| 2. Investment in Local Partnerships | 2. Investment in Local Partnerships The Partnership initially acquired limited partner equity interests (the Local Partnership Interests) in fifty partnerships (the Local Partnerships) representing capital contributions in the aggregate amount of $48,460,126, which includes voluntary advances (the Advances) made to certain Local Partnerships and all of which has been paid. As of December 30, 2015, the Partnership holds a Local Partnership Interest in one Local Partnership (Littleton Avenue Community Village, L.P. (Littleton)). The Partnership has no legal obligation to fund any of Littletons operating deficits. The results of operations of the Local Partnerships are provided by the general partners of the Local Partnerships (the Local General Partners) on an unaudited basis during interim periods. In the event the operations of a Local Partnership result in a loss, equity in loss of each investment in Local Partnership allocated to the Partnership is recognized to the extent of the Partnerships investment balance in each Local Partnership. Equity in loss in excess of the Partnerships investment balance in a Local Partnership is allocated to other partners capital in any such Local Partnership. As a result of cumulative equity losses and distributions, and the sales of certain Local Partnerships Properties and/or the Partnerships Local Partnership Interests, the Partnerships investment in local partnerships reached a zero balance in a prior year. During the year ended March 30, 2015, Lakeside Housing Limited Partnership (Lakeside Housing) sold its underlying Property to an unaffiliated entity. The Partnership recognized a gain of $4,636,143 in connection with the sale, of which $869,404 was received during the nine months ended December 30, 2015 and is reflected as due from local partnerships in the accompanying unaudited balance sheet as of March 30, 2015. Lakeside Housing has since been dissolved. During the nine months ended December 30, 2015, the Partnership sold its Local Partnership Interests in Hill Com I Associates Limited Partnership and Hill Com II Associates Limited Partnership (collectively the Hill Com Local Partnerships) to one of the Local General Partners of the Hill Com Local Partnerships; there were no proceeds in connection with the sale. The Hill Com Local Partnerships have the same Local General Partners. During the nine months ended December 30, 2015, the Partnership sold its Local Partnership Interest in Patton Place Limited Partnership (Patton Place) to an affiliate of the Local General Partners of Patton Place. The Partnership received $45,000 4,500 40,500 During the nine months ended December 30, 2015, 1989 Westview Arms Limited Partnership (Westview Arms) sold its underlying Property to an unaffiliated entity. The Partnership is to receive $364,153 in connection with the sale; such amount is included in gain on sale of limited partner interests/local partnership properties in the accompanying unaudited statement of operations and comprehensive income (loss) for the nine months ended December 30, 2015. Of such amount, $150,000 was received during the nine months ended December 30, 2015 and $214,153 is included in due from local partnerships in the accompanying unaudited balance sheet as of December 30, 2015. The Local General Partner of Westview Arms will dissolve Westview Arms as soon as possible. The non-mandatory mortgages of Littleton matured in October 2006 but have not been repaid or formally extended. During the year ended March 30, 2015, the first mortgage holder issued a declaration of default demanding Littletons immediate payment of an amount in excess of 6,500,000 3,100,000 |
