) Decrease in accounts payable (21) 59 Increase in other liabilities 64 37 Net cash provided by operating activities 24 136 CASH FLOWS FROM INVESTING ACTIVITIES: Increase in notes receivable (54) 0 Short-term investments 0 198 Capital expenditures (914) (509) Sale of investment property 233 0 Net investor distributions (6) (214) Partner's Contributions 3 5 Net cash used in investing activities (738) (520) CASH FLOWS FROM FINANCING ACTIVITIES: Net proceeds from financing 990 1,311 Payment on notes payable (670) (62) Net cash provided (used) by financing activities 320 1,249 Increase (decrease) in cash and cash equivalents (394) 865 Cash and cash equivalents at beginning of period 655 228 Cash and cash equivalents at end of period $ 262 $1,093 See Financial Notes.
LIF FINANCIAL NOTES (Dollars in thousands) 1.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited financial statements should be read in conjunction with the Partnership's 1995 Annual Report. These statements have been prepared in accordance with the instructions to the Securities and Exchange Commission Form 10- Q and do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of the general partner, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. The results of operations for the nine months ended September 30, 1996 and 1995, are not necessarily indicative of the results that may be expected for the year ending December 31, 1996. For purposes of the statement of cash flows, the Partnership considers all highly liquid investments with a maturity of three months or less at the time of purchase to be cash equivalent. The Partnership paid interest of $481 and $373 for the nine months ended September 30, 1996 and 1995, respectively. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS INTRODUCTION LIF (the "Partnership") is a California limited partnership. Operations commenced in November 1985. The Partnership currently has an investment in Landsing Private Fund-21 ("LPF-21") which owns one multi-family rental property; Cattle Creek Development Partners ("CCDP"), which owns two retail rental properties; and, Alpine Center Partners, which has one retail building under redevelopment. For financial reporting purposes, the Partnership's investments are presented on a consolidated basis. LIQUIDITY AND CAPITAL RESOURCES As of September 30, 1996, the Partnership's consolidated cash balance totaled $262,000. Cash not required for current operations is placed in federally insured financial instruments and money market funds which can be liquidated as needed. It is the Partnership's intention to maintain adequate cash reserves for its operations. During the first nine months of 1996, the Partnership experienced a net decrease in cash of $295,000. During the same period, the Partnership experienced a net decrease in short-term investments of $99,000. As of September 30, 1996, cash plus short-term investments totaled $262,000 versus a balance of $655,000 at December 31, 1995 for a net decrease of $394,000. Primary uses of cash included capital expenditures of $914,000, principal payments on notes payable of $670,000, while sources of cash included proceeds from financing of $990,000. The General Partner expects Partnership operations to remain stable for the remainder of the year. RESULTS OF OPERATIONS The Results of Operations for 1996 are not comparable to 1995. The different number of properties operated cause comparisons of overall operations to be misleading. It is meaningful, however, to compare the operations of the property operated continuously during the first nine months of 1996 and 1995. The following represents the operations of the property, Whistler Point Luxury Apartments, held continuously during the first nine months of 1996 and 1995:
1996 1995 % Change Rental Revenue $ 946 $ 999 - 5% Operating Expense 402 414 - 3% Net Operating Income 544 585 - 7% Interest Expense $ 325 $ 272 +19%
Overall revenues decreased 5% for the nine months ended September 30, 1996 relative to the same period in 1995. This decrease was due to more competition in the Boise, Idaho apartment market. Property operating expenses decreased 3% for the nine months ended September 30, 1996 relative to the same period in 1995. Interest expense increased from 1995 to 1996, due to the refinance of the first mortgage. OCCUPANCY As of September 30, 1996 the Whistler Point Luxury Apartments were 95% leased. Occupancy is expected to remain stable to slightly lower due to the increase in new available units in the Boise market. As of September 30, 1996, Cattle Creek Development Partners' commercial properties of Valley View Business Park and 701 Cooper Avenue Building were 83% and 100% leased, respectively. The Alpine Center retail building is currently under re- development with the initial lease-up scheduled to begin in the first quarter of 1997. PROPERTY STATUS The three residential properties owned by Prince Creek Partners were sold during the third quarter. The sale of these properties resulted in net gain to the Partnership of $34,000. DISTRIBUTIONS The Partnership has a policy of semi-annual distributions. The General Partner has declared a distribution of $15.00 per unit, payable to unit holders of record as of September 30, 1996. INFLATION The effects of inflation on the Partnership's operations have been no greater than the effect on the economy as a whole. Because of competitive conditions, market rate rents may increase or decrease disproportionately with inflation while property operating costs continue to follow inflationary trends. Inflationary conditions are not expected to have a major impact on the Partnership during 1996. PART II. OTHER INFORMATION Item 1. Legal Proceedings None. Item 2. Changes in Securities None. Item 3. Defaults Upon Senior Securities None. Item 4. Submission of Matters to a Vote of Security Holders None Item 5. Other Information None Item 6. Exhibits and Reports on Form 8-K (a) None (b) The Partnership filed no reports on Form 8-K during the quarter ended September 30, 1996. 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. LIF Date: November 15, 1996 /s/ Gary K. Barr Gary K. Barr, President The Landsing Corporation, Sole Shareholder of Landsing Equities Corporation Managing Partner of the General Partner, Partners '85 EX-27 2
5 0000757642 LIF 1000 9-MOS DEC-31-1996 SEP-30-1996 262 0 24 0 0 175 10918 2208 9283 60 0 0 0 0 1772 9283 0 1168 0 0 882 0 481 0 0 0 0 0 0 (155) 0 0
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