August 13, 1996
Securities and Exchange Commission
Filer Support, Edgar
Operation Center, Stop 0-7
6432 General Green Way
Alexandria, VA 22312
Re: Boston Financial Apartment Properties Limited Partnership
Report on Form 10-Q Edgar for Quarter Ended June 30, 1996
File No. 33-78152
Dear Sir/Madam:
Pursuant to the requirements of Rule 901(d) of Regulation S-T, enclosed is
one copy of subject report.
Very truly yours,
Marie D. Reynolds
Assistant Controller
REATA Q2 96
<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Under Section 13 or 15(d) of the Securities Exchange Act
of 1934
(Mark One)
[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1996
--------------------------------
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
For Quarter Ended June 30, 1996 Commission file number 33-78152
Boston Financial Apartment Properties Limited Partnership
(Exact name of registrant as specified in its charter)
Massachusetts 04-3228655
State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization
101 Arch Street, Boston, Massachusetts 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 APARTMENT PROPERTIES
Limited Partnership
TABLE OF CONTENTS
Page No.
PART I FINANCIAL STATEMENTS
Item 1. Financial Statements
Balance Sheets - June 30, 1996 (Unaudited)
and December 31, 1995 1
Statements of Operations (Unaudited) - For the Three
and Six Months Ended June 30, 1996 and 1995 2
Statements of Changes in Partners' Equity (Unaudited) -
For the Six Months Ended June 30, 1996 3
Statements of Cash Flows (Unaudited) - For the Six
Months Ended June 30, 1996 and 1995 4
Notes to the Financial Statements (Unaudited) 5
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 6
PART II - OTHER INFORMATION
Items 1-6 7
SIGNATURE 8
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
BALANCE SHEETS
<TABLE>
<CAPTION>
June 30, December 31,
1996 1995
(Unaudited)
Assets
<S> <C> <C>
Fixed assets, at cost:
Land $ 2,810,958 $ 2,810,958
Buildings and improvements 8,447,473 8,446,775
Office equipment 2,540 2,540
------------ ------------
11,260,971 11,260,273
Less accumulated depreciation (562,527) (410,974)
------------- ------------
10,698,444 10,849,299
------------ ------------
Other assets:
Cash and cash equivalents 197,319 209,851
Tenant security deposits (restricted) 52,318 52,521
Escrow deposits 147,078 292,356
Reserve for replacement 250,000 250,000
Other assets 2,626 8,325
Organizational costs, net of accumulated amortization
of $12,185 and $9,006 in 1996 and 1995, respectively 19,601 22,780
------------ ------------
668,942 835,833
------------ ------------
Total Assets $ 11,367,386 $ 11,685,132
============ ============
Liabilities and Partners' Equity
Liabilities:
Accounts payable and accrued expenses $ 157,115 $ 310,783
Deferred rental revenue 3,112 4,926
Due to affiliates 6,152 5,636
Tenant security deposits 50,528 51,878
------------ ------------
Total Liabilities 216,907 373,223
------------ ------------
Partners' Equity
General Partner 5,477 2,723
Limited Partners 11,145,002 11,309,186
------------ ------------
Total Partners' Equity 11,150,479 11,311,909
------------ ------------
Total Liabilities and Partners' Equity $ 11,367,386 $ 11,685,132
============ ============
</TABLE>
The accompanying notes are an integral part of these financial statements
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
STATEMENTS OF OPERATIONS
(Unaudited)
For the Three and Six Months Ended June 30, 1996 and 1995
<TABLE>
<CAPTION>
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
1996 1995 1996 1995
----------- ----------- ----------- -------
<S> <C> <C> <C> <C>
Revenue:
Rental $377,273 $ 381,219 $ 773,588 $ 768,683
Interest and Other 4,928 8,500 15,802 12,073
-------- --------- --------- ---------
Total Revenue 382,201 389,719 789,390 780,756
-------- --------- --------- ---------
Expenses:
Property operating 94,321 85,751 172,833 150,737
Depreciation and amortization 77,366 153,546 154,732 272,755
Real estate taxes 73,690 73,035 147,818 146,220
Interest - affiliate - (2,201) - 27,216
Management fees - affiliate 18,886 19,347 38,637 38,614
Interest - - - 13,950
-------- --------- --------- ---------
Total Expenses 264,263 329,478 514,020 649,492
-------- --------- --------- ---------
Net Income $117,938 $ 60,241 $ 275,370 $ 131,264
======== ========= ========= =========
Net Income allocated:
General Partner $ 1,180 $ 603 $ 2,754 $ 1,313
Limited Partners 116,758 59,638 272,616 129,951
-------- --------- --------- ---------
$117,938 $ 60,241 $ 275,370 $ 131,264
======== ========= ========= =========
Net Income per Limited Partnership Unit
(260 Units for the three and six months
ended June 30, 1996 and for the three
months ended June 30, 1995. Weighted
average of 238 Units for the six months
ended June 30, 1995.) $ 449 $ 229 $ 1,048 $ 546
======== ========= ========= =========
</TABLE>
The accompanying notes are an integral part of these financial statements
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
STATEMENT OF CHANGES IN PARTNERS' EQUITY
(Unaudited)
For the Six Months Ended June 30, 1996
<TABLE>
<CAPTION>
General Limited
Partner Partners Total
<S> <C> <C> <C>
Balance at December 31, 1995 $ 2,723 $ 11,309,186 $ 11,311,909
Cash distributions - (436,800) (436,800)
Net income 2,754 272,616 275,370
---------- ------------- -------------
Balance at June 30, 1996 $ 5,477 $ 11,145,002 $ 11,150,479
========== ============= =============
</TABLE>
The accompanying notes are an integral part of these financial statements
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
STATEMENTS OF CASH FLOWS
(Unaudited)
For the Six Months Ended June 30, 1996 and 1995
<TABLE>
<CAPTION>
1996 1995
--------------- ----------
<S> <C> <C>
Net cash provided by (used for) operating activities $ 279,688 $ (212,240)
---------- -----------
Cash flows from investing activities:
Purchase of fixed assets (698) (225,353)
Escrow deposits - 1,740,000
Real estate tax escrow 145,278 -
Funding of reserves - (250,000)
---------- -----------
Net cash provided by investing activities 144,580 1,264,647
---------- -----------
Cash flows from financing activities:
Proceeds from sales of partnership interests - 5,400,000
Syndication costs - (464,138)
Repayment of note payable - (3,370,801)
Repayment of note payable to affiliate - (2,140,000)
Cash distributions (436,800) (283,975)
---------- -----------
Net cash used for financing activities (436,800) (858,914)
---------- -----------
Net increase (decrease) in cash and cash equivalents (12,532) 193,493
Cash and cash equivalents, beginning of period 209,851 158,108
---------- -----------
Cash and cash equivalents, end of period $ 197,319 $ 351,601
========== ===========
Supplemental disclosure of cash flow activity:
Cash paid for interest $ - $ 129,157
========== ===========
The accompanying notes are an integral part of these financial statements
</TABLE>
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
Notes to the 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 December 31, 1995. 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 reclassifications
have been made to prior period financial statements to conform to current period
classifications.
No significant events have occurred subsequent to fiscal year 1995, and no
material contingencies exist which require disclosure in this interim report per
Regulation S-X, Rule 10-01, Paragraph (a)(5).
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
Management's Discussion and Analysis of
Financial Condition and Results of Operations
Liquidity and Capital Resources
At June 30, 1996, the Partnership had cash and cash equivalents of $197,319,
compared with $209,851 at December 31, 1995. There are no significant changes to
cash and cash equivalents during the period due to relatively stable property
operations.
As of June 30, 1996, the Partnership had accounts payable and accrued expenses
of $157,115 compared to $310,783 at December 31, 1995. This decrease is
primarily attributable to the payment of 1995 real estate taxes in 1996.
The Partnership paid distributions of $234,780 and $202,020 on February 5, 1996
and May 5, 1996, respectively. The February 5, 1996 distribution related to the
quarter ending December 31, 1995. The distribution paid May 5, 1996 related to
the quarter ending March 31, 1996. Limited Partners will potentially receive an
8% return on their investment during 1996.
Results of Operations
For the three and six months ended June 30, 1996, Partnership operations
resulted in net income of $117,938 and $275,370, respectively, compared to net
income of $60,241 and $131,264, for the respective periods in 1995. At June 30,
1996 and 1995, the property's occupancy rates were 96% and 97%, respectively.
The increase in net income for the 1996 periods is due primarily to interest and
amortization expense incurred in 1995 related to syndication activity.
During the 1995 periods, the Partnership incurred interest and amortization
expenses in order to finance a portion of the purchase price of the property.
The loans were repaid in 1995 from the proceeds of Unit sales.
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
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 June 30, 1996.
<PAGE>
BOSTON FINANCIAL APARTMENT PROPERTIES
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 August 13, 1996 BOSTON FINANCIAL APARTMENT PROPERTIES
Limited Partnership
By: BF Growth Properties Limited Partnership,
its General Partner
By: BF Growth Properties, Inc.
its General Partner
/s/Vincent J. Costantini
Vincent J. Costantini
Vice President and Treasurer
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-END> JUN-30-1996
<CASH> 197,319
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 2,626
<PP&E> 11,260,971
<DEPRECIATION> 562,527
<TOTAL-ASSETS> 11,367,386<F1>
<CURRENT-LIABILITIES> 216,907
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 11,150,479
<TOTAL-LIABILITY-AND-EQUITY> 11,367,386
<SALES> 0
<TOTAL-REVENUES> 789,390<F2>
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 514,020<F3>
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 275,370
<EPS-PRIMARY> 1,048
<EPS-DILUTED> 0
<FN>
<F1> Includes tenant security deposits of $52,318, Escrow deposits of
$147,078, Replacement reserves of $250,000, and Organizational costs, net of
$19,601.
<F2>Represents Rental revenue of $773,588 and Interest and other revenue of
$15,802.
<F3>Includes $154,732 of Depreciation and amortization expense, $147,818 of Real
estate taxes, $172,833 of Property operating and $38,637 of Management fees.
</FN>
