10-Q/A 1 a2025342z10-qa.txt FORM 10-Q/A FORM 10Q/A SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED COMMISSION FILE MARCH 31, 2000 NO. 0-11980 VENETIAN PARK ASSOCIATES (EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER) CALIFORNIA 95-3887496 (STATE OR OTHER JURISDICTION (I.R.S. EMPLOYER OF INCORPORATION OR ORGANIZATION) IDENTIFICATION NO.) 3250 OCEAN PARK BLVD., STE. 380 SANTA MONICA, CA 90405 (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES, INCLUDING ZIP CODE) REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (310) 450-6866 ------------------------------------- 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 REPORTS), AND (2) HAS BEEN SUBJECT TO SUCH FILING REQUIREMENTS FOR THE PAST 90 DAYS. YES X NO . INDICATE THE NUMBER OF SHARES (UNITS) OUTSTANDING OF EACH OF THE ISSUER'S CLASSES OF COMMON STOCK (UNITS) AS OF THE LATEST PRACTICABLE DATE (APPLICABLE ONLY TO CORPORATE ISSUER) 6,041 LIMITED PARTNERSHIP UNITS ISSUED AND OUTSTANDING. VENETIAN PARK ASSOCIATES, LTD. (A CALIFORNIA LIMITED PARTNERSHIP) REPORT ON FORM 10-Q FOR THE QUARTER ENDED MARCH 31, 2000 INDEX

2 PART I. FINANCIAL INFORMATION VENETIAN PARK ASSOCIATES, LTD. (A California Limited Partnership) BALANCE SHEETS ASSETS

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS. 3 VENETIAN PARK ASSOCIATES, LTD. (A California Limited Partnership) BALANCE SHEETS LIABILITIES AND PARTNERS' EQUITY

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS. 4 VENETIAN PARK ASSOCIATES, LTD. (A California Limited Partnership) STATEMENTS OF OPERATIONS (Unaudited)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS. 5 VENETIAN PARK ASSOCIATES, LTD. (A California Limited Partnership) STATEMENT OF PARTNER'S EQUITY (Unaudited)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS. 6 VENETIAN PARK ASSOCIATES, LTD. (A California Limited Partnership) STATEMENTS OF CASH FLOWS (Unaudited)

THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THESE FINANCIAL STATEMENTS. 7 VENETIAN PARK ASSOCIATES, LTD. NOTES TO FINANCIAL STATEMENTS THREE MONTHS ENDED MARCH 31, 2000 1) BASIS OF PRESENTATION SEE THE FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 1999 FOR APPROPRIATE DISCLOSURE TO THE FINANCIAL STATEMENTS. THE FINANCIAL STATEMENTS INCLUDED IN THE 10-Q OMIT SUBSTANTIALLY ALL DISCLOSURES. 2) ADJUSTING ENTRIES ALL ADJUSTMENTS WHICH ARE NECESSARY FOR A FAIR PRESENTATION OF THE FINANCIAL STATEMENTS HAVE BEEN MADE TO THE FINANCIAL STATEMENTS PRESENTED. ALL SUCH ADJUSTMENTS ARE OF A NORMAL RECURRING NATURE. 8 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. RESULTS OF OPERATIONS GENERAL Operating income for the quarter ending March 31, 2000 was $471,689 vs. $404,638, a jump of $67,051. Net income this year through March 31 was a net loss of $76,847 vs. a net loss of $37,332 during the corresponding period last year, an increase of $39,515 due to an ongoing property refurbishing program. The scheduled monthly rent roll for March, 2000, was $164,093 vs. $158,105 at the same time last year, an increase of $5,988. With the Property's exterior more than 50% painted coupled with a long-awaited improvement in the Stockton rental market, rental losses (vacancies, net delinquencies and rental discounts) were slashed by $50,965 from $85,548 during last year's first quarter to $34,583 this year through March 31. When I visited the Property on April 5, 2000, only 11 apartments were available for rent out of a total 295 units. A good part of the vacancy loss cut was directly attributable to refurbishing with refinancing proceeds several of the out-of-service apartments we could not afford to repair prior to such refinancing. Exclusive of expenses incurred for the refurbishing program, operating expenses during the first quarter of this year were $298,516 vs. $254,443 during the first quarter last year, an increase of $44,073. Almost half of this increase was attributable to replacement costs incurred in refurbishing out-of-service apartments. Debt service on the new loan was $138,418 during this year's first quarter vs. $141,059 on the old loan during last year's first quarter, a decrease of $2,641. Cash in the bank March 31, 2000 was $423,130 (including $104,365 in tenant refundable security deposits) vs. $139,980 at the same time the year before. Also, as noted on the enclosed Balance Sheet, $741,601 is being held by the lender in the repair escrow account. This figure represents 125% of the funds remaining to complete the rehabilitation program. Due to steady rains during the first quarter of this year, the roofing work was halted from time to time. Presently, roofs covering 34 units have been completed. With good weather underway, the roofing contractor anticipates that the work will be complete within four months. Likewise, painting was delayed but is now proceeding at a rapid pace and should be completed by mid to late May. While our original budget estimate for paving, seal coating and restriping the driveways and parking areas was $132,000, we've have managed to negotiate a contract with one of the leading local paving companies for approximately $80,000. The savings have enabled us to budget for a maintenance shop addition attached to one of the existing structures (freeing an apartment used for that purpose) and expand and redecorate the rental office. At the same time, we will have additional funds to cover part or all of dry rot repair beneath the old roofs which, by necessity and custom, was not included in the roofing bid. 9 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. LIQUIDITY AND CAPITAL RESOURCES Cash distribution in the amount of $5.75 per each 1/6041 Partnership Interest or a total of $34,735.75 was distributed representing cash flow from normal operations (excludes rehabilitation expenditures.) ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK. The partnership purchased an existing Apartment Complex with a total of 295 units comprised of four separate apartment projects operated under Section 221(d)(4) of the National Housing Act. The partnership is economically dependent on the Stockton, California rental market. 10 PART II. OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS NOT APPLICABLE ITEM 2. CHANGES IN SECURITIES NOT APPLICABLE ITEM 3. DEFAULTS UPON SENIOR SECURITIES NOT APPLICABLE ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS NOT APPLICABLE ITEM 5. OTHER INFORMATION NOT APPLICABLE ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K A) EXHIBITS EXHIBITS OTHER THAN THOSE LISTED HAVE BEEN OMITTED BECAUSE THEY ARE NONEXISTENT, INAPPLICABLE OR BECAUSE THE REQUIRED INFORMATION IS GIVEN IN THE FINANCIAL STATEMENTS OR NOTES THERETO. B) REPORTS ON FORM 8-K NOT APPLICABLE 11 SIGNATURE 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 IN THE CITY OF SANTA MONICA OF CALIFORNIA. VENETIAN PARK ASSOCIATES, LTD. (A CALIFORNIA LIMITED PARTNERSHIP) DATED: SEPTEMBER 11, 2000 BY /s/ NORMAN JACOBSON ------------------------------ NORMAN JACOBSON GENERAL PARTNER 12

VENETIAN PARK ASSOCIATES LTD 10-Q/A