Investment Properties and Property Held for Sale

12 Months Ended

Dec. 31, 2016

Real Estate [Abstract]

Investment Properties and Property Held for Sale

2. INVESTMENT PROPERTIES AND PROPERTY 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 December 31, 2016, the Partnership owned 11 Properties that contained fully constructed fast-food/casual dining restaurant facilities. The following are operated by tenants at the Properties: eight separate Wendy’s restaurants, an Applebee’s restaurant, and a KFC restaurant. Following lease expiration on November 6, 2016, the Martinez, GA Property is vacant. The 11 Properties are located in a total of four states.

A summary of significant developments as of December 31, 2016, by property, for properties with such developments, can be found in Item 2, Properties.

Discontinued Operations

During the fiscal years ended December 31, 2016 and 2015, the Partnership recognized income from discontinued operations of $65,474 and $83,556, respectively. The income from discontinued operations was attributable to the vacant Martinez, GA property held for sale as of December 15, 2016.

The components of property held for sale in the balance sheets as of December 31, 2016 and 2015 are outlined below:

	December 31, 2016		December 31, 2015
Balance Sheet:
Land	$	266,175	$	-
Buildings, net		50,976		-
Properties held for sale	$	317,151	$	-

The components of discontinued operations included in the statements of income for the years ended December 31, 2016 and 2015 are outlined below:

	December 31, 2016		December 31, 2015
Revenues
Base Rent	$	71,483	$	84,120
Percentage Rent		10,251		13,201
Total Revenues	$	81,734	$	97,321
Expenses
Insurance		1,250		-
Property tax expense		872		-
Maintenance expense		1,132		-
Depreciation		10,702		11,214
Amortization		2,304		2,484
Other expenses		-		67
Total Expenses	$	16,260	$	13,765
Net Income from Discontinued Operations	$	65,474	$	83,556