<PAGE>
FORM 10-Q/A
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF
THE SECURITIES EXCHANGE ACT OF 1934
(As last amended in Rel. No. 312905, eff. 4/26/93.)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q/A
[ X ] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the quarterly period ended June 30, 1995
Commission File Number: 1-12286
MID-ATLANTIC REALTY TRUST
(Exact name of registrant as specified in its charter)
MARYLAND 52-1832411
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
1306 Concourse Drive, Suite 200, Linthicum 21090
(Address of principal executive offices) (Zip Code)
(410) 684-2000
(Registrant's telephone number, including area code)
N/A
(Former name, former address and former fiscal year,
if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Sections 13 or 15 (d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
YES X NO
6,194,711 Common Shares were outstanding as of June 30, 1995.
<PAGE> 1
MID-ATLANTIC REALTY TRUST
AND SUBSIDIARIES
Part I. FINANCIAL INFORMATION
Item 1. CONSOLIDATED FINANCIAL STATEMENTS
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED STATEMENTS OF OPERATIONS
CONSOLIDATED STATEMENTS OF CASH FLOWS
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Part II. OTHER INFORMATION
Item 1. LEGAL PROCEEDINGS
Item 2. CHANGES IN SECURITIES
Item 3. DEFAULTS UPON SENIOR SECURITIES
Item 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
Item 5. OTHER INFORMATION
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
<PAGE> 2
Part I. FINANCIAL INFORMATION
Item 1. Consolidated Financial Statements
MID-ATLANTIC REALTY TRUST
Consolidated Balance Sheets
As of
June 30, 1995 December 31, 1994
(UNAUDITED)
ASSETS
Properties:
Operating properties................$ 136,470,624 140,062,761
Development operations ............. 12,515,510 6,354,947
Property held for development or sale 8,603,430 8,630,465
------------ ------------
157,589,564 155,048,173
Cash and cash equivalents ........... 728,641 344,522
Notes and accounts
receivable - tenants and other...... 1,430,303 1,688,194
Due from joint venture partners ...... 1,819,361 1,937,019
Prepaid expenses and deposits ....... 254,894 402,283
Deferred financing costs ............. 3,321,034 3,422,376
------------ ------------
$ 165,143,797 162,842,567
============ ============
LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Notes payable ......................$ 15,734,778 20,139,413
Accounts payable and accrued expenses 3,805,201 3,534,277
Mortgages payable .................. 60,690,919 53,251,140
Convertible subordinated debentures. 59,980,000 60,000,000
Deferred income..................... 664,065 730,466
Minority interest in
consolidated joint ventures ...... 365,484 330,893
------------ ------------
141,240,447 137,986,189
Shareholders' Equity:
Preferred shares of beneficial interest,
$.01 par value, authorized 2,000,000 shares,
issued and outstanding, none ..... - -
Common shares of beneficial interest
$.01 par value, authorized
100,000,000 shares, issued
and outstanding, 6,194,711 and
6,291,407, respectively 61,947 62,914
Additional paid-in capital.......... 41,862,522 42,602,505
Distributions in excess of accumulated
earnings ........................... (18,021,119) (17,809,041)
------------ ------------
23,903,350 24,856,378
------------ ------------
$ 165,143,797 162,842,567
============ ============
See accompanying notes to consolidated financial statements.
<PAGE> 3
<PAGE>
MID-ATLANTIC REALTY TRUST
Consolidated Statements of Operations
(UNAUDITED)
Six Months Ended June 30,
1995 1994
REVENUES:
Rentals ............................$ 11,686,651 10,974,518
Gain on sales of properties held
for sale, net ............. 4,559 -
Other .............................. 581,713 449,770
------------ ------------
12,272,923 11,424,288
COSTS AND EXPENSES:
Interest .......................... 5,549,246 5,077,553
Depreciation and amortization
of property and improvements ..... 2,702,376 2,481,381
Operating ......................... 1,537,675 1,658,778
General and administrative ......... 830,009 781,952
------------ ------------
10,619,306 9,999,664
EARNINGS FROM OPERATIONS
BEFORE MINORITY INTEREST .......... 1,653,617 1,424,624
Minority interest expense .......... (355,561) (309,148)
------------ ------------
EARNINGS FROM OPERATIONS ............ 1,298,056 1,115,476
Gain on life insurance proceeds ...... 1,001,787
(Loss) gain on sales of operating
properties ........................ (377,358) 335,363
------------ ------------
EARNINGS BEFORE CUMULATIVE EFFECT OF
CHANGE IN ACCOUNTING PRINCIPLE....... 1,922,485 1,450,839
Cumulative effect of change in
accounting for percentage rents .. 612,383 -
------------ ------------
NET EARNINGS .........................$ 2,534,868 (1,450,839)
============ ============
PER SHARE DATA:
EARNINGS PER SHARE BEFORE CUMULATIVE
EFFECT OF CHANGE IN ACCOUNTING PRINCIPLE 0.31 0.23
Cumulative effect of change in
accounting principle ............. 0.10 -
------------ ------------
NET EARNINGS ......................... $0.41 0.23
============ ============
Three Months Ended June 30,
1995 1994
REVENUES:
Rentals ............................$ 5,716,748 5,632,698
Gain on sales of properties held
for sale, net ............. - -
Other .............................. 296,021 235,574
----------- ------------
6,012,769 5,868,272
COSTS AND EXPENSES:
Interest .......................... 2,777,930 2,533,374
Depreciation and amortization
of property and improvements ..... 1,359,898 1,250,241
Operating ......................... 743,211 765,925
General and administrative ......... 403,453 385,060
------------ ------------
5,284,492 4,934,600
EARNINGS FROM OPERATIONS
BEFORE MINORITY INTEREST .......... 728,277 933,672
Minority interest expense ............ (158,219) (183,167)
------------ ------------
EARNINGS FROM OPERATIONS ............ 570,058 750,505
Gain on life insurance proceeds ...... - -
(Loss) gain on sales of operating
properties ........................ - -
------------ ------------
EARNINGS BEFORE CUMULATIVE EFFECT OF
CHANGE IN ACCOUNTING PRINCIPLE 570,058 750,505
Cumulative effect of change in
accounting for percentage rents .. - -
------------ ------------
NET EARNINGS .........................$ 570,058 750,505
============ =============
PER SHARE DATA:
EARNINGS PER SHARE BEFORE CUMULATIVE EFFECT OF
CHANGE IN ACCOUNTING PRINCIPLE 0.09 0.12
Cumulative effect of change in
accounting principle .............. - -
NET EARNINGS ....................... $0.09 0.12
============ ============
See accompanying notes to consolidated financial statements.
<PAGE> 4
<PAGE>
MID-ATLANTIC REALTY TRUST
Consolidated Statements of Cash Flows
(UNAUDITED)
Six Months Ended June 30,
1995 1994
Cash flows from operating activities:
Net earnings .......................$ 2,534,868 1,450,839
Adjustments to reconcile net earnings
to net cash provided by operating activities:
Depreciation and amortization .... 2,702,376 2,481,381
Loss (gain) on sales of operating
properties ..................... 377,358 (335,363)
Minority interest in earnings, net 355,561 309,148
Gain on sales of properties held for
sale, net ...................... (4,559) -
Changes in operating assets and liabilities:
Decrease in operating assets ... 405,280 544,695
Increase (decrease) in operating
liabilities ................... 204,523 (589,399)
------------ ----------
Total adjustments ........... 4,040,539 2,410,462
------------ ----------
NET CASH PROVIDED BY OPERATING
ACTIVITIES ......................... 6,575,407 3,861,301
Cash flows from investing activities:
Additions to properties ............ (7,077,363) (1,646,490)
Proceeds from sales of properties... 1,744,073 1,321,602
Receipts from minority partners .... 181,000 51,000
Payments to minority partners ...... (384,312) (543,595)
------------ ------------
NET CASH USED IN INVESTING
ACTIVITIES ........................ (5,536,602) (817,483)
------------ ------------
Cash flows from financing activities:
Proceeds from notes payable ....... 32,600,000 2,754,048
Principle payments on notes payable (37,004,635) (3,310,000)
Proceeds from mortgages payable .... 7,700,000 -
Principal payments on mortgages payable (260,221) (208,805)
Additions to deferred finance costs (182,792) (4,104)
Shares purchased ................... (760,092) -
Dividends paid .................... (2,746,946) (2,642,391)
------------ -----------
NET CASH USED IN FINANCING ACTIVITIES (654,686) (3,411,252)
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS ............... 384,119 (367,434)
CASH AND CASH EQUIVALENTS,
beginning of period ................ 344,522 687,108
------------ ------------
CASH AND
CASH EQUIVALENTS, end of period ...$ 728,641 319,674
In April, 1995, $20,000 in convertible debentures were converted to 1,904
common shares of beneficial interest decreasing convertible subordinated
debentures by $20,000, decreasing deferred financing costs by $858 and
increasing shareholders equity by $19,412. During the six month period ended
June 30, 1994, $208,427 in interest costs were capitalized as construction
period interest in development operations.
See accompanying notes to consolidated financial statements.
<PAGE> 5<PAGE>
MID-ATLANTIC REALTY TRUST
Notes To Consolidated Financial Statements
(UNAUDITED)
ORGANIZATION
Mid-Atlantic Realty Trust (the "Company", or "MART") was formed on June 29,
1993 and commenced operations effective with the completion of its initial
public share offering on September 11, 1993. The Company is the successor to
the operations of BTR Realty, Inc. (the predecessor to the company), (BTR),
and qualifies as a real estate investment trust (REIT) for Federal income tax
purposes.
CONSOLIDATED FINANCIAL STATEMENTS
The consolidated balance sheet as of June 30, 1995 and the consolidated
statements of operations for the Company for the three and six month periods
ended June 30, 1995 and June 30, 1994 and the consolidated statements of cash
flows for the periods ended June 30, 1995 and June 30, 1994, have been
prepared by the Company without audit. In the opinion of management, all
adjustments (which include only normal recurring adjustments) necessary to
present fairly the financial position and the results of operations have been
included. The results of operations for the periods ended June 30, 1995 are
not necessarily indicative of the operating results for the full year.
Certain information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting
principles have been omitted. It is suggested that these consolidated
financial statements be read in conjunction with the consolidated financial
statements and notes thereto included in the Mid-Atlantic Realty Trust
December 31, 1994 Annual Report to Shareholders.
Certain amounts for 1994 have been reclassified to conform to 1995
presentation.
CUMULATIVE EFFECT OF CHANGE IN ACCOUNTING PRINCIPLE
Effective January 1, 1995 the Company changed its accounting treatment for
percentage rent. Percentage rent revenues are based on store sales for
certain periods and are charged according to a percentage over a breakpoint
amount of sales for the period according to the lease agreement. During the
year ended December 31, 1994 and previously, percentage rent was recognized
as rental revenues in the period when the actual percentage rent was billed
and received. The new method recognizes percentage rent as rental revenues
in the period when the actual percentage rent is earned. The Company began
on January 1, 1995 estimating the percentage rent earned from major tenants
and recorded the amounts monthly as receivable. The cumulative effect of this
change on January 1, 1995 was $612,383. The Company believes that this
change is preferable since it provides better matching of revenues and
expenses.
GAIN ON LIFE INSURANCE PROCEEDS
In January, 1995, the Company received $1,002,000 in life insurance
proceeds as a result of the death of a former general partner with, and
officer of, BTR.
NET EARNINGS PER SHARE
Net earnings per share of common share and common share equivalents were
computed by dividing net earnings by the primary weighted average number of
common share and common share equivalents outstanding for each period. The
weighted average number of common shares and common share equivalents for the
six month periods ended June 30, 1995 and June 30, 1994 was 6,252,446 and
6,291,407, respectively. The weighted average number of common shares and
common share equivalents for the three month periods ended June 30, 1995 and
June 30, 1994 was 6,214,566 and 6,291,407, respectively.
The Company sold $60,000,000 in convertible subordinated debentures in
September, 1993. In April, 1995, $20,000 in debentures were converted to
1,904 common shares of beneficial interest and $8 (due to fractional shares).
The balance of the debentures, of $59,980,000, convertible at $10.50 per
share, if fully converted, would produce an additional 5,712,381 shares.
Pursuant to the 1993 Omnibus Share Plan ("Plan"), the Company authorized on
February 1, 1994 the availability of 300,000 shares for the Plan. Trustees,
officers and key employees of the Company, are eligible for the Plan. On
February 1, 1994, the executive compensation committee of the Board of
Trustees granted to trustees, officers and key employees 256,000 option
shares at an option price of $10.50 per share with 89,333 shares vesting on
February 1, 1994, 83,333 shares vesting on January 1, 1995 and the balance
vesting over the next year. The average market price of MART shares for the
three and six month periods ended June 30, 1995 was $8.58 and $8.32 per
share, respectively, and the closing market price at June 30, 1995 was $8.75
per share. No options were exercised during the period ended June 30, 1995
and based on the market value of MART shares, the options, if converted,
would be anti-dilutive.
ACQUISTION OF OUTSTANDING SHARES
On February 14, 1995, the MART Board of Trustees approved a stock
repurchase plan which authorizes the repurchase of up to approximately
310,000 shares. The Company purchased 98,600 shares in the six month period
ended June 30, 1995 for $760,092, at an average price of $7.71 per share.
Subsequently, the Company purchased an additional 65,500 shares in the month
of July, 1995 for $529,557, at an average price of $8.08 per share.
SHAREHOLDERS' EQUITY
During the six months ended June 30, 1995, shareholders' equity changed for
the following items:
- Net earnings of $2,534,868.
- Dividend paid by MART of $2,746,946.
- Shares purchased by MART of $760,092.
- Common shares and Additional paid in capital
increased by $19,142 due to conversion of $20,000
in debentures.
<PAGE> 6
<PAGE>
Part I. FINANCIAL INFORMATION
Item 2.
MID-ATLANTIC REALTY TRUST
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following discussion compares the operations for the three and six
month periods ended June 30, 1995 with the operations for the three and six
month periods ended June 30, 1994.
Comparison of six months ended June 30, 1995 to six months ended June 30,
1994
Rental revenues increased by $712,000 or 6% to $11,687,000 for the six
months ended June 30, 1995 from $10,975,000 for the six months ended June 30,
1994. Net increases in occupancy and rental rates contributed to project
rental increases of approximately $632,000. In addition, the purchase of the
Shoppes at Easton in September, 1994 contributed to increased rental revenues
of approximately $661,000. And, increased percentage rents of $110,000
contributed to increased rental revenues. The increases were offset by a
$460,000 decrease in rental revenues attributable to the timing change in
accounting for percentage rents. The increases were also offset by a
$139,000 decrease in rental revenues attributable to the sale in February,
1995 of the Regal Row warehouse project and the sale in December, 1994 of the
Oakton Bowling center. In addition, $92,000 in rental decreases were related
to vacancies primarily due to the redevelopment of York Road Plaza.
Other income increased by $132,000 to $581,000 from $449,000 primarily due
to additional other income from an increase due to fire insurance proceeds
for lost rent at Rolling Road damaged by a fire in December, 1992, and other
income at Harford Mall.
In total, total revenues increased by $849,000 to $12,273,000 from
$11,424,000.
Interest expense increased by $472,000 to $5,550,000 from $5,078,000
primarily due to the increased debt for the purchase of the Shoppes at
Easton.
Depreciation and amortization increased by $221,000 to $2,702,000 from
$2,481,000 primarily due to depreciation increases of approximately $121,000
related to the purchase of the Shoppes at Easton, and increased tenant
improvements to Harford Mall (Hecht's Expansion) $58,000 and to the Gateway
I & II Offices of $67,000.
Operating expenses decreased by $121,000 to $1,538,000 from $1,659,000
primarily due to higher tenant occupancy resulting in lower landlord
operating expenses.
General and administrative expenses increased by $48,000 to $830,000 from
$782,000 due primarily to a $70,000 expense for the incentive based
compensation plan offset by lower insurance & professional fee expenses.
Minority interest increased by $47,000 to $356,000 from $309,000 generally
due to higher earnings in minority interest ventures.
Earnings from operations increased by $182,000 to $1,298,000 from
$1,116,000. For the six month period ended June 30, 1995, MART recognized a
loss on the sale of the Regal Row warehouse operating property of $377,000,
a cumulative effect of a change in accounting for percentage rents of
$612,000 and a gain on life insurance proceeds of $1,002,000, which, when
combined with earnings form operations resulted in net earnings of $2,535,000
for the period. For the six month period ended June 30, 1994, MART
recognized a gain on sales of operating properties of $335,000 (which
included gains on the sales of Plantation Bowling Center of $279,000 and
Orchard Landing Apartments of $56,000), which, when combined with earnings
from operations, resulted in net earnings of $1,451,000 for the period.
Continued
<PAGE> 7
<PAGE>
MID-ATLANTIC REALTY TRUST
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANICAL CONDITION AND RESULTS OF OPERATIONS-Continued
Comparison of three months ended June 30, 1995 to three months ended June 30,
1994
Rental revenues increased by $84,000 or 1% to $5,717,000 for the three
months ended June 30, 1995 from $5,633,000 for the three months ended June
30, 1994. Net increases in occupancy and rental rates contributed to project
rental increases of approximately $293,000. In addition, the purchase of the
Shoppes at Easton in September, 1994 contributed to increased rental revenues
of approximately $325,000. And, increased percentage rents of $11,000
contributed to increased rental revenues. The increases were offset by a
$388,000 decrease in rental revenues attributable to the change in accounting
for percentage rents. The increases were also offset by a $92,000 decrease
in rental revenues attributable to the sale in February, 1995 of the Regal
Row warehouse project and the sale in December, 1994 of the Oakton Bowling
center. In addition, $65,000 in rental decreases were related to vacancies
primarily due to the redevelopment of York Road Plaza.
Other income increased by $61,000 to $296,000 from $235,000 primarily due
to other income from Harford Mall.
As of result of the above changes total revenues increased by $145,000 to
$6,013,000 from $5,868,000.
Interest expense increased by $245,000 to $2,778,000 from $2,533,000
primarily due to the increased debt for the purchase of the Shoppes at
Easton.
Depreciation and amortization increased by $110,000 to $1,360,000 from
$1,250,000 primarily due to depreciation increases of approximately $63,000
related to the purchase of the Shoppes at Easton, and increased tenant
improvements to Harford Mall (Hecht's Expansion) $32,000 and to the Gateway
I & II Offices of $37,000.
Operating expense decreased by $23,000 to $743,000 from $766,000 primarily
due to higher tenant occupancy resulting in lower landlord operating expenses
and the sale of the Regal Row warehouse project in February, 1995.
General and administrative expenses increased by $18,000 to $403,000 from
$385,000 due primarily to a $35,000 expense for the incentive based
compensation plan offset by lower insurance & professional fee expenses.
Minority interest expense decreased by $25,000 to $158,000 from $183,000
generally due to higher earnings in 1994 in minority interest ventures as a
result of the accounting change for percentage rents in 1995.
Net earnings decreased by $181,000 to $570,000 from $751,000.
Part II. OTHER INFORMATION
Item 1. Legal Proceedings - In the ordinary course of business, the
Company is involved in legal proceedings. However, there are no material
legal proceedings pending against the Company.
Item 2. Changes in Securities - None
Item 3. Defaults upon Senior Securities - None
Item 4. Submission of Matters to a Vote of Security Holders - The
Annual Meeting of Shareholders was held on May 12, 1995. Elected to serve for
the ensuing year and until the election and qualifications of their
successors were: Marc P. Blum, Robert A. Frank, LeRoy E. Hoffberger, F.
Patrick Hughes, M. Ronald Lipman, Daniel S. Stone, David Benson, and Stanley
J. Moss.
Matter Voted Upon For Against Withheld
a. Election of Trustees:
Marc P. Blum 5,851,003 - 48,344
Robert A. Frank 5,851,203 - 48,144
LeRoy E. Hoffberger 5,851,003 - 48,344
F. Patrick Hughes 5,851,203 - 48,144
M. Ronald Lipman 5,851,170 - 48,177
Daniel S. Stone 5,850,951 - 48,396
David F. Benson 5,850,918 - 48,429
Stanley J. Moss 5,850,935 - 48,412
b. Proposal to approve the appointment
of KPMG Peat Marwick LLP as the independent
certified public accountants of MART
for the fiscal year ending
December 31, 1995: 5,860,511 25,862 12,974
Because the matters voted upon at the meeting required the approval of only
a majority of the votes cast at the meeting, votes withheld, abstentions and
broker non-votes had no effect upon the ultimate outcome of the vote.
<PAGE> 8
<PAGE>
MID-ATLANTIC REALTY TRUST
Item 5. Other Information -
Summary Financial Data
The following sets forth summary financial data which has been prepared by
the Company without audit. Management believes the following data should be
used as a supplement to the historical statements of operations. The data
should be read in conjunction with the historical financial statements and
the notes thereto for MART.
MID-ATLANTIC REALTY TRUST
Summary Financial Data
(In thousands, except per share data)
Six months ended Three months ended
June 30, June 30,
1995 1994 1995 1994
Revenues $12,273 $11,424 $6,013 $5,868
Net earnings $2,535 $1,451 $570 $751
Net earnings per share-primary $0.41 $0.23 $0.09 $0.12
OTHER FINANCIAL DATA:
Funds from operations
(FFO) (1)(2)-primary $3,996 $3,597 $1,930 $2,001
FFO - fully diluted (2) $6,283 $5,913 $3,074 $3,144
Weighted average number of
shares outstanding - primary 6,252 6,291 6,215 6,291
Weighted average number of shares
outstanding - fully diluted 11,965 12,005 11,927 12,005
SELECTED CASH FLOW DATA:
Net cash flow provided by
(used in) operating activities $6,575 $3,861
(1) Funds from operations as defined by the National Association of Real
Estate Investment Trusts, Inc. (NAREIT) - Funds from operations means net
income (computed in accordance with generally accepted accounting
principles), excluding cumulative effects of changes in accounting
principles, extraordinary or unusual items, and gains (or losses) from debt
restructuring and sales of property, plus depreciation and amortization, and
after adjustments for unconsolidated partnerships and joint ventures. FFO
does not represent cash flows from operations as defined by generally
accepted accounting principles (GAAP). FFO is not indicative that cash flows
are adequate to fund all cash needs and is not to be considered as an
alternative to net income as defined by GAAP. The presentation of funds from
operations is not normally included in financial statements prepared in
accordance with GAAP.
(2) FFO for the six and three months ended June 30, 1994, if presented on
the same basis as 1995 would be lower due to a change in the accounting
treatment of percentage rents of approximately $460,000,( or $.07 per share,
primary, or $.04 per share fully diluted) and $388,000 (or $.06 per share,
primary, or $.03 per share fully diluted), respectively. The new method of
accounting for percentage rents, which is described in the notes to the
consolidated financial statements, was adopted effective January 1, 1995.
Item 6. Exhibits and Reports on Form 8-K -
Exhibit No. 18 - Letter regarding change in accounting principles
None
Exhibit No. 27 - Financial Data Schedule
Filed thru EDGAR
<PAGE> 9
<PAGE>
MID-ATLANTIC REALTY TRUST AND SUBSIDIARIES
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.
MID-ATLANTIC REALTY TRUST AND
SUBSIDIARIES
(Registrant)
Date 7/27/95 By /s/ F. Patrick Hughes
F. Patrick Hughes
President
Principal Executive Officer
Date 7/27/95 By /s/ Paul G. Bollinger
Paul G. Bollinger
Controller
Principal Financial Officer
<PAGE> 10
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUN-30-1995
<CASH> 729
<SECURITIES> 0
<RECEIVABLES> 1,430
<ALLOWANCES> 328
<INVENTORY> 0
<CURRENT-ASSETS><F1> 0
<PP&E> 157,590
<DEPRECIATION> 38,132
<TOTAL-ASSETS> 165,144
<CURRENT-LIABILITIES><F1> 0
<BONDS> 120,671
<COMMON> 62
0
0
<OTHER-SE> 23,841
<TOTAL-LIABILITY-AND-EQUITY> 165,144
<SALES> 0
<TOTAL-REVENUES> 12,273
<CGS> 0
<TOTAL-COSTS> 10,619
<OTHER-EXPENSES> 356
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 5,549
<INCOME-PRETAX> 1,923
<INCOME-TAX> 0
<INCOME-CONTINUING> 1,923
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 612
<NET-INCOME> 2,535
<EPS-PRIMARY> .41
<EPS-DILUTED> .41
<FN>
<F1> Mid-Atlantic Realty Trust (MART) is in the specialized real estate
<F1> industry for which the current/noncurrent distinction is deemed in
<F1> practice to have little or no relevance. Therefore, MART prepares
<F1> unclassified balance sheets which do not report current assets or
<F1> current liabilities.
</FN>
</TABLE>
