November 9, 1998
Securities and Exchange Commission
Filer Support, Edgar
Operation Center, Stop 0-7
6432 General Green Way
Alexandria, VA 22312
RE: Boston Financial Qualified Housing Tax Credits L.P. V
Report on Form 10-Q for Quarter Ended September 30, 1998
File No. 0-19706
Gentlemen:
Pursuant to the requirements of Section 15(d) of the Securities Exchange Act of
1934, there is filed herewith one copy of the subject report.
Very truly yours,
/s/Stephen Guilmette
Stephen Guilmette
Assistant Controller
QH5-Q1.DOC
<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1998
-----------------------------------
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from to
------------------ ---------------------
Commission file number 0-19706
-------------------------
Boston Financial Qualified Housing Tax Credits L.P. V
--------------------------------------------------------
(Exact name of registrant as specified in its charter)
Massachusetts 04-3054464
------------------------------- --------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
101 Arch Street, Boston, MA 02110-1106
----------------------------------------- ----------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (617) 439-3911
---------------------
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 .
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
TABLE OF CONTENTS
PART I - FINANCIAL INFORMATION Page No.
- ------------------------------
Item 1. Financial Statements
Combined Balance Sheets - September 30, 1998 (Unaudited)
and March 31, 1998 1
Combined Statements of Operations (Unaudited) - For the
Three and Six Months Ended September 30, 1998 and 1997 2
Combined Statement of Changes in Partners' Equity (Deficiency)
(Unaudited) - For the Six Months Ended September 30, 1998 3
Combined Statements of Cash Flows (Unaudited) - For the Six
Months Ended September 30, 1998 and 1997 4
Notes to Combined Financial Statements (Unaudited) 5
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 11
PART II - OTHER INFORMATION
Items 1-6 13
SIGNATURE 14
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
COMBINED BALANCE SHEETS
September 30, 1998 and March 31, 1998
<TABLE>
<CAPTION>
September 30, March 31,
1998 1998
(Unaudited)
Assets
<S> <C> <C>
Cash and cash equivalents $ 840,957 $ 239,932
Mortgagee escrow deposits 1,325 382
Tenant security deposit escrow 3,512 3,017
Investments in Local Limited Partnerships, net of reserve
for valuation of $590,197 (Note 1) 22,948,281 24,775,767
Marketable securities, at fair value 2,637,557 3,064,717
Rental property at cost, net of accumulated
depreciation 784,878 778,924
Replacement reserve escrow 3,421 2,888
Other assets 35,609 40,041
-------------- -------------
Total Assets $ 27,255,540 $ 28,905,668
============== =============
Liabilities and Partners' Equity
Accounts payable to affiliates $ 8,746 $ 79,210
Accounts payable and accrued expenses 45,572 72,983
Mortgage note payable 707,165 707,659
Tenant security deposits payable 3,512 3,017
Deferred revenue 143,278 139,461
-------------- -------------
Total Liabilities 908,273 1,002,330
-------------- -------------
Minority interest in Local Limited Partnership 140,369 140,554
-------------- -------------
General, Initial and Investor Limited Partners' Equity 26,168,733 27,777,237
Net unrealized gains (losses) on marketable securities 38,165 (14,453)
-------------- -------------
Total Partners' Equity 26,206,898 27,762,784
-------------- -------------
Total Liabilities and Partners' Equity $ 27,255,540 $ 28,905,668
============== =============
The accompanying notes are an integral part of these combined financial statements.
</TABLE>
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
COMBINED STATEMENTS OF OPERATIONS
(Unaudited)
For the Three and Six Months Ended September 30, 1998 and 1997
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
September 30, September 30, September 30, September 30,
1998 1997 1998 1997
------------- ------------- ------------- -------------
Revenue:
<S> <C> <C> <C> <C>
Rental $ 28,988 $ 29,508 $ 58,463 $ 39,309
Investment 30,293 46,708 74,558 91,136
Other 71,084 1,828 73,548 3,771
------------- ------------- ------------- -------------
Total Revenue 130,365 78,044 206,569 134,216
------------- ------------- ------------- -------------
Expenses:
General and administrative
(includes reimbursements
to an affiliate in the amounts
of $51,090 and $66,880
in 1998 and 1997, respectively) 47,927 50,474 107,066 118,639
Asset management fees,
related party 60,556 59,177 121,112 118,354
Rental operations, exclusive
of depreciation 9,935 7,543 20,017 9,518
Property management fee, related
party - 1,801 - 2,391
Interest 16,865 20,482 36,365 27,319
Depreciation 11,177 10,589 21,177 14,119
Amortization 5,193 7,322 12,409 14,645
------------- ------------- ------------- -------------
Total Expenses 151,653 157,388 318,146 304,985
------------- ------------- ------------- -------------
Loss before minority interest in
losses of Local Limited Partnership
and equity in losses of Local Limited
Partnerships (21,288) (79,344) (111,577) (170,769)
Minority interest in losses of
Local Limited Partnership 84 104 185 135
Equity in losses of Local
Limited Partnerships (Note 1) (694,070) (866,762) (1,497,112) (1,892,520)
------------- ------------- ------------- -------------
Net Loss $ (715,274) $ (946,002) $ (1,608,504) $ (2,063,154)
============= ============= ============= =============
Net Loss allocated:
To General Partners $ (7,153) $ (9,460) $ (16,085) $ (20,632)
To Limited Partners (708,121) (936,542) (1,592,419) (2,042,522)
------------- ------------- ------------- -------------
$ (715,274) $ (946,002) $ (1,608,504) $ (2,063,154)
============= ============= ============= =============
Net Loss per Limited Partnership
Unit (68,929 Units) $ (10.27) $ (13.58) $ (23.10) $ (29.63)
============= ============= ============= ==============
The accompanying notes are an integral part of these combined financial statements.
</TABLE>
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
COMBINED STATEMENT OF CHANGES IN PARTNERS' EQUITY (DEFICIENCY)
(Unaudited)
For the Six Months Ended September 30, 1998
<TABLE>
<CAPTION>
Net
Initial Investor Unrealized
General Limited Limited Gain
Partners Partner Partners (Losses) Total
<S> <C> <C> <C> <C> <C>
Balance at March 31, 1998 $ (314,334) $ 5,000 $ 28,086,571 $ (14,453) $ 27,762,784
----------- --------- ------------- ----------- -------------
Comprehensive Loss:
Net Loss (16,085) - (1,592,419) - (1,608,504)
Change in net unrealized
losses on marketable securities
available for sale - - - 52,618 52,618
----------- --------- ------------- ----------- -------------
Comprehensive Loss (16,085) - (1,592,419) 52,618 (1,555,886)
----------- --------- ------------- ----------- -------------
Balance at
September 30, 1998 $ (330,419) $ 5,000 $ 26,494,152 $ 38,165 $ 26,206,898
=========== ========= ============= ========== =============
The accompanying notes are an integral part of these combined financial statements.
</TABLE>
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
COMBINED STATEMENTS OF CASH FLOWS
(Unaudited)
For the Six Months Ended September 30, 1998 and 1997
<TABLE>
<CAPTION>
1998 1997
---------- -----------
<S> <C> <C>
Net cash used for operating activities $ (185,993) $ (187,655)
---------- -----------
Cash flows from investing activities:
Purchases of marketable securities (1,625,326) (1,693,360)
Proceeds from sales and maturities of marketable securities 2,088,579 1,750,431
Cash distributions received from Local
Limited Partnerships 323,584 208,309
Additions to rental property (325) -
Cash received upon assumption of General Partner interest
in a Combined Entity - 937
---------- -----------
Net cash provided by investing activities 786,512 266,317
---------- -----------
Cash flows from financing activities:
General Partner Contribution - 16,045
Payment of mortgage principal (494) (1,360)
Advance from affiliate 1,000 -
---------- -----------
Net cash provided by financing activities 506 14,685
---------- -----------
Net increase in cash and cash equivalents 601,025 93,347
Cash and cash equivalents, beginning 239,932 449,567
---------- -----------
Cash and cash equivalents, ending $ 840,957 $ 542,914
========== ===========
Supplemental disclosure:
Cash paid for interest $ 36,365 $ 40,994
========== ===========
The accompanying notes are an integral part of these combined financial statements.
</TABLE>
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE COMBINED FINANCIAL STATEMENTS
(Unaudited)
The unaudited financial statements presented herein have been prepared in
accordance with the instructions to Form 10-Q and do not include all of the
information and note disclosures required by generally accepted accounting
principles. These statements should be read in conjunction with the financial
statements and notes thereto included with the Partnership's 10-K for the year
ended March 31, 1998. In the opinion of management, these financial statements
include all adjustments, consisting only of normal recurring adjustments,
necessary to present fairly the Partnership's financial position and results of
operations. The results of operations for the periods may not be indicative of
the results to be expected for the year. Certain amounts in prior year's
financial statements have been reclassified herein to conform to the current
year presentation.
The General Partners have elected to report 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 included in the accompanying
combined financial statements is as of June 30, 1998.
1. Investments in Local Limited Partnerships
The Partnership has acquired interests in twenty-six Local Limited Partnerships,
excluding Burbank, 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 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 interests 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,
excluding Burbank, at September 30, 1998:
<TABLE>
<CAPTION>
<S> <C>
Capital contributions paid to Local Limited
Partnerships and purchase price paid to
withdrawing partners of Local Limited
Partnerships $ 55,219,511
Cumulative equity in losses of Local Limited
Partnerships (excluding cumulative unrecognized
losses of $467,408) (31,200,257)
Cumulative cash distributions received
from Local Limited Partnerships (1,296,640)
Investments in Local Limited Partnerships
before adjustment 22,722,614
Excess of investment cost over the underlying net assets acquired:
Acquisition fees and expenses 1,006,357
Accumulated amortization of acquisition
fees and expenses (190,493)
Investments in Local Limited Partnerships 23,538,478
Reserve for valuation of investment in
Local Limited Partnership (590,197)
--------------
$ 22,948,281
</TABLE>
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE COMBINED FINANCIAL STATEMENTS (continued)
(Unaudited)
1. Investments in Local Limited Partnerships (continued)
The Partnership's share of net losses of the Local Limited Partnerships,
excluding Burbank, for the six months ended September 30, 1998 is $1,798,528.
For the six months ended September 30, 1998, the Partnership has not recognized
$333,841 of equity in losses relating to five Local Limited Partnerships where
cumulative equity in losses and cumulative distributions from Local Limited
Partnerships exceeded its total investments in these Local Limited Partnerships.
2. Effect of Recently Issued Accounting Standard
In June, 1997, the Financial Accounting Standards Board issued Statement of
Financial Accounting Standards No. 130, "Reporting Comprehensive Income." The
Statement, which is effective for fiscal years beginning after December 15,
1997, requires that the Partnership display an amount representing total
comprehensive income for the period in its financial statements. The Partnership
adopted the new standard effective April 1, 1998.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO COMBINED FINANCIAL STATEMENTS (continued)
(Unaudited)
3. Supplemental Combining Schedules
<TABLE>
<CAPTION>
Balance Sheets
Boston Financial
Qualified Housing
Tax Credits Burbank Combined
L.P. V (A) (B) Eliminations (A)
Assets
<S> <C> <C> <C> <C>
Cash and cash equivalents $ 839,929 $ 1,028 $ - $
840,957
Mortgagee escrow deposits - 1,325 - 1,325
Tenant security deposit escrow - 3,512 - 3,512
Investments in Local
Limited Partnerships, net 22,885,643 - 62,638 22,948,281
Marketable securities, at fair value 2,637,557 - - 2,637,557
Rental property at cost, net of
accumulated depreciation - 758,072 26,806 784,878
Replacement reserve escrow - 3,421 - 3,421
Accounts receivable 1,000 - (1,000) -
Other assets 35,609 - - 35,609
------------- ---------------- --------------- --------------
Total Assets $ 26,399,738 $ 767,358 $ 88,444 $ 27,255,540
============= ================ =============== ==============
Liabilities and Partners' Equity (Deficiency)
Accounts payable to affiliates $ 8,746 $ 1,000 $ (1,000) $ 8,746
Accounts payable and accrued expenses 40,816 4,756 - 45,572
Mortgage note payable - 707,165 - 707,165
Tenant security deposits payable - 3,512 - 3,512
Deferred revenue 143,278 - - 143,278
------------- ---------------- --------------- --------------
Total Liabilities 192,840 716,433 (1,000) 908,273
------------- ---------------- --------------- --------------
Minority interest in Local Limited
Partnership - - 140,369 140,369
------------- ---------------- --------------- --------------
General, Initial and Investor
Limited Partners' Equity 26,168,733 50,925 (50,925) 26,168,733
Net unrealized gains on
marketable securities 38,165 - - 38,165
------------- ---------------- --------------- --------------
Total Partners' Equity 26,206,898 50,925 (50,925) 26,206,898
------------- ---------------- --------------- --------------
Total Liabilities and Partners' Equity $ 26,399,738 $ 767,358 $ 88,444 $ 27,255,540
============= ================ =============== ==============
</TABLE>
(A) As of September 30, 1998.
(B) As of June 30, 1998.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO COMBINED FINANCIAL STATEMENTS (continued)
(Unaudited)
3. Supplemental Combining Schedules (continued)
Statements of Operations
For the Three Months Ended September 30, 1998
<TABLE>
<CAPTION>
Boston Financial
Qualified Housing
Tax Credits Burbank Combined
L.P. V (A) (B) Eliminations (A)
Revenue:
<S> <C> <C> <C> <C>
Rental $ - $ 28,988 $ - $ 28,988
Investment 30,293 - - 30,293
Other 70,579 505 - 71,084
------------- ------------- ------------- -------------
Total Revenue 100,872 29,493 - 130,365
------------- ------------- ------------- -------------
Expenses:
General and administrative 47,927 - - 47,927
Asset management fees, related party 60,556 - - 60,556
Rental operations, exclusive
of depreciation - 9,935 - 9,935
Interest - 16,865 - 16,865
Depreciation - 11,177 - 11,177
Amortization 5,193 - - 5,193
------------- ------------- ------------- -------------
Total Expenses 113,676 37,977 - 151,653
------------- ------------- ------------- -------------
Loss before minority interest in losses
of Local Limited Partnership and equity
in losses of Local Limited
Partnerships (12,804) (8,484) - (21,288)
Minority interest in losses of
Local Limited Partnership - - 84 84
Equity in losses of Local
Limited Partnership (702,470) - 8,400 (694,070)
------------- ------------- ------------- -------------
Net Loss $ (715,274) $ (8,484) $ 8,484 $ 715,274
============= ============= ============= =============
</TABLE>
(A) For the three months ended September 30, 1998.
(B) For the three months ended June 30, 1998.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO THE COMBINED FINANCIAL STATEMENTS (continued)
(Unaudited)
4. Supplemental Combining Schedules (continued)
Statements of Operations
For the Six Months Ended September 30, 1998
<TABLE>
<CAPTION>
Boston Financial
Qualified Housing
Tax Credits Burbank Combined
L.P. V (A) (B) Eliminations (A)
Revenue:
<S> <C> <C> <C> <C>
Rental $ - $ 58,463 $ - $ 58,463
Investment 74,558 - - 74,558
Other 72,994 554 - 73,548
------------- ------------- ------------- -------------
Total Revenue 147,552 59,017 - 206,569
------------- ------------- ------------- -------------
Expenses:
General and administrative 107,066 - - 107,066
Asset management fees, related party 121,112 - - 121,112
Rental operations, exclusive
of depreciation - 20,017 - 20,017
Interest - 36,365 - 36,365
Depreciation - 21,177 - 21,177
Amortization 12,409 - - 12,409
------------- ------------- ------------- -------------
Total Expenses 240,587 77,559 - 318,146
------------- ------------- ------------- -------------
Loss before minority interest in losses
of Local Limited Partnership and equity
in losses of Local Limited
Partnerships (93,035) (18,542) - (111,577)
Minority interest in losses of
Local Limited Partnership - - 185 185
Equity in losses of Local
Limited Partnerships (1,515,469) - 18,357 (1,497,112)
------------- ------------- ------------- -------------
Net Loss $ (1,608,504) $ (18,542) $ 18,542 $ (1,608,504)
============= ============= ============= =============
</TABLE>
(A) For the six months ended September 30, 1998.
(B) For the six months ended June 30, 1998.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
NOTES TO COMBINED FINANCIAL STATEMENTS (continued)
(Unaudited)
3. Supplemental Combining Schedules (continued)
<TABLE>
<CAPTION>
Statements of Cash Flows
Boston Financial
Qualified Housing
Tax Credits Burbank Combined
L.P. V (A) (B) Eliminations (A)
Net cash provided by (used for)
<S> <C> <C> <C> <C>
operating activities $ (186,616) $ 623 $ - $ (185,993)
------------- -------------- --------------- --------------
Cash flows from investing activities:
Purchases of marketable securities (1,625,326) - - (1,625,326)
Proceeds from sales and maturities
of marketable securities 2,088,579 - - 2,088,579
Additions to rental property - (325) - (325)
Cash distributions received from
Local Limited Partnerships 323,584 - - 323,584
------------- -------------- --------------- --------------
Net cash provided by (used for )
by investing activities 786,837 (325) - 786,512
------------- -------------- --------------- --------------
Cash flows from financing activities:
Payment of mortgage principal - (494) - (494)
Advance from affiliate - 1,000 - 1,000
------------- -------------- --------------- --------------
Net cash provided by financing activities - 506 - 506
------------- -------------- --------------- --------------
Net increase in cash and cash equivalents 600,221 804 - 601,025
Cash and cash equivalents, beginning 239,708 224 - 239,932
------------- -------------- --------------- --------------
Cash and cash equivalents, ending $ 839,929 $ 1,028 $ - $ 840,957
============= ============== =============== ==============
</TABLE>
(A) For the six months ended September 30, 1998.
(B) For the six months ended June 30, 1998.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Liquidity and Capital Resources
At September 30, 1998, the Partnership (including Burbank) had cash and cash
equivalents of $840,957, as compared with $239,932 at March 31, 1998. The
increase is primarily attributable to proceeds from sales and maturities of
marketable securities in excess of purchases of marketable securities. The
increase is also attributable to distributions received from Local Limited
Partnerships and is partially offset by cash used in the Partnership's operating
activities.
Approximately $2,731,000 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, will be sufficient to fund the Partnership's
ongoing operations and any contingencies that may arise. Reserves may be used to
fund Local Limited Partnership operating deficits if the Managing General
Partner deems such 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 September 30, 1998, 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 may deem it in its best interest 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 six months ended September 30, 1998.
Results of Operations
The Partnership's results of operations for the three and six months ended
September 30, 1998 resulted in net losses of $715,274 and $1,608,504,
respectively, as compared to net losses of $946,002 and $2,063,154 for the same
respective periods in 1997. The decrease in net loss is primarily attributable
to a decrease in equity in losses of Local Limited Partnerships. Equity in
losses of Local Limited Partnerships decreased due to losses not recognized by
the Partnership for Local Limited Partnerships whose cumulative equity in losses
and cumulative distributions exceeded its total investment in those
partnerships. In addition, rental income, rental operations, interest and
depreciation expenses increased due to a full six months of operations in 1998
as compared to four months of operations in 1997 for Burbank, since this entity
was combined as of March 1, 1997.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
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, were existing properties that underwent
rehabilitation and twenty-two properties, consisting of 1,762 units, were new
construction.
Most of the twenty-seven Local Limited Partnerships have stabilized operations.
The majority of these stabilized properties are operating at break-even or
generating positive operating cash flow.
Historic New Center in Detroit, Michigan is generating operating deficits due to
low occupancy and collection problems. The Managing General Partner, Local
General Partner and property manager are working to improve collections. In
October 1998, a new site manager was hired to focus on marketing and collections
as well as improvements to the appearance of the property. As previously
reported, the Managing General Partner and the Local General Partner have been
in negotiations with the lender to obtain debt service relief through a loan
modification. In April 1998, an agreement was reached in order to restructure
the mortgage with a reduction in debt service accomplished by a paydown of the
mortgage and an interest rate reduction. This restructuring should enable the
property to cover the debt service and provide capital for physical
improvements. Occupancy continues to fluctuate due to volatility of the tenant
profile. However, occupancy as of September 30, 1998 was 91%. The Managing
General Partner will continue to closely monitor property operations.
Westgate, located in North Dakota, has been experiencing declining occupancy.
Occupancy as of September 30, 1998 was 82%. Affiliates of the Managing General
Partner have been working with the Local General Partner who has raised some
concerns over the long-term financial health of the property. In an effort to
reduce possible future risk, the Managing General Partner consummated the
transfer of 50% of the Partnership's interest in capital and profits in Westgate
to the Local General Partner. The Managing General Partner has the right to
transfer the Partnership's remaining interest to the Local General Partner any
time after one year has elapsed. The Partnership will retain its full share of
tax credits until such time as the remaining interest is put to the Local
General Partner. In addition, the Local General Partner has the right to call
the remaining interest after the tax credit period has expired.
Impact of Year 2000
The Managing General Partner has assessed the Partnership's exposure to date
sensitive computer software programs that may not be operative subsequent to
1999 and has executed a requisite course of action to minimize Year 2000 risk
and ensure that neither significant costs nor disruption of normal business
operations are encountered. However, due to the inherent uncertainty that all
systems of outside vendors or other companies on which the Partnership and/or
Local Limited Partnerships rely will be compliant, the Partnership remains
susceptible to consequences of the Year 2000 issue.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
PART II OTHER INFORMATION
Items 1-5 Not applicable
Item 6 Exhibits and reports on Form 8-K
(a) Exhibits - None
(b) Reports on Form 8-K - No reports on Form 8-K were filed
during the quarter ended September 30, 1998.
<PAGE>
BOSTON FINANCIAL QUALIFIED HOUSING TAX CREDITS L.P. V
(A Limited Partnership)
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
DATED: November 9, 1998 BOSTON FINANCIAL QUALIFIED HOUSING
TAX CREDITS L.P. V
By: Arch Street V, Inc.,
its Managing General Partner
/s/Randolph G. Hawthorne
Randolph G. Hawthorne
Managing Director, Vice President and
Chief Operating Officer
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> MAR-31-1999
<PERIOD-END> SEP-30-1998
<CASH> 840,957
<SECURITIES> 2,637,557
<RECEIVABLES> 000
<ALLOWANCES> 000
<INVENTORY> 000
<CURRENT-ASSETS> 000
<PP&E> 784,878
<DEPRECIATION> 000
<TOTAL-ASSETS> 27,255,540<F1>
<CURRENT-LIABILITIES> 000
<BONDS> 000
<COMMON> 000
000
000
<OTHER-SE> 26,206,898
<TOTAL-LIABILITY-AND-EQUITY> 27,255,540<F2>
<SALES> 000
<TOTAL-REVENUES> 206,569<F3>
<CGS> 000
<TOTAL-COSTS> 000
<OTHER-EXPENSES> 281,781<F4>
<LOSS-PROVISION> 000
<INTEREST-EXPENSE> 36,365
<INCOME-PRETAX> 000
<INCOME-TAX> 000
<INCOME-CONTINUING> 000
<DISCONTINUED> 000
<EXTRAORDINARY> 000
<CHANGES> 000
<NET-INCOME> (1,608,504)<F5>
<EPS-PRIMARY> (23.10)
<EPS-DILUTED> 000
<FN>
<F1>Included in Total assets is Mortgagee escrow deposits of $1,325, Tenant
security deposit escrow of $3,512, Investments in Local Limited Partnerships,
net of $22,948,281, Replacement reserve escrow of $3,421 and Other assets of
$35,609. <F2>Included in Total liability and equity is Accounts payable to
affiliates of $8,746, Accounts payable and accrued expenses of $45,572, Mortgage
note payable of $707,165, Tenant security deposits payable of $3,512, Deferred
revenue of $143,278 and Minority interest in Local Limited Partnership of
$140,369. <F3>Total revenue includes Rental of $58,463, Investment of $74,558
and Other of $73,548. <F4>Included in Other expenses is General and
administrative of $107,066, Asset management fees of $121,112, Rental
operations, exclusive of depreciation of $20,017, Depreciation of $21,177 and
Amortization of $12,409. <F5>Net loss includes Minority interest in losses of
Local Limited Partnership of $185 and Equity in losses of Local Limited
Partnerships of $(1,497,112).
</FN>
</TABLE>
