June 27, 1997
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549
Boston Financial Qualified Housing Tax Credits L.P. V
Annual Report on Form 10-K for the Year Ended March 31, 1997
Commission File Number 0-19706
Dear Sir / Madam:
Pursuant to the requirements rule 901 (d) of Regulation S-T, enclosed is one
copy of subject report.
Very truly yours,
/s/Veronica Curioso
Veronica Curioso
Assistant Controller
QH510K-K
<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-K
Annual Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the fiscal year ended Commission file number
March 31, 1997 0-19706
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(Exact name of registrant as specified in its charter)
Massachusetts 04-3054464
(State of organization) (I.R.S. Employer
Identification No.)
101 Arch Street, 16th Floor
Boston, Massachusetts 02110-1106
(Address of Principal executive office) (Zip Code)
Registrant's telephone number, including area code 617/439-3911
Securities registered pursuant to Section 12(b) of the Act:
Name of each exchange on
Title of each class which registered
None None
Securities registered pursuant to Section 12(g) of the Act:
UNITS OF LIMITED PARTNERSHIP INTEREST
(Title of Class)
100,000
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
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K (Subsection 229.405 of this chapter) is not contained herein,
and will not be contained, to the best of registrant's knowledge, in definitive
proxy or information statements incorporated by reference in Part III of this
Form 10-K or any amendment to this Form 10-K. [ X ]
State the aggregate sales price of partnership units held by non-affiliates of
the registrant.
$68,928,650 as of March 31, 1997
<PAGE>
DOCUMENTS INCORPORATED BY REFERENCE:LIST THE FOLLOWING DOCUMENTS IF INCORPORATED
BY REFERENCE AND THE PART OF THE FORM 10-K INTO WHICH THE DOCUMENT IS
INCORPORATED: (1) ANY ANNUAL REPORT TO SECURITY HOLDERS: (2) ANY PROXY OR
INFORMATION STATEMENT: AND (3) ANY PROSPECTUS FILED PURSUANT TO RULE 424(b) OR
(c) UNDER THE SECURITIES ACT OF 1933.
Part of Report on
Form 10-K into
Which the Document
Documents incorporated by reference is Incorporated
Post-effective amendments No. 1 - 5 to the
Form S-11 Registration Statement, File # 33-29935 Part I, Item 1
Acquisition Reports Part I, Item 1
Post-effective amendment No. 6 to the Registration
Statement on Form S-11, File # 33-29935 Part III, Item 12
Prospectus - Sections Entitled:
"Estimated Use of Proceeds" Part III, Item 13
"Management Compensations and Fees" Part III, Item 13
"Profits and Losses for Tax Purposes, Tax
Credits and Cash Distributions" Part III, Item 13
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
ANNUAL REPORT ON FORM 10-K
FOR THE YEAR ENDED MARCH 31, 1997
TABLE OF CONTENTS
Page No.
PART I
Item 1 Business K-3
Item 2 Properties K-6
Item 3 Legal Proceedings K-12
Item 4 Submission of Matters to a Vote of
Security Holders K-12
PART II
Item 5 Market for the Registrant's Units and
Related Security Holder Matters K-13
Item 6 Selected Financial Data K-14
Item 7 Management's Discussion and Analysis of
Financial Condition and Results of Operations K-15
Item 8 Financial Statements and Supplementary Data K-17
Item 9 Changes in and Disagreements with Accountants
on Accounting and Financial Disclosure K-17
PART III
Item 10 Directors and Executive Officers
of the Registrant K-18
Item 11 Management Remuneration K-19
Item 12 Security Ownership of Certain Beneficial
Owners and Management K-20
Item 13 Certain Relationships and Related Transactions K-20
PART IV
Item 14 Exhibits, Financial Statement Schedules and
Reports on Form 8-K K-22
SIGNATURES K-23
<PAGE>
PART I
Item 1. Business
Boston Financial Qualified Housing Tax Credits L.P. V (the "Partnership") is a
Massachusetts limited partnership formed on June 16, 1989 under the laws of the
State of Massachusetts. The Partnership's partnership agreement ("Partnership
Agreement") authorized the sale of up to 100,000 units of Limited Partnership
Interest ("Units") at $1,000 per Unit, adjusted for certain discounts. The
Partnership raised $68,928,650 ("Gross Proceeds"), net of discounts of $350,
through the sale of 68,929 Units. Such amounts exclude five unregistered Units
previously acquired for $5,000 by the Initial Limited Partner, which is also one
of the General Partners. The offering of Units terminated on August 31, 1991. No
further sale of Units is expected.
The Partnership is engaged solely in the business of real estate investment. A
presentation of information about industry segments is not applicable and would
not be material to an understanding of the Partnership's business taken as a
whole.
The Partnership has invested as a limited partner in other limited partnerships
("Local Limited Partnerships") which own and operate residential apartment
complexes ("Properties") some of which benefit from some form of federal, state
or local assistance programs and all of which qualify for the low-income housing
tax credits ("Tax Credits") added to the Internal Revenue Code (the "Code") by
the Tax Reform Act of 1986. The investment objectives of the Partnership include
the following: (i) to provide current tax benefits in the form of Tax Credits
which qualified limited partners may use to offset their federal income tax
liability; (ii) to preserve and protect the Partnership's capital; (iii) to
provide limited cash distributions from property operations which are not
expected to constitute taxable income during the expected duration of the
Partnership's operations; and (iv) to provide cash distributions from sale or
refinancing transactions. There cannot be any assurance that the Partnership
will attain any or all of these investment objectives.
Table A on the following page lists the Properties owned by the Local Limited
Partnerships in which the Partnership has invested. Item 7 of this Report
contains other significant information with respect to such Local Limited
Partnerships. As required by applicable rules, the terms of the acquisition of
each Local Limited Partnership interest have been described in supplements to
the Prospectus and collected in the post-effective amendments to the
Registration Statement listed in Part IV of this Report (collectively, the
"Acquisition Reports"); such descriptions are incorporated herein by this
reference.
<PAGE>
TABLE A
SELECTED LOCAL LIMITED
PARTNERSHIP DATA
<TABLE>
<CAPTION>
Date
Properties Owned by Local Interest
Limited Partnerships* Location Acquired
- -------------------------------- ---------------------- --------------
<S> <C> <C>
Strathern Park/Lorne Park (1) Los Angeles, CA 07/05/90
Maiden Choice Catonsville, MD 08/17/90
Cedar Lane I London, KY 09/10/90
Silver Creek II Berea, KY 08/15/90
Rosecliff Sanford, FL 09/18/90
Brookwood Ypsilanti, MI 10/01/90
Oaks of Dunlop Colonial Heights, VA 01/01/91
Water Oak Orange City, FL 01/01/91
Yester Oaks Lafayette, GA 01/01/91
Ocean View Fernandina Beach, FL 01/01/91
Wheeler House Nashua, NH 01/01/91
Archer Village Archer, FL 01/01/91
Timothy House Towson, MD 03/05/91
Westover Station Newport News, VA 03/30/91
Carib Villas III St. Croix, VI 03/21/91
Carib Villas II St. Croix, VI 03/01/91
Whispering Trace Woodstock, GA 05/01/91
Historic New Center Detroit, MI 06/27/91
Huguenot Park New Paltz, NY 06/26/91
Hillwood Pointe Jacksonville, FL 07/19/91
Pinewood Pointe Jacksonville, FL 07/31/91
Westgate Bismark, ND 07/25/91
Woodlake Hills Pontiac, MI 08/01/91
Bixel House Los Angeles, CA 07/31/91
Harmony North Hollywood, CA 07/31/91
Schumaker Place Salisbury, MD 09/20/91
Circle Terrace Lansdowne, MD 12/06/91
</TABLE>
* The Partnership's interest in profits and losses of each Local Limited
Partnership arising from normal operations is approximately 99% except for
a 95% interest in Strathern Park/Lorne Park Apartments and an 88.6%
interest in Huguenot Park. Profits and losses arising from sale or
refinancing transactions are allocated in accordance with the respective
Local Limited Partnership Agreements.
(1) On January 1, 1994, Lorne Park merged into Strathern Park in a business
combination accounted for as a pooling of interests. Lorne Park's total
assets, liabilities, and partners' equity were combined with Strathern Park
at their existing book value, and neither partnership recognized a gain or
loss on the merger.
<PAGE>
Although the Partnership's investments in Local Limited Partnerships are not
subject to seasonal fluctuations, the Partnership's equity in losses of Local
Limited Partnerships, to the extent it reflects the operations of individual
Properties, may vary from quarter to quarter based upon changes in occupancy and
operating expenses as a result of seasonal factors.
Each Local Limited Partnership has, as its general partners ("Local General
Partners"), one or more individuals or entities not affiliated with the
Partnership or its General Partners. In accordance with the partnership
agreements under which such entities are organized ("Local Limited Partnership
Agreements"), the Partnership depends on the Local General Partners for the
management of each Local Limited Partnership. As of March 31, 1997, the
following Local Limited Partnerships have a common Local General Partner or
affiliated group of Local General Partners accounting for the specified
percentage of the original investment in Local Limited Partnerships: (i) Timothy
House and Maidens Choice, representing 10.05%, have Shelter Development Corp. as
Local General Partner; (ii) Hillwood Pointe, Pinewood Pointe and Whispering
Trace, representing 11.89%, have Flournoy Development Co. as Local General
Partner; (iii) Silver Creek and Cedar Lane, representing .87%, have Robinson A.
Williams as Local General Partner; (iv) Water Oak, Yester Oaks and Ocean View
representing 1.71%, have Seals & Associates, Inc. & E. Lamar Seals as Local
General Partners; (v) Bixel House and Harmony Apartments, representing 7.05%,
have Julian Weinstock Construction Co., Inc. as Local General Partner; (vi)
Carib Villas II and Carib Villas III, representing 1.21%, have First Centrum
Corp. as Local General Partner (BF Lansing Limited Partnership, an affiliate of
the Managing General Partner, became the Administrative General Partner in Carib
Villas II and Carib Villas III on January 31, 1993). The Local General Partners
of the remaining Local Limited Partnerships are identified in the Acquisition
Reports, which are incorporated herein by this reference.
The Properties owned by the Local Limited Partnerships in which the Partnership
has invested are, and will continue to be, subject to competition from existing
and future apartment complexes in the same areas. The continued success of the
Partnership will depend on many outside factors, most of which are beyond the
control of the Partnership and which cannot be predicted at this time. Such
factors include general economic and real estate market conditions, both on a
national basis and in those areas where the Properties are located, the
availability and cost of borrowed funds, real estate tax rates, operating
expenses, energy costs and government regulations. In addition, other risks
inherent in real estate investment may influence the ultimate success of the
Partnership, including (i) possible reduction in rental income due to an
inability to maintain high occupancy levels or adequate rental levels; (ii)
possible adverse changes in general economic conditions and local conditions,
such as competitive over-building, or a decrease in employment or adverse
changes in real estate laws, including building codes; and (iii) the possible
future adoption of rent control legislation which would not permit increased
costs to be passed on to the tenants in the form of rent increases, or which
suppress the ability of the Local Limited Partnerships to generate operating
cash flow. Since most of the Properties benefit from some form of government
assistance, the Partnership is subject to the risks inherent in that area
including decreased subsidies, and difficulties in finding suitable tenants and
obtaining permission for rent increases. In addition, any Tax Credits allocated
to investors with respect to a Property are subject to recapture to the extent
that the Property or any portion thereof ceases to qualify for the Tax Credits.
Other future changes in federal and state income tax laws affecting real estate
ownership or limited partnerships could have a material and adverse affect on
the business of the Partnership.
The Partnership is managed by Arch Street V, Inc., the Managing General Partner
of the Partnership. The other General Partner of the Partnership is Arch Street
V Limited Partnership. To economize on direct and indirect payroll costs, the
Partnership, which does not have any employees, reimburses The Boston Financial
Group Limited Partnership, an affiliate of the General Partners, for certain
expenses and overhead costs. A complete discussion of the management of the
Partnership is set forth in Item 10 of this Report.
<PAGE>
Item 2. Properties
The Partnership owns limited partnership interests in twenty-seven Local Limited
Partnerships which own and operate Properties, some of which benefit from some
form of federal, state or local assistance programs and all of which qualify for
the Tax Credits added to the Code by the Tax Reform Act of 1986. The
Partnership's ownership interest in each Local Limited Partnership is generally
99%, except for Strathern Park/Lorne Park, where the Partnership's ownership
interest is 95%, and Huguenot Park which is 88.6%.
Each of the Local Limited Partnerships has received an allocation of Tax Credits
from its relevant state tax credit agency. In general, the Tax Credit runs for
ten years from the date the Property is placed in service. The required holding
period (the "Compliance Period") of the Properties is fifteen years. During
these fifteen years, the Properties must satisfy rent restrictions, tenant
income limitations and other requirements, as promulgated by the Internal
Revenue Service, in order to maintain eligibility for the Tax Credit at all
times during the "Compliance Period". Once a Local Limited Partnership has
become eligible for the Tax Credits, it may lose such eligibility and suffer an
event of recapture if its Property fails to remain in compliance with the
requirements. To date, none of the Local Limited Partnerships have suffered an
event of recapture of Tax Credits.
In addition, some of the Local Limited Partnerships have obtained one or a
combination of different types of loans such as: i) below market rate interest
loans; ii) loans provided by a redevelopment agency of the town or city in which
the property is located at favorable terms; and iii) loans that have repayment
terms that are based on a percentage of cash flow.
The schedules on the following pages provide certain key information on the
Local Limited Partnership interests acquired by the Partnership.
<PAGE>
<TABLE>
<CAPTION>
Capital Contributions
Total Paid Mortgage loans Occupancy
Local Limited Partnership Number Committed at through payable at Type at
Property Name of March 31, March 31, December 31, of March 31,
Property Location Apt. Units 1997 1997 1996 Subsidy* 1997
- -------------------------------- ------------ ------------- --------------- --------------- ------------- -----------
<S> <C> <C> <C> <C> <C> <C>
Strathern Park/Lorne Park, a
California Limited Partnership (1)
Strathern Park/Lorne Park
Los Angeles, CA 241 $8,418,667 $8,418,667 $17,552,451 None 100%
Maiden Choice Limited
Partnership
ParkCaton
Catonsville, MD 101 2,513,300 2,513,300 4,050,000 None 100%
Cedar Lane I, Ltd.
Cedar Lane I
London, KY 36 288,587 288,587 1,122,677 None 100%
Silver Creek II, Ltd.
Silver Creek II
Berea, KY 24 193,278 193,278 771,586 None 100%
Tompkins/Rosecliff, Ltd.
Rosecliff
Sanford, FL 168 3,604,720 3,604,720 5,617,392 None 90%
Brookwood L.D.H.A.
Brookwood
Ypsilanti, MI 81 2,373,295 2,373,295 3,042,439 None 95%
Water Oak Apartment, L.P.
Water Oak
Orange City, FL 40 293,519 293,519 1,260,655 None 100%
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Capital Contributions
Total Paid Mortgage loans Occupancy
Local Limited Partnership Number Committed at through payable at Type at
Property Name of March 31, March 31, December 31, of March 31,
Property Location Apt. Units 1997 1997 1996 Subsidy* 1997
- ----------------------------- ------------- ---------------- ------------- -------------- ------------- ------------
<S> <C> <C> <C> <C> <C> <C>
Yester Oaks, L.P.
Yester Oaks
Lafayette, GA 44 319,254 319,254 1,291,670 FmHA 88%
Ocean View Apartments, L.P.
Ocean View
Fernandina Beach, FL 42 334,177 334,177 1,371,628 None 100%
Burbank Limited Partnership I
Wheeler House
Nashua, NH 17 300,531 300,531 713,772 Section 8 100%
Archer Village, Ltd.
Archer Village
Archer, FL 24 171,380 171,380 711,860 FmHA 95%
The Oaks of Dunlop Farms, L.P.
Oaks of Dunlop
Colonial Heights, VA 144 2,791,280 2,791,280 4,453,719 None 99%
Timothy House Limited
Partnership
Timothy House
Towson, MD 112 3,064,250 3,064,250 2,572,215 None 100%
Westover Station Associates, L.P.
Westover Station
Newport News, VA 108 1,972,947 1,972,947 2,674,741 None 94%
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Capital Contributions
Total Paid Mortgage loans Occupancy
Local Limited Partnership Number Committed at through payable at Type at
Property Name of March 31, March 31, December 31, of March 31,
Property Location Apt. Units 1997 1997 1996 Subsidy* 1997
- ------------------------------- -------------- ------------- ------------- ---------------- ------------- -----------
<S> <C> <C> <C> <C> <C> <C>
Christiansted Limited Dividend
Housing Association
Carib III
St. Croix, VI 24 322,260 322,260 1,489,054 FmHA 92%
St. Croix II Limited Partnership
Carib II
St. Croix, VI 20 347,680 347,680 1,407,642 FmHA 85%
Whispering Trace Apartments,
A Limited Partnership
Whispering Trace
Woodstock, GA 40 1,093,330 1,093,330 1,408,471 None 95%
Historic New Center Apartments
Limited Partnership
New Center
Detroit, MI 104 2,899,000 2,899,000 3,519,360 Section 8 90%
Huguenot Park Associates, L.P.
Huguenot Park
New Paltz, NY 24 982,358 982,358 1,400,000 None 100%
Cobblestone Place Townhomes,
A Limited Partnership
Hillwood Pointe
Jacksonville, FL 100 2,356,133 2,356,133 2,993,869 None 97%
Kensington Place Townhomes,
A Limited Partnership
Pinewood Pointe
Jacksonville, FL 136 3,153,173 3,153,173 4,053,614 None 99%
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Capital Contributions
Total Paid Mortgage loans Occupancy
Local Limited Partnership Number Committed at through payable at Type at
Property Name of March 31, March 31, December 31, of March 31,
Property Location Apt. Units 1997 1997 1996 Subsidy* 1997
- ------------------------------ ------------ ------------- --------------- --------------- ------------- --------------
<S> <C> <C> <C> <C> <C> <C>
Westgate Apartments Limited
Partnership
Westgate
Bismark, ND 60 935,893 935,893 1,389,836 None 95%
Woodlake Hills Limited
Partnership
Woodlake Hills
Pontiac, MI 144 4,154,670 4,154,670 3,875,742 None 94%
Bixel House, a California
Limited Partnership
Bixel House
Los Angeles, CA 76 710,677 710,677 1,442,282 Section 8 96%
Harmony Apartments, a California
Limited Partnership
Magnolia Villas
North Hollywood, CA 65 3,203,996 3,203,996 3,124,470 None 95%
Schumaker Place Associates, L.P.
Schumaker Place
Salisbury, MD 96 2,910,453 2,910,453 2,941,443 None 92%
Circle Terrace Associates Limited
Partnership
Circle Terrace
Lansdowne, MD 303 5,811,234 5,811,234 9,962,770 Section 8 98%
------- ------------ ------------ -------------
2,374 $55,520,042 $55,520,042 $86,215,358
======= ============ ============ =============
</TABLE>
<PAGE>
* FmHA This subsidy, which is authorized under Section 515 of
the Housing Act of 1949, can be one or a combination of
different types of financing. For instance, FmHA may provide
1) direct below-market-rate mortgage loans for rural rental
housing; 2) mortgage interest subsidies which effectively
lower the interest rate of the loan to 1%; 3) a rental
assistance subsidy to tenants which allows them to pay no more
than 30% of their monthly income as rent with the balance paid
by the federal government; or 4) a combination of any of the
above.
Section 8 This subsidy, which is authorized under Section 8 of Title
II of the Housing and Community Development Act of 1974,
allows qualified low-income tenants to pay 30% of their
monthly income as rent with the balance paid by the federal
government.
(1)On January 1, 1994, Lorne Park merged into Strathern Park
in a business combination accounted for as a pooling of
interests. Lorne Park's total assets, liabilities and
partners' equity were combined with Strathern Park at their
existing book value, and neither partnership recognized a gain
or loss on the merger. The combined Partnerships constructed a
241 Unit apartment project (Lorne Park: 72 Units, Strathern
Park: 169 Units) for tenants whose income is very low to
moderate.
<PAGE>
Two Local Limited Partnerships invested in by the Partnership each represent
more than 10% of the total capital contributions to be made to Local Limited
Partnerships by the Partnership. The first is Strathern Park/Lorne Park, a
California Limited Partnership. Strathern Park/Lorne Park, representing 15.16%
of the total original investment in Local Limited Partnerships is a 241-unit
apartment complex located in Los Angeles, California.
Strathern Park/Lorne Park is financed by a combination of private and public
sources, including a first mortgage at 9.41% interest and 30 year term with
California Community Reinvestment Corporation, a consortium of private lenders.
Secondary financing has a term of 40 years and is provided by the Community
Redevelopment Agency of the City of Los Angeles and a U.S. Housing and Urban
Development Action Grant, with payments made from the residual receipts of the
project.
The other Local Limited Partnership which represents more than 10% of the total
capital contributions made to Local Limited Partnerships is Circle Terrace
Associates Limited Partnership. Circle Terrace, representing 10.47% of the total
original investment in Local Limited Partnerships, is a substantially renovated
303-unit apartment complex located in Lansdowne, Maryland with 23 garden-style
buildings and a newly-constructed community building.
All of the units at Circle Terrace benefit from Section 8 Loan Management Set
Aside Program. Additionally, Circle Terrace assumed a HUD Section 236 mortgage
and from financing by Crestar of Richmond Virginia, Inc. and by Maryland's
Department of Housing and Community Rental Housing Program. The Property also
has a loan financed by Baltimore County's Community Development Block Grant
program and it received weatherization funds from the U.S.
Department of Energy.
The duration of the leases for occupancy in the Properties described above are
six to twelve months. The Managing General Partner believes the Properties
described herein are adequately covered by insurance.
Additional information required under this Item, as it pertains to the
Partnership, is contained in Items 1, 7 and 8 of this Report.
Item 3. Legal Proceedings
The Partnership is not a party to any pending legal or administrative
proceeding. However, Tompkins/Rosecliff, Ltd. which owns a property in Sanford,
Florida, is involved in certain litigation with an entity formerly affiliated
with this Partnership and its previous local general partner. It is possible
that the Partnership will be named as a defendant in this litigation. It does
not currently appear that this matter presents a material risk to the
Partnership. However, in the opinion of management, there is currently a remote
possibility that this litigation could ultimately result in a loss of this
property and its tax credits. The Partnership will vigorously pursue its legal
rights if this becomes a material risk in the future. The Partnership has
retained counsel to represent its interest in this matter.
Item 4. Submission of Matters to a Vote of Security Holders
None.
<PAGE>
PART II
Item 5. Market for the Registrant's Units and Related Security Holder Matters
There is no public market for the Units, and it is not expected that a public
market will develop. If a Limited Partner desires to sell Units, the buyer of
those Units will be required to comply with the minimum purchase and retention
requirements and investor suitability standards imposed by applicable federal or
state securities laws and the minimum purchase and retention requirements
imposed by the Partnership. The price to be paid for the Units, as well as the
commissions to be received by any participating broker-dealers, will be subject
to negotiation by the Limited Partner seeking to sell his Units. Units will not
be redeemed or repurchased by the Partnership.
The Partnership Agreement does not impose on the Partnership or its General
Partners any obligation to obtain periodic appraisals of assets or to provide
Limited Partners with any estimates of the current value of Units.
As of March 31, 1997, there were 3,753 record holders of Units of the
Partnership.
Cash distributions, when made, are paid annually. No cash distributions were
paid for the years ended March 31, 1997, 1996 and 1995. In the Partnership's
early years, cash available for distribution was derived from the interest
earned on the temporary investment of funds held by the Partnership prior to
paying capital contributions to Local Limited Partnerships. All cash
distributions made to date have constituted a return of capital for generally
accepted accounting principles.
<PAGE>
Item 6. Selected Financial Data
The following table sets forth selected financial information regarding the
Partnership's financial position and operating results. This information should
be read in conjunction with Management's Discussion and Analysis of Financial
Condition and Results of Operations and the Financial Statements and Notes
thereto, which are included in Items 7 and 8 of this Report.
<TABLE>
<CAPTION>
March 31, March 31, March 31, March 31, March 31,
1997 1996 1995 1994 1993
------------ ------------ ------------ ------------- ------------
<S> <C> <C> <C> <C> <C>
Revenue $ 204,683 $ 224,012 $ 171,863 $ 232,489 $ 509,911
Equity in losses of Local Limited
Partnerships (4,044,413) (4,695,617) (4,747,136) (4,698,334) (4,658,311)
Net loss (4,337,761) (4,952,448) (5,110,677) (4,982,538) (4,714,671)
Per Limited Partnership Unit (A) (62.30) (71.13) (73.40) (71.56) (67.71)
Cash, cash equivalents and
marketable securities 3,289,694 3,342,899 3,269,031 3,605,476 6,249,982
Investment in Local Limited
Partnerships, at original cost 56,559,793 56,559,793 56,346,293 56,226,293 53,834,379
Total assets (B) 33,871,495 38,246,869 42,985,386 48,069,381 53,134,553
Cash Distributions - - - - -
Other data:
Passive loss (C) (5,154,301) (5,187,774) (5,204,384) (5,177,324) (5,616,384)
Per Limited Partnership Unit (A,C) (74.03) (74.51) (74.75) (74.36) (80.67)
Portfolio income (C) 281,707 350,417 233,083 379,338 1,154,692
Per Limited Partnership Unit (A,C) 4.05 5.03 3.35 5.45 16.58
Low-Income Housing Tax Credit (C) 10,512,996 10,506,229 10,519,636 10,447,764 8,528,518
Per Limited Partnership Unit (A,C) 150.99 150.90 151.09 150.06 122.49
Local Limited Partnership interests
owned at end of period (D) 27 27 27 28 28
</TABLE>
(A) Per Limited Partnership Unit data is based upon 68,929 outstanding Units.
(B) Total assets include the net investment in Local Limited Partnerships.
(C) Income tax information is as of December 31, the year end of the Partnership
for income tax purposes.
(D) On January 1, 1994, Strathern Park and Lorne Park merged.
<PAGE>
Item 7. Management's Discussion and Analysis of Financial Condition and Results
of Operations
Liquidity and Capital Resources
At March 31, 1997, the Partnership had cash and cash equivalents of $449,567,
compared with $243,644 at March 31, 1996. The increase is attributable to
proceeds from sales and maturities of marketable securities and cash
distributions received from Local Limited Partnerships, partially offset by net
cash used for operations and purchases of marketable securities.
Approximately $2,735,000 of marketable securities has been designated as
Reserves by the Managing General Partner. The Reserves were established to be
used for working capital of the Partnership and contingencies related to the
ownership of Local Limited Partnership interests. Management believes that the
investment income earned on the Reserves, along with cash distributions received
from Local Limited Partnerships, to the extent available, will be sufficient to
fund the Partnership's ongoing operations and any contingencies that may arise.
Reserves may be used to fund Partnership operating deficits, if the Managing
General Partner deems funding appropriate.
Since the Partnership invests as a limited partner, the Partnership has no
contractual duty to provide additional funds to Local Limited Partnerships
beyond its specified investment. Thus, at March 31, 1997, the Partnership had no
contractual or other obligation to any Local Limited Partnership which had not
been paid or provided for.
In the event a Local Limited Partnership encounters operating difficulties
requiring additional funds, the Partnership might deem it in its best interests
to provide such funds, voluntarily, in order to protect its investment. No such
event has occurred to date.
Cash Distributions
No cash distributions were made during the year ended March 31, 1997. In prior
years, cash available for distribution was derived from the interest earned on
the temporary investment of the Partnership's funds, at money market rates,
prior to the funds being contributed to the Partnership's Local Limited
Partnership investments. Based on the results of 1996 operations, the Local
Limited Partnerships are not expected to distribute significant amounts of cash
to the Partnership because such amounts will be needed to fund Property
operating costs. In addition, many of the Properties benefit from some type of
federal or state subsidy, and as a consequence, are subject to restrictions on
cash distributions. Therefore, it is expected that only a limited amount of cash
will be distributed to investors from this source in the future.
Results of Operations
1997 versus 1996
The Partnership's results of operations for the year ended March 31, 1997
resulted in a net loss of $4,337,761 as compared to a net loss of $4,952,448 for
the same period in 1996. This improved net loss position is primarily
attributable to a decrease in equity in losses of Local Limited Partnerships and
an increase in investment revenue, offset by a decrease in other revenue. The
decrease in equity in losses of Local Limited Partnerships is due to rental
subsidy receipts in 1996 which were reserved for in the prior year. Investment
revenue increased because of improved returns earned on investments in
securities during fiscal year 1997.
<PAGE>
1996 versus 1995
The Partnership's results of operations for the year ended March 31, 1996
resulted in a net loss of $4,952,448 as compared to a net loss of $5,110,677 for
the same period in 1995. This improved net loss position is primarily
attributable to lower general and administrative expenses and an increase in
investment and other revenue. General and administrative expenses decreased
primarily because of a decrease in investor reporting expenses. Investment and
other revenue increased because of improved returns earned on investments in
securities during fiscal year 1996.
Effect of recently issued Accounting Standard
The Financial Accounting Standards Board has issued Statement of Accounting
Standards No. 121, Accounting for the Impairment of Long-Lived Assets and for
Long-Lived Assets to Be Disposed Of, which is effective for fiscal years
beginning after December 15, 1995. This standard requires that long-lived assets
be reviewed for recoverability. Impairment losses are recognized when events or
changes in circumstances indicate that the carrying amount of an asset may not
be recoverable. The Partnership adopted the new standard for its year ending
March 31, 1997, however, it had no significant effect on its financial position
or results of operations.
Low-Income Housing Tax Credits
The 1996, 1995 and 1994 Tax Credits per Unit were $150.99, $150.90 and $151.09,
respectively. The Tax Credit per Limited Partnership Unit stabilized in 1993 at
approximately $151.00 per Unit. The credits are expected to remain stable
through the year 2000 and then they are expected to decrease as certain
properties reach the end of the ten year credit period.
Property Discussions
Limited Partnership interests have been acquired in twenty-seven Local Limited
Partnerships which are located in ten states and the Virgin Islands. Five of the
properties, totaling 612 units, are existing and underwent rehabilitation;
twenty-two properties, consisting of 1,762 units, are new construction. All
properties have completed construction or rehabilitation and initial lease-up.
Inflation and Other Economic Factors
Inflation had no material impact on the operations or financial condition of the
Partnerships for the years ended March 31, 1997, 1996 and 1995.
Since some of the properties benefit from some form of government assistance,
the Partnership is subject to the risks inherent in that area including
decreased subsidies, difficulties in finding suitable tenants and obtaining
permission of rent increases. In addition, any Tax Credits allocated to
investors with respect to a property are subject to recapture to the extent that
the property or any portion thereof ceases to qualify for the Tax Credits.
Certain of the properties in which the Partnership invests may be located in
areas suffering from poor economic conditions. Such conditions could have an
adverse effect on the rent or occupancy levels at such properties. Nevertheless,
management believes that the generally high demand for below market rate housing
will tend to negate such factors. However, no assurance can be given in this
regard.
<PAGE>
Item 8. Financial Statements and Supplementary Data
Information required under this Item is submitted as a separate section of this
Report. See Index on page F-1 hereof.
Item 9. Changes in and Disagreements with Accountants on Accounting and
Financial Disclosure
On November 10, 1995, the firm of Arthur Andersen LLP was dismissed as the
principal accountant to audit the registrant's financial statements. The report
on the financial statements of the registrant by Arthur Andersen LLP for the
year ending March 31, 1995 did not contain any adverse opinion or disclaimer of
opinion and was not qualified or modified as to uncertainty, audit scope, or
accounting principles. The decision to change accountants was approved by the
Board of Directors of the General Partner of the registrant.
During the year ending March 31, 1995 and for the subsequent interim period,
April 1, 1995 through November 10, 1995, there were no disagreements with Arthur
Andersen LLP on any matter of accounting principles or practices, financial
statement disclosure or auditing scope or procedure.
The firm of Coopers & Lybrand L.L.P. has been engaged as principal accountant to
audit the registrant's financial statements.
<PAGE>
PART III
Item 10. Directors and Executive Officers of the Registrant
The Managing General Partner of the Partnership is Arch Street V, Inc., a
Massachusetts Corporation (the "Managing General Partner" or "Arch Street,
Inc."), an affiliate of The Boston Financial Group Limited Partnership ("Boston
Financial"), a Massachusetts limited partnership. George Fantini, Jr., a Vice
President of the Managing General Partner, resigned from his position on June
30, 1995. Donna Gibson, a Vice President of the Managing General Partner,
resigned from her position on September 13, 1996.
The Managing General Partner was incorporated in June 1989. William E.
Haynsworth is the Chief Operating Officer of the Managing General Partner, and
had the primary responsibility for evaluating, selecting and negotiating
investments for the Partnership. The Investment Committee of the Managing
General Partner approved all investments. The names and positions of the
principal officers and the directors of the Managing General Partner are set
forth below.
Name Position
Georgia Murray Managing Director, Treasurer and
Chief Financial Officer
Fred N. Pratt, Jr. Managing Director
William E. Haynsworth Managing Director, Vice President and
Chief Operating Officer
Paul F. Coughlan Vice President
Peter G. Fallon, Jr. Vice President
Randolph G. Hawthorne Vice President
A. Harold Howell Vice President
The other General Partner of the Partnership is Arch Street V Limited
Partnership, a Massachusetts limited partnership ("Arch Street L.P.") that was
organized in June 1989. Arch Street, Inc. is the managing general partner of
Arch Street L.P.. The individual general partners of Arch Street L.P.
are Messrs. Pratt and Hawthorne.
The Managing General Partner provides day-to-day management of the Partnership.
Compensation is discussed in Item 13 of this report. Such day-to-day management
does not include the management of the Properties.
The business experience of each of the persons listed above is described below.
There is no family relationship between any of the persons listed in this
section.
Georgia Murray, age 46, is a graduate of Newton College of the Sacred Heart
(B.A., 1972). She joined Boston Financial Management Company in 1973 and is
currently a Senior Vice President of Boston Financial. Ms. Murray is a member of
the Senior Leadership Team and Board of Directors and leads the Property
Management division. Previously, she led the company's Institutional Tax Credit
Team and managed Boston Financial's Investment Real Estate and Asset Management
divisions. Ms. Murray currently serves as Director of Atlantic Bank and Trust
Co., President of the Institute for Multi-Family Housing, Director of the
Investment Program Association and member of the Direct Investment Committee of
the Securities Industry Association. Previously, she served as the Industry
Advisor to the Management Policy Review Committee of the Massachusetts Housing
Finance Agency and as a commissioner of the Boston Public Facilities Department.
Fred N. Pratt, Jr., age 52, graduated from Tufts University and the Amos Tuck
School of Business Administration at Dartmouth College. Mr. Pratt was one of the
original employees of Boston Financial when it was founded in late 1969. He
currently serves as Boston Financial's Chief Executive Officer and Chairman
of the Board of Directors of the General Partner of Boston Financial.
William E. Haynsworth, age 57, graduated from Dartmouth College and Harvard Law
School. Mr. Haynsworth was Acting Executive Director of the Massachusetts
Housing Finance Agency, where he was also General Counsel, prior to becoming a
Vice President of Boston Financial in 1977 and Senior Vice President in 1986. He
has also served as Director of Non-Residential Development of the Boston
Redevelopment Authority and as an associate of the law firm of Goodwin, Procter
& Hoar in Boston. Mr. Haynsworth is a member of the firm's Senior Leadership
Team and participates in the structuring of real estate investments and the
development of new business opportunities.
Paul F. Coughlan, age 53, is a graduate of Brown University (A.B., 1965) and
served in the United States Navy before entering the securities business in
1969. He was employed as an Account Executive by Bache & Company until 1972, and
then by Reynolds Securities Inc. He joined Boston Financial in 1975 and is
currently a Senior Vice President in the Institutional Tax Credit Team.
Peter G. Fallon, Jr., age 58, graduated from the College of The Holy Cross
(B.S., 1960) and Babson College (M.B.A., 1965). He joined Boston Financial in
1970, shortly after its formation, and is currently a Senior Vice President and
a member of the Investment Real Estate Division with responsibility for the
marketing of the firm's Institutional Tax Credit product.
Randolph G. Hawthorne, age 47, is a graduate of Massachusetts Institute of
Technology (B.S. , 1971) and Harvard Graduate School of Business (M.B.A., 1973).
He joined Boston Financial in 1973 and has served as Treasurer and managed the
firm's Investment Real Estate division. He is a Senior Vice President serving on
the Investment Acquisitions Team with 22 years of experience in property
acquisitions. Mr. Hawthorne has primary responsibility for structuring real
estate investments and developing new business opportunities. He is a member of
the Investment Committee. He is Chairman of the National Multi Housing Council,
a past president of the National Housing and Rehabilitation Association, a
member of the Residential Development Council of the Urban Land Institute as
well as a member of the Advisory Board of the Berkeley Real Estate Center at the
University of California. A speaker at industry conferences, he is also on the
Editorial Advisory Board of the Tax Credit Advisor.
A. Harold Howell, age 56, graduated from Harvard College and the Amos Tuck
School of Business Administration at Dartmouth College. He has been employed by
Boston Financial since 1970. For most of this time he has been active in the
overall administration of Boston Financial and its affiliates, but has also been
involved in other areas of its business. Mr. Howell has served as head of Boston
Financial's Property Management division and also as its Chief Financial Officer
and Chief Executive Officer. He currently is a Senior Vice President and is in
charge of a program being developed for properties managed by Boston Financial
whereby heads-of-households who want to further their education can enroll in a
program on-site which teaches economic self sufficiency, computer and internet
skills, problem solving skills and related real-world skills. Mr. Howell
recently spent a two year sabbatical from Boston Financial as a Visiting
Professor at the Instituto de Estudios Superiores de la Empresa, a highly
regarded International M.B.A. Program in Barcelona, Spain. While there, he
taught courses in business strategy and real estate finance.
Item 11. Management Remuneration
Neither the directors or officers of Arch Street, Inc., nor the partners of Arch
Street L.P., nor any other individual with significant involvement in the
business of the Partnership receives any current or proposed remuneration from
the Partnership.
<PAGE>
Item 12. Security Ownership of Certain Beneficial Owners and Management
No person is known to the Partnership to be the beneficial owner of more than 5%
of the outstanding Units.
The equity securities registered by the Partnership under Section 12(g) of the
Act consist of 100,000 Units, 68,929 of which had been sold to the public as of
March 31, 1997. The remaining Units were deregistered in Post-Effective
Amendment No. 6, dated January 21, 1992, herein incorporated by this reference.
Holders of Units are permitted to vote on matters affecting the Partnership only
in certain unusual circumstances and do not generally have the right to vote on
the operation or management of the Partnership.
As of March 31, 1997, Arch Street L.P. owns five (unregistered) Units not
included in the 68,929 Units sold to the public. Additionally, five registered
Units were sold to an employee of an affiliate of the Managing General Partner
of the Registrant. Such Units were sold at a discount of 7% of the Unit price
for a total discount of $350 and a total purchase price of $4,650.
Except as described in the preceding paragraph, neither Arch Street, Inc., Arch
Street L.P., Boston Financial, or any of their executive officers, directors,
partners or affiliates is the beneficial owner of any Units. None of the
foregoing persons possesses a right to acquire beneficial ownership of Units.
The Partnership does not know of any existing arrangement that might at a later
date result in a change in control of the Partnership.
Item 13. Certain Relationships and Related Transactions
The Partnership was required to pay certain fees to and reimburse certain
expenses of the Managing General Partner or its affiliates (including Boston
Financial) in connection with the organization of the Partnership and the
offering of Units. The Partnership is also required to pay certain fees to and
reimburse certain expenses of the Managing General Partner or its affiliates
(including Boston Financial) in connection with the administration of the
Partnership and its acquisition and disposition of investments in Local Limited
Partnerships. In addition, the General Partners are entitled to certain
Partnership distributions under the terms of the Partnership Agreement. Also, an
affiliate of the General Partners will receive up to $10,000 from the sale or
refinancing proceeds of each Local Limited Partnership if it is still a limited
partner at the time of such a transaction. All such fees, expenses and
distributions paid in the three years ending March 31, 1997 are described below
and in the sections of the Prospectus entitled "Estimated Use of Proceeds",
"Management Compensation and Fees" and "Profits and Losses for Tax Purposes, Tax
Credits and Cash Distributions". Such sections are incorporated herein by
reference.
The Partnership is permitted to enter into transactions involving affiliates of
the Managing General Partner, subject to certain limitations established in the
Partnership Agreement.
Information required under this item is contained in Note 5 to the financial
statements presented as a separate section of this Report. The affiliates of the
Managing General Partner which have received fee payments and expense
reimbursements from the Partnership are as follows:
Organizational fees and expenses and selling expenses
In accordance with the Partnership Agreement, the Partnership was required to
pay certain fees to and reimburse expenses of the General Partners and others in
connection with the organization of the Partnership and the offering of its
Limited Partnership Units. Selling commissions, fees and accountable expenses
related to the sale of the Units totaling $9,499,984 have been charged directly
to Limited Partners' equity. In connection therewith, $5,858,935 of selling
expenses and $3,641,049 of offering expenses incurred on behalf of the
Partnership have been paid to an affiliate of the General Partners. The
Partnership was required to pay a non-accountable expense allowance for
marketing expense equal to a maximum of 1% of Gross Proceeds; this is included
in total offering expenses. The Partnership has capitalized an additional
$50,000 which was reimbursed to an affiliate of the General Partners. Total
organization and offering expenses exclusive of selling commissions did not
exceed 5.5% of the Gross Proceeds and organizational and offering expenses,
inclusive of selling commissions did not exceed 14.0% of the Gross Proceeds. No
organizational fees and expenses and selling expenses were paid during the three
years ended March 31, 1997.
Acquisition fees and expenses
In accordance with the Partnership Agreement, the Partnership was required to
pay acquisition fees to and reimburse acquisition expenses of the Managing
General Partner or its affiliates for selecting, evaluating, structuring,
negotiating and closing the Partnership's investments in Local Limited
Partnerships. Acquisition fees total 7% of the gross offering proceeds.
Acquisition expenses, which include such expenses as legal fees and expenses,
travel and communications expenses, costs of appraisals, accounting fees and
expenses, were expected to total 1.5% of the gross offering proceeds. As of
March 31, 1997, acquisition fees totaling $4,825,005 for the closing of the
Partnership's Local Limited Partnership Investments have been paid to an
affiliate of the Managing General Partner. Acquisition expenses totaling
$899,430 at March 31, 1997 were incurred and have been reimbursed to an
affiliate of the Managing General Partner. No acquisition fees or expenses were
paid during the three years ended March 31, 1997.
Asset Management Fees
In accordance with the Partnership Agreement, an affiliate of the Managing
General Partner is paid an Asset Management Fee for services in connection with
the administration of the affairs of the Partnership. The affiliate currently
receives the base amount of .343% (as adjusted by the CPI factor) of Gross
Proceeds annually as the Asset Management Fee. Asset Management Fees incurred in
each of the three years ended March 31, 1997 are as follows:
<TABLE>
<CAPTION>
1997 1996 1995
------------ ------------ ------------
<S> <C> <C> <C>
Asset Management Fees $ 231,035 $ 224,953 $ 219,149
</TABLE>
Salaries and benefits expense reimbursements
An affiliate of the Managing General Partner is reimbursed for the cost of the
Partnership's salaries and benefits expenses. The reimbursements are based upon
the size and complexity of the Partnership's operations. Reimbursements made in
each of the three years ended March 31, 1997 are as follows:
<TABLE>
<CAPTION>
1997 1996 1995
------------ ------------ ------------
<S> <C> <C> <C>
Salaries and benefits expense reimbursements $ 117,763 $ 115,696 $ 116,177
</TABLE>
Cash distributions paid to the General Partners
In accordance with the Partnership Agreement, the General Partners of the
Partnership, Arch Street V, Inc. and Arch Street V Limited Partnership, receive
1% of cash distributions made to partners. No cash distributions were paid to
the General Partners in each of the three years ended March 31, 1997.
<PAGE>
PART IV
Item 14. Exhibits, Financial Statement Schedules and Reports on Form 8-K
(a)(1) and (a)(2) Documents filed as a part of this Report
In response to this portion of Item 14, the financial statements, financial
statement schedule and the auditors' report relating thereto, are submitted as a
separate section of this Report. See Index on page F-1 hereof.
The reports of auditors of the Local Limited Partnerships relating to the audits
of the financial statements of such Local Limited Partnerships appear in Exhibit
(28)(1) of this Report.
All other financial statement schedules and exhibits for which provision is made
in the applicable accounting regulations of the Securities and Exchange
Commission are not required under related instructions or are inapplicable, and
therefore have been omitted.
(a)(3) See Exhibit Index contained herein.
(a)(3)(b) Reports on Form 8-K:
No reports on Form 8-K were filed during the quarter ended March 31,
1997.
(a)(3)(c) Exhibits
Number and Description in Accordance with
Item 601 of Regulation S-K
27. Financial Data Schedule
28. Additional Exhibits
(a) 28.1 Reports of Other Independent Auditors
(b) Audited financial statements of
Local Limited Partnership
Strathern Park/Lorne Park
(a)(3)(d) None.
<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) 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.
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
By: Arch Street V, Inc.
its Managing General Partner
By: /s/William E. Haynsworth Date:
William E. Haynsworth,
Managing Director, Vice President and
Chief Operating Officer
Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed by the following persons on behalf of the Managing General
Partner of the Partnership and in the capacities and on the dates indicated:
By: /s/William E. Haynsworth Date:
William E. Haynsworth,
Managing Director, Vice President and
Chief Operating Officer
By: /s/Fred N. Pratt, Jr. Date:
Fred N Pratt, Jr.,
A Managing Director
<PAGE>
Item 8. Financial Statements and Supplementary Data
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
Annual Report on Form 10-K
For The Year Ended March 31, 1997
Index
Page No.
Reports of Independent Accountants
For the years ended March 31, 1997 and 1996 F-2
For the year ended March 31, 1995 F-3
Financial Statements
Balance Sheets - March 31, 1997 and 1996 F-4
Statements of Operations - Years Ended March 31, 1997,
1996 and 1995 F-5
Statements of Changes in Partners' Equity (Deficiency) -
Years Ended March 31, 1997, 1996 and 1995 F-6
Statements of Cash Flows - Years Ended March 31, 1997,
1996 and 1995 F-7
Notes to the Financial Statements F-8
Financial Statement Schedule
Schedule III - Real Estate and Accumulated Depreciation F-16
See also Index to Exhibits on Page K-22 for the financial statement of the Local
Limited Partnership included as a separate exhibit in this Annual Report on Form
10-K.
Other schedules have been omitted as they are either not required or the
information required to be presented therein is available elsewhere in the
financial statements and the accompanying notes and schedules.
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
To the Partners
Boston Financial Qualified Housing Tax Credits L.P. V:
We have audited the accompanying balance sheets of Boston Financial Qualified
Housing Tax Credits L.P. V as of March 31, 1997 and 1996 and the related
statements of operations, changes in partners' equity (deficiency) and cash
flows and the financial statement schedule listed in Item 14(a) of this Report
on Form 10-K, for the years ended March 31, 1997 and 1996. These financial
statements and the financial statement schedule are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements, and the financial statement schedule based on our audits.
As of March 31, 1997 and 1996, 83% and 87%, respectively, of total assets, and
for the years ended March 31, 1997 and 1996, 100% of equity in losses of the
Local Limited Partnerships, reflected in the financial statements of the
Partnership, relate to Local Limited Partnerships for which we did not audit the
financial statements. The financial statements of these Local Limited
Partnerships were audited by other auditors whose reports have been furnished to
us, and our opinion, insofar as it relates to those investments in Local Limited
Partnerships, is based solely on the reports of other auditors.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audits to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, based on our audits and the reports of other auditors, the
financial statements referred to above present fairly, in all material respects,
the financial position Boston Financial Qualified Housing Tax Credits L.P. V, as
of March 31, 1997 and 1996 and the results of its operations and its cash flows
for the years ended March 31, 1997 and 1996 in conformity with generally
accepted accounting principles. In addition, in our opinion, the financial
statement schedule referred to above, when considered in relation to the basic
financial statements taken as a whole, presents fairly, in all material
respects, the information required to be included therein.
Coopers & Lybrand L.L.P.
Boston, Massachusetts
June 20, 1997
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
To the Partners
Boston Financial Qualified Housing Tax Credits L.P. V:
We have audited the accompanying statements of operations, changes in partners'
equity (deficiency) and cash flows of Boston Financial Qualified Housing Tax
Credits L.P. V (A Limited Partnership) for the year ended March 31, 1995. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit. We did not audit the financial statements of certain of the Local
Limited Partnerships for the year ended March 31, 1995, the investments in which
are recorded using the equity method of accounting (see Note 2). The equity in
the losses of these partnerships represents 97% of the equity in the loss of the
Local Limited Partnerships for the year ended March 31, 1995. Those financial
statements were audited by other auditors whose reports have been furnished to
us and our opinion, insofar as it relates to the amounts included for the Local
Limited Partnerships, is based solely on the reports of other auditors.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit and the reports of other auditors provide a reasonable
basis for our opinion.
In our opinion, based on our audit and the reports of other auditors, the
financial statements referred to above present fairly, in all material respects,
the results of operations and cash flows of Boston Financial Qualified Housing
Tax Credits L.P. V, for the year ended March 31, 1995, in conformity with
generally accepted accounting principles.
Arthur Andersen LLP
Boston, Massachusetts
June 16, 1995
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
BALANCE SHEETS
March 31, 1997 and 1996
<TABLE>
<CAPTION>
1997 1996
--------------- ---------
<S> <C> <C>
Assets
Cash and cash equivalents $ 449,567 $ 243,644
Investments in Local Limited Partnerships (Note 4) 30,531,768 34,878,562
Marketable securities, at fair value (Notes 1 and 3) 2,840,127 3,099,255
Other assets 50,033 25,408
--------------- ---------------
Total Assets $ 33,871,495 $ 38,246,869
=============== ===============
Liabilities and Partners' Equity
Accounts payable to affiliate (Note 5) $ 88,227 $ 71,527
Accounts payable and accrued expenses 35,692 67,883
Deferred revenue (Note 6) 174,357 179,318
--------------- ---------------
Total Liabilities 298,276 318,728
--------------- ---------------
General, Initial and Investor Limited Partners' Equity 33,615,539 37,953,300
Net unrealized losses on marketable securities (42,320) (25,159)
--------------- ---------------
Total Partners' Equity 33,573,219 37,928,141
--------------- ---------------
Total Liabilities and Partners' Equity $ 33,871,495 $ 38,246,869
=============== ===============
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
STATEMENTS OF OPERATIONS
For the Years Ended March 31, 1997, 1996 and 1995
<TABLE>
<CAPTION>
1997 1996 1995
------------ ------------ --------
<S> <C> <C> <C>
Revenue:
Investment (Note 3) $ 191,349 $ 146,575 $ 109,711
Other 13,334 77,437 62,152
------------ ------------ ------------
Total Revenue 204,683 224,012 171,863
------------ ------------ ------------
Expenses:
General and administrative
(includes reimbursements to an affiliate
in the amounts of $117,763, $115,696
and $116,177) (Note 5) 237,545 225,369 275,733
Asset management fee, related party (Note 5) 231,035 224,953 219,149
Amortization 29,451 30,521 40,522
------------ ------------ ------------
Total Expenses 498,031 480,843 535,404
------------ ------------ ------------
Loss before equity in losses
of Local Limited Partnerships (293,348) (256,831) (363,541)
Equity in losses of Local Limited
Partnerships (Note 4) (4,044,413) (4,695,617) (4,747,136)
------------ ------------ ------------
Net Loss $ (4,337,761) $ (4,952,448) $(5,110,677)
============ ============ ===========
Net Loss allocated:
General Partners $ (43,378) $ (49,524) $ (51,107)
Limited Partners (4,294,383) (4,902,924) (5,059,570)
------------ ------------ ------------
$ (4,337,761) $(4,952,448) $(5,110,677)
============ =========== ===========
Net Loss per Limited Partnership
Unit (68,929 Units) $ (62.30) $ (71.13) $ (73.40)
=========== =========== ===========
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (DEFICIENCY)
For the Years Ended March 31, 1997, 1996 and 1995
<TABLE>
<CAPTION>
Net
Initial Investor Unrealized
General Limited Limited Gains
Partners Partners Partners (Losses) Total
<S> <C> <C> <C> <C> <C>
Balance at March 31, 1994 $ (111,942) $ 5,000 $ 48,123,367 $ (61,175) $ 47,955,250
Net change in net unrealized
loss on marketable securities
available for sale - - - (8,566) (8,566)
Net Loss (51,107) - (5,059,570) - (5,110,677)
------------ ------------ ------------ ------------ ------------
Balance at March 31, 1995 (163,049) 5,000 43,063,797 (69,741) 42,836,007
Net change in net unrealized
loss on marketable securities
available for sale - - - 44,582 44,582
Net Loss (49,524) - (4,902,924) - (4,952,448)
------------ ------------ ---------- ------------ ------------
Balance at March 31, 1996 (212,573) 5,000 38,160,873 (25,159) 37,928,141
Net change in net unrealized loss
on marketable securities
available for sale - - - (17,161) (17,161)
Net Loss (43,378) - (4,294,383) - (4,337,761)
------------ ------------ ------------ ------------ ------------
Balance at March 31, 1997 $ (255,951) $ 5,000 $ 33,866,490 $ (42,320) $ 33,573,219
============= ============ ============ ============ ============
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
STATEMENTS OF CASH FLOWS
For the Years Ended March 31, 1997, 1996 and 1995
<TABLE>
<CAPTION>
1997 1996 1995
------------ ------------ --------
<S> <C> <C> <C>
Cash flows from operating activities:
Net loss $ (4,337,761) $(4,952,448) $(5,110,677)
Adjustments to reconcile net loss to net
cash used for operating activities:
Equity in losses of Local Limited Partnerships 4,044,413 4,695,617 4,747,136
Amortization 29,451 30,521 40,522
(Gain) loss on sale of marketable securities (1,560) (1,027) 39,464
Increase (decrease) in cash arising from changes in operating assets and
liabilities:
Other assets (24,625) 23,217 (12,415)
Accounts payable to affiliate 16,700 6,016 11,091
Accounts payable and accrued expenses (32,191) (15,985) 24,157
Deferred revenue (4,961) 179,318 -
------------- ------------ ------------
Net cash used for operating activities (310,534) (34,771) (260,722)
------------- ------------ ------------
Cash flows from investing activities:
Investments in Local Limited Partnerships - (213,500) (120,000)
Purchases of marketable securities (755,442) (2,462,289) (5,707,511)
Proceeds from sales and maturities of
marketable securities 998,969 2,605,139 5,975,939
Cash distributions received from Local Limited
Partnerships 272,930 276,530 92,307
------------ ------------ ------------
Net cash provided by investing activities 516,457 205,880 240,735
------------ ------------ ------------
Net increase (decrease) in cash and
cash equivalents 205,923 171,109 (19,987)
Cash and cash equivalents, beginning 243,644 72,535 92,522
------------ ------------ ------------
Cash and cash equivalents, ending $ 449,567 $ 243,644 $ 72,535
============ ============ ============
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS
1. Organization
Boston Financial Qualified Housing Tax Credits L.P. V ("the Partnership") was
formed on June 16, 1989 under the laws of the State of Massachusetts for the
primary purpose of investing, as a limited partner, in other limited
partnerships ("Local Limited Partnerships"), some of which own and operate
apartment complexes benefiting from some form of federal, state or local
assistance, and each of which qualifies for low-income housing tax credits. The
Partnership's objectives are to (i) provide current tax benefits in the form of
tax credits which qualified investors may use to offset their federal income tax
liability; (ii) preserve and protect the Partnership's capital; (iii) provide
limited cash distributions from property operations which are not expected to
constitute taxable income during Partnership operations; and (iv) provide cash
distributions from sale or refinancing transactions. The General Partners of the
Partnership are Arch Street V, Inc., a Massachusetts corporation, which serves
as the Managing General Partner and Arch Street V Limited Partnership, a
Massachusetts Limited Partnership consisting of Arch Street V, Inc. and certain
officers and stockholders of Arch Street V, Inc., which also serves as the
Initial Limited Partner. Both of the General Partners are affiliates of the
Boston Financial Group Limited Partnership ("Boston Financial"). The fiscal year
of the Partnership ends on March 31.
The Partnership's partnership agreement (the "Partnership Agreement") authorized
the sale of up to 100,000 units of limited partnership interests ("Units") at
$1,000 per Unit, adjusted for certain discounts. On August 31, 1991, the
Partnership held its final investor closing. In total, the Partnership received
$68,928,650 of capital contributions, net of discounts, from investors admitted
as Limited Partners for 68,929 Units.
Generally, profits, losses, tax credits and cash flows from operations are
allocated 99% to the Limited Partners and 1% to the General Partners. Net
proceeds from a sale or refinancing will be allocated 95% to the Limited
Partners and 5% to the General Partners after certain priority payments.
Under the terms of the Partnership Agreement, the Partnership initially
designated 4% of the Gross Proceeds from the sale of Units as a reserve for
working capital of the Partnership and contingencies related to ownership of
Local Limited Partnership interests. The Managing General Partner may increase
or decrease such Reserves from time to time, as it deems appropriate. At March
31, 1997, the Managing General Partner has designated approximately $2,735,000
of marketable securities as such Reserves.
2. Significant Accounting Policies
Basis of Presentation
The Partnership accounts for its investments in Local Limited Partnerships using
the equity method of accounting, because the Partnership does not have a
majority control of the major operating and financial policies of the Local
Limited Partnerships in which it invests. Under the equity method, the
investment is carried at cost, adjusted for the Partnership's share of income or
loss of the Local Limited Partnerships, additional investments and cash
distributions from the Local Limited Partnerships. Equity in income or loss of
the Local Limited Partnerships is included currently in the Partnership's
operations. The Partnership has no obligation to fund liabilities of the Local
Limited Partnerships beyond its investment, therefore, a Local Limited
Partnership's investment will not be carried below zero. To the extent that
equity losses are incurred when a Local Limited Partnership's respective
investment balance has been reduced to zero, the losses will be suspended to be
used against future income. In the event that a Local Limited Partnership with a
carrying value of zero distributes cash to the Partnership, the distribution is
recorded as revenue on the books of the Partnership in the accompanying
financial statements.
Excess investment cost over the underlying net assets acquired have arisen from
acquisition fees paid and expenses reimbursed to an affiliate of the
Partnership. These fees and expenses are included in the Partnership's
Investments in Local Limited Partnerships and are being amortized on a
straight-line basis over 35 years.
The Partnership recognizes a decline in carrying value of its investment in
Local Limited Partnerships when there is evidence of a non-temporary decline in
the recoverable amount of the investment. There is a possibility that the
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS (Continued)
2. Significant Accounting Policies (continued)
Basis of Presentation (continued)
estimates relating to reserves for non-temporary declines in carrying value of
investments in Local Limited Partnerships may be subject to material near term
adjustments.
The Partnership, as a limited partner in the Local Limited Partnerships, is
subject to risks inherent in the ownership of property which are beyond its
control, such as fluctuations in occupancy rates and operating expenses,
variations in rental schedules, proper maintenance and continued eligibility for
tax credits. If the cost of operating a property exceeds the rental income
earned thereon, the Partnership may deem it in its best interest to voluntarily
provide funds in order to protect its investment.
The General Partners have decided to report the results of the Local Limited
Partnerships on a 90-day lag basis because the Local Limited Partnerships report
their results on a calendar year basis. Accordingly, the financial information
of the Local Limited Partnerships that is included in the accompanying financial
statements is as of December 31, 1996, 1995 and 1994.
Use of Estimates
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosures of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.
Cash Equivalents
Cash equivalents consist of short-term money market instruments with original
maturities of 90 days or less at acquisition and approximate fair value.
Marketable Securities
Marketable securities consists primarily of U.S. Treasury instruments and
various asset-backed investment vehicles. The Partnership's marketable
securities are classified as "Available for Sale" securities and are reported at
fair value as reported by the brokerage firm at which the securities are held.
Realized gains and losses from the sales of securities are based on the specific
identification method. Unrealized gains and losses are excluded from earnings
and reported as a separate component of partners' equity.
Income Taxes
No provision for income taxes has been made as the liability for such taxes is
an obligation of the partners of the Partnership.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
2. Significant Accounting Policies (continued)
Effect of recently issued Accounting Standard
The Financial Accounting Standards Board has issued Statement of Accounting
Standards No. 121, Accounting for the Impairment of Long-Lived Assets and for
Long-Lived Assets to Be Disposed Of, which is effective for fiscal years
beginning after December 15, 1995. This standard requires that long-lived assets
be reviewed for recoverability. Impairment losses are recognized when events or
changes in circumstances indicate that the carrying amount of an asset may not
be recoverable. The Partnership adopted the new standard for its year ending
March 31, 1997, however, it did not have a significant effect on the financial
position or results of operations.
3. Marketable Securities
A summary of marketable securities is as follows:
<TABLE>
<CAPTION>
Gross Gross
Unrealized Unrealized Fair
Cost Gains Losses Value
<S> <C> <C> <C> <C>
Debt securities issued by the US
Treasury $ 2,646,693 $ 492 $ (42,951) $ 2,604,234
Mortgage backed securities 235,754 1,938 (1,799) 235,893
Marketable securities at March 31, 1997 $ 2,882,447 $ 2,430 $ (44,750) $ 2,840,127
=========== ======== ========= ===========
Debt securities issued by the US
Treasury and other US
government corporations and agencies $ 2,941,472 $ 3,462 $ (31,743) $ 2,913,191
Mortgage backed securities 139,230 3,428 - 142,658
Other debt securities 43,712 - (306) 43,406
----------- -------- --------- -----------
Marketable securities at March 31, 1996 $ 3,124,414 $ 6,890 $ (32,049) $ 3,099,255
=========== ======== ========= ===========
</TABLE>
The contractual maturities at March 31, 1997 are as follows:
<TABLE>
<CAPTION>
Fair
Cost Value
<S> <C> <C>
Due in one year or less $ 396,974 $ 395,120
Due in one year to five years 2,249,719 2,209,114
Mortgage backed securities 235,754 235,893
----------- -----------
$ 2,882,447 $ 2,840,127
</TABLE>
Actual maturities may differ from contractual maturities because some borrowers
have the right to call or prepay obligations. Proceeds from sales and maturities
of marketable securities were approximately $999,000, $2,605,000 and $5,976,000
for the years ended March 31, 1997, 1996 and 1995, respectively. Included in
investment income are gross gains of $2,951 and gross losses of $1,391 which
were realized on the sales during the year ended March 31, 1997, gross gains of
$13,257 and gross losses of $12,230 which were realized on the sales during the
year ended March 31, 1996 and gross gains of $8,115 and gross losses of $47,579
which were realized on the sales during the year ended March 31, 1995.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
4. Investments in Local Limited Partnerships
The Partnership has acquired interests in twenty-seven Local Limited
Partnerships which own and operate multi-family housing complexes, most of which
are government-assisted. The Partnership, as Investor Limited Partner pursuant
to the various Local Limited Partnership Agreements, has generally acquired a
99% interest in the profits, losses, tax credits and cash flows from operations
of each of the Local Limited Partnerships, with the exception of Strathern
Park/Lorne Park Apartments and Huguenot Park, which are 95% and 88.6%,
respectively. Upon dissolution, proceeds will be distributed according to each
respective partnership agreement.
The following is a summary of Investments in Local Limited Partnerships at March
31, 1997, 1996 and 1995:
<TABLE>
<CAPTION>
1997 1996 1995
------------- ------------ --------
<S> <C> <C> <C>
Capital contributions paid to Local Limited
Partnerships and purchase price paid to
withdrawing partners of Local Limited
Partnerships $55,520,042 $55,491,515 $55,278,015
Cumulative equity in losses of Local Limited
Partnerships (excluding unrecognized losses
of $2,143 in 1997) (25,141,481) (21,097,068) (16,401,451)
Cumulative cash distributions received
from Local Limited Partnerships (731,163) (458,233) (181,703)
------------- ------------ ------------
Investments in Local Limited Partnerships
before adjustment 29,647,398 33,936,214 38,694,861
Excess of investment cost over the underlying net assets acquired:
Acquisition fees and expenses 1,039,751 1,068,278 1,068,278
Accumulated amortization of acquisition
fees and expenses (155,381) (125,930) (95,409)
------------- ------------ ------------
Investments in Local Limited Partnerships $30,531,768 $34,878,562 $39,667,730
=========== =========== ===========
</TABLE>
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
4. Investments in Local Limited Partnerships (continued)
Summarized financial information, as of December 31, 1996, 1995 and 1994 (due to
the Partnership's policy of reporting the financial information of its Local
Limited Partnership interests on a 90 day lag basis) of all Local Limited
Partnerships in which the Partnership has invested as of that date is as
follows:
Summarized Balance Sheets - as of December 31,
<TABLE>
<CAPTION>
1996 1995 1994
--------------- --------------- -----------
<S> <C> <C> <C>
Assets:
Investment property, net $ 119,404,292 $ 124,034,671 $ 128,643,459
Current assets 3,109,145 3,233,198 3,657,076
Other assets 5,944,574 6,000,099 5,316,718
--------------- --------------- ---------------
Total Assets $ 128,458,011 $ 133,267,968 $ 137,617,253
=============== =============== ===============
Liabilities and Partners' Equity:
Long-term debt $ 85,520,204 $ 86,578,579 $ 79,451,985
Current liabilities (including current portion
of long-term debt) 7,141,058 6,037,081 11,390,414
Other liabilities 1,389,432 1,553,129 3,523,781
--------------- --------------- ---------------
Total Liabilities 94,050,694 94,168,789 94,366,180
Partnership's Equity 29,528,552 33,857,070 38,008,462
Other Partners' Equity 4,878,765 5,242,109 5,242,611
--------------- --------------- ---------------
Total Liabilities and Partners' Equity $ 128,458,011 $ 133,267,968 $ 137,617,253
=============== =============== =============
Summarized Income Statements - for the years ended December 31,
Rental and other income: $ 14,377,262 $ 14,078,555 $ 14,123,399
-------------- ------------- ---------------
Expenses:
Operating 7,389,143 7,301,056 7,812,262
Interest 6,159,027 6,683,070 5,973,082
Depreciation and amortization 4,970,595 4,896,252 5,198,572
------------- ------------- --------------
Total Expenses 18,518,765 18,880,378 18,983,916
------------- ------------- --------------
Net Loss $ (4,141,503) $ (4,801,823) $ (4,860,517)
============= ============= ==============
Partnership's share of Net Loss $ (4,046,556) $ (4,695,617) $ (4,747,136)
============= ============= ==============
Other Partners' share of Net Loss $ (94,947) $ (106,206) $ (113,381)
============= ============= ==============
</TABLE>
For the year ended March 31, 1997, the Partnership has not recognized $2,143 of
equity in losses of Local Limited Partnerships relating to one Local Limited
Partnership where cumulative equity in losses exceeded its total investment.
The Partnership's equity as reflected by the Local Limited Partnerships of
$29,528,552 differs from the Partnership's Investments in Local Limited
Partnerships before adjustment of $29,647,398 principally because: a) the
Partnership has not recognized $2,143 of equity in loss of a Local Limited
Partnership whose equity in losses exceeded its total investment; b)
distributions made by Local Limited Partnerships during the quarter ended March
31, 1997 are not reflected in the December 31, 1996 balance sheets of the Local
Limited Partnerships; and c) syndication costs charged to equity by a Local
Limited Partnership are not reflected in the Partnership's investment in the
Local Limited Partnership.
On March 1, 1997, the local general partner of Burbank L.P. I ("Burbank"), which
owns Wheeler House, a property in which the Partnership has invested, withdrew
as general partner. On this date, Boston Financial GP-1, LLC, an affiliate of
the Partnership, was admitted as general partner.
As such, the Partnership and its affiliate are deemed to have control over
Burbank.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
5. Transactions with Affiliates
An affiliate of the Managing General Partner currently receives the base amount
of .343% (as adjusted by the CPI factor) of Gross Proceeds annually as the Asset
Management Fee for administering the affairs of the Partnership. Asset
Management Fees of $231,035, $224,953 and $219,149 for the years ended March 31,
1997, 1996 and 1995, respectively, have been included in expenses. Included in
accounts payable to affiliate at March 31, 1997 and 1996 are $59,177 and
$57,286, respectively, of asset management fees due to an affiliate of the
Managing General Partner.
An affiliate of the Managing General Partner is reimbursed for the actual cost
of the Partnership's operating expenses. Included in general and administrative
expenses for the years ended March 31, 1997, 1996 and 1995 are $117,763,
$115,696 and $116,177, respectively, that the Partnership has paid or is payable
as reimbursement for salaries and benefits expenses. The amounts payable for
salaries and benefits at March 31, 1997 and 1996 are $29,050 and $14,241,
respectively.
BF Lansing Limited Partnership ("BF Lansing"), an affiliate of the Managing
General Partner, is the Administrative General Partner in two Local Limited
Partnerships in which the Partnership has invested, St. Croix II, Limited
Partnership ("Carib Villas II") and Christiansted Limited Partnership ("Carib
Villas III"). BF Lansing's only responsibility in relation to the two Local
Limited Partnerships is the selection of a management agent. BF Lansing selected
Lansing Management Company ("LMC"), an affiliate of the Managing General
Partner, as the management agent for Carib Villas II and III. The management fee
charged to each property is equal to 5% of property gross revenues. Included in
operating expenses in the summarized income statements in Note 4 to the
financial statements are $15,305, $11,837 and $11,986 respectively, of fees paid
to LMC for the years ended December 31, 1996, 1995 and 1994.
Boston Financial Property Management ("BFPM"), an affiliate of the Managing
General Partner, is the management agent for Woodlake Hills, a Local Limited
Partnership in which the Partnership has invested. The management fee charged to
the property is 5% of property gross revenues. Included in operating expenses in
the summarized income statements in Note 4 to the financial statements are
$37,497, $42,852 and $41,220, respectively, of fees earned by BFPM for the years
ended December 31, 1996, 1995 and 1994.
LMC is also the management agent for Historic New Center, another Local Limited
Partnership in which the Partnership invested. Included in operating expenses in
the summarized income statements in Note 4 to the financial statements are
$24,561, $21,336 and $18,852 of fees earned by LMC for the years ended December
31, 1996, 1995 and 1994.
6. Deferred Revenue
Under the terms of a Local Limited Partnership Agreement, the Partnership was
required to fund a Supplemental Reserve in the amount of $196,000. The original
purpose of the contribution was to fund the development expenses of the Local
Limited Partnership. Since the funds were not needed, the Local Limited
Partnership Agreement allows that the established Supplemental Reserve along
with the interest earned, are available to pay the Partnership its annual
priority distribution. As of March 31, 1997, $55,000 has been released to the
Partnership. The balance of the Supplemental Reserve is included in cash and
cash equivalents.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
7. Litigation
The Partnership is not a party to any pending legal or administrative
proceeding. However, Tompkins/Rosecliff, Ltd. which owns a property in Sanford,
Florida, is involved in certain litigation with an entity formerly affiliated
with this Partnership and its previous local general partner. It is possible
that the Partnership will be named as a defendant in this litigation. It does
not currently appear that this matter presents a material risk to the
Partnership. However, in the opinion of management, there is currently a remote
possibility that this litigation could ultimately result in a loss of this
property and its tax credits. The Partnership will vigorously pursue its legal
rights if this becomes a material risk in the future. The Partnership has
retained counsel to represent its interest in this matter.
8. Federal Income Taxes
A reconciliation of the loss reported in the Statements of Operations for the
years ended March 31, 1997, 1996 and 1995 to the loss reported for federal
income tax purposes for the years ended December 31, 1996, 1995 and 1994 is as
follows:
<TABLE>
<CAPTION>
1997 1996 1995
------------ ------------ --------
<S> <C> <C> <C>
Net Loss per Statement of Operations $(4,337,761) $(4,952,448) $(5,110,677)
Adjustment for equity in losses of Local Limited
Partnerships for financial reporting purposes
over (under) equity in losses for tax purposes (557,946) 115,395 (304,548)
Adjustment to reflect March 31, fiscal year-end
to December 31, tax year-end (46,742) 28,653 (50,665)
Related party expenses not paid in current year,
not deductible for tax purposes 114,572 55,889 54,420
Related party expenses paid in current year but
expensed for book purposes in prior year (55,889) (54,420) (52,989)
Adjustment for accelerated amortization
for tax purposes over amortization
for financial reporting purposes (10,828) (8,426) (8,429)
Forgiveness of indebtedness recognized
by a Local Limited Partnership for
tax purposes - - 501,587
Other 22,000 (22,000) -
------------ ------------ ------------
Net Loss for federal income tax
purposes $ (4,872,594) $ (4,837,357) $ (4,971,301)
============ ============ ============
</TABLE>
The differences of the assets and liabilities of the Partnership for financial
reporting purposes and tax reporting purposes for the year ended March 31, 1997
are as follows:
<TABLE>
<CAPTION>
Financial Tax
Reporting Reporting
Purposes Purposes Differences
<S> <C> <C> <C>
Investments in Local Limited Partnerships $ 30,531,768 $29,997,313 $ 534,455
Other assets 3,339,727 13,071,499 (9,731,772)
Liabilities 298,276 227,063 71,213
</TABLE>
The differences in assets and liabilities of the Partnership for financial
reporting purposes are primarily attributable to (i) the cumulative equity in
losses of the Local Limited Partnerships is approximately $612,000 greater for
tax return purposes; (ii) the amortization of acquisition fees for tax return
purposes exceeds financial reporting purposes by approximately $43,000; (iii)
approximately $121,000 of cash distributions received from Local Limited
Partnerships during the quarter ended March 31, 1997 are not included in the
Partnership's Investments in Local Limited Partnerships for tax return purposes
at December 31, 1996; and (iv) organizational and offering costs of
approximately $9,499,985 that have been capitalized for tax reporting purposes,
are charged to Limited Partners' equity for financial reporting purposes.
<PAGE>
Boston Financial Qualified Housing Tax Credits L. P. V
Schedule III - Real Estate and Accumulated Depreciation of Property Owned by
Local Limited Partnerships in which Registrant has invested at March 31, 1997
<TABLE>
<CAPTION>
COST AT INTEREST ACQUISITION DATE
----------------------------------
NET IMPROVEMENTS
NUMBER TOTAL CAPITALIZED
OF ENCUM- BUILDING AND SUBSEQUENT TO
DESCRIPTION UNITS BRANCES * LAND IMPROVEMENTS ACQUISITION
Low and Moderate
Income Apartment Complexes
<S> <C> <C> <C> <C> <C>
Strathern Park/Lorne Park 241 $17,552,451 $4,369,500 $10,513,639 $10,993,326
Los Angeles, CA
Maidens Choice 101 4,050,000 807,791 2,013,769 3,391,316
Baltimore, MD
Cedar Lane 36 1,122,677 40,000 1,375,512 11,854
London, KY
Silver Creek 24 771,586 20,000 946,812 0
Berea, KY
Rosecliff 168 5,617,392 1,200,000 3,304,950 4,578,797
Orlando, FL
Brookwood 81 3,042,439 91,470 344,580 4,519,699
Ypsilanti Township, MI
Water Oak 40 1,260,655 98,058 1,467,944 4,343
Orange City, FL
Yester Oaks 44 1,291,670 47,105 1,574,145 2,489
Lafayette, GA
Ocean View 42 1,371,628 112,620 1,600,421 7,347
Ferandina Beach, FL
Wheeler House 17 713,772 42,000 1,139,412 25,527
Nashua, NH
Archer Village 24 711,860 40,000 861,288 38,869
Archer, FL
Oaks of Dunlop 144 4,453,719 631,959 6,492,444 109,440
Colonial Heights, VA
Timothy House 112 2,572,215 11,638 6,344,664 396,246
Towson, MD
Westover Station 108 2,674,741 305,645 4,299,613 3,757
Newport News, VA
Carib Villas III 24 1,489,054 107,582 1,802,466 2,764
St. Croix, VI
Carib Villas II 20 1,407,642 57,720 1,787,528 2,764
St. Croix, VI
Whispering Trace 40 1,408,471 218,000 2,413,145 (486,409)
Woodstock, GA
New Center 104 3,519,360 79,652 3,534,776 2,930,224
Detroit, MI
Huguenot Park 24 1,400,000 83,000 2,088,664 0
New Paltz, NY
Hillwood Pointe 100 2,993,869 454,185 5,103,711 1,459
Jacksonville, FL
Pinewood Pointe 136 4,053,614 555,093 6,809,808 445,908
Jacksonville, FL
Westgate 60 1,389,836 215,168 2,152,519 22,471
Bismark, ND
Woodlake Hills 144 3,875,742 233,690 6,481,250 2,386,284
Pontiac, MI
Bixel House 76 1,442,282 190,746 2,294,879 50,061
Los Angeles, CA
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
COST AT INTEREST ACQUISITION DATE
----------------------------------
NET IMPROVEMENTS
NUMBER TOTAL CAPITALIZED
OF ENCUM- BUILDING AND SUBSEQUENT TO
DESCRIPTION UNITS BRANCES * LAND IMPROVEMENTS ACQUISITION
Low and Moderate
Income Apartment Complexes
<S> <C> <C> <C> <C> <C>
Harmony 65 3,124,470 0 7,020,696 117,826
North Hollywood, CA
Schumaker Place 96 2,941,443 531,776 1,627,716 3,603,531
Salisbury, MD
Circle Terrace 303 9,962,770 0 7,884,733 8,495,063
Lansdown, MD
-------------------------------------------------------------------------------
2,374 $86,215,358 $10,544,398 $93,281,084 $41,654,956
===============================================================================
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
GROSS AMOUNT AT WHICH CARRIED AT DECEMBER 31, LIFE ON
1996
--------------------------------------------------
WHICH
DEPRECIATION
BUILDING AND ACCUMULATED DATE IS COMPUTED DATE
DESCRIPTION LAND IMPROVEMENTS TOTAL DEPRECIATION BUILT (YEARS) ACQUIRED
----------- ---- ------------ ----- ------------ ----- ------- --------
Low and Moderate
Income Apartment Complexes
<S> <C> <C> <C> <C> <C> <C> <C>
Strathern Park/Lorne Park $5,889,320 $19,987,145 $25,876,465 $4,438,048 1991 various 07/05/90
Los Angeles, CA
Maidens Choice 807,791 5,405,085 6,212,876 1,193,185 1991 various 08/17/90
Baltimore, MD
Cedar Lane 40,000 1,387,366 1,427,366 269,462 1991 various 09/10/90
London, KY
Silver Creek 20,000 946,812 966,812 189,935 1990 various 08/15/90
Berea, KY
Rosecliff 1,120,000 7,963,747 9,083,747 1,856,102 1991 various 09/18/90
Orlando, FL
Brookwood 79,178 4,876,571 4,955,749 984,488 1992 various 10/01/90
Ypsilanti Township, MI
Water Oak 98,058 1,472,287 1,570,345 315,058 1991 various 01/01/91
Orange City, FL
Yester Oaks 47,105 1,576,634 1,623,739 349,631 1991 various 01/01/91
Lafayette, GA
Ocean View 112,620 1,607,768 1,720,388 366,864 1991 various 01/01/91
Ferandina Beach, FL
Wheeler House 42,000 1,164,939 1,206,939 225,657 1991 various 01/01/91
Nashua, NH
Archer Village 40,000 900,157 940,157 209,079 1991 various 01/01/91
Archer, FL
Oaks of Dunlop 631,959 6,601,884 7,233,843 1,711,138 1991 various 01/01/91
Colonial Heights, VA
Timothy House 11,638 6,740,910 6,752,548 883,228 1992 various 03/05/91
Towson, MD
Westover Station 305,645 4,303,370 4,609,015 724,351 1991 various 03/30/91
Newport News, VA
Carib Villas III 239,009 1,673,803 1,912,812 401,707 1992 various 03/21/91
St. Croix, VI
Carib Villas II 197,195 1,650,817 1,848,012 386,389 1991 various 03/01/91
St. Croix, VI
Whispering Trace 218,000 1,926,736 2,144,736 562,439 1990 various 05/01/91
Woodstock, GA
New Center 96,116 6,448,536 6,544,652 1,164,004 1992 various 06/27/91
Detroit, MI
Huguenot Park 83,000 2,088,664 2,171,664 435,847 1991 various 06/26/91
New Paltz, NY
Hillwood Pointe 454,185 5,105,170 5,559,355 1,121,626 1991 various 07/19/91
Jacksonville, FL
Pinewood Pointe 555,093 7,255,716 7,810,809 1,569,667 1991 various 07/31/91
Jacksonville, FL
Westgate 236,689 2,153,469 2,390,158 421,740 1991 various 07/25/91
Bismark, ND
Woodlake Hills 187,588 8,913,636 9,101,224 1,092,535 1992 various 08/01/91
Pontiac, MI
Bixel House 190,746 2,344,940 2,535,686 656,472 1991 various 07/31/91
Los Angeles, CA
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
GROSS AMOUNT AT WHICH CARRIED AT DECEMBER 31,
1996
-------------------------------------------------- LIFE ON
WHICH
DEPRECIATION
BUILDING AND ACCUMULATED DATE IS COMPUTED DATE
DESCRIPTION LAND IMPROVEMENTS TOTAL DEPRECIATION BUILT (YEARS) ACQUIRED
----------- ---- ------------ ----- ------------ ----- ------- --------
Low and Moderate
Income Apartment Complexes
<S> <C> <C> <C> <C> <C> <C> <C>
Harmony 0 7,138,522 7,138,522 1,596,510 1991 various 07/31/91
North Hollywood, CA
Schumaker Place 536,153 5,226,870 5,763,023 581,838 1992 various 09/20/91
Salisbury, MD
Circle Terrace 1,104,269 15,275,527 16,379,796 2,369,146 1993 various 12/06/91
Lansdown, MD
--------------------------------------------------
$13,343,357 $132,137,081 $145,480,438 $26,076,146
==================================================
</TABLE>
(1) The aggregate cost for Federal Income Tax purposes is approximately $
145,480,000.
* Mortgage notes payable generally represent non-recourse
financing of low-income housing projects payable with terms
of up to 40 years with interest payable at rates ranging
from 9.75% to 12%. The Partnership has not guaranteed any of
these mortgage notes payable.
<PAGE>
<TABLE>
<CAPTION>
Summary of property owned and accumulated depreciation:
Property Owned December 31, 1996 Accumulated Depreciation December 31, 1996
- ----------------------------------------------------------- -------------------------------------------
<S> <C> <C> <C> <C>
Balance at beginning of $145,304,421 Balance at beginning of 21,269,750
period period
Additions during period: Additions during period:
Other acquisitions 13,520 Depreciation 4,806,396
------------------
Improvements etc. 162,497 Balance at close of $26,076,146
period
-------------- ==================
176,017
Deductions during period:
Cost of real estate sold 0
Reclassification to 0
intangible assets
--------------
0
---------------
Balance at close of period $145,480,438
===============
Property Owned December 31, 1995 Accumulated Depreciation December 31, 1995
- ----------------------------------------------------------- -------------------------------------------
Balance at beginning of $145,215,379 Balance at beginning of 16,571,920
period period
Additions during period: Additions during period:
Other acquisitions 27,195 Depreciation 4,697,830
------------------
Improvements etc. 131,065 Balance at close of $21,269,750
period
-------------- ==================
158,260
Deductions during period:
Cost of real estate sold (69,218)
Reclassification to 0
intangible assets
--------------
(69,218)
---------------
Balance at close of period $145,304,421
===============
Property Owned December 31, 1994 Accumulated Depreciation December 31, 1994
- ----------------------------------------------------------- -------------------------------------------
Balance at beginning of $145,650,432 Balance at beginning of $11,565,575
period period
Additions during period: Additions during period:
Other acquisitions 31,594 Depreciation 5,006,345
------------------
Improvements etc. 37,945 Balance at close of $16,571,920
period
-------------- ==================
69,539
Deductions during period:
Cost of real estate sold (504,592)
Reclassification to 0
intangible assets
--------------
(504,592)
---------------
Balance at close of period $145,215,379
===============
</TABLE>
<PAGE>
Supplement No. 11 to the Prospectus
dated March 2, 1990
Previously filed with the Securities and Exchange Commission on August 5, 1991.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
Annual Report on form 10-K
For The Year Ended March 31, 1997
Reports of Independent Auditors
[Letterhead]
[LOGO]
JOHN J. LEHOTAN
To The Partners of Woodlake Hills
Limited Partnership
Detroit, Michigan
Independent Auditor's Report
I have audited the accompanying balance sheet of Woodlake Hills Limited
Partnership, a Michigan limited partnership as of December 31, 1996 and the
related statements of profit and loss, partners' equity and cash flow for the
year then ended. These financial statements are the responsibility of the
Partnership's management. My responsibility is to express an opinion on these
financial statements based on my audit.
I conducted our audit in accordance with generally accepted auditing standards.
Those standards require that I plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
I believe that my audit provides a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly, in all
material respects, the financial positions of Woodlake Hills Limited Partnership
as of December 31, 1996 and the results of its operations and its cash flow for
the year then ended in conformity with generally accepted accounting principles.
/s/John J. Lehotan
Certified Public Accountants
February 5, 1997
<PAGE>
[Letterhead]
[LOGO]
JOHN J. LEHOTAN
To The Partners of Woodlake Hills
Limited Partnership
Detroit, Michigan
Independent Auditor's Report
I have audited the accompanying balance sheet of Woodlake Hills Limited
Partnership, a Michigan limited partnership as of December 31, 1995 and the
related statements of profit and loss, partners' equity and cash flow for the
year then ended. These financial statements are the responsibility of the
Partnership's management. My responsibility is to express an opinion on these
financial statements based on my audit.
I conducted my audit in accordance with generally accepted auditing standards.
Those standards require that I plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
I believe that my audit provides a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly, in all
material respects, the financial positions of Woodlake Hills Limited Partnership
as of December 31, 1995 and the results of its operations and its cash flow for
the year then ended in conformity with generally accepted accounting principles.
/s/John J. Lehotan
Certified Public Accountants
February 11, 1996
<PAGE>
[Letterhead]
[LOGO]
JOHN J. LEHOTAN
To The Partners of Woodlake Hills
Limited Partnership
Detroit, Michigan
Independent Auditor's Report
I have audited the accompanying balance sheet of Woodlake Hills Limited
Partnership, a Michigan limited partnership as of December 31, 1994 and the
related statements of profit and loss, partners' equity and cash flow for the
year then ended. These financial statements are the responsibility of the
Partnership's management. My responsibility is to express an opinion on these
financial statements based on my audit.
I conducted our audit in accordance with generally accepted auditing standards.
Those standards require that I plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
I believe that my audit provides a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly, in all
material respects, the financial positions of Woodlake Hills Limited Partnership
as of December 31, 1994 and the results of its operations and its cash flow for
the year then ended in conformity with generally accepted accounting principles.
/s/John J. Lehotan
Certified Public Accountants
February 14, 1995
<PAGE>
<PAGE>
<PAGE>
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
NANAS, STERN, BIERS, NEINSTEIN AND CO.
Independent Auditors' Report
The Partners
Strathern Park
Los Angeles, California
We have audited the accompanying balance sheet of Strathern Park (a California
limited partnership), as of December 31, 1996 and the related statements of
operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Strathern Park as of December
31, 1996, and the results of its operations and its cash flows for the year then
ended in conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The additional information on Schedules I, II and
III is presented for the purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audit of the basic financial statements
and, in our opinion, is fairly stated in all material respects in relation to
the basic financial statements taken as a whole.
/s/Nanas, Stern, Biers, Neinstein and Co.
NANAS, STERN, BIERS, NEINSTEIN AND CO.
January 14, 1997
<PAGE>
[Letterhead]
[LOGO]
NANAS, STERN, BIERS, NEINSTEIN AND CO.
Independent Auditors' Report
The Partners
Strathern Park
Los Angeles, California
We have audited the accompanying balance sheet of Strathern Park (a California
limited partnership), as of December 31, 1995 and the related statements of
operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Strathern Park as of December
31, 1995, and the results of its operations and its cash flows for the year then
ended in conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The additional information on Schedules I, II and
III is presented for the purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audit of the basic financial statements
and, in our opinion, is fairly stated in all material respects in relation to
the basic financial statements taken as a whole.
/s/Nanas, Stern, Biers, Neinstein and Co.
NANAS, STERN, BIERS, NEINSTEIN AND CO.
January 23, 1996
<PAGE>
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
NANAS, STERN, BIERS, NEINSTEIN AND CO.
Independent Auditors' Report
The Partners
Strathern Park
Los Angeles, California
We have audited the accompanying balance sheet of Strathern Park (a California
limited partnership) as of December 31, 1994 and the related statements of
operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Strathern Park as of December
31, 1994 and the results of its operations and its cash flows for the year then
ended in conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The additional information on Schedules I, II and
III is presented for the purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audit of the basic financial statements
and, in our opinion, is fairly stated in all material respects in relation to
the basic financial statements taken as a whole.
/s/Nanas, Stern, Biers, Neinstein and Co.
NANAS, STERN, BIERS, NEINSTEIN AND CO.
January 20,1995
<PAGE>
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Maiden Choice Limited Partnership
We have audited the accompanying balance sheet of Maiden Choice Limited
Partnership as of December 31, 1996, and the related statements of profit and
loss (on HUD Form No. 92410), partners' equity and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Maiden Choice Limited
Partnership as of December 31, 1996, and the results of its operations, changes
in partners' equity and its cash flows for the year then ended, in conformity
with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 20 through 34
is presented for purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
<PAGE>
In accordance with Government Auditing Standards and the Consolidated Audit
Guide for Audits of HUD Programs, we have also issued reports dated January
6, 1997, on our consideration of Maiden Choice Limited Partnership's
internal control structure and on its compliance with specific requirements
applicable to CDA programs, affirmative fair housing, and laws and regulations
applicable to the financial statements.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer Identification Number:
52-1088612
Audit Principal: William T. Riley
January 6, 1997
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Maiden Choice Limited Partnership
We have audited the accompanying balance sheet of Maiden Choice Limited
Partnership as of December 31, 1995, and the related statements of profit and
loss (on HUD Form No. 92410), partners' equity and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Maiden Choice Limited
Partnership as of December 31, 1995, and the results of its operations, changes
in partners' equity and its cash flows for the year then ended, in conformity
with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 20 trough 29
is presented for purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
In accordance with Government Auditing Standards, we have also issued reports
dated January 18, 1996, on our consideration of Maiden Choice Limited
Partnership's internal control structure and on its compliance with specific
requirements applicable to CDA programs, affirmative fair housing, and laws and
regulations applicable to the financial statements.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer Identification Number:
52-1088612
Audit Principal: William T. Riley, Jr.
January 18, 1996
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Maiden Choice Limited Partnership
We have audited the accompanying balance sheet of Maiden Choice Limited
Partnership as of December 31, 1994, and the related statements of profit and
loss (on HUD Form No. 92410), partners' equity and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Maiden Choice Limited
Partnership as of December 31, 1994, and the results of its operations, changes
in partners' equity and its cash flows for the year then ended, in conformity
with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 20 trough 28
is presented for purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
/s/Reznick Fedder & Silverman
Baltimore, Maryland
January 11, 1995
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Miller, Mayer, Sullivan & Stevens LLP
INDEPENDENT AUDITORS' REPORT
To the Partners Rural Development
Cedar Lane I, Ltd. London, Kentucky
We have audited the accompanying balance sheets of Cedar Lane I, Ltd., (a
limited partnership) Case No. 20-063-621358072, as of December 31, 1996 and 1995
and the related statements of operations, changes in partners' equity (deficit),
and cash flows for the years then ended. These financial statements are the
responsibility of the partnership's management. Our responsibility is to express
an opinion on these financial statements based on our audit.
We conducted our audits in accordance with generally accepted auditing standards
and the standards for financial audits contained in Government Auditing
Standards issued by the Comptroller General of the United States. Those
standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Cedar Lane I, Ltd. as of
December 31, 1996 and 1995, and the results of its operations and its cash flows
for the years then ended in conformity with generally accepted accounting
principles.
In accordance with Government Auditing Standards, we have also issued a report
dated January 27, 1997 on our consideration of Cedar Lane I, Lts.'s internal
control structure and compliance with laws and regulations.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental data included in this
report is presented for purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audits of the basic financial statements,
and in our opinion, is presented fairly, in all material respects, in relation
to the basic financial statements taken as a whole.
/s/Miller, Mayerm Sullivan & Stevens
Lexington, Kentucky
January 27, 1997
<PAGE>
[Letterhead]
[LOGO]
Miller, Mayer, Sullivan & Stevens LLP
INDEPENDENT AUDITORS' REPORT
To the Partners Rural Econmic and Community Development
Cedar Lane I, Ltd. London, Kentucky
We have audited the accompanying balance sheets of Cedar Lane I, Ltd., (a
limited partnership) Case No. 20-063-621358072, as of December 31, 1995 and 1994
and the related statements of operations, changes in partners' equity (deficit),
and cash flows for the years then ended. These financial statements are the
responsibility of the partnership's management. Our responsibility is to express
an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and the standards for financial audits contained in Government Auditing
Standards issued by the Comptroller General of the United States. Those
standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Cedar Lane I, Ltd. as of
December 31, 1995 and 1994, and the results of its operations and its cash flows
for the years then ended in conformity with generally accepted accounting
principles.
In accordance with Government Auditing Standards, we have also issued a report
dated February 1, 1996 on our consideration of Cedar Lane I, Lts.'s internal
control structure and compliance with laws and regulations.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental data included in this
report is presented for purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audits of the basic financial statements,
and, in our opinion, is presented fairly, in all material respects, in relation
to the basic financial statements taken as a whole.
/s/Miller, Mayerm Sullivan & Stevens
Lexington, Kentucky
February 1, 1996
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Miller, Mayer, Sullivan & Stevens LLP
INDEPENDENT AUDITORS' REPORT
To the Partners
Silver Creek II, Ltd.
We have audited the accompanying balance sheets of Silver Creek II, Ltd., (a
limited partnership), as of December 31, 1996 and 1995, and the related
statements of operations, changes in partners' equity (deficit), and cash flows
for the years then ended. These financial statements are the responsibility of
the partnership's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Silver Creek II, Ltd. as of
December 31, 1996 and 1995 and the results of its operations and its cash flows
for the years then ended in conformity with generally accepted accounting
principles.
Our audits was conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental data included in this
report is presented for purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audits of the basic financial statements,
and in our opinion, is presented fairly in all material respects, in relation to
the basic financial statements taken as a whole.
/s/Miller, Mayerm Sullivan & Stevens
Lexington, Kentucky
January 28, 1997
<PAGE>
[Letterhead]
[LOGO]
Miller, Mayer, Sullivan & Stevens LLP
INDEPENDENT AUDITORS REPORT
To the Partners
Silver Creek II, Ltd.
We have audited the accompanying balance sheets of Silver Creek II, Ltd., (a
limited partnership), as of December 31, 1995 and 1994 and the related
statements of operations, changes in partners' equity (deficit), and cash flows
for the years then ended. These financial statements are the responsibility of
the partnership's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Silver Creek II, Ltd. as of
December 31, 1995 and 1994, and the results of its operations and its cash flows
for the years then ended in conformity with generally accepted accounting
principles.
Our audits was conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental data included in this
report is presented for purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audits of the basic financial statements,
and in our opinion, is presented fairly in all material respects, in relation to
the basic financial statements taken as a whole.
/s/Miller, Mayerm Sullivan & Stevens
Lexington, Kentucky
February 2, 1996
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Deloitte & Touche LLP
INDEPENDENT AUDITORS' REPORT
To the General Partner and Limited Partners of
Tomkins/Rosecliff, Ltd.:
We have audited the accompanying balance sheet of Tomkins/Rosecliff, Ltd. (a
Florida Limited Partnership) as of December 31, 1996, and the related statements
of operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Tomkins/Rosecliff, Ltd. (a
Florida Limited Partnership) as of December 31, 1996, and the results of its
operations and its cash flow for the year then ended in conformity with
generally accepted accounting principles.
/s/Deloitte & Touche LLP
January 24, 1997
<PAGE>
[Letterhead]
[LOGO]
Deloitte & Touche LLP
INDEPENDENT AUDITORS' REPORT
To the General Partner and Limited Partners of
Tomkins/Rosecliff, Ltd.:
We have audited the accompanying balance sheet of Tomkins/Rosecliff, Ltd. (a
Florida Limited Partnership) as of December 31, 1995, and the related statements
of operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Tomkins/Rosecliff, Ltd. (a
Florida Limited Partnership) as of December 31, 1995, and the results of its
operations and its cash flow for the year then ended in conformity with
generally accepted accounting principles.
/s/Deloitte & Touche LLP
February 2, 1996
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Deloitte & Touche LLP
INDEPENDENT AUDITORS' REPORT
To the General Partner and Limited Partners of
Tomkins/Rosecliff, Ltd.:
We have audited the accompanying balance sheet of Tomkins/Rosecliff, Ltd. (a
Florida Limited Partnership) as of December 31, 1994, and the related statements
of operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Tomkins/Rosecliff, Ltd. (a
Florida Limited Partnership) as of December 31, 1994, and the results of its
operations and its cash flow for the year then ended in conformity with
generally accepted accounting principles.
/s/Deloitte & Touche LLP
February 10, 1995
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Follmer, Rudzewicz & Co., P.C.
January 30, 1997
INDEPENDENT AUDITORS' REPORT
To the Partners
Brookwood L.D.H.A. Limited Partnership
28388 Franklin Road
Southfield, Michigan 48034
We have audited the accompanying Balance sheet of Brookwood L.D.H.A. Limited
Partnership (a Michigan limited partnership), MSHDA Development No. 832 as of
December 31, 1996 and the related Statement of Profit and Loss, changes in in
accumulated earnings and cash flows for the year then ended. These financial
statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Brookwood L.D.H.A. Limited
Partnership, MSHDA No. 832 as of December 31, 1996, and the results of its
operations, the changes in its cumulative income and its cash flows for the year
then ended in conformity with generally accepted accounting principles.
Our audit was conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The additional information of Brookwood
L.D.H.A. Limited Partnership, MSHDA No. 832 on pages 11 through 14 is presented
for the purpose of additional analysis and is not a required part of the basic
financial statements. This additional information is the responsibility of the
partnership's management. Such information has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
In accordance with Government Auditing Standards, we have also issued a report
dated January 30, 1997 on our consideration of the partnership's internal
control structure and a report dated January 30, 1997 on its compliance with
laws and regulations.
/s/Follmer, Rudzewicz & Co., P.C.
Follmer,Rudzewicz & Co. P.C.
Certified Public Accountants
Southfield, Michigan
38-1910111
<PAGE>
[Letterhead]
[LOGO]
Follmer, Rudzewicz & Co., P.C.
January 24, 1996
INDEPENDENT AUDITOR'S REPORT
To the Partners
Brookswood L.D.H.A. Limited Partnership
28388 Franklin Road
Southfield, Michigan 48034
We have audited the accompanying balance sheet of Brookswood L.D.H.A. Limited
Partnership (a Michigan Limited Partnership), MSHDA Development No. 832, as of
December 31, 1995, and the related statements of profit and loss, partners'
equity and cash flows for the year then ended. These financial statements are
the responsibility of the partnership's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Brookswood L.D.H.A. Limited
Partnership at December 31, 1995 and the results of its operations and cash
flows for the year then ended, in conformity with generally accepted accounting
principles.
Our audit was conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental data on pages 11 through
13 are presented for purposes of additional analysis and is not a required part
of the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and
in our opinion, is fairly stated, in all material respects, in relation to the
basic financial statements taken as a whole.
/s/Follmer, Rudzewicz & Co., P.C.
Follmer,Rudzewicz & Co. P.C.
Certified Public Accountants
Southfield, Michigan
38-1910111
<PAGE>
<PAGE>
[Letterhead]
[LOGO]
Follmer, Rudzewicz & Co., P.C.
January 18, 1995
INDEPENDENT AUDITOR'S REPORT
To the Partners
Brookswood L.D.H.A. Limited Partnership
28388 Franklin Road
Southfield, Michigan 48034
We have audited the accompanying balance sheet of Brookswood L.D.H.A. Limited
Partnership (a Michigan Limited Partnership), MSHDA Development No. 832, as of
December 31, 1994, and the related statements of profit and loss, partners'
equity and cash flows for the year then ended. These financial statements are
the responsibility of the Partnership's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Brookswood L.D.H.A. Limited
Partnership at December 31, 1994 and the results of its operations and its cash
flows for the year then ended, in conformity with generally accepted accounting
principles.
Our audit was conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental data on pages 10 through
12 are presented for purposes of additional analysis and is not a required part
of the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and
in our opinion, is fairly stated, in all material respects, in relation to the
basic financial statements taken as a whole.
/s/Follmer, Rudzewicz & Co., P.C.
Follmer,Rudzewicz & Co. P.C.
Certified Public Accountants
Southfield, Michigan
38-1910111
<PAGE>
[Letterhead]
BILLIE J. BURNETT,CPA
5 Benton Drive
Nashua, NH 03060
(603) 883-4230
To The Partners
Burbank Limited Partnership I
I have audited the accompanying balance sheets of Burbank Limited
Partnership I as of December 31, 1996 and 1995, and the related statements of
income, partners' equity and cash flows for the years then ended. The financial
statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance with generally accepted auditing
standards. Those standards require that I plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
I believe that my audits, provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Burbank Limited Partnership
I as of December 31, 1996 and 1995, and the results of its operations and its
cash flows for the years then ended in conformity with generally accepted
accounting principles.
/s/Billie J. Burnett
Billie J. Burnett
January 8, 1997
<PAGE>
[Letterhead]
[LOGO]
Wall Einchorn & Chernitzer., P.C.
Certified Public Accountants
First Virginia Bank Towers
555 Main Street
Suite 1500
Post Office Box 3610
Norfolk, Virginia 23514
Alvin A. Wall, CPA Telephone (757)625-4700
Martin A. Einhorn, CPA Telephone (757)625-0527
Jeffrey S. Chernitzer, CPA
INDEPENDENT AUDITORS' REPORT
To the Partners Virginia Housing Development Authority
The Oaks of Dunlop Farms, L. P. 601 South Belvidere Street
(A Limited Partnership) Richmond, Virginia 23220
Norfolk, Virginia
We have audited the accompanying balance sheets of The Oaks of Dunlop Farms,
L.P. (A. Limited Partnership), VHDA Project Number 90-0300-C, as of December 31,
1996 and 1995, and the related statements of operations , partners' equity, and
cash flows for the years then ended. These financial statements are the
responsibility of the Partnership's management. Our responsibility is to express
an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of VHDA Project Number 90-0300-C
as of December 31, 1996 and 1995, and the results of its operations, changes in
partners' equity, and cash flows for the years then ended in conformity with
generally accepted accounting principles.
The accompanying supplementary information (shown on pages 9 to 12) is
presented for the purposes of additional analysis and is not a required part of
the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
/s/Wall, Einhorn & Chernitzer, P.C.
Norfolk, Virginia
January 22, 1997 -1-
<PAGE>
[Letterhead]
[LOGO]
Wall Einchorn & Chernitzer., P.C.
Certified Public Accountants
First Virginia Bank Towers
555 Main Street
Suite 1500
Post Office Box 3610
Norfolk, Virginia 23514
Alvin A. Wall, CPA Telephone (757)625-4700
Martin A. Einhorn, CPA Telephone (757)625-0527
Jeffrey S. Chernitzer, CPA
INDEPENDENT AUDITORS' REPORT
To the Partners Virginia Housing Development Authority
The Oaks of Dunlop Farms, L. P. 601 South Belvidere Street
(A Limited Partnership) Richmond, Virginia 23220
Norfolk, Virginia
We have audited the accompanying balance sheets of The Oaks of Dunlop Farms,
L.P. (A. Limited Partnership), VHDA Project Number 90-0300-C, as of December 31,
1995 and 1994, and the related statements of operations , partners' equity, and
cash flows for the years then ended. These financial statements are the
responsibility of the Partnership's management. Our responsibility is to express
an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of VHDA Project Number 90-0300-C
as of December 31, 1995and 1994 and the results of its operations changes in
partners' equity, and cash flow for the years then ended in conformity with
generally accepted accounting principles.
The accompanying supplementary information (shown on pages 10 to 13) is
presented for the purposes of additional analysis and is not a required part of
the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and
in our opinion, is fairly stated, in all material respects, in relation to the
basic financial statements taken as a whole.
/s/Wall, Einhorn & Chernitzer, P.C.
Norfolk, Virginia
January 22, 1996 -1-
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Timothy House Limited Partnership
We have audited the accompanying balance sheet of Timothy House Limited
Partnership as of December 31, 1996, and the related statements of profit and
loss (on HUD Form No. 92410), partners' equity and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Timothy House Limited
Partnership as of December 31, 1996, and the results of its operations, changes
in partners' equity and its cash flows for the year then ended, in conformity
with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 20 through 34
is presented for purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
<PAGE>
In accordance with Government Auditing Standards and the Consolidated Audit
Guide for Audits of HUD Programs, we have also issued reports dated January
14, 1997, on our consideration of Timothy House Limited Partnership's
internal control structure and on its compliance with specific requirements
applicable to CDA programs, affirmative fair housing, and laws and regulations
applicable to the financial statements.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer
January 14, 1997 Identification Number:
52-1088612
Audit Principal: William T. Riley, Jr.
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Timothy House Limited Partnership
We have audited the accompanying balance sheet of Timothy House Limited
Partnership as of December 31, 1995 and the related statements of profit and
loss (on HUD Form No. 92410), partners' equity and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Timothy House Limited
Partnership as of December 31, 1995 and the results of its operations, changes
in partners' equity and its cash flow for the year then ended in conformity with
generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 20 through 28
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
In accordance with Government Auditing Standards, we have also issued reports
dated January 16, 1996, on our consideration of Timothy House Limited
Partnership's internal control structure and on its compliance with specific
requirements applicable to CDA programs, affirmative fair housing, and laws and
regulations applicable to the financial statements.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer
January 16, 1996 Identification Number:
52-1088612
Audit Principal: William T. Riley, Jr.
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Timothy House Limited Partnership
We have audited the accompanying balance sheet of Timothy House Limited
Partnership as of December 31, 1994 and the related statements of profit and
loss (on HUD Form No. 92410), partners' equity and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Timothy House Limited
Partnership as of December 31, 1994 and the results of its operations, changes
in partners' equity and its cash flow for the year then ended in conformity with
generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 20 trough 28
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer
January 12, 1995 Identification Number:
52-1088612
Audit Principal: William T. Riley, Jr.
[Letterhead]
Wilfore & Wynn
A Professional Corporation
Certified Public Accountants
INDEPENDENT AUDITORS' REPORT
The Partners
Westover Station Associates, L.P.
(A Limited Partnership)
Newport News, Virginia
We have audited the accompanying balance sheets of Westover Station Associates,
L.P. as of December 31, 1996 and 1995 and the related statements of operations,
partners' capital and cash flows for the year then ended. These financial
statements are the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Westover Station Associates,
L.P. at December 31, 1996 and 1995, and the results of its operations and its
cash flows for the years then ended, in conformity with generally accepted
accounting principles.
<PAGE>
The supplemental schedules and supporting data required by VHDA are prepared
in accordance with VHDA requirements and have been tested by us as part of our
auditing procedures followed in the examinantion of the financial statements
mentioned above and, in our opinion, they are fairly stated in all material
respects in relation to the financial statements taken as a whole.
/s/Wilfore & Wynn
Wilfore & Wynn
Virginia Beach, Virginia
February 10, 1997 (2)
4530 Professional Circle Virginia Beach, Virginia 23455-6498
Telephone (804)456-0111 Fax (804)473-1095
Wilfore & Wynn
A Professional Corporation
Certified Public Accountants
INDEPENDENT AUDITORS REPORT
The Partners
Westover Station Associates, L.P.
(A Limited Partnership)
Newport New, Virginia
We have audited the accompanying balance sheets of Westover Station Associates
L.P. as of December 31, 1995 and 1994 and the related statements of operations,
partners' capital and cash flows for the year then ended. These financial
statements are the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Westover Station Associates,
L.P. at of December 31, 1995 and 1994, and the results of its operations and its
cash flows for the years then ended, in conformity with generally accepted
accounting principles.
The supplemental schedules and supporting data required by VHDA are prepared in
accordance with VHDA requirements and have been tested by us as part of our
auditing procedures followed in the examinantion of the financial statements
mentioned above and, in our opinion they are fairly stated in all material
respects in relation to the financial statements taken as a whole.
/s/Wilfore & Wynn
Wilfore & Wynn
Virginia Beach, Virginia
February 7, 1996 (2)
4530 Professional Circle Virginia Beach, Virginia 23455-6498
Telephone (804)456-0111 Fax (804)473-1095
<PAGE>
[Letterhead]
Kirschner Hutton Perlin, P.C.
Certified Public Accountants
26913 Northwestern Hwy. Suite 510
Southfield, Michigan 48034-8444
Telephone: (810) 356-3880
Facsimile: (810) 356-3885
Independent Auditors' Report
Partners January 22, 1997
Christiansted Limited Dividend Housing
Association Limited Partnership
We have audited the accompanying balance sheet of Christiansted Limited Dividend
Housing Association Limited Partnership as of December 31, 1996 and 1995, and
the related statements of operations, partners' equity and cash flows for the
years then ended.
These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Christiansted Limited Dividend
Housing Association Limited Partnership as of December 31, 1996 and 1995, and
the results of its operations and its cash flows for the years then ended in
conformity with generally accepted accounting principles.
/s/Kirshner Huton Perlin, P.C.
<PAGE>
[Letterhead]
Kirschner Hutton Perlin, P.C.
Certified Public Accountants
26913 Northwestern Hwy. Suite 510
Southfield, Michigan 48034-8444
Telephone: (810) 356-3880
Facsimile: (810) 356-3885
Independent Auditors Report
Partners January 15, 1996
Christiansted Limited Dividend Housing
Association Limited Partnership
We have audited the accompanying balance sheet of Christiansted Limited Dividend
Housing Association Limited Partnership as of December 31, 1995 and 1994, and
the related statements of operations, partners' equity and cash flows for the
years then ended.
These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Christiansted Limited Dividend
Housing Association Limited Partnership as of December 31, 1995 and 1994, and
the results of its operations and its cash flow for the year then ended in
conformity with generally accepted accounting principles.
/s/Kirshner Huton Perlin, P.C.
<PAGE>
[Letterhead]
Kirschner Hutton Perlin, P.C.
Certified Public Accountants
26913 Northwestern Hwy. Suite 510
Southfield, Michigan 48034-8444
Telephone: (810) 356-3880
Facsimile: (810) 356-3885
Independent Auditors' Report
Partners January 22, 1997
St. Croix II. Limited Partnership
We have audited the accompanying balance sheet of St. Croix II, Limited
Partnership as of December 31, 1996 and 1995, and the related statements of
operations, partners' equity and cash flows for the years then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of St. Croix II, Limited
Partnership as of December 31, 1996 and 1995, and the results of its operations
and its cash flows for the years then ended in conformity with generally
accepted accounting principles.
/s/Kirshner Huton Perlin, P.C.
<PAGE>
[Letterhead]
Kirschner Hutton Perlin, P.C.
Certified Public Accountants
26913 Northwestern Hwy. Suite 510
Southfield, Michigan 48034-8444
Telephone: (810) 356-3880
Facsimile: (810) 356-3885
Independent Auditors Report
Partners January 22, 1996
St. Croix II. Limited Partnership
We have audited the accompanying balance sheet of St. Croix II, Limited
Partnership as of December 31, 1995 and 1994, and the related statements of
operations, partners' equity and cash flows for the years then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of St. Croix II, Limited
Partnership as of December 31, 1995 and 1994, and the results of its operations
and its cash flow for the year then ended in conformity with generally accepted
accounting principles.
/s/Kirshner Huton Perlin, P.C.
<PAGE>
[Letterhead]
[LOGO]
KPMG Peat Marwick LLP
Independent Auditors' Report
The Partners
Kensignton Place Townhomes,
A Limited Partnership:
We have audited the accompanying balance sheets of Kensignton Place Townhomes, A
Limited Partnership as of December 31, 1996 and 1995, and the related statements
of loss, partners' capital, and cash flows for the years then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Kensignton Place Townhomes, A
Limited Partnership as of December 31, 1996 and 1995, and the results of its
operations and its cash flows for the years then ended in conformity with
generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
February 5, 1997
<PAGE>
[Letterhead]
[LOGO]
KPMG Peat Marwick LLP
Independent Auditors' Report
The Partners
Kensignton Place Townhomes,
A Limited Partnership:
We have audited the accompanying balance sheets of Kensignton Place Townhomes, A
Limited Partnership as of December 31, 1995 and 1994, and the related statements
of loss, partners' capital, and cash flows for the years then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Kensignton Place Townhomes, A
Limited Partnership as of December 31, 1995 and 1994, and the results of its
operations and its cash flows for the years then ended in conformity with
generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
February 9, 1996
<PAGE>
[Letterhead]
[LOGO]
KPMG Peat Marwick LLP
Independent Auditors' Report
The Partners
Cobblestone Place Townhomes,
A Limited Partnership:
We have audited the accompanying balance sheets of Cobblestone Place Townhomes,
A Limited Partnership as of December 31, 1996 and 1995, and the related
statements of loss, partners' capital, and cash flows for the years then ended.
These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Cobblestone Place Townhomes, A
Limited Partnership as of December 31, 1996 and 1995, and the results of its
operations and its cash flows for the years then ended in conformity with
generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
January 20, 1997
<PAGE>
[Letterhead]
[LOGO]
KPMG Peat Marwick LLP
Independent Auditors Report
The Partners
Cobblestone Place Townhomes,
A Limited Partnership:
We have audited the accompanying balance sheets of Cobblestone Place Townhomes,
A Limited Partnership as of December 31, 1995 and 1994, and the related
statements of loss, partners' capital, and cash flows for the years then ended.
These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Cobblestone Place Townhomes, A
Limited Partnership as of December 31, 1995 and 1994 and the results of its
operations and its cash flows for the years then ended in conformity with
generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
February 2, 1996
<PAGE>
[Letterhead]
[LOGO]
KPMG Peat Marwick LLP
Independent Auditors' Report
The Partners
Whispering Trace Apartments,
A Limited Partnership:
We have audited the accompanying balance sheets of Whispering Trace Apartments,
A Limited Partnership as of December 31, 1996 and 1995, and the related
statements of loss, partners' capital (deficit), and cash flows for the years
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Whispering Trace Apartments, A
Limited Partnership as of December 31, 1996 and 1995, and the results of its
operations and its cash flows for the years then ended in conformity with
generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
February 10, 1997
<PAGE>
[Letterhead]
[LOGO]
KPMG Peat Marwick LLP
Independent Auditors Report
The Partners
Whispering Trace Apartments,
A Limited Partnership:
We have audited the accompanying balance sheets of Whispering Trace Apartments,
A Limited Partnership as of December 31, 1995 and 1994, and the related
statements of loss, partners' capital (deficit), and cash flows for the years
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Whispering Trace Apartments, A
Limited Partnership as of December 31, 1995 and 1994 and the results of its
operations and its cash flows for the years then ended in conformity with
generally accepted accounting principles.
/s/ KPMG Peat Marwick LLP
February 9, 1996
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Huguenot Park Associates, L.P.
We have audited the accompanying balance sheet of Huguenot Park Associates, L.P.
as of December 31, 1996, and the related statements of operations, partners'
capital and cash flows for the year then ended. These financial statements are
the responsibility of the partnership's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Huguenot Park Associates, L.P.
as of December 31, 1996, and the results of its operations, the changes in
partners' capital and cash flows for the year then ended, in conformity with
generally accepted accounting principles.
/s/Reznick Fedder & Silverman
Bethesda, Maryland
January 18, 1997
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Huguenot Park Associates, L.P.
We have audited the accompanying balance sheet of Huguenot Park Associates L.P.
as of December 31, 1995 and the related statements of operations, partners'
capital and cash flows for the year then ended. These financial statements are
the responsibility of the Partnership's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Huguenot Park Associates, L.P.
as of December 31, 1995 and the results of its operations, changes in partners'
equity and its cash flow for the year then ended in conformity with generally
accepted accounting principles.
/s/Reznick Fedder & Silverman
Bethesda, Maryland
January 22, 1996
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Huguenot Park Associates, L.P.
We have audited the accompanying balance sheet of Huguenot Park Associates L.P.
as of December 31, 1994 and the related statements of operations, partners'
capital and cash flows for the year then ended. These financial statements are
the responsibility of the Partnership's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Huguenot Park Associates, L.P.
as of December 31, 1994 and the results of its operations, changes in partners'
equity and its cash flow for the year then ended in conformity with generally
accepted accounting principles.
/s/Reznick Fedder & Silverman
Bethesda, Maryland
January 28, 1995
<PAGE>
[Letterhead]
[LOGO]
Charles Bailly & Company P.L.L.P.
INDEPENDENT AUDITOR'S REPORT
The Partners
Westgate Apartments Limited Partnesrhip
Wahpeton, North Dakota
We have audited the accompanying balance sheets of Westagate Apartments Limited
Partnership as of December 31, 1996 and 1995, and the related statements of
operations, partners' equity, and cash flows for the years then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Westgate Apartments Limited
Partnership as of December 31, 1996 and 1995, and the results of its operations,
and its cash flows for the years then ended in conformity with generally
accepted accounting principles.
/s/Charles Bailly & Company P.L.L.P.
Fargo, North Dakota
January 18, 1997
<PAGE>
[Letterhead]
[LOGO]
Charles Bailly & Company P.L.L.P.
INDEPENDENT AUDITORS REPORT
The Partners
Westgate Apartments Limited Partnesrhip
Wahpeton, North Dakota
We have audited the accompanying balance sheets of Westagate Apartments Limited
Partnership as of December 31, 1995 and 1994, and the related statements of
operations, partners' equity, and cash flows for the years then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Westgate Apartments Limited
Partnership as of December 31, 1995 and 1994 and the results of its operations,
changes in partners' equity and its cash flow for the year then ended in
conformity with generally accepted accounting principles.
/s/Charles Bailly & Company P.L.L.P.
Fargo, North Dakota
January 22, 1996
<PAGE>
[Letterhead]
SUAREZ ACCOUNTANCY CORPORATION
150 W. Seventh Street Suite 100
San Pedro, CA 900731 Richard Suarez
Telephone (310) 832-7887
Fax (310) 832-6563
Independent Auditor's Report
To The Partners of
Bixel House
Los Angeles, California
I have audited the accompanying balance sheet of Bixel House as of
December 31, 1996, and the related statements of operations, changes in
partners' capital, and cash flows for the year then ended. The financial
statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance auditing standards. Those standards
require that I plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statements presentation. I believe that my
audits provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Bixel House at December 31,
1996, and the results of its operations and cash flows for the years then ended,
in conformity with generally accepted accounting principles.
/s/Suarez Accountancy Corporation
Certified Public Accountant
San Pedro, California
February 14, 1997
<PAGE>
[Letterhead]
SUAREZ ACCOUNTANCY CORPORATION
150 W. Seventh Street Suite 100
San Pedro, CA 900731 Richard Suarez
Telephone (310) 832-7887
Fax (310) 832-6563
Independent Auditor's Report
To The Partners of
Bixel House
Los Angeles, California
I have audited the accompanying balance sheet of Bixel House as of
December 31, 1995, and the related statements of operations, changes in
partners, capital, and cash flows for the years then ended. The financial
statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance auditing standards. Those standards
require that I plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statements presentation. I believe that my
audits, provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Bixel House as of December
31, 1995, and the results of its operations and its cash flows for the years
then ended in conformity with generally accepted accounting principles.
/s/Suarez Accountancy Corporation
Certified Public Accountant
San Pedro, California
February 9, 1996
<PAGE>
[Letterhead]
SUAREZ ACCOUNTANCY CORPORATION
150 W. Seventh Street Suite 100
San Pedro, CA 900731 Richard Suarez
Telephone (310) 832-7887
Fax (310) 832-6563
Independent Auditor's Report
To The Partners of
Bixel House
Los Angeles, California
I have audited the accompanying balance sheet of Bixel House as of
December 31, 1994, and the related statements of operations, changes in
partners, capital, and cash flows for the years then ended. The financial
statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance auditing standards. Those standards
require that I plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statements presentation. I believe that my
audits, provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Bixel House as of December
31, 1994, and the results of its operations and its cash flows for the years
then ended in conformity with generally accepted accounting principles.
/s/Suarez Accountancy Corporation
Certified Public Accountant
San Pedro, California
February 3, 1995
<PAGE>
[Letterhead]
SUAREZ ACCOUNTANCY CORPORATION
150 W. Seventh Street Suite 100
San Pedro, CA 900731 Richard Suarez
Telephone (310) 832-7887
Fax (310) 832-6563
Independent Auditor's Report
To The Partners of
Harmony Apartments
Los Angeles, California
I have audited the accompanying balance sheet of Harmony Apartments as of
December 31, 1996, and the related statements of operations, changes in
partners' capital, and cash flows for the year ended December 31, 1996. The
financial statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance auditing standards. Those standards
require that I plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statements presentation. I believe that my
audits provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Harmony Apartments at
December 31, 1996, and the results of its operations and cash flows for the year
ended December 31, 1996 in conformity with generally accepted accounting
principles.
/s/Suarez Accountancy Corporation
Certified Public Accountant
San Pedro, California
February 14, 1997
<PAGE>
[Letterhead]
SUAREZ ACCOUNTANCY CORPORATION
150 W. Seventh Street Suite 100
San Pedro, CA 900731 Richard Suarez
Telephone (310) 832-7887
Fax (310) 832-6563
Independent Auditor's Report
To The Partners of
Harmony Apartments
Los Angeles, California
I have audited the accompanying balance sheet of Harmony Apartments as of
December 31, 1995, and the related statements of operations, changes in
partners, capital, and cash flows for the year ended December 31, 1995. The
financial statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance auditing standards. Those standards
require that I plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statements presentation. I believe that my
audits, provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Harmony Apartments as of
December 31, 1995, and the results of its operations and its cash flows for the
year ended December 31, 1995 in conformity with generally accepted accounting
principles.
/s/Suarez Accountancy Corporation
Certified Public Accountant
San Pedro, California
February 13, 1996
<PAGE>
[Letterhead]
SUAREZ ACCOUNTANCY CORPORATION
150 W. Seventh Street Suite 100
San Pedro, CA 900731 Richard Suarez
Telephone (310) 832-7887
Fax (310) 832-6563
Independent Auditor's Report
To The Partners of
Harmony Apartments
Los Angeles, California
I have audited the accompanying balance sheet of Harmony Apartments as of
December 31, 1994, and the related statements of operations, changes in
partners, capital, and cash flows for the year ended December 31, 1994. The
financial statements are the responsibility of the Partnership's management. My
responsibility is to express an opinion on these financial statements based on
my audit.
I conducted my audit in accordance auditing standards. Those standards
require that I plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statements presentation. I believe that my
audits, provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of Harmony Apartments as of
December 31, 1994, and the results of its operations and its cash flows for the
year ended December 31, 1994 in conformity with generally accepted accounting
principles.
/s/Suarez Accountancy Corporation
Certified Public Accountant
San Pedro, California
February 13, 1995
<PAGE>
[Letterhead]
[LOGO]
Halbert, Katz & Co., P.C.
INDEPENDENT AUDITORS' REPORT
To the Partners
Schumaker Place Associates, L.P.
Wilmington, Delaware
We have audited the accompanying balance sheets of Schumaker Place Associates,
L.P., as of December 31, 1996 and December 31, 1995, and the related statements
of loss, partners' capital (capital deficiency) and cash flows for the years
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Schumaker Place Associates,
L.P., as of December 31, 1996 and December 31, 1995, and the results of its
operations, changes in partners' capital (capital deficiency) and its cash flows
for the years then ended, in conformity with generally accepted accounting
principles.
Our audit were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supporting information included in
the report (shown on page 11) is presented for the purpose of additional
analysis and is not a required part of the basic financial statements of
Schumaker Place Associates, L.P. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
/s/Halbert Katz &Co
January 30, 1997
<PAGE>
[Letterhead]
[LOGO]
Halbert, Katz & Co., P.C.
INDEPENDENT AUDITORS REPORT
To the Partners
Schumaker Place Associates, L.P.
Wilmington, Delaware
We have audited the accompanying balance sheets of Schumaker Place Associates,
L.P. as of December 31, 1995 and December 31, 1994 and the related statements of
loss, partners' capital (capital deficiency) and cash flows for the years then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audits in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Schumaker Place Associates,
L.P. as of December 31, 1995 and December 31, 1994 and the results of its
operations, changes in partners' capital (capital deficiency) and its cash flows
for the year then ended, in conformity with generally accepted accounting
principles.
In accordance with Government Auditing Standards we have also issued a report
dated January 30, 1996 on our consideration of Schumaker Place Associates, L.P.
`s, internal control structure.
Our audit were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supporting information included in
the report (shown on page 13) is presented for the purpose of additional
analysis and is not a required part of the basic financial statements of
Schumaker Place Associates, L.P.. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
/s/Halbert Katz &Co
January 30, 1996
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Circle Terrace Associates
Limited Partnership
We have audited the accompanying balance sheet of Circle Terrace Associates
Limited Partnership as of December 31, 1996, and the related statements of
profit and loss (on HUD Form No. 92410), partners' equity and cash flows for the
year then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Circle TerraceAssociates
Limited Partnership as of December 31, 1996, and the results of its operations,
the changes in partners' equity and cash flows for the year then ended, in
conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 26 trough 40
is presented for purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
<PAGE>
In accordance with Government Auditing Standards and the "Consolidated
Audit Guide for Audits of HUD Programs", we have also issued reports
dated January 18, 1997, on our consideration of Circle Terrace Associates
Limited Partnership's internal control structure and on its compliance with
specific requirements applicable to Major HUD and CDA programs, affirmative fair
housing, and laws and regulations applicable to the financial statements.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer
January 14, 1997 Identification Number:
52-1088612
Audit Principal: Lester A. Kanis
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Circle Terrace Associates
Limited Partnership
We have audited the accompanying balance sheet of Circle Terrace Associates
Limited Partnership as of December 31, 1995 and the related statements of profit
and loss (on HUD Form No. 92410), partners' equity and cash flows for the year
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Circle TerraceAssociates
Limited Partnership as of December 31, 1995 and the results of its operations,
the changes in partners' equity and its cash flow for the year then ended in
conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 26 trough 32
is presented for purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements, and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
<PAGE>
In accordance with Government Auditing Standards and the "Consolidated
Audit Guide for Audits of HUD Programs", we have also issued reports
dated January 29, 1996, on our consideration of Timothy House Limited
Partnership's internal control structure and on its compliance with specific
requirements applicable to CDA programs, affirmative fair housing, and laws and
regulations applicable to the financial statements.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer
January 29, 1996 Identification Number:
52-1088612
Audit Principal: Lester A. Kanis
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Circle Terrace Associates
Limited Partnership
We have audited the accompanying balance sheet of Circle Terrace Associates
Limited Partnership as of December 31, 1994 and the related statements of profit
and loss (on HUD Form No. 92410), partners' equity and cash flows for the year
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Circle TerraceAssociates
Limited Partnership as of December 31, 1994 and the results of its operations,
changes in partners' equity and its cash flow for the year then ended in
conformity with generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 25 trough 30
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
/s/Reznick Fedder & Silverman
Baltimore, Maryland Federal Employer
January 25, 1995 Identification Number:
52-1088612
Audit Principal: Lester A. Kanis
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Water Oaks Apartments, Ltd.
We have audited the accompanying balance sheet of Water Oaks Apartments,
Ltd.,RECD Project No. 09-64-581801555 as of December 31, 1995 and the related
statements of operations, partners' deficit and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit. The financial statements of Water Oaks Apartments
, Ltd. for the year ended December 31, 1994 were audited by other auditors whose
report dated February 1, 1996, expressed an unqualified opinion on those
statements.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Water Oaks Apartments, Ltd.,
RECD Project No. 09-64-581801555 as of December 31, 1995 and the results of its
operations, changes in partners' deficit and its cash flow for the year then
ended in conformity with generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 16 trough 18
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
In accordance with Government Auditing Standards we have also issued reports
dated February 1, 1996, on our consideration of Ocean View Apartments L.P.'s
internal control structure and a report dated February 1, 1996 on its compliance
with laws and regulations.
/s/Reznick Fedder & Silverman
Atalnta, Georgia
February 1, 1996
<PAGE>
[Letterhead]
[LOGO]
Habif, Arogeti & Wynne, P.C.
INDEPENDENT AUDITORS REPORT
To the Partners
Water Oaks Apartments, L.P.
We have audited the accompanying balance sheet of Water Oaks Apartments, L.P. [a
Limited Partnership] Project No. 09-64-581801555, as of December 31, 1994 and
1993, and the related statements of operations, partners' equity and cash flows
for the years then ended. These financial statements are the responsibility of
the Partnership's management. Our responsibility is to express an opinion on
these financial statements based on our audits.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Water Oaks Apartments, L.P. as
of December 31, 1994 and 1993 and the results of its operations, changes in
partners' equity and its cash flow for the years then ended in conformity with
generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supporting information in this report is
presented for the purpose of additional analysis and is not a required part of
the basic financial statements. Such information except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the financial statements, and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
/s/Habif, Arogeti & Wynne
Atlanta, Georgia
February 1, 1995
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Archer Village, Ltd.
We have audited the accompanying balance sheets of Archer Village, Ltd., RHS
Project No.: 09-001-267869575 as of December 31, 1996 and 1995, and the related
statements of operations, partners' equity and cash flows for the years then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audits to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Archer Village, Ltd., RHS
Project No.: 09-001-267869575 as of December 31, 1996 and 1995, and the results
of its operations, changes in partners' equity and its cash flows for the years
then ended, in conformity with generally accepted accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental information on pages 16
through 18 is presented for the purposes of additional analysis and is not a
required part of the basic financial statements. Such information has been
subjected to the auditing procedures applied in the audits of the basic
financial statements and, in our opinion, is fairly stated in all material
respects in relation to the basic financial statements taken as a whole.
In accordance with Government Auditing Standards we have also issued reports
dated January 24, 1997, on our consideration of Archer Village, Ltd.'s internal
control structure and on its compliance with laws and regulations.
/s/Reznick Fedder & Silverman
Atlanta, Georgia
January 24, 1997
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Archer Village, Ltd.
We have audited the accompanying balance sheet of Archer Village, Ltd.,RECD
Project No. 09-001-267869575 as of December 31, 1995 and the related statements
of operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit. The financial statements of Archer Village, Ltd. for the year ended
December 31, 1994 were audited by other auditors whose report, dated February 1,
1995, expressed an unqualified opinion on those statements.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Archer Village, Ltd., RECD
Project No. 09-001-267869575 as of December 31, 1995 and the results of its
operations, changes in partners' equity and its cash flow for the year then
ended in conformity with generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 16 trough 18
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
In accordance with Government Auditing Standards we have also issued reports
dated February 1, 1996, on our consideration of Ocean View Apartments L.P.'s
internal control structure and a report dated February 1, 1996 on its compliance
with laws and regulations.
/s/Reznick Fedder & Silverman
Atalnta, Georgia
February 1, 1996
<PAGE>
[Letterhead]
[LOGO]
Habif, Arogeti & Wynne, P.C.
INDEPENDENT AUDITORS REPORT
To the Partners
Archer Village, Ltd..
We have audited the accompanying balance sheet of Archer Village Ltd.[a Limited
Partnership] Project No. 09-001-0267869575 as of December 31, 1994 and 1993, and
the related statements of operations, partners' equity and cash flows for the
years then ended.
These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audits.
Except as discussed in the following paragraph, we conducted our audits in
accordance with generally accepted auditing standards and Government Auditing
Standards, issued by the Comptroller General of the United States. Those
standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatements. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statements presentation.
We believe that our audits provide a reasonable basis for our opinion.
We did not obtain sufficient documentation of the operating property and
accumulated depreciation for the period prior to January 1, 1991. Therefore we
were unable to form an opinion regarding the amounts at which the operating
property and accumulated depreciation are recorded in the accompanying balance
sheet at December 31, 1994 and 1993 (stated at $935,234 and $934,505 and
$146,848 and $116,529, respectively), or the amount of depreciation expense for
the years ended (stated at $30,319 and $30,232, respectively).
In our opinion, except for the effects of such adjustments, if any, as might
have been determined to be necessary had we obtained sufficient documentation of
the operating property and accumulated depreciation for the period prior to
January 1, 1991, the financial statements referred to in the first paragraph
fairly, in all material respects, the financial positions of Archer Village
Ltd.. as of December 31, 1994 and 1993 and the results of its operations and its
cash flow for the years then ended in conformity with generally accepted
accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supporting information in this report is
presented for the purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements, and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
/s/Habif, Arogeti & Wynne
Atlanta, Georgia
February 1, 1995
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Ocean View Apartments, L.P.
We have audited the accompanying balance sheets of Ocean View Apartments,
L.P.,RHS Project No.: 09-45-581801553, as of December 31, 1996 and 1995, and the
related statements of operations, partners' equity and cash flows for the years
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing standards
and Government Auditing Standards issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audits to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Ocean View Apartments, L.P.,
RHS Project No.: 09-45-581801553, as of December 31, 1996 and 1995, and the
results of its operations, changes in partners' equity and its cash flows for
the years then ended, in conformity with generally accepted accounting
principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental information on pages 16
through 19 is presented for the purposes of additional analysis and is not a
required part of the basic financial statements. Such information has been
subjected to the auditing procedures applied in the audit of the basic financial
statements and, in our opinion, is fairly stated in all material respects in
relation to the basic financial statements taken as a whole.
In accordance with Government Auditing Standards we have also issued reports
dated January 24, 1997 on our consideration of Ocean View Apartments, L.P.'s
internal control structure and on its compliance with laws and regulations.
/s/Reznick Fedder & Silverman
Atlanta, Georgia
January 24, 1997
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS REPORT
To the Partners
Ocean View Apartments, L.P.
We have audited the accompanying balance sheet of Ocean View Apartments,
L.P..,RECD Project No. 09-45-581801553 as of December 31, 1995 and the related
statements of operations, partners' deficit and cash flows for the year then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audit. The financial statements of Ocean View Apartments
, L.P.. for the year ended December 31, 1994 were audited by other auditors
whose report dated February 1, 1995, expressed an unqualified opinion on those
statements.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Ocean View Apartments, L.P.,
RECD Project No. 09-45-581801553 as of December 31, 1995 and the results of its
operations, changes in partners' deficit and its cash flow for the year then
ended in conformity with generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 16 trough 18
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
In accordance with Government Auditing Standards we have also issued reports
dated February 1, 1996, on our consideration of Ocean View Apartments L.P.'s
internal control structure and a report dated February 1, 1996 on its compliance
with laws and regulations.
/s/Reznick Fedder & Silverman
Atalnta, Georgia
February 1, 1996
<PAGE>
[Letterhead]
[LOGO]
Habif, Arogeti & Wynne, P.C.
INDEPENDENT AUDITORS REPORT
To the Partners
Ocean View Apartments, L.P.
We have audited the accompanying balance sheet of Ocean View Apartments, L.P. [a
Limited Partnership] Project No. 09-045-0581801553 as of December 31, 1994 and
1993, and the related statements of operations, partners' equity and cash flows
for the years then ended. These financial statements are the responsibility of
the Partnership's management. Our responsibility is to express an opinion on
these financial statements based on our audits.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Ocean View Apartments, L.P. as
of December 31, 1994 and 1993 and the results of its operations, changes in
partners' equity and its cash flow for the years then ended in conformity with
generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supporting information in this report is
presented for the purposes of additional analysis and is not a required part of
the basic financial statements. Such information, except for that portion marked
"unaudited," on which we express no opinion, has been subjected to the auditing
procedures applied in the audit of the basic financial statements, and, in our
opinion, is fairly stated in all material respects in relation to the basic
financial statements taken as a whole.
/s/Habif, Arogeti & Wynne
Atlanta, Georgia
February 1, 1995
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Yester Oaks, L.P.
We have audited the accompanying balance sheets of Yester Oaks, L.P.,RHS Project
No.: 11-046-0581814319, as of December 31, 1996 and 1995, and the related
statements of operations, partners' equity and cash flows for the years then
ended. These financial statements are the responsibility of the Partnership's
management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with generally accepted auditing standards
and Government Auditing Standards issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audits to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Yester Oaks, L.P., RECD Project
No.: 11-046-0581814319 as of December 31, 1996 and 1995, and the results of its
operations, changes in partners' equity and its cash flows for the years then
ended in conformity with generally accepted accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental information on pages 15
through 16 is presented for the purposes of additional analysis and is not a
required part of the basic financial statements. Such information has been
subjected to the auditing procedures applied in the audits of the basic
financial statements and, in our opinion, is fairly stated in all material
respects in relation to the basic financial statements taken as a whole.
In accordance with Government Auditing Standards, we have also issued reports
dated January 24, 1997, on our consideration of Ocean View Apartments L.P.'s
internal control structure and on its compliance with laws and regulations.
/s/Reznick Fedder & Silverman
Atlanta, Georgia
January 24, 1997
<PAGE>
[Letterhead]
[LOGO]
Reznick Fedder & Silverman
INDEPENDENT AUDITORS' REPORT
To the Partners
Yester Oaks, L.P.
We have audited the accompanying balance sheets of Yester Oaks, L.P..,RHS
Project No.: 11-046-0581814319, as of December 31, 1995 and 1994, and the
related statements of operations, partners' equity and cash flows for the years
then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit. The financial statements of Yester Oaks
, L.P.. for the year ended December 31, 1994 were audited by other auditors
whose report dated February 1, 1995, expressed an unqualified opinion on those
statements.
We conducted our audit in accordance with generally accepted auditing standards
and Government Auditing Standards, issued by the Comptroller General of the
United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial positions of Yester Oaks, L.P.., RECD
Project No. 11046-0581814319 as of December 31, 1995, and the results of its
operations, changes in partners' equity and its cash flow for the year then
ended in conformity with generally accepted accounting principles.
<PAGE>
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental information on pages 16 trough 18
is presented for the purposes of additional analysis and is not a required part
of the basic financial statements. Such information, except for that portion
marked "unaudited," on which we express no opinion, has been subjected to the
auditing procedures applied in the audit of the basic financial statements, and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
In accordance with Government Auditing Standards we have also issued reports
dated February 1, 1996, on our consideration of Ocean View Apartments L.P.'s
internal control structure and a report dated February 1, 1996 on its compliance
with laws and regulations.
/s/Reznick Fedder & Silverman
Atalnta, Georgia
February 1, 1996
<PAGE>
<PAGE>
[letterhead]
Haran & Associates Ltd.
INDEPENDENT AUDITOR'S REPORT
To the Partners
HISTORIC NEW CENTER APARTMENTS LIMITED PARTNERSHIP
Detroit, Michigan
We have audited the accompanying balance sheet of HISTORIC NEW CENTER APARTMENTS
LIMITED PARTNERSHIP as of December 31, 1996, and the related statements of
profit and loss, changes in partners' equity and statement of cash flows for the
year then ended. These financial statements are the responsibility of the
Partnership's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion the financial statements referred to above present fairly, in all
material respects, the financial position of HISTORIC NEW CENTER APARTMENTS
LIMITED PARTNERSHIP as of December 31, 1996, and the results of its operations
and its cash flows for the year then ended in conformity with generally accepted
accounting principles.
/s/Haran & Associates Ltd.
Certified Public Accountants
Wilmette, Illnois
Illnois Certificate No. 060-3097692
January 29, 1997
<PAGE>
[letterhead]
Haran & Associates Ltd.
INDEPENDENT AUDITORS REPORT
To the Partners
Historic New Center Apartments Limited Partnership
Detroit, Michigan
We have audited the accompanying statement of assets, liabilities and partners'
equity -income tax basis of Historic New Center Apartments Limited Partnership
(a limited partnership) as of December 31, 1995, and the related statements of
profit and loss- income tax basis, changes in partners' equity -income tax basis
and statement of cash flows- income tax basis for the year then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
As described in the notes to the financial statements, the Partnership's policy
is to prepare its financial statements on the basis of accounting used for
income tax purposes and are not intended to be presented in conformity with
generally acepted accounting principles.
In our opinion, the financial statements referred to above present fairly in all
material respects, the assets, liabilities and partners' equity of Historic New
Center Apartments Limited Partnership as of December 31, 1994, and its
statements of income (loss), changes in partners' equity and its cash flows for
the year then ended, on the basis of accounting described in the notes to the
financial statements.
/s/Haran & Associates Ltd.
January 20, 1995
<PAGE>
[letterhead]
Haran & Associates Ltd.
INDEPENDENT AUDITORS REPORT
To the Partners
Historic New Center Apartments Limited Partnership
Detroit, Michigan
We have audited the accompanying statement of assets, liabilities and partners'
equity -income tax basis of Historic New Center Apartments Limited Partnership
(a limited partnership) as of December 31, 1994, and the related statements of
income (loss)- income tax basis, changes in partners' equity -income tax basis
and statement of cash flows- income tax basis for the year then ended. These
financial statements are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
As described in the notes to the financial statements, the Partnership's policy
is to prepare its financial statements on the basis of accounting used for
income tax purposes and are not intended to be presented in conformity with
generally acepted accounting principles.
In our opinion, the financial statements referred to above present fairly in all
material respects, the assets, liabilities and partners' equity of Historic New
Center Apartments Limited Partnership as of December 31, 1994, and its
statements of income (loss), changes in partners' equity and its cash flows for
the year then ended, on the basis of accounting described in the notes to the
financial statements.
/s/Haran & Associates Ltd.
January 20, 1995
<PAGE>
Annual Report on Form 10-K
For The Year Ended March 31, 1997
Audited Financial Statements of
Local Limited Partnerships
STRATHERN PARK
DECEMBER 31, 1996
<PAGE>
INDEPENDENT AUDITORS' REPORT
The Partners
Strathern Park
Los Angeles, California
We have audited the accompanying balance sheet of Strathern Park (a California
limited partnership), as of December 31, 1996 and the related statements of
operations, partners' equity and cash flows for the year then ended. These
financial statements are the responsibility of the partnership's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Strathern Park as of December
31, 1996, and the results of its operations and its cash flows for the year then
ended in conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the basic financial
statements taken as a whole. The additional information on Schedules I, II and
III is presented for the purposes of additional analysis and is not a required
part of the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audit of the basic financial statements
and, in our opinion, is fairly stated in all material respects in relation to
the basic financial statements taken as a whole.
/s/Nanas, Sterns, Biers, Neinstein and Co. LLP
NANAS, STERN, BIERS, NEINSTEIN AND CO. LLP
January 14, 1997
<PAGE>
STRATHERN PARK
BALANCE SHEET
DECEMBER 31, 1996
<TABLE>
<CAPTION>
ASSETS
<S> <C> <C>
Cash (Note 5) $215,615
Receivables 38,582
Reserve for replacements (Note 5) 96,652
Tenant security deposits (Note 5) 122,015
Rental property - at cost (Note 2)
Land 5,889,320
Buildings 19,042,548
Equipment and furnishings 944,597
--------------
25,876,465
Less: accumulated depreciation (4,438,048)
--------------
21,438,417
Other assets
Syndication fee (Net of accumulated
amortization
of $94,252) 624,415
--------------
TOTAL ASSETS $22,535,696
==============
LIABILITIES
Accounts payable and accrued expenses $85,799
Security deposits 107,497
Accrued interest payable (Note 2) 3,316,184
Long term debt (Notes 2 and 5) 17,552,451
--------------
TOTAL LIABILITIES 21,061,931
DEFERRED INCOME 20,238
PARTNERS' EQUITY (NOTE 3) 1,453,527
--------------
TOTAL LIABILITIES AND PARTNERS' EQUITY $22,535,696
==============
</TABLE>
See accompanying auditors' report. The notes are an integral part of these
financial statements.
<PAGE>
STRATHERN PARK
STATEMENT OF PARTNERS' EQUITY
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
Profit Balance Net Distri- Balance
and Loss January Loss butions December
Percentage 1, 1996 for the year Paid 31, 1996
------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
GENERAL PARTNER
Safran Associates Investment
Partnership II, A California
Limited Partnership 1% $(44,808) $(12,443) $(788) $(58,039)
CLASS A LIMITED PARTNER
Safran Associates Investment
Partnership II, A California
Limited Partnership 4% (181,046) (49,771) (3,140) (233,957)
INVESTOR LIMITED PARTNER
Boston Financial Qualified
Housing Tax Credits L.P.V., A
Massachusetts Limited
Partnership 95% 3,002,218 (1,182,070) (74,625) 1,745,523
SPECIAL LIMITED PARTNER
S L P 90, Inc. --- --- --- --- ---
------------------------------------------------------------
$2,776,364 $(1,244,284) $(78,553) $1,453,527
============================================================
</TABLE>
See accompanying auditors' report. The notes are an integral part of these
financial statements.
<PAGE>
STRATHERN PARK
STATEMENT OF OPERATIONS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
<S> <C> <C>
INCOME
Gross possible rents $1,524,672
(Vacancies) (7,097)
Interest 11,370
Miscellaneous 34,321
---------------
TOTAL INCOME $1,563,266
EXPENSES (Note 4)
Administrative expense 128,724
Management fees 118,048
Utilities 114,579
Operating and maintenance expense 227,504
Taxes and insurance 167,311
Interest expense - Mortgage note payable 569,657
Interest expense - Notes payable 684,796
Depreciation and amortization 796,931
---------------
2,807,550
---------------
NET LOSS $(1,244,284)
===============
</TABLE>
See accompanying auditors' report. The notes are an integral part of financial
statements.
<PAGE>
STRATHERN PARK
STATEMENT OF CASH FLOWS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net Loss $(1,244,284)
Adjustments to reconcile net loss to net cash
provided by operating activities:
Depreciation and amortization $796,931
Increases in -
Miscellaneous receivables (4,079)
Rent receivable (28,375)
Accrued interest payable 684,796
Accounts payable and accrued expenses 4,781
Deferred income 20,238
Decreases in -
Tenant security deposits 3,445
Security deposits (5,643)
Total Adjustments 1,472,094
-----------------
Net Cash Provided by Operating Activities 227,810
CASH FLOWS FROM INVESTING ACTIVITIES
Increase in reserve for replacements (24,336)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on mortgage (52,868)
Interest payments on notes payable from residual receipts (52,368)
Distributions paid (78,553)
------------
Net Cash Used in Financing Activities (183,789)
-----------------
Net Increase in Cash and Cash Equivalents 19,685
Cash and cash equivalents at Janaury 1, 1996 195,930
-----------------
Cash and cash equivalents at December 31, 1996 $215,615
=================
SUPPLEMENTAL DISCLOSURE OF CASH FROM INFORMATION:
Cash paid during the year for interest $622,453
============
Cash paid during the year for taxes $800
============
</TABLE>
See accompanying auditors' report. The notes are an integral part of these
financial statements.
<PAGE>
STRATHERN PARK
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 1996
Note 1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICES Organization
Strathern Park (the partnership) was organized pursuant to a limited partnership
agreement dated March 28, 1989 as amended. Effective June 1, 1990, the
partnership agreement was amended with the admission of a new limited partner
who purchased a 95% limited partnership interest for a total capital
contribution of $5,963,067. On January 1, 1994 Lorne Park was merged into
Strathern Park. The combined partnerships constructed a 241 unit apartment
project (Lorne Park 72 unites, Strathern Park 169 units) located in Sun Valley,
California for tenants whose income is very low to moderate. The project is
regulated under the terms of certain of its loan agreements. Such agreements
contain certain restrictions concerning rental charges, the number of units
rented to tenants in the very low, low and moderate income levels and other
matters.
Use of Estimates in the Preparation of Financial Statements The preparation of
financial statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosures of contingent assets and
liabilities at the date of the financial statements and the reported amounts of
revenues and expenses during the reporting period. Actual results could differ
from those estimates.
Significant Accounting Policies -
Method of Accounting - The partnership books are maintained and its financial
statements and tax returns are prepared on the accrual basis.
Cash Equivalents - For purposes of the statement of cash flows, the partnership
considers all highly liquid debt instruments purchased with a maturity date of
three months or less to be cash equivalents.
Rental Property - The partnership records property, equipment and improvements
at the cost of acquisition or construction. The cost of maintenance and repairs
is charged to operations as incurred; significant renewals and betterments are
capitalized. Depreciation is computed using the straight line method for
financial statement purposes and accelerated methods for tax purposes. Estimated
useful lives for financial statement purposes are as follows:
<TABLE>
<CAPTION>
<S> <C>
Classification Life
- ---------------
Buildings 27.5 Years
Equipment and furnishings 7 Years
</TABLE>
Amortization - amortization of syndication costs is computed using the
straight line method over a period of 40 years.
Note 1 ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICES (Cont.)
Income Taxes - The project receives low-income tax credits provided under
Section 42 of the Internal Revenue Code. Also, no provision for income taxes has
been included since the income or loss of the partnership as well as the tax
credits are required to be reported by the respective partners on their separate
income tax returns.
Note 2 LONG TERM DEBT
<TABLE>
<CAPTION>
<S> <C>
Mortgage note payable, secured by First Deed of Trust, requiring monthly
payments of $51,913, including interest at 9.41% per annum, maturing February,
2022. $5,928,171
Note payable secured by Second Deed of Trust, payable to the Community
Redevelopment Agency of the City of Los Angeles with interest at 7% per annum.
Interest accrues from the date of issuance of the first certificate of occupancy
which is December 26, 1991. Unpaid principal together with all accrued and
unpaid interest are due and payable in full upon the maturity of the primary
permanent loan, but not later than 40 years from date of issuance. Principal and
interest payments may be made in annual installments from the residual receipts
of the project, as the term residual receipts is defined in the loan agreement.
The note was funded by a Housing Development Grant from the United States
Department of Housing and Urban Development. The terms of the Grant agreement
impose certain restrictions on the use of the Grant proceeds and operating
policies of the partnership. Accrued interest on this note at
December 31, 1996 amounted to $1,774,998. 5,179,105
Note payable secured by Third Deed of Trust, payable to the Community
Redevelopment Agency of the City of Los Angeles, with interest at 5% per annum.
Interest accrues from the date of issuance of the first certificate of occupancy
which is December 26, 1991. Unpaid principal together with all accrued and
unpaid interest are due and payable in full upon the maturity of the primary
permanent loan, but not later than 40 years from date of issuance. Principal and
interest payments may be made in annual installments from the residual receipts
of the project, as the term residual receipts is defined in the loan agreement.
Accrued interest on
this note at December 31, 1996 amounted to $1,556,241. 6,445,175
-----------------
$17,552,451
=================
</TABLE>
Note 2 LONG TERM DEBT (Contd.)
Maturities of long term debt as of December 31, 1996 for the succeeding five
years are as follows:
<TABLE>
<CAPTION>
Years ended December 31,
<S> <C>
1997 $59,816
1998 65,779
1999 72,337
2000 77,942
2001 87,318
Thereafter 17,189,259
-----------------
$17,552,451
=================
</TABLE>
Note 3 DISTRIBUTION TO PARTNERS
Pursuant to the terms of the partnership agreement, as amended, and the loan
agreement with the Community Redevelopment Agency of the City of Los Angeles,
distributions are payable only from residual receipts, as defined in the
agreements.
Distributions are apportioned as follows:
1) 40% to the Community Redevelopment Agency of the City of
Los Angeles (CRA)
2) The remaining 60% is allocated as follows:
a) The Investor Limited Partner (Boston) is to receive any cumulative
return ($60,000 annually) in arrears;
b) The next $63,158 is distributed 95% to Boston, 4% to the Class A
Limited Partner (SAIP II) and 1% to the General Partner (SAIP II);
c) Any additional cash is used to repay any partner advances to the
partnership;
d) The next $63,158 is distributed 5% to Boston, 94% to SAIP II
(Limited Partner) and 1% to SAIP II (General Partner);
e) Thereafter, cash is distributed 50% to Boston, 49% to SAIP II
(Limited Partner) and 1% to SAIP II (General Partner).
Note 4 RELATED PARTY TRANSACTIONS
There were no direct compensation payments to the partners during the year.
However, there were related party transactions which occurred which are set
forth below:
<TABLE>
<CAPTION>
(Income) Receivable
Expense (Payable)
Account for the At December
Name Description No. Year 31, 1996
- ---------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Thomas Safran and
Associates, Inc. Management fee 6320 118,048 (73)
===========================
</TABLE>
In addition, the project reimbursed the management company for allocated common
costs such as office supplies and health insurance. The aggregate total of such
reimbursements
was $17,341 for the year.
The general partner has a direct ownership interest in the management company
listed above.
Note 5 DISCLOSURES ABOUT FAIR VALUE OF FINANCIAL INSTRUMENTS
Cash and Short Term Investments -
The carrying amount approximates fair value because of the short maturity of
those investments.
Long Term Debt (First Deed of Trust) -
The project does not have the right to prepay this debt during the first ten
years of the term of this note. Accordingly, the carrying amount approximates
its fair value.
Long Term Debt (Second & Third Deed of Trust) -
The carrying amount approximates fair value because there is no ready market for
such debt, repayment/refinancing is severely restricted by the CRA and HUD.
<TABLE>
<CAPTION>
December 31, 1996
-----------------------------------
Carrying Fair
Amount Value
<S> <C> <C>
Cash and Short Term Investments $434,282 $434,282
Long Term Debt (First Deed of Trust) (5,928,171) (5,928,171)
Long Term Debt (Second & Third Deed of Trust) (11,624,280) (11,624,280)
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE I
BOSTON FINANCIAL QUALIFIED HOUSING Page 1 of 2
BALANCE SHEET FORMAT
DECEMBER 31, 1996
<TABLE>
<CAPTION>
ASSETS
CURRENT ASSETS
<S> <C> <C>
Petty cash 500
Cash in bank 215,115
Rent receivables 35,940
Miscellaneous receivables 2,642
Tenant security deposits 122,015
----------------
Total Current Assets 376,212
RESERVES AND DEPOSITS
Reserve for replacements 96,652
FIXED ASSETS
Land 5,889,320
Buildings 19,042,548
Equipment and furnishings 944,597
----------------
25,876,465
Less: accumulated depreciation (4,438,048)
----------------
Total Fixed Assets 21,438,417
OTHER ASSETS
Syndication fee (Net of accumulated amortization
of $94,252) 624,415
----------------
TOTAL ASSETS 22,535,696
================
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE I
BOSTON FINANCIAL QUALIFIED HOUSING Page 2 of 2
BALANCE SHEET FORMAT
DECEMBER 31, 1996
<TABLE>
<CAPTION>
LIABILITIES AND PARTNERS' EQUITY
CURRENT LIABILITIES
<S> <C> <C>
Accounts payable 37,750
Accrued interest payable - 1st mortgage 48,049
Tenant security deposit liability 107,497
----------------
Total Current Liabilities 193,296
MORTGAGE NOTE PAYABLE CURRENT PORTION
1st mortgage note payable current portion 59,816
LONG TERM LIABILITIES
Accrued interest payable - notes
2nd mortgage note payable 1,818,646
3rd mortgage note payable 1,497,538
Mortgage notes payable
1st mortgage note payable 5,868,355
2nd mortgage note payable 5,179,105
3rd mortgage note payable 6,445,175
Deferred income 20,238
----------------
Total Long Term Liabilities 20,829,057
OWNERS' EQUITY
Limited partners' equity 1,511,566
General partners' equity (58,039)
----------------
Total Owners' Equity 1,453,527
----------------
TOTAL LIABILITIES AND PARTNERS' EQUITY 22,535,696
================
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE II
BOSTON FINANCIAL QUALIFIED HOUSING - Page 1 of 4
STATEMENT OF OPERATIONS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
REVENUE
<S> <C> <C>
Rent revenue
Apartments 1,465,438
Tenant assistance payments 46,529
Furniture and equipment ---
Stores and commercial 12,705
Garage and parking spaces ---
Flexible subsidy income ---
Miscellaneous ---
-------------
Total rent revenue 1,524,672
Vacancies
Apartments (7,097)
Stores and commercial ---
Garage and parking spaces ---
Miscellaneous ---
-------------
Total Vacancies (7,097)
---------------
Net Rental Revenue 1,517,575
Financial Revenue
Interest Income - operations 2,973
Interest Income - residual receipts ---
Interest income - reserve for replacements 3,835
Interest income - miscellaneous 4,562
-------------
Total Financial Revenue 11,370
Other Revenue
Laundry and vending 21,534
NSF and late charges 2,848
Damages and cleaning fees 2,168
Forfeited tenant security deposits 2,486
Other revenue 5,285
Non-cash revenue ---
-------------
Total Other Revenue 34,321
---------------
NET REVENUE 1,563,266
===============
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE II
BOSTON FINANCIAL QUALIFIED HOUSING - Page 2 of 4
STATEMENT OF OPERATIONS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
EXPENSES
<S> <C> <C>
Administrative Expenses
Advertising 469
Other renting expense ---
Office salaries 6,815
Office supplies 48,699
Management fee 118,048
Manager or superintendent salary 47,125
Manager's rent free unit ---
Legal expenses (project) 3,183
Auditing expenses (project) 9,500
Bookkeeping fees/accounting services ---
Telephone and answering services 6,159
Bad debts 6,774
Miscellaneous administrative expenses ---
-------------
Total Administrative Expenses 246,772
Utilities Expenses
Fuel oil/coal ---
Electricity 37,754
Water 43,777
Gas 5,686
Sewer 27,362
-------------
Total Utilities Expenses 114,579
Operating & Maintenance
Janitor and cleaning payroll ---
Janitor and cleaning supplies 8,164
Janitor and cleaning contract ---
Exterminating payroll/contract 1,484
Exterminating supplies ---
Garbage and trash removal 12,035
Security payroll/contract 4,295
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE II
BOSTON FINANCIAL QUALIFIED HOUSING - Page 3 of 4
STATEMENT OF OPERATIONS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
EXPENSES (Cont.)
<S> <C> <C>
Operating & Maintenance (Cont.)
Grounds payroll ---
Grounds supplies 3,481
Grounds contract 27,060
Repairs payroll 59,020
Repairs material 23,635
Repairs contract 73,340
Elevator maintenance/contract ---
Heating/cooling repairs and maintenance 403
Swimming pool maintenance/contract ---
Snow removal ---
Decorating payroll/contract 2,804
Decorating supplies 11,783
Other, gasoline ---
Miscellaneous operating and maintenance ---
-------------
Total Operating and Maintenance 227,504
Taxes and Insurance
Real estate taxes 116,658
Payroll taxes (FICA) 11,306
Miscellaneous taxes, licenses 765
Property and liability insurance 22,635
Fidelity bond insurance 149
Workmen's compensation 5,698
Health insurance and other benefits 10,100
Other insurance ---
Miscellaneous taxes and insurance ---
-------------
Total Taxes and Insurance 167,311
Interest on Mortgage Notes
Interest on 1st mortgage 569,657
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE II
BOSTON FINANCIAL QUALIFIED HOUSING - Page 4 of 4
STATEMENT OF OPERATIONS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
EXPENSES (Cont.)
<S> <C> <C>
Other Financial Expenses
Amortization 17,967
Interest on notes payable (long term) 684,796
Mortgage insurance premium ---
Miscellaneous financial expenses ---
Non-cash expense ---
-------------
Total Financial Expenses 702,763
---------------
TOTAL EXPENSES BEFORE DEPRECIATION 2,028,586
---------------
PROFIT (LOSS) BEFORE DEPRECIATION (465,320)
Depreciation 778,964
---------------
OPERATING PROFIT (LOSS) (1,244,284)
Other Expenses Prior Period (Entity) ---
---------------
NET PROFIT (LOSS) (1,244,284)
===============
1st mortgage principal payment 52,868
2nd mortgage principal payment ---
3rd mortgage principal payment ---
---------------
Total mortgage principal payments 52,868
===============
Actual replacement reserve deposits 75,836
Replacement or painting reserve releases (51,500)
Cash subsidies ---
Capital improvements not expensed ---
Capital contribution or disbursement 78,553
</TABLE>
<PAGE>
STRATHERN PARK SCHEDULE III
COMPUTATION OF RESIDUAL RECEIPTS
DECEMBER 31, 1996
<TABLE>
<CAPTION>
<S> <C> <C>
Net income (loss) as of December 31, 1996 (1,244,284)
ADD:
Depreciation 778,964
Amortization 17,967
Community Redevelopment Agency loan interest 322,259
Housing Development Grant loan interest 362,537
Releases from reserve for replacements 51,500 1,533,227
---------------- ----------------
288,943
LESS:
Principal payments on mortgage (52,868)
Deposits to reserve for replacements (75,836)
Payments for capital expenditures --- (128,704)
---------------- ----------------
RESIDUAL RECEIPTS, as defined in the partnership agreement
160,239
================
</TABLE>
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> MAR-31-1997
<PERIOD-END> MAR-31-1997
<CASH> 449,567
<SECURITIES> 2,840,127
<RECEIVABLES> 000
<ALLOWANCES> 000
<INVENTORY> 000
<CURRENT-ASSETS> 000
<PP&E> 000
<DEPRECIATION> 000
<TOTAL-ASSETS> 33,871,495<F1>
<CURRENT-LIABILITIES> 000
<BONDS> 000
000
000
<COMMON> 000
<OTHER-SE> 33,573,219
<TOTAL-LIABILITY-AND-EQUITY> 33,871,495<F2>
<SALES> 000
<TOTAL-REVENUES> 204,683<F3>
<CGS> 000
<TOTAL-COSTS> 000
<OTHER-EXPENSES> 498,031<F4>
<LOSS-PROVISION> 000
<INTEREST-EXPENSE> 000
<INCOME-PRETAX> 000
<INCOME-TAX> 000
<INCOME-CONTINUING> 000
<DISCONTINUED> 000
<EXTRAORDINARY> 000
<CHANGES> 000
<NET-INCOME> (4,337,761)<F5>
<EPS-PRIMARY> (62.30)
<EPS-DILUTED> 000
<FN>
<F1>Total Assets includes Investments in Local Limited Partnerships of
$30,531,768 and other assets of $50,033.
<F2>Included in Total Liabilities and Equity is Deferred revenue of $174,357.
Accounts payable to affiliates of $88,227 and accounts payable and
accrued expenses of $35,692.
<F3>Total Revenue includes Investment of $191,349 and Other revenue of $13,334.
<F4>Included in Other Expenses are General and Administrative of $237,545, Asset
management fees of $231,035 and Amortization of $29,451.
<F5>Net Loss includes
Equity in losses of Local Limited Partnerships of $4,044,413.
</FN>
</TABLE>
