XML 30 R20.htm IDEA: XBRL DOCUMENT

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

9 Months Ended

Sep. 30, 2020

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

NOTE 14. INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

The Partnership has invested in seven limited partnerships and limited liability companies, the majority of which have invested in residential apartment complexes, with three Joint Ventures investing in commercial property. The Partnership has between a 40%-50% ownership interests in each investment. The other investors are the Brown Family related entities and five current and former employees of the Management Company. The Brown Family’s ownership interest was between 47.6% and 59%, with the balance owned by the others. A description of each investment is as follows:

On October 28, 2009 the Partnership invested approximately $15,925,000 in a joint venture to acquire a 40% interest in a residential property located in Brookline, Massachusetts. The property, Hamilton Park Towers LLC, referred to as Dexter Park, or Hamilton Park, is a 409 unit residential complex. The purchase price was $129,500,000. The original mortgage was $89,914,000 with an interest rate of 5.57% and was to mature in 2019. The mortgage called for interest only payments for the first two years of the loan and amortized over 30 years thereafter.

On May 31, 2018, Hamilton Park Towers, LLC , entered into a Mortgage Note with John Hancock Life Insurance Company (U.S.A.) in the principal amount of $125,000,000. Interest only payments on the Note are payable on a monthly basis at a fixed interest rate of 3.99% per annum, and the principal amount of the Note is due and payable on June 1, 2028. The Note is secured by a mortgage on the Dexter Park apartment complex located at 175 Freeman Street, Brookline, Massachusetts pursuant to a Mortgage, Assignment of Leases and Rents and Security Agreement dated

May 31, 2018. The Note is guaranteed by the Partnership and HBC Holdings, LLC pursuant to a Guaranty Agreement dated May 31, 2018.

Hamilton Park used the proceeds of the loan to pay off an outstanding loan of approximately $82,000,000 and distributed approximately $41,200,000 to its’ owners. The Partnership’s share of the distribution was approximately $16,500,000. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for the investment using the equity method of accounting, although the Partnership has no legal obligation to fund its’ share of any future operating deficiencies as needed. In connection with this refinancing, the property incurred a defeasance charge of approximately $3,830,000. Based on its’ ownership in the property, the Partnership incurred 40% of this charge, an expense of approximately $1,532,000.

At September 30, 2020, the balance on this mortgage before unamortized deferred financing costs is $125,000,000. This investment, Hamilton Park Towers, LLC is referred to as Dexter Park.

On October 3, 2005, the Partnership invested $2,500,000 for a 50% ownership interest in a 168-unit apartment complex in Quincy, Massachusetts. The purchase price was $30,875,000. The Joint Venture sold 120 units as condominiums and retained 48 units for long-term investment. In February 2007, the Joint Venture refinanced the 48 units with a new 10 year mortgage in the original amount of $4,750,000 with an interest rate of 5.57%, interest only for five years. The loan was to be amortized over 30 years with a maturity date of March 2017. On March 1, 2017, the mortgage balance was paid in full, with the Partnership contributing its share of the mortgage balance of approximately $2,222,000. After paying off the mortgage, the Partnership sold the individual units. 3 units were sold in 2019, resulting in a gain of approximately $433,000. In 2019, all units were sold by this Joint Venture. This investment is referred to as Hamilton Bay Apartments, LLC.

On March 7, 2005, the Partnership invested $2,000,000 for a 50% ownership interest in a building comprising 48 apartments, one commercial space and a 50-car surface parking lot located in Boston, Massachusetts. The purchase price was $14,300,000, with a $10,750,000 mortgage. The Joint Venture planned to operate the building and initiate development of the parking lot. In June 2007, the Joint Venture separated the parcels, formed an additional limited liability company for the residential apartments and obtained a mortgage on the property. The new limited liability company formed for the residential apartments and commercial space is referred to as Hamilton Essex 81, LLC. In August 2008, the Joint Venture restructured the mortgages on both parcels at Essex 81. On September 28, 2015, Hamilton Essex Development, LLC paid off the outstanding mortgage balance of $1,952,286. The Partnership made a capital contribution of $978,193 to Hamilton Essex Development LLC for its share of the funds required for the transaction. Additionally, the Partnership made a capital contribution of $100,000 to Hamilton Essex 81, LLC. On September 30, 2015, Hamilton Essex 81, LLC obtained a new 10 year mortgage in the amount of $10,000,000, interest only at 2.18% plus the one month Libor rate. The proceeds of the note were used to pay off the existing mortgage of $8,040,719 and the Partnership received a distribution of $978,193 for its share of the excess proceeds. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting. Although the Partnership has no legal obligation, the Partnership intends to fund its share of any future operating deficits if needed. At September 30, 2020, the balance on this mortgage before unamortized deferred financing costs is approximately $10,000,000. The investment in the parking lot is referred to as Hamilton Essex Development, LLC; the investment in the apartments is referred to as Hamilton Essex 81, LLC.

On March 2, 2005, the Partnership invested $2,352,000 for a 50% ownership interest in a 176-unit apartment complex with an additional small commercial building located in Quincy, Massachusetts. The purchase price was $23,750,000. The Joint Venture sold 127 of the units as condominiums and retained 49 units for long-term investment. The Joint Venture obtained a new 10-year mortgage in the amount of $5,000,000 on the units to be retained by the Joint Venture. The interest on the new loan was 5.67% fixed for the 10 year term with interest only payments for five years and amortized over a 30 year period for the balance of the loan term. On July 8, 2016, Hamilton 1025 LLC paid off the outstanding balance of the mortgage balance. The Partnership made a capital contribution of $2,359,500 to Hamilton 1025, LLC for its share of the funds required for the transaction. After paying off the mortgage, the Partnership began to sell off the individual units. 2 units were sold in 2019, resulting in a gain of approximately $306,000. In 2019, all residential units were sold. The Partnership still owns the commercial building. This investment is referred to as Hamilton 1025, LLC.

In September 2004, the Partnership invested approximately $5,075,000 for a 50% ownership interest in a 42-unit apartment complex located in Lexington, Massachusetts. The purchase price was $10,100,000. In October 2004,

the Joint Venture obtained a mortgage on the property in the amount of $8,025,000 and returned $3,775,000 to the Partnership. The Joint Venture obtained a new 10-year mortgage in the amount of $5,500,000 in January 2007. The interest on the new loan was 5.67% fixed for the ten year term with interest only payments for five years and amortized over a 30 year period for the balance of the loan. This loan required a cash contribution by the Partnership of $1,250,000 in December 2006. On September 12, 2016, the property was refinanced with a 15 year mortgage in the amount of $6,000,000, at 3.71%, interest only. The Joint Venture Partnership paid off the prior mortgage of approximately $5,158,000 with the proceeds of the new mortgage and made a distribution of $385,000 to the Partnership. The cost associated with the refinancing was approximately $123,000. At September 30, 2020, the balance on this mortgage before unamortized deferred financing costs is approximately $6,000,000. In 2018, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting, although the Partnership has no legal obligation to fund its share of any future operating deficiencies, if needed. This investment is referred to as Hamilton Minuteman, LLC.

In August 2004, the Partnership invested $8,000,000 for a 50% ownership interest in a 280-unit apartment complex located in Watertown, Massachusetts. The total purchase price was $56,000,000. The Joint Venture sold 137 units as condominiums. The assets were combined with Hamilton on Main Apartments. Hamilton on Main, LLC is known as Hamilton Place. In 2005, Hamilton on Main Apartments, LLC obtained a ten year mortgage on the three buildings to be retained. The mortgage was $16,825,000, with interest only of 5.18% for three years and amortizing on a 30 year schedule for the remaining seven years when the balance is due. The net proceeds after funding escrow accounts and closing costs on the mortgage were approximately $16,700,000, which were used to reduce the existing mortgage. In August 2014, the property was refinanced with a 10 year mortgage in the amount of $16,900,000 at 4.34% interest only. The Joint Venture paid off the prior mortgage of approximately $15,205,000 with the proceeds of the new mortgage and distributed $850,000 to the Partnership. The costs associated with the refinancing were approximately $161,000. At September 30, 2020, the balance of the mortgage before unamortized deferred finance is $16,900,000. In 2018, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting, although the Partnership has no legal obligation to fund its share of any future operating deficiencies, if needed. The investment is referred to as Hamilton on Main LLC.

In November 2001, the Partnership invested approximately $1,533,000 for a 50% ownership interest in a 40-unit apartment building in Cambridge, Massachusetts. In June 2013, the property was refinanced with a 15 year mortgage in the amount of $10,000,000 at 3.87%, interest only for 3 years and is amortized on a 30-year schedule for the balance of the term. The Joint Venture paid off the prior mortgage of approximately $6,776,000 with the proceeds of the new mortgage. After the refinancing, the Joint Venture made a distribution of $1,610,000 to the Partnership. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting. Although the Partnership has no legal obligation, the Partnership intends to fund its share of any future operating deficits if needed. At September 30, 2020, the balance of this mortgage before unamortized deferred financing costs is approximately $9,201,000. This investment is referred to as 345 Franklin, LLC.

Summary financial information as of September 30, 2020


				Hamilton									Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	6,758,283		$	2,591,281		$	5,439,844		$	85,635		$	5,077,525		$	15,343,928		$	81,537,329		$	116,833,825
Cash & Cash Equivalents		281,585			70,894			183,638			12,305			210,705			610,816			2,870,227			4,240,170
Rent Receivable		220,578			48,878			11,367			811			—			46,780			501,843			830,257
Real Estate Tax Escrow		66,248			—			57,079			—			31,378			92,122			—			246,827
Prepaid Expenses & Other Assets		319,434			84,898			82,969			2,129			26,428			162,421			1,406,740			2,085,019
Total Assets	$	7,646,128		$	2,795,951		$	5,774,897		$	100,880		$	5,346,036		$	16,256,067		$	86,316,139		$	124,236,098
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	9,931,055		$	—		$	9,149,766		$	—		$	5,910,322		$	16,837,132		$	124,504,557		$	166,332,832
Accounts Payable & Accrued Expense		53,569			2,400			101,651			15,038			64,341			168,318			762,288			1,167,605
Advance Rental Pmts & Security Deposits		202,659			—			217,832			—			157,932			435,679			2,053,602			3,067,704
Total Liabilities		10,187,283			2,400			9,469,249			15,038			6,132,595			17,441,129			127,320,447			170,568,141
Partners’ Capital		(2,541,155)			2,793,551			(3,694,352)			85,842			(786,559)			(1,185,062)			(41,004,308)			(46,332,043)
Total Liabilities and Capital	$	7,646,128		$	2,795,951		$	5,774,897		$	100,880		$	5,346,036		$	16,256,067		$	86,316,139		$	124,236,098
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures				$	1,396,776					$	42,921												1,439,697
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(1,270,578)		$	—		$	(1,847,175)		$	—		$	(393,280)		$	(592,531)		$	(16,401,724)			(20,505,288)
Total Investment in Unconsolidated Joint Ventures (Net)																						$	(19,065,591)
Total units/condominiums
Apartments		48			—			40			175			42			148			409			862
Commercial		1			1			—			1			—			—			—			3
Total		49			1			40			176			42			148			409			865
Units to be retained		49			1			40			1			42			148			409			690
Units to be sold		—			—			—			—			—			—			—			—
Units sold through November 1, 2020		—			—			—			175			—			—			—			175
Unsold units		—			—			—			—			—			—			—			—
Unsold units with deposits for future sale as of November 1, 2020		—			—			—			—			—			—			—			—

Financial information for the nine months ended September 30, 2020


			Hamilton						Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Apts		Apts		Park		Total
Revenues
Rental Income	$	940,486	$	68,726	$	1,182,050	$	65,486	$	883,075	$	2,648,277		11,676,769	$	17,464,869
Laundry and Sundry Income		9,288		—		498		—		1,915		26,135		60,266		98,102
		949,774		68,726		1,182,548		65,486		884,990		2,674,412		11,737,035		17,562,971
Expenses
Administrative		15,451		3,044		23,860		11,769		10,281		43,466		136,437		244,308
Depreciation and Amortization		365,779		15,223		253,716		2,448		260,994		788,181		2,764,842		4,451,183
Management Fees		37,803		2,203		45,548		2,587		35,212		100,654		234,155		458,162
Operating		64,247		—		51,077		147		69,487		255,794		778,020		1,218,772
Renting		6,430		—		29,776		—		7,440		52,202		211,830		307,678
Repairs and Maintenance		94,415		3,180		79,254		—		71,112		388,818		1,094,213		1,730,992
Taxes and Insurance		192,490		45,784		120,056		12,701		108,214		346,997		1,716,234		2,542,476
		776,615		69,434		603,287		29,652		562,740		1,976,112		6,935,731		10,953,571
Income Before Other Income		173,159		(708)		579,261		35,834		322,250		698,300		4,801,304		6,609,400
Other Income (Loss)
Interest Expense		(236,053)		—		(278,456)		—		(178,402)		(574,239)		(3,804,746)		(5,071,896)
		(236,053)		—		(278,456)		—		(178,402)		(574,239)		(3,804,746)		(5,071,896)
Net Income (Loss)	$	(62,894)	$	(708)	$	300,805	$	35,834	$	143,848	$	124,061	$	996,558	$	1,537,504
Net Income (Loss)—NERA 50%	$	(31,447)	$	(354)	$	150,403	$	17,917	$	71,924	$	62,031				270,473
Net Income —NERA 40%													$	398,625		398,625
															$	669,098

Financial information for the three months ended September 30, 2020


			Hamilton						Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Apts		Apts		Park		Total
Revenues
Rental Income	$	120,398	$	2,864	$	334,431	$	24,369	$	301,865	$	844,963	$	3,446,320	$	5,075,210
Laundry and Sundry Income		2,605		—		—		—		1,289		8,780		14,559		27,233
		123,003		2,864		334,431		24,369		303,154		853,743		3,460,879		5,102,443
Expenses
Administrative		3,971		844		7,531		713		3,631		13,991		43,664		74,345
Depreciation and Amortization		122,210		5,074		84,680		816		87,214		264,047		925,922		1,489,963
Management Fees		9,751		—		13,253		942		12,209		32,925		67,909		136,989
Operating		17,948		—		22,313		51		18,832		78,199		248,176		385,519
Renting		3,026		—		20,094		—		1,690		36,709		180,947		242,466
Repairs and Maintenance		27,206		134		35,879		—		32,161		154,828		582,965		833,173
Taxes and Insurance		63,090		15,328		40,342		4,021		36,038		114,523		577,282		850,624
		247,202		21,380		224,092		6,543		191,775		695,222		2,626,865		4,013,079
Income Before Other Income		(124,199)		(18,516)		110,339		17,826		111,379		158,521		834,014		1,089,364
Other Income (Loss)
Interest Expense		(63,961)		—		(92,048)		—		(59,900)		(191,453)		(1,267,960)		(1,675,322)
Interest Income		—		—		—		—		—		—		—		—
Gain on sale of real estate		—		—		—		—		—		—		—		—
		(63,961)		—		(92,048)		—		(59,900)		(191,453)		(1,267,960)		(1,675,322)
Net Income (Loss)	$	(188,160)	$	(18,516)	$	18,291	$	17,826	$	51,479	$	(32,932)	$	(433,946)	$	(585,958)
Net Income (Loss)—NERA 50%	$	(94,080)	$	(9,257)	$	9,146	$	8,913	$	25,740	$	(16,466)				(76,005)
Net Income (Loss)—NERA 40%													$	(173,578)		(173,578)
															$	(249,583)

Future annual mortgage maturities at September 30, 2020 are as follows:


	Hamilton		345		Hamilton		Hamilton on		Dexter
Period End	Essex 81		Franklin		Minuteman		Main Apts		Park		Total
9/30/2021	$	—	$	211,575	$	—	$	—	$	—	$	211,575
9/30/2022		—		219,910		—		—		—		219,910
9/30/2023		—		228,573		—		—		—		228,573
9/30/2024		—		237,577		—		16,900,000		—		17,137,577
9/30/2025		10,000,000		246,936		—		—		—		10,246,936
Thereafter		—		8,056,797		6,000,000		—		125,000,000		139,056,797
		10,000,000		9,201,368		6,000,000		16,900,000		125,000,000		167,101,368
Less: unamortized deferred financing costs		(68,945)		(51,602)		(89,678)		(62,868)		(495,443)		(768,536)
	$	9,931,055	$	9,149,766	$	5,910,322	$	16,837,132	$	124,504,557	$	166,332,832

At September 30, 2020 the weighted average interest rate on the above mortgages was 3.91%. The effective rate was 3.98% including the amortization expense of deferred financing costs.

Summary financial information at September 30, 2019


				Hamilton												Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Bay Apts			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	6,966,539		$	2,593,771		$	5,748,520		$	86,850		$	—		$	5,413,076		$	16,075,655		$	84,722,545		$	121,606,956
Cash & Cash Equivalents		342,346			44,020			156,545			24,496			10,775			120,874			172,829			1,449,013			2,320,898
Rent Receivable		243,635			28,041			5,426			—			—			2,202			13,651			48,495			341,450
Real Estate Tax Escrow		72,146			—			53,249			—			—			28,147			92,138			—			245,680
Prepaid Expenses & Other Assets		309,502			102,546			86,574			1,761			2,951			26,661			174,851			1,435,797			2,140,643
Total Assets	$	7,934,168		$	2,768,378		$	6,050,314		$	113,107		$	13,726		$	5,590,960		$	16,529,124		$	87,655,850		$	126,655,627
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	9,917,266		$	—		$	9,346,663		$	—		$	—		$	5,902,139		$	16,821,081		$	124,439,934		$	166,427,083
Accounts Payable & Accrued Expense		85,115			1,964			103,905			7,976			4,411			57,338			181,510			818,027			1,260,246
Advance Rental Pmts& Security Deposits		286,274			—			293,858			1,310			101			141,128			443,274			2,519,816			3,685,761
Total Liabilities		10,288,655			1,964			9,744,426			9,286			4,512			6,100,605			17,445,865			127,777,777			171,373,090
Partners’ Capital		(2,354,487)			2,766,414			(3,694,112)			103,821			9,214			(509,645)			(916,741)			(40,121,927)			(44,717,463)
Total Liabilities and Capital	$	7,934,168		$	2,768,378		$	6,050,314		$	113,107		$	13,726		$	5,590,960		$	16,529,124		$	87,655,850		$	126,655,627
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures	$	—		$	1,383,207		$	—		$	51,910		$	4,607		$	—		$	—		$	—			1,439,724
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(1,177,243)		$	—		$	(1,847,056)		$	—		$	—		$	(254,823)		$	(458,371)		$	(16,048,771)			(19,786,262)
Total Investment in Unconsolidated Joint Ventures (Net)																									$	(18,346,539)
Total units/condominiums
Apartments		48			—			40			175			48			42			148			409			910
Commercial		1			1			—			1			—			—			—			—			3
Total		49			1			40			176			48			42			148			409			913
Units to be retained		49			1			40			1			—			42			148			409			690
Units to be sold		—			—			—			175			48			—			—			—			223
Units sold through November 1, 2019		—			—			—			175			48			—			—			—			223
Unsold units		—			—			—			—			—			—			—			—			—
Unsold units with deposits for future sale as of November 1, 2019		—			—			—			—			—			—			—			—			—

Financial information for the nine months ended September 30, 2019


			Hamilton								Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Bay Apts		Apts		Apts		Park		Total
Revenues
Rental Income	$	1,339,583	$	161,712	$	1,207,094	$	72,558	$	3,541	$	850,523	$	2,553,301	$	12,164,375	$	18,352,687
Laundry and Sundry Income		10,680		—		2,390		—		—		2,560		30,517		79,398		125,545
		1,350,263		161,712		1,209,484		72,558		3,541		853,083		2,583,818		12,243,773		18,478,232
Expenses
Administrative		22,968		21,162		17,366		5,834		5,576		7,283		51,020		152,119		283,328
Depreciation and Amortization		360,417		15,223		258,722		9,580		5,420		267,546		781,400		2,720,532		4,418,840
Management Fees		51,454		6,494		46,506		2,786		145		33,995		98,381		253,132		492,893
Operating		53,817		8		54,291		925		(8)		70,695		284,679		834,181		1,298,588
Renting		32,092		—		21,210		64		—		2,674		39,532		306,092		401,664
Repairs and Maintenance		101,995		3,180		86,964		28,399		10,266		104,727		495,863		1,088,349		1,919,743
Taxes and Insurance		184,210		46,176		111,239		18,402		5,206		98,389		313,906		1,543,795		2,321,323
		806,953		92,243		596,298		65,990		26,605		585,309		2,064,781		6,898,200		11,136,379
Income Before Other Income		543,310		69,469		613,186		6,568		(23,064)		267,774		519,037		5,345,573		7,341,853
Other Income (Loss)
Interest Expense		(360,122)		—		(283,531)		—		(6)		(176,056)		(575,093)		(3,802,783)		(5,197,591)
Gain on Sale of Real Estate		—		—		—		306,075		432,908		—		—		—		738,983
		(360,122)		—		(283,531)		306,075		432,902		(176,056)		(575,093)		(3,802,783)		(4,458,608)
Net Income (Loss)	$	183,188	$	69,469	$	329,655	$	312,643	$	409,838	$	91,718	$	(56,056)	$	1,542,790	$	2,883,245
Net Income (Loss)—NERA 50%	$	91,593	$	34,734	$	164,827	$	156,321	$	204,918	$	45,859	$	(28,028)				670,223
Net Income (Loss)—NERA 40%															$	617,116		617,116
																	$	1,287,339

Financial information for the three months ended September 30, 2019


			Hamilton								Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Bay Apts		Apts		Apts		Park		Total
Revenues
Rental Income	$	429,472	$	60,471	$	404,000	$	25,497	$	(88)	$	294,454	$	865,299	$	4,103,409	$	6,182,514
Laundry and Sundry Income		3,810		—		1,806		—		—		425		10,437		30,678		47,156
		433,282		60,471		405,806		25,497		(88)		294,879		875,736		4,134,087		6,229,670
Expenses
Administrative		7,713		11,488		7,324		1,432		1,291		1,533		16,108		56,202		103,091
Depreciation and Amortization		120,986		5,074		86,269		3,190		—		90,045		262,294		913,318		1,481,176
Management Fees		17,228		2,174		16,063		887		—		11,695		33,378		84,479		165,904
Operating		16,773		—		13,766		62		64		19,116		92,863		234,842		377,486
Renting		23,575		—		9,217		64		—		100		6,043		251,543		290,542
Repairs and Maintenance		37,324		—		44,687		—		—		22,406		178,777		524,406		807,600
Taxes and Insurance		60,904		15,316		35,630		3,957		—		33,620		106,568		508,026		764,021
		284,503		34,052		212,956		9,592		1,355		178,515		696,031		2,572,816		3,989,820
Income Before Other Income		148,779		26,419		192,850		15,905		(1,443)		116,364		179,705		1,561,271		2,239,850
Other Income (Loss)
Interest Expense		(117,103)		—		(94,449)		—		—		(59,451)		(194,554)		(1,265,048)		(1,730,605)
Interest Income		—		—		—		—		—		—		—		—		—
		(117,103)		—		(94,449)		—		—		(59,451)		(194,554)		(1,265,048)		(1,730,605)
Net Income (Loss)	$	31,676	$	26,419	$	98,401	$	15,905	$	(1,443)	$	56,913	$	(14,849)	$	296,222	$	509,245
Net Income (Loss)—NERA 50%	$	15,837	$	13,209	$	49,200	$	7,952	$	(723)	$	28,456	$	(7,426)				106,504
Net Income (Loss)—NERA 40%															$	118,489		118,489
																	$	224,993