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 June 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 June 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 June 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
June 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: July 31, 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: July 31, 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
July 31, 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 June 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 June 30, 1999, and 1998, total revenues
increased 11.7% from $652,981 to $729,606 and total expenses decreased 2.7%
from $417,342 to $405,922. As a result, net income increased 37.4% from
$235,639 to $323,684 for the three-month period ended June 30, 1999, as
compared to the same period in 1998. The increase in revenues can be
attributed to an increase in rentel income due to higer occupancy and unit
rental rates. Occupancy levels for the Partnership's five mini-storage
facilities averaged 84.7% for the the three-month period ended June 30, 1999,
as compared to 81.0% 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 remained relatively
constant as a decrease in maintenance and repair expense was offset by
increases in advertising costs and property management fees as well as
relatively insignificant increases in various other expense accounts.
Property management fees, which are based on rental revenue, increased as
a result of the increase in rental revenue. General and administrative
expenses decreased approximately $12,200 (18.6%) primarily as a result of
decreases in legal and professional fees and Michigan State Taxes.
For the six month periods ended June 30, 1998, and 1997, total revenues
increased 6.8% from $1,315,331 to $1,404,158 and total expenses increased
1.0% from $812,031 to $820,306. As a result, net income increased 16.0%
from $503,300 for the six-month period ended June 30, 1998, to $583,852 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 $22,500 (3.3%) from $676,854 to
$699,341. The increase is primarily due to higher advertising costs, power
sweeping, real estate tax, salaries and wage expenses and property manage-
ment 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 qurter of
1999. General and administrative expenses deceased approximately $14,200
(10.5%) primarily as a result of decreases in legal and professional expenses
and Michigan and Maryland State Tax payments.
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 Parnership'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 kand 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), JUNE 30, 1999 AND DECEMBER 31, 1998
<TABLE>
<CAPTION>
June 30, December 31,
1999 1998
<S> <C> <C>
ASSETS
CASH AND CASH EQUIVALENTS $2,142,849 $1,772,250
PROPERTY 6,943,796 7,213,688
OTHER ASSETS 66,572 64,073
TOTAL $9,153,217 $9,050,011
LIABILITIES AND PARTNERS' EQUITY (DEFICIT)
LIABILITIES $2,535,050 $2,373,616
PARTNERS' EQUITY (DEFICIT):
General Partners (75,845) (75,264)
Limited Partners 6,694,012 6,751,659
Total partners' equity 6,618,167 6,676,395
TOTAL $9,153,217 $9,050,011
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
June 30, June 30,
1999 1998
REVENUES:
Rental Income $715,217 $638,173
Interest 14,389 14,808
Total revenue 729,606 652,981
EXPENSES:
Operating Expenses 352,434 351,617
General and administrative 53,488 65,725
Total expenses 405,922 417,342
NET INCOME $323,684 $235,639
AGGREGATE NET INCOME ALLOCATED TO :
Limited Partners $320,447 $223,283
General Partners 3,237 2,356
TOTAL $323,684 $235,639
NET INCOME PER
LIMITED PARTNERSHIP UNIT $10.08 $7.34
LIMITED PARTNERSHIP
UNITS USED IN PER
UNIT CALCULATION 31,783 31,783
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
June 30, June 30,
1999 1998
REVENUES:
Rental income $1,377,113 $1,288,441
Interest 27,045 26,890
Total revenues 1,404,158 1,315,331
EXPENSES:
Operating 699,341 676,854
General and administrative 120,965 135,177
Total expenses 820,306 812,031
NET INCOME 583,852 503,300
AGGREGATE NET INCOME ALLOCATED TO:
Limited Partners $578,013 $498,267
General Partners 5,839 5,033
TOTAL $583,852 $503,300
NET INCOME PER LIMITED
PARTNERSHIP UNIT $18.19 $15.68
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 (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
<TABLE>
<CAPTION>
GENERAL LIMITED
PARTNERS PARTNERS TOTAL
<S> <C> <C> <C>
BALANCE AT JANUARY 1, 1998 ($69,852) $7,287,475 $7,217,623
NET INCOME 5,033 498,267 503,300
DISTRIBUTIONS (6,420) (635,660) (642,080)
BALANCE AT JUNE 30, 1998 ($71,239) $7,150,082 $7,078,843
BALANCE AT JANUARY 1, 1999 ($75,264) $6,751,659 $6,676,395
NET INCOME 5,839 578,013 583,852
DISTRIBUTIONS (6,420) (635,660) (642,080)
BALANCE AT JUNE 30, 1999 ($75,845) $6,694,012 $6,618,167
See accompanying notes to financial statements(unaudited).
</TABLE>
STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
<TABLE>
<CAPTION>
June 30, June 30,
1999 1998
<S> <C> <C>
CASH FLOWS FROM OPERATING
ACTIVITIES:
Net income $ 583,852 $ 503,300
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation 269,262 269,264
Loss on disposal of property
and equipment 630 116
Changes in assets and liabilities:
Increase in other assets (2,499) (2,847)
Increase in liabilities 161,434 149,363
Net cash provided by operating
activities 1,012,679 919,916
CASH FLOWS FROM FINANCING ACTIVITIES -
Distributions to partners (642,080) (642,080)
NET INCREASE IN CASH AND CASH
EQUIVALENTS 370,599 277,116
CASH AND CASH EQUIVALENTS:
At beginning of period 1,772,250 1,475,167
At end of period $2,142,849 $1,752,283
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 June 30, 1999, and for
the periods ended June 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 June 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 ( 5,978,793)
Property - Net $ 6,943,796
</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> JUN-30-1999 DEC-31-1999
<CASH> 2142849 0
<SECURITIES> 0 0
<RECEIVABLES> 0 0
<ALLOWANCES> 0 0
<INVENTORY> 0 0
<CURRENT-ASSETS> 0 0
<PP&E> 12922589 0
<DEPRECIATION> 5978793 0
<TOTAL-ASSETS> 9153217 0
<CURRENT-LIABILITIES> 0 0
<BONDS> 0 0
<COMMON> 0 0
0 0
0 0
<OTHER-SE> 0 0
<TOTAL-LIABILITY-AND-EQUITY> 9153217 0
<SALES> 1377113 0
<TOTAL-REVENUES> 1404158 0
<CGS> 0 0
<TOTAL-COSTS> 0 0
<OTHER-EXPENSES> 0 0
<LOSS-PROVISION> 0 0
<INTEREST-EXPENSE> 0 0
<INCOME-PRETAX> 583852 0
<INCOME-TAX> 0 0
<INCOME-CONTINUING> 583852 0
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> 583852 0
<EPS-BASIC> 0 0
<EPS-DILUTED> 0 0
</TABLE>
