SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Under Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the quarter ended
March 31, 2000 Commission file #0-8716
JMB INCOME PROPERTIES, LTD. - V
(Exact name of registrant as specified in its charter)
Illinois 36-2897158
(State of organization) (IRS Employer Identification No.)
900 N. Michigan Ave., Chicago, IL 60611
(Address of principal executive office) (Zip Code)
Registrant's telephone number, including area code 312/915-1987
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 [ ]
<PAGE>
TABLE OF CONTENTS
PART I FINANCIAL INFORMATION
Item 1. Financial Statements . . . . . . . . . . . . . . . . . 3
Item 2. Management's Discussion and
Analysis of Financial Condition and
Results of Operations. . . . . . . . . . . . . . . . . 12
PART II OTHER INFORMATION
Item 5. Other Information. . . . . . . . . . . . . . . . . . . 13
Item 6. Exhibits and Reports on Form 8-K . . . . . . . . . . . 14
<PAGE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
JMB INCOME PROPERTIES, LTD. - V
(A LIMITED PARTNERSHIP)
AND CONSOLIDATED VENTURE
CONSOLIDATED BALANCE SHEETS
MARCH 31, 2000 AND DECEMBER 31, 1999
(UNAUDITED)
ASSETS
------
MARCH 31, DECEMBER 31,
2000 1999
----------- -----------
Current assets:
Cash and cash equivalents. . . . . . . $ 6,569,379 6,318,944
Interest, rents and
other receivables. . . . . . . . . . 97,821 94,796
Prepaid expenses . . . . . . . . . . . 11,161 27,903
----------- -----------
Total current assets . . . . . . 6,678,361 6,441,643
----------- -----------
Investment property:
Land . . . . . . . . . . . . . . . . . 1,949,914 1,949,914
Buildings and improvements . . . . . . 11,407,172 11,399,502
----------- -----------
13,357,086 13,349,416
Less accumulated depreciation. . . . . (7,181,734) (7,115,991)
----------- -----------
Total investment property,
net of accumulated
depreciation . . . . . . . . . 6,175,352 6,233,425
Deferred expenses. . . . . . . . . . . . 65,353 70,625
----------- -----------
$12,919,066 12,745,693
=========== ===========
<PAGE>
JMB INCOME PROPERTIES, LTD. - V
(A LIMITED PARTNERSHIP)
AND CONSOLIDATED VENTURE
CONSOLIDATED BALANCE SHEETS - CONTINUED
LIABILITIES AND PARTNERS' CAPITAL ACCOUNTS (DEFICITS)
-----------------------------------------------------
MARCH 31, DECEMBER 31,
2000 1999
----------- -----------
Current liabilities:
Current portion of long-term debt. . . $ 411,225 401,561
Accounts payable . . . . . . . . . . . 1,844,526 1,791,513
Accrued interest . . . . . . . . . . . 148,924 149,694
Accrued real estate taxes. . . . . . . 62,644 --
----------- -----------
Total current liabilities. . . . 2,467,319 2,342,768
Tenant security deposits . . . . . . . . 15,570 14,986
Long-term debt, less current
portion. . . . . . . . . . . . . . . . 18,301,687 18,408,189
----------- -----------
Commitments and contingencies
Total liabilities. . . . . . . . 20,784,576 20,765,943
Venture partner's subordinated
equity in venture. . . . . . . . . . . 12,079,226 11,938,602
Partners' capital accounts (deficits):
General partners:
Capital contributions. . . . . . . . 1,000 1,000
Cumulative net earnings (loss) . . . 4,264,501 4,264,078
Cumulative cash distributions. . . . (5,835,971) (5,835,971)
----------- -----------
(1,570,470) (1,570,893)
----------- -----------
Limited partners (38,505 interests):
Capital contributions,
net of offering costs. . . . . . . 34,926,505 34,926,505
Cumulative net earnings (loss) . . . 33,588,521 33,574,828
Cumulative cash distributions. . . . (86,889,292) (86,889,292)
----------- -----------
(18,374,266) (18,387,959)
----------- -----------
Total partners' capital
accounts (deficits). . . . . . (19,944,736) (19,958,852)
----------- -----------
$12,919,066 12,745,693
=========== ===========
See accompanying notes to consolidated financial statements.
<PAGE>
JMB INCOME PROPERTIES, LTD. - V
(A LIMITED PARTNERSHIP)
AND CONSOLIDATED VENTURE
CONSOLIDATED STATEMENTS OF OPERATIONS
THREE MONTHS ENDED MARCH 31, 2000 AND 1999
(UNAUDITED)
2000 1999
----------- ----------
Income:
Rental income. . . . . . . . . . . . . $1,229,027 1,689,136
Interest income. . . . . . . . . . . . 88,785 150,658
---------- ----------
1,317,812 1,839,794
---------- ----------
Expenses:
Mortgage and other interest. . . . . . 447,546 568,307
Depreciation . . . . . . . . . . . . . 65,743 --
Property operating expenses. . . . . . 594,705 993,277
Professional services. . . . . . . . . 21,367 49,494
Amortization of deferred expenses. . . 5,272 7,971
General and administrative . . . . . . 28,099 51,842
---------- ----------
1,162,732 1,670,891
---------- ----------
155,080 168,903
Venture partner's share of
venture's operations . . . . . . . . . (140,964) (38,437)
---------- ----------
Earnings (loss) before gain
on sale of investment
property. . . . . . . . . . . . 14,116 130,466
Gain on sale of investment property. . . -- 5,998,474
---------- ----------
Earnings (loss) before
extraordinary item. . . . . . . 14,116 6,128,940
Extraordinary item - write-off
of unamortized deferred
financing costs. . . . . . . . . . . . -- (174,784)
---------- ----------
Net earnings (loss) . . . . . . . $ 14,116 5,954,156
========== ==========
Net earnings (loss) per
limited partnership interest:
Earnings (loss) before
gain on sale of
investment property. . . . . $ 0.36 3.29
Gain on sale of investment
property . . . . . . . . . . -- 154.23
Extraordinary item . . . . . . -- (4.49)
---------- ----------
Net earnings (loss) per
limited partnership
interest. . . . . . . . . . . . $ 0.36 153.03
========== ==========
Cash distributions per
limited partnership
interest. . . . . . . . . . . . $ -- --
========== ==========
See accompanying notes to consolidated financial statements.
<PAGE>
JMB INCOME PROPERTIES, LTD. - V
(A LIMITED PARTNERSHIP)
AND CONSOLIDATED VENTURE
CONSOLIDATED STATEMENTS OF CASH FLOWS
THREE MONTHS ENDED MARCH 31, 2000 AND 1999
(UNAUDITED)
2000 1999
----------- -----------
Cash flows from operating activities:
Net earnings (loss). . . . . . . . . . $ 14,116 5,954,156
Items not requiring (providing)
cash or cash equivalents:
Depreciation . . . . . . . . . . . . 65,743 --
Amortization of deferred expenses. . 5,272 7,971
Venture partner's share of
venture's operations . . . . . . . 140,964 38,437
Gain on sale of investment
property . . . . . . . . . . . . . -- (5,998,474)
Extraordinary item . . . . . . . . . -- 174,784
Rental income applied to construc-
tion loan payable. . . . . . . . . -- (17,166)
Changes in:
Interest, rents and
other receivables. . . . . . . . . (3,025) 116,654
Prepaid expenses . . . . . . . . . . 16,742 48,556
Accrued rents receivable . . . . . . -- 5,003
Accounts payable . . . . . . . . . . 53,013 146,090
Accrued interest . . . . . . . . . . (770) (60,882)
Accrued real estate taxes. . . . . . 62,644 62,402
Tenant security deposits . . . . . . 584 (13,430)
------------ -----------
Net cash provided by
(used in) operating
activities . . . . . . . . . 355,283 464,101
Cash flows from investing activities:
Additions to investment properties . . (7,670) (200,000)
Proceeds from sale of
investment property. . . . . . . . . -- 24,216,567
------------ -----------
Net cash provided by
(used in) investing
activities . . . . . . . . . (7,670) 24,016,567
------------ -----------
Cash flows from financing activities:
Principal payments on construction
loan . . . . . . . . . . . . . . . . -- (2,785,460)
Principal payments on long-term
debt . . . . . . . . . . . . . . . . (96,838) (4,248,713)
Venture partner's contributions
to venture . . . . . . . . . . . . . 207,226 207,256
Distributions to venture partners. . . (207,566) (207,565)
------------ -----------
Net cash provided by
(used in) financing
activities . . . . . . . . . (97,178) (7,034,482)
------------ -----------
<PAGE>
JMB INCOME PROPERTIES, LTD. - V
(A LIMITED PARTNERSHIP)
AND CONSOLIDATED VENTURE
CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED
2000 1999
----------- -----------
Net increase (decrease) in
cash and cash equivalents. . 250,435 17,446,186
Cash and cash equivalents,
beginning of year. . . . . . 6,318,944 5,859,549
------------ -----------
Cash and cash equivalents,
end of period. . . . . . . . $ 6,569,379 23,305,735
============ ===========
Supplemental disclosure of cash flow
information:
Cash paid for mortgage and
other interest . . . . . . . . . $ 448,316 629,189
============ ===========
Non-cash investing and financing
activities:
Rental income applied to
construction loan payable. . . . $ -- 17,166
============ ===========
See accompanying notes to consolidated financial statements.
<PAGE>
JMB INCOME PROPERTIES, LTD. - V
(A LIMITED PARTNERSHIP)
AND CONSOLIDATED VENTURE
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 2000 AND 1999
(UNAUDITED)
GENERAL
Readers of this quarterly report should refer to the Partnership's
audited financial statements for the year ended December 31, 1999 which are
included in the Partnership's 1999 Annual Report, as certain footnote
disclosures which would substantially duplicate those contained in such
audited financial statements have been omitted from this report.
The preparation of financial statements in accordance with GAAP
requires the Partnership to make estimates and assumptions that affect the
reported or disclosed amount of assets and liabilities at the date of the
financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from those
estimates.
The Partnership adopted Statement of Financial Accounting Standards
No. 121 "Accounting for the Impairment of Long-Lived Assets and for Long-
Lived Assets to be Disposed of" ("SFAS 121") as required in the first
quarter of 1996. The Partnership's policy is to consider a property to be
held for sale or disposition when the Partnership has committed to a plan
to sell such property and active marketing activity has commenced or is
expected to commence in the near term. The Partnership has concluded that
it may dispose of a property by no longer funding operating deficits or
debt service requirements thus allowing the lender to realize upon its
security. In accordance with SFAS 121, any properties identified as "held
for sale or disposition" are no longer depreciated. The Partnership's
commitment to a plan for sale or disposal has not resulted in a sale or
disposition. As a result, the Partnership made an adjustment to record
depreciation expense as of June 30, 1999 that would have been recognized
had the 301 North Main and Phillips Building not been considered "held for
sale or disposition". Further, the Partnership has begun to record
depreciation expense for the 301 North Main Building and Phillips Building
commencing July 1, 1999. The results of operations for the property that
was sold were $0 and ($199,725), respectively, for the three months ended
March 31, 2000 and 1999.
Certain amounts in the 1999 consolidated financial statements have
been reclassified to conform with the 2000 presentation.
TRANSACTIONS WITH AFFILIATES
Fees, commissions and other expenses required to be paid by the
Partnership to the General Partners and their affiliates as of March 31,
2000 and for the three months ended March 31, 2000 and 1999 were as
follows:
Unpaid at
March 31,
2000 1999 2000
------- ------ ----------
Property management and leasing
fees . . . . . . . . . . . . . . . . . $18,418 73,002 1,646,322
Reimbursement (at cost) for out-
of-pocket expenses . . . . . . . . . . 244 69 --
------- ------ ---------
$18,662 73,071 1,646,322
======= ====== =========
<PAGE>
All amounts deferred or currently payable to the General Partners and
their affiliates do not bear interest. The General Partners and their
affiliates have deferred receipt of property management and leasing fees
pursuant to the venture agreement for the 301 North Main Building and
Phillips Building. Prior to 1995, an affiliate of the Managing General
Partner provided management and leasing services. In December 1994, the
affiliate sold all of its assets and assigned its interest in the
management contracts, including the one for the 301 North Main Building and
Phillips Building to an unaffiliated third party. In connection with such
sale, an affiliate of the General Partners guaranteed payment to the
unaffiliated third party of the portion of the fees currently deferred due
to a provision in the venture agreement for the 301 North Main and Phillips
Building. Any such guaranteed amounts are paid to such unaffiliated third
party when earned and the General Partners and its affiliates continue to
be entitled to receive such deferred fees. As of March 31, 2000, the
General Partners and their affiliates have deferred receipt of
approximately $1,607,000 (approximately $40 per interest) of such fees.
Such amounts are deferred until the sale or disposition of the property or
upon the termination of the property management agreement and are expected
to be paid at that time. All amounts due affiliates are reflected in
accounts payable in the accompanying consolidated financial statements.
BRISTOL MALL
On February 17, 1999, the Partnership consummated the sale of the
Bristol Mall to an unaffiliated third party. The purchase price of the
Property was $24,577,000. Upon closing, the Partnership received cash of
approximately $17,400,000 (net of closing costs but before prorations).
The cash received by the Partnership was also net of the repayment of the
mortgage loan secured by the Property of approximately $4,100,000 and
repayment of the construction loan of approximately $2,800,000. The
Partnership recognized a gain of approximately $6,000,000 and $7,600,000
for financial reporting and Federal income tax purposes in 1999,
respectively. In addition, in connection with the sale of the Property and
as is customary in such transactions, the Partnership agreed to certain
representations, warranties and covenants with stipulated survival periods
which expired on November 17, 1999 with no liability to the Partnership.
The property was classified as held for sale as of September 30, 1997 and
therefore was not been subject to continued depreciation from such date for
financial reporting purposes.
301 NORTH MAIN BUILDING AND PHILLIPS BUILDING
Occupancy at 301 N. Main Building (formerly the Wachovia Bank
Building) and Phillips Building was 45% at March 31, 2000. Prior to
December 31, 1995, substantially all of the 301 North Main Building was
leased to one tenant, the Wachovia Bank. In the first quarter of 1998, the
Wachovia Bank notified the Partnership that it expected to vacate all, or
substantially all of its space in the 301 North Main Building
(approximately 200,000 square feet) beginning in the third quarter of 1998.
The Partnership expects the remaining space leased at March 31, 2000 to the
Wachovia Bank (approximately 8,200 square feet) to be vacated in 2000. The
Wachovia bank has recently announced that it intends to vacate the space it
currently leases in the Phillips Building (approximately 269,000 square
feet) upon expiration of such lease in February 2002.
Re-leasing the vacant space in the building would likely require major
renovation to the building as well as significant tenant improvements
which, in turn, would be contingent upon the Partnership obtaining
financing for these tenant replacement costs. Unless replacement tenants
are secured on acceptable terms for the vacant space, it is unlikely that
the Partnership will commit any additional funds to the property. This may
result in the Partnership no longer having an ownership interest in the two
office buildings. This action would result in a gain for financial
reporting and Federal and state income tax purposes with no corresponding
distributable proceeds. Additionally, the Partnership could be required to
remit to the state tax authorities withholding for taxes due as a result of
this action. This withholding amount is currently estimated to be
approximately $650,000.
<PAGE>
In 1986, the Partnership's venture partner had agreed to contribute
$10,700,000, before applicable interest, to the venture pursuant to a
payment schedule from the closing date through August 1, 1996, when it
would owe the balance of its obligation (approximately $7,600,000). The
venture partner has continued to make contributions (from its share of the
property's cash flow) based on the old payment schedule rather than making
the balloon payment in August 1996 as required. As a result, the venture
partner is currently approximately $7,087,000 in arrears for such
contributions as of the date of this report. The venture partner's
obligation to make such payment is secured only by its interest in the
venture. In the fourth quarter of 1996, the Partnership notified the
venture partner of its default effective August 1996. In December 1999,
the Partnership and the venture partner entered into an agreement (the
"Option Agreement"), effective January 1, 1999, under which the Partnership
was given the option to purchase the venture partner's interest on or
before January 31, 2002. If the Partnership exercises its option, the
purchase price for the interest would be $230,000 and the Partnership would
release the venture partner from its obligations to make contributions as
discussed above. As a result of the negotiations, and in consideration of
the venture partner granting a full release to the Partnership and the
venture, the Partnership and venture partner also concurrently entered into
a forbearance agreement, under which the Partnership agreed to not pursue
its legal remedies against the venture partner for its default related to
such obligation until November 1, 2000. Additionally, the venture
agreement was amended to: (1) convert the venture partner's minority
general partnership interest in the venture to a limited partnership
interest; (2) provide that no further distributions of cash flow will be
made to the venture partner after December 1999, at which time $200,000
representing cash flow from operations and reserves was distributed; and
(3) provide that the venture partner (assuming the option under the option
agreement is not exercised) would receive 30% of any net sale proceeds (as
defined) if the gross sale price of the property is $40,000,000 or greater.
Under the Option Agreement, upon the closing of the purchase of such
interest, the venture partner would also release the Partnership and the
venture from any and all claims that the venture partner may have against
the Partnership and the venture, including, without limitation, any amounts
which may have accrued or been distributable prior to such closing date,
and the Partnership and the venture would release the venture partner from
any further liabilities under the venture agreement, including, without
limitation, the aforementioned obligation to make additional capital
contributions. The Partnership expects that it would exercise the option
to purchase the venture partner's interest immediately prior to the sale or
other disposition of the property by the venture.
The venture agreement had been previously amended effective for fiscal
year 1998 and, as a result of the December 1999 amendment referred to
above, again for all subsequent years. Per the amendments, profits and
losses are allocated based on the ratio of distributions to the partners,
approximately 75% and 95% to the Partnership and 25% and 5% to the venture
partner for the three months ended March 31, 2000 and 1999, respectively.
For financial reporting and Federal income tax purposes, the venture
continues to report the payments of approximately $830,000 annually on the
obligation referred to above as deemed to be made (and contributed for
financial reporting purposes only) to the venture partner.
The joint venture commenced marketing the property for sale. However,
due to the limited cash flow generated by the property and the short-term
nature of the major tenant lease, it is not expected that a sale would
generate any significant proceeds.
ADJUSTMENTS
In the opinion of the Managing General Partner, all adjustments
(consisting solely of normal recurring adjustments) necessary for a fair
presentation have been made to the accompanying figures as of March 31,
2000 and for the three months ended March 31, 2000 and 1999.
<PAGE>
PART I. FINANCIAL INFORMATION
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Reference is made to the notes to the accompanying financial
statements for additional information concerning the Partnership's
investments.
The board of directors of JMB Realty Corporation ("JMB") the Managing
General Partner of the Partnership, has established a special committee
(the "Special Committee") consisting of certain directors of JMB to deal
with all matters relating to tender offers for Interests in the
Partnership, including any and all responses to such tender offers.
On May 3, 2000 the Partnership was notified that certain unaffiliated
third parties commenced an unsolicited offer to the Holders of Interests in
the Partnership to purchase up to 15,402 Interests in the Partnership at a
price of $80 per Interest. The offer represents approximately 40% of the
Interests in the Partnership. This offer is scheduled to expire on June 9,
2000. After the Special Committee reviews the terms of the offer, it will
advise the Holders of Interests of its recommendation, if any, regarding
this offer in the near future. It is possible that other offers for
Interests may be made by affiliated third parties in the future. However,
there is no assurance that any other third party will commence an offer for
Interests, in the terms of any such offer or whether the current offer for
Interests, or any other offer for Interests, if made, will be consummated,
amended or withdrawn.
At March 31, 2000, the Partnership and its consolidated venture had
cash and cash equivalents of approximately $6,569,000. Such funds are
available for distributions to partners, the purchase of the venture
partner's interest in the Wachovia Venture, payment of withholding for
taxes upon disposal of the 301 North Main and Phillips Building, and
working capital requirements, including the payment of deferred fees as
discussed below. Due to the re-leasing issues, the 301 North Main Building
and Phillips Building is not expected to be a significant source of future
liquidity.
The General Partners and their affiliates have deferred payment of
certain fees of approximately $1,607,000 (approximately $40 per interest)
as of March 31, 2000 pursuant to the venture agreement for the 301 North
Main Building and Phillips Building. Such amounts are deferred until the
sale or disposition of the property or upon the termination of the property
management agreement and are expected to be paid at that time.
The affairs of the Partnership are currently expected to be wound up
in 2002, after the expiration of the Wachovia Bank lease in the Phillips
Building, barring unforeseen economic developments. However, the
Partnership may liquidate prior to 2002 if the Partnership is able to sell
the 301 North Main and Phillips Buildings, as the Partnership's joint
venture interest in these buildings is the only remaining real estate
asset. The Partnership does not expect to realize any significant
distributable proceeds from the disposition of the 301 North Main and
Phillips Buildings.
RESULTS OF OPERATIONS
Significant variances between periods are primarily due to the sale of
the Bristol Mall in February 1999.
The increase in accrued real estate taxes at March 31, 2000 as
compared to December 31, 1999 is primarily due to the timing of the payment
of real estate taxes at the 301 North Main and Phillips Buildings.
<PAGE>
The decrease in interest income for the three months ended March 31,
2000 as compared to the same period in 1999 is primarily due to the
temporary investment of the proceeds from the sale of the Bristol Mall
prior to the distribution of such proceeds to the General and Limited
Partners in May 1999.
The increase in depreciation for the three months ended March 31, 2000
as compared to the same period in 1999 is primarily due to the commencement
of continued depreciation at the 301 North Main and Phillips Building as a
result of the Partnership no longer classifying this property as held for
sale or disposition as of July 1, 1999.
The increase in venture partner's share of venture's operations for
the three months ended March 31, 2000 as compared to the same period in
1999 is due to the distribution of substantially all excess cash flow to
the Partnership from the Wachovia venture in February 1999. Per the
amendment of the venture agreement, profits and losses are allocated to the
Partnership and the venture partner based on their proportional share of
distributions made or deemed to be made.
<PAGE>
<TABLE>
PART II. OTHER INFORMATION
ITEM 5. OTHER INFORMATION
OCCUPANCY
The following is a listing of approximate occupancy levels by quarter for the Partnership's investment
properties owned during 2000:
<CAPTION>
1999 2000
-------------------------------------- ------------------------------
At At At At At At At At
3/31 6/30 9/30 12/31 3/31 6/30 9/30 12/31
---- ---- ---- ----- ---- ---- ----- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
301 North Main Building and
Phillips Building
Winston-Salem,
North Carolina. . . . . . . . . . 49% 47% 46% 46% 45%
</TABLE>
<PAGE>
PART IV
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
3-A.* The Prospectus of the Partnership dated August 15,
1977, as supplemented September 20, 1977, filed with the Commission
pursuant to Rules 424(b) and 424(c), is hereby incorporated herein by
reference. Certain pages of the Prospectus are incorporated herein by
reference.
3-B.* Amended and Restated Agreement of Limited Partnership
set forth as Exhibit A to the Prospectus, which is incorporated herein by
reference and which agreement is hereby incorporated herein by reference.
27. Financial Data Schedule
--------------------
* Previously filed as Exhibits 3-A and 3-B, respectively, to the
Partnership's Report for December 31, 1992 on Form 10-K of the Securities
Exchange Act of 1934 (File No. 0-8716) filed on March 19, 1993 and hereby
incorporated herein by reference.
(b) No reports on Form 8-K were filed during the last quarter of
the period covered by this report.
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Company has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
JMB INCOME PROPERTIES, LTD. - V
BY: JMB Realty Corporation
(Managing General Partner)
By: GAILEN J. HULL
Gailen J. Hull, Senior Vice President
Date: May 12, 2000
Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following person in the capacity
and on the date indicated.
By: GAILEN J. HULL
Gailen J. Hull, Principal Accounting Officer
Date: May 12, 2000
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
REGISTRANT'S FORM 10-Q FOR THE THREE MONTHS ENDED MARCH 31, 2000 AND IS
QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS
INCLUDED IN SUCH REPORT.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-2000
<PERIOD-END> MAR-31-2000
<CASH> 6,569,379
<SECURITIES> 0
<RECEIVABLES> 108,982
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 6,678,361
<PP&E> 13,357,086
<DEPRECIATION> (7,181,734)
<TOTAL-ASSETS> 12,919,066
<CURRENT-LIABILITIES> 2,467,319
<BONDS> 18,301,687
<COMMON> 0
0
0
<OTHER-SE> (19,944,736)
<TOTAL-LIABILITY-AND-EQUITY> 12,919,066
<SALES> 1,229,027
<TOTAL-REVENUES> 1,317,812
<CGS> 0
<TOTAL-COSTS> 665,720
<OTHER-EXPENSES> 49,466
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 447,546
<INCOME-PRETAX> 155,080
<INCOME-TAX> 0
<INCOME-CONTINUING> 14,116
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 14,116
<EPS-BASIC> .36
<EPS-DILUTED> .36
</TABLE>
