UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
[x] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the period ended March 31, 1995
------------------------------------------
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from ______________ to_____________
Commission file number 0-9325
MCNEIL REAL ESTATE FUND X, LTD.
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(Exact name of registrant as specified in its charter)
California 94-2577781
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(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
13760 Noel Road, Suite 700, LB70, Dallas, Texas 75240
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code (214) 448-5800
---------------------
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 and (2) has been subject to such filing
requirements for the past 90 days. Yes X No
--- ---
<PAGE>
MCNEIL REAL ESTATE FUND X, LTD.
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
- ------- --------------------
<TABLE>
<CAPTION>
BALANCE SHEETS
(Unaudited)
March 31, December 31,
1995 1994
------------ ------------
<S> <C> <C>
ASSETS
Real estate investments:
Land..................................................... $ 10,449,117 $ 10,449,117
Buildings and improvements............................... 76,316,539 76,026,423
---------- -----------
86,765,656 86,475,540
Less: Accumulated depreciation.......................... (50,272,623) (49,450,647)
----------- -----------
36,493,033 37,024,893
Assets held for sale, net 7,127,679 7,215,032
Cash and cash equivalents................................... 1,295,461 574,589
Cash segregated for security deposits....................... 390,427 411,045
Accounts receivable, net of allowance for doubtful
accounts of $7,428....................................... 496,767 490,391
Prepaid expenses and other assets........................... 289,274 365,292
Escrow deposits............................................. 965,546 990,453
Deferred borrowing costs, net of accumulated amorti-
zation of $354,781 and $319,020 at March 31, 1995
and December 31, 1994, respectively...................... 1,291,646 1,308,238
----------- -----------
$ 48,349,833 $ 48,379,933
=========== ===========
LIABILITIES AND PARTNERS' DEFICIT
Mortgage notes payable, net................................. $ 51,851,667 $ 52,078,850
Mortgage note payable - affiliates.......................... 800,000 800,000
Accounts payable............................................ 143,859 130,856
Accrued property taxes...................................... 779,162 573,451
Accrued interest............................................ 368,400 304,600
Accrued interest - affiliates............................... 5,206 5,206
Other accrued expenses...................................... 305,896 307,295
Payable to affiliates - General Partner..................... 1,614,626 1,172,267
Security deposits and deferred rental revenue............... 435,146 449,682
----------- -----------
56,303,962 55,822,207
----------- -----------
Partners' deficit:
Limited partners - 135,200 limited partnership
units authorized; 135,090 limited partnership
unit outstanding....................................... (4,102,260) (3,872,434)
General Partner.......................................... (3,851,869) (3,569,840)
----------- -----------
(7,954,129) (7,442,274)
$ 48,349,833 $ 48,379,933
=========== ===========
</TABLE>
The financial information included herein has been prepared by management
without audit by independent public accountants.
See accompanying notes to financial statements.
<PAGE>
MCNEIL REAL ESTATE FUND X, LTD.
STATEMENTS OF OPERATIONS
(Unaudited)
<TABLE>
<CAPTION>
Three Months Ended
March 31,
-----------------------------
1995 1994
---------- ----------
<S> <C> <C>
Revenue:
Rental revenue................................... $4,367,665 $4,169,281
Interest......................................... 29,340 14,776
--------- ---------
Total revenue.................................. 4,397,005 4,184,057
--------- ---------
Expenses:
Interest......................................... 1,305,349 1,353,346
Interest - affiliates............................ 17,797 -
Depreciation and amortization.................... 932,091 891,615
Property taxes................................... 288,646 298,974
Personnel expenses............................... 556,778 499,980
Utilities........................................ 369,877 402,808
Repair and maintenance........................... 479,788 577,883
Property management fees - affiliates............ 219,317 204,781
Other property operating expenses................ 267,351 249,101
General and administrative....................... 35,169 30,647
General and administrative - affiliates.......... 166,764 151,922
--------- ---------
Total expenses................................. 4,638,927 4,661,057
--------- ---------
Net loss............................................ $ (241,922) $ (477,000)
========= =========
Net loss allocated to limited partners.............. $ (229,826) $ (453,150)
Net loss allocated to General Partner............... (12,096) (23,850)
--------- ---------
Net loss............................................ $ (241,922) $ (477,000)
========= =========
Net loss per limited partnership unit............... $ (1.70) $ (3.35)
========= =========
</TABLE>
The financial information included herein has been prepared by management
without audit by independent public accountants.
See accompanying notes to financial statements.
<PAGE>
MCNEIL REAL ESTATE FUND X, LTD.
STATEMENTS OF PARTNERS' DEFICIT
(Unaudited)
For the Three Months Ended March 31, 1995 and 1994
<TABLE>
<CAPTION>
Total
General Limited Partners'
Partner Partners Deficit
------------ ------------ ------------
<S> <C> <C> <C>
Balance at December 31, 1993.............. $(3,134,201) $(2,765,906) $(5,900,107)
Net loss.................................. (23,850) (453,150) (477,000)
Contingent Management Incentive
Distribution........................... (39,904) - (39,904)
---------- ---------- ----------
Balance at March 31, 1994................. $(3,197,955) $(3,219,056) $(6,417,011)
========== ========== ==========
Balance at December 31, 1994.............. $(3,569,840) $(3,872,434) $(7,442,274)
Net loss.................................. (12,096) (229,826) (241,922)
Contingent Management Incentive
Distribution........................... (269,933) - (269,933)
---------- ---------- ----------
Balance at March 31, 1995................. $(3,851,869) $(4,102,260) $(7,954,129)
========== ========== ==========
</TABLE>
The financial information included herein has been prepared by management
without audit by independent public accountants.
See accompanying notes to financial statements.
<PAGE>
MCNEIL REAL ESTATE FUND X, LTD.
STATEMENTS OF CASH FLOWS
(Unaudited)
Increase (Decrease) in Cash and Cash Equivalents
<TABLE>
<CAPTION>
Three Months Ended
March 31,
-----------------------------------
1995 1994
----------- -----------
<S> <C> <C>
Cash flows from operating activities:
Cash received from tenants........................ $ 4,366,891 $ 4,044,813
Cash paid to suppliers............................ (1,628,773) (1,813,911)
Cash paid to affiliates........................... (231,452) (355,591)
Interest received................................. 29,340 14,776
Interest paid..................................... (1,159,085) (1,443,522)
Deferred borrowing costs paid..................... (19,169) -
Property taxes paid and escrowed.................. (50,116) (253,525)
---------- ----------
Net cash provided by operating activities............ 1,307,636 193,040
---------- ----------
Cash flows from investing activities:
Additions to real estate investments.............. (312,878) (101,107)
---------- ----------
Cash flows from financing activities:
Principal payments on mortgage notes
payable......................................... (273,886) (300,036)
---------- ----------
Net increase (decrease) in cash and
cash equivalents.................................. 720,872 (208,103)
Cash and cash equivalents at beginning of
period............................................ 574,589 1,477,278
---------- ----------
Cash and cash equivalents at end of period........... $ 1,295,461 $ 1,269,175
========== ==========
</TABLE>
The financial information included herein has been prepared by management
without audit by independent public accountants.
See accompanying notes to financial statements.
<PAGE>
MCNEIL REAL ESTATE FUND X, LTD.
STATEMENTS OF CASH FLOWS
(Unaudited)
Reconciliation of Net Loss to Net Cash Provided By Operating Activities
<TABLE>
<CAPTION>
Three Months Ended
March 31,
----------------------------------
1995 1994
---------- ----------
<S> <C> <C>
Net loss............................................. $ (241,922) $(477,000)
--------- --------
Adjustments to reconcile net loss to net cash
provided by operating activities:
Depreciation and amortization..................... 932,091 891,615
Amortization of discounts on mortgage
notes payable................................... 46,703 46,410
Amortization of deferred borrowing costs.......... 35,761 34,875
Changes in assets and liabilities:
Cash segregated for security deposits........... 20,618 (33,941)
Accounts receivable............................. (6,376) (79,726)
Prepaid expenses and other assets............... 76,018 44,504
Escrow deposits................................. 24,907 (141,201)
Deferred borrowing costs........................ (19,169) -
Accounts payable................................ 13,003 (119,158)
Accrued property taxes.......................... 205,711 283,969
Accrued interest................................ 63,800 (171,461)
Other accrued expenses.......................... (1,399) (90,876)
Payable to affiliates - General Partner......... 172,426 1,111
Security deposits and deferred rental
revenue....................................... (14,536) 3,919
--------- --------
Total adjustments............................. 1,549,558 670,040
--------- --------
Net cash provided by operating activities............ $1,307,636 $ 193,040
========= ========
</TABLE>
The financial information included herein has been prepared by management
without audit by independent public accountants.
See accompanying notes to financial statements.
<PAGE>
McNEIL REAL ESTATE FUND X, LTD.
Notes to Financial Statements
(Unaudited)
March 31, 1995
NOTE 1.
- -------
McNeil Real Estate Fund X, Ltd. ("Partnership") is a limited partnership
organized under the laws of the State of California to invest in real property.
The general partner of the Partnership is McNeil Partners, L.P. ("General
Partner"), a Delaware limited partnership affiliated with Robert A. McNeil. The
Partnership is governed by an agreement of limited partnership ("Amended
Partnership Agreement") that was adopted October 9, 1991. The principal place of
business for the Partnership and the General Partner is 13760 Noel Road, Suite
700, LB70, Dallas, Texas 75240.
In the opinion of management, the financial statements reflect all adjustments
necessary for a fair presentation of the Partnership's financial position and
results of operations. All adjustments were of a normal recurring nature.
However, the results of operations for the three months ended March 31, 1995,
are not necessarily indicative of the results to be expected for the year ending
December 31, 1995.
NOTE 2.
- -------
The financial statements should be read in conjunction with the financial
statements contained in the Partnership's Annual Report on Form 10-K for the
year ended December 31, 1994, and the notes thereto, as filed with the
Securities and Exchange Commission, which is available upon request by writing
to McNeil Real Estate Fund X, Ltd., c/o McNeil Real Estate Management, Inc.,
Investor Services, 13760 Noel Road, Suite 700, LB70, Dallas, Texas 75240.
NOTE 3.
- -------
Certain prior period amounts within the accompanying financial statements have
been reclassified to conform with current year presentation.
NOTE 4.
- -------
The Partnership pays property management fees equal to 5% of the gross rental
receipts of the Partnership's properties to McNeil Real Estate Management, Inc.
("McREMI"), an affiliate of the General Partner, for providing property
management services for the Partnership's residential and commercial properties
and leasing services for its residential properties. McREMI may also choose to
provide leasing services for the Partnership's commercial properties, in which
case McREMI will receive property management fees from such commercial
properties equal to 3% of the property's gross rental receipts plus leasing
commissions based on the prevailing market rate for such services where the
property is located.
The Partnership reimburses McREMI for its costs, including overhead, of
administering the Partnership's affairs.
Under the terms of the Amended Partnership Agreement, the Partnership is paying
a Management Incentive Distribution ("MID") to the General Partner. The maximum
MID is calculated as 1% of the tangible asset value of the Partnership. Tangible
asset value is determined by using the greater of (i) an amount calculated by
applying a capitalization rate of 9% to the annualized net operating income of
each property or (ii) a value of $10,000 per apartment unit for residential
property and $50 per gross square foot for commercial property to arrive at the
property tangible asset value. The property tangible asset value is then added
to the book value of all other assets excluding intangible assets. Prior to July
1, 1993, the MID consisted of two components: (i) a fixed portion which was
payable without respect to the net income of the Partnership and is equal to 25%
of the maximum MID (the "Fixed MID") and (ii) a contingent portion which is
payable only to the extent of the lesser of the Partnership's excess cash flow,
as defined, or net operating income (the "Entitlement Amount") and was equal to
up to 75% of the maximum MID (the "Contingent MID"). The maximum MID percentage
decreases subsequent to 1999.
The General Partner amended the Amended Partnership Agreement as a settlement to
a class action complaint. This amendment eliminated the Fixed MID and makes the
entire MID payable to the extent of the Entitlement Amount. In all other
respects, the calculation and payment of the MID will remain the same. This
modified MID became effective July 1, 1993.
Fixed MID was payable in limited partnership units ("Units") unless the
Entitlement Amount exceeded the amount necessary to pay the Contingent MID, in
which case, at the General Partner's option, the Fixed MID could have been paid
in cash to the extent of such excess.
Contingent MID will be paid to the extent of the Entitlement Amount, and may be
paid (i) in cash, unless there is insufficient cash to pay the distribution in
which event any unpaid portion not taken in Units will be deferred and is
payable, without interest, from the first available cash and/or (ii) in Units. A
maximum of 50% of the MID may be paid in Units. The number of Units issued in
payment of the MID is based on the greater of $50 per Unit or the net tangible
asset value, as defined, per Unit.
Any amount of the MID that is paid to the General Partner in Units will be
treated as if cash was distributed to the General Partner. The Fixed MID was
treated as a fee payable to the General Partner by the Partnership for services
rendered. The Contingent MID represents a return of equity to the General
Partner for increasing cash flow, as defined, and accordingly is treated as a
distribution to the General Partner.
Compensation, reimbursements and distributions paid to or accrued for the
benefit of the General Partner and its affiliates are as follows:
<TABLE>
<CAPTION>
Three Months Ended
March 31,
-------------------------------
1995 1994
-------- --------
<S> <C> <C>
Property management fees - affiliates................ $219,317 $204,781
Charged to general and administrative - affiliates:
Partnership administration........................ 166,764 151,922
------- -------
$386,081 $356,703
======= =======
Charged to General Partner's deficit:
Contingent Management Incentive
Distribution.................................... $269,933 $ 39,904
======= =======
</TABLE>
NOTE 5.
- -------
The Partnership filed claims with the United States Bankruptcy Court for the
Northern District of Texas, Dallas Division (the "Bankruptcy Court") against
Southmark for damages relating to improper overcharges, breach of contract and
breach of fiduciary duty. The Partnership settled these claims in 1991, and such
settlement was approved by the Bankruptcy Court.
An Order Granting Motion to Distribute Funds to Class 8 Claimants dated April
14, 1995 was issued by the Bankruptcy Court. In accordance with the Order, in
May 1995, the Partnership received in full satisfaction of its claims, $69,234
in cash, and common and preferred stock in the reorganized Southmark currently
valued at approximately $22,405, which amounts represent the Partnership's
pro-rata share of Southmark assets available for Class 8 Claimants.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
- ------- ---------------------------------------------------------------
RESULTS OF OPERATIONS
---------------------
FINANCIAL CONDITION
- -------------------
The Partnership was formed to acquire, operate and ultimately dispose a
portfolio of income-producing real properties. At March 31, 1995, the
Partnership owned eight apartment properties, one office building and four
shopping centers. All of the Partnership's properties are subject to mortgage
notes.
Two of the Partnership's properties, The Courts Apartments and Parkway Plaza,
are being marketed for sale. There has been some interest in The Courts
Apartments among potential buyers. Preliminary expressions of interest indicate
the Partnership may be able to sell the property for approximately $1.3 million
above the mortgage debt encumbering the property. It appears that Parkway Plaza
may be more difficult to sell and realize an amount to meet Partnership
objectives.
The General Partner has elected to postpone certain payments to affiliates of
the General Partner in an attempt to increase the Partnership's level of cash
reserves. The postponed payments include the Management Incentive Distribution
("MID") and reimbursable administrative costs. These payments have been
postponed since the beginning of 1994, and are expected to continue to be
postponed through 1995.
RESULTS OF OPERATIONS
- ---------------------
The Partnership incurred a loss of $241,922 for the first quarter, an
improvement over the $477,000 loss incurred by the Partnership for the first
quarter of 1994. The Partnership benefited from a 5.1% increase in revenues
while expenses decreased slightly.
Revenues:
Rental revenue increased $198,384 or 4.8% in the first quarter of 1995 compared
to the first quarter of 1994. Nine of the Partnership's thirteen properties
recorded increased rental revenue, ranging from a 1.5% increase at Spanish Oaks
Apartments to a 12.8% increase at The Courts Apartments. Most of the increase in
rental revenue was accomplished through a combination of increased rental rates
and improving occupancy. Rental revenue was unchanged at Cave Spring Corners and
Lakeview Plaza. A major tenant vacated its space at La Plaza Office Building
leading to a 11.9% decrease in rental revenue at the Las Vegas property. A
decrease in occupancy also led to a 3.6% decrease in rental revenue at Parkway
Plaza.
Interest revenue nearly doubled in the first quarter of 1995 compared to the
first quarter of 1994. An increased level of cash reserves invested in
interest-bearing accounts was the principal factor behind the increase in
interest revenue.
Expenses:
Partnership expenses decreased $22,130 or .5% in the first quarter of 1995
compared to the first quarter of 1994. Expenses increased at seven of the
Partnership's properties in amounts ranging from 1.4% at The Courts Apartments
to 7.8% at Cave Spring Corners. Expenses were unchanged at Coppermill Apartments
and Orchard Apartments. Four of the Partnership's properties, Iberia Plaza, La
Plaza Office Building, Quail Meadows Apartments and Spanish Oaks Apartments were
able to decrease their expenses by an average of 7.8%. Major changes in expense
categories were concentrated in interest, depreciation, personnel expenses,
utilities, and repair and maintenance.
Interest expense decreased $47,997 for the first quarter of 1995 compared to the
first quarter of 1994. The Partnership's new mortgage on Coppermill Apartments,
despite a higher interest rate, recorded decreased interest expense due to a
lower principal balance. Additionally, the Partnership paid off the second lien
on Iberia Plaza during the course of 1994, resulting in decreased interest
expense for that property. The balance of the Partnership's mortgage notes
recorded small decreases in interest expense due to the monthly amortization of
the principal balances. The Partnership also incurred $17,797 of interest
expense on a mortgage obtained from an affiliate in August 1994, secured by
Lakeview Plaza.
Depreciation expense increased $40,476 or 4.5% for the first quarter of 1995
compared to the first quarter of 1994. The increase in depreciation expense is
due to the continuing investment of Partnership resources into capital
improvements. For the twelve month period ended March 31, 1994, the Partnership
invested $2.36 million in capital improvements. These capital improvements are
generally being depreciated over lives ranging from five to ten years.
Personnel expenses increased $56,798 or 11.4% for the first quarter of 1995
compared to the first quarter of 1994. The Partnership incurred increases in
compensation paid to on-site personnel at all but two of its properties.
Personnel expenses have increased and are expected to continue to increase due
to the Partnership's effort to increase occupancy rates by the continuous
refurbishment of residential units and upgrade of services offered to tenants.
Such improvements are partially achieved through higher maintenance standards
that require additional personnel to implement.
Expenses for utilities decreased $32,931 or 8.2% in the first quarter compared
to the first quarter of 1994. Savings were attributable to milder winter weather
during the first quarter of 1995 compared to severe winter weather experienced
during the first quarter of 1994.
Repair and maintenance expenses decreased $98,095 or 17.0% for the first quarter
of 1995 compared to the first quarter of 1994. Several of the Partnership's
apartment properties, Briarwood Apartments, Orchard Apartments, Sandpiper
Apartments, and Spanish Oaks Apartments, incurred significant non-recurring
expenditures during the first quarter of 1994. Additionally, the capital
improvements placed in service during the past year have reduced some of the
maintenance expenditures the Partnership would otherwise have incurred during
the first quarter of 1995.
LIQUIDITY AND CAPITAL RESOURCES
- -------------------------------
The Partnership's net loss for the first quarter was $241,922, an improvement
from the $477,000 loss reported for the first quarter of 1994. Cash flow
generated by operating activities showed a strong improvement, increasing to
$1,307,636 from $193,040. The increase in cash flow from operating activities is
remarkable in that both cash receipts increased as well as almost all categories
of operating cash expenditures decreased. These changes can be attributed to the
generally improving performance of the Partnership's properties and to the
General Partner's decision to postpone payment of reimbursable administrative
costs and MID payments due to affiliates.
Short Term Liquidity:
Despite the large amounts of funds invested in capital improvements over the
past three years, the Partnership's properties still face challenges funding the
improvements still needed. The Partnership has budgeted $2.7 million of capital
improvements for the Partnership's properties during 1995. In particular, the
Partnership has identified two properties, Iberia Plaza Shopping Center and La
Plaza Office Building that will require approximately $1.5 million of capital or
tenant improvements during 1995. The Partnership recently signed a long-term
lease with a grocery store company to lease the anchor tenant space at Iberia
Plaza. The lease obligates the Partnership to invest approximately $500,000 of
capital and tenant improvements in the property. Furthermore, the two largest
tenants at La Plaza Office Building are vacating their space during 1995. To
make the building attractive to other tenants and to update the facility, the
Partnership will need to invest approximately $1 million into La Plaza. In both
cases, the General Partner believes that the increased value of the properties
after the improvements are made will provide a strong return on the
Partnership's investment.
At March 31, 1995, the Partnership held cash reserves of $1,295,461, an increase
of $720,872 from the balance at the end of 1994. Although the cash reserves of
the Partnership have increased significantly from depressed levels at the end of
1994, additional steps need to be taken to improve the Partnership's liquidity
in light of the need for additional capital improvements discussed in the
preceding paragraph. These steps are discussed in the following paragraphs.
The General Partner has placed two of the Partnership's properties on the market
for sale, The Courts Apartments and Parkway Plaza Shopping Center. Based on
analysis of the market, the General Partner believes that both properties can be
sold for amounts adequate to retire the related mortgage indebtedness and still
provide approximately $1.5 million of cash proceeds to the Partnership.
Moreover, the General Partner anticipates that the appreciation potential of
both properties is limited, while extensive capital improvement funds will be
required to maintain cash from operations at its current levels.
The General Partner also anticipates that refinancing one or more of the
Partnership's mortgage notes during 1995 will provide funds for the Partnership.
In this regard, the General Partner has already commenced the refinancing
process for the Spanish Oaks mortgage note, the Partnership's next maturing
mortgage note. The maturity date of the Spanish Oaks mortgage note is in August
1995. The General Partner estimates that the Partnership may realize
approximately $650,000 from refinancing the Spanish Oaks mortgage note. The
Parkway Plaza mortgage note may be called by the lender beginning in December
1995. However, the General Partner intends to resolve this contingent maturity
by selling Parkway Plaza.
As a further source of funds, the Partnership may obtain secondary mortgage
financing from an affiliated partnership secured by La Plaza Office Building.
Placing a second lien on La Plaza would require the approval of the current
first lien holder, and must also comply with loan criteria of the affiliated
partnership. Proceeds from such a mortgage loan could range from $1 million to
$1.5 million, if approvals are obtained from the first lien holder and the
affiliated partnership.
For the balance of 1995, as in 1994, the General Partner intends to defer
collection of Contingent MID and reimbursements of administrative costs incurred
by affiliates of the General Partner. For the first quarter, these deferrals
postponed payments totaling $436,700 to the General Partner and its affiliates.
Long Term Liquidity:
For the long-term, property operations will remain the primary source of funds.
In this regard, the General Partner expects that the $8.8 million of capital
improvements made by the Partnership during the past three years will yield
improved cash flow from property operations in the future. Furthermore, the
General Partner has budgeted $2.7 million of capital improvements for 1995. If
the Partnership's cash position deteriorates due to reverses in property
operations, failure to sell properties currently held for sale, or failure to
obtain refinancing or secondary financing as discussed above, the General
Partner may elect to defer certain of the capital improvements, except where
such improvements are expected to increase the competitiveness or marketability
of the Partnership's properties.
The General Partner has established a revolving credit facility, not to exceed
$5,000,000 in the aggregate, which will be available on a "first-come,
first-served" basis to the Partnership and other affiliated partnerships if
certain conditions are met. Borrowings under the facility may be used to fund
deferred maintenance, refinancing obligations and working capital needs. There
is no assurance that the Partnership will receive any funds from the facility
because no amount will be reserved for any particular partnership. As of March
31, 1995, $2,102,530 remained available for borrowing under the facility;
however, additional funds could become available as other partnerships repay
existing borrowings.
As a further source of liquidity, the General Partner may, from time to time,
attempt to sell Partnership properties judged to be mature considering the
circumstances of the market where the properties are located, as well as the
Partnership's need for liquidity. However, there can be no guarantee that the
Partnership will be able to sell any of its properties for an amount sufficient
to retire the related mortgage note and still provide cash proceeds to the
Partnership, or that such cash proceeds could be timed to coincide with the
liquidity needs of the Partnership. Currently, The Courts Apartments and Parkway
Plaza Shopping Center are the only Partnership properties being marketed for
sale.
Distributions:
With the exception of the MID, distributions to partners have been suspended
since 1986 as part of the General Partner's policy of maintaining adequate cash
reserves. Distributions to Unit holders will remain suspended for the
foreseeable future. The General Partner will continue to monitor the cash
reserves and working capital needs of the Partnership to determine when cash
flows will support distributions to the Unit holders. Payments of MID to the
General Partner were suspended at the beginning of 1994; it is not presently
anticipated that such payments will be resumed during 1995.
<PAGE>
PART II. OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
- ------- -----------------
The Partnership is not a party to, nor are any of the Partnership's properties
the subject of, any material pending legal proceedings, other than ordinary
litigation routine to the Partnership's business.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
- ------- --------------------------------
(a) Exhibits.
<TABLE>
<CAPTION>
Exhibit
Number Description
------- -----------
<S> <C>
4. Amended and Restated Partnership Agreement,
dated October 9, 1991 (Incorporated by
reference to the Quarterly Report on Form 10-Q
for the quarter ended March 31, 1991).
11. Statement regarding computation of net loss
per limited partnership unit: Net loss per
limited partnership unit is computed by
dividing net loss allocated to the limited
partners by the number of limited partnership
units outstanding. Per unit information has
been computed based on 135,090 limited
partnership units outstanding in 1995 and
1994.
27. Financial Data Schedule for the year ended
December 31, 1994 and for the quarter ended
March 31, 1995.
</TABLE>
Registrant has omitted instruments with respect to long-term debt where
the total amount of securities authorized thereunder does not exceed
10% of the total assets of the Registrant. Registrant agrees to furnish
a copy of each such instruments to the Commission upon request.
(b) Reports on Form 8-K. There were no reports on Form 8-K filed during
the quarter ended March 31, 1995.
<PAGE>
McNEIL REAL ESTATE FUND X, LTD.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized:
<TABLE>
<CAPTION>
McNEIL REAL ESTATE FUND X, LTD.
By: McNeil Partners, L.P., General Partner
By: McNeil Investors, Inc., General Partner
<S> <C>
May 12, 1995 By: /s/ Donald K. Reed
- ------------------------- -------------------------------------------------
Date Donald K. Reed
President and Chief Executive Officer
May 12, 1995 By: /s/ Robert C. Irvine
- ------------------------- -------------------------------------------------
Date Robert C. Irvine
Chief Financial Officer of McNeil Investors, Inc.
Principal Financial Officer
May 12, 1995 By: /s/ Brandon K. Flaming
- ------------------------- -------------------------------------------------
Date Brandon K. Flaming
Chief Accounting Officer of McNeil Real Estate
Management, Inc.
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0 0
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