Investment Properties and Properties Held for Sale

6 Months Ended

Jun. 30, 2016

Real Estate [Abstract]

Investment Properties and Properties Held for Sale

3. INVESTMENT PROPERTIES AND PROPERTIES HELD FOR SALE:

The total cost of the Properties includes the original purchase price plus acquisition fees and other capitalized costs paid to an affiliate of the former general partners of the Partnership.

As of June 30, 2016, the Properties were leased to the operators of eleven fully constructed fast-food restaurants. The tenants are comprised of, and operate, the following: nine Wendy’s restaurants, an Applebee’s restaurant, and a KFC restaurant. The Properties are located in a total of four states.

Discontinued Operations

During the three month periods ended June 30, 2016 and 2015, the Partnership recognized income from discontinued operations of $0 and $75, respectively. During the six month periods ended June 30, 2016 and 2015, the Partnership recognized loss from discontinued operations of $0 and $(67), respectively. The income and loss is made up of revenues earned from a former tenant, Daytona’s, during its occupancy through May 31, 2014, and the costs to maintain the then vacant Des Moines, Iowa property while it was held for sale and after the tenant vacated. These costs include utilities, property insurance and real estate taxes.

The components of discontinued operations included in the condensed statement of income (loss) for the three and six month periods ended June 30, 2016 and 2015 are outlined below:

	Three Month		Three Month			Six Month		Six Month
	Period ended		Period ended			Period ended		Period ended
	June 30, 2016		June 30, 2015			June 30, 2016		June 30, 2015
Statements of Income (Loss):
Revenues:
Rental income	$	0	$	0		$	0	$	0
Total Revenues	$	0	$	0		$	0	$	0
Expenses:
Other property expenses		0		(75	)		0		67
Total Expenses	$	0	$	(75	)	$	0	$	67
Net Income (Loss) from Discontinued Operations	$	0	$	75		$	0	$	(67	)