Note 8 - Notes Payable

12 Months Ended

Dec. 31, 2012

Mortgage Notes Payable Disclosure [Text Block]

NOTE 8 - NOTES PAYABLE

The Partnership has a note payable with a bank through its investment in 720 University (see Note 7), which is secured by the retail development located in Greeley, Colorado. The remaining principal balance on the note was approximately $10,085,000 and $10,242,000 as of December 31, 2012 and 2011, respectively. The note required monthly interest-only payments until March 1, 2010 at a fixed rate of 5.07% per annum. Commencing April 1, 2010, the note became amortizing and monthly payments of $56,816 are now required, with the balance of unpaid principal due on March 1, 2015. Interest expense for the years ended December 31, 2012 and 2011 was approximately $524,000 and $530,000, respectively.

The Partnership also has two notes payable in the aggregate amount of $3,300,000 related to the purchase of seven parcels by Tahoe Stateline Venture, LLC in December 2012 (see Note 2). The notes require semi-annual interest-only payments of 5% per annum and are due in December 2016. As of December 31, 2012, the Partnership has accrued approximately $12,000 in interest payable that has been capitalized to the basis of the land which is now under development.

The following table shows maturities by year on the Partnership’s notes payable as of December 31, 2012:

Year ending December 31:
2013	$	167,316
2014		176,123
2015		9,741,463
2016		3,300,000
	$	13,384,902