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 September 30, 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 0-15346
DSI REALTY INCOME FUND X, A California Limited Partnership
(Exact name of registrant as specified in its charter)
California_______________________________________33-0195079
(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 September 30, 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 September 30, 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
September 30, 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: October 29, 1999 DSI REALTY INCOME FUND X
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: October 29, 1999 DSI REALTY INCOME FUND X
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
October 29, 1999
QUARTERLY REPORT TO THE LIMITED PARTNERS
OF DSI REALTY INCOME FUND X
DEAR LIMITED PARTNERS:
We are pleased to enclose the Partnership's unaudited financial
statements for the period ended September 30, 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 September 30, 1999, and 1998, total
revenues increased 8.4% from $702,869 to $761,654 and total expenses
increased 7.4% from $403,585 to $433,539. As a result, net income
increased 9.6% from $299,284 to $328,115 for the three-month period
ended September 30, 1999, as compared to the same period in 1998. The
increase in revenues can be attributed to an increase in rental income
due to higher occupancy and unit rental rates. Occupancy levels for the
Partnership's five mini-storage facilities averaged 87.9% for the three-
month period ended September 30, 1999, as compared to 86.7% for the same
period in 1998. The Partnership is continuing its advertising campaign
to attract and keep new tenants in its various mini-storage facilities.
Operating expenses increased approximately $25,400 (7.1%) primarily as
a result of increases in maintenance and repair, property management fees
and salary and wage expenses. Property management fees, which are based
on rental revenue, increased as a result of the increase in rental revenue.
General and administrative expenses increased approximately $4,600 (10.0%)
as a result of relatively insignificant fluctuations in various expense
accounts.
For the nine-month periods ended September 30, 1999, and 1998, total
revenues increased 7.3% from $2,018,200 to $2,165,812 and total expenses
increased 3.1% from $1,215,616 to $1,253,845. As a result, net income
increased 13.6% from $802,584 for the nine-month period ended September 30,
1998, to $911,967 for the same period in 1999. The increase in revenues
can be attributed to an increase in rental revenue due to higher occupancy
and unit rental rates. Operating expenses increased approximately $47,900
(4.6%) from $1,034,734 to $1,082,599. The increase is primarily due to
higher advertising costs, power sweeping, real estate tax, salaries and
wage expenses and property management fees, partially offset by a decrease
in repairs and maintenance expenses. Property management fees, which are
based on rental revenue, increased as a result of the increase in rental
revenue. Power sweeping expenses increased as a result of the substantial
snow removal costs associated with the blizzard, which hit the Detroit,
Michigan, area during the first quarter of 1999. General and administrative
expenses decreased approximately $9,600 (5.3%) primarily as a result of
decreases in legal and professional expenses and Michigan and Maryland state
tax payments, partially offset by an increase in equipment and computer
lease expenses.
The General Partners will continue their policy of funding improvements and
maintenance of Partnership properties with cash generated from operations.
The Partnership's financial resources appear to be adequate to meet its needs.
The Year 2000 issue refers to the inability of certain computer systems to
recognize a date using "00" as the Year 2000. The Partnership has implemented
a Year 2000 program, which has three phases: (1) identification;
(2) remediation; and (3) testing and verification. The Partnership, as well
as the property management company and the Partnership's warehouse facilities
have completed those phases. Computer programs have been upgraded and tested
to function properly with respect to the dates in the Year 2000 and thereafter.
Year 2000 compliance costs are nominal and have been expensed in the regular
course of business. The Partnership provides no assurance that third-party
suppliers and customers will be compliant. Nevertheless, the Partnership does
not believe that the Year 2000 issue will have a material adverse effect on its
financial condition or results of operations.
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 X,
P.O. Box 357, Long Beach, California 90801.
Very truly yours,
DSI Realty Income Fund X
By: DSI Properties, Inc., as
General Partner
By___\s\ Robert J. Conway_______
ROBERT J. CONWAY, President
DSI REALTY INCOME FUND X
(A California Real Estate Limited Partnership)
BALANCE SHEETS(UNAUDITED), SEPTEMBER 30, 1999 AND DECEMBER 31, 1998
<TABLE>
<CAPTION>
September 30, December 31,
1999 1998
<S> <C> <C>
ASSETS
CASH AND CASH EQUIVALENTS $2,299,124 $1,772,250
PROPERTY, Net 6,809,164 7,213,688
OTHER ASSETS 66,572 64,073
TOTAL $9,174,860 $9,050,011
LIABILITIES AND PARTNERS' EQUITY(DEFICIT):
LIABILITIES $2,549,618 $2,373,616
PARTNERS' EQUITY (DEFICIT):
General Partners (75,774) (75,264)
Limited Partners 6,701,016 6,751,659
Total partners' equity 6,625,242 6,676,395
TOTAL $9,174,860 $9,050,011
See accompanying notes to financial statements(unaudited).
</TABLE>
STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
September 30, September 30,
1999 1998
REVENUES:
Rental Income $747,141 $686,209
Interest 14,513 16,660
Total revenue 761,654 702,869
EXPENSES:
Operating 383,258 357,880
General and administrative 50,281 45,705
Total expenses 433,539 403,585
NET INCOME $328,115 $299,284
AGGREGATE NET INCOME ALLOCATED TO :
Limited partners $324,834 $296,291
General partners 3,281 2,993
TOTAL $328,115 $299,284
NET INCOME PER
LIMITED PARTNERSHIP UNIT $10.22 $9.32
LIMITED PARTNERSHIP
UNITS USED IN PER
UNIT CALCULATION 31,783 31,783
See accompanying notes to financial statements(unaudited).
[/TABLE]
STATEMENTS OF INCOME (UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
<TABLE>
<CAPTION>
September 30, September 30,
1999 1998
<S> <C> <C>
REVENUES:
Rental Income $2,124,254 $1,974,650
Interest 41,558 43,550
Total revenues 2,165,812 2,018,200
EXPENSES:
Operating 1,082,599 1,034,734
General and administrative 171,246 180,882
Total expenses 1,253,845 1,215,616
NET INCOME 911,967 802,584
AGGREGATE NET INCOME ALLOCATED TO:
Limited partners 902,847 794,558
General partners 9,120 8,026
TOTAL 911,967 802,584
NET INCOME PER LIMITED
PARTNERSHIP UNIT $28.41 $25.00
LIMITED PARTNERSHIP UNITS
USED IN PER UNIT CALCULATION 31,783 31,783
See accompanying notes to financial statements (unaudited).
</TABLE>
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (DEFICIT)(UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
<TABLE>
<CAPTION>
GENERAL LIMITED
PARTNERS PARTNERS TOTAL
<S> <C> <C> <C>
EQUITY AT JANUARY 1, 1998 ($69,852) $7,287,475 $7,217,623
NET INCOME 8,026 794,558 802,584
DISTRIBUTIONS (9,630) (953,490) (963,120)
EQUITY AT SEPTEMBER 30, 1998 ($71,456) $7,128,543 $7,057,087
BALANCE AT JANUARY 1, 1999 ($75,264) $6,751,659 $6,676,395
NET INCOME 9,120 902,847 911,967
DISTRIBUTIONS (9,630) (953,490) (963,120)
BALANCE AT SEPTEMBER 30, 1999 ($75,774) $6,701,016 $6,625,242
See accompanying notes to financial statements(unaudited).
</TABLE>
STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1999 AND 1998
<TABLE>
<CAPTION>
September 30, September 30,
1999 1998
<S> <C> <C>
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net income $ 911,967 $ 802,584
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation 403,894 403,896
Loss on disposal of
property and equipment 630 116
Changes in assets and liabilities:
Increase in other assets (2,499) (55,855)
Increase in liabilities 176,002 241,301
Net cash provided by operating
activities 1,489,994 1,392,042
CASH FLOWS FROM FINANCING ACTIVITIES -
Distributions to partners (963,120) (963,120)
NET INCREASE IN CASH AND
CASH EQUIVALENTS 526,874 428,922
CASH AND CASH EQUIVALENTS:
At beginning of period 1,772,250 1,475,167
At end of period $2,299,124 $ 1,904,089
See accompanying notes to financial statements(unaudited).
</TABLE>
DSI REALTY INCOME FUND X
(A California Real Estate Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. GENERAL
DSI Realty Income Fund X (the "Partnership") has three general partners
(DSI Properties, Inc., Robert J. Conway and Joseph W. Conway) and
limited partners owning 31,783 limited partnership units.
The accompanying financial information as of September 30, 1999, and for
the periods ended September 30, 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. Two facilities are
located in Warren, Michigan; one facility is located in Troy, Michigan;
one facility is located in Crestwood, Illinois; and one facility is
located in Forestville, Maryland. As of September 30, 1999, the total
cost and accumulated depreciation of the mini-storage facilities is as
follows:
<TABLE>
<S> <C>
Land $ 2,089,882
Buildings 10,826,897
Furniture and Equipment 5,810
Total 12,922,589
Less: Accumulated Depreciation ( 6,113,425)
Property - Net $ 6,809,164
</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> SEP-30-1999 DEC-31-1999
<CASH> 2299124 0
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<TOTAL-ASSETS> 9174860 0
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<BONDS> 0 0
<COMMON> 0 0
0 0
0 0
<OTHER-SE> 0 0
<TOTAL-LIABILITY-AND-EQUITY> 9174860 0
<SALES> 2124254 0
<TOTAL-REVENUES> 2165812 0
<CGS> 0 0
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<OTHER-EXPENSES> 0 0
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<INCOME-PRETAX> 911967 0
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<EXTRAORDINARY> 0 0
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</TABLE>
