FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1998
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
0-19141
CNL Income Fund V, Ltd.
(Exact name of registrant as specified in its charter)
Florida 59-2922869
(State or other jurisdiction (I.R.S. Employer
of incorporation or organiza- Identification No.)
tion)
400 E. South Street
Orlando, Florida 32801
- ---------------------------- -----------------
(Address of principal (Zip Code)
executive offices)
Registrant's telephone number
(including area code) (407) 422-1574
Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Sections 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
<PAGE>
CONTENTS
Part I Page
Item 1. Financial Statements:
Condensed Balance Sheets 1
Condensed Statements of Income 2
Condensed Statements of Partners' Capital 3
Condensed Statements of Cash Flows 4
Notes to Condensed Financial Statements 5-7
Item 2. Management's Discussion and Analysis
of Financial Condition and
Results of Operations 8-12
Part II
Other Information 13
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
CONDENSED BALANCE SHEETS
March 31, December 31,
ASSETS 1998 1997
----------- -----------
Land and buildings on operating
leases, less accumulated
depreciation of $1,695,706 and
$1,944,358 and allowance for
loss on land and building
of $250,694 in 1998 and 1997 $10,732,835 $12,421,143
Net investment in direct financing
leases 2,265,392 2,277,481
Investment in joint ventures 1,541,277 1,558,709
Mortgage note receivable, less
deferred gain of $322,366
and $323,157 1,760,841 1,758,167
Cash and cash equivalents 3,251,803 1,361,290
Receivables, less allowance for
doubtful accounts of $134,798
and $137,892 81,959 108,261
Prepaid expenses 7,539 9,307
Accrued rental income 185,994 169,726
Other assets 54,346 54,346
----------- -----------
$19,881,986 $19,718,430
=========== ===========
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable $ 8,611 $ 24,229
Accrued construction costs payable - 125,000
Accrued real estate taxes payable 64,299 93,392
Distributions payable 2,338,327 575,000
Due to related parties 221,636 143,867
Rents paid in advance 13,213 13,479
----------- -----------
Total liabilities 2,646,086 974,967
Minority interest 217,512 222,929
Partners' capital 17,018,388 18,520,534
----------- -----------
$19,881,986 $19,718,430
=========== ===========
See accompanying notes to condensed financial statements.
1
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
CONDENSED STATEMENTS OF INCOME
Quarter Ended
March 31,
1998 1997
-------- ---------
Revenues:
Rental income from operating leases $300,322 $370,514
Earned income from direct financing
leases 59,541 45,472
Contingent rental income 25,898 38,865
Interest and other income 92,358 66,917
-------- --------
478,119 521,768
-------- --------
Expenses:
General operating and administrative 38,554 38,143
Professional services 4,018 5,314
Real estate taxes 6,664 19,211
State and other taxes 7,747 11,729
Depreciation 67,206 83,575
-------- --------
124,189 157,972
-------- --------
Income Before Minority Interest in Loss
of Consolidated Joint Venture, Equity
in Earnings of Unconsolidated Joint
Ventures and Gain on Sale of Land and
Buildings 353,930 363,796
Minority Interest in Loss of Consolidated
Joint Venture 5,417 5,450
Equity in Earnings of Unconsolidated Joint
Ventures 35,221 11,023
Gain on Sale of Land and Buildings 441,613 246
-------- --------
Net Income $836,181 $380,515
======== ========
Allocation of Net Income:
General partners $ 7,089 $ 3,805
Limited partners 829,092 376,710
-------- --------
$836,181 $380,515
======== ========
Net Income Per Limited Partner Unit $ 16.58 $ 7.53
======== ========
Weighted Average Number of Limited
Partner Units Outstanding 50,000 50,000
======== ========
See accompanying notes to condensed financial statements.
2
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
CONDENSED STATEMENTS OF PARTNERS' CAPITAL
Quarter Ended Year Ended
March 31, December 31,
1998 1997
------------- --------
General partners:
Beginning balance $ 493,982 $ 376,173
Contributions - 106,000
Net income 7,089 11,809
----------- -----------
501,071 493,982
----------- -----------
Limited partners:
Beginning balance 18,026,552 18,606,446
Net income 829,092 1,720,106
Distributions ($46.77 and
$46.00 per limited partner
unit, respectively) (2,338,327) (2,300,000)
----------- -----------
16,517,317 18,026,552
----------- -----------
Total partners' capital $17,018,388 $18,520,534
=========== ===========
See accompanying notes to condensed financial statements.
3
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
CONDENSED STATEMENTS OF CASH FLOWS
Quarter Ended
March 31,
1998 1997
---------- ----------
Increase (Decrease) in Cash and
Cash Equivalents:
Net Cash Provided by Operating
Activities $ 460,505 $ 404,443
---------- ----------
Cash Flows from Investing
Activities:
Proceeds from sale of land and
buildings 2,125,220 960,741
Additions to land and building
on operating lease (125,000) -
Collections on mortgage note
receivable 4,788 1,788
---------- ----------
Net cash provided by
investing activities 2,005,008 962,529
---------- ----------
Cash Flows from Financing
Activities:
Distributions to limited
partners (575,000) (575,000)
---------- ----------
Net cash used in
financing activities (575,000) (575,000)
---------- ----------
Net Increase in Cash and Cash
Equivalents 1,890,513 791,972
Cash and Cash Equivalents at
Beginning of Quarter 1,361,290 362,922
---------- ----------
Cash and Cash Equivalents at End of
Quarter $3,251,803 $1,154,894
========== ==========
Supplemental Schedule of Non-Cash
Investing and Financing Activities:
Deferred real estate disposition
fees incurred and unpaid at
end of quarter $ 65,400 $ -
========== =========
Distributions declared and unpaid
at end of quarter $2,338,327 $ 575,000
========== ==========
See accompanying notes to condensed financial statements.
4
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS
Quarters Ended March 31, 1998 and 1997
1. Basis of Presentation:
The accompanying unaudited condensed financial statements have been
prepared in accordance with the instructions to Form 10-Q and do not
include all of the information and note disclosures required by
generally accepted accounting principles. The financial statements
reflect all adjustments, consisting of normal recurring adjustments,
which are, in the opinion of management, necessary to a fair statement
of the results for the interim periods presented. Operating results for
the quarter ended March 31, 1998, may not be indicative of the results
that may be expected for the year ending December 31, 1998. Amounts as
of December 31, 1997, included in the financial statements, have been
derived from audited financial statements as of that date.
These unaudited financial statements should be read in conjunction with
the financial statements and notes thereto included in Form 10-K of CNL
Income Fund V, Ltd. (the "Partnership") for the year ended December 31,
1997.
The Partnership accounts for its 66.5% interest in CNL/Longacre Joint
Venture using the consolidation method. Minority interest represents
the minority joint venture partner's proportionate share of the equity
in the Partnership's consolidated joint venture. All significant
intercompany accounts and transactions have been eliminated.
2. Land and Buildings on Operating Leases:
During the quarter ended March 31, 1998, the Partnership sold its
properties in Port Orange, Florida, and Tyler, Texas to the tenants for
a total of $2,180,000 and received net sales proceeds of $2,125,220,
resulting in a total gain of $440,822 for financial reporting purposes.
These properties were originally acquired by the Partnership in 1988
and 1989 and had costs totalling approximately $1,791,300, excluding
acquisition fees and miscellaneous acquisition expenses; therefore, the
Partnership sold these properties for a total of approximately $333,920
in excess of their original purchase prices. In connection with the
sale of the properties, the Partnership incurred deferred,
subordinated, real estate disposition fees of $65,400. (See Note 4).
5
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
Quarters Ended March 31, 1998 and 1997
3. Allocations and Distributions:
Generally, all net income and net losses of the Partnership, excluding
gains and losses from the sale of properties, are allocated 99 percent
to the limited partners and one percent to the general partners.
Distributions of net cash flow are made 99 percent to the limited
partners and one percent to the general partners; provided, however,
that the one percent of net cash flow to be distributed to the general
partners is subordinated to receipt by the limited partners of an
aggregate, ten percent, cumulative, noncompounded annual return on
their adjusted capital contributions (the "10% Preferred Return").
Generally, net sales proceeds from the sale of properties, to the
extent distributed, will be distributed first to the limited partners
in an amount sufficient to provide them with their 10% Preferred
Return, plus the return of their adjusted capital contributions. The
general partners will then receive, to the extent previously
subordinated and unpaid, a one percent interest in all prior
distributions of net cash flow and a return of their capital
contributions. Any remaining sales proceeds will be distributed 95
percent to the limited partners and five percent to the general
partners.
During the quarters ended March 31, 1998 and 1997, the Partnership
declared distributions to the limited partners of $2,338,327 and
$575,000, respectively. This represents distributions for the quarters
ended March 31, 1998 and 1997 of $46.77 and $11.50 per unit,
respectively. The distribution for the quarter ended March 31, 1998,
includes $1,838,327 as a result of the distribution of net sales
proceeds from the 1997 and 1998 sale of the Properties in Tampa and
Port Orange, Florida, respectively. This amount was applied toward the
limited partners' 10% Preferred Return. No distributions have been made
to the general partners to date.
4. Related Party Transactions:
Certain affiliates are entitled to receive a deferred, subordinated
real estate disposition fee, payable upon the sale of one or more
properties based on the lesser of one-half of a competitive real estate
commission or three percent of the sales price if the affiliates
provide a substantial amount of services in connection with the sale.
Payment of the real estate disposition fee is subordinated to receipt
by the limited partners of their aggregate, ten percent, preferred
return, plus their adjusted capital contributions. For the quarter
ended March 31, 1998, the Partnership incurred $65,400
6
<PAGE>
CNL INCOME FUND V, LTD.
(A Florida Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
Quarters Ended March 31, 1998 and 1997
4. Related Party Transactions - Continued:
in deferred, subordinated, real estate disposition fees as a result of
the sale of properties. (See Note 2) No deferred, subordinated, real
estate disposition fees were incurred for the quarter ended March 31,
1997.
5. Concentration of Credit Risk:
The following schedule presents total rental and earned income from
individual lessees, each representing more than ten percent of the
Partnership's total rental and earned income (including the
Partnership's share of total rental and earned income from joint
ventures), for at least one of the quarters ended March 31:
1998 1997
-------- ------
Golden Corral Corporation $ 48,878 $ 48,878
Slaymaker Group, Inc. 46,400 -
Shoney's, Inc. 40,183 72,158
London Development Corporation 10,597 51,603
Although the Partnership's properties are geographically diverse
throughout the United States and the Partnership's lessees operate a
variety of restaurant concepts, default by any one of these lessee's
could significantly impact the results of operations of the
Partnership. However, the general partners believe that the risk of
such a default is reduced due to the essential or important nature of
these properties for the on-going operations of the lessees.
6. Subsequent Event:
In May 1998, the Partnership entered into a joint venture arrangement,
RTO Joint Venture, with an affiliate of the Partnership which has the
same general partners, to construct and hold one restaurant property,
at a total cost of $1,420,379. The Partnership has agreed to contribute
approximately $754,500 to the joint venture for an estimated 53 percent
interest in the profits and losses of the joint venture.
7
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
CNL Income Fund V, Ltd. (the "Partnership") is a Florida limited
partnership that was organized on August 17, 1988, to acquire for cash, either
directly or through joint venture arrangements, both newly constructed and
existing restaurant properties, as well as land upon which restaurants were to
be constructed, which are leased primarily to operators of national and regional
fast-food and family-style restaurant chains (collectively, the "Properties").
The leases are generally triple-net leases, with the lessees responsible for all
repairs and maintenance, property taxes, insurance and utilities. As of March
31, 1998, the Partnership owned 24 Properties, including interests in two
Properties owned by joint ventures in which the Partnership is a co-venturer and
two Properties owned with affiliates as tenants-in-common.
Liquidity and Capital Resources
During the quarters ended March 31, 1998 and 1997, the Partnership
generated cash from operations (which includes cash received from tenants,
distributions from joint ventures, and interest and other income received, less
cash paid for expenses) of $460,505 and $404,443, respectively. The increase in
cash from operations for the quarter ended March 31, 1998, is primarily a result
of changes in income and expenses, as described below in "Results of Operations"
and changes in the Partnership's working capital.
Other sources and uses of capital included the following during the
quarter ended March 31, 1998.
In July 1997, the Partnership entered into a new lease for the Property
in Connersville, Indiana, with a new tenant to operate the Property as an Arby's
restaurant. In connection therewith, during the quarter ended March 31, 1998,
the Partnership paid $125,000 in renovation costs, which had been incurred and
accrued as construction costs payable at December 31, 1997.
During the quarter ended March 31, 1998, the Partnership sold its
Properties in Port Orange, Florida, and Tyler, Texas to the tenants for a total
of $2,180,000 and received net sales proceeds of $2,125,220, resulting in a
total gain of $466,322 for financial reporting purposes. These Properties were
originally acquired by the Partnership in 1988 and 1989 and had costs totalling
approximately $1,791,300, excluding acquisition fees and miscellaneous
acquisition expenses; therefore, the Partnership sold the Properties for
approximately $333,920 in excess of their original purchase prices. In
connection with the sales, the Partnership incurred deferred, subordinated, real
estate disposition fees of $65,400. The Partnership distributed $1,838,327 of
the net sales proceeds from the 1997 and 1998 sales of the Properties in Tampa
and Port Orange, Florida, respectively as a
8
<PAGE>
Liquidity and Capital Resources - Continued
special distribution of net sales proceeds from the sale of Properties to the
limited partners. The Partnership will use the remaining net sales proceeds,
along with the net sales proceeds from the sale of the Property in Tyler, Texas,
to reinvest in additional Properties.
In May 1998, the Partnership entered into a joint venture arrangement,
RTO Joint Venture, with an affiliate of the Partnership which has the same
general partners, to construct and hold one restaurant Property, at a total cost
of $1,420,379. The Partnership has agreed to contribute approximately $754,500
to the joint venture for an estimated 53 percent interest in the profits and
losses of the joint venture.
Currently, rental income from the Partnership's Properties is invested
in money market accounts or other short-term, highly liquid investments pending
the Partnership's use of such funds to pay Partnership expenses or to make
distributions to the partners. At March 31, 1998, the Partnership had $3,251,803
invested in such short-term investments as compared to $1,361,290 at December
31, 1997. The increase in cash and cash equivalents for the quarter ended March
31, 1998, is primarily attributable to the receipt of net sales proceeds
relating to the sales of the Properties in Port Orange, Florida and Tyler,
Texas, as described above. The funds remaining at March 31, 1998, will be used
to reinvest in additional Properties, as described above, and to pay
distributions and other liabilities.
Total liabilities of the Partnership increased to $2,646,086 at March
31, 1998, from $974,967 at December 31, 1997, primarily as a result of the
Partnership's accruing a special distribution of net sales proceeds totalling
$1,838,327 from the 1997 and 1998 sales of the Properties in Tampa and Port
Orange, Florida, respectively, payable to the limited partners at March 31,
1998. The increase in liabilities was partially offset by a decrease in
construction costs payable as a result of the payment during the quarter ended
March 31, 1998, of construction costs accrued at December 31, 1997, for
renovation costs relating to the Partnership's Property located in Connorsville,
Indiana, as described above. The general partners believe that the Partnership
has sufficient cash on hand to meet its current working capital needs.
Based on current and anticipated future cash from operations, and for
the quarter ended March 31, 1998, proceeds received from the sales of
Properties, the Partnership declared distributions to limited partners of
$2,338,327 and $575,000 for the quarters ended March 31, 1998 and 1997,
respectively. This represents distributions for the quarters ended March 31,
1998 and 1997 of $46.77 and $11.50 per unit, respectively. Distributions for the
quarter ended March 31, 1998, include $1,838,327 as a result of the distribution
of net sales proceeds from the sale of Properties, as
9
<PAGE>
Liquidity and Capital Resources - Continued
described above. As a result of the sale of the Properties, the Partnership's
total revenue was reduced, while the majority of the Partnership's operating
expenses remained fixed. Therefore, distributions of net cash flow were adjusted
for the quarter ended March 31, 1998 and are expected to remain at this level.
This special distribution was effectively a return of a portion of the limited
partners' investment, although, in accordance with the Partnership agreement, it
was applied to the limited partners' unpaid preferred return. No distributions
were made to the general partners for the quarters ended March 31, 1998 and
1997. No amounts distributed to the limited partners for the quarters ended
March 31, 1998 and 1997, are required to be or have been treated by the
Partnership as a return of capital for purposes of calculating the limited
partners' return on their adjusted capital contributions. The Partnership
intends to continue to make distributions of cash available for distribution to
the limited partners on a quarterly basis.
The Partnership's investment strategy of acquiring Properties for cash
and leasing them under triple-net leases to operators who generally meet
specified financial standards minimizes the Partnership's operating expenses.
The general partners believe that the leases will continue to generate cash flow
in excess of operating expenses.
The general partners have the right, but not the obligation, to make
additional capital contributions if they deem it appropriate in connection with
the operations of the Partnership.
Results of Operations
During the quarter ended March 31, 1997, the Partnership and its
consolidated joint venture, CNL/Longacre Joint Venture, owned and leased 26
wholly owned Properties (including six Properties which were sold during 1997)
and during the quarter ended March 31, 1998, the Partnership and CNL/Longacre
Joint Venture owned and leased 22 wholly owned Properties (including one
Property in Port Orange, Florida which was sold in January 1998 and one Property
in Tyler, Texas, which was sold in February 1998) to operators of fast-food and
family-style restaurant chains. In connection therewith, during the quarters
ended March 31, 1998 and 1997, the Partnership and CNL/Longacre Joint Venture
earned $359,863 and $415,986, respectively, in rental income from operating
leases and earned income from direct financing leases. Rental and earned income
decreased approximately $163,000 during the quarter ended March 31, 1998, as
compared to the quarter ended March 31, 1997, as a result of the sales of six
Properties during 1997 and the sales of the Properties in Port Orange, Florida
and Tyler, Texas during 1998.
10
<PAGE>
Results of Operations - Continued
The decrease in rental income was partially offset by an increase of
approximately $81,300 during the quarter ended March 31, 1998, due to the
reinvestment of a portion of net sales proceeds in two Properties in Houston,
Texas and Sandy, Utah, in January 1998 and February 1998, respectively. In
addition, rental and earned income was lower during the quarter ended March 31,
1997 by approximately $22,000 due to the Partnership increasing its allowance
for doubtful accounts for the Properties located in Connorsville and Richmond,
Indiana, which were leased by the same tenant, due to financial difficulties the
tenant was experiencing. No such allowance was recorded during the quarter ended
March 31, 1998, due to the fact that during 1997, a new tenant began operating
the Connorsville Property and the Partnership sold the Richmond Property to a
third party.
Rental and earned income during the quarters ended March 31, 1998 and
1997, continued to remain at reduced amounts due to the fact that the
Partnership is not receiving any rental income relating to the Properties in
Belding, Michigan, and Lebanon, New Hampshire. Rental and earned income are
expected to remain at reduced amounts until such time as the Partnership
executes new leases for the Properties in Belding, Michigan and Lebanon, New
Hampshire.
In addition, for the quarters ended March 31, 1998 and 1997, the
Partnership owned and leased two Properties indirectly through other joint
venture arrangements. In addition, during the quarter ended March 31, 1998, the
Partnership owned and leased two Properties as tenants-in-common with affiliates
of the general partners. In connection therewith, the Partnership earned $35,221
and $11,023, respectively, attributable to net income earned by unconsolidated
joint ventures in which the Partnership is a co-venturer. The increase in net
income earned by these joint ventures during the quarter ended March 31, 1998,
as compared to the quarter ended March 31, 1997, is primarily attributable to
the fact that in October and December 1997, the Partnership reinvested a portion
of the net sales proceeds it received from the 1997 sales of several Properties
in two Properties in Mesa, Arizona and Vancouver, Washington, with affiliates of
the general partners as tenants-in-common.
During the quarter ended March 31, 1998, two lessees of the Partnership
and its consolidated joint venture, Slaymaker Group, Inc. and Golden Corral
Corporation, each contributed more than ten percent of the Partnership's total
rental income (including rental income from the Partnership's consolidated joint
venture, the Partnership's share of the rental income from two Properties owned
by unconsolidated joint ventures in which the Partnership is a co-venturer and
two Properties owned with affiliates as tenants-in-common). As of March 31,
1998, Slaymaker Group, Inc. was the lessee under a lease relating to one
restaurant and Golden Corral Corporation was the lessee under the leases
relating to two restaurants. It is anticipated that, based on the minimum rental
11
<PAGE>
Results of Operations - Continued
payments required by the leases, these lessees will continue to contribute more
than ten percent of the Partnership's total rental income during the remainder
of 1998 and subsequent years. Any failure of these lessees could materially
affect the Partnership's income.
Operating expenses, including depreciation expense, were $124,189 and
$157,972 for the quarters ended March 31, 1998 and 1997, respectively. The
decrease in operating expenses during the quarter ended March 31, 1998, as
compared to the quarter ended March 31, 1997, was partially attributable to a
decrease in depreciation expense due to the sales of several Properties during
1998 and 1997. The decrease in operating expenses was also partially
attributable to the fact that, during the quarter ended March 31, 1997, the
Partnership recorded approximately $8,100 for real estate taxes relating to the
Properties located in Connorsville and Richmond, Indiana, due to continued
financial difficulties the tenant was experiencing. No such expenses were
recorded during the quarter ended March 31, 1998 due to the fact that during
1997, the Partnership entered into a new lease for the Connorsville Property,
with a new tenant to operate the Property and sold the Richmond Property to a
third party.
Due to the tenants defaulting during 1995 under the terms of their
lease agreements for the Property in Belding, Michigan, and the Property in
Lebanon, New Hampshire, the Partnership and its consolidated joint venture,
CNL/Longacre Joint Venture, expect to continue to incur operating expenses
relating to such Properties until such time as a new lease is executed for each
Property.
As a result of the sale of the Properties in Myrtle Beach, South
Carolina and St. Cloud, Florida in August 1995 and October 1996, respectively,
and recording the gains from such sales using the installment method, the
Partnership recognized gains for financial reporting purposes of $791 and $246,
during the quarters ended March 31, 1998 and 1997, respectively.
As a result of the sales during 1998 of the Properties in Port Orange,
Florida and Tyler, Texas, as described above in "Liquidity and Capital
Resources," the Partnership recognized a total gain of $440,822 for financial
reporting purposes during the quarter ended March 31, 1998.
12
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings. Inapplicable.
Item 2. Changes in Securities. Inapplicable.
Item 3. Defaults upon Senior Securities. Inapplicable.
Item 4. Submission of Matters to a Vote of Security Holders.
Inapplicable.
Item 5. Other Information. Inapplicable.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits - None.
(b) No reports on Form 8-K were filed during the quarter
ended March 31, 1998.
13
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
DATED this 13th day of May, 1998.
CNL INCOME FUND V, LTD.
By: CNL REALTY CORPORATION
General Partner
By: /s/ James M. Seneff, Jr.
-----------------------------
JAMES M. SENEFF, JR.
Chief Executive Officer
(Principal Executive Officer)
By: /s/ Robert A. Bourne
------------------------------
ROBERT A. BOURNE
President and Treasurer
(Principal Financial and
Accounting Officer)
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
This schedule contains summary financial information extracted from the balance
sheet of CNL Income Fund V, Ltd. at March 31, 1998, and its statement of income
for the three months then ended and is qualified in its entirety by reference to
the Form 10Q of CNL Income Fund V, Ltd. for the three months ended March 31,
1998.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> MAR-31-1998
<CASH> 3,251,803
<SECURITIES> 0
<RECEIVABLES> 216,757
<ALLOWANCES> 134,798
<INVENTORY> 0
<CURRENT-ASSETS> 0<F1>
<PP&E> 12,428,541
<DEPRECIATION> 1,695,706
<TOTAL-ASSETS> 19,881,986
<CURRENT-LIABILITIES> 0<F1>
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 17,018,388
<TOTAL-LIABILITY-AND-EQUITY> 19,881,986
<SALES> 0
<TOTAL-REVENUES> 478,119
<CGS> 0
<TOTAL-COSTS> 124,189
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 836,181
<INCOME-TAX> 0
<INCOME-CONTINUING> 836,181
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 836,181
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
<FN>
<F1>Due to the nature of its industry, CNL Income Fund V, Ltd. has an
unclassified balance sheet; therefore, no values are shown above for current
assets and current liabilities.
</FN>
</TABLE>
