<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
/X/ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 1995
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 0-23886
CRONOS GLOBAL INCOME FUND XV, L.P.
(Exact name of registrant as specified in its charter)
California 94-2966976
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
444 Market Street, 15th Floor, San Francisco, California 94111
(Address of principal executive offices) (Zip Code)
(415) 677-8990
(Registrant's telephone number, including area code)
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> 2
CRONOS GLOBAL INCOME FUND XV, L.P.
REPORT ON FORM 10-Q FOR THE QUARTERLY
PERIOD ENDED SEPTEMBER 30, 1995
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE
<S> <C>
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
Balance Sheets - September 30, 1995 (unaudited) and December 31, 1994 2
Statements of Operations for the three months ended September 30, 1995 3
and 1994, the nine months ended September 30, 1995 and for the
period February 22, 1994 (commencement of operations) to September 30,
1994 (unaudited)
Statements of Cash Flows for the nine months ended September 30, 1995
and for the period February 22, 1994 (commencement of operations) to 4
September 30, 1994 (unaudited)
Notes to Financial Statements (unaudited) 5
Item 2. Management's Discussion and Analysis of Financial Condition and Results of 8
Operations
PART II - OTHER INFORMATION
Item 5. Other Materially Important Events 10
Item 6. Exhibits and Reports on Form 8-K 11
</TABLE>
<PAGE> 3
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
Presented herein are the Registrant's balance sheets as of September
30, 1995 and December 31, 1994, statements of operations for the three
months ended September 30, 1995 and 1994, the nine months ended
September 30, 1995 and for the period February 22, 1994 (commencement
of operations) to September 30, 1994, and statements of cash flows for
the nine months ended September 30, 1995 and for the period February
22, 1994 (commencement of operations) to September 30, 1994.
<PAGE> 4
CRONOS GLOBAL INCOME FUND XV, L.P.
BALANCE SHEETS
(UNAUDITED)
<TABLE>
<CAPTION>
September 30, December 31,
1995 1994
------------- ------------
<S> <C> <C>
Assets
------
Current assets:
Cash, includes $1,458,884 at September 30, 1995 and $346,553
at December 31, 1994 in interest-bearing accounts $ 1,460,391 $ 580,368
Short-term investments 3,200,000 1,151,835
Net lease receivables due from Leasing Company
(notes 1 and 2) 2,398,040 1,016,734
-------------- -------------
Total current assets 7,058,431 2,748,937
-------------- -------------
Container rental equipment, at cost 94,195,195 58,738,731
Less accumulated depreciation 4,937,968 1,419,601
-------------- -------------
Net container rental equipment 89,257,227 57,319,130
-------------- -------------
Organizational costs, net 2,165,463 1,427,721
-------------- -------------
$ 98,481,121 $ 61,495,788
============== =============
Liabilities and Partners' Capital
---------------------------------
Current liabilities:
Due to general partner (notes 1 and 3) $ 372,097 $ 1,284,467
Equipment debt 5,592,767 16,534,256
Interest payable 81,069 46,000
Due to manufacturers 1,849,000 1,683,500
-------------- -------------
Total current liabilities 7,894,933 19,548,223
-------------- -------------
Partners' capital:
General partner 6,291 6,200
Limited partners 90,579,897 41,941,365
-------------- -------------
Total partners' capital 90,586,188 41,947,565
-------------- -------------
$ 98,481,121 $ 61,495,788
============== =============
</TABLE>
The accompanying notes are an integral part of this statement
2
<PAGE> 5
CRONOS GLOBAL INCOME FUND XV, L.P.
STATEMENTS OF OPERATIONS
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended Nine
------------------------------ Months Ended For the Period February 22,
September 30, September 30, September 30, (Commencement of Operations)
1995 1994 1995 through September 30, 1994
------------- -------------- -------------- ----------------------------
<S> <C> <C> <C> <C>
Net lease revenue (notes 1 and 4) $ 3,570,505 $ 1,333,352 $ 9,177,491 $ 2,093,982
Other operating expenses
Depreciation and amortization 1,455,907 316,192 3,797,398 869,585
Other general and
administrative expenses 9,348 13,737 73,814 17,915
------------- ------------- ------------- -------------
1,465,255 329,929 3,871,212 887,500
------------- ------------- ------------- -------------
Earnings from operations 2,105,250 1,003,423 5,306,279 1,206,482
Other income:
Interest income 26,506 3,210 66,417 3,493
Net gain on disposal of equipment 25,582 1,916 32,348 2,394
Interest expense (287,639) (185,322) (784,675) (185,322)
------------- ------------- ------------- -------------
(235,551) (180,196) (685,910) (179,435)
------------- ------------- ------------- -------------
Net earnings $ 1,869,699 $ 823,227 $ 4,620,369 $ 1,027,047
============= ============= ============= =============
Allocation of net earnings:
General partner $ 99,174 $ 20,780 $ 230,624 $ 24,962
Limited partners 1,770,525 802,447 4,389,745 1,002,085
------------- ------------- ------------- -------------
$ 1,869,699 $ 823,227 $ 4,620,369 $ 1,027,047
============= ============= ============= =============
Limited partners' per unit share
of net earnings $ .40 $ .65 $ 1.24 $ 1.20
============= ============= ============= =============
</TABLE>
The accompanying notes are an integral part of this statement
3
<PAGE> 6
CRONOS GLOBAL INCOME FUND XV, L.P.
STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
Nine For the Period February 22,
Months Ended (Commencement of Operations)
September 30, 1995 through September 30, 1994
------------------ -----------------------------
<S> <C> <C>
Net cash provided by operating activities $ 6,803,569 $ 959,310
Net cash provided by (used in) investing activities:
Proceeds from sale of container rental equipment 76,764 3,118
Purchase of container rental equipment (33,724,645) (40,568,640)
Acquisition fees to general partner (2,251,052) (1,354,874)
-------------- -------------
Net cash used in investing activities (35,898,933) (41,920,396)
-------------- -------------
Cash flows provided by (used in) financing activities:
Capital contributions 54,032,140 33,459,020
Underwriting commissions (5,403,214) (3,345,812)
Offering and organizational expenses (1,052,338) (1,202,871)
Distribution to partners (4,610,672) (564,198)
Borrowings from revolving credit facility 33,060,237 21,030,569
Repayments to revolving credit facility (44,001,726) (7,559,413)
Loan origination costs (875) (93,750)
-------------- -------------
Net cash provided by financing activities 32,023,552 41,723,545
-------------- -------------
Net increase in cash and cash equivalents 2,928,188 762,459
Cash and cash equivalents at January 1 1,732,203 100
-------------- -------------
Cash and cash equivalents at September 30 $ 4,660,391 $ 762,559
============== =============
Supplemental disclosure for cash flow information:
Cash paid during the period for:
Interest $ 640,279 $ -
============== =============
</TABLE>
The accompanying notes are an integral part of this statement
4
<PAGE> 7
CRONOS GLOBAL INCOME FUND XV, L.P.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
SEPTEMBER 30, 1995 AND DECEMBER 31, 1994
(1) Summary of Significant Accounting Policies
(a) Nature of Operations
Cronos Global Income Fund XV, L.P. (the "Partnership") is a limited
partnership organized under the laws of the State of California on
August 26, 1993, for the purpose of owning and leasing marine cargo
containers, special purpose containers and container-related
equipment. Cronos Capital Corp. ("CCC") is the general partner and,
with its affiliate Cronos Containers Limited (the "Leasing Company"),
manages and controls the business of the Partnership.
(b) Leasing Company and Leasing Agent Agreement
The Partnership has entered into a Leasing Agent Agreement whereby the
Leasing Company has the responsibility to manage the leasing
operations of all equipment owned by the Partnership. Pursuant to the
Agreement, the Leasing Company is responsible for leasing, managing
and re-leasing the Partnership's containers to ocean carriers and has
full discretion over which ocean carriers and suppliers of goods and
services it may deal with. The Leasing Agent Agreement permits the
Leasing Company to use the containers owned by the Partnership,
together with other containers owned or managed by the Leasing Company
and its affiliates, as part of a single fleet operated without regard
to ownership. Since the Leasing Agent Agreement meets the definition
of an operating lease in Statement of Financial Accounting Standards
(SFAS) No. 13, it is accounted for as a lease under which the
Partnership is lessor and the Leasing Company is lessee.
The Leasing Agent Agreement generally provides that the Leasing
Company will make payments to the Partnership based upon rentals
collected from ocean carriers after deducting direct operating
expenses and management fees to CCC and the Leasing Company. The
Leasing Company leases containers to ocean carriers, generally under
operating leases which are either master leases or term leases (mostly
two to five years). Master leases do not specify the exact number of
containers to be leased or the term that each container will remain on
hire but allow the ocean carrier to pick up and drop off containers at
various locations; rentals are based upon the number of containers
used and the applicable per-diem rate. Accordingly, rentals under
master leases are all variable and contingent upon the number of
containers used. Most containers are leased to ocean carriers under
master leases; leasing agreements with fixed payment terms are not
material to the financial statements. Since there are no material
minimum lease rentals, no disclosure of minimum lease rentals is
provided in these financial statements.
(c) Basis of Accounting
The Partnership utilizes the accrual method of accounting. Revenue is
recognized when earned.
(d) Financial Statement Presentation
These financial statements have been prepared without audit. Certain
information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting
procedures have been omitted. It is suggested that these financial
statements be read in conjunction with the financial statements and
accompanying notes in the Partnership's latest annual report on Form
10-K.
The interim financial statements presented herewith reflect all
adjustments of a normal recurring nature which are, in the opinion of
management, necessary to a fair statement of the financial condition
and results of operations for the interim periods presented.
(Continued)
5
<PAGE> 8
CRONOS GLOBAL INCOME FUND XV, L.P.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
(2) Net Lease Receivables Due from Leasing Company
Net lease receivables due from the Leasing Company are determined by
deducting direct operating payables and accrued expenses, base management
fees payable, and reimbursed administrative expenses payable to CCC, the
Leasing Company, and its affiliates from the rental billings payable by the
Leasing Company to the Partnership under operating leases to ocean carriers
for the containers owned by the Partnership. Net lease receivables at
September 30, 1995 and December 31, 1994 were as follows:
<TABLE>
<CAPTION>
September 30, December 31,
1995 1994
------------- ------------
<S> <C> <C>
Lease receivables, net of doubtful accounts
of $154,147 at September 30, 1995 and $36,173 at
December 31, 1994 $ 4,198,305 $ 2,411,847
Less:
Direct operating payables and accrued expenses 865,457 491,125
Damage protection reserve 483,071 147,330
Base management fees 365,352 435,866
Reimbursed administrative expenses 86,385 320,792
------------ ------------
$ 2,398,040 $ 1,016,734
============ ============
</TABLE>
(3) Due to General Partner
The amounts due to CCC at September 30, 1995 and December 31, 1994 were as
follows:
<TABLE>
<CAPTION>
September 30, December 31,
1995 1994
------------- ------------
<S> <C> <C>
Acquisition fees $ 372,097 $ 928,677
Equipment payable - 355,790
------------ ------------
$ 372,097 $ 1,284,467
============ ============
</TABLE>
(Continued)
6
<PAGE> 9
CRONOS GLOBAL INCOME FUND XV, L.P.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
(4) Net Lease Revenue
Net lease revenue is determined by deducting direct operating expenses,
management fees and reimbursed administrative expenses to CCC, the Leasing
Company, and its affiliates from the rental revenue billed by the Leasing
Company under operating leases to ocean carriers for the containers owned
by the Partnership. Net lease revenue for the three months ended September
30, 1995 and 1994, the nine months ended September 30, 1995 and the period
February 22, 1994 (commencement of operations) through September 30, 1994
were as follows:
<TABLE>
<CAPTION>
For the Period
Three Months Ended Nine February 22,
------------------------------- Months Ended (Commencement of
September 30, September 30, September 30, Operations) through
1995 1994 1995 September 30, 1994
------------- ------------- ------------- -------------------
<S> <C> <C> <C> <C>
Rental revenue $ 4,941,181 $ 2,065,529 $ 12,969,132 $ 3,012,927
Rental equipment operating
expenses 749,557 516,874 2,169,742 590,881
Base management fees 338,259 123,864 899,564 189,701
Reimbursed administrative
expenses 282,860 91,439 722,335 138,363
------------ ----------- ------------- -----------
$ 3,570,505 $ 1,333,352 $ 9,177,491 $ 2,093,982
============ =========== ============= ===========
</TABLE>
(5) Equipment Purchases
As of September 30, 1995, the Partnership had purchased the following types
of equipment:
<TABLE>
<CAPTION>
Purchased from
Purchased Container Total
Equipment Type from CCC Manufacturers Purchased
-------------- -------- ------------- ---------
<S> <C> <C> <C>
Dry Cargo Containers:
Twenty-foot 8,357 14,322 22,679
Forty-foot 2,884 3,300 6,184
Forty-foot high-cube 397 600 997
Refrigerated Cargo Containers:
Twenty-foot 163 100 263
Forty-foot high-cube 100 - 100
Tank Containers:
24,000-liter 133 32 165
</TABLE>
The aggregate purchase price (excluding acquisition fees) of the equipment
acquired by the Partnership through September 30, 1995, was $89,853,445, of
which $82,411,515 was paid from the Net Proceeds of this offering,
$5,592,767 was paid from the proceeds of a bridge loan obtained by the
Partnership, and $1,849,163 remained payable to equipment manufacturers. Of
the total equipment acquired, $39,848,196 thereof had been acquired from
CCC or its affiliates and $50,005,249 thereof had been acquired directly
from third-party container manufacturers located in Taiwan, South Korea,
India, Indonesia, the People's Republic of China, Italy and the United
Kingdom. Equipment acquired from CCC or its affiliates had been purchased
by CCC and its affiliates as new equipment, and was resold to the
Partnership at cost, minus the net revenues earned by CCC in operating the
equipment prior to its resale to the Partnership. At September 30, 1995,
the Partnership has committed to purchase from container manufacturers an
additional 800 forty-foot and 200 forty-foot high-cube dry cargo
containers, as well as 100 twenty-foot and 100 forty-foot refrigerated
containers, at an aggregate manufacturers' invoice cost of approximately
$8,162,000, during the fourth quarter of 1995 and first quarter of 1996.
7
<PAGE> 10
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
It is suggested that the following discussion be read in conjunction with the
Registrant's most recent annual report on Form 10-K.
1) Material changes in financial condition between September 30, 1995 and
December 31, 1994.
At September 30, 1995, the Registrant had raised $100,061,620 through the
offering of limited partnership interests, from which it had paid brokerage
commissions, reimbursed the General Partner for public offering expenses,
and purchased equipment.
In addition to the Net Proceeds used to purchase equipment from the General
Partner and equipment manufacturers, the Registrant financed the purchase
of additional equipment with proceeds from a $25,000,000 bridge loan. The
loan was obtained on July 22, 1994 from one lending source, allowing the
Registrant to take advantage of equipment purchasing opportunities. At
September 30, 1995, the Registrant had $5,592,767 outstanding under its
bridge loan. As of said date, the average annual interest on monies
borrowed under the facility was 8.30% per annum. The amounts borrowed are
secured by the grant of a security interest in all of the Registrant's
assets, including its equipment. Amounts borrowed under the loan are due on
the earlier of the 30th day following the termination date of the offering
or January 14, 1996. The Registrant anticipates repaying amounts borrowed
under the facility with the Net Proceeds from this offering. Because the
units in the Partnership are being offered on a "best efforts" basis, there
is no guarantee that there will be sufficient Net Proceeds from this
offering to fully retire the bridge loan. To the extent Net Proceeds are
insufficient to fully repay the bridge loan, the General Partner has
committed to purchase a sufficient number of containers from the Registrant
to enable the Registrant to do so.
At September 30, 1995, the Registrant has committed to purchase from
container manufacturers 800 forty-foot and 200 forty-foot high-cube dry
cargo containers, as well as 100 twenty-foot and 100 forty-foot
refrigerated containers, at an aggregate manufacturers' invoice cost of
approximately $8,162,000. The Registrant expects to accept delivery of this
new equipment during the fourth quarter of 1995 and first quarter of 1996.
Thereafter, the Registrant expects to reinvest excess cash generated from
operations and equipment disposals to purchase additional new and used
equipment.
The Registrant's cash balances as of September 30, 1995 included cash
generated from operations, together with interest earned thereon, and
amounts reserved as working capital. Net lease receivables due from the
Leasing Company are determined by deducting direct operating payables and
accrued expenses, base management fees payable, and reimbursed
administrative expenses payable to CCC and its affiliates from the rental
billings payable by the Leasing Company to the Registrant. During the
Registrant's first year of operations, (February 22, 1994 (commencement of
operations) to December 31, 1994), the General Partner and its affiliates
deferred the payment of all management and reimbursable administrative
expenses deducted from the lease receivables due to the Registrant. At
December 31, 1994, these deferred fees and expenses totaled approximately
$757,000. During the first nine months of 1995, all remaining deferred fees
and expenses were paid to CCC and the Leasing Company.
8
<PAGE> 11
2) Material changes in the results of operations between the three-month
periods ended September 30, 1995 and 1994, the nine-month period ended
September 30, 1995 and the period February 22, 1994 (commencement of
operations) to September 30, 1994.
Net lease revenue, other operating expenses, other income and expenses, and
net earnings for the three-month period ended September 30, 1995 increased
significantly over the same period in the prior year, as the Registrant did
not commence operations until February 22, 1994. For the period January 1,
1995 to September 30, 1995, the Registrant's net earnings were $4,620,369
and were comprised of net lease revenue, less depreciation and amortization
of $3,797,398 and interest expense of $784,675, as well as interest income,
gain on disposal of equipment and general and administrative expense. The
Registrant will incur interest expense only during the availability of the
revolving credit facility, which will expire no later than January 1996.
The Registrant's net lease revenue is determined by deducting direct
operating expenses, management fees and reimbursed administrative expenses
from the rental revenues billed by the Leasing Company from the
Registrant's containers. The Registrant's net lease revenue is directly
related to the size of its fleet and the utilization and lease rates of the
equipment owned by the Registrant. Direct operating expenses include
repositioning costs, storage and handling expenses, agent fees and
insurance premiums, as well as provisions for doubtful accounts and repair
costs for containers covered under damage protection plans. Direct
operating costs are affected by the quantity of off-hire containers as well
as the frequency at which the containers are redelivered. During the
build-up phase of the Registrant's fleet, direct operating costs may be
greater if containers purchased directly from container manufacturers
experience an off-hire period while they are marketed and repositioned for
initial lease-out, during which period the Registrant experiences storage,
handling and repositioning costs. At the same time, direct operating costs
may be lessened with respect to containers purchased directly from the
General Partner. Such containers are generally on-hire and, in most cases,
generating revenues at the time of purchase.
The Registrant's fleet size, as measured in twenty-foot equivalent units
("TEU"), and average utilization rates at September 30, 1995 and September
30, 1994 were as follows:
<TABLE>
<CAPTION>
September 30, September 30,
1995 1994
------------- -------------
<S> <C> <C>
Fleet size (measured in twenty-foot
equivalent units (TEU))
Dry cargo containers
36,983 16,636
Refrigerated containers 363 350
Tank containers 165 30
Average utilization
Dry cargo containers 87.5% 86.7%
Refrigerated containers 99.3% 100.0%
Tank containers 96.9% 100.0%
</TABLE>
The utilization rates of the Registrant's fleet are expected to fluctuate
and eventually stabilize, as the Registrant continues its build-up phase of
operations through 1995 and early 1996.
9
<PAGE> 12
PART II - OTHER INFORMATION
Item 5. Other Materially Important Events
Equipment Acquisitions
Pursuant to its undertakings made in its Registration Statement No.
33-69356, Section 7.2 (h) of the Partnership Agreement, the Registrant
had purchased the following types of equipment as of September 30,
1995:
<TABLE>
<CAPTION>
Purchased Registrant's
Purchased from from Container Total Average Cost
Equipment Type the General Partner Manufacturers Purchased Per Container
-------------- ------------------- ------------- --------- -------------
<S> <C> <C> <C> <C>
Dry Cargo Containers:
Twenty-foot 8,357 14,322 22,679 $ 2,357
Forty-foot 2,884 3,300 6,184 $ 3,754
Forty-foot high-cube 397 600 997 $ 3,974
Refrigerated Cargo Containers:
Twenty-foot 163 100 263 $ 18,458
Forty-foot high-cube 100 - 100 $ 23,094
Tank Containers:
24,000-liter 133 32 165 $ 23,652
</TABLE>
The aggregate purchase price (excluding acquisition fees) of the
equipment acquired by the Registrant through September 30, 1995, was
$89,853,445, of which $82,411,515 was paid from the Net Proceeds of
this offering, $5,592,767 was paid from the proceeds of a bridge loan
obtained by the Registrant and remained outstanding as of September
30, 1995, and $1,849,163 remained payable to equipment manufacturers.
Of this equipment, $39,848,196 thereof had been acquired from the
General Partner and $50,005,249 thereof had been acquired from
third-party container manufacturers located in Taiwan, South Korea,
India, Indonesia, the People's Republic of China, Italy, and the
United Kingdom. Equipment acquired from the General Partner had been
purchased by the General Partner as new equipment, and was resold to
the Registrant at cost, minus the net revenues earned by the General
Partner in operating the equipment prior to its resale to the
Registrant.
All future Net Proceeds will be used first to repay the bridge loan
and, secondly, to purchase additional equipment. If sufficient Net
Proceeds are not raised to repay the bridge loan, the General Partner
has committed to the Registrant to purchase a sufficient number of
containers from the Registrant to enable the Registrant to repay the
bridge loan.
At September 30, 1995, the Registrant has committed to purchase from
container manufacturers an additional 800 forty-foot and 200
forty-foot high-cube dry cargo containers, as well as 100 twenty-foot
and 100 forty-foot refrigerated containers, at an aggregate
manufacturers' invoice cost of approximately $8,162,000.
10
<PAGE> 13
PART II - OTHER INFORMATION
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
<TABLE>
<CAPTION>
Number Description Method of Filing
------ ----------- ----------------
<S> <C> <C>
27 Financial Data Schedule Filed with this Document
</TABLE>
(b) In lieu of filing a current report on Form 8-K, the Registrant has
provided in Part II, Item 5 hereof, a description of its purchase
of marine cargo containers during the three-month period ended
September 30, 1995.
11
<PAGE> 14
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.
CRONOS GLOBAL INCOME FUND XV, L.P.
By Cronos Capital Corp.
The General Partner
By /s/ JOHN KALLAS
---------------------------------------
John Kallas
Vice President, Chief Financial Officer
Principal Accounting Officer
Date: November 13, 1995
12
<PAGE> 15
EXHIBIT INDEX
<TABLE>
<CAPTION>
Exhibit
No. Description
------- -----------
<S> <C>
27 Financial Data Schedule
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE BALANCE
SHEET AT SEPTEMBER 30, 1995 (UNAUDITED) AND THE STATEMENT OF OPERATIONS FOR THE
NINE MONTHS ENDED SEPTEMBER 30, 1995 (UNAUDITED) AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS INCLUDED AS PART OF ITS
QUARTERLY REPORT ON FORM 10-Q FOR THE PERIOD SEPTEMBER 30, 1995
</LEGEND>
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> JAN-01-1995
<PERIOD-END> SEP-30-1995
<CASH> 4,660,391
<SECURITIES> 0
<RECEIVABLES> 2,398,040
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 7,058,431
<PP&E> 94,195,195
<DEPRECIATION> 4,937,968
<TOTAL-ASSETS> 98,481,121
<CURRENT-LIABILITIES> 7,894,933
<BONDS> 0
<COMMON> 0
0
0
<OTHER-SE> 90,586,188
<TOTAL-LIABILITY-AND-EQUITY> 98,481,121
<SALES> 0
<TOTAL-REVENUES> 9,276,256
<CGS> 0
<TOTAL-COSTS> 3,871,212
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 784,675
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 4,620,369
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
