FORM 10-Q--QUARTERLY REPORT UNDER SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
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, 1998
or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from .........to.........
(Amended by Exch Act Rel No. 312905 eff. 4/26/93.)
Commission file number 0-14528
CENTURY PENSION INCOME FUND XXIII
(Exact name of registrant as specified in its charter)
California 94-2963120
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
One Insignia Financial Plaza
Greenville, South Carolina 29602
(Address of principal executive offices)
(864) 239-1000
(Registrant's telephone number)
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 .
PART I - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
a)
CENTURY PENSION INCOME FUND XXIII
CONSOLIDATED BALANCE SHEETS
(in thousands, except unit data)
June 30, December 31,
1998 1997
(Unaudited) (Note)
Assets
Cash and cash equivalents $ 10,602 $ 9,366
Receivables and deposits 1,271 1,118
Other assets 284 332
Mortgage loan receivable 1,137 1,137
Deferred charges 1,330 1,533
Investment properties:
Land 15,970 15,970
Buildings and related personal property 62,926 62,629
78,896 78,599
Less accumulated depreciation (23,572) (22,358)
55,324 56,241
$ 69,948 $ 69,727
Liabilities and Partners' Deficit
Liabilities
Accounts payable $ 22 $ 34
Tenant security deposit liabilities 351 367
Accrued property taxes 365 258
Accrued interest - promissory notes 1,048 1,048
Accrued interest - notes payable 181 165
Other liabilities 194 274
Notes payable 6,856 6,856
Non-recourse promissory notes:
Principal 41,939 41,939
Deferred interest payable 35,959 34,576
Minority interest in consolidated
joint ventures 7,676 7,429
Partners' Deficit
General partner's (1,333) (1,284)
Limited partners' (95,789 units issued and
outstanding at June 30, 1998 and
December 31, 1997) (23,310) (21,935)
(24,643) (23,219)
$ 69,948 $ 69,727
Note: The balance sheet at December 31, 1997, has been derived from the
audited financial statements at that date but does not include all of the
information and footnotes required by generally accepted accounting
principles for complete financial statements.
See Accompanying Notes to Consolidated Financial Statements
b)
CENTURY PENSION INCOME FUND XXIII
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except unit data)
1998 1997 1998 1997
Revenues:
Rental income $ 2,763 $ 2,568 $ 5,562 $ 5,324
Interest income on mortgage
loans 21 21 41 41
Other income 143 133 283 267
Total revenues 2,927 2,722 5,886 5,632
Expenses:
Operating 835 738 1,534 1,574
General and administrative 225 264 496 511
Depreciation 622 585 1,214 1,206
Interest on notes payable 207 207 414 639
Interest to promissory note
holders 1,215 1,215 2,431 2,431
Amortization of deferred
charges 106 105 216 210
Property taxes 379 405 738 818
Total expenses 3,589 3,519 7,043 7,389
Loss before minority
interest in joint ventures'
operations and extraordinary
gain on foreclosure (662) (797) (1,157) (1,757)
Minority interest in joint
ventures' operations (99) (90) (246) (177)
Loss before extraordinary gain (761) (887) (1,403) (1,934)
Extraordinary gain on
foreclosure -- -- -- 5,337
Net (loss) income $ (761) $ (887) $ (1,403) $ 3,403
Net (loss) income allocated to
general partner $ (15) $ (18) $ (28) $ 1,028
Net (loss) income allocated to
limited partners (746) (869) (1,375) 2,375
$ (761) $ (887) $ (1,403) $ 3,403
Net (loss) income per limited
partnership unit:
Loss before extraordinary gain $ (7.79) $ (9.07) $ (14.35) $ (19.78)
Extraordinary gain on
Foreclosure -- -- -- 44.58
Net (loss) income per limited
Partnership unit $ (7.79) $ (9.07) $ (14.35) $ 24.80
See Accompanying Notes to Consolidated Financial Statements
c)
CENTURY PENSION INCOME FUND XXIII
CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' DEFICIT
(Unaudited)
(in thousands, except unit data)
<TABLE>
<CAPTION>
Limited
Partnership General Limited
Units Partner's Partners' Total
<S> <C> <C> <C> <C>
Original capital contributions 95,789 $ 958 $ 47,894 $ 48,852
Partners' deficit
at December 31, 1996 95,789 $(2,206) $(21,186) $(23,392)
Distribution to general partner -- (21) -- (21)
Net income for the six months
ended June 30, 1997 -- 1,028 2,375 3,403
Partners' deficit
at June 30, 1997 95,789 $(1,199) $(18,811) $(20,010)
Partners' deficit
at December 31, 1997 95,789 $(1,284) $(21,935) $(23,219)
Distribution to general partner -- (21) -- (21)
Net loss for the six months
ended June 30, 1998 -- (28) (1,375) (1,403)
Partners' deficit
at June 30, 1998 95,789 $(1,333) $(23,310) $(24,643)
<FN>
See Accompanying Notes to Consolidated Financial Statements
</FN>
</TABLE>
d)
CENTURY PENSION INCOME FUND XXIII
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(in thousands)
<TABLE>
<CAPTION>
Six Months Ended
June 30,
1998 1997
<S> <C> <C>
Cash flows from operating activities:
Net (loss) income $ (1,403) $ 3,403
Adjustments to reconcile net (loss) income to net cash
provided by operating activities:
Depreciation 1,214 1,206
Amortization of deferred charges and lease commissions 350 326
Minority interest in joint ventures' operations 246 177
Deferred interest on non-recourse promissory notes 1,383 1,383
Extraordinary gain on foreclosure -- (5,337)
Casualty gain -- (37)
Change in accounts:
Receivables and deposits (152) (90)
Other assets 48 (311)
Deferred charges (147) --
Accounts payable (12) (115)
Tenant security deposit liabilities (16) (6)
Accrued property taxes 107 90
Other liabilities (80) (19)
Accrued interest on notes payable 16 241
Net cash provided by operating activities 1,554 911
Cash flows from investing activities:
Property replacements and improvements (297) (272)
Net cash used in investing activities (297) (272)
Cash flows from financing activities:
Cash distributions to the general partner (21) (21)
Net cash used in financing activities (21) (21)
Net increase in cash and cash equivalents 1,236 618
Cash and cash equivalents at beginning of period 9,366 8,289
Cash and cash equivalents at end of period $ 10,602 $ 8,907
Supplemental disclosure of cash flow information:
Cash paid for interest - notes payable $ 398 $ 398
Cash paid for interest - non-recourse promissory notes $ 1,048 $ 1,048
<FN>
See Accompanying Notes to Consolidated Financial Statements
</FN>
</TABLE>
CENTURY PENSION INCOME FUND XXIII
CONSOLIDATED STATEMENTS OF CASH FLOWS - CONTINUED
(Unaudited)
(in thousands)
SUPPLEMENTAL DISCLOSURES OF NON-CASH ACTIVITIES
Foreclosure:
During the six months ended June 30, 1997, Sunnymead Towne Center was foreclosed
upon by the lender. In connection with this foreclosure, approximately $67,000
in cash was transferred to the lender as partial settlement on the outstanding
debt. This cash was previously classified as restricted cash on the
Partnership's balance sheet. In addition, the following balance sheet accounts
were adjusted by the non-cash amounts noted below (in thousands):
June 30, 1997
Receivables and deposits $ (663)
Other assets (27)
Investment properties (5,714)
Tenant security deposit liabilities 42
Accrued interest on notes payable 1,591
Other liabilities 8
Notes payable 10,100
Casualty Gain:
The Partnership recorded a net casualty gain during the six months ended June
30, 1997, resulting from a fire at The Enclaves which destroyed six apartment
units. The damage resulted in a net gain of approximately $37,000. The
following balance sheet accounts were adjusted by the non-cash amounts noted
below (in thousands):
1997
Receivables and other assets $133
Building and related personal property 143
Other liabilities (143)
e)
CENTURY PENSION INCOME FUND XXIII
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
NOTE A - GOING CONCERN
The accompanying consolidated financial statements have been prepared assuming
Century Pension Income Fund XXIII (the "Partnership") will continue as a going
concern, which contemplates the realization of assets and satisfaction of
liabilities in the normal course of business. As discussed in "Item 2,
Management's Discussion and Analysis or Plan of Operation," the Non-Recourse
Promissory Notes (the "Notes"), totaling approximately $79,627,000 (at maturity)
in principal and deferred interest, mature on February 15, 1999. The Managing
General Partner believes that the values of the properties are significantly
less than the amount of debt owed and, unless there is a lender workout or loan
extension, the properties will most likely be lost through foreclosure. The
Managing General Partner is currently evaluating the likelihood of a lender
workout or extension of the maturity date of the Notes. However, there can be
no assurance that these courses of action will be successful or that the
Partnership will have sufficient funds to meet its 1999 obligations. These
conditions raise substantial doubt about the Partnership's ability to continue
as a going concern.
The financial statements do not include any adjustments relating to the
recoverability and classification of recorded asset amounts or the amounts and
classification of liabilities that might be necessary should the Partnership be
unable to continue as a going concern.
NOTE B - BASIS OF PRESENTATION
The accompanying unaudited financial statements of the Partnership have been
prepared in accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-Q and Article 10 of
Regulation S-X. Accordingly, they do not include all of the information and
footnotes required by generally accepted accounting principles for complete
financial statements. In the opinion of Fox Capital Management Corporation
("FCMC" or the "Managing General Partner"), a California corporation and the
managing general partner of the Partnership's general partner, all adjustments
(consisting of normal recurring accruals) considered necessary for a fair
presentation have been included. Operating results for the three and six month
periods ended June 30, 1998, are not necessarily indicative of the results that
may be expected for the fiscal year ending December 31, 1998. For further
information, refer to the financial statements and footnotes thereto included in
the Partnership's annual report on Form 10-K for the year ended December 31,
1997.
Certain reclassifications have been made to the 1997 information to conform to
the 1998 presentation.
NOTE C - TRANSACTIONS WITH AFFILIATED PARTIES
The Partnership has no employees and is dependent on the Managing General
Partner and its affiliates for the management and administration of all
partnership activities. The Managing General Partner is wholly-owned by Insignia
Properties Trust ("IPT"), an affiliate of Insignia Financial Group, Inc.
("Insignia"). The Partnership Agreement provides for certain payments to
affiliates for services and as reimbursement of certain expenses incurred by
affiliates on behalf of the Partnership.
The following transactions with the Managing General Partner and its affiliates
were incurred during the six months ended June 30, 1998 and 1997:
1998 1997
(in thousands)
Property management fees (included in operating
expense) $ 81 $ 76
Reimbursement for services of affiliates (included
in general and administrative expenses) 123 98
Partnership management fee (included in general
and administrative expenses) 55 55
For the period ended June 30, 1998, approximately $2,000 in reimbursements for
construction oversight costs are included in operating expense. There were no
such costs for the period ended June 30, 1997.
For the period from January 1, 1997, to August 31, 1997, the Partnership insured
its properties under a master policy through an agency affiliated with the
Managing General Partner with an insurer unaffiliated with the Managing General
Partner. An affiliate of the Managing General Partner acquired, in the
acquisition of a business, certain financial obligations from an insurance
agency which was later acquired by the agent who placed the master policy. The
agent assumed the financial obligations to the affiliate of the Managing General
Partner which received payments on these obligations from the agent. The amount
of the Partnership's insurance premiums accruing to the benefit of the affiliate
of the Managing General Partner by virtue of the agent's obligations was not
significant.
In accordance with the Partnership Agreement (the "Agreement") the General
Partner was allocated its two percent continuing interest in the Partnership's
net income or loss and taxable income or loss exclusive of gains or losses on
any property dispositions. The extraordinary gain on the Sunnymead foreclosure
recognized during the six month period ended June 30, 1997 was allocated 20% to
the General Partner and 80% to the limited partners per the terms of the
Agreement.
The partnership management fee is limited by the Agreement to ten percent of net
cash available for distribution before interest payments to the Promissory
Noteholders and the partnership management fee. The Managing General Partner
received cash distributions totaling approximately $21,000 during each of the
six month periods ended June 30, 1998 and 1997.
On March 17, 1998, Insignia entered into an agreement to merge its national
residential property management operations, and its controlling interest in IPT,
with Apartment Investment and Management Company ("AIMCO"), a publicly traded
real estate investment trust. The closing, which is anticipated to happen in
the third quarter of 1998, is subject to customary conditions, including
government approvals and the approval of Insignia's shareholders. If the
closing occurs, AIMCO will then control the Managing General Partner of the
Partnership.
NOTE D - FORECLOSURE OF SUNNYMEAD TOWNE SHOPPING CENTER
On March 27, 1997, the Sunnymead Towne Shopping Center ("Sunnymead") located in
Moreno Valley, California, was foreclosed on. Several significant tenants
vacated Sunnymead in 1995 and 1996 and the Partnership recorded a provision for
impairment of value. In 1996 the Partnership ceased making debt service
payments and the property was placed in receivership in May of 1996. The
Managing General Partner determined it was not in the Partnership's best
interest to contest the foreclosure action as the value of the Sunnymead
property was estimated at less than the debt. As a result of the foreclosure,
the Partnership recorded a gain on foreclosure of approximately $5,337,000
during the six month period ended June 30, 1997. Prior to the foreclosure, the
outstanding debt on the property was a note payable with a principal balance of
$10,100,000 and accrued interest of approximately $1,591,000.
ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION
The Partnership's remaining investment properties consist of one apartment
complex, four business parks and two shopping centers, as well as three business
parks and a shopping center owned by two consolidated joint ventures between the
Partnership and an affiliated partnership. The following table sets forth the
average physical occupancy for the six months ended June 30, 1998 and 1997:
Average
Occupancy
Property 1998 1997
Commerce Plaza 100% 100%
Tampa, Florida
Regency Centre 90% 95%
Lexington, Kentucky
Highland Park Commerce 90% 89%
Center - Phase II
Charlotte, North Carolina
Interrich Plaza 100% 64%
Richardson, Texas
Centre Stage Shopping Center 96% 99%
Norcross, Georgia
The Enclaves 94% 92%
Atlanta, Georgia
Medtronics 100% 100%
Irvine, California
CORAL PALM PLAZA JOINT VENTURE:
Coral Palm Plaza 69% 74%
Coral Springs, Florida
MINNEAPOLIS BUSINESS PARKS
JOINT VENTURE:
Alpha Business Center 93% 91%
Bloomington, Minnesota
Plymouth Service Center 100% 100%
Plymouth, Minnesota
Westpoint Business Center 93% 97%
Plymouth, Minnesota
The Managing General Partner attributes the decrease in occupancy at Regency
Centre to a vacancy created by a tenant moving out of a 10,810 sq. foot space.
In April of 1998 a new lease was signed for this space and the tenant moved in
during the month of May. Occupancy at Interrich Plaza is currently at 100% due
to the demand for warehouse space in the Dallas/Fort Worth area. Occupancy at
Centre Stage Shopping Center decreased due to a vacancy created by a tenant
moving out. A new lease has been signed for this space and the tenant will move
in at the beginning of July. Occupancy at Coral Palm Plaza decreased as a
result of two tenants vacating the property during the fourth quarter of 1997.
Occupancy at Westpoint Business Center decreased as a result of a tenant
exercising a termination option. A new lease has been signed to occupy this
space.
Results of Operations
The Partnership's net loss for the six months ended June 30, 1998 was
approximately $1,403,000 compared to net income of approximately $3,403,000 for
the six months ended June 30, 1997. The Partnership's net loss for the three
months ended June 30, 1998 was approximately $761,000 compared to a net loss of
approximately $887,000 for the corresponding period of 1997. The decrease in
net income is primarily attributable to the extraordinary gain of approximately
$5,337,000 on the foreclosure of Sunnymead Towne Shopping Center during the six
months ended June 30, 1997 (see "Item 1. Financial Statements, Note D"). The
Partnership's loss before the extraordinary gain for the three and six month
periods ended June 30, 1998 was approximately $761,000 and $1,403,000,
respectively, compared to approximately $887,000 and $1,934,000, respectively,
for the comparable period of 1997. The decrease in loss before the
extraordinary gain was partly due to the foreclosure of Sunnymead. In addition,
the decrease in interest expense is primarily attributable to the absence of
interest related to the Sunnymead mortgage. The Partnership realized a net loss
from the operations of Sunnymead of approximately $174,000 in 1997. In
addition, the Partnership realized an increase in rental income from several of
its remaining investment properties due to increases in occupancy as stated
above. Rental income also increased at Commerce Plaza, Regency Center and Coral
Palm Plaza. The increase at Commerce Plaza is due to rental rate increases.
The increase at Regency Center is primarily due to increased percentage rents.
The increase at Coral Palm is primarily attributable to a decrease in the bad
debt write offs required. Property tax expense decreased primarily due to a
decrease in the 1997 taxes assessed by the taxing authority for the Enclaves
Apartments property and to the absence of any Sunnymead tax liability in 1998.
Included in operating expense for the six months ended June 30, 1998 is
approximately $74,000 of major repairs and maintenance comprised primarily of
landscaping costs. Included in operating expense for the six months ended June
30, 1997 is approximately $44,000 of major repairs and maintenance comprised
primarily of exterior building repairs and landscaping costs.
As part of the ongoing business plan of the Partnership, the Managing General
Partner monitors the rental market environment of its investment properties to
assess the feasibility of increasing rents, maintaining or increasing occupancy
levels and protecting the Partnership from increases in expense. As part of
this plan, the Managing General Partner attempts to protect the Partnership from
the burden of inflation-related increases in expenses by increasing rents and
maintaining a high overall occupancy level. However, due to changing market
conditions, which can result in the use of rental concessions and rental
reductions to offset softening market conditions, there is no guarantee that the
Managing General Partner will be able to sustain such a plan.
Liquidity and Capital Resources
At June 30, 1998, the Partnership had cash and cash equivalents of approximately
$10,602,000 compared to approximately $8,907,000 at June 30, 1997. The net
increase in cash and cash equivalents for the six months ended June 30, 1998 was
approximately $1,236,000 compared to a net increase of approximately $618,000 at
June 30, 1997. Net cash provided by operating activities increased primarily
due to the decrease in net loss exclusive of extraordinary gain as discussed
above. Also contributing to the increase were decreases in cash payments for
accounts payable due to the timing of payments. Partially offsetting these
items was a decrease in other liabilities due to the timing of payments. Net
cash used in investing activities increased due to increased property
improvements and replacements in 1998. Net cash used in financing activities
was consistent for both periods.
The sufficiency of existing liquid assets to meet future liquidity and capital
expenditure requirements is directly related to the level of capital
expenditures required at the properties to adequately maintain the physical
assets, debt service requirements and other operating needs of the Partnership.
The mortgage indebtedness of approximately $6,856,000, requires interest only
payments with a balloon payment due in 2001. Also, the Partnership's Non-
Recourse Promissory Notes (the "Notes") of approximately $77,898,000, including
deferred interest of approximately $35,959,000, require minimum interest
payments of 5% on principal per year and mature on February 15, 1999. The
Managing General Partner believes that the values of the properties are
significantly less than the amount of debt owed and, unless there is a lender
workout or loan extension, the properties will most likely be lost through
foreclosure. The Managing General Partner is currently evaluating the
likelihood of a lender workout or extension of the maturity date of the Notes.
However, there can be no assurance that these courses of action will be
successful or that the Partnership will have sufficient funds to meet its 1999
obligations. If the properties are foreclosed upon, it is expected that the
Partnership would recognize a gain for tax purposes. Future cash distributions
will depend on the levels of cash generated from operations and the availability
of cash reserves. No cash distributions were paid or declared on behalf of the
limited partners in 1997 or during the six months ended June 30, 1998. Based on
the pending maturity of the Notes, it is unlikely that the Partnership will make
any distributions in the near future. Cash distributions of approximately
$21,000 were paid to the General Partner during each of the six month periods
ended June 30, 1998 and 1997.
Year 2000
The Partnership is dependent upon the Managing General Partner and Insignia for
management and administrative services. Insignia has completed an assessment
and will have to modify or replace portions of its software so that its computer
systems will function properly with respect to dates in the year 2000 and
thereafter (the "Year 2000 Issue"). The project is estimated to be completed no
later than December 31, 1998, which is prior to any anticipated impact on its
operating systems. The Managing General Partner believes that with
modifications to existing software and conversions to new software, the Year
2000 Issue will not pose significant operational problems for its computer
systems. However, if such modifications and conversions are not made, or are not
completed timely, the Year 2000 Issue could have a material impact on the
operations of the Partnership.
Other
Certain items discussed in this quarterly report may constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of
1995 (the "Reform Act") and as such may involve known and unknown risks,
uncertainties and other factors which may cause the actual results, performance
or achievements of the Partnership to be materially different from future
results, performance or achievements expressed or implied by such forward-
looking statements. Such forward-looking statements speak only as of the date
of this quarterly report. The Partnership expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any forward-looking
statements contained herein to reflect any change in the Partnership's
expectations with regard thereto or any change in events, conditions or
circumstances on which any such statement is based.
PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
In March 1998, several putative unit holders of limited partnership units of the
Partnership commenced an action entitled ROSALIE NUANES, ET AL. V. INSIGNIA
FINANCIAL GROUP, INC., ET AL. in the Superior Court of the State of California
for the County of San Mateo. The Plaintiffs named as defendants, among others,
the Partnership, the Managing General Partner and several of their affiliated
partnerships and corporate entities. The complaint purports to assert claims on
behalf of a class of limited partners and derivatively on behalf of a number of
limited partnerships (including the Partnership) which are named as nominal
defendants, challenging the acquisition by Insignia and its affiliates of
interests in certain general partner entities, past tender offers by Insignia
affiliates to acquire limited partnership units, the management of partnerships
by Insignia affiliates, as well as a recently announced agreement between
Insignia and AIMCO. The complaint seeks monetary damages and equitable relief,
including judicial dissolution of the Partnership. On June 25, 1998, the
Managing General Partner filed a motion seeking dismissal of the action. In lieu
of responding to the motion, the plaintiffs have filed an amended complaint.
The Managing General Partner believes the action to be without merit, and
intends to vigorously defend it.
The Managing General Partner is unaware of any other pending or outstanding
litigation that is not of a routine nature. The Managing General Partner
believes that all such other matters are adequately covered by insurance and
will be resolved without a material adverse effect upon the business, financial
condition, results of operations, or liquidity of the Partnership.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
a) Exhibits:
Exhibit 27, Financial Data Schedule, is filed as an exhibit to this
report.
b) Reports on Form 8-K: None filed during the quarter ended June 30,
1998.
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.
CENTURY PENSION INCOME FUND XXIII
By: FOX PARTNERS V,
Its General Partner
By: FOX CAPITAL MANAGEMENT CORPORATION,
Its Managing General Partner
By: /s/William H. Jarrard, Jr.
William H. Jarrard, Jr.
President and Director
By: /s/Ronald Uretta
Ronald Uretta
Vice President and Treasurer
Date: August 13, 1998
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from
Century Pension Income Fund XXIII 1998 Second Quarter 10-Q and is
qualified in its entirety by reference to such 10-Q filing.
</LEGEND>
<CIK> 0000764543
<NAME> CENTURY PENSION INCOME FUND XXIII
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-END> JUN-30-1998
<CASH> 10,602
<SECURITIES> 0
<RECEIVABLES> 1,271
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0<F1>
<PP&E> 78,896
<DEPRECIATION> (23,572)
<TOTAL-ASSETS> 69,948
<CURRENT-LIABILITIES> 0<F1>
<BONDS> 77,898
0
0
<COMMON> 0
<OTHER-SE> (24,643)
<TOTAL-LIABILITY-AND-EQUITY> 69,948
<SALES> 0
<TOTAL-REVENUES> 5,886
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 7,043
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 2,845
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (1,403)
<EPS-PRIMARY> (14.35)<F2>
<EPS-DILUTED> 0
<FN>
<F1>Registrant has an unclassified balance sheet.
<F2>Multiplier is 1.
</FN>
</TABLE>
