DSI REALTY INCOME FUND VIII
(A California Real Estate Limited Partnership)
BALANCE SHEETS(UNAUDITED)
JUNE 30, 1998 AND DECEMBER 31, 1997
June 30, December 31,
1998 1998
ASSETS
CASH AND CASH EQUIVALENTS $ 496,584 $ 399,704
PROPERTY 3,134,586 3,387,178
INVESTMENT IN REAL ESTATE
JOINT VENTURE 291,674 313,650
OTHER ASSETS 31,604 31,604
TOTAL $3,954,448 $4,132,136
LIABILITIES AND PARTNERS' EQUITY
LIABILITIES $ 612,551 $ 612,450
PARTNERS' EQUITY:
General Partners (74,361) (72,584)
Limited Partners 3,416,258 3,592,270
Total partners' equity 3,341,897 3,519,686
TOTAL $3,954,448 $4,132,136
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE MONTHS ENDED JUNE 30, 1998 AND 1997
June 30, June 30,
1998 1997
REVENUES:
Rental Income $ 454,693 $ 421,223
Gain on sale of land 46,974 0
Interest 2,223 1,609
Total revenues 503,890 422,832
EXPENSES:
Operating Expenses 264,009 276,397
General and administrative 48,569 40,090
Total expenses 312,578 316,487
INCOME BEFORE EQUITY IN INCOME
OF REAL ESTATE JOINT VENTURE 191,312 106,345
EQUITY IN INCOME OF REAL ESTATE
JOINT VENTURE 27,035 21,764
NET INCOME $ 218,347 $ 128,109
AGGREGATE NET INCOME ALLOCATED TO:
Limited partners $ 216,164 $ 126,828
General partners 2,183 1,281
TOTAL $ 218,347 $ 128,109
NET INCOME PER LIMITED
PARTNERSHIP UNIT $ 9.01 $ 5.28
LIMITED PARTNERSHIP UNITS
USED IN PER UNIT CALCULATION 24,000 24,000
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1998 AND 1997
June 30, June 30,
1998 1997
REVENUES:
Rental Income $ 902,002 $ 839,078
Gain on sale of land 46,974 0
Interest 4,059 3,392
Total Revenues 953,035 842,470
EXPENSES:
Operating Expenses 518,463 533,500
General and Administrative 118,731 104,220
Total Expenses 637,194 637,720
INCOME BEFORE EQUITY IN INCOME OF
REAL ESTATE JOINT VENTURE 315,841 204,750
EQUITY IN INCOME OF REAL
ESTATE FOINT VENTURE 51,824 41,810
NET INCOME $ 367,665 $ 246,560
AGGREGATE NET INCOME ALLOCATED TO:
Limited partners $ 363,988 $ 244,094
General partners 3,677 2,466
TOTAL $ 367,665 $ 246,560
NET INCOME PER LIMITED PARTNERSHIP UNIT $15.17 $10.17
LIMITED PARTNERSHIP UNITS USED
IN PER UNIT CALCULATION 24,000 24,000
See accompanying notes to financial statements (unaudited).
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1998 AND 1997
GENERAL LIMITED
PARTNERS PARTNERS TOTAL
EQUITY AT DECEMBER 31, 1996 ($67,560) $4,089,606 $4,022,046
NET INCOME 2,466 244,094 246,560
DISTRIBUTIONS (5,454) (540,000) (545,454)
EQUITY AT JUNE 30, 1997 ($70,548) $3,793,700 $3,723,152
EQUITY AT DECEMBER 31, 1997 ($72,584) $3,592,270 $3,519,686
NET INCOME 3,677 363,988 367,665
DISTRIBUTIONS (5,454) (540,000) (545,454)
EQUITY AT JUNE 30, 1998 ($74,361) $3,416,258 $3,341,897
See accompanying notes to consolidated financial statements(unaudited).
STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1998 AND 1997
June 30, June 30,
1998 1997
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 367,665 $ 264,560
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation 234,566 234,567
Gain on sale of land (46,974) 0
Distributions in excess
of earnings in
real estate joint venture 21,976 20,886
Changes in assets and
liabilities:
Increase in liabilities 101 6,094
Net cash provided by
operating activities 577,334 508,107
CASH FLOWS FROM INVESTING ACTIVITIES -
Proceeds from Sale of land 18,026 0
CASH FLOWS FROM FINANCING ACTIVITIES -
Distributions to partners (545,454) (545,454)
NET INCREASE(DECREASE) IN CASH AND
CASH EQUIVALENTS 96,880 (37,347)
CASH AND CASH EQUIVALENTS:
At beginning of period 399,704 389,413
At end of period $ 496,584 $352,066
See accompanying notes to financial statements(unaudited).
DSI REALTY INCOME FUND VIII
(A California Real Estate Limited Partnership)
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. GENERAL
DSI Realty Income Fund VIII (the "Partnership"), a limited partnership, has
two general partners (DSI Properties, Inc., and Diversified Investors Agency)
and limited partners owning 24,000 limited partnership units. The
Partnership was formed under the California Uniform Limited Partnership
Act for the primary purpose of acquiring and operating real estate.
The accompanying financial information as of June 30, 1998, and for
the periods ended June 30, 1998, and 1997 is unaudited. Such financial
information includes all adjustments considered necessary by the
Partnership's management for a fair presentation of the results for the
periods indicated.
2. PROPERTY
The Partnership owns five mini-storage facilities located in Stockton,
Pittsburg, El Centro, Lompoc and Huntington Beach, California. The total
cost of property and accumulated depreciation at June 30, 1998,
is as follows:
Land $ 2,287,284
Buildings and improvements 7,071,497
Equipment 22,831
Total 9,381,612
Less: Accumulated Depreciation ( 6,247,026)
Property - Net $ 3,134,586
3. INVESTMENT IN REAL ESTATE JOINT VENTURE
The Partnership is involved in a joint venture with DSI Realty Income
Fund IX through which the Partnership has a 30% interest in a mini-storage
facility in Aurora, Colorado. Under the terms of the joint venture
agreement, the Partnership is entitled to 30% of the profits and losses of
the venture and owns 30% of the mini-storage facility as a tenant in common
with DSI Realty Income Fund IX, which has the remaining 70% interest in
the venture. Summarized income statement information for the three months
ended June 30, 1998, and 1997 is as follows:
1998 1997
Revenue $345,427 $320,774
Operating Expenses 172,681 181,407
Net Income $172,746 $139,367
The Partnership accounts for its investment in the real estate joint
venture under the equity method of accounting.
4. NET INCOME PER LIMITED PARTNERSHIP 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.