<PAGE>
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 December 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 0-15348
MRI Business Properties Fund, Ltd. III
(Exact name of Registrant as specified in its charter)
California 94-2969782
(State or other jurisdiction (I.R.S. Employer Identification No.)
of incorporation or organization)
One Insignia Financial Plaza, P.O. Box 1089 Greenville, South Carolina 29602
(Address of principal executive office) (Zip Code)
Registrant's telephone number, including area code (864) 239-1000
5665 Northside Drive N.W., Atlanta, Georgia 30328
Former name, former address and fiscal
year, if changed since last report.
Indicate by check mark whether 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_____
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS:
Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 12, 13, or 15(d) of the Securities Exchange Act of 1934
subsequent to the distribution of securities under a plan confirmed by a court.
Yes _____ No _____
APPLICABLE ONLY TO CORPORATE ISSUERS: Indicate the number of shares outstanding
of each of the issuer's classes of common stock, as of the latest practicable
date __________________.
1 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
Balance Sheets
December 31, September 30,
1995 1995
Assets
Cash and cash equivalents $ 7,429,000 $ 2,904,000
Accounts receivable and other assets 195,000 448,000
Due from affiliate 165,000 220,000
Real Estate:
Real estate 15,421,000 31,143,000
Accumulated depreciation (4,684,000) (9,585,000)
Allowance for impairment of value -- (800,000)
------------ ------------
Real estate, net 10,737,000 20,758,000
------------ ------------
Total assets $ 18,526,000 $ 24,330,000
============ ============
Liabilities and Partners' Equity
Accounts payable and other liabilities $ 223,000 $ 634,000
Due to unconsolidate joint venture -- 618,000
Notes payable 7,673,000 15,578,000
------------ ------------
Total liabilities 7,896,000 16,830,000
------------ ------------
Partners' Equity:
General partners equity (deficit) 266,000 (276,000)
Limited partners equity (109,027 assignee units
outstanding at December 31, 1995
and September 1995) 10,364,000 7,776,000
------------ ------------
Total partners' equity 10,630,000 7,500,000
------------ ------------
Total liabilities and partners' equity $ 18,526,000 $ 24,330,000
============ ============
See notes to financial statements.
2 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
Statements of Operations
For the Three Months Ended
December 31, December 31,
1995 1995
Revenues:
Room revenue $1,221,000 $3,225,000
Other operating revenue 52,000 232,000
Interest 38,000 43,000
Equity in unconsolidated joint venture operations 369,000 --
Gain on sale of unconsolidated joint venture interest 2,694,000 --
Gain on sale of property 5,000 --
----------- ----------
Total revenues 4,379,000 3,500,000
----------- ----------
Expenses:
Room expenses 332,000 802,000
Other operating expenses 500,000 1,612,000
Depreciation 108,000 391,000
Interest 180,000 255,000
Equity in unconsolidated joint venture operations -- 83,000
General and administrative 129,000 123,000
----------- ----------
Total expenses 1,249,000 3,266,000
----------- ----------
Net income $ 3,130,000 $ 234,000
=========== ==========
Net income per limited partnership assignee unit $ 23.74 $ 2.10
=========== ==========
See notes to financial statements.
3 of 16
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
Statement of Partners' Equity (Deficit)
For the Three Months Ended December 31, 1995
General Limited Total
Partners' Partners' Partners'
(Deficit) Equity Equity
Balance - October 1, 1995 $ (276,000) $ 7,776,000 $ 7,500,000
Net income 542,000 2,588,000 3,130,000
----------- ----------- -----------
Balance - December 31, 1995 $ 266,000 $10,364,000 $10,630,000
=========== =========== ===========
See notes to financial statements.
4 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
Statements of Cash Flows
For the Three Months Ended
December 31, December 31,
1995 1994
Operating Activities:
Net income $3,130,000 $ 234,000
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation and amortization 112,000 398,000
Equity in unconsolidated joint venture operations (369,000) 83,000
Gain on sale of unconsolidated joint venture interest (2,694,000) --
Gain on sale of property (5,000)
Changes in operating assets and liabilities:
Accounts receivable and other assets 222,000 204,000
Accounts payable and other liabilities (411,000) (385,000)
Due from affiliate 55,000 --
---------- ----------
Net cash provided by operating activities 40,000 534,000
---------- ----------
Investing Activities:
Properties and improvements additions (28,000) (287,000)
Net proceeds from sale of property 9,973,000 --
Distribution from unconsolidated joint venture 2,445,000 --
---------- ----------
Net cash provided by (used in) investing activities 12,390,000 (287,000)
---------- ----------
Financing Activities:
Notes payable principal payments (33,000) (69,000)
Satisfaction of notes payable (7,872,000) --
---------- ----------
Cash (used in) financing activities (7,905,000) (69,000)
---------- ----------
Increase in Cash and Cash Equivalents 4,525,000 178,000
Cash and Cash Equivalents at Beginning of Period 2,904,000 4,045,000
---------- ----------
Cash and Cash Equivalents at End of Period $7,429,000 $4,223,000
========== ==========
Supplemental Disclosure of Cash Flow Information:
Interest paid in cash during the period $ 219,000 $ 248,000
========== ==========
See notes to financial statements.
5 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
NOTES TO FINANCIAL STATEMENTS
1. General
The accompanying financial statements, footnotes and discussions should be
read in conjunction with the financial statements, related footnotes and
discussions contained in the Partnership's Annual Report for the year ended
September 30, 1995.
The financial information contained herein is unaudited. In the opinion of
management, all adjustments necessary for a fair presentation of such
financial information have been included. All adjustments are of a normal
recurring nature, except as discussed in Note 3.
The results of operations for the three months ended December 31, 1995 and
1994 is not necessarily indicative of the results to be expected for the
years ended September 30, 1996 and 1995, respectively. As discussed in Note
4, the Partnership's remaining property was sold on January 12, 1996. The
Partnership is expected to be terminated in 1996 after collection of
receivables, payment of outstanding liabilities and a final distribution to
the partners.
On January 19, 1996, the stockholders of NPI, Inc. sold all of the issued
and outstanding stock of NPI, Inc. to an affiliate of Insignia Financial
Group ("Insignia"). As a result of the transaction, the Managing General
Partner of the Partnership is controlled by Insignia. Insignia affiliates
now maintain the Partnership books and records and oversee its operations.
Property management and asset management services continue to be performed
by unaffiliated third parties. The limited partnership units owned by
Deforest Ventures I, L.P., representing approximately 25% of total limited
partnership units, were not acquired by Insignia.
2. Transactions with Related Parties
An affiliate of NPI, Inc. received reimbursements of administrative expenses
amounting to $45,000 and $39,000 during the three months ended December 31,
1995 and 1994, respectively. These reimbursements are included in general
and administrative expenses.
An affiliate of NPI, Inc. was paid a fee of $8,000 relating to a successful
real estate tax appeal on the Partnership's Residence Inn - Orlando hotel
during the three months ended December 31, 1995. The tax appeal fee is
included in operating expenses.
6 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
NOTES TO FINANCIAL STATEMENTS
3. Gain on Sale of Property and Unconsolidated Joint Venture Interest
On October 19, 1995, the Partnership's Residence Inn - Orlando Property was
sold to an unaffiliated third party for $10,100,000. After satisfaction of
the mortgage loan of $7,985,000 (including accrued interest) and closing
costs, the Partnership received approximately $1,900,000. The Partnership
recorded a provision for loss on sale of the property of $800,000 during the
1995 fiscal year. The Partnership has recognized a gain on sale of the
property of $5,000.
On December 1, 1995, the Combined Fund sold the Holiday Inn Crowne Plaza
property to an unaffiliated third party for $44,000,000. After satisfaction
of the mortgage note of $34,000,000, closing costs and other expenses the
joint venture received approximately $8,900,000. In accordance with the July
7, 1995 agreement, the Combined Fund received $5,000,000. The Partnership's
share of net proceeds, after expenses, was $2,445,000. The Partnership has
recognized a gain on sale of $2,694,000. The Combined Fund had previously
recorded an approximate $11,900,000 provision for impairment of value in
1991 and 1992. A former joint venture partner may be required to contribute
certain funds to the Partnership in accordance with the joint venture
agreement. The amount of contribution, if any, is not determinable at this
time.
4. Subsequent Events
On January 12, 1996, the Partnership sold its remaining property, Residence
Inn - Sacramento, to an unaffiliated third party for $14,400,000. After
satisfaction of the mortgage loan of $7,691,000 (including accrued interest)
and closing costs, the Partnership received approximately $6,600,000. For
financial statement purposes the Partnership will recognize a gain on sale
of approximately $3,500,000 during the second quarter of fiscal 1996.
In January 1996, the Partnership distributed $12,867,000 ($118.02 per
limited partnership assignee unit) and $263,000 to the limited partners and
the general partners, respectively. The funds were primarily provided by the
proceeds from the sale of the Partnership's properties and joint venture
interest.
7 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
NOTES TO FINANCIAL STATEMENTS
5. Investment in Unconsolidated Joint Venture
The following are the condensed balance sheets as of December 31, 1995 and
September 30, 1995 and condensed statements of operations for the three
months ended December 31, 1995 and 1994 of the unconsolidated joint venture:
MRI BUSINESS PROPERTIES COMBINED FUND NO. 1
CONDENSED BALANCE SHEETS
December 31, September 30,
1995 1995
Assets
Cash and cash equivalents $ 252,000 $ 887,000
Restricted cash -- 958,000
Accounts receivable and other assets -- 1,321,000
Real Estate:
Real estate -- 63,148,000
Accumulated depreciation -- (17,952,000)
Allowance for impairment of value -- (11,962,000)
--------- ------------
Real estate, net -- 33,234,000
--------- ------------
Total assets $ 252,000 $ 36,400,000
========= ============
Liabilities and Partners' Deficiency
Accounts payable and other liabilities $ 7,000 $ 1,805,000
Due to affiliates 245,000 3,069,000
Note payable -- 34,000,000
--------- ------------
Total liabilities 252,000 38,874,000
--------- ------------
Minority interest in joint venture -- (1,238,000)
--------- ------------
Partners' Deficiency:
MRI BPF., LTD. II -- (618,000)
MRI BPF., LTD. III -- (618,000)
--------- ------------
Total partners' deficiency -- (1,236,000)
--------- ------------
Total liabilities and partners' deficiency $ 252,000 $ 36,400,000
========= ============
8 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
NOTES TO FINANCIAL STATEMENTS
5. Investment in Unconsolidated Joint Venture (Continued)
MRI BUSINESS PROPERTIES COMBINED FUND NO. 1
CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED)
For the Three Months Ended
December 31, December 31,
1995 1994
Revenues $ 4,014,000 $ 4,871,000
Gain on sale of hotel 9,755,000 --
------------ ------------
Total revenues 13,769,000 4,871,000
Expenses 2,535,000 5,205,000
------------ ------------
Income (loss) before minority interest in joint
venture operations 11,234,000 (334,000)
Minority interest in joint venture
operations (5,107,000) 167,000
------------ ------------
Net income (loss) $ 6,127,000 $ (167,000)
============ ============
Allocation of net income (loss)
MRI BPF., LTD. II $ 3,064,000 $ (84,000)
MRI BPF., LTD. III 3,063,000 (83,000)
------------ ------------
Net income (loss) $ 6,127,000 $ (167,000)
============ ============
9 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
NOTES TO FINANCIAL STATEMENTS
7. PRO FORMA FINANCIAL INFORMATION
The following pro forma balance sheet as of December 31, 1995 gives effect
to the sale of the Partnership's Residence Inn - Sacramento property (see
Note 4). The adjustments related to the pro forma consolidated balance sheet
assume the transaction was consummated at December 31, 1995.
The pro forma adjustments are required to eliminate the assets and
liabilities of the Residence Inn - Sacramento property and to reflect
consideration received for the property.
These pro forma adjustments are not necessarily reflective of the results
that actually would have occurred if the sale had been in effect as of the
period presented.
Pro forma statement of operations have not been provided because all of the
Partnership's properties have been sold. The Partnership is expected to be
terminated after collection of receivables, payment of outstanding
liabilities and a final distribution to partners.
10 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
NOTES TO FINANCIAL STATEMENTS
7. Pro Forma Financial Information (Continued)
Pro Forma Balance Sheet
Pro Forma
Historical Adjustments Pro Forma
---------- ----------- ---------
Assets
Cash and cash equivalents $ 7,429,000 $ -- $ 7,429,000
Accounts receivable and other assets 195,000 6,515,000 6,710,000
Due from affiliate 220,000 (55,000) 165,000
Real Estate:
Real estate 15,421,000 (15,421,000) --
Accumulated depreciation (4,684,000) 4,684,000 --
----------- ----------- ------------
Real estate, net 10,737,000 (10,737,000) --
----------- ----------- ------------
Total assets $18,581,000 $(4,277,000) $ 14,304,000
=========== =========== ============
Liabilities and Partners' Equity
Accounts payable and other liabilities $ 223,000 $ (8,000) $ 215,000
Notes payable 7,673,000 (7,673,000) --
----------- ----------- ------------
Total liabilities 7,896,000 (7,681,000) 215,000
----------- ----------- ------------
Partners' Equity:
General partners equity 266,000 68,000 334,000
Limited partners equity (109,027
assignee units outstanding at
December 31, 1995) 10,419,000 3,336,000 13,755,000
----------- ----------- ------------
Total partners' equity 10,685,000 3,404,000 14,089,000
----------- ----------- ------------
Total liabilities and partners'
equity $18,581,000 $(4,277,000) $14,304,000
=========== =========== ===========
11 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations.
This item should be read in conjunction with the Financial Statements and other
Items contained elsewhere in this Report.
Liquidity and Capital Resources
As described in Item 1, "Notes to Financial Statements, Notes 3 & 4," Registrant
sold its remaining properties and joint venture interest during the first and
second quarter of fiscal 1996. The aggregate sale price for these properties was
$68,500,000. After satisfaction of existing mortgages, closing costs and amounts
distributed to Registrant's joint venture partners in the Holiday Inn - Crowne
Plaza property, net proceeds received by Registrant were approximately
$10,945,000. As a result of the first quarter sales, Registrant has recorded a
gain on sale of property of $5,000 and gain on sale of unconsolidated joint
venture interest of $2,694,000. In addition, Registrant expects to recognize a
gain on sale of approximately $3,500,000 during the second quarter of fiscal
1996.
Since these were Registrant's last remaining properties, Registrant expects to
be terminated in 1996 after collection of receivables, payment of outstanding
liabilities and a final distribution to the partners. In January 1996,
Registrant distributed $12,867,000 ($118.02 per unit) and $263,000 to the
limited partners and general partner, respectively. The funds were primarily
provided by proceeds from the sale of Registrant's properties.
Registrant receives hotel operating revenues and is responsible for operating
expenses, administrative expenses, capital improvements and debt service
payments. Registrant uses working capital reserves provided from any
undistributed cash flow from operations and sales proceeds as its primary source
of liquidity. During the three months ended December 31, 1995, Registrant's
remaining hotel generated positive cash flow.
The level of liquidity based upon cash and cash equivalents experienced a
$4,525,000 increase at December 31, 1995, as compared to December 31, 1994.
Registrants' $12,390,000 of cash provided by investing activities and $40,000 of
cash provided by operating activities was partially offset by $7,905,000 of cash
used in financing activities. Cash provided by investing activities consisted of
$9,973,000 of net proceeds from the sale of Registrant's Residence Inn - Orlando
hotel property and $2,445,000 of net proceeds from the sale of Registrants'
unconsolidated joint venture property, the Holiday Inn - Crowne Plaza, which was
partially offset by $28,000 of improvements to real estate. Cash used in
financing activities consisted of $7,872,000 paid in satisfaction of notes
payable encumbering Registrant's Residence Inn - Orlando hotel property and
$33,000 of notes payable principal payments. All other increases (decreases) in
certain assets and liabilities are the result of timing of receipt and payment
of various operating activities.
12 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations.
Liquidity and Capital Resources (Continued)
An affiliate of the Managing General Partner has made available to Registrant a
credit line of up to $150,000 per property owned by Registrant. Registrant has
no outstanding amounts due under this line of credit. Other than cash and cash
equivalents, the line of credit was Registrant's only unused source of
liquidity.
On January 19, 1996, the stockholders of NPI, Inc., the sole shareholder of NPI
Equity II, sold to Insignia all of the issued and outstanding stock of NPI, Inc.
Insignia has elected new officers and directors of NPI Equity II. The Managing
General Partner does not believe these events will have a significant effect on
Registrant's liquidity or results of operation.
Registrant's original investment objective of capital growth will not be
attained. Accordingly, a significant portion of invested capital will not be
returned to limited partners. Upon termination of Registrant, the general
partners will be required to contribute approximately $1,000,000 to Registrant
in accordance with the partnership agreement.
Results of Operations
Three Months Ended December 31, 1995 vs. December 31, 1994
Operating results improved by $2,896,000 for the three months ended December 31,
1995 as compared to 1994, due to an increase in revenues of $879,000 and a
decrease in expenses of $2,017,000. Operating results improved primarily due to
the $2,694,000 gain on sale of Registrant's interest in the unconsolidated joint
venture.
With respect to Registrant's remaining property, the Residence Inn, Sacramento,
revenues increased primarily due to a $117,000 increase in room revenue. The
increase was due to increases in both occupancy and average daily room rates.
Other operating revenue and interest income remained relatively constant.
Expenses declined by $2,017,000 for the three months ended December 31, 1995 as
compared to 1994, primarily due to the sale of Registrant's hotel properties.
With respect to Registrant's remaining property, the Residence Inn - Sacramento,
expenses decreased by $57,000 due to decreases in room expenses of $48,000,
other operating expenses of $31,000 and depreciation expense of $1,000 which was
partially offset by an increase in interest expense of $23,000. Room and other
operating expenses declined due to decreased maintenance costs. Interest expense
increased due to an increase in the variable interest rate on the loan
encumbering Registrant's property. Depreciation remained relatively constant. In
addition, general and administrative expense remained relatively constant.
13 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of Operations.
MRI BUSINESS PROPERTIES FUND, LTD. III
OCCUPANCY AND ROOM RATE SUMMARY
<TABLE>
<CAPTION>
Average Average
Occupancy Rate (%) Daily Room Rate ($)
------------------------ -----------------------
Three months Three months
Date Date Ended Ended
of of December 31, December 31,
Name and Location Rooms Purchase Sale 1995 1994 1995 1994
- ----------------- ----- -------- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
Holiday Inn Crowne
Plaza (1)
Atlanta, Georgia 492 03/86 12/95 - 71 - 89.20
Embassy Suites - Tempe
Tempe, Arizona 224 12/86 7/95 - 74 - 91.77
Residence Inn - Orlando
Orlando, Florida 176 09/87 10/95 - 71 - 76.41
Residence Inn - Sacramento,
California 176 09/87 1/96 79 74 82.48 78.37
</TABLE>
(1) The Fund and an affiliated partnership, MRI business Properties Fund,
Ltd. II, owned the hotel through a joint venture which had a 50 percent
interest in this property.
14 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
On December 8, 1995, a Current Report on Form 8-K was filed with the
Securities and Exchange Commission to provide for the sale of
Registrant's joint venture interest in the Combined Fund, which owned
the Holiday Inn Crowne Plaza. No other reports on Form 8-K were filed
during the period.
15 of 16
<PAGE>
MRI BUSINESS PROPERTIES FUND, LTD. III - FORM 10-Q - DECEMBER 31, 1995
SIGNATURE
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.
MRI BUSINESS PROPERTIES FUND, LTD. III
By: MONTGOMERY REALTY COMPANY 85,
A California General Partnership,
its managing general partner
By: FOX REALTY INVESTORS,
A California General Partnership,
its managing general partner
By: NPI Equity Investments II, Inc.,
A Florida Corporation,
its managing partner
/S/ William H. Jarrard, Jr.
William H. Jarrard Jr.
President and Director
/S/ Ronald Uretta
Ronald Uretta
Principal Financial Officer
And Principal Accounting
Officer
16 of 16
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
The schedule contains summary financial information extracted from MRI Business
Properties Fund, Ltd. III and is qualified in its entirety by reference to such
financial statements.
</LEGEND>
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> SEP-30-1996
<PERIOD-START> OCT-01-1995
<PERIOD-END> DEC-31-1995
<CASH> 7,429,000
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 15,421,000
<DEPRECIATION> (4,684,000)
<TOTAL-ASSETS> 18,526,000
<CURRENT-LIABILITIES> 0
<BONDS> 7,673,000
<COMMON> 0
0
0
<OTHER-SE> 10,630,000
<TOTAL-LIABILITY-AND-EQUITY> 18,526,000
<SALES> 0
<TOTAL-REVENUES> 4,341,000<F1>
<CGS> 0
<TOTAL-COSTS> 940,000
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 108,000
<INCOME-PRETAX> 3,130,000
<INCOME-TAX> 0
<INCOME-CONTINUING> 3,130,000
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 3,130,000
<EPS-PRIMARY> 23.74
<EPS-DILUTED> 23.74
<FN>
<F1> Total revenues include a gain on sale of property of $2,699,000.
</FN>
</TABLE>
