Document_and_Entity_Informatio
Document and Entity Information (USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Document And Entity Information | ' |
Entity Registrant Name | 'DSI Realty Income Fund XI |
Entity Central Index Key | '0000844048 |
Document Type | '10-Q |
Document Period End Date | 30-Jun-14 |
Amendment Flag | 'false |
Current Fiscal Year End Date | '--12-31 |
Is Entity a Well-known Seasoned Issuer? | 'No |
Is Entity a Voluntary Filer? | 'No |
Is Entity's Reporting Status Current? | 'No |
Entity Filer Category | 'Smaller Reporting Company |
Entity Public Float | $10,000,000 |
Entity Common Stock, Shares Outstanding | 20,000 |
Document Fiscal Period Focus | 'Q2 |
Document Fiscal Year Focus | '2014 |
Condensed_Balance_Sheets_Unaud
Condensed Balance Sheets (Unaudited) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
ASSETS: | ' | ' |
Cash & Equivalents | $370,596 | $269,711 |
Property Net | 1,967,199 | 1,972,205 |
Uncollected Rent Receivable | 76,672 | 89,730 |
Prepaid Advertising | 0 | 0 |
Other Assets | 33,380 | 33,380 |
TOTAL | 2,447,847 | 2,365,026 |
LIABILITIES: | ' | ' |
Distribution due to Partners | 151,515 | 151,515 |
Incentive Management Fee Liability | 13,636 | 27,273 |
Property Management Fee Liability | 11,345 | 9,466 |
Deferred Income | 37,897 | 32,127 |
Accrued Expenses | 15,257 | 25,186 |
Other Liabilities | 88,360 | 83,164 |
Total Liabilities | 318,010 | 328,731 |
PARTNERS' EQUITY: | ' | ' |
General Partners | -68,368 | -69,304 |
Limited Partners | 2,198,205 | 2,105,599 |
Total Partners' Equity | 2,129,837 | 2,036,295 |
Noncontrolling interest in real estate joint venture | 0 | 0 |
Total Equity | 2,129,837 | 2,036,295 |
TOTAL | $2,447,847 | $2,365,026 |
Condensed_Statements_of_Income
Condensed Statements of Income (Unaudited) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
REVENUES: | ' | ' | ' | ' |
Self-storage rental income | $522,930 | $470,299 | $1,015,629 | $947,267 |
Ancillary operating revenue | 43,896 | 39,142 | 81,218 | 70,855 |
Interest and other income | 0 | 0 | 0 | 0 |
TOTAL | 566,826 | 509,441 | 1,096,847 | 1,018,122 |
EXPENSES: | ' | ' | ' | ' |
Depreciation | 2,407 | 3,427 | 5,006 | 6,892 |
Operating | 239,750 | 252,498 | 473,512 | 468,876 |
General and administrative | 57,629 | 71,725 | 128,961 | 136,173 |
General partners' incentive management fee | 13,636 | 13,636 | 27,272 | 27,271 |
Property management fee- related party | 32,884 | 30,970 | 65,524 | 62,171 |
Total | 346,306 | 372,256 | 700,275 | 701,383 |
NET INCOME | 220,520 | 137,185 | 396,572 | 316,739 |
LESS: net income attributable to the non-controlling interest | 0 | 0 | 0 | 0 |
NET INCOME ATTRIBUTABLE TO THE PARTNERSHIP | 220,520 | 137,185 | 396,572 | 316,739 |
NET INCOME ATTRIBUTABLE TO THE PARTNERSHIP ALLOCATED TO: | ' | ' | ' | ' |
General partners | 2,205 | 1,372 | 3,966 | 3,167 |
Limited partners | 218,315 | 136,443 | 392,606 | 313,572 |
TOTAL | $220,520 | $137,815 | $396,572 | $316,739 |
Weighted average limited partnership units outstanding | 20,000 | 20,000 | 20,000 | 20,000 |
NET INCOME ATTRIBUTABLE TO THE PARTNERSHIP PER LIMITED PARTNERSHIP UNIT | 10.92 | 6.82 | 19.63 | 15.68 |
Condensed_Statements_of_Partne
Condensed Statements of Partners' Equity(Deficit) (Unaudited) (USD $) | General Partners | Limited Partners | Non-controlling Interest | Total |
BALANCE, Beginning at Dec. 31, 2013 | ($69,304) | $2,105,599 | $0 | $2,036,295 |
Net Income Allocation | 3,966 | 392,606 | 0 | 396,572 |
Distributions | 3,030 | 300,000 | 0 | 303,030 |
BALANCE, Ending at Jun. 30, 2014 | ($68,368) | $2,198,205 | $0 | $2,129,837 |
Condensed_Statements_of_Cash_F
Condensed Statements of Cash Flows (Unaudited) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' |
Net income attributable to the Partnership | $396,572 | $316,739 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation | 5,006 | 6,892 |
Net income attributable to non-controlling interests | 0 | 0 |
Changes in assets and liabilities: | ' | ' |
Other assets | 13,058 | 20,259 |
Incentive management fee payable to General Partners | -13,637 | -15,977 |
Property management fees payable | 1,879 | 306 |
Customer deposits and other liabilities | 1,037 | 9,233 |
Net cash provided by operating activities | 403,915 | 337,452 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' |
Additions to property | 0 | 0 |
Net cash used in investing activities | 0 | 0 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' |
Distributions to partners | -303,030 | -303,030 |
Distributions paid to non-controlling interests | 0 | 0 |
Net cash used in financing activities | -303,030 | -303,030 |
NET DECREASE IN CASH AND CASH EQUIVALENTS | 100,885 | 34,422 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 269,711 | 307,881 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 370,596 | 342,303 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ' | ' |
Cash paid for interest | 0 | 0 |
NON CASH INVESTING AND FINANCING ACTIVITIES: | ' | ' |
Distributions due partners included in partners' equity | $151,515 | $151,515 |
General
General | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
General | ' |
Registrant, DSI Realty Income Fund XI (the "Partnership") is a publicly-held limited partnership organized under the California Uniform Limited Partnership Act pursuant to a Certificate and Agreement of Limited Partnership (hereinafter referred to as "Agreement") dated December 7, 1988. The General Partners are DSI Properties, Inc., a California corporation, and RJC Capital Management, LLC and JWC Capital Management, LLC. | |
DSI Properties, Inc. is an affiliate of Diversified Securities, Inc., a wholly-owned subsidiary of DSI Financial, Inc. The General Partners provide similar services to other partnerships. Through its public offering of Limited Partnership Units, the Partnership sold twenty thousand (20,000) units of limited partnership interests, aggregating Million Dollars ($10,000,000). The General Partners have retained a one percent (1%) interest in all profits, losses and distributions (subject to certain conditions), without making any capital contribution to the Partnership. The General Partners are not required to make any capital contributions to the Partnership in the future. | |
The Partnership has entered into four joint venture arrangements with affiliates of Dahn Corporation (Dahn). The Partnership and its joint venture partners have acquired mini-storage properties located in Whittier, California; Edgewater, New Jersey; Bloomingdale, Illinois; and Sterling Heights, Michigan. The properties were acquired from Dahn. | |
Pursuant to the terms of each joint venture agreement, annual profits (before depreciation) of each joint venture will be allocated to the Joint Venture Partners on the basis of actual distributions received, while annual losses (before depreciation) are to be allocated in proportion to the ownership percentages as specified below. Cash distributions are to be made to each Joint Venture Partner based upon each Joint Venture Partner’s ownership percentage. However, the Joint Venture Partners have subordinated their rights to any distributions to the Partnership’s receipt of an annual, noncumulative, 8% return (7.75% for the Whittier Mini Property) from the operation of the joint ventures. A non-controlling interest in real estate joint venture is recorded to the extent of any distributions due to the Joint Venture Partners. As of June 30, 2014, no non-controlling interest in real estate joint venture was recorded as the requirements under the subordination agreement had not been met. The Joint Venture Partners are also entitled to receive a percentage, based upon a pre-determined formula, of the net proceeds from the sale of the properties. | |
The accompanying unaudited interim consolidated financial statements have been prepared by the Partnership's management in accordance with accounting principles generally accepted in the United States of America ("GAAP") and in conjunction with the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and footnote disclosures required for annual financial statements have been condensed or excluded pursuant to SEC rules and regulations. Accordingly, the unaudited interim consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, the accompanying unaudited interim consolidated financial statements reflect all adjustments of a normal and recurring nature which are considered necessary for a fair presentation of the results for the interim periods presented. However, the results of operations for the interim periods are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. These unaudited interim consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Partnership's annual report on Form 10-K for the year ended December 31, 2013. | |
Significant Accounting Policies | |
The Partnership has adopted Accounting Standards Update 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income. For the six months ended June 30, 2014 and 2013 comprehensive income equaled net income, as the Partnership had no other comprehensive income. As of June 30, 2014 and December 31, 2013, accumulated other comprehensive income was $0. | |
ASC 825-10 (formerly SFAS 107, “Disclosures about Fair Value of Financial Instruments”) defines financial instruments and requires disclosure of the fair value of financial instruments held by the Partnership. The Partnership considers the carrying amount of cash, accounts receivable, other receivables, accounts payable and accrued liabilities, to approximate their fair values because of the short period of time between the origination of such instruments and their expected realization. | |
Recent Accounting Pronouncements | |
In May 2011, the FASB issued Accounting Standards Update 2011-04 Presentation of Financial Statements (Topic 820): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs. The new guidance results in a consistent definition of fair value and common requirements for measurement of and disclosure about fair value between U.S. GAAP and International Financial Reporting Standards. While many fo the amendments to U.S. GAAP are not expected to have a significant effect on practice, the new guidance changes some fair value measurement principles and disclosure requirements. This new guidance is effective for fiscal years, and interim periods beginning after December 15, 2011. The adoption of the standard update does not have a significant impact on its financial position or results of operations. |
Subsequent_Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
Subsequent Events | ' |
Events subsequent to June 30, 2014, have been evaluated through the date these unaudited interim financial statements were issued to determine whether they should be disclosed to keep the unaudited interim financial statements from being misleading. Consequently, management is providing the following information: | |
In November of last year we notified you of our intent to seek a current market valuation of the Properties within your Fund. The financial advisor we retained, Bancap, helped us complete this procedure and we have entered into a preliminary purchase and sale agreement with a third party. That third party is currently conducting its due diligence on the properties. We will notify you of the terms and conditions of the transactions, as any sale would require approval by the holders of a majority of the Limited Partnership Units. We anticipate that the due diligence stage will be finalized in August of 2014 and we will communicate further with you regarding the situation prior to year-end. |
Property
Property | 6 Months Ended | ||
Jun. 30, 2014 | |||
Notes to Financial Statements | ' | ||
Properties | ' | ||
The Partnership holds a 90% interest in a joint venture that owns a mini-storage facility in Whittier, California; an 85% interest in an operating mini-storage in Edgewater Park, New Jersey; a 90% interest in an operating mini-storage facility in Bloomington, Illiniois; and a 75% interest in an operating mini-storage facility in Sterling Heights, Michigan. Depreciation is calculated using the straight-line method over the estimated useful life of 20 years. Property under capital leases is amortized over the lives of the respective leases. The total cost of property and accumulated depreciation at June 30, 2014 and December 31, 2013 were as follows: | |||
30-Jun-14 | 31-Dec-13 | ||
Land | $1,894,250 | $1,894,250 | |
Buildings and improvements | 6,725,753 | 6,725,753 | |
Rental trucks under capital leases | 163,382 | 163,382 | |
Total | 8,783,385 | 8,783,385 | |
Less accumulated depreciation | -6,816,186 | -6,811,180 | |
Properties - net | $1,967,199 | $1,972,205 |
Related_Party_Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
Related Party Transactions | ' |
The Partnership has entered into a management agreement with Dahn to operate its mini-storage facilities. The management agreement provides for a management fee equal to 6% of gross revenue from operations, which is defined as the entire amount of all receipts from the renting or leasing of storage compartments and sale of locks. The management agreement is renewable annually. Dahn earned management fees equal to $65,524 and $62,171, for the six month periods ended June 30, 2014 and 2013, respectively. Amounts payable to Dahn at June 30, 2014 and December 31, 2013 were $11,345 and $9,466, respectively. | |
Beginning in July 2011, the General Partner, DSI Properties, Inc. performs all tax related work with respect to the Partnership. These services are paid monthly in the amount of $2,313. Tax fees paid to DSI Properties, Inc. for the six month period ended June 30, 2014 were $13,878. |
Allocations_of_Profits_and_Los
Allocations of Profits and Losses | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
Allocations of Profits and Losses | ' |
Under the Agreement of Limited Partnership, the general partners are to be allocated 1% of the net profits or losses from operations, and the limited partners are to be allocated the balance of the net profits or losses from operations in proportion to their limited partnership interests. The general partners are also entitled to receive a percentage, based on a predetermined formula, of any cash distribution from the sale, other disposition, or refinancing of the project. | |
In addition, the general partners are entitled to receive an incentive management fee for supervising the operations of the Partnership. The fee is to be paid in an amount equal to 9% per annum of the cash distributions to limited partners in the fund. |
Net_Income_Per_Limited_Partnse
Net Income Per Limited Partnsership Unit | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
Net Income Per Limited Partnsership Unit | ' |
Net income per limited partnership unit is calculated by dividing the net income allocated to the limited partners by the number of limited partnership units outstanding during the period. | |
General_Policies
General (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Notes to Financial Statements | ' |
Nature of Operations | ' |
Registrant, DSI Realty Income Fund XI (the "Partnership") is a publicly-held limited partnership organized under the California Uniform Limited Partnership Act pursuant to a Certificate and Agreement of Limited Partnership (hereinafter referred to as "Agreement") dated December 7, 1988. The General Partners are DSI Properties, Inc., a California corporation, and RJC Capital Management, LLC and JWC Capital Management, LLC. | |
DSI Properties, Inc. is an affiliate of Diversified Securities, Inc., a wholly-owned subsidiary of DSI Financial, Inc. The General Partners provide similar services to other partnerships. Through its public offering of Limited Partnership Units, the Partnership sold twenty thousand (20,000) units of limited partnership interests, aggregatingTen Million Dollars ($10,000,000). The General Partners have retained a one percent (1%) interest in all profits, losses and distributions (subject to certain conditions), without making any capital contribution to the Partnership. The General Partners are not required to make any capital contributions to the Partnership in the future. | |
The Partnership has entered into four joint venture arrangements with affiliates of Dahn Corporation (Dahn). The Partnership and its joint venture partners have acquired mini-storage properties located in Whittier, Californai; Edgewater, New Jersey; Bloomingdale, Illinois; and Sterling Heights, Michigan. The properties were acquired from Dahn. | |
Comparability to Prior Year Data | ' |
The accompanying unaudited interim consolidated financial statements have been prepared by the Partnership's management in accordance with accounting principles generally accepted in the United States of America ("GAAP") and in conjunction with the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and footnote disclosures required for annual financial statements have been condensed or excluded pursuant to SEC rules and regulations. Accordingly, the unaudited interim consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, the accompanying unaudited interim consolidated financial statements reflect all adjustments of a normal and recurring nature which are considered necessary for a fair presentation of the results for the interim periods presented. However, the results of operations for the interim periods are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. These unaudited interim consolidated financial statements should be read in conjunction with the audited financial statements and notes thereto included in the Partnership's annual report on Form 10-K for the year ended December 31, 2013. | |
Comprehensive Income | ' |
The Partnership has adopted Accounting Standards Update 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income. For the six months ended June 30, 2014 and 2013 comprehensive income equaled net income, as the Partnership had no other comprehensive income. As of June 30, 2014 and December 31, 2013, accumulated other comprehensive income was $0. | |
Fair Value Disclosures | ' |
ASC 825-10 (formerly SFAS 107, “Disclosures about Fair Value of Financial Instruments”) defines financial instruments and requires disclosure of the fair value of financial instruments held by the Partnership. The Partnership considers the carrying amount of cash, accounts receivable, other receivables, accounts payable and accrued liabilities, to approximate their fair values because of the short period of time between the origination of such instruments and their expected realization. |
Property_Tables
Property (Tables) | 6 Months Ended | ||
Jun. 30, 2014 | |||
Notes to Financial Statements | ' | ||
Summary of Property and Equipment | ' | ||
30-Jun-14 | 31-Dec-13 | ||
Land | $1,894,250 | $1,894,250 | |
Buildings and improvements | 6,725,753 | 6,725,753 | |
Rental trucks under capital leases | 163,382 | 163,382 | |
Total | 8,783,385 | 8,783,385 | |
Less accumulated depreciation | -6,816,186 | -6,811,180 | |
Properties - net | $1,967,199 | $1,972,205 |
General_Details_Narrative
General (Details Narrative) (USD $) | Jun. 30, 2014 |
Notes to Financial Statements | ' |
Limited Partnership Units Outstanding | 20,000 |
Public Float | $10,000,000 |
Related_Party_Transactions_Det
Related Party Transactions (Details Narrative) (USD $) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | |
Notes to Financial Statements | ' | ' | ' | ' | ' | ' |
Management Fee | ' | $32,884 | $30,970 | $65,524 | $62,171 | ' |
Payable To Dahn | 11,345 | 11,345 | ' | 11,345 | ' | 9,466 |
Monthly Tax Fee to General Partner | $2,313 | ' | ' | $13,878 | ' | ' |
Property_Summary_of_Property_a
Property - Summary of Property and Equipment (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Properties, net | ' | ' |
Land | $1,894,250 | $1,894,250 |
Buildings and improvements | 6,725,753 | 6,725,753 |
Rental trucks under capital leases | 163,382 | 163,382 |
Total | 8,783,385 | 8,783,385 |
Less accumulated depreciation | 6,816,186 | 6,811,180 |
Properties - net | $1,967,199 | $1,972,205 |