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 December 31, 1998
OR
____ TRANSITION REPORT PURSUANT TO SECTION 13 OR
15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Commission File Number 0-20476
INDEPENDENCE TAX CREDIT PLUS L.P.
(Exact name of registrant as specified in its charter)
Delaware 13-3589920
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
625 Madison Avenue, New York, New York 10022
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (212)421-5333
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of the Securi-
ties 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>
<TABLE>
PART I - Financial Information
Item 1. Financial Statements
INDEPENDENCE TAX CREDIT PLUS L.P.
AND SUBSIDIARIES
Consolidated Balance Sheets
(Unaudited)
<CAPTION>
December 31, March 31,
1998 1998
<S> <C> <C>
ASSETS
Property and equipment at cost,
net of accumulated depreciation
of $31,222,857 and $26,761,173
respectively $151,210,773 $155,531,285
Cash and cash equivalents 2,186,339 2,149,895
Cash held in escrow 9,169,828 8,589,271
Deferred costs, net of accumulated
amortization of $1,595,560
and $1,447,322, respectively 2,617,998 2,672,730
Other assets 2,304,107 1,843,186
Total assets $167,489,045 $170,786,367
LIABILITIES AND PARTNERS' CAPITAL
Liabilities:
Mortgage notes payable $ 94,966,909 $ 97,153,977
Construction note payable 6,740,018 6,740,018
Accounts payable and other
liabilities 8,027,496 7,220,887
Due to local general partners and
affiliates 6,740,620 5,972,205
Due to general partner and
affiliates 1,686,552 929,201
Total liabilities 118,161,595 118,016,288
Minority interest 5,260,990 6,470,579
Partners' capital:
Limited partners (76,786 BACs
issued and outstanding) 44,308,669 46,519,379
General partner (242,209) (219,879)
Total partners' capital 44,066,460 46,299,500
Total liabilities and
partners' capital $167,489,045 $170,786,367
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
INDEPENDENCE TAX CREDIT PLUS L.P.
AND SUBSIDIARIES
Consolidated Statements of Operations
(Unaudited)
<CAPTION>
Three Months Ended Nine Months Ended
December 31, December 31,
1998 1997 1998 1997
<S> <C> <C> <C> <C>
Revenues
Rental income $ 4,839,344 $ 4,762,384 $14,432,738 $14,141,616
Other income 167,923 164,786 492,541 442,671
5,007,267 4,927,170 14,925,279 14,584,287
Expenses
General and
administrative 808,861 897,592 2,730,363 2,528,075
General and
administrative-
related parties
(Note 2) 471,305 320,524 1,464,299 894,175
Repairs and
maintenance 800,219 824,290 2,332,983 2,160,628
Operating and other 572,219 581,951 1,845,665 1,904,567
Taxes 318,948 403,054 978,540 1,224,789
Insurance 222,862 208,315 641,111 636,032
Financial,
principally interest 1,340,539 1,169,479 3,899,273 3,813,307
Depreciation and
amortization 1,605,516 1,511,746 4,620,975 4,581,255
Total Expenses 6,140,469 5,916,951 18,513,209 17,742,828
Net loss before
minority interest and
extraordinary item (1,133,202) (989,781) (3,587,930) (3,158,541)
Minority interest in
loss of subsidiary
partnerships 2,348 2,863 13,899 13,424
Net loss before
extraordinary item (1,130,854) (986,918) (3,574,031) (3,145,117)
Extraordinary item-
forgiveness of
indebtedness income
(Note 3) 0 0 1,340,991 0
Net loss $ (1,130,854) $ (986,918) $ (2,233,040) $ (3,145,117)
Net loss -
limited
partners $ (1,119,546) $ (977,049) $ (2,210,710) $(3,113,666)
Net loss
per BAC $ (14.58) $ (12.72) $ (28.79) $ (40.54)
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
INDEPENDENCE TAX CREDIT PLUS L.P.
AND SUBSIDIARIES
Consolidated Statement of Changes in Partners' Capital
(Unaudited)
<CAPTION>
Limited General
Total Partners Partner
<S> <C> <C> <C>
Partners' capital-
April 1, 1998 $46,299,500 $46,519,379 $(219,879)
Net loss (2,233,040) (2,210,710) (22,330)
Partners' capital-
December 31, 1998 $44,066,460 $44,308,669 $(242,209)
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
<TABLE>
INDEPENDENCE TAX CREDIT PLUS L.P.
AND SUBSIDIARIES
Consolidated Statements of Cash Flows
Increase (decrease) in Cash and Cash Equivalents
(Unaudited)
<CAPTION>
Nine Months Ended
December 31,
1998 1997
<S> <C> <C>
Cash flows from operating activities:
Net loss $ (2,233,040) $ (3,145,117)
Adjustments to reconcile net
loss to net cash provided by
operating activities:
Extraordinary item-forgiveness of
indebtedness income (Note 3) (1,340,991) 0
Depreciation and amortization 4,620,975 4,581,255
Minority interest in loss of
subsidiaries (13,899) (13,424)
Increase in due to general
partner and affiliates 757,351 85,279
Increase in accounts
payable and other liabilities 806,609 553,975
Increase in other assets (460,921) (146,575)
Increase in cash held in escrow (643,557) (685,892)
Total adjustments 3,725,567 4,374,618
Net cash provided by
operating activities 1,492,527 1,229,501
Cash flows from investing activities:
Acquisition of property and
equipment (141,172) (31,885)
Decrease in cash held in escrow 63,000 627,436
Increase in due to local general
partners and affiliates 1,266,614 35,120
Decrease in due to local general
partners and affiliates (290,208) (415,370)
Net cash provided by
investing activities 898,234 215,301
Cash flows from financing activities:
Proceeds from mortgage note payable 2,257,500 0
Repayment of mortgage notes (3,311,568) (1,126,784)
Increase in deferred costs (104,559) (8,100)
Decrease in capitalization of
consolidated subsidiaries
attributable to minority interest (1,195,690) (119,022)
Net cash used in financing activities (2,354,317) (1,253,906)
Net increase in cash
and cash equivalents 36,444 190,896
Cash and cash equivalents at
beginning of period 2,149,895 2,087,057
Cash and cash equivalents at
end of period $ 2,186,339 $ 2,277,953
Supplemental disclosures of
noncash investing and
financing activities:
Forgiveness of indebtedness:
Decrease in mortgage notes $(1,133,000) 0
Decrease in due to local general
partners and affiliates (207,991) 0
See Accompanying Notes to Consolidated Financial Statements.
</TABLE>
<PAGE>
INDEPENDENCE TAX CREDIT PLUS L.P.
AND SUBSIDIARIES
Notes to Consolidated Financial Statements
December 31, 1998
(Unaudited)
Note 1 - General
The consolidated financial statements include the accounts of In-
dependence Tax Credit Plus L.P. (the "Partnership") and 28 other
limited partnerships ("subsidiary partnerships", "subsidiaries" or
"Local Partnerships") owning affordable apartment complexes that
are eligible for the low-income housing tax credit. Some of such
apartment complexes may also be eligible for the rehabilitation
investment credit for certified historic structures. The general
partner of the Partnership is Related Independence Associates L.P.,
a Delaware limited partnership (the "General Partner"). Through
the rights of the Partnership and/or an affiliate of the General
Partner, which affiliate has a contractual obligation to act on behalf
of the Partnership, to remove the general partner of the subsidiary
local partnerships and to approve certain major operating and
financial decisions, the Partnership has a controlling financial in-
terest in the subsidiary partnerships.
For financial reporting purposes, the Partnership's fiscal quarter
ends December 31. All subsidiaries have fiscal quarters ending
September 30. Accounts of the subsidiaries have been adjusted for
intercompany transactions from October 1 through December 31.
The Partnership's fiscal quarter ends December 31 in order to al-
low adequate time for the subsidiaries financial statements to be
prepared and consolidated.
All intercompany accounts and transactions with the subsidiary
partnerships have been eliminated in consolidation.
Increases (decreases) in the capitalization of consolidated subsidi-
aries attributable to minority interest arise from cash contributions
and cash distributions to the minority interest partners.
Losses attributable to minority interest which exceed the minority
interests' investment in a subsidiary have been charged to the
Partnership. Such losses aggregated approximately $5,000 and
$7,000 and $5,000 and $21,000 for the three and nine months ended
December 31, 1998 and 1997, respectively. The Partnership's in-
vestment in each subsidiary is equal to the respective subsidiary's
partners' equity less minority interest capital, if any. In consolida-
tion, all subsidiary partnership losses are included in the Partner-
ship's capital account except for losses allocated to minority inter-
est capital.
Certain information and note disclosure normally included in
financial statements prepared in accordance with generally ac-
cepted accounting principles has been omitted or condensed.
These condensed financial statements should be read in conjunc-
tion with the financial statements and notes thereto included in the
Partnership's Annual Report on Form 10-K for the period ended
March 31, 1998.
The books and records of the Partnership are maintained on the
accrual basis of accounting in accordance with generally accepted
accounting principles. In the opinion of the General Partner, the
accompanying unaudited financial statements contain all adjust-
ments (consisting only of normal recurring adjustments) necessary
to present fairly the financial position of the Partnership as of De-
cember 31, 1998, the results of operations for the three and nine
months ended December 31, 1998 and 1997 and cash flows for the
nine months ended December 31, 1998 and 1997. However, the
operating results for the nine months ended December 31, 1998
may not be indicative of the results for the year.
Note 2 - Related Party Transactions
An affiliate of the General Partner, Independence SLP L.P., has
either a 0.1% or 1% interest as a special limited partner in each of
the Local Partnerships. An affiliate of the General Partner also has
a minority interest in certain Local Partnerships.
<TABLE>
The costs incurred to related parties for the three and nine months
ended December 31, 1998 and 1997 were as follows:
<CAPTION>
Three Months Ended Nine Months Ended
December 31, December 31,
1998 1997 1998 1997
<S> <C> <C> <C> <C>
Partnership manage-
ment fees (a) $ 220,000 $ 12,500 $ 660,000 $ 37,500
Expense reimburse-
ment (b) 20,250 44,120 95,312 108,063
Property manage-
ment fees incurred
to affiliates of the
General Partner (c) 9,076 8,447 27,465 28,233
Local administra-
tive fee (d) 17,000 22,000 55,000 66,000
Total general and
administrative-
General Partner 266,326 87,067 837,777 239,796
Property manage-
ment fees incurred
to affiliates of
the subsidiary
partnerships'
general partners (c) 204,979 233,457 626,522 654,379
Total general and
administrative-
related parties $471,305 $320,524 $1,464,299 $894,175
</TABLE>
(a) The General Partner is entitled to receive a partnership man-
agement fee, after payment of all Partnership expenses, which
together with the annual local administrative fees will not exceed a
maximum of 0.5% per annum of invested assets (as defined in the
Partnership Agreement), for administering the affairs of the Part-
nership. Subject to the foregoing limitation, the partnership man-
agement fee will be determined by the General Partner in its sole
discretion based upon its review of the Partnership's investments.
Unpaid partnership management fees for any year have been, and
will continue to be, accrued without interest and will be payable
only to the extent of available funds after the Partnership has made
distributions to the limited partners of sale or refinancing proceeds
equal to their original capital contributions plus a 10% priority
return thereon (to the extent not theretofore paid out of cash flow).
Partnership management fees owed to the General Partner
amounting to approximately $1,199,000 and $539,000 were accrued
and unpaid as of December 31, 1998 and March 31, 1998, respec-
tively. Without the General Partner's advances and continued
accrual without payment of certain fees and expense reimburse-
ments, the Partnership will not be in a position to meet its obliga-
tions. The General Partner has continued advancing and allowing
the accrual without payment of these amounts but is under no
obligation to continue to do so.
(b) The Partnership reimburses the General Partner and its affili-
ates for actual Partnership operating expenses incurred by the
General Partner and its affiliates on the Partnership's behalf. The
amount of reimbursement from the Partnership is limited by the
provisions of the Partnership Agreement. Another affiliate of the
General Partner performs asset monitoring for the Partnership.
These services include site visits and evaluations of the subsidiary
partnerships' performance.
(c) Property management fees incurred to affiliates of the subsidi-
ary partnerships general partners amounted to $214,055 and
$241,904 and $653,987 and $682,612 for the three and nine months
ended December 31, 1998 and 1997, respectively. Included in
amounts incurred to affiliates of the subsidiary partnerships gen-
eral partners were $9,076 and $8,447 and $27,465 and $28,233 for
the three and nine months ended December 31, 1998 and 1997,
respectively, which were also incurred to an affiliate of the General
Partner.
(d) Independence SLP L.P. is entitled to receive a local adminis-
trative fee of up to $2,500 per year from each subsidiary partner-
ship.
Pursuant to the Partnership Agreement and the Local Partnership
Agreements, the General Partner and Independence SLP L.P. re-
ceived their prorata share of profits, losses and tax credits.
Note 3 - Mortgage Notes Payable
Hampden Hall Associates, L.P.
On March 20, 1998, Hampden Hall Associates, L.P. ("Hampden
Hall") refinanced its primary debt under the HUD 223(f) program.
The amount of this new mortgage is $2,257,500. It carries a term of
35 years and has an interest rate of approximately 6.5%. The ex-
isting $1,760,000 tax-exempt bonds were paid off with the proceeds
of the new mortgage and the balance of the proceeds were used to
pay closing costs and a portion of a note payable to the special
limited partner of the Local General Partner. The special limited
partner of the Local General Partner also purchased three note
payables to the City of St. Louis totaling $1,350,000 and amounts
due to a former Local General Partner totaling $224,491 for a dis-
counted price of $233,500 resulting in forgiveness of indebtedness
income of $1,340,991.
Note 4 - Commitment and Contingency
Old Public Limited Partnership
The Old Public Limited Partnership had experienced a decline in
operations which necessitated the removal of the Local General
Partner and replacement of the property management agent. On
March 23, 1998 the Local General Partner was replaced by New
Texas Associates, Inc. and Continental Property Management, LLC
was hired as management agent. At the present time net operating
income is not sufficient to fully service the existing debt.
During May 1998, the Partnership was notified that there was to be
a sale of a real estate tax lien that had been placed on the property
due to non-payment of the real estate taxes relating to 1995 and
1996. Through December 31, 1998, the Partnership has advanced
approximately $36,000 in order to prevent the sale of the tax liens,
and to bring the property current through 1997. On July 9, 1998,
the lender notified the Partnership that the mortgage loan was in
default. On November 11, 1998, a Notice of Foreclosure was
served on the Local Partnership by the lender. On November 19,
1998, the Local Partnership filed for protection under chapter 11 in
the United States Bankruptcy Court Southern District of New
York. The Partnership intends to pursue all available options to
maintain its interest in the property.
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Con-
dition and Results of Operations
Liquidity and Capital Resources
The Partnership's primary source of funds include (i) working
capital reserves raised and interest earned thereon, and (ii) cash
distributions from the operations of the Local Partnerships. All
these sources of funds are available to meet obligations of the
Partnership.
As of December 31, 1998, the Partnership has invested all of its net
proceeds in twenty-eight Local Partnerships. Approximately
$297,000 of the purchase price remains to be paid to the Local
Partnerships (all of which is held in escrow). During the nine
months ended December 31, 1998, approximately $63,000 was paid
from escrow.
Cash and cash equivalents of the Partnership and its twenty-eight
consolidated subsidiary partnerships increased approximately
$36,000 during the nine months ended December 31, 1998 due to
cash provided by operating activities ($1,493,000), a decrease in
cash held in escrow ($63,000) and a net increase in due to Local
General Partners and affiliates ($976,000) which exceeded an in-
crease in deferred costs ($105,000), acquisition of property and
equipment ($141,000), a decrease in capitalization of consolidated
subsidiaries attributable to minority interest ($1,196,000) and net
repayments of mortgage notes ($1,054,000). Included in the ad-
justments to reconcile the net loss to cash provided by operating
activities is forgiveness of indebtedness income of $1,341,000 and
depreciation and amortization of $4,621,000.
The working capital reserve at December 31, 1998 and March 31,
1998 was approximately $4,000 and $119,000 , respectively.
Cash distributions received from the Local Partnerships remain
relatively, immaterial. Distributions of approximately $48,000 and
$133,000 were received during the nine months ended December
31, 1998 and 1997, respectively. However, management expects
that the distributions received from the Local Partnerships will
increase, although not to a level sufficient to permit providing cash
distributions to BACs holders. These distributions as well as the
working capital reserves referred to in the above paragraph will be
used to meet the operating expenses of the Partnership.
Partnership management fees owed to the General Partner
amounting to approximately $1,199,000 and $539,000 were accrued
and unpaid as of December 31, 1998 and March 31, 1998, respec-
tively (see Note 2). Without the General Partner's advances and
continued accrual without payment of certain fees and expense
reimbursements, the Partnership will not be in a position to meet
its obligations. The General Partner has continued advancing and
allowing the accrual without payment of these amounts but is
under no obligation to continue to do so.
For a discussion of Mortgage Notes Payable, see Note 3 to the
financial statements.
For a discussion of contingencies affecting certain Local Partner-
ships, see Note 4 to the financial statements. Since the maximum
loss the Partnership would be liable for is its net investment in the
Local Partnership, the resolution of the existing contingency is not
anticipated to impact future results of operations, liquidity or fi-
nancial condition in a material way. However, the Partnership's
loss of its investment in a Local Partnership will eliminate the
ability to generate future tax credits from such Local Partnership
and may also result in recapture of tax credits if the investment is
lost before the expiration of the compliance period.
Management is not aware of any trends or events, commitments or
uncertainties, which have not otherwise been disclosed, that will
or are likely to impact liquidity in a material way. Management
believes the only impact would be from laws that have not yet
been adopted. The portfolio is diversified by the location of the
properties around the United States so that if one area of the
country is experiencing downturns in the economy, the remaining
properties in the portfolio may be experiencing upswings. How-
ever, the geographic diversification of the portfolio may not pro-
tect against a general downturn in the national economy. The
Partnership has fully invested the proceeds of its offering in 28
local partnerships, all of which fully have their tax credits in place.
The tax credits are attached to the project for a period of ten years,
and are transferable with the property during the remainder of the
ten year period. If trends in the real estate market warranted the
sale of a property, the remaining tax credits would transfer to the
new owner, thereby adding significant value to the property on
the market, which are not included in the financial statement car-
rying amount.
Results of Operations
The Partnership's results of operations for the three and nine
months ended December 31, 1998 and 1997 consisted primarily of
the results of the Partnership's investment in twenty-eight Local
Partnerships. The majority of Local Partnership income continues
to be in the form of rental income with the corresponding expenses
being divided among operations, depreciation and mortgage in-
terest.
Rental income remained fairly consistent with an increase of ap-
proximately 2% for both the three and nine months ended Decem-
ber 31, 1998 as compared to the corresponding periods in 1997
primarily due to rental rate increases.
Other income increased approximately $50,000 for the nine months
ended December 31, 1998 as compared to the corresponding pe-
riod in 1997 primarily due to a refund of management fees re-
ceived in 1998 at one Local Partnership and the forfeiture of hous-
ing assistance payments subsidy income due to tenants not re-
newing their housing assistance payments subsidy contracts on
time in 1997 at a second Local Partnership.
Total expenses, excluding general and administrative-related par-
ties, taxes and financial remained fairly consistent with a decrease
of less than 1% and an increase of approximately 3% for the three
and nine months ended December 31, 1998 as compared to the
corresponding periods in 1997.
General and administrative-related parties has increased approxi-
mately $151,000 and $570,000 for the three and nine months ended
December 31, 1998 as compared to the corresponding periods in
1997 primarily due to an increase in partnership management fees
payable to the General Partner.
Taxes decreased approximately $84,000 and $246,000 for the three
and nine months ended December 31, 1998 as compared to the
corresponding periods in 1997 primarily due to an overaccrual of
real estate taxes at two Local Partnerships in 1997.
Financial has increased approximately $171,000 for the three
months ended December 31, 1998 as compared to the correspond-
ing period in 1997 primarily due to an underaccrual of interest in
1997 at one local partnership.
Forgiveness of indebtedness income of approximately $1,341,000
was recorded during the nine months ended December 31, 1998
(see Note 3 to the financial statements).
Year 2000 Compliance
The Partnership utilizes the computer services of an affiliate of the
General Partner. The affiliate of the General Partner is in the proc-
ess of upgrading its computer information systems to be year 2000
compliant and beyond. The Year 2000 compliance issue concerns
the inability of a computerized system to accurately record dates
after 1999. The affiliate of the General Partner recently underwent
a conversion of its financial systems applications and is in the pro-
cess of upgrading and testing the in house software and hardware
inventory. The workstations that experienced problems from this
process were corrected with an upgrade patch. The costs are not
being charged to the Partnership. In regard to third parties, the
Partnership's General Partner is in the process of evaluating the
potential adverse impact that could result from the failure of mate-
rial service providers to be year 2000 compliant. A detailed survey
and assessment of third party readiness was sent to material third
parties in the fourth quarter of 1998. The results of the surveys
will be compiled in early 1999. No estimate can be made at this
time as to the impact of the readiness of such third parties. The
Partnership's General Partner plans to have these issues fully as-
sessed by the end of 1998, at which time the risks will be addressed
and a contingency plan will be implemented if necessary.
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings - None
Item 2. Changes in Securities - None
Item 3. Defaults Upon Senior Securities - None
Item 4. Submission of Matters to a Vote of Security Holders - None
Item 5. Other Information - None
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits:
(3A) Form of Amended and Restated Agreement of
Limited Partnership of Independence Tax Credit Plus L.P., at-
tached to the Prospectus as Exhibit A*
(3B) Amended and Restated Certificate of Limited
Partnership of Independence Tax Credit Plus L.P.*
(10A) Form of Subscription Agreement attached to
the Prospectus as Exhibit B*
(10B) Form of Purchase and Sales Agreement per-
taining to the Partnership's acquisition of Local Partnership Inter-
ests*
(10C) Form of Amended and Restated Agreement of
Limited Partnership of Local Partnerships*
(27) Financial Data Schedule (filed herewith).
*Incorporated herein as an exhibit by reference to
exhibits filed with Pre-Effective Amendment No. 1 to the Inde-
pendence Tax Credit Plus L.P. Registration Statement on Form S-
11 (Registration No. 33-37704)
(b) Reports on Form 8-K - No reports on Form 8-K were
filed during the quarter.
<PAGE>
SIGNATURES
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.
INDEPENDENCE TAX CREDIT PLUS L.P.
(Registrant)
By: RELATED INDEPENDENCE
ASSOCIATES L.P., General Partner
By: RELATED INDEPENDENCE
ASSOCIATES INC., General Partner
Date: February 2, 1999
By: /s/ Alan P. Hirmes
Alan P. Hirmes,
Senior Vice President
(principal financial officer)
Date: February 2, 1999
By: /s/ Glenn F. Hopps
Glenn F. Hopps,
Treasurer
(principal accounting officer)
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
The Schedule contains summary financial information extracted
from the financial statements for Independence Tax Credit Plus
L.P. and is qualified in its entirety by reference to such financial
statements
</LEGEND>
<CIK> 0000869615
<NAME> Independence Tax Credit Plus L.P.
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> MAR-31-1999
<PERIOD-START> APR-01-1998
<PERIOD-END> DEC-31-1998
<CASH> 11,356,167
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 2,304,107
<PP&E> 182,433,630
<DEPRECIATION> 31,222,857
<TOTAL-ASSETS> 167,489,045
<CURRENT-LIABILITIES> 16,454,668
<BONDS> 101,706,927
0
0
<COMMON> 0
<OTHER-SE> 49,327,450
<TOTAL-LIABILITY-AND-EQUITY> 167,489,045
<SALES> 0
<TOTAL-REVENUES> 14,925,279
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 14,613,936
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 3,899,273
<INCOME-PRETAX> (2,246,939)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 1,340,991
<CHANGES> 0
<NET-INCOME> (2,246,939)
<EPS-PRIMARY> (28.79)
<EPS-DILUTED> 0
</TABLE>
