SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(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
Commission file number 0-6146
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(Exact name of registrant as specified in its charter)
Michigan 38-1954699
(State or other jurisdiction of (IRS Employer
incorporation or organization) Identification No.)
6100 Glades Road, Suite 205
Boca Raton, Florida 33434
(Address of principal executive offices) (Zip Code)
(561) 487-6700
(Registrant's telephone number, including area code)
(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 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 report), and (2) has been subject to such filing
requirements for the past 90 days.
Yes x No
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
COMMISSION FILE NUMBER 0-6146
FORM 10-Q
June 30, 1996
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Statements of Financial Condition, as of June 30, 1996
(Unaudited) and December 31, 1995 . . . . . . . . . . . . . 3
Statements of Operations, for the three and six month
periods ended June 30, 1996 and 1995 (Unaudited). . . . . . 4
Statements of Cash Flows, for the three months ended
June 30, 1996 and 1995 (Unaudited). . . . . . . . . . . . 5
Notes to Financial Statements (Unaudited) . . . . . . . . . . . 6
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations . . . . . . . . . . . . 7
PART II. OTHER INFORMATION:
Item 6. Exhibits and Reports on Form 8-K. . . . . . . . . . . . . . 8
ITEM 1. FINANCIAL STATEMENTS
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(a Michigan limited partnership)
STATEMENTS OF FINANCIAL CONDITION
June 30, December 31,
1996 1995
ASSETS (Unaudited)
Investment in real estate
Land $ 180,051 $ 180,051
Buildings and improvements 1,673,544 1,412,867
Construction-in-progress - 245,758
Allowance for loss on real estate (525,000) (525,000)
1,328,595 1,313,676
Less accumulated depreciation 929,709 869,909
Net investment in real estate 398,886 443,767
Other assets
Cash 10,245 32,795
Investments, at cost which
approximates market 315,009 342,791
Accounts receivable 1,177 488
Prepaid insurance 5,589 18,505
Escrow deposits and other assets 2,500 2,500
Total other assets 334,520 397,079
Total assets $ 733,406 $ 840,846
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable $ 6,708 $ 7,090
Accrued liabilities to affiliates 3,644 5,987
Accrued liabilities 19,789 40,329
Security deposits 12,600 9,460
Total liabilities 42,741 62,866
Partners' capital
Limited Partners, 1,077 units 684,276 770,788
General Partner, 10 units 6,389 7,192
Total Partner's capital 690,665 777,980
Total liabilities and
Partners' capital $ 733,406 $ 840,846
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(a Michigan limited partnership)
STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended Six Months Ended
June 30, June 30,
1996 1995 1996 1995
Revenues
Rents and other tenant charges $ 97,258 $ 89,427 $ 117,614 $ 181,671
Other income 9,889 9,968 15,718 17,530
107,147 99,395 194,332 199,201
Expenses
Maintenance, custodial salaries
and related expense 19,396 18,604 38,650 36,278
Real estate management fees 4,948 4,674 9,089 9,357
Investment management fees 2,242 2,242 4,072 4,484
Property taxes 7,614 7,314 15,228 14,628
Depreciation and amortization 30,029 29,424 59,800 58,494
Insurance 4,968 4,854 9,936 9,708
Utilities 19,278 20,860 45,246 47,646
Repair and maintenance 38,736 32,173 63,475 69,623
Legal and accounting 5,451 4,544 11,371 10,786
Administrative and other 13,956 14,423 24,780 26,269
146,618 139,112 281,647 287,273
Net (loss) $ (39,471) $(39,717) $ (87,315) $ (88,072)
Allocated to
Limited partners, 1,077 units $ (39,108) $(39,352) $ (86,512) $ (87,262)
General partners, 10 units (363) (365) (803) (810)
$ (39,471) $(39,717) $ (87,315) $ (88,072)
Net (loss) per partnership
unit based on 1,087
Partnership units
outstanding $ (36.31) $ (36.54) $ (80.33) $ (81.02)
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(a Michigan limited partnership)
STATEMENTS OF CASH FLOWS
(Unaudited)
Six Months Ended
June 30,
1996 1995
Operating Activities
Net (loss) $ (87,315) $ (88,072)
Adjustments to reconcile net loss to
net cash used in operating activities:
Depreciation and amortization 59,800 58,494
Increase in accounts receivable (689) (8,988)
Decrease in prepaid insurance 12,916 12,548
Decrease in accounts payable (382) (2,335)
Decrease in accrued liabilities (20,540) (16,411)
Decrease in accrued liabilities to affiliates (2,343) (4,258)
Increase (decrease) in security deposits 3,140 (600)
Net cash used in operating activities (35,413) (49,622)
Investing Activities
Capital improvements to real estate (14,919) (11,744)
Net cash used in investing activities (14,919) (11,744)
(Decrease) in cash and cash equivalents (50,332) (61,366)
Cash and cash equivalents - January 1 375,586 475,083
Cash and cash equivalents - June 30 $ 325,254 $ 413,717
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(a Michigan limited partnership)
NOTES TO FINANCIAL STATEMENTS
(Unaudited)
The financial statements reflect all adjustments which are normal and recurring
in nature and, in the opinion of management, necessary to a fair statement of
the results of the interim periods presented. It is suggested that these
financial statements be read in conjunction with the financial statements and
the notes included in the Partnership's latest annual report on Form 10-K. The
results of operations for interim periods should not be considered as indicative
of the results to be expected for a full year.
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(a Michigan limited partnership)
June 30, 1996
ITEM 2. MANAGEMENT'S DISCUSSIONS AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
The current operations of the Partnership are centered on Warwick Apartments,
the one apartment complex (located in Fort Worth, Texas) owned by the
Partnership.
The Partnership's total revenues increased $7,752 or 8% for the three month
period ended June 30, 1996 as compared with the same period of the prior year.
Rents and other tenant charges increased $7,831 or 9% due primarily to off-line
units following a severe hailstorm at the complex on May 5, 1995. There was a
$4,869 or 2% decrease in total revenue for the six months ended June 30, 1996,
as compared to the same period for 1995. Rents and other tenant charges
decreased $3,057 or 2% due primarily to an overall increase in vacancies during
the first quarter of 1996.
Total expenses of the Partnership increased $7,506 or 5% for the quarter ended
June 30, 1996 as compared to the same period for 1995. There was a $5,626 or 2%
decrease in total expenses for the six months ended June 30, 1996, as compared
to the same period for 1995. The increase in total expenses for the quarter,
and decrease for the six month period, result from an increase in repair and
maintenance costs for the first six months of 1995, and also increased repair
and maintenance costs for the second quarter of 1996.
The liquidity of the Partnership is dependent upon the timely receipt of cash
collections on rental revenue at Warwick Apartments. The Partnership has no
credit facilities currently in place. Limited Partners have no obligation to
provide additional funds in excess of their initial cash contributions. In
order to protect the Partnership in the event of a reduction in cash flow,
management closely monitors the Partnership's cash position and, when necessary,
will reserve adequate funds to continue operations of the Partnership in the
foreseeable future. Funds reserved are generally invested in short-term
investments. The Partnership endeavors to maintain adequate liquidity on a
short-term basis through its cash flow and reserve policies. However, there can
be no assurance of the continued performance of Warwick Apartments. An
unanticipated decline in the performance of Warwick Apartments could have a
negative effect upon the long-term liquidity of the Partnership.
Funds generated from operations have primarily been used to meet debt service
obligations and, when possible, distribute funds to the Partners. There was no
distribution of funds for the six months ended June 30, 1996.
MULTIVEST REAL ESTATE FUND, LTD. (SERIES I)
(a Michigan limited partnership)
June 30, 1996
PART II - OTHER INFORMATION
Item 6. Exhibits and Report on Form 8-K
(b) No report on Form 8-K has been filed during the quarter ended
June 30, 1996.
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.
MULTIVEST REAL ESTATE FUND, LTD.
(Series I), a Michigan Limited
Partnership,
(Registrant)
By: MULTIVEST REAL ESTATE, INC.
a Delaware corporation
Its: Corporate General Partner
Date: August 13, 1996 RICHARD L. DAVIS
Richard L. Davis
President -
Chief Executive Officer
Date: August 13, 1996 JOHN J. KAMMERER
John J. Kammerer
Principal Accounting Officer