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 quarterly period ended March 31, 1999
/___/ Transition report pursuant to Section 13 or 15(d) of the
Securities Act of 1934
for the transition period from ______________ to ________________.
Commission File Number 2-96364
DSI REALTY INCOME FUND IX, A California Limited Partnership
(Exact name of registrant as specified in its charter)
California_______________________________________33-0103989
(State or other jurisdiction of (I.R.S. Employer
incorporation) Identification No.)
6700 E. Pacific Coast Hwy., Long Beach, California 90803
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code-(562)493-8881
_________________________________________________________________
Former name, former address and former fiscal year, if changed
since last report.
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.
The information required by Rule 10-01 of Regulation S-X is
included in the Quarterly Report to the Limited Partners of Registrant for
the period ended March 31, 1999 which is attached hereto as Exhibit "20"
and incorporated herein by this reference.
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations.
Registrant incorporates by this reference its Quarterly Report to
Limited Partners for the period ended March 31, 1999.
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8K.
(a) Attached hereto as Exhibit "20" is Registrant's Quarterly
Report to Limited Partners for the period ended March 31, 1999.
(B) Registrant did not file any reports on Form 8-K for the
period reported upon.
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act
of 1934, the Registrant has duly caused this report to be signed on its
behalf by the undersigned thereunto duly authorized.
Dated: April 30, 1999 DSI REALTY INCOME FUND IX
A California Limited Partnership
(Registrant)
By____\s\ Robert J. Conway_____
DSI Properties, Inc., as General
Partner by ROBERT J. CONWAY,
President and Chief Financial Officer
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act
of 1934, the Registrant has duly caused this report to be signed on its
behalf by the undersigned thereunto duly authorized.
Dated: April 30, 1999 DSI REALTY INCOME FUND IX
A California Limited Partnership
(Registrant)
By__\s\ Robert J. Conway________
DSI Properties, Inc., as General
Partner by ROBERT J. CONWAY,
President and Chief Financial Officer
April 30, 1999
QUARTERLY REPORT TO THE LIMITED PARTNERS
OF DSI REALTY INCOME FUND IX
DEAR LIMITED PARTNERS:
We are pleased to enclose the Partnership's unaudited consolidated financial
statements for the period ended March 31, 1999. The following is
Management's discussion and analysis of the Partnership's financial
condition and results of its operations.
For the three month periods ended March 31, 1999 and 1998, total revenues
increased 7.4% from $659,862 to $708,343 and total expenses increased 18.7%
from $413,659 to $490,804. Minority interest in income of real estate joint
venture increased slightly from $24,788 to $25,649. As a result, net income
decreased 13.3% from $221,415 to $191,890 for the three month period ended
March 31, 1999, as compared to the same period in 1998. The increase in
revenue can be attributed to an increase in rental income due to higher
occupancy and unit rental rates. Occupancy levels for the Partnership's
six mini-storage facilities averaged 83.3% for the three month period ended
March 31, 1999 as compared to 81.2% for the same period in 1998. The
Partnership is continuing its marketing efforts to attract and keep new
tenants in its various mini-storage facilities. Operating expenses increased
by approximately $79,600 (23.5%) primarily as a result of increases in
maintenance and repair, real estate tax, salaries and wages, workers
compensation insurance expenses and property management fees, partially offset
by a decrease in yellow pages advertising costs. Property management fees,
which are based on rental revenue, increased as a result of the increase in
rental revenue. Power and sweeping expenses increased as a result of the
extraordinary snow removal costs associated with the blizzard that hit
Illinois, where two of the Partnership's properties are located. General
and administrative expenses remained relatively constant.
The General Partners plan to continue their policy of funding the continuing
improvements and maintenance of Partnership properties with cash generated
from operations. The Partnership's resources appear to be adequate to meet
its needs. The General Partners anticipate distributions to the Limited
Partners to remain at the current level for the foreseeable future.
We are not enclosing a copy of the Partnership Form 10-Q as filed with the
Securities and Exchange Commission since all the information set forth
therein is contained either in this letter or in the attached financial
statements. However, if you wish to receive a copy of said report, please
send a written request to DSI Realty Income Fund IX, P.O. Box 357, Long
Beach, California 90801.
Very truly yours,
DSI REALTY INCOME FUND IX
By: DSI Properties, Inc., as
General Partner
By /s/ Robert J. Conway
____________________________
ROBERT J. CONWAY, President
DSI REALTY INCOME FUND IX
(A California Real Estate Limited Partnership)
CONSOLIDATED BALANCE SHEETS(UNAUDITED)
MARCH 31, 1999 AND DECEMBER 31, 1998
<TABLE>
<CAPTION>
March 31, December 31,
1999 1998
<S> <C> <C>
ASSETS
CASH AND CASH EQUIVALENTS $ 661,044 $ 633,690
PROPERTY, NET 6,098,226 6,245,163
OTHER ASSETS 49,077 45,536
TOTAL $6,808,347 $6,924,389
LIABILITIES AND PARTNERS' EQUITY (DEFICIT)
LIABILITIES $ 736,639 $ 727,790
MINORITY INTEREST IN
REAL ESTATE JOINT VENTURE 255,840 262,591
PARTNERS' EQUITY (DEFICIT):
General Partners (79,282) (78,101)
Limited Partners 5,895,150 6,012,109
Total partners' equity 5,815,868 5,934,008
TOTAL $6,808,347 $6,924,389
See accompanying notes to consolidated financial statements(unaudited).
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
March 31, March 31,
1999 1998
REVENUES:
Rental Income $ 705,837 $ 657,528
Interest 2,506 2,334
Total revenues 708,343 659,862
EXPENSES:
Operating 418,452 338,805
General and administrative 72,352 74,854
Total expenses 490,804 413,659
INCOME BEFORE MINORITY INTEREST
IN INCOME OF REAL ESTATE
JOINT VENTURE 217,539 246,203
MINORITY INTEREST IN INCOME
OF REAL ESTATE JOINT VENTURE 25,649 24,788
NET INCOME $ 191,890 $ 221,415
AGGREGATE NET INCOME ALLOCATED TO:
Limited partners $ 189,971 $ 219,201
General partners 1,919 2,214
TOTAL $ 191,890 $ 221,415
NET INCOME PER LIMITED
PARTNERSHIP UNIT $ 6.19 $ 7.14
LIMITED PARTNERSHIP UNITS
USED IN PER UNIT CALCULATION 30,693 30,693
See accompanying notes to consolidated financial statements(unaudited).
</TABLE>
CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' EQUITY (DEFICIT)(UNAUDITED)
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
<TABLE>
<CAPTION>
GENERAL LIMITED
PARTNERS PARTNERS TOTAL
<S> <C> <C> <C>
BALANCE, JANUARY 1, 1998 ($ 73,905) $6,427,489 $6,353,584
NET INCOME 2,214 219,201 221,415
DISTRIBUTIONS (3,100) (306,930) (310,030)
BALANCE, MARCH 31, 1998 ($74,791) $6,339,760 $6,264,969
BALANCE, JANUARY 1, 1999 ($78,101) $6,012,109 $5,934,008
NET INCOME 1,919 189,971 191,890
DISTRIBUTIONS (3,100) (306,930) (310,030)
BALANCE, MARCH 31, 1999 ($79,282) $5,895,150 $5,815,868
See accompanying notes to consolidated financial statements(unaudited).
</TABLE>
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
<TABLE>
<CAPTION>
March 31, March 31,
1999 1998
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 191,890 $ 221,415
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation 146,937 146,937
Loss on disposal of
property and equipment 0 147
Minority interest in income
real estate joint venture 25,649 24,788
Changes in assets and
liabilities:
Increase in other assets (3,541) (14,743)
Increase in liabilities 8,849 18,544
Net cash provided by
operating activities 369,784 397,088
CASH FLOWS FROM FINANCING ACTIVITIES -
Distributions to partners (310,030) (310,030)
Distributions paid to minority
interest in real estate
joint venture (32,400) (32,699)
Net cash used in
financing activities (342,430) (342,729)
NET INCREASE IN CASH AND
CASH EQUIVALENTS 27,354 54,359
CASH AND CASH EQUIVALENTS:
At beginning of period 633,690 496,565
At end of period $ 661,044 $ 550,924
See accompanying notes to consolidated financial statements(unaudited).
</TABLE>
DSI REALTY INCOME FUND IX
(A California Real Estate Limited Partnership)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)
1. GENERAL
DSI Realty Income Fund IX (the "Partnership"), a limited partnership, has
three general partners (DSI Properties, Inc., Robert J. Conway and
Joseph W. Conway) and limited partners owning 30,693 limited partnership
units.
The accompanying consolidated financial information as of March 31, 1999
and for the periods ended March 31, 1999, and 1998 is unaudited. Such
financial information includes all adjustments which are considered
necessary by the Partnership's management for a fair presentation of the
results for the periods indicated.
2. PROPERTY
The Partnership owns five mini-storage facilities located in Monterey Park
and Azusa, California; Everett, Washington; and Romeoville and Elgin,
Illinois. The Partnership also owns a 70% interest in a mini-storage
facility in Aurora, Colorado. As of March 31, 1999, the total cost and
accumulated depreciation of the mini-storage facilities are as follows:
<TABLE>
<S> <C>
Land $ 2,729,790
Buildings and equipment 10,975,901
Total 13,705,691
Less: Accumulated Depreciation ( 7,607,465)
Property - Net $ 6,098,226
</TABLE>
3. NET INCOME PER LIMITED PARTNERSHIP UNIT
Net income per limited partnership unit is calculated by dividing the net
income allocated to the limited partners by the number of limited
partnership units outstanding during the period.
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C> <C>
<PERIOD-TYPE> 3-MOS YEAR
<FISCAL-YEAR-END> DEC-31-1999 DEC-31-1999
<PERIOD-END> MAR-31-1999 DEC-31-1999
<CASH> 661044 0
<SECURITIES> 0 0
<RECEIVABLES> 0 0
<ALLOWANCES> 0 0
<INVENTORY> 0 0
<CURRENT-ASSETS> 0 0
<PP&E> 13705691 0
<DEPRECIATION> 7607465 0
<TOTAL-ASSETS> 6808347 0
<CURRENT-LIABILITIES> 0 0
<BONDS> 0 0
<COMMON> 0 0
0 0
0 0
<OTHER-SE> 0 0
<TOTAL-LIABILITY-AND-EQUITY> 6808347 0
<SALES> 705837 0
<TOTAL-REVENUES> 708343 0
<CGS> 0 0
<TOTAL-COSTS> 0 0
<OTHER-EXPENSES> 0 0
<LOSS-PROVISION> 0 0
<INTEREST-EXPENSE> 0 0
<INCOME-PRETAX> 191890 0
<INCOME-TAX> 0 0
<INCOME-CONTINUING> 191890 0
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 191890 0
<EPS-PRIMARY> 0 0
<EPS-DILUTED> 0 0
</TABLE>
