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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
X QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
_______ THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2000
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: 0-14533
OXFORD RESIDENTIAL PROPERTIES I LIMITED PARTNERSHIP
(Exact name of registrant as specified in its charter)
Maryland 52-1322906
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(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
7200 Wisconsin Avenue, 11th floor, Bethesda, Maryland 20814
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: 301-654-3100
Securities Registered Pursuant to Section 12(b) of the Act: NONE
Securities Registered Pursuant to Section 12(g) of the Act:
Assignee Units
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 / / .
There is no public trading market for the Assignee Units.
Therefore, the Assignee Units had neither a market selling price
nor an average bid or asked price within the 60 days prior to the
date of this filing.
Index to Exhibits is on page 3.
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<PAGE 2>
OXFORD RESIDENTIAL PROPERTIES I LIMITED PARTNERSHIP
FORM 10-Q
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
The financial statements of the Partnership, and the notes
thereto, are incorporated herein by reference to sequentially
numbered pages 12 through 17 included in ORP's Quarterly Report
(Unaudited).
Item 2.
Management's Discussion and Analysis of Financial Condition and
Results of Operations.
A discussion of ORP's financial condition and results of
operations for the six-month period ended June 30, 2000, is
incorporated herein by reference to sequentially numbered pages 6
through 10 entitled "Report of Management" included in ORP's
Quarterly Report (Unaudited).
PART II - OTHER INFORMATION
Item 1. Legal Proceedings.
The Registrant is engaged from time to time in litigation
incident to its business; however, there are no pending legal
proceedings whose potential effects are considered to be material
by the Managing General Partner.
Item 2. Changes in Securities.
None.
Item 3. Defaults Upon Senior Securities.
None.
Item 4. Submission of Matters to a Vote of Security Holders.
None.
Item 5. Other Information.
None.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits.
For a list of Exhibits as required by Item 601 of Regulation S-
K, see Exhibit Index on page 3 of this report.
(b) Reports on Form 8-K
A report on Form 8-K was filed with the Securities &
Exchange Commission on July 13, 2000 regarding certain
contractual arrangements that could result in a change in
control of the Registrant.
No other items were applicable.
<PAGE 3>
OXFORD RESIDENTIAL PROPERTIES I LIMITED PARTNERSHIP
FORM 10-Q
EXHIBIT INDEX
(Listed according to the number assigned in the Exhibit Table in
Item 601 of Regulation S-K.)
(11) Statement regarding computation of per share earnings.
The information to compute earnings per share is provided in
the financial statements and notes thereto of the Oxford
Residential Properties I Limited Partnership's Quarterly
Report (Unaudited) to Assignee Unit Holders, attached as
Exhibit 20 (sequentially numbered pages 12 through 17).
(20) Report furnished to security holders.
Oxford Residential Properties I Limited Partnership's
Quarterly Report (Unaudited) dated June 30, 2000, follows on
sequentially numbered pages 5 through 18 of this report.
(27) Financial Data Schedule.
<PAGE 4>
OXFORD RESIDENTIAL PROPERTIES I LIMITED PARTNERSHIP
FORM 10-Q
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) 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.
Oxford Residential Properties I Limited Partnership
By: Oxford Residential Properties I Corporation
Managing General Partner of the registrant
Date: 8/14/00 By: /s/ Richard R. Singleton
------- -----------------------------------------------
Richard R. Singleton
Senior Vice President and
Chief Financial Officer
Pursuant to the requirements of the Securities Exchange Act of
1934, this report has been signed below by the following persons
on behalf of the registrant and in the capacities and on the
dates indicated.
Date: 8/14/00 By: /s/ Leo E. Zickler
------- -----------------------------------------------
Leo E. Zickler
Chairman of the Board of Directors and
Chief Executive Officer
Date: 8/14/00 By: /s/ Francis P. Lavin
------- -----------------------------------------------
Francis P. Lavin
President
<PAGE 5>
OXFORD RESIDENTIAL PROPERTIES I LIMITED PARTNERSHIP
Quarterly Report
(Unaudited)
June 30, 2000
CONTENTS
Report of Management
Average Occupancy
Summary of Project Data
Consolidated Balance Sheets
Consolidated Statements of Operations
Consolidated Statement of Partners' Capital
Consolidated Statements of Cash Flows
Notes to Consolidated Financial Statements
Instructions for Investors who wish to reregister or
transfer ORP Assignee Units
<PAGE 6>
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Report to Management
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The following report provides additional information about the
consolidated financial condition of Oxford Residential Properties
I Limited Partnership ("ORP" or the "Partnership") as of June 30,
2000, and its consolidated results of operations for the three-
and six-month periods ended June 30, 2000, and its cash flows for
the six-month period ended June 30, 2000. This report and
analysis should be read together with the consolidated financial
statements and related notes thereto and the selected
consolidated financial data appearing elsewhere in this Quarterly
Report.
Recent Developments
On behalf of the Partnership, Oxford Residential Properties I
Corporation ("Managing General Partner"), will consider offers
made by Assignee Unitholders who wish to sell their Assignee
Units at such prices as may be set by the Managing General
Partner from time to time. The prices that will be paid will be
established by reference to prevailing secondary market prices,
however, it will be determined solely by the Managing General
Partner. This is neither an offer to purchase nor a solicitation
of an offer to sell by the Partnership. Since July 1995 and
through June 30, 2000, ORP has purchased, in the aggregate, 2,156
Assignee Units for approximately $868,000.
Liquidity and Capital Resources
Current Position. At June 30, 2000, ORP held $1,723,000 in
cash and cash equivalents and the working capital reserve,
compared to $1,344,000 at December 31, 1999, representing an
increase of approximately 28%. The increase of $379,000 is
primarily attributable to the properties' net operating incomes
after debt service, refurbishment expenses, and capitalized
improvements offset by the sum of the following: (i)
distributions made on February 28, 2000 to Partners of record as
of December 31, 1999 totaling approximately $355,000, (ii) the
purchase of Assignee Units totaling approximately $60,000, and
(iii) the payment of Partnership administrative expenses during
the six-month period ended June 30, 2000 totaling $86,000.
Other Assets shown on the accompanying consolidated Balance
Sheet increased by $119,000 to $1,128,000 at June 30, 2000, from
$1,009,000 at December 31, 1999. The increase in Other Assets is
primarily a result of an increase in prepaid contracts, property
insurance, and the property tax escrow subaccounts. Other Assets
include primarily a Liquidity Reserve Subaccount (for debt
service), a Recurring Replacement Reserve Subaccount (for
property improvements), a Property Insurance Escrow, and a
Property Tax Escrow for each of the Operating Partnerships
totaling approximately $961,000 at June 30, 2000. These
Subaccounts are funded and maintained monthly, as needed, from
property income (except security deposits), in accordance with
the requirements pursuant to each property's loan agreement and
based on expenditures anticipated in the following months.
Accounts Receivable and Prepaid Expenses totaling $50,000 and
$117,000 at June 30, 2000, respectively, are also included in
Other Assets.
Unamortized deferred costs relating to organization and
refinancing costs (discussed in prior reports) at June 30, 2000
were $227,000 compared to $260,000 at December 31, 1999. These
costs are being amortized over the term of the mortgages.
Accounts payable and accrued expenses shown on the consolidated
Balance Sheet decreased by $27,000 to $353,000 at June 30, 2000,
from $380,000 at December 31, 1999, primarily due to decreases in
the amount of property taxes accrued at the end of the six-month
period.
Property Operations. ORP's future liquidity and level of cash
distributions are dependent upon the net operating income after
debt service, refurbishment expenses, and capitalized
improvements generated by ORP's four investment properties and
proceeds from any sale or refinancing of those properties. To
the extent any individual property does not generate sufficient
cash to cover its operating needs, including debt service,
deficits would be funded by cash generated from the other
investment properties, if any, working capital reserves, if any,
or borrowings by ORP. Property improvements in the aggregate
amount of $270,000 were made for the six months ended June 30,
2000, compared to $530,000 for the same period in 1999. Of the
$270,000 of property improvements, $202,000 was capitalized for
financial statement purposes for the six months ended June 30,
2000, compared to $359,000 of the $530,000 of property
improvements for the same period in 1999.
<PAGE 7>
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Report to Management
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Other Sources. Since 1994, 40% of the property management fees
owed to NHP Management Company ("NHP") have been subordinated to
the receipt by the Assignee Unit Holders of certain returns. As
of June 30, 2000 and December 31, 1999, deferred property
management fees to NHP amounted to $952,000 and $871,000,
respectively.
Results of Operations
The net operating income, before debt service, refurbishment
expenses, and capitalized property improvements, from each of the
four investment properties for the quarter ended June 30, 2000,
as compared to the quarter ended June 30, 1999, is as follows:
<TABLE>
------------------------------------------------------------------------
<CAPTION>
(in thousands) (in thousands)
Three months ended Six months ended
June 30, June 30,
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Property 2000 1999 2000 1999
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<S> <C> <C> <C> <C>
Fairlane East, Dearborn, MI $ 440 $ 497 $ 905 $ 943
The Landings, Indianapolis, IN 137 112 264 247
Raven Hill, Burnsville, MN 402 373 778 720
Shadow Oaks, Tampa, FL 140 144 279 283
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Total Net Operating Income $1,119 $1,126 $2,226 $2,193
========================================================================
</TABLE>
Three months ended June 30, 2000
versus three months ended June 30, 1999
In the aggregate, the net operating income, before debt
service, refurbishment expenses, and capitalized property
improvements, reported by ORP for the quarter ended June 30,
2000, decreased by less than 1% compared to the quarter ended
June 30, 1999. Set forth below is a discussion of the properties
which compares their respective operations for the three-month
periods ended June 30, 2000 and 1999.
Fairlane East
Fairlane East's net operating income for the quarter ended
June 30, 2000 decreased by 11.5% from the same period in 1999 due
to a 2.5% increase in revenues offset by a 29.4% increase in
apartment expenses. The increase in revenues is primarily
attributable to increased rental income caused by lower than
budgeted vacancy and concession rates. The property's apartment
expense increase is primarily attributable to an increase in the
amount of property taxes accrued in the second quarter of 2000 as
compared to property taxes for the first six months of 1999 which
were under accrued and were later accrued in the second half of
1999. For the three-month periods ended June 30, 2000 and 1999,
average occupancy was 97%. During the three-month period ended
June 30, 2000, the Partnership expended $60,000 on property
improvements, including $41,000 capitalized for accounting
purposes.
The Landings
The Landings' net operating income for the quarter ended June
30, 2000 increased by 22.3% from the same period in 1999 due to a
1.2% increase in revenues and a 12.8% decrease in apartment
expenses. The increase in revenues is primarily attributable to
increased rental income and other income. The decrease in
apartment expenses is primarily attributable to reduced property
taxes. For the three-month periods ended June 30, 2000 and 1999
average occupancy was 96%. During the three-month period ended
June 30, 2000, the Partnership expended $19,000 on property
improvements, including $13,000 capitalized for accounting
purposes.
Raven Hill
Raven Hill's net operating income for the quarter ended June
30, 2000 increased by approximately 7.8% from the same period in
1999 due to a 3.4% increase in revenues and a 1.2% decrease in
apartment expenses. The increase in revenues is primarily
attributable to an increase in rental income. The decrease in
apartment expenses is primarily attributable to a decrease in
operating expenses. For the three-month period ended June 30,
2000, average occupancy increased to 99% compared to 98% for the
same period in 1999. During the three-month period ended June
30, 2000, the Partnership expended $54,000 on property
improvements, including $42,000 capitalized for accounting
purposes.
<PAGE 8>
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Report to Management
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Shadow Oaks
Shadow Oaks' net operating income for the quarter ended June
30, 2000 decreased by 2.8% from the same period in 1999 due to a
2.1% increase in revenues offset by a 7.2% increase in apartment
expenses. The increase in revenues was primarily attributable to
an increase in rental income. The increase in apartment expenses
is primarily due to increases in maintenance and operating
expenses. For the three-month periods ended June 30, 2000
average occupancy increased to 95% compared to 94% for the same
period in 1999. During the three-month period ended June 30,
2000, the Partnership expended $34,000 on property improvements,
including $29,000 capitalized for accounting purposes.
Six months ended June 30, 2000
versus six months ended June 30, 1999
In the aggregate, the net operating income, before debt
service, refurbishment expenses, and capitalized property
improvements, reported by ORP for the six-month period ended June
30, 2000, increased by $33,000, or 1.5% compared to the same
period ended June 30, 1999. Set forth below is a discussion of
the properties which compares their respective operations for the
six-month periods ended June 30, 2000 and 1999.
Fairlane East
Fairlane East's net operating income for the six months ended
June 30, 2000 decreased by 4.0% from the same period in 1999 due
to a 1.3% increase in revenues offset by a 10.6% increase in
apartment expenses. The increase in revenues was primarily
attributable to the property's increased rental income. The
property's apartment expense increase is primarily attributable
to an increase in property taxes. For the six-month periods
ended June 30, 2000 average occupancy decreased to 95% compared
to 97% for the same period in 1999. The weighted average rent
collected for the month ended June 30, 2000 increased by 3.9% to
$1,054, compared to $1,014 for the same period in 1999. During
the six-month period ended June 30, 2000, the Partnership
expended $90,000 on property improvements, including $58,000
capitalized for accounting purposes. The Managing General
Partner anticipates slightly higher spending levels on property
improvements in 2000, as compared to the year ended December 31,
1999, to improve its competitive position.
The Landings
The Landings' net operating income for the six-months ended
June 30, 2000 increased by 6.9% from the same period in 1999 due
to a 3.0% decrease in revenues offset by a 10.9% decrease in
apartment expenses. The decrease in revenues was due to a
decrease in other income. The decrease in apartment expenses was
primarily attributable to reduced property taxes. For the six-
month periods ended June 30, 2000 average occupancy decreased to
91% compared to 94% for the same period in 1999. The weighted
average rent collected for the month ended June 30, 2000
increased by 1.4% to $635, compared to $626 for the same period
in 1999. During the six-month period ended June 30, 2000, the
Partnership expended $31,000 on property improvements, including
$23,000 capitalized for accounting purposes. The Managing
General Partner anticipates slightly lower spending levels on
property improvements in 2000, as compared to the year ended
December 31, 1999.
Raven Hill
Raven Hill's net operating income for the six months ended
June 30, 2000 increased by approximately 8.1% from the same
period in 1999 due to a 5.0% increase in revenues offset by a
1.8% increase in apartment expenses. The increase in revenues is
primarily a result of increased rental income. The increase in
apartment expenses is primarily attributable to an increase in
operating and administrative expenses. Average occupancy for the
six months ended June 30, 2000 and 1999 average occupancy was
98%. The weighted average rent collected for the month ended
June 30, 2000 increased by 5.0% to $782, compared to $746 for the
same period in 1999. During the six-month period ended June 30,
2000, the Partnership expended $80,000 for property improvements
of which $64,000 was capitalized for accounting purposes. The
Managing General Partner anticipates slightly higher spending
levels on property improvements in 2000, as compared to the year
ended December 31, 1999.
<PAGE 9>
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Report to Management
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Shadow Oaks
Shadow Oaks' net operating income for the quarter ended June
30, 2000 decreased by 1.4% from the same period in 1999 due to a
2.4% increase in revenues offset by a 5.7% increase in apartment
expenses. The increase in revenues is primarily a result of
increased rental income. The increase in apartment expenses is
primarily attributable to increases in administrative expenses.
Average occupancy for the six months ended June 30, 2000 and 1999
average occupancy was 95%. The weighted average rent collected
for the month ended June 30, 2000 increased by approximately 5.5%
to $518, compared to $491 for the same period in 1999. During
the six-month period ended June 30, 2000, the Partnership
expended $68,000 on property improvements, including $57,000
capitalized for accounting purposes. The Managing General Partner
anticipates slightly lower spending levels on property
improvements in 2000, as compared to the year ended December 31,
1999.
Consolidated Statements of Operations-Other Income and Deductions
For the six-month period ended June 30, 2000, ORP's net income
increased by approximately 27.5% compared to the prior year
comparative period due to a 2.2% increase in revenues offset by a
1.2% decrease in total expenses. Interest income from operating
funds for the six-month periods ended June 30, 2000 and 1999 was
$45,000 and $51,000, respectively. Other income was $142,000 and
$168,000, respectively, for the six-month periods ended June 30,
2000 and 1999. The decrease was primarily due to decreases in
interest income from the Replacement Reserve Escrow accounts
maintained for each of the properties in the portfolio.
ORP's administrative expenses for the six-month periods ended
June 30, 2000 and 1999 were $86,000 and $89,000, respectively.
The terms of the mortgage loans require the borrowers to make
equal installment payments over the term of the loans. Each
payment consists of interest on the unpaid balance of the loans
and a reduction of loan principal. The interest paid on these
loans decreases each period, while the portion applied to the
loan principal increases each period. As a result, interest
expense was $834,000 and $851,000, respectively, and principal
paid was $222,000 and $204,000 for the six-month periods ended
June 30, 2000 and 1999, respectively.
Depreciation expense for the six-month periods ended June 30,
2000 and 1999 was $647,000 and $627,000, respectively. The
increase in depreciation expense is due to the increase in
property improvements capitalized for accounting purposes for the
six months ended June 30, 2000 compared to the same period in
1999. Amortization expense for the six-month periods ended June
30, 2000 and 1999 was $33,000.
For the six-month periods ended June 30, 2000 and 1999, of the
total property improvements in the aggregate amounts of $270,000
and $530,000, respectively, $68,000 and $171,000, respectively,
were classified as refurbishment expenses for financial statement
purposes. The remaining balances of $202,000 and $359,000,
respectively, were capitalized for financial statement purposes.
<PAGE 10>
THIS REPORT CONTAINS STATEMENTS THAT ARE FORWARD-LOOKING
STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES
LITIGATION REFORM ACT OF 1995, SECTION 21E OF THE SECURITIES
EXCHANGE ACT OF 1934, AS AMENDED, AND SECTION 27A OF THE
SECURITIES ACT OF 1933, AS AMENDED, AND IS SUBJECT TO THE SAFE
HARBORS CREATED BY THOSE SECTIONS. THESE FORWARD-LOOKING
STATEMENTS REFLECT MANAGEMENT'S CURRENT VIEWS WITH RESPECT TO
FUTURE EVENTS AND FINANCIAL PERFORMANCE. ACTUAL RESULTS MAY
DIFFER MATERIALLY FROM THOSE DESCRIBED IN THE FORWARD-LOOKING
STATEMENTS, AND WILL BE AFFECTED BY A VARIETY OF RISKS AND
FACTORS. THESE STATEMENTS ARE SUBJECT TO MANY UNCERTAINTIES AND
RISKS, AND SHOULD NOT BE CONSIDERED GUARANTEES OF FINANCIAL
PERFORMANCE. READERS SHOULD REVIEW CAREFULLY ORP's FINANCIAL
STATEMENTS AND THE NOTES THERETO, AS WELL AS RISK FACTORS
DESCRIBED IN THE SEC FILINGS. ORP DISCLAIMS ANY OBLIGATION TO
PUBLICLY RELEASE THE RESULTS OF ANY REVISIONS TO THESE FORWARD-
LOOKING STATEMENTS WHICH MAY BE MADE TO REFLECT EVENTS OR
CIRCUMSTANCES OCCURRING SUBSEQUENT TO THE FILING OF THE FORM 10 Q
WITH THE SEC OR OTHERWISE TO REVISE OR UPDATE ANY ORAL OR WRITTEN
FORWARD-LOOKING STATEMENT THAT MAY BE MADE FROM TIME TO TIME BY
OR ON BEHALF OF ORP.
<PAGE 11>
<TABLE>
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Average Occupancy
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The average occupancy for each of the four investment properties is shown in
the following chart:
For the Quarter Ended
Property/ Acquisition -----------------------------------------------------------
Location Date 3/31/99 6/30/99 9/30/99 12/31/99 3/31/00 6/30/00
-----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Fairlane East 12/23/85 96% 97% 98% 94% 92% 97%
Dearborn, Michigan
The Landings 10/31/84 93% 96% 93% 88% 87% 96%
Indianapolis, Indiana
Raven Hill 12/24/86 97% 98% 98% 98% 98% 99%
Burnsville, Minnesota
Shadow Oaks 2/07/85 95% 94% 95% 92% 94% 95%
Tampa, Florida
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</TABLE>
<TABLE>
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Summary of Project Data (in thousands)
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2000 Operating Results through 6/30/00 (in thousands)
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NOI
Average Rent Collected<F1> Before Property NOI
Property/ No. of June June Apartment Apartment Improvements Property Before
Location Units 2000 1999 Revenues Expenses & Debt Service Improvements Debt Service <F3>
---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Fairlane East 244 $1,071 $1,017 $1,506 $ 601 $ 905 $ 90 $ 815
Dearborn, Michigan
The Landings 150 650 629 538 274 264 32 232
Indianapolis, Indiana
Raven Hill 304 791 753 1,466 688 778 80 698
Burnsville, Minnesota
Shadow Oaks 200 527 486 614 335 279 68 211
Tampa, Florida
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Total 898 $4,124 $1,898 $2,226 $ 270 $1,956
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<FN>
<F1> Represents net rental revenue collected for the month divided by the average
number of units occupied during the month.
<F2> Represents total property improvement costs, including capitalized costs
totaling $202,000 incurred during the six month period ended June 30, 2000.
<F3> The total NOI after debt service of $1,956,000 is $293,000 (17.6%) greater
than the comparable total for the six month period ending June 30, 1999.
</FN>
</TABLE>
<PAGE 12>
<TABLE>
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Oxford Residential Properties I Limited Partnership and Subsidiaries
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Consolidated Balance Sheets (in thousands)
<CAPTION>
June 30, 2000 December 31, 1999
(Unaudited)
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<S> <C> <C>
Assets
Investment properties, at cost
Land $ 3,681 $ 3,681
Buildings and improvements, net
of accumulated depreciation
of $18,008 and $17,361,
respectively 19,419 19,864
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Total Investment Properties 23,100 23,545
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Cash and cash equivalents 1,723 1,322
Working capital reserve 0 22
Tenant security deposits 200 178
Deferred costs, net of amortization
of $2,690 and $2,657, respectively 227 260
Other assets 1,128 1,009
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3,278 2,791
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Total Assets $26,378 $26,336
====================================================================
Liabilities and Partners' Capital
Liabilities
Mortgage notes payable $20,119 $20,341
Accounts payable and accrued expenses 353 380
Distributions payable 353 355
Other liabilities 952 871
Tenant security deposits 200 178
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Total Liabilities 21,977 22,125
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Partners' Capital
General Partners (999) (1,011)
Assignor Limited Partner 1 1
Assignee Unit Holders (25,714
Assignee Units issued and 23,558
outstanding for June 30, 2000;
23,667 outstanding for
December 31, 1999) 5,399 5,221
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Total Partners' Capital 4,401 4,211
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Total Liabilities and
Partners' Capital $26,378 $26,336
====================================================================
The accompanying notes are an integral part of these
consolidated financial statements.
</TABLE>
<PAGE 13>
<TABLE>
Oxford Residential Properties I Limited Partnership and Subsidiaries
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Consolidated Statements of Operations (in thousands, except Net
Income per Assignee Unit and Weighted average number of Assignee
Units Outstanding) (Unaudited)
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<CAPTION>
Three months ended June 30, Six months ended June 30,
--------------------------- -------------------------
2000 1999 2000 1999
-------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Apartment Revenues
Rental income $2,035 $1,950 $3,982 $3,868
Other income 76 107 142 168
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Total Apartment Revenues 2,111 2,057 4,124 4,036
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Apartment Expenses
Maintenance 318 335 591 613
Operating 162 145 365 329
Administrative 146 135 271 255
Property management fees 104 101 203 198
Property taxes 229 184 405 386
Marketing 33 31 63 62
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Total Apartment Expenses 992 931 1,898 1,843
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Net Operating Income 1,119 1,126 2,226 2,193
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Other Deductions
Interest expense 416 424 834 851
Depreciation and
amortization 353 345 680 660
Refurbishment expenses 42 113 68 171
Interest income (27) (32) (45) (51)
Partnership administrative
expenses 41 65 86 89
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Total Other Deductions 825 915 1,623 1,720
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Net Income $ 294 $ 211 $ 603 $ 473
===============================================================================
Net Income Allocated to
Assignee Unit Holders $ 288 $ 207 $ 591 $ 464
===============================================================================
Net Income per
Assignee Unit $14.27 $ 8.67 $25.06 $19.36
===============================================================================
Weighted average number of
Assignee Units
Outstanding 23,583 23,869 23,611 23,965
===============================================================================
The accompanying notes are an integral part of these
consolidated financial statements.
</TABLE>
<PAGE 14>
<TABLE>
Oxford Residential Properties I Limited Partnership and Subsidiaries
--------------------------------------------------------------------
Consolidated Statement of Partners' Capital (in thousands)
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<CAPTION>
For the period ended June 30, 2000
----------------------------------
Limited Partners'
Interests
--------------------
Assignee Assignor
Unit Limited General
Holders Partner Partners Total
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<S> <C> <C> <C> <C>
Balance, December 31, 1999 $5,221 $1 $(1,011) $4,211
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Net income, June 30, 2000 591 0 12 603
Distribution to Assignee Unit Holders (353) 0 0 (353)
Purchase of Assignee Units (60) 0 0 (60)
-----------------------------------------------------------------------
Balance, June 30, 2000
(Unaudited) $5,399 $1 $(999) $4,401
=======================================================================
The accompanying notes are an integral part of these
consolidated financial statements.
</TABLE>
<PAGE 15>
<TABLE>
Oxford Residential Properties I Limited Partnership and Subsidiaries
--------------------------------------------------------------------
Consolidated Statements of Cash Flows (in thousands)
(Unaudited)
--------------------------------------------------------------------
<CAPTION>
Six months ended June 30,
----------------------------
2000 1999
--------------------------------------------------------------------
<S> <C> <C>
Operating activities
Net income $ 603 $ 473
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation and amortization 680 660
Changes in assets and liabilities:
Tenant security deposits liability 22 5
Tenant security deposits (22) (5)
Other assets (119) (122)
Accounts payable and accrued expenses (27) 98
Other liabilities 81 80
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Net cash provided by operating activities 1,218 1,189
--------------------------------------------------------------------
Investing activities
Working capital reserve 22 (258)
Additions to investment properties (202) (359)
--------------------------------------------------------------------
Net cash (used in) provided by investing
activities (180) (617)
--------------------------------------------------------------------
Financing activities
Distributions paid (355) (361)
Mortgage principal paid (222) (204)
Purchase of Assignee Units (60) (147)
--------------------------------------------------------------------
Net cash used in financing activities (637) (712)
--------------------------------------------------------------------
Net increase (decrease) in cash and
cash equivalents 401 (140)
Cash and cash equivalents, beginning
of period 1,322 1,288
--------------------------------------------------------------------
Cash and cash equivalents, end
of period $ 1,723 $ 1,148
====================================================================
The accompanying notes are an integral part of these
consolidated financial statements.
</TABLE>
<PAGE 16>
-----------------------------------------------------------------
Notes to Consolidated Financial Statements
-----------------------------------------------------------------
Note 1. Financial Statements.
The consolidated financial statements reflect all adjustments
which, in the opinion of Oxford Residential Properties I
Corporation, the managing general partner (the "Managing General
Partner") of Oxford Residential Properties I Limited Partnership
("ORP" or the "Partnership"), are necessary to present fairly the
Partnership's Consolidated Balance Sheets as of June 30, 2000 and
December 31, 1999, the Consolidated Statements of Operations for
the three-month and six-month periods ended June 30, 2000 and
1999, the Consolidated Statement of Partners' Capital as of June
30, 2000, and the Consolidated Statements of Cash Flows for the
six-month periods ended June 30, 2000 and 1999, according to
generally accepted accounting principles. Although the Managing
General Partner believes the disclosures presented are adequate
to make the information not misleading, these statements should
be read in conjunction with the audited consolidated financial
statements and the notes included in the Partnership's Annual
Report for the year ended December 31, 1999.
For financial reporting purposes, the net income per assignee
unit of limited partnership of ORP ("Assignee Unit") has been
calculated by dividing the portion of the Partnership's net
income allocable to Assignee Unit Holders (98%) by the weighted
average of Assignee Units outstanding. In all computations of
earnings per Assignee Unit, the weighted average of Assignee
Units outstanding during the period constitutes the basis for the
net income amounts per Assignee Unit on the Consolidated
Statements of Operations.
Note 2. Transactions with Affiliates.
The Partnership has no directors or officers. The Managing
General Partner and its affiliates do not receive any direct
compensation, but receive fees and are reimbursed by ORP for any
actual direct costs and expenses incurred in connection with the
operation of the Partnership.
Expense reimbursements are for an affiliate's personnel costs,
travel expenses and interest on interim working capital advances,
which were not covered separately by fees. Total reimbursements
to the Managing General Partner and its affiliates for the six-
month period ended June 30, 2000, were approximately $29,000 for
administrative and accounting-related costs, compared to $44,000
for the same period in 1999.
An affiliate of NHP Management Company, the property manager,
has a separate services agreement with Oxford Realty Financial
Group, Inc. ("ORFG"), an affiliate of the Managing General
Partner, pursuant to which ORFG provides certain services to NHP
in exchange for service fees in an amount equal to 25.41% of all
fees collected by NHP from certain properties, including those
owned by the Partnership.
Note 3. Other Liabilities
Other Liabilities. Under the Property Management Agreements
with NHP Management Company, the management fee is equal to 5% of
gross collections for all properties; however, 40% of this fee is
subordinated until certain distribution preference levels to the
Limited Partners or Assignee Unit Holders are achieved. Property
management fees of $81,000 and $80,000 for the six-month periods
ended June 30, 2000 and 1999, respectively, have been deferred.
Note 4. Mortgage Notes Payable.
Effective January 12, 1994, separate mortgage loans were made
to each of the four ownership entities (as discussed in prior
reports) in the aggregate original principal amount of
$22,362,000. These mortgage loans are not cross-collateralized,
nor are they cross-defaulted. Each note bears interest at a
fixed rate of 8.25% per annum and matures on February 11, 2004.
The total monthly principal and interest payment is $176,000. As
of June 30, 2000, the total outstanding balance of the four
mortgage notes payable was $20,119,000. The properties are in
compliance with their respective debt service agreements as of
June 30, 2000.
<PAGE 17>
-----------------------------------------------------------------
Notes to Consolidated Financial Statements
-----------------------------------------------------------------
The individual outstanding mortgage notes payable as of June 30,
2000, and monthly debt service are as follows:
<TABLE>
-------------------------------------------------------------------
<CAPTION>
Property Collateralizing Debt Outstanding Monthly
(in thousands) Mortgage Debt Service<F1>
-------------------------------------------------------------------
<S> <C> <C>
Fairlane East, Dearborn, Michigan $ 9,244 $ 81
The Landings, Indianapolis, Indiana 3,047 26
Raven Hill, Burnsville, Minnesota 4,656 41
Shadow Oaks, Tampa, Florida 3,172 28
-------------------------------------------------------------------
$ 20,119 $176
===================================================================
<FN>
<F1> Includes principal and interest.
</FN>
</TABLE>
<PAGE 18>
-----------------------------------------------------------------
Instructions for Investors who wish to reregister or transfer ORP
Assignee Units
-----------------------------------------------------------------
Please follow the instructions below if you wish to reregister or
transfer ownership of your Oxford Residential Properties I
Limited Partnership ("ORP" or the "Partnership") Assignee Units.
No transfers or sales can be effected without the consent of the
Managing General Partner and the completion of the proper
documents.
To cover the costs associated with processing transfers, MMS
Escrow & Transfer Agency, Inc. ("MMS"), the transfer agent for
ORP, charges $25 for each transfer of ORP Assignee Units
between related parties, and $50 per seller for each transfer
for consideration (sale). The only exception is a transfer to
a surviving joint holder of Assignee Units when the other
joint holder dies, in which case no fee is charged. MMS
charges $150 for the conversion of Assignee Units into a
limited partner interest.
To transfer ownership of Assignee Units held in a Merrill
Lynch account, please have your Merrill Lynch financial
consultant contact Merrill Lynch Partnership Operations in New
Jersey at (201) 557-1619 to request the necessary transfer
documents. Merrill Lynch Partnership Operations will only
accept calls from your financial consultant. YOU MUST HAVE
THE PROPER TRANSFER DOCUMENTS FROM MERRILL LYNCH TO EFFECT A
TRANSFER. Your financial consultant must contact Partnership
Operations, as ORP Investor Services does not send out
transfer papers for Assignee Units held in a Merrill Lynch
account.
Investors who no longer hold their Assignee Units in a Merrill
Lynch account should contact ORP Investor Services at (248)
614-4550 or P.O. Box 7090, Troy, Michigan 48007-9921, to
obtain transfer documents. YOU MUST OBTAIN THE PROPER
TRANSFER DOCUMENTS FROM ORP INVESTOR SERVICES TO EFFECT A
TRANSFER OF ASSIGNEE UNITS WHICH YOU HOLD PERSONALLY.
To redeposit your ORP units into a Merrill Lynch account,
please notify ORP Investor Services in writing after the
Merrill Lynch account has been opened. ORP Investor Services
will then instruct Merrill Lynch to deposit the Assignee Units
into the account.
Please remember to notify ORP Investor Services in writing at
the address below or by calling (248) 614-4550 in the event
you change your mailing address or your financial consultant.
We can then continue to provide you and your representative
with timely information about your investment in Oxford
Residential Properties I Limited Partnership.
The Quarterly Report on Form 10-Q for the quarter ended June
30, 2000, filed with the Securities and Exchange Commission,
is available to Assignee Unit Holders and may be obtained by
writing:
Investor Services
Oxford Residential Properties I Limited Partnership
P.O. Box 7090
Troy, Michigan 48007-9921
(248) 614-4550
