DSI REALTY INCOME FUND VIII
(A California Real Estate Limited Partnership)
BALANCE SHEETS(UNAUDITED)
SEPTEMBER 30, 1998 AND DECEMBER 31, 1997
September 30, December 31,
1998 1997
ASSETS
CASH AND CASH EQUIVALENTS $ 602,547 $ 399,704
PROPERTY 3,017,303 3,387,178
INVESTMENT IN REAL ESTATE
JOINT VENTURE 276,261 313,650
OTHER ASSETS 31,604 31,604
TOTAL $3,927,715 $4,132,136
LIABILITIES AND PARTNERS' EQUITY
LIABILITIES $ 653,730 $ 612,450
PARTNERS' EQUITY:
General Partners (75,040) (72,584)
Limited Partners 3,349,025 3,592,270
Total partners' equity 3,273,985 3,519,686
TOTAL $3,927,715 $4,132,136
See accompanying notes to financial statements(unaudited).
STATEMENTS OF INCOME (UNAUDITED)
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
September 30, September 30,
1998 1997
REVENUES:
Rental Income $ 477,908 $ 428,743
Interest 2,596 1,799
Total revenues 480,504 430,542
EXPENSES:
Operating Expenses 265,825 247,659
General and administrative 41,552 37,647
Total expenses 307,377 285,306
INCOME BEFORE EQUITY IN INCOME
OF REAL ESTATE JOINT VENTURE 173,127 145,236
EQUITY IN INCOME OF
REAL ESTATE JOINT VENTURE 31,688 24,611
NET INCOME $ 204,815 $ 169,847
AGGREGATE NET INCOME ALLOCATED TO:
Limited partners $ 202,767 $ 168,149
General partners 2,048 1,698
TOTAL $ 204,815 $ 169,847
NET INCOME PER LIMITED
PARTNERSHIP UNIT $ 8.45 $ 7.01
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 NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
September 30, September 30,
1998 1997
REVENUES:
Rental Income $1,379,910 $1,267,821
Gain on sale of land 46,974 0
Interest 6,655 5,191
Total Revenues 1,433,539 1,273,012
EXPENSES:
Operating Expenses 784,288 781,159
General and Administrative 160,283 141,867
Total Expenses 944,571 923,026
INCOME BEFORE EQUITY IN INCOME
OF REAL ESTATE JOINT VENTURE 488,968 349,986
EQUITY IN INCOME OF REAL
ESTATE JOINT VENTURE 83,512 66,421
NET INCOME $572,480 $416,407
AGGREGATE NET INCOME ALLOCATED TO:
Limited Partners 566,755 412,243
General Partners 5,725 4,164
TOTAL 572,480 416,407
NET INCOME PER LIMITED
PARTNERSHIP UNIT $23.61 $17.18
LIMITED PARTNERSHIP UNITS
USED IN PER UNIT CALCULATION 24,000 24,000
See accompanying notes to financial statements(unaudited).
STATEMENTS OF CHANGES IN PARTNERS' EQUITY (UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
GENERAL LIMITED
PARTNERS PARTNERS TOTAL
EQUITY AT JANUARY 1, 1997 ($ 67,560) $4,089,606 $4,022,046
NET INCOME 4,164 412,243 416,407
DISTRIBUTIONS (8,181) (810,000) (818,181)
EQUITY AT SEPTEMBER 30, 1997 ($71,577) $3,691,849 $3,620,272
EQUITY AT JANUARY 1, 1998 ($72,584) $3,592,270 $3,519,686
NET INCOME 5,725 566,755 572,480
DISTRIBUTIONS (8,181) (810,000) (818,181)
EQUITY AT SEPTEMBER 30, 1998 ($75,040) $3,349,025 $3,273,985
See accompanying notes to consolidated financial statements(unaudited).
STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
September 30, September 30,
1998 1997
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 572,480 $416,407
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation 351,850 351,850
Gain on sale of land (46,974) 0
Distributions in excess
of earnings in
real estate joint venture 37,388 36,779
Changes in assets and
liabilities:
Increase in liabilities 41,280 50,168
Net cash provided by
operating activities 956,024 855,204
CASH FLOWS FROM INVESTING ACTIVITIES -
Proceeds from sale of land 65,000
CASH FLOWS FROM FINANCING ACTIVITIES -
Distributions to partners (818,181) (818,181)
NET INCREASE IN CASH AND
CASH EQUIVALENTS 202,843 37,023
CASH AND CASH EQUIVALENTS:
At beginning of period 399,704 389,413
At end of period $ 602,547 $426,436
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 September 30, 1998, and for
the periods ended September 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 September 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 ( 6,364,309)
Property - Net $ 3,017,303
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 nine months
ended September 30, 1998, and 1997 is as follows:
1998 1997
Revenue $536,966 $489,546
Operating Expenses 258,593 268,143
Net Income $278,373 $221,403
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.