UNITED STATES ~~SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549~~

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-K

~~[ X]~~ x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ~~ACT~~ ACT OF 1934.

For the fiscal year ended April 30, ~~2016~~ 2017

~~[ ] TRANSITION~~ ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ~~ACT~~ ACT OF 1934.

For the transition period from ~~____________________~~____________ to ~~_________________________~~__________

Commission File number 0-8862

FIRST HARTFORD CORPORATION ~~(Exact name of registrant as specified in its charter)~~

Maine		01-0185800
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)

(Exact name of registrant as specified in its charter)

149 Colonial Road, Manchester, Connecticut 06042 (Address of principal executive offices) (Zip Code)

Maine		01-0185800
(State or Other Jurisdiction of		(I.R.S. Employer Identification Number)
Incorporation or Organization)

149 Colonial Road, Manchester, Connecticut	06042	860-646-6555
(Address of Principal Executive Offices)	(Zip Code)	(Registrant's telephone number)

Registrant’s telephone number, including area code 860-646-6555

Securities registered pursuant to Section 12(b) of the Act: None

Securities registered pursuant to Section 12(g) of the Act: Common Stock, par value of $1 per share

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act.

☐ ¨ Yes X x No

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act.

☐ ¨ Yes X x No

Indicate by ~~checkmark~~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.

X x Yes ☐ ¨ No

Indicate by ~~checkmark~~check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule- 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files)

☐ ¨ Yes X x No

Annual Report on Form 10-K Page 1 First Hartford Corporation

Indicate by ~~checkmark~~check mark if disclosure of delinquent filers pursuant to Item 405 of the Regulation S-K is(§229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to ~~the~~this Form 10-K. ¨

X Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an “emerging growth company”. ~~Yes~~ See definitions of “large ☐accelerated filer”, “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act. No(Check one):

~~Indicate by checkmark whether the registrant is a large accelerated~~ ~~filer, an~~ Large accelerated filer~~, a non-accelerated filer or a smaller reporting~~ ~~company. See definitions of “large accelerated~~ ¨ Accelerated filer~~”, “accelerated filer” and~~ ~~“smaller reporting company” in Rule 12b-2 of the Exchange Act. (check one):~~¨

~~Large accelerated filer ☐ Accelerated filer ☐~~ Non-accelerated filer ☐ ¨ Smaller reporting company X x

~~Indicate~~ (Do bynot ~~checkmark~~check ~~whether~~if ~~the registrant is~~ a ~~shell~~smaller ~~company~~reporting ~~(as defined in Rule 12b-2 of the Act~~company)~~. ☐ Yes X No~~

~~As of October 31, 2015, the aggregate market value of the registrant’s~~ ~~common stock (based upon $2.75 closing price on that date on the OTC Securities~~ Emerging ~~Market)~~growth ~~held by non-affiliates (excludes shares reported as beneficially owned~~company ~~by directors and officers – and does not constitute an admission as to affiliate status) was $2,895,591.~~¨

~~Indicate~~ If ~~the~~an ~~number~~emerging ofgrowth ~~shares~~company, ~~outstanding~~indicate ofby ~~each~~check ofmark if the registrant’s ~~classes~~has ofelected ~~common~~not ~~stock,~~to asuse of the ~~latest~~extended ~~practical~~transition ~~date: 2,377,565~~period asfor ofcomplying ~~July~~with any ~~31,~~new ~~2016~~or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

~~DOCUMENTS~~ Indicate ~~INCORPORATED~~by BYcheck ~~REFERENCE~~mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). ¨ Yes x No

~~None~~ As of October 31, 2016, the aggregate market value of the registrant’s common stock (based upon $2.25 closing price on that date on the OTC Securities Market) held by non-affiliates (excludes shares reported as beneficially owned by directors and officers – and does not constitute an admission as to affiliate status) was $2,300,038.

Indicate the number of shares outstanding of each of the registrant’s classes of common stock, as of the latest practicable date: 2,315,799 as of June 30, 2017.

Documents Incorporated by Reference: None.

Cautionary Statement Concerning Forward Looking Statements

This Annual Report on Form 10-K contains forward looking statements that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks, uncertainties and assumptions as described from time to time in registration statements, annual reports, and other periodic reports and filings of First Hartford Corporation and Subsidiaries (the Company) filed with the Securities and Exchange Commission. All statements, other than statements of historical facts, which address the Company’s expectations of sources of capital or which express the Company’s expectation for the future with respect to financial performance or operating strategies can be identified as forward-looking statements. As a result, there can be no assurance that the Company’s future results will not be materially different from those described herein as “believe”, “anticipate”, “estimate” or “expect”, which reflect the current view of the Company with respect to future events. We caution readers that these forward-looking statements speak only as of the date hereof. The Company hereby expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which such statement is based.

Annual Report on Form 10-K Page 2 First Hartford Corporation

PART I

ITEM 1. BUSINESS

First Hartford Corporation, which was incorporated in Maine in 1909, and its subsidiaries (collectively, the “Company”), is engaged in two business segments: 1) the purchase, development, ownership, management and sale of real estate and 2) providing preferred developer services for two corporate franchise operators (i.e., “Fee for Service”).

Business Narrative:

First ~~business~~ business segment:

The principal activity of the Company’s first segment of business is the purchase, development, ownership, management and sale of real estate. The real estate, owned and/or managed by the Company through various subsidiaries and joint ventures, is located in Connecticut, Delaware, ~~Kansas,~~ Louisiana, Massachusetts, Missouri, New York, New Jersey, Rhode Island, and Texas. Non-residential tenants are obtained through brokers and employed representatives of the Company, by means of Industry Trade Shows, direct contacts with retail stores and other potential commercial tenants, and an occasional inquiry by potential tenants at the Company’s on-site offices. Residential tenants are obtained through advertisements and inquiry at on-site offices.

The Company has a comprehensive investment strategy when it comes to new projects or acquisitions. Before investing, the Company conducts comprehensive due diligence that includes researching demographics, traffic, nearby vacancies, competition, and nearby market conditions. After a potential investment has been fully vetted, a decision is made.

The Company’s real estate business is diversified by geographical locations, type of commercial property, and form of ownership or management. The commercial real estate business is not divided further into significant separate classes of products or services.

When profitable opportunities arise, the Company will buy and sell certain properties.

The ~~Company~~only ~~also~~facilities the Company owns and operates are a single movie theater and a ~~liquor~~single liquor store at one of its properties. In all other cases, the tenants of the Company’s properties are third-parties.

Please also see Note 1411 of the Financial Statements included within.

Second business segment:

The principal activity of the Company’s second segment of business is providing preferred developer services to CVS Health (CVS) and Cumberland Farms Inc. in certain geographic areas.

CVS: The Company has an agreement with CVS to be a preferred developer in Texas within the Rio Grande Valley, Houston, and Western Texas (excluding El Paso and Austin), in New York within Long Island and portions of Rockland County, in Northern New Jersey, in most of Connecticut, and in Louisiana. This is a fee for service agreement by which the Company will locate a site, negotiate a letter of intent, prepare store development budgets, demographics, arrange traffic counts and submit for CVS Real Estate Committee approval. Once so approved, the Company will negotiate a purchase or lease of such property and obtain permits. The Company will invoice 75% of the total fee when the property is purchased or leased, and a building permit is issued. Fees vary based on location and style of the store. A CVS pre-qualified third party contractor is selected who will work through the Company. The Company will manage the construction and administrate the contracts and payments. When a Certificate of Occupancy is obtained, the Company will invoice 15% of the total fee. After the store is opened and all the open construction items are completed, ~~the~~ the Company will invoice the final 10% of the total fee. Income is recognized as required services, as outlined in the development agreement, are completed. The entire process will normally take 1-3 years. The volume of revenue from this fee for service agreement is in excess of 10% of the Company’s annual revenue (excluding sales of real estate). The loss of the CVS contract would have a material adverse effect on the revenues and operations of the Company.

Annual Report on Form 10-K Page 3 First Hartford Corporation

~~PART~~ Cumberland Farms: IThe Company is also a preferred developer for Cumberland Farms Inc. within Connecticut, New York, and Western Massachusetts. Its scope of work is less than the CVS arrangement above as the Company is not involved in the construction management of the store. This is a fee for service agreement by which the Company will locate a site, negotiate a letter of intent, prepare store development budgets, demographics, arrange traffic counts and submit for Cumberland Farms Real Estate Committee approval. Once so approved, the Company will negotiate a purchase or lease of such property and obtain state and local approval and associated permits for construction. The Company will invoice 100% of the total fee when the property is purchased or leased and a building permit is issued. Income is recognized as required services, as outlined in the development agreement, are completed. The entire process will normally take 1-2 years. The loss of the Cumberland Farms contract would have a material adverse effect on the revenues and operations of the Company.

~~ITEM~~ Please ~~1. BUSINESS~~also see ~~(concluded):~~Note 11 of the Financial Statements included within.

~~Second~~ Miscellaneous ~~business~~Business ~~segment (concluded)~~Reporting:

~~Cumberland~~ ~~Farms:~~ The Company isdoes ~~also~~not aproduce ~~preferred~~or ~~developer~~offer ~~for~~any ~~Cumberland Farms Inc. within Connecticut~~products, ~~New York,~~ and ~~Western Massachusetts. Its scope of work is less than the CVS arrangement above~~ as ~~the~~such, ~~Company~~it ~~is not involved in the~~has ~~construction~~no ~~management~~foreign ofoperations, ~~the~~no ~~store. This~~inventory is(except a ~~fee~~small ~~for~~amount ~~service~~at ~~agreement by which~~ the ~~Company~~liquor ~~will locate a site, negotiate a letter of intent, prepare~~ store ~~development budgets~~), ~~demographics, arrange traffic counts~~ and ~~submit~~does ~~for Cumberland~~not ~~Farms~~export ~~Real~~products ~~Estate~~or ~~Committee approval~~services. ~~Once~~ soIts ~~approved,~~present ~~the~~business ~~Company will~~segments ~~negotiate~~are ~~a purchase or lease of such property and obtain state and local~~not ~~approval~~seasonal ~~and~~in ~~associated permits for construction~~nature. The Company ~~will~~does ~~invoice 100%~~not ofhave ~~the~~any ~~total~~patents, ~~fee~~licenses, franchises, ~~when~~concessions, ~~the property is purchased~~ or ~~leased~~royalty ~~and a building permit is issued~~agreements. The ~~Income~~Company is ~~recognized~~not ~~as required services, as outlined in the~~conducting ~~development~~any ~~agreement,~~research ~~are~~and ~~completed~~development. The ~~entire~~Company's ~~process~~subsidiaries ~~will~~involved ~~normally take~~with ~~1-2~~residential ~~years. The~~rental ~~loss~~properties ofhave ~~the~~some ~~Cumberland~~contracts ~~Farms~~or ~~contract~~subcontracts, ~~would~~including loans, ~~have~~with athe ~~material~~United ~~adverse~~States ~~effect~~government onvia ~~the~~Housing ~~revenues~~& ~~and operations~~Urban ~~of the Company~~Development (HUD).

~~Please~~ The ~~also~~Company’s ~~see~~operations and property are subject to various federal, ~~Note~~state 14and local laws and regulations concerning the protection of the environment, ~~Financial~~including ~~Statements~~air ~~included~~and ~~within~~water quality, hazardous or toxic substances and human health safety. There is no significant environmental litigation involving any of the Company’s properties.

~~Miscellaneous~~ The ~~Business~~Company ~~Reporting:~~has a backlog, or pipeline, of potential development projects with CVS and Cumberland Farms. The Company does not believe backlog is a useful measure of past performance or continuing performance because the life of each project ranges from one to three years and the number of future projects is not predictable.

The Company’s ~~does~~economic ~~not~~performance ~~produce or offer any products,~~ and ~~as such, it has no foreign operations, no inventory (except a small amount at~~ the ~~liquor~~value ~~store), and~~of ~~does~~its ~~not~~real ~~export~~estate ~~products or services. Its present business segments~~ are ~~not~~ ~~seasonal~~subject into ~~nature. The~~the ~~Company~~risks ~~does~~incidental ~~not~~to ~~have~~the ~~any patents~~development, ~~licenses, franchises,~~construction ~~concessions,~~and ~~or royalty agreements. The Company is not conducting~~ownership ~~any~~of ~~research~~real ~~and~~estate ~~development. The~~properties, ~~Company's~~as ~~business~~well ~~segments~~as dothe ~~not~~economic ~~and~~well-being ~~are not~~of ~~expected~~its ~~to involve contracts or subcontracts with the United States government~~tenants.

~~The~~ Employment: ~~Company’s~~On ~~operations~~April ~~and~~30, ~~property are subject to various federal~~2017, ~~state~~ ~~and local laws and regulations concerning~~ the ~~protection of the~~ ~~environment,~~Company ~~including~~employed ~~air~~111 ~~and~~people ~~water~~full-time ~~quality, hazardous or toxic substances~~ and ~~health~~ ~~safety. There~~29 ispeople ~~no significant environmental litigation involving any of the Company’s properties~~part-time.

Competition: The Company ~~has~~competes awith ~~backlog,~~many orother ~~pipeline, of potential development~~established ~~projects~~companies ~~with CVS~~ and ~~Cumberland~~entities, ~~Farms. The~~many ~~Company does not believe backlog is a useful measure~~ of ~~past~~which ~~performance~~are orlarger ~~continuing~~and ~~performance~~possess ~~because the~~substantially ~~life~~greater offinancial ~~each~~resources ~~project ranges from one to three years~~ and ~~the~~substantially ~~number~~larger ~~of future projects is not predictable~~staffs.

~~The~~ITEM ~~Company’s~~1A. ~~economic~~RISK performance and the value of its real estate are subject to the risks incidental to the development, construction and ownership of real estate properties, as well as the economic well-being of its tenants.FACTORS

~~Employment:~~ OnSmaller ~~April~~reporting ~~30,~~companies ~~2016,~~are ~~the~~not ~~Company~~required ~~employed~~to ~~101~~provide ~~people~~the ~~full-time~~information required ~~and~~by 32this ~~people part-time~~item.

~~Competition:~~ITEM ~~The~~1B. ~~Company~~UNRESOLVED ~~competes~~STAFF ~~with many other established companies, many of which are larger and possess substantially greater financial resources and substantially larger staffs.~~COMMENTS

~~ITEM 1A~~ None. ~~RISK FACTORS~~

~~Smaller~~Annual ~~reporting~~Report ~~companies~~on ~~are~~Form ~~not~~10-K ~~required~~Page to4 ~~provide~~First ~~the~~Hartford ~~information required by this item.~~Corporation

4ITEM 2. PROPERTIES

~~ITEM~~ The 2following table shows the location, general character, ownership status, and cost (including leasing cost) of the materially important physical properties of the Company. ~~PROPERTIES~~

~~The following table shows the location, general character, ownership~~ ~~status,~~Consolidated ~~and~~Subsidiaries ~~cost~~– ~~(including leasing cost) of the materially important physical~~Commercial ~~properties of the Company.~~Properties

Consolidated Subsidiaries - Commercial Properties

Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost

X	Edinburg, TX	Shopping Center	460,195 sq. ft. JC Penney 22% Academy Sports 17% Burlington Coat Factory 17%, Effective rent per sq. ft. occupied, exclusive of JC Penney (JC Penney owns its building) is $9.70, occupied 100%	100% owned by a subsidiary of the Company, except JC Penney building. Lender to get extra interest if available (50% of cash flow) plus 50% of cash proceeds from sale or refinancing. See Note 3 of the Financial Statements included within.	$50,394,810

X	West Springfield, MA	Shopping Center	144,350 sq. ft. Price Rite 28% Big Lots 21% Harbor Freight 12%, Effective rent per sq. ft. occupied is $9.67, 92.15% occupied	100% owned by a subsidiary of the Company.	8,072,125

X	North Adams, MA	Shopping Center	131,691 sq. ft. Steeple City Cinema 20% (Company owned); Steeple City Liquor 11% (Company owned); Peebles 14% Planet Fitness 8% Effective rent per sq. ft. occupied – net of 41,067 sq. ft. Company owned $8.58, 82.51% occupied	100% owned by a subsidiary of the Company. Commencing on October 1, 2015 and continuing through September 30, 2019 the Company will remit 50% of the cash flow of the property to Lender.	7,480,974

X	Plainfield, CT	Strip Shopping Center	60,154 sq. ft. Big Y 76%, effective rent per sq. ft. occupied is $12.05, 100% occupied	100% owned by a subsidiary of the Company.	4,966,216

Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost
X	Edinburg, TX	Shopping Center	460,195 sq. ft. JC Penney 22% Academy Sports 17% Burlington Coat Factory 17%, Effective rent per sq. ft. occupied, exclusive of JC Penney (JC Penney owns building) is $10.01, occupied 100%	100% owned by a subsidiary of the Company. Lender to get extra interest if available (50% of cash flow) plus 50% of cash proceeds from sale or refinancing.	$49,151,133
X	West Springfield, MA	Shopping Center	144,350 sq. ft. Price Rite 28% Big Lots 21% Harbor Freight 12%, Effective rent per sq. ft. occupied is $9.29, 92.15% occupied	100% owned by a subsidiary of the Company.	8,072,125
X	North Adams, MA	Shopping Center	131,691 sq. ft. Steeple City Cinema 20% (Company owned); Steeple City Liquor 11% (Company owned); Peebles 14% Planet Fitness 8% Effective rent per sq. ft. occupied – net of 41,067 sq. ft. Company owned $8.45, 82.51% occupied	100% owned by a subsidiary of the Company. Commencing on October 1, 2015 and continuing through September 30, 2019 the Company will remit 50% of the cash flow of the property to Lender.	7,480,974

Annual Report on Form 10-K

Page 5

First Hartford Corporation

5 Consolidated Subsidiaries - Commercial Properties (continued):

ITEM 2. PROPERTIES (continued):

	Cranston, RI	Shopping Center	259,218 sq. ft. Kmart 40% Stop & Shop 25% Effective rent per sq. ft. occupied is $14.67 90.94% occupied	50% owned by a subsidiary of the Company.	27,476,742

	Cranston, RI	College	60,000 sq. ft. Career Education College Effective rent per sq. ft. is $26.68 Currently vacant-leased to 12/31/18	50% owned by a subsidiary of the Company.	10,124,263

	Cranston, RI	Restaurant	Texas Roadhouse Land Lease 100% occupied	50% owned by a subsidiary of the Company.	239,414

	Cranston, RI	Police Station	60,000 sq. ft. Leased to City of Cranston Effective rent per sq. ft. occupied is $17.75 100% occupied	50% owned by a subsidiary of the Company.	10,132,902

X	Lubbock, TX	Shopping Center	160,570 sq. ft. Steinmart 26% Mardel 25% TJ Maxx 19% Effective rent per sq. ft. occupied is $9.86 96.37% occupied	2.0% owned by a subsidiary of the Company.	5,505,361

~~Consolidated~~ The ~~Subsidiaries~~properties listed above -contain ~~Commercial~~approximately ~~Properties~~1,336,178 ~~(continued)~~rentable sq. ft., of which approximately 67,952 sq. ft., or approximately 5.1%, was vacant at April 30, 2017. Over the next 10 years, 75 of the current 83 leases will expire as follows:

Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost
Year Ended	Number of Leases	Sq. Ft.	Base Rent	Percentage of Base Rent
X	Plainfield, CT	Strip Shopping Center	60,154 sq. ft. Big Y 76%, effective rent per sq. ft. occupied is $11.68, 97% occupied	100% owned by a subsidiary of the Company.	4,958,956
4/30/18	10	50,173	$618,271	4.46%
	Cranston, RI	Shopping Center	259,218 sq. ft. Kmart 40% Stop & Shop 25% TJ Maxx 9% Effective rent per sq. ft. occupied is $14.22 98.43% occupied	50% owned by a subsidiary of the Company.	27,476,742
4/30/19	15	223,537	$3,378,569	24.36%
	Cranston, RI	College	60,000 sq. ft. Career Education College Effective rent per sq. ft. is $26.68 Currently vacant-leased to 12/31/18	50% owned by a subsidiary of the Company.	10,124,263
4/30/20	9	132,783	$1,309,350	9.44%
	Cranston, RI	Restaurant	Texas Roadhouse Land Lease 100% occupied	50% owned by a subsidiary of the Company.	239,414
4/30/21	9	111,567	$975,560	7.03%
	Cranston, RI	Police Station	60,000 sq. ft. Leased to City of Cranston Effective rent per sq. ft. occupied is $17.75 100% occupied	50% owned by a subsidiary of the Company.	10,132,902
4/30/22	14	140,857	$2,157,450	15.55%
X	Lubbock, TX	Shopping Center	160,555 sq. ft. Steinmart 26% Mardel 25% TJ Maxx 19% Effective rent per sq. ft. occupied is $9.14 96.38% occupied	2.0% owned by a subsidiary of the Company.	5,799,614
4/30/23	8	108,800	$1,125,807	8.12%
4/30/24	2	18,626	$113,528	0.82%
4/30/25	2	38,754	$365,721	2.64%
4/30/26	4	33,909	$381,134	2.75%
4/30/27	2	14,200	$174,000	1.25%

Annual Report on Form 10-K Page 6 First Hartford Corporation

~~ITEM~~ ~~2. PROPERTIES~~Total ~~(continued):~~rental income of these properties for the year ended April 30, 2017 was $17,955,156, of which $4,071,861 is allocated for reimbursement of real estate taxes, common area expenses, and insurance expenses.

~~Consolidated~~ The ~~Subsidiaries~~Company does not have any -individual ~~Commercial~~tenants ~~Properties~~that ~~(continued):~~account for 5% or more of the Company’s revenues.

~~The properties listed above contain approximately 1,336,163~~ ~~rentable~~Consolidated ~~sq. ft., of which approximately 46,245 sq. ft., or approximately 3.5%,~~Subsidiaries ~~was~~– ~~vacant~~Residential ~~at April 30, 2016. Over the next 10 years, 75 of the current 82 leases will expire as follows:~~Properties

Year Ended	Number of Leases	Sq. Ft.	Base Rent	Percentage of Base Rent
Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost
4/30/17	9	64,076	$862,913	6.20%
X	Rockland, MA	Apartments	204 units, low to moderate income, 91% occupied, effective sq. ft. rent - $22.77	.01% owned by a 75% owned subsidiary of the Company.	25,624,630
4/30/18	8	62,013	$668,966	4.80%
X	Somerville, MA	Apartments	501 units, low to moderate income, 99% occupied, effective sq. ft. rent - $24.48	.0049% owned by a 75% owned subsidiary of the Company.	49,063,026
4/30/19	16	240,842	$3,559,289	25.56%
Non-Consolidated Subsidiaries
4/30/20	10	131,979	$1,342,223	9.64%
Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost
4/30/21	8	111,567	$843,704	6.06%
X	Claymont, DE	Apartments	208 units, senior housing, 100% sec 8 subsidized, 98% occupied, effective sq. ft. rent - $20.93	Nonconsolidated, .01% owned by a 75% owned subsidiary of the Company.	7,707,909
4/30/22	9	105,977	$1,616,340	11.61%
	Dover Township, NJ	Shopping Center	108,084 sq. ft. Stop & Shop 52% Dollar Tree 9% Plus Outparcels	50% owned by a subsidiary of the Company.	14,256,449
4/30/23	7	92,000	$967,950	6.95%
4/30/24	3	95,808	$618,647	4.44%
4/30/25	2	38,754	$365,721	2.63%
4/30/26	3	32,709	$353,414	2.54%

~~Total~~ In ~~rental~~addition ~~income~~to ofthe ~~these~~materially important physical properties ~~for~~of the Company ~~year~~listed ~~ended~~above, the Company owns several other properties that are being ~~April~~developed ~~30,~~or ~~2016~~may ~~was~~be ~~$17,869,972,~~developed in the future as opportunities arise. Many of these ~~which~~other $4properties involve ground lease or build-to-suit deals. In some cases,~~169,005~~ the land being developed is ~~allocated~~solely for a single entity, in other cases ~~reimbursement~~the ofland ~~real~~is ~~estate~~primarily ~~taxes,~~for ~~common~~a ~~area~~single ~~expenses~~entity with some excess land retained for future development, and ~~insurance~~in ~~expenses~~other cases the land is banked for future potential development. Generally, the Company sells the properties within twelve months after development is completed.

~~The~~Annual ~~Company~~Report ~~does~~on ~~not~~Form ~~have~~10-K ~~any~~Page ~~individual~~7 ~~tenants~~First ~~that account~~Hartford ~~for 5% or more of the Company’s revenues.~~Corporation

Consolidated Subsidiaries – Residential Properties

Location of Properties	Use	Anticipated Completion Date	Cost Incurred to Date

New Orleans, LA	Single entity build-to-suit plus shopping center	FY 2018 Q1	18,031,749

Brentwood, NY	Single tenant build-to-suit	FY 2018 Q3	6,498,348

Austin, TX	Single tenant build-to-suit	FY 2018 Q4	3,749,219

Buda, TX	12.1 acres of land – can support 40,000 sq. ft. development	FY 2019	3,997,275

Conroe, TX	3.4 acres of land – can support 20,000 sq. ft. development	FY 2019	2,210,304

Del Valle, TX	15.6 acres of land – can support 52,000 sq. ft. development	FY 2019	1,452,091

All Other Properties Held			1,846,418

Total cost of developed properties and property under construction (excludes non-consolidated subsidiaries)			$236,865,867

Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost
X	Rockland, MA	Apartments	204 units, low to moderate income, 95% occupied, effective sq. ft. rent - $22.77	.01% owned by a 75% owned subsidiary of the Company.	22,331,048
X	Somerville, MA	Apartments	501 units, low to moderate income, 99% occupied, effective sq. ft. rent - $24.08	.0049% owned by a 75% owned subsidiary of the Company.	48,720,216

The Company also owns properties it is currently holding for sale. The properties include vacant land in East Providence, RI, two single-tenant properties in Austin, TX, and a single-tenant property in St. Louis, MO. The total cost of these properties as of April 30, 2017 was $11,389,591.

7ITEM 3. LEGAL PROCEEDINGS

~~ITEM~~ 2The Company is involved in legal proceedings which arise during the normal course of its business, including disputes over tax assessments, commercial contracts, lease agreements, construction contracts, employee disputes and personal injuries. ~~PROPERTIES~~ ~~(continued):~~The Company does not believe the outcome of any of these proceedings will have a material impact on its consolidated financial statements.

~~Non-Consolidated~~ On September ~~Subsidiaries~~7, 2016, the Company was notified it lost the first of two companion lawsuits against a former tenant for wrongful termination of its separate leases at two of the Company’s commercial shopping centers. After evaluating its options, the Company settled both lawsuits with the plaintiff by agreeing to pay $200,000 to cover all claims, including reimbursement of defendant’s claimed legal fees and costs. The parties mutually released each other from any other liability relating to this case.

Company Managed	Location of Properties	Use	Available Space or Facilities and Major Tenants	Ownership Status	Cost
X	Claymont, DE	Apartments	208 units, senior housing, 100% sec 8 subsidized	Nonconsolidated, .01% owned by a 75% owned subsidiary of the Company.	7,629,959
	Dover Township, NJ	Shopping Center	108,084 sq. ft. Stop & Shop 52% Dollar Tree 9% Plus Outparcels	50% owned by a subsidiary of the Company.	13,648,066

Other proceedings

~~In addition to the materially important physical properties of the~~ ~~Company~~The ~~listed above, the~~ Company ~~owns~~is ~~several other properties that are being~~not ~~developed~~aware ~~or may be developed in the future as opportunities arise. Many~~ of ~~these~~ ~~other~~any ~~properties~~material ~~involve~~legal ~~ground~~proceedings ~~lease~~which orwould ~~build-~~need to~~-suit~~ ~~deals.~~be Incited some cases, the land being developed is solely for a single entity, in other cases the land is primarily for a single entity with some excess land retained for future development, and in other cases the land is banked for future potential developmentherein. ~~Generally, the Company sells the properties within twelve months after development is completed.~~

Location of Properties	Use	Anticipated Completion Date	Cost Incurred to Date
New Orleans, LA	Single entity build-to-suit plus shopping center	FY 2017 Q3	14,735,409
Conroe, TX	Single tenant build-to-suit	FY 2017 Q2	5,683,667
Austin, TX	Single tenant ground lease plus additional tenant	FY 2017 Q3	5,371,352
Buda, TX	7.4 acres of land – can support 30,000 sq. ft. development	FY 2018	2,941,605
Conroe, TX	3.4 acres of land – can support 20,000 sq. ft. development	FY 2018	1,960,944
Del Valle, TX	15.6 acres of land – can support 100,000 sq. ft. development	Unknown	1,452,091
All Other Properties Held			2,101,501
Total cost of developed properties and property under construction (excludes non-consolidated subsidiaries)			$228,733,956

There are no proceedings involving officers and directors; see Item 10(f) on Page 20.

~~The~~ITEM ~~Company also owns properties it is currently holding for sale~~4. ~~The~~ ~~properties~~MINE ~~include~~SAFETY a single tenant build-to-suit in Stanhope, NJ, vacant land in East Providence, RI, and a single-tenant property in Olathe, KS. The total cost of these properties as of April 30, 2016 was $15,422,312. DISCLOSURES

8 Not Applicable.

~~ITEM~~Annual ~~3. LEGAL PROCEEDINGS~~Report on Form 10-K Page 8 First Hartford Corporation

~~The~~ ~~Company~~ PART is involved in legal proceedings which arise during the normal course of its business, including disputes over tax assessments, commercial contracts, lease agreements, construction contracts, employee disputes and personal injuries. The Company does not believe the outcome of any of these proceedings will have a material impact on its consolidated financial statements.II

The Company istrades ~~not~~on the OTC Securities Market under the symbol FHRT. Investors ~~aware~~can offind ~~any~~current ~~material~~financial ~~legal~~disclosures ~~proceedings~~and ~~which~~quotes ~~would~~for ~~need~~the toCompany beon ~~cited~~Yahoo Finance ~~herein~~and other financial sites.

~~There are no~~ ~~proceedings~~STOCK ~~involving~~PRICE ~~officers~~AND ~~and~~DIVIDEND ~~directors; see Item 10(f) on Page 50.~~INFORMATION

ITEM 4. MINE SAFETY DISCLOSURES

	Stock Price
2017	High	Low	Dividends Paid Per Common Share
First Quarter	$2.68	$2.35	None
Second Quarter	$2.50	$2.01	None
Third Quarter	$3.25	$2.25	None
Fourth Quarter	$2.90	$2.25	None

2016
First Quarter	$3.05	$2.00	None
Second Quarter	$3.25	$2.75	None
Third Quarter	$3.00	$2.25	None
Fourth Quarter	$3.00	$2.30	None

~~Not~~ No dividends ~~Applicable~~have been paid in the past two fiscal years and the Company has no plans or intentions to institute payment of dividends in the foreseeable future.

9 Publicly traded sales of common stock on the open-market occur sporadically. A recent reported public sale was for $3.00 per share on May 24, 2017 for a total of 1,400 shares.

~~PART~~ The Company IIdid not sell any unregistered shares of securities during the year ended April 30, 2017.

~~ITEM~~ Shareholders of 5Record, and Potential Termination of SEC Reporting: There were approximately 318 shareholders of record for the Company’s common stock as of April 30, 2017. ~~MARKET~~ A trend the Company has ~~FOR~~noticed ~~REGISTRANT~~is the number of shareholders of record has been consistently attenuating each quarter. The Company anticipates the number of shareholders of record will fall below 300 in the very near term. Upon that occurring, the Company will have the opportunity to suspend and terminate its SEC reporting obligations, colloquially known as “going dark”. Management has expressed interest in “going dark” since doing so would create savings in the Company’Ss ~~COMMON~~accounting, ~~EQUITY~~legal, ~~RELATED~~and ~~STOCKHOLDER~~professional ~~MATTERS~~expenses since the ~~AND~~SEC compliance obligations would cease. The Company anticipates, provided ~~ISSUER~~one ~~PURCHASES~~or OFmore ~~EQUITY~~market ~~SECURITIES~~makers continue to participate in the Company’s trading market and other conditions are met, that the Company’s common stock shares would continue to be eligible to trade on the OTC Securities Markets. However, it is anticipated that the Company’s shares would have less visibility and the current limited liquidity may be further constrained in the market. Once the Company is eligible to “go dark”, the matter will be brought before its Board of Directors and shareholders for a vote; assuming an affirmative vote, the Company intends it would then voluntarily file a current report on a Form 8-K approximately two weeks in advance of suspending and terminating its Exchange Act reporting obligations in order to provide specific advance notice and additional explanation.

~~The Company~~Annual ~~trades~~Report on ~~the~~Form ~~OTC~~10-K ~~Securities~~Page ~~Market~~9 ~~under~~First ~~the~~Hartford ~~symbol FHRT. Investors can find current financial disclosures and quotes for the Company on Yahoo Finance and other financial sites.~~Corporation

~~STOCK~~ 10b5-1 ~~PRICE~~Private ~~AND~~Repurchase ~~DIVIDEND~~Stock ~~INFORMATION~~Plan: On January 5, 2017, the Company’s Board of Directors amended and approved the Amended and Restated 10b5-1 Private Repurchase Stock Plan (the “Repurchase Plan”), which was initially adopted on March 29, 2016. The Company found less demand under the Repurchase Plan than expected and desired to broaden the eligibility requirements to increase participation in the Repurchase Plan. The Company desired to amend the Repurchase Plan in order to permit shareholders holding five (5%) percent or more of the issued and outstanding common stock of the Company the ability to participate in the Repurchase Plan. The Repurchase Plan provided for the repurchase of up to 150,000 shares of the Company’s common stock in minimum blocks of 15,000 shares and maximum blocks of 25,000 shares. Eligible shareholders were those holding blocks of common stock of the Company in excess of fifteen thousand (15,000) shares and less than three hundred fifty thousand (350,000) shares. Repurchases could be made at management’s discretion from time-to-time only through privately negotiated transactions pursuant to the terms of the 10b5-1 plan to meet the requirements of Rule 10b5-1 under the Securities Exchange Act of 1934. The privately negotiated purchase price could not exceed 1.5 times the highest independent bid or the last independent transaction price and in no event be higher than five ($5.00) dollars per share. The purchases and negotiations could resume 15 days after filing of the quarterly report; the program will be suspended for 15 days before the due date of each next quarterly or annual report filing and will resume 15 days after the filing. The repurchase program expired on March 28, 2017. Any shares acquired under this program were retired.

Stock Price
2016	High	Low	Dividends Paid Per Common Share
First Quarter	$3.05	$2.00	None
Second Quarter	$3.25	$2.75	None
Third Quarter	$3.00	$2.25	None
Fourth Quarter	$3.00	$2.30	None
2015
First Quarter	$2.20	$1.50	None
Second Quarter	$2.10	$1.51	None
Third Quarter	$2.46	$1.50	None
Fourth Quarter	$2.46	$1.91	None

Please see the below table for information with respect to repurchases by the Company:

No ~~dividends~~Issuer ~~have~~Repurchases ~~been paid in the past two fiscal years and the Company has no plans or intentions to institute payment~~ of ~~dividends~~its inEquity ~~the foreseeable future.~~Securities

Sales of common stock on the open-market occur sporadically. A recent reported sale was for $2.45 per share on May 31, 2016 for a total of 12,000 shares.

Month of Transactions	Total number of shares purchased	Average price paid per share	Total number of shares purchased as part of publicly announced plans or programs	Number of potential shares that went unpurchased under the plans or programs
				150,000
May 1, 2016 – April 30, 2017^a	2,025	$2.45	0	0
May 11, 2016^b	25,000	$3.00	25,000	(25,000)
February 1, 2017^b	25,000	$2.50	25,000	(25,000)
March 1, 2017^b	5,100	$2.50	5,100	(5,100)
March 7, 2017^b	6,666	$2.50	6,666	(6,666)
May 25, 2017^b,c	25,000	$3.00	25,000	(25,000)
TOTAL	88,791	$2.78	86,766	63,234

~~The~~ ~~Company~~a: The ~~repurchased~~transactions ~~5,250~~comprised ~~shares~~ of ~~common stock during~~ the ~~year ended April 30,~~ ~~2016~~acquisition ~~at an average price~~ of $the 2~~.73~~,025 ~~per share. These~~ shares were not ~~purchased as~~conducted ~~part~~pursuant ofto a publicly announced ~~plan~~program, orand ~~program~~therefore are discontinued.

~~The~~ ~~Company~~b: The ~~did~~transactions ~~not~~comprised ~~sell~~of ~~any~~the acquisition ~~unregistered~~of these shares ofwere ~~securities~~made ~~during~~pursuant to the ~~year~~publicly announced 10b5-1 ~~ended~~Private ~~April~~Repurchase ~~30,~~Stock ~~2016~~Plan.

~~There~~ ~~were~~c: The ~~approximately~~offer ~~345~~to ~~shareholders~~sell ofthese ~~record~~shares ~~for~~was initiated by the ~~Company’s~~shareholder ~~common~~on ~~stock~~February ~~as of April 30~~21, ~~2016~~2017.

10ITEM 6. SELECTED FINANCIAL DATA

~~ITEM 5. MARKET~~ ~~FOR~~Smaller reporting ~~REGISTRANT’S~~companies ~~COMMON~~are ~~EQUITY,~~not ~~RELATED~~required ~~STOCKHOLDER~~to ~~MATTERS AND ISSUER~~provide ~~PURCHASES~~the OFinformation ~~EQUITY~~required ~~SECURITIES~~by this ~~(continued):~~item.

~~10b5-1 Private~~Annual ~~Repurchase~~Report ~~Stock~~on ~~Plan:~~Form ~~On March 29, 2016, the Company’s Board of Directors approved a 10b5~~10-1K ~~Private Repurchase~~Page ~~Stock~~10 ~~Plan~~First ~~for~~Hartford the repurchase of up to 150,000 shares of the Company's common stock in minimum blocks of 15,000 shares and maximum blocks of 70,000 shares. All eligible shareholders shall at all times during the transaction hold less than 5% of the issued and outstanding common stock of the Company. Repurchases may be made at management’s discretion from time-to-time only through privately negotiated transactions pursuant to the terms of the 10b5-1 plan to meet the requirements of Rule 10b5-1 under the Securities Exchange Act of 1934. The privately negotiated purchase price may not to exceed $5.00 per share. The program will be suspended for 15 days before the due date of each quarterly or annual report filing and will resume 15 days after the next successive filing. The repurchase program may extend up to maximum of 12 months and may be suspended for periods or discontinued at any time. Any shares acquired under this program will be retired. Please see the below table for information with respect to repurchases by the Company:Corporation

~~Issuer~~ITEM ~~Repurchases~~7. ofMANAGEMENT’S ~~its~~DISCUSSION ~~Equity~~AND ~~Securities~~ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Month of Transactions	Total number of shares purchased	Average price paid per share	Total number of shares purchased as part of publicly announced plans or programs	Maximum number of shares that may yet be purchased under the plans or programs
May 1, 2015 – April 30, 2016a	5,250	$2.73	0	0
May 11, 2016 b	25,000	$3.00	25,000	125,000
TOTAL	30,250	$2.95	25,000	125,000

The discussion and analysis below provides information that the Company believes is relevant to an assessment and understanding of its consolidated financial position, results of operations and cash flows. This discussion and analysis should be read in conjunction with the consolidated financial statements and related notes included elsewhere herein.

~~The~~This ~~transactions~~and ~~comprised~~certain other sections of the Company’s Annual Report on Form ~~acquisition~~10-K ofcontain statements reflecting the ~~5,250~~Company’s ~~shares~~views ~~were~~about ~~not~~its ~~conducted~~future performance ~~pursuant~~and toconstitute “forward-looking astatements” ~~publicly~~under the Private ~~announced~~Securities ~~program,~~Litigation ~~and~~Reform ~~therefore~~Act ~~are~~of ~~discontinued~~1995. ~~The~~ Readers ~~transactions~~should ~~comprised~~consider ofthat ~~the~~various ~~acquisition~~factors, ofincluding changes in general economic conditions, interest rates and the 25availability of funds,~~000~~ ~~shares~~and ~~required~~competition ~~pursuant~~and torelationships ~~the~~with ~~March~~key 29customers and their financial condition, ~~2016~~may affect the Company’s performance. The Company undertakes no obligation to update publicly ~~announced~~any ~~10b5~~forward-1looking statements ~~Private~~as ~~Repurchase~~a ~~Stock~~result ~~Plan~~of new information, future events, or otherwise.

~~ITEM~~ RESULTS ~~6. SELECTED~~OF ~~FINANCIAL DATA~~OPERATIONS

~~Smaller~~ ~~reporting~~Rental ~~companies are not required to provide the information required by this item.~~Income

11 Rental income for the years ended April 30, by type of tenant, follows:

ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

	2017	2016
Residential	$12,171,608	$12,117,191
Commercial	19,813,217	18,299,709
	$31,984,825	$30,416,900

~~The~~ Residential ~~discussion~~rental ~~and~~income ~~analysis~~was ~~below~~up ~~provides~~slightly ~~information~~compared ~~that~~to the ~~Company~~prior year. The ~~believes~~increase isreflected ~~relevant~~more toSection an8-eligible ~~assessment~~tenants ~~and~~with ~~understanding~~fewer plan of ~~its consolidated~~action ~~financial~~concessions ~~position~~at the Somerville, ~~results~~MA of(i.e., ~~operations~~Clarendon) ~~and~~property, ~~cash~~partially ~~flows. This~~offset ~~discussion~~by ~~and~~lower ~~analysis~~revenue ~~should~~at bethe ~~read~~Rockland, inMA ~~conjunction~~property ~~with~~due ~~the~~to ~~consolidated financial~~vacancies from ~~statements~~converted apartments ~~and~~needed ~~related~~for ~~notes~~the ~~included~~ongoing ~~elsewhere~~renovation ~~herein~~project.

~~This~~ The ~~and~~increase ~~certain~~in ~~other~~commercial ~~sections~~rental ofincome ~~the~~was ~~Company’s~~caused ~~Annual~~by ~~Report~~rents received on ~~Form 10-K contain statements reflecting~~ the Company’s ~~views~~development ~~about~~properties ~~its~~(e.g., ~~future performance~~New ~~and~~Orleans, ~~constitute “forward-looking~~LA; ~~statements”~~Olathe, ~~under the Private~~KS; ~~Securities~~Conroe, ~~Litigation~~TX; ~~Reform Act of 1995~~etc. ~~These~~) ~~views~~and ~~may~~additional ~~differ~~rents ~~materially~~ from ~~the~~new ~~results~~tenants ~~discussed~~at inthe ~~such forward-looking statements. Readers should~~West ~~consider~~Springfield, ~~that~~MA ~~various~~and ~~factors~~Edinburg, ~~including~~TX ~~changes in general economic conditions~~properties, ~~interest~~partially ~~rates~~offset ~~and~~by the ~~availability~~impact of ~~funds, and competition and~~ ~~relationships~~the ~~with~~voluntary ~~key~~foreclosure ~~customers~~of ~~and~~the ~~their financial condition~~Putnam, ~~may~~CT ~~affect~~property ~~the Company’s~~on ~~performance. The~~June ~~Company undertakes no obligation to update publicly any forward-looking statements as a result of new information~~5, ~~future events, or otherwise~~2015.

~~RESULTS~~ Service ~~OF OPERATIONS~~Income

~~Rental~~ Service ~~Income~~income for the years ended April 30 is made up of the following:

Rental income for the years ended April 30, by type of tenant, follows:

	2017	2016
Preferred Developer Fees	$4,839,500	$6,298,250
Management and Other Fees	614,419	492,845
	$5,453,919	$6,791,095

	2016	2015
Residential	$12,117,191	$11,121,786
Commercial	18,299,709	18,191,994
	$30,416,900	$29,313,780

Preferred developer fees are from CVS and Cumberland Farms. The decrease in preferred developer fees reflected lower fees received from both CVS and Cumberland Farms. The decrease in CVS fees was the result of a recent acquisition by CVS that has impacted in the slowing of their pipeline for new stores. The smaller decrease in Cumberland Farms was the result of timing of closings based on the construction schedule.

~~The increase in residential rental income was primarily caused by an~~ ~~increase~~Management infees ~~the~~are ~~subsidy~~mainly ~~received~~from ~~for~~ the ~~Rockland~~Claymont, MADE ~~property, partially offset by increases in concessions and vacancies~~project.

~~There~~Annual ~~were~~Report ~~no individually significant variances in commercial rental income. Normal rent rate increases and rental income received~~ on ~~development properties~~Form ~~awaiting~~10-K ~~sale~~Page ~~were~~11 ~~offset~~First byHartford ~~the impact of the voluntary foreclosure of the Putnam, CT property on June 5, 2015 (see Note 16 to the Financial Statements included within for discussion).~~Corporation

12 Sales (and Cost of Sales) of Real Estate

~~ITEM~~ When 7profitable opportunities arise, the Company will buy and sell certain properties. ~~MANAGEMENT’S~~ The ~~DISCUSSION~~Company ~~AND~~had several purchases and sales of real estate ~~ANALYSIS~~in OFfiscal ~~FINANCIAL~~years ~~CONDITION~~2017 and 2016. While the Company expects to continue to ~~AND~~discover ~~RESULTS~~more OFopportunities ~~OPERATIONS~~going ~~(continued);~~forward, there are no guarantees that they will be discovered or, if discovered, be of the magnitude and profitability of recent real estate sales.

~~RESULTS~~ FY ~~OF OPERATIONS (continued):~~2017

~~Service~~ On June ~~Income~~29, 2016, the Company sold a property in Stanhope, NJ for $10,000,051 (cost of $8,294,103). A construction loan with a balance of $6,329,667 was paid off with the proceeds.

~~Service~~ On ~~income~~June ~~for~~ 30, 2016, the ~~years~~Company ~~ended~~sold ~~April~~a 30portion isof ~~made~~its upproperty in Edinburg, TX (i.e., Texas Roadhouse) for $2,210,000 (cost of $1,355,597). A mortgage loan with a balance of $1,279,136 was paid off with the ~~following:~~proceeds.

	2016	2015
Preferred Developer Fees	$6,298,250	$6,795,500
Management and Other Fees	492,845	463,587
	$6,791,095	$7,259,087

On August 16, 2016, the Company sold a condominium in Wethersfield, CT for $285,000 (cost of $277,191). The net proceeds were used to reduce a mortgage loan on this property. The Company currently owns three other condominiums at this site.

~~Preferred~~ On ~~developer~~September ~~fees~~20, ~~are~~2016, ~~from~~the ~~CVS~~Company ~~and~~sold ~~Cumberland~~a ~~Farms. The decrease~~parcel of land in ~~preferred~~Austin, ~~developer~~TX for ~~fees~~$6,100,000 ~~reflected~~(cost ~~lower~~of ~~fees~~$4,185,023) ~~received~~that ~~from~~was ~~CVS~~previously ground leased. The Company ~~decrease~~continued ~~for~~to ~~CVS~~own ~~was~~land ~~the~~attached ~~result~~to ofthe asold ~~recent~~parcel ~~acquisition~~and ~~that has resulted~~oversaw inconstruction ~~the slowing~~ of ~~their~~a ~~pipeline~~single-tenant ~~for~~retail ~~new~~building ~~stores. This~~of ~~slowdown~~approximately ~~will~~6,900 ~~continue~~square ~~until~~feet ~~CVS~~on ~~determines~~this ~~the~~property. The ~~impact~~remainder of this ~~acquisition~~property onwas ~~new~~sold ~~market~~subsequent ~~expansion. Preferred~~to ~~developer~~April ~~fees~~30, ~~for Cumberland Farms were flat year-over-year~~2017.

~~Management~~ On December ~~fees~~14, ~~are~~2016, ~~mainly~~the ~~from~~Company ~~the~~sold ~~Claymont~~a property in Conroe, DETX ~~project~~for $8,778,442 (cost of $6,730,715). A mortgage loan with a balance of $5,363,913 was paid off with the proceeds.

~~Sales~~ On December ~~(and~~28, ~~Cost~~2016, the Company sold a property in Olathe, KS for $7,000,000 (cost of ~~Sales~~$6,867,228). A mortgage loan with a balance of ~~Real~~$5,335,000 ~~Estate~~was paid off with the proceeds.

~~When profitable opportunities arise, the Company will buy and sell~~ ~~certain~~There ~~properties. The~~were ~~Company~~also ~~had~~costs ~~several~~incurred ~~purchases and sales of real estate~~ in fiscal ~~years~~year ~~2016~~2017 ~~and~~related ~~2015. While the Company expects~~ to ~~continue to discover~~property ~~more~~sales ~~opportunities~~that ~~going~~occurred ~~forward,~~in ~~there~~the ~~are~~fiscal noyear ~~guarantees~~ended ~~that~~April ~~they~~30, ~~will~~2016 ~~be discovered~~totaling or$13,943 that ifwere ~~discovered,~~not beanticipated as of the ~~magnitude~~prior ~~and~~fiscal ~~profitability~~year ~~of recent real estate sales~~end.

~~During the year ended April 30, 2016, the Company had three significant~~ ~~sales~~FY of real estate, as follows: 1) sold a parcel of land in Pearland, TX for $1,104,161 (cost of $766,786), 2) sold a property in Austin, TX for $10,246,021 (cost of $7,800,521), and 3) sold a property in Vernon, NJ for $9,750,000 (cost of $8,906,639). There were also costs related to property sales that occurred in the fiscal year ended April 30, 2015 totaling $199,077 that were not anticipated as of the prior fiscal year end.2016

~~During~~ On ~~the~~May ~~year ended April 30~~28, 2015, the Company ~~had five significant sales of real estate, as follows: 1)~~ sold a ~~property in Huntsville, TX for $6,695,000 (cost of $4,509,976), 2) sold a~~ parcel of land in ~~Conroe~~Pearland, TX for $~~3,875,000 (cost of $2,530,477), 3) sold a property in New Orleans, LA for $10,900,000 (cost of $8,522,813), 4) sold a parcel of land in Buda, TX for $2,835,052 (cost of $~~1,~~554~~104,~~046),~~161 ~~and 5) sold a property in Avondale, LA for $6,096,000~~ (cost of $5766,~~212,782~~786). ~~There was also $42,500 of residual costs related to the 2014 Pearland, TX sale.~~

~~Other~~ On ~~Income~~August 6, 2015, the Company sold a property in Austin, TX for $10,246,021 (cost of $7,800,521). A construction loan with a balance of $6,106,437 was paid off with the proceeds.

~~The~~ On ~~increase~~February in3, ~~other~~2016, ~~income was primarily at~~ the ~~liquor~~Company ~~store,~~sold ~~which obtained~~ a ~~liquor~~property ~~license~~ in ~~December~~Vernon, ~~2014. Prior~~NJ ~~to obtaining the liquor~~for ~~license~~$9,750,000 ~~the~~(cost ~~store~~of ~~only sold beer and wine~~$8,906,639).

13 There were also costs incurred in fiscal year 2016 related to property sales that occurred in the fiscal year ended April 30, 2015 totaling $199,077 that were not anticipated as of the prior fiscal year end.

~~ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION~~ ~~AND~~Other ~~RESULTS OF OPERATIONS (continued);~~Income

~~RESULTS~~ The OFincrease ~~OPERATIONS~~in ~~(continued):~~other income was primarily at the liquor store, which obtained a liquor license in December 2014. Prior to obtaining the liquor license, the store only sold beer and wine. Income from the liquor store has been steadily increasing since obtaining the license.

~~Operating~~Annual ~~Costs~~Report ~~and~~on ~~Expenses~~Form 10-K Page 12 First Hartford Corporation

~~Rental~~ Operating Costs and Expenses

Rental ~~expense for the years ended April 30, by type of tenant, follows:~~Expenses

Residential	2016	2015
Depreciation and Amortization	$2,218,905	$2,222,546
Other Rental Expenses	8,305,098	7,941,247
	$10,524,003	$10,163,793
Commercial
Depreciation and Amortization	$3,300,138	$3,585,607
Other Rental Expenses	6,904,291	6,684,493
	$10,204,429	$10,270,100
Total	$20,728,432	$20,433,893

Rental expense for the years ended April 30, by type of tenant, follows:

The increase in residential rental expenses reflected the capitalization of previously expensed asbestos remediation costs at the Clarendon property in the prior year third quarter as these costs, which are ongoing, were determined to improve the condition and safety of the property and mitigate and prevent environmental contamination that has yet to occur and that otherwise may result from future operations or activities. Also contributing to the increase were higher voucher incentive payments made to Rockland’s tenants in an effort to maximize subsidy income. Partially offsetting these increases were non-recurring sprinkler and fire damage-related expenses at Clarendon in the prior year and lower snow removal expenses due to the mild winter.

Residential	2017	2016
Depreciation and Amortization	$2,274,234	$2,218,905
Other Rental Expenses	8,128,427	8,305,098
	$10,402,661	$10,524,003
Commercial
Depreciation and Amortization	$3,393,939	$3,300,138
Other Rental Expenses	6,293,904	6,904,291
	$9,687,843	$10,204,429

Total	$20,090,504	$20,728,432

~~The~~ Residential ~~slight decrease in commercial~~ rental expenses ~~was~~were ~~mainly~~lower ~~due~~compared to the prior year. The ~~impact~~most ofnotable ~~the~~year-over-year ~~voluntary~~items ~~foreclosure~~were ofvoucher incentive payments made to tenants at the ~~Putnam~~Rockland, CTMA property onin ~~June~~the 5prior year that did not occur in the current year and decreases in building repair costs and pool closure due in part to renovation project at Rockland, ~~2015~~MA property, partially offset by ~~increased~~higher ~~costs~~insurance ~~related~~premiums toand ~~the~~building ~~expansion~~repair ~~of our shopping~~costs at ~~center~~the inSomerville, ~~Edinburg~~MA (i.e., TXClarendon) property.

~~Service~~ The ~~Expenses~~decrease in commercial rental expenses was mainly due to higher costs related to the initial expansion of our shopping center in Edinburg, TX in the prior year and prior year professional and legal expenses incurred as part of the initial effort to refinance the debt at the Cranston, RI shopping center, largely offset by a legal settlement of $200,000 with a former tenant (see Item 3 included within for further discussion) and accelerated amortization expense of deferred commissions arising from the sale of a portion of its property in Edinburg, TX (i.e., Texas Roadhouse).

Service ~~expenses for the years ended April 30 is made up of the following:~~Expenses

	2016	2015
Preferred Developer Expenses and Other Costs	$3,677,113	$2,437,779
Fees	2,018,680	2,008,001
	$5,695,793	$4,445,780
Construction and Other Costs	95,382	118,773
	$5,791,175	$4,564,553

Service expenses for the years ended April 30 is made up of the following:

The increase in service expenses reflected higher preferred developer expenses and fees reflecting the ramp-up to full staffing that occurred in the second half of fiscal year 2015 and into fiscal year 2016, as well as salary increases.

	2017	2016
Preferred Developer Expenses	$5,011,262	$5,695,793
Construction and Other Costs	87,637	95,382
	$5,098,899	$5,791,175

14 The decrease in preferred developer expenses and fees primarily reflects lower commissions paid commensurate with the lower service revenue offset by higher compensation expense.

~~ITEM~~ Selling, ~~7. MANAGEMENT’S~~General ~~DISCUSSION AND ANALYSIS OF FINANCIAL~~and ~~CONDITION AND~~Administrative ~~RESULTS~~Expenses ~~OF OPERATIONS~~ (~~continued~~“SG&A”);

~~RESULTS~~ The OFincrease ~~OPERATIONS~~in SG&A expenses was primarily due to writing-off costs relating to abandoned projects, higher expenses at the liquor store commensurate with the higher volume, expenses related to the Company’s development properties (~~continued~~e.g., New Orleans, LA; Olathe, KS, Conroe, TX, etc.):, and higher legal and professional fees.

~~Selling,~~Annual ~~General~~Report ~~and Administrative~~on ~~Expenses~~Form ~~(“SG&A”)~~10-K Page 13 First Hartford Corporation

~~The increase in SG&A expenses was caused by higher expenses at the~~ ~~liquor~~Non-Operating ~~store~~Income in North Adams, MA, which did not obtain a liquor license until December 2014, partially offset by several employees now focused on the Preferred Developer program and thus no longer performing SG&A duties. (Expense):

~~Non-Operating~~ Equity ~~Income~~in Earnings (~~Expense~~Losses): of Unconsolidated Subsidiaries

~~Equity~~ The equity in ~~Earnings~~ earnings (~~Losses~~losses) of ~~Unconsolidated~~unconsolidated ~~Subsidiaries~~subsidiaries is broken down as follows:

The equity in earnings (losses) of unconsolidated subsidiaries is broken down as follows:

	2017	2016
Income from Operations	$325,452	$306,851
Distributions	360,000	360,000
Equity in Earnings of Unconsolidated Subsidiary	$685,452	$666,851

	2016	2015
Income from Operations	$306,851	$350,276
Defeasance and Refinancing	-0-	(399,656)
Distributions	360,000	840,000
Equity in Earnings of Unconsolidated Subsidiary	$666,851	$790,620

The Company has an investment in an affiliated limited liability entity Dover Parkade, LLC, (Dover). The Company has a 50% interest in Dover which owns a shopping center in Dover Township, NJ. The operating and financial policies of Dover are not controlled by the Company. For the years prior to May 1, 2009, the Company was committed to providing funding to this equity method investee. The Company’s investment was recorded at cost and subsequently adjusted for its share of their net income and losses and distributions. To 2009, losses and distributions from Dover exceeded the Company’s investment. Since then, distributions from Dover have been credited to income. The Company does not control the rate of distributions of Dover. Such distributions are in excess of Dover’s net assets since its accumulated net losses (including significant amounts for depreciation and amortization) have exceeded capital contributions.

~~The Company has an investment in an affiliated limited liability entity~~ ~~Dover~~Other Parkade, LLC, (Dover). The Company has a 50% interest in Dover which owns a shopping center in Dover Township, NJ. The operating and financial policies of Dover are not controlled by the Company. For the years prior to May 1, 2009, the Company was committed to providing funding to this equity method investee. The Company’s investment was recorded at cost and subsequently adjusted for its share of their net income and losses and distributions. To 2009, losses and distributions from Dover exceeded the Company’s investment. Since then, distributions from Dover have been credited to income. The Company does not control the rate of distributions of Dover. Such distributions are in excess of Dover’s net assets since its accumulated net losses (including significant amounts for depreciation and amortization) have exceeded capital contributions.Income

~~During fiscal year 2015, the equity in earnings of Dover was charged~~ ~~$399,656,~~Other ~~which~~income represents 50% of the direct cost of defeasance on the refinancing of its prior mortgage plus some additional defeasance cost. As a result of this refinancing, the Company received a distribution of $600,000, which is ~~included~~broken indown ~~the~~as ~~$840,000 total distributions above.~~ follows:

	2017	2016
Investment Income	$137,186	$416,811
Clarendon Residual Funds	-0-	189,912
Total	$137,186	$606,723

~~ITEM~~ The ~~7. MANAGEMENT’S~~decrease ~~DISCUSSION~~in ~~AND~~investment ~~ANALYSIS~~income OFreflected ~~FINANCIAL~~realized gains on sales of ~~CONDITION AND~~securities ~~RESULTS~~in OFthe ~~OPERATIONS~~prior ~~(continued);~~year that did not repeat in the current year.

~~RESULTS~~ During OFthe ~~OPERATIONS~~year ~~(continued):~~ended April 30, 2016, the Company received $189,912 of residual funds that remained in a reserve account after payoff of the underlying bondholders securitized by the mortgage that was refinanced at Clarendon in February 2015.

~~Other~~ Gain ~~Income~~(Loss) on Derivatives (Non-Cash)

~~Other~~ The Company, through its 50% owned consolidated subsidiaries, has entered into two separate floating-to-fixed interest rate swap agreements with banks that expire in May 2025 and July 2031. The Company has determined that these derivative instruments do not meet the requirements of hedge accounting and have therefore recorded the change in fair value of these derivative instruments through income. Note isthat ~~broken~~the ~~down~~change asin ~~follows:~~fair value recorded through income is a non-cash item.

	2016	2015
Edinburg Economic Development Corporation contributions	$-0-	$2,391,850
Investment Income	416,811	172,399
Clarendon Residual Funds	189,912	-0-
Total	$606,723	$2,564,249

Gain on Voluntary Foreclosure

In On ~~connection~~November ~~with~~1, ~~the~~2014, ~~Company’s~~a ~~development~~payment ~~and~~was ~~construction~~due for the mortgage of ~~a shopping~~the shopping center ~~owned~~in ~~and~~Putnam, ~~operated~~CT byin the ~~Company~~amount inof ~~Edinburg,~~approximately TX$4,700,000. The ~~the Company~~rentable ~~entered~~space ~~into~~of anthe ~~Economic~~shopping ~~Development~~center ~~Agreement~~was ~~dated~~57,529 ~~February~~square 20feet, ~~2007~~46% ~~with the City~~ of ~~Edinburg~~which ~~and~~was ~~other~~leased ~~local~~to one ~~non-profit corporations~~store. InThat ~~connection~~store ~~with the~~informed ~~agreement,~~ the Company ~~received~~that ~~contributions~~they were ~~from~~not ~~the~~renewing ~~Edinburg~~their ~~Economic Development~~lease, ~~Corporation~~which ~~(EEDC)~~expired ofon upJanuary to31, $42015,~~000~~ and,~~000~~ as ~~its~~a result, ~~0.5%~~the ~~share~~Company offound ~~sales tax~~it ~~revenue~~impossible ~~generated~~to ~~from~~refinance the ~~shopping~~mortgage ~~center~~without finding a replacement tenant. ~~Such~~Therefore, ~~nonreciprocal~~on ~~transfers of~~June 5, 2015, the Company’s ~~share~~agreed to oftransfer ~~sales~~title ~~taxes~~of ~~generated~~the ~~are~~property ~~recorded~~to by the lender. The Company asrecognized a gain ~~other~~of ~~non-operating~~$2,649,850 ~~income~~since ~~when~~the ~~received. The~~mortgage ~~Company~~was ~~does~~non-recourse ~~not~~and ~~expect~~was ~~any~~in ~~more~~excess of the book value. Pre-tax income ~~from~~for this ~~agreement~~shopping ~~after~~center ~~April~~was ~~30,~~$-0- ~~2015. See~~and ~~Note~~$44,645 4for to the ~~Consolidated~~years ~~Financial~~ended ~~Statements~~April ~~for~~30, ~~further~~2017 ~~discussion~~and 2016, respectively.

~~The~~Annual ~~increase~~Report ~~in investment income was caused by realized gains~~ on ~~sales on~~Form ~~investments~~10-K inPage ~~part~~14 toFirst ~~help~~Hartford ~~finance the refinancing at CP Associates as discussed in Note 3 to the Consolidated Financial Statements. Note that unrealized investment gains are recorded in equity.~~ Corporation

~~During the year ended April 30, 2016, the Company received $189,912 of~~ ~~residual~~Loss ~~funds~~on ~~that remained in a reserve account after payoff of the underlying bondholders securitized by the mortgage that was refinanced at Clarendon in February 2015.~~Impairment

~~Gain~~ During ~~(Loss)~~the year ended April 30, 2016, the Company recorded an impairment loss of $330,700 on ~~Derivatives~~a ~~(Non~~non-~~Cash)~~core property it owns in Wethersfield, CT. The amount of the impairment loss represented the excess of the cost over the estimated net sales proceeds from the property.

~~The Company, through its 50% owned consolidated subsidiaries, has~~ ~~entered~~Loss ~~into~~on two separate floating-to-fixed interest rate swap agreements with banks that expire in May 2025 and July 2031. The Company has determined that these derivative instruments do not meet the requirements of hedge accounting and have therefore recorded the change in fair value of these derivative instruments through income. Note that the change in fair value recorded through income is a non-cash item.Defeasance

16 In FY 2017, the Company paid a defeasance premium of $437,776 when refinancing its mortgage loan on its shopping center in Lubbock, TX as discussed in Note 3 of the Financial Statements included within.

~~ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL~~ ~~CONDITION AND~~Interest ~~RESULTS OF OPERATIONS (continued):~~Expense

~~RESULTS~~ Interest OFexpense ~~OPERATIONS~~for ~~(continued)~~the years ended April 30, by type of tenant, follows:

Gain on Forgiveness of Debt

	2017	2016
Residential	$2,892,724	$2,516,383
Commercial	7,501,274	6,852,573
	$10,393,998	$9,368,956

~~During~~ ~~the~~The ~~year~~increase ~~ended~~in ~~April~~commercial ~~30,~~interest ~~2015,~~expense awas ~~100% owned subsidiary of~~ the ~~Company,~~result ~~Main Street NA Parkade, LLC, signed an agreement that the Mortgage loan secured by the property~~ of ~~Main Street NA Parkade located in North Adams would be reduced~~expense ~~from~~related ~~$12,575,423~~ to ~~$7,260,000. As~~loans offor the ~~date~~Company’s ~~hereof,~~development ~~the~~properties ~~Note reflects an outstanding principal balance of $7~~(e.g.,~~260,000~~ ~~due~~New ~~to a reduction of principal indebtedness through debt forgiveness by Lender~~Orleans, ~~which resulted in a gain in~~ ~~the~~LA; ~~amount of $5~~Olathe,~~315,423~~ ~~during the year ended April 30~~KS, ~~2015~~etc. ~~During the year ended April 30~~), ~~2014,~~partially ~~the~~offset ~~Company~~by ~~recorded~~savings anfrom ~~impairment loss of $4,027,573 on this property. This impairment reflected~~ the ~~continuing~~prior ~~overall economic~~year ~~decline~~refinancings inat ~~the~~Cranston ~~geographical area~~ and ~~retail~~CP ~~industry that thwarted the Company’s efforts to replace terminating tenants and generate sufficient cash flows to recover the carrying amount of the shopping center~~Associates.

~~TERMS:~~ The increase in residential interest expense was the result of the refinancing at Rockland as discussed in Note 3 of the Financial Statements included within as the loans paid off as part of this refinancing did not accrue interest.

~~Commencing October 1, 2014 through and including~~ ~~January~~Income 1,Tax ~~2020. Interest~~Expense ~~shall be 200 basis points in excess of the thirty day LIBOR rate.~~(Benefit)

~~Amortization commencing February 1, 2020 through~~ ~~October~~See 1,Note ~~2030~~7 ~~(“Maturity~~to ~~Date”) on~~ the ~~basis~~Company’s offinancial astatements 25for ~~year~~information ~~schedule~~about ofthe ~~amortization~~effective ~~with~~income atax ~~balloon payment due on October 1, 2030~~rate. ~~Interest~~ ~~during this period shall be 5.5% per annum.~~

~~Call~~ As of ~~Option~~April –30, ~~Lender~~2017, ~~may~~the ~~elect~~Company has a net deferred tax asset in the amount of $671,147. The net deferred tax asset includes Federal net operating loss carryforwards of $1,152,929 that are available to ~~accelerate~~offset ~~this~~future ~~Note~~Federal taxable income. The ~~and~~Company ~~require~~has recorded $449,642 as the potential tax effect. In addition, the Company tohas ~~prepay~~recorded ~~without~~a ~~premium~~net deferred asset in the ~~entire~~amount ~~unpaid~~of ~~principal~~$250,042, which ~~balance~~represents ata ~~any~~basis ~~time~~difference ~~after~~in ~~March~~real 1estate assets owned by the Company. It also has an Alternative Minimum Tax (AMT) credit of $311,917. Offsetting these, ~~2017~~the Company has recorded a net deferred liability of $381,301 for untaxed rental income. Lastly, no valuation allowance has been recorded based on anticipated future profitability being able to fully utilize the net operating loss carryforwards and future depreciation benefits.

~~The~~ CAPITAL ~~Note~~RESOURCES isAND ~~non-recourse.~~LIQUIDITY

~~Amended~~ At April 30, 2017, the Company had $6,250,757 of unrestricted cash and cash ~~Restated~~equivalents. This ~~Escrow~~includes $3,819,450 belonging to partner entities in which the Company’s financial interests range from .01% (VIEs) to 50%. Funds received from CVS, which are to be paid out in connection with CVS developments, of $129,651 and ~~Security~~tenant ~~Agreement:~~security deposits held by VIEs of $396,361 are included in restricted cash and cash equivalents.

~~Beginning~~ At ~~October~~April 130, ~~2014~~2017, ~~and~~the ~~including~~Company ~~September~~had 30$1,538,839 of ~~2015~~investments ~~all~~in ~~net~~marketable ~~cash~~securities, ~~flow~~all of ~~the~~which ~~property~~belongs ~~shall~~to bepartner ~~deposited in the Escrow account~~entities.

~~Additional~~ The ~~Interest~~sources ~~Agreement~~of ~~(AIA)~~future ~~was~~borrowings ~~amended~~that asmay be needed for new ~~follows:~~construction loans, property purchases, or balloon payments on existing loans are unclear at this time.

~~Commencing~~Annual onReport October 1, 2015 and continuing through September 30, 2019 the Company will remit 50% of the cash flow of the property to Lender. Lender will apply all such payments received to the outstanding amount due on ~~the~~Form ~~date~~10-K ofPage ~~the~~15 ~~next~~First ~~installment~~Hartford ~~due under the loan.~~Corporation

~~Gain~~ On July 30, 2015, the Company obtained a credit line with a regional bank. This $2,760,000 line of credit is used from time to time primarily to fund initial investments related to development opportunities. The interest rate on ~~Voluntary~~these ~~Foreclosure~~loans is 3.00% plus One Month ICE LIBOR rate up to maturity date (i.e., twelve months from issuance of proceeds) and 12.0% thereafter. As of April 30, 2017, the Company had borrowings of $2,650,000 against this credit line.

On ~~November~~December 17, ~~2014~~2015, athe ~~payment~~Company ~~was~~entered ~~due~~into ~~for~~a ~~the~~$2,000,000 ~~mortgage of the shopping~~revolving ~~center~~demand inloan ~~Putnam,~~agreement CT(“line inof ~~the~~credit”) ~~amount~~with ofa ~~approximately~~regional ~~$4,700,000~~bank. The ~~rentable~~interest ~~space~~rate ofon ~~the~~this ~~shopping~~loan ~~center~~is ~~was~~Wall ~~57,529~~Street ~~square~~Journal ~~feet~~Prime, ~~46%~~with ofa ~~which~~floor ~~was~~of ~~leased to one store~~3.25%. ~~That store informed the Company that they were not renewing their~~The ~~lease,~~loan ~~which~~is ~~expired~~unsecured onand ~~January~~there ~~31,~~are ~~2015,~~no ~~and,~~guarantors. Interest asis ato ~~result,~~be ~~the~~paid ~~Company found~~monthly; itprincipal ~~impossible~~is to ~~refinance~~be ~~the~~repaid ~~mortgage~~within ~~without~~twelve ~~finding~~months aor ~~replacement tenant. Therefore,~~ on ~~June 5~~demand, ~~2015,~~at the ~~Company agreed to transfer title of the~~bank’s ~~property to the lender~~discretion. ~~The~~There ~~Company~~are ~~recognized~~no aprepayment ~~gain~~penalties. This line of ~~$2,649,850~~credit ~~since~~is ~~the~~used ~~mortgage~~from ~~was~~time ~~non-recourse~~to ~~and~~time ~~was~~primarily into ~~excess~~fund ofinitial ~~the~~investments ~~book~~related ~~value~~to development opportunities. ~~Pre-tax~~As ~~income for~~of ~~this~~April ~~shopping center was $44~~30,~~645~~ ~~and $53~~2017,~~003~~ ~~for~~ the ~~years~~Company ~~ended~~had ~~April~~borrowings 30of $2,000,000 ~~2016~~against ~~and~~this ~~2015,~~credit ~~respectively~~line.

~~Loss~~ On onApril ~~Impairment~~19, 2017, the Company entered into a $2,000,000 unsecured line of credit with a regional bank. Terms of the line of credit are as follows:

During the year ended April 30, 2016, the Company recorded an impairment loss of $330,700 on a non-core property it owns in Wethersfield, CT. The amount of the impairment loss represented the excess of the cost over the estimated net sales proceeds from the property.

Term:	3 years
Rate:	LIBOR + 3.25%
Fee:	0.50% (One Time)
Unused Fee:	0.25% annually on the unused line
Guarantee:	Full guarantee by the Chairman of the Company (Individual)
Deposits:	Must maintain a minimum of $500,000 at bank
Other:	Each funding request to be at the sole discretion of the bank and only to acquire credit tenanted properties.
Clean Up:	Borrower to be out of debt once each year for at least 30 days.

17 As of April 30, 2017, the Company had borrowings of $1,750,000 against this credit line.

~~ITEM~~Recently ~~7. MANAGEMENT’S~~Issued ~~DISCUSSION AND ANALYSIS OF FINANCIAL~~Accounting ~~CONDITION AND RESULTS OF OPERATIONS (continued)~~Guidance:

~~Interest~~ For a ~~Expense~~description of recently issued accounting pronouncements, see Note 1 to the consolidated financial statements included in Item 8 as presented in Item 15. Summary of Significant Accounting Policies.

~~Interest~~ CRITICAL ~~expense~~ACCOUNTING ~~for~~POLICIES ~~the~~AND ~~years ended April 30, by type of tenant, follows~~ESTIMATES:

	2016	2015
Residential	$2,516,383	$2,873,915
Commercial	6,852,573	7,352,422
	$9,368,956	$10,226,337

For a discussion of accounting policies see Note 1 to the consolidated financial statements included in Item 8 as presented in Item 15, Summary of Significant Accounting Policies.

~~The~~ITEM ~~decrease~~7A. inQUANTITATIVE ~~residential~~AND ~~interest~~QUALITATIVE ~~was~~DISCLOSURES ~~the~~ABOUT ~~result~~MARKET ~~of the refinancings at Rockland and Clarendon that occurred in December 2014 and February 2015, respectively.~~RISK

~~The decrease in commercial interest expense was primarily the result of~~ ~~the~~Smaller ~~voluntary~~reporting ~~foreclosure~~companies ofare ~~the~~not ~~Putnam,~~required CTto ~~property~~provide ~~on June 5, 2015 and savings from~~ the ~~refinancings at Cranston and CP Associates (see Note 3 of the~~information ~~Financial~~required ~~Statements~~by ~~included~~this ~~within for discussion)~~item.

~~Income~~ITEM ~~Tax~~8. ~~Expense~~FINANCIAL ~~(Benefit)~~STATEMENTS AND SUPPLEMENTARY DATA

~~See~~ Financial ~~Note~~statements 10begin toat ~~the~~page ~~Company’s~~31. See ~~financial~~the ~~statements~~index ~~for~~to ~~information about~~Financial ~~the~~Statements ~~effective~~in ~~income~~Item ~~tax rate~~15.

~~As of~~ITEM ~~April 30, 2016, the Company has a net deferred tax asset in the amount of $2,130,776~~9. ~~The~~CHANGES ~~net~~IN ~~deferred~~AND ~~tax~~DISAGREEMENTS ~~asset~~WITH ~~includes~~ACCOUNTANTS ~~Federal~~ON ~~net~~ACCOUNTING ~~operating~~AND ~~loss carryforwards~~FINANCIAL of $3,657,878 that are available to offset future Federal taxable income. The Company has recorded $1,426,572 as the potential tax effect. In addition, the Company has recorded a net deferred asset in the amount of $368,442, which represents a basis difference in real estate assets owned by the Company. It also has an Alternative Minimum Tax (AMT) credit of $261,054. Lastly, no valuation allowance has been recorded based on anticipated future profitability being able to fully utilize the net operating loss carryforwards and future depreciation benefits.DISCLOSURE

~~Capital~~ ~~Resources and Liquidity~~None.

AtAnnual ~~April~~Report ~~30,~~on ~~2016,~~Form ~~the~~10-K ~~Company~~Page ~~had~~16 ~~$5,982,506~~First ofHartford unrestricted cash and cash equivalents. This includes $3,310,665 belonging to partner entities in which the Company’s financial interests range from .01% (VIEs) to 50%. Funds received from CVS, which are to be paid out in connection with CVS developments, of $1,664,214 and tenant security deposits held by VIEs of $406,749 are included in restricted cash and cash equivalents. Corporation

AtITEM ~~April~~9A. ~~30,~~CONTROLS ~~2016,~~AND ~~the Company had $1,601,795 of investments in marketable securities, all of which belongs to partner entities.~~PROCEDURES

~~The sources of future borrowings that may be needed for new~~ ~~construction~~Evaluation ~~loans, property purchases, or balloon payments on existing loans are unclear at this time. On December 7, 2015, the Company entered into a $2,000,000 revolving demand loan agreement (“line~~ of ~~credit”)~~Disclosure ~~with~~Controls ~~a regional bank. The interest rate on this loan is Wall Street Journal Prime, with a floor of 3.25%. The loan is unsecured~~ and there are no guarantors. Interest is to be paid monthly; principal is to be repaid within twelve months or on demand, at the bank’s discretion. There are no prepayment penalties. This line of credit will primarily be used from time to time to fund initial investments related to development opportunities. As of April 30, 2016, the Company had borrowings of $1,694,091 against this credit line. The Company also obtained another credit line as part of its purchase of land in Austin, TX as described in Note 17 to the Company’s financial statements. This $2,760,000 line of credit will primarily be used from time to time to fund initial investments related to development opportunities. As of April 30, 2016, the Company had borrowings of $958,000 against this credit line.Procedures

~~This~~ We ~~discussion~~maintain “disclosure controls and ~~analysis~~procedures”, as such term is defined in Rule 13a – 15(e) under the Securities Exchange Act of ~~financial~~1934 ~~condition~~(the “Exchange Act”), that are designed to ensure that information required to be disclosed in our Exchange Act reports is recorded, processed, summarized and reported ~~results~~within ofthe time periods specified in the Securities and Exchange ~~operations~~Commission rules and forms, and that such information is ~~based~~accumulated onand communicated to our management, including our President and Treasurer, as appropriate, to allow timely decisions regarding required disclosure. We conducted an evaluation (the ~~Company’s~~“Evaluation”), ~~Consolidated~~under ~~Financial~~the ~~Statements~~supervision and with the ~~contained~~participation inof ~~Item~~the 8President inand Treasurer, of the effectiveness of the design and operation of disclosure controls and procedures (“Disclosure Controls”) as of the end of the period covered by this ~~Annual~~report ~~Report~~pursuant to Rule 13a – 15b of the Exchange Act.

18 Based on this Evaluation, our President and Treasurer concluded that because of weaknesses in our control environment, our Disclosure Controls were not effective as of the end of the period covered by this report.

~~ITEM 7. MANAGEMENT~~ Management’Ss ~~DISCUSSION~~Annual ~~AND~~Report ~~ANALYSIS~~on OFInternal ~~FINANCIAL~~Control over ~~CONDITION AND~~Financial ~~RESULTS OF OPERATIONS (concluded):~~Reporting

~~Recently~~ The ~~Issued~~management ~~Accounting~~of First Hartford Corporation is responsible for establishing ~~Guidance:~~and maintaining adequate internal control over financial reporting, as such term is defined in Exchange Act Rule 13a – 15(f). The Company’s internal control over financial reporting is a process designed to provide reasonable assurance to the Company’s management and Board of Directors regarding the reliability of financial reporting and the preparation of the financial statements for external purposes in accordance with accounting principles generally accepted in the United States of America.

~~For~~ aThe ~~description~~Company’s internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of ~~recently~~records ~~issued~~that, ~~accounting~~in reasonable ~~pronouncements~~detail, ~~see~~accurately ~~Note~~and 1fairly toreflect the transactions and ~~consolidated~~dispositions ~~financial~~of the assets of the Company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements ~~included~~in accordance with accounting principles generally accepted in ~~Item~~the United 8.States ~~Summary~~of America, and that receipts and expenditures of ~~Significant~~the Company are ~~Accounting~~being ~~Policies~~made only in accordance with authorizations of management and directors of the Company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial statements.

~~CRITICAL~~ Because ~~ACCOUNTING~~of ~~POLICIES~~its ~~AND~~inherent ~~ESTIMATES:~~limitations, internal controls over financial reporting may not prevent or detect misstatements. All internal control systems, no matter how well designed, have inherent limitations, including the possibility of human error and the circumvention of overriding controls. Accordingly, even effective internal control over financial reporting can provide only reasonable assurance with respect to financial statement preparation. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

~~For~~ Our amanagement ~~discussion~~assessed the effectiveness of ~~accounting~~the ~~policies~~Company’s ~~see~~internal control ~~Note~~over 1financial toreporting as of April 30, 2017. In making this assessment, it used the ~~consolidated~~criteria set forth by the Committee of Sponsoring ~~financial~~Organizations ~~statements~~of ~~included~~the Treadway Commission (COSO) in ~~Item~~Internal 8Control-Integrated Framework. Based on our assessment, ~~Summary~~we believe that, as of ~~Significant~~April ~~Accounting~~30, 2017, the ~~Policies.~~Company’s internal control over financial reporting was not effective due to the existence of the material weaknesses identified by management and disclosed below:

~~ITEM~~ Lack 7Aof Appropriate Independent Oversight. ~~QUANTITATIVE~~ There are no independent members of the Board of ~~AND~~Directors ~~QUALITATIVE~~who ~~DISCLOSURES~~could ~~ABOUT~~provide ~~MARKET~~an ~~RISK~~appropriate level of oversight, including challenging management’s accounting for and reporting of transactions.

~~Smaller~~ Although ~~reporting~~the ~~companies~~Company ~~are~~has ~~not~~identified ~~required~~a tolack ~~provide~~of ~~the~~appropriate ~~information~~independent oversight as a material weakness, an independent board of directors is not required by The OTC Markets (the electronic quotation system that trades the Company’s securities) and the Company does not intend to remediate this material ~~item~~weakness at this time.

~~ITEM~~ The ~~8. FINANCIAL~~Company has engaged a consultant to assist the Company with certain ~~STATEMENTS~~complex, ~~AND~~non-routine ~~SUPPLEMENTARY~~and ~~DATA~~unusual accounting issues and transactions when they are encountered.

~~Financial~~Annual ~~statements~~Report ~~begin~~ on ~~page~~Form ~~22. See~~10-K ~~the~~Page ~~index~~17 toFirst ~~Financial Statements~~Hartford ~~in Item 15.~~Corporation

~~ITEM~~ Changes ~~9. CHANGES~~in INInternal ~~AND~~Control ~~DISAGREEMENTS~~over ~~WITH~~Financial ~~ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE~~Reporting

~~No change in the Company’s principal~~ ~~independent~~During ~~accountants occurred during~~ the ~~Company’s two most recent fiscal~~ years orended ~~any~~April ~~subsequent interim period~~30, ~~nor~~2017 ~~did~~and ~~any~~2016, ~~disagreements~~there ~~occur~~have ~~with~~been no ~~the~~changes ~~Company’s~~in ~~accountants~~internal oncontrol ~~any~~over ~~matter~~financial ofreporting ~~accounting~~that ~~principles~~materially ~~or practices~~affected, or ~~financial~~are ~~statement~~reasonably ~~disclosure~~likely ~~that~~to ~~would~~materially ~~require~~affect, athe ~~current~~Company’s ~~report~~internal ~~on Form~~control ~~8-K~~over financial reporting.

ITEM 9A9B. ~~CONTROLS~~ ~~AND~~OTHER ~~PROCEDURES~~INFORMATION

~~Evaluation of Disclosure Controls and Procedures~~None.

WeAnnual ~~maintain~~Report ~~“disclosure~~on ~~controls~~Form ~~and~~10-K ~~procedures”,~~Page as18 ~~such~~First ~~term~~Hartford is defined in Rule 13a – 15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”), that are designed to ensure that information required to be disclosed in our Exchange Act reports is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission rules and forms, and that such information is accumulated and communicated to our management, including our President and Treasurer, as appropriate, to allow timely decisions regarding required disclosure. We conducted an evaluation (the “Evaluation”), under the supervision and with the participation of the President and Treasurer, of the effectiveness of the design and operation of disclosure controls and procedures (“Disclosure Controls”) as of the end of the period covered by this report pursuant to Rule 13a – 15b of the Exchange Act. Corporation

~~Based on this Evaluation, our President and Treasurer concluded that~~ ~~because~~ PART ~~of weaknesses in our control environment, our Disclosure Controls were not effective as of the end of the period covered by this report.~~III

~~Management’s~~ITEM ~~Report~~10. onDIRECTORS, ~~Internal~~EXECUTIVE ~~Control~~OFFICERS ~~over~~AND ~~Financial Reporting~~CORPORATE GOVERNANCE

~~The management of First Hartford Corporation is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Exchange Act Rule 13a – 15~~(fa)~~. The~~ Identification ~~Company’s internal control over financial reporting is a process designed to provide reasonable assurance to the Company’s management and Board~~ of ~~Directors~~ regarding the reliability of financial reporting and the preparation of the financial statements for external purposes in accordance with accounting principles generally accepted in the United States of America.Directors:

19 The directors of First Hartford Corporation, their ages and the periods during which each has served as such are as follows:

ITEM 9A. CONTROLS AND PROCEDURES (concluded)

Name	Age	Period of Service
Neil H. Ellis	89	1966 – Present
David B. Harding	72	1998 – Present
Jeffrey Carlson	62	2015 – Present
John Toic	45	2015 – Present
William Connolly	68	2015 – Present

~~Management’s~~ There ~~Report~~are no onarrangements ~~Internal~~or ~~Control~~understandings ~~over~~between ~~Financial~~any ~~Reporting~~of ~~(concluded)~~the foregoing and any other person pursuant to which such person was or is to be selected director or officer.

The ~~Company’s internal control over financial reporting includes those~~ ~~policies~~directors ~~and procedures that (i) pertain to the maintenance~~ of ~~records that, in reasonable detail, accurately and fairly reflect~~ the ~~transactions and dispositions of the assets of the~~ Company; ~~(ii) provide reasonable assurance that transactions~~ are ~~recorded~~each aselected ~~necessary~~ to ~~permit~~one-year preparation of financial statements in accordance with accounting principles generally accepted in the United States of America, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the Company’s assets that could have a material effect on the financial statementsterms.

~~Because of its inherent limitations, internal controls over financial~~ ~~reporting~~(b) Identification ~~may not prevent or detect misstatements. All internal control systems, no matter how well designed, have inherent limitations, including the possibility~~ of ~~human error and the circumvention of overriding controls.~~ Executive Accordingly, even effective internal control over financial reporting can provide only reasonable assurance with respect to financial statement preparation. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.Officers:

~~Our management assessed the effectiveness of the Company’s internal~~ ~~control~~The ~~over financial reporting as of April 30, 2016. In making this~~names ~~assessment,~~and itages ~~used the criteria set forth by the Committee~~ of ~~Sponsoring Organizations~~all ofexecutive ~~the~~officers ~~Treadway Commission (COSO) in Internal Control-Integrated Framework. Based on our assessment, we believe that, as~~ of ~~April~~First ~~30,~~Hartford ~~2016~~Corporation, ~~the~~their ~~Company’s~~positions ~~internal~~and ~~control over financial reporting was not effective due to~~ the ~~existence~~periods ofduring ~~the~~which ~~material~~each ~~weaknesses~~has ~~identified~~served byas ~~management~~such ~~and~~are ~~disclosed below~~as follows:

Lack of Appropriate Independent Oversight. There are no independent members of the Board of Directors who could provide an appropriate level of oversight, including challenging management’s accounting for and reporting of transactions.

Name	Age	Position	Period of Service
John Toic	45	President	2015 – Present
Neil H. Ellis	89	Chairman of the Board	1966 – Present
Jeffrey Carlson	62	Secretary	2015 – Present
Eric J. Harrington	47	Treasurer	2015 – Present
David B. Harding	72	Vice President	1998 – Present

~~Although~~ There ~~the Company has identified a lack of appropriate independent~~are ~~oversight~~no asarrangements aor ~~material~~understandings ~~weakness,~~between anany ~~independent board~~ of ~~directors is not required by The OTC Markets (~~the ~~electronic~~foregoing ~~quotation~~and ~~system~~any ~~that trades the~~other ~~Company’s~~person ~~securities)~~pursuant ~~and~~to ~~the~~which ~~Company~~such ~~does~~person ~~not~~was ~~intend~~or is to ~~remediate~~be ~~this material~~selected ~~weakness~~director ~~at this time~~or officer.

~~The Company has engaged a consultant to assist the Company with certain~~ ~~complex,~~(c) Identification ~~non-routine~~of ~~and unusual accounting issues and transactions when they~~Certain ~~are~~Significant ~~encountered.~~Employees:

~~Changes~~Name inAge ~~Internal~~Position ~~Control~~Period ~~over~~of ~~Financial~~Service ~~Reporting~~N/A

~~During the years ended April 30, 2016 and 2015, there have been no~~ ~~changes~~(d) Family ~~in internal control over financial reporting that materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.~~Relationships:

20 There are no family relationships among any directors or executive officers.

~~REPORT OF~~Annual ~~INDEPENDENT~~Report ~~REGISTERED~~on ~~PUBLIC~~Form ~~ACCOUNTING~~10-K ~~FIRM~~Page 19 First Hartford Corporation

~~To the Board of Directors and~~ ~~Stockholders~~(e) Business ~~of First Hartford Corporation~~ Experience:

~~We have audited the accompanying~~ ~~consolidated~~1. Following ~~balance~~is ~~sheets~~a ofbrief ~~First~~description ~~Hartford Corporation and Subsidiaries as~~ of ~~April 30, 2016 and 2015, and~~ the background ~~related consolidated statements~~ of ~~income, comprehensive income, changes in shareholders’ deficiency and cash flows for~~ each ofdirector ~~the years in the two-year period ended April 30, 2016. First Hartford Corporation~~ and ~~Subsidiaries’~~executive ~~management is responsible for these financial statements. Our responsibility is to express an opinion on these financial statements based on our audits.~~officer:

~~We conducted our audits in accordance~~ ~~with the standards of the Public Company Accounting Oversight Board (United States)~~Mr. ~~Those~~ ~~standards~~Ellis ~~require~~served ~~that~~as wePresident ~~plan~~ and ~~perform~~as ~~the~~a ~~audits~~director toof ~~obtain reasonable assurance about whether~~ the ~~financial statements are free of~~ ~~material~~Company ~~misstatement. The~~since ~~company~~1966 isuntil ~~not required to have~~2015, ~~nor~~at ~~were~~which ~~we engaged~~time tohe ~~perform,~~resigned anas ~~audit~~President ofand ~~its internal control over financial reporting.~~ continued ~~Our audits included consideration of internal control over financial reporting~~ as aChairman ~~basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose~~ of ~~expressing an opinion on~~ the ~~effectiveness~~ ~~of the company’s internal control over financial reporting~~Board. ~~Accordingly, we express no such opinion.~~ AnHe ~~audit~~is also ~~includes~~President ~~examining, on a test basis, evidence supporting the amounts~~ and ~~disclosures~~Director inof ~~the~~Green ~~financial~~Manor ~~statements~~Corporation, ~~assessing~~a ~~the~~holding ~~accounting~~company ~~principles~~(which ~~used~~includes ~~and~~Journal ~~significant~~Publishing ~~estimates made by management~~Inc., asLubbock Parkade ~~well~~Inc. asand ~~evaluating~~MIP ~~the~~16A ~~overall financial statement presentation~~Corp. We) ~~believe~~owned ~~that~~by ~~our~~him ~~audits~~and ~~provide~~his ~~a reasonable basis for our opinion~~wife.

In Mr. ~~our~~Harrington was ~~opinion,~~appointed the ~~consolidated~~role ~~financial statements~~of ~~referred~~Treasurer toin ~~above~~2015. Mr. ~~present~~Harrington ~~fairly,~~was hired in ~~all~~2015 as ~~material~~the ~~respects,~~Manager of Accounting; he now serves as the ~~consolidated~~Treasurer and as the principal financial ~~position~~officer of ~~First~~the ~~Hartford~~Company. Mr. ~~Corporation~~Harrington ~~and~~has ~~Subsidiaries~~been asa ~~of April~~CPA ~~30,~~since ~~2016~~1995; ~~and~~he ~~2015~~holds a B.S. in Business Administration, ~~and~~1991, ~~the~~from ~~consolidated~~Western ~~results~~New England ofCollege. His ~~its~~recent ~~operations~~prior ~~and~~business ~~its~~experience ~~cash~~has been: Director of ~~flows~~Accounting ~~for~~at ~~each~~FM ofFacility ~~the~~Maintenance ~~years~~from in2012 ~~the~~to ~~two-year~~January ~~period~~2015; ~~ended~~United Technologies ~~April~~from ~~30,~~2005 ~~2016~~through 2012 in ~~conformity~~ ~~with~~various manager of accounting ~~principles~~and controller ~~generally~~positions ~~accepted~~at inseveral ~~the~~of ~~United~~its ~~States~~subsidiaries; Gerber Scientific 1995 through 2005 in various manager of ~~America~~accounting and controller positions; and at Price Waterhouse from 1991 through 1995 as an accountant.

~~/s/~~ Mr. ~~Mahoney~~Harding ~~Sabol~~has &served as Vice President and as a director of the Company since 1998. Additionally, ~~LLP~~he was the President or Vice ~~Glastonbury~~President of Richmond Realty, ~~Connecticut~~LLC (“Richmond”) a real estate management company ~~August~~owned 5by him and his wife from January 1996 until it was dissolved. Prior to 1998, he ~~2016~~had worked for the Company in the finance area for three years. In the past, Richmond had managed certain properties of the Company.

21 Mr. Toic was elected President of the Company in 2015. Previously, he served as Vice President of Municipal Affairs and CVS Development at the Company since 2005. He was elected as a director in 2015.

~~FIRST~~ Mr. ~~HARTFORD~~Carlson ~~CORPORATION~~was ~~AND~~appointed ~~SUBSIDIARIES~~to be Secretary of the ~~CONSOLIDATED~~Company ~~BALANCE~~in ~~SHEETS~~2015. Mr. Carlson has been serving as General Counsel since 2000, ~~APRIL~~and 30has been counsel to the Company since 1981; he was admitted to practice law in the State of Connecticut in 1981. Mr. Carlson holds a B.A. from Fairfield University, ~~2016~~and ~~AND~~a ~~2015~~law degree from Southwestern University School of Law.

~~ASSETS~~ Mr. Connolly has been the Managing Partner of Connolly and Partners, LLC since 2005. He has been involved in the management, development and redevelopment of real estate since 1972. He was elected as a director in 2015.

	2016	2015
Real estate and equipment:
Developed properties and property under construction (including $74,693,823 in 2016 and $72,621,441 in 2015 for VIEs)	$228,733,956	$211,318,882
Equipment and tenant improvements (including $2,425,896 in 2016 and $2,353,355 in 2015 for VIEs)	3,763,420	3,663,080
	232,497,376	214,981,962
Less accumulated depreciation and amortization (including $13,827,009 in 2016 and $11,786,480 in 2015 for VIEs)	42,654,076	39,149,517
	189,843,300	175,832,445
Property held for sale	15,422,312	342,175
Cash and cash equivalents (including $1,507,163 in 2016 and $1,067,182 in 2015 for VIEs)	5,982,506	9,698,341
Cash and cash equivalents – restricted (including $406,749 in 2016 and $418,110 in 2015 for VIEs)	2,070,963	948,721
Marketable securities (including $1,601,795 in 2016 and $2,029,684 in 2015 for VIEs)	1,601,795	3,964,398
Accounts and notes receivable, less allowance for doubtful accounts of $769,961 in 2016 and $694,849 in 2015 (including $27,651 in 2016 and $687,468 in 2015 for VIE’s)	3,959,574	4,848,217
Other receivables	5,956,103	12,080,979
Deposits and escrow accounts (including $4,137,450 in 2016 and $5,126,568 in 2015 for VIEs)	9,937,588	9,671,401
Prepaid expenses (including $306,547 in 2016 and $275,419 in 2015 for VIEs)	1,438,759	1,184,170
Deferred expenses, net (including $184,722 in 2016 and $201,583 in 2015 for VIEs)	2,952,630	4,348,892
Investment in affiliates	100	100
Due from related parties and affiliates	159,954	664,909
Deferred tax asset	2,130,776	2,802,007
Total assets	$241,456,360	$226,386,755

2. Directorships:

~~See~~ No ~~accompanying~~directors ~~notes~~hold any other directorships, except directorships in subsidiaries of the Company, and Mr. Ellis for the aforementioned Green Manor Corporation.

22 (f) Involvement in Certain Legal Proceedings:

~~FIRST~~No ~~HARTFORD~~director or executive officer has been involved in any ~~CORPORATION~~material ~~AND~~legal ~~SUBSIDIARIESCONSOLIDATED~~proceedings ~~BALANCE~~required ~~SHEETSAPRIL~~to ~~30,~~be ~~2016~~disclosed ~~AND~~under ~~2015~~item 401(~~continued~~f) of Regulation S-K promulgated by the Commission.

~~LIABILITIES~~(g) Promoter ~~AND~~and ~~SHAREHOLDERS’~~Control ~~EQUITY (DEFICIENCY)~~Persons:

	2016	2015
Liabilities:
Mortgages and other notes payable:
Construction loans payable	$68,031,502	$55,553,207
Mortgages payable (including $56,580,047 in 2016 and $57,364,872 in 2015 for VIEs)	149,119,630	146,507,036
Notes payable (including $1,704,697 in 2016 and $1,704,697 in 2015 for VIEs)	1,744,697	1,744,697
Lines of credit	2,652,091	-0-
Less: Deferred debt issuance costs (including $1,151,746 in 2016 and $1,218,989 in 2015 for VIEs)	(1,837,083)	(1,656,088)
	219,710,837	202,148,852
Accounts payable (including $961,884 in 2016 and $1,224,988 in 2015 for VIEs)	3,701,702	3,399,900
Other payables	8,843,015	13,588,295
Accrued liabilities (including $3,254,953 in 2016 and $3,178,121 in 2015 for VIEs)	6,124,930	5,852,198
Derivative liability	4,693,209	2,515,330
Deferred income (including $254,576 in 2016 and $241,216 in 2015 for VIEs)	677,694	546,313
Other liabilities	1,654,361	1,961,212
Due to related parties and affiliates (including $430,269 in 2016 and $415,018 in 2015 for VIEs)	602,121	486,951
Total liabilities	246,007,869	230,499,051
Commitments and Contingencies
Shareholders’ Equity (Deficiency):
First Hartford Corporation
Preferred stock, $1 par value; $.50 cumulative and convertible; authorized 4,000,000 shares; no shares outstanding	-0-	-0-
Common stock, $1 par value; authorized 6,000,000 shares: issued 3,298,609 in 2016 and 2015, outstanding 2,404,590 and 2,409,840 in 2016 and 2015, respectively	3,298,609	3,298,609
Capital in excess of par	5,198,928	5,198,928
Accumulated deficit	(8,600,495)	(10,368,421)
Accumulated other comprehensive income (loss)	-0-	95,815
Treasury stock, at cost, 894,019 and 888,769 shares in 2016 and 2015, respectively	(4,984,416)	(4,970,082)
Total First Hartford Corporation	(5,087,374)	(6,745,151)
Noncontrolling interests	535,865	2,632,855
Total shareholders’ equity (deficiency)	(4,551,509)	(4,112,296)
Total liabilities and shareholders’ equity (deficiency)	$241,456,360	$226,386,755

Not applicable.

~~See~~Annual ~~accompanying~~Report ~~notes.~~on Form 10-K Page 20 First Hartford Corporation

(h) Audit Committee Financial Expert: 23

~~FIRST~~ The ~~HARTFORD~~Company ~~CORPORATION~~does ~~AND~~not ~~SUBSIDIARIES~~have an audit committee and does ~~CONSOLIDATED~~not ~~STATEMENTS~~have OFa ~~INCOME~~committee charter because it does not have any independent members ~~FOR~~on ~~THE~~its ~~YEARS~~Board ~~ENDED~~of ~~APRIL~~Directors. Instead, 30its entire Board of Directors attempts to fulfill the functions of an audit committee. From time to time, ~~2016~~the ~~AND~~Board ~~2015~~of Directors will seek guidance from outside independent consultants. Mr. Ellis, Mr. Harding, Mr. Toic, and Mr. Carlson are members of the Company’s management and Mr. Connolly is an employee of the Company. In addition, Mr. Ellis holds a majority ownership in the Company, see Item 12 herein, and he has various business relationships with the Company described under “Certain Relationships and Related Transactions”, in Item 13. Thus, none of the members of the Board of Directors meet the criteria for independence established by the New York Stock Exchange or other self-regulating stock exchanges. The Company does not otherwise meet the eligibility requirements for listing on the NYSE or with such other self-regulating stock exchanges.

	2016	2015
Revenues:
Rental income	$30,416,900	$29,313,780
Service income	6,791,095	7,259,087
Sales of real estate	21,100,182	30,401,052
Other revenues	3,555,335	2,565,740
	61,863,512	69,539,659
Operating costs and expenses:
Rental expenses (includes depreciation and amortization of $5,519,043 and $5,808,153 in 2016 and 2015, respectively)	20,728,432	20,433,893
Service expenses	5,791,175	4,564,553
Cost of real estate sales	17,673,023	22,372,594
Selling, general and administrative expenses	7,141,236	6,773,993
	51,333,866	54,145,033
Income from operations	10,529,646	15,394,626
Non-operating income (expense):
Equity in earnings of unconsolidated subsidiaries	666,851	790,620
Other income	606,723	2,564,249
Loss on derivatives (non-cash)	(2,177,879)	(104,157)
Gain on forgiveness of debt	-0-	5,315,423
Gain on voluntary foreclosure	2,649,850	-0-
Loss on impairment	(330,700)	-0-
Interest expense	(9,368,956)	(10,226,337)
	(7,954,111)	(1,660,202)
Income before income taxes	2,575,535	13,734,424
Income tax expense (benefit)	932,147	(2,210,181)
Consolidated net income	1,643,388	15,944,605
Net loss attributable to noncontrolling interests	124,538	908,991
Net income attributable to First Hartford Corporation	$1,767,926	$16,853,596
Net income per share – basic	$0.73	$6.99
Net income per share – diluted	$0.73	$6.99
Shares used in basic per share computation	2,407,526	2,411,480
Shares used in diluted per share computation	2,407,526	2,411,480

(i) Section 16(a) of the Exchange Act - Beneficial Ownership Reporting Compliance:

~~See~~ Section ~~accompanying~~16(a) ~~notes~~of the Exchange Act requires the Company’s directors and executive officers, and persons who own more than 10% of a registered class of the Company’s equity securities, to file with the Commission initial reports of beneficial ownership on Form 3 and reports of changes in beneficial ownership of the Company’s equity securities on Forms 4 and 5. The rules promulgated by the Commission under Section 16(a) of the Exchange Act require those persons to furnish the Company with copies of all reports filed with the Commission pursuant to Section 16(a).

24 Based solely upon a review of such forms 3, 4, and 5 actually furnished to the Company, and written representations of the Company’s directors and executive officers that no forms were required to be filed, the Company believes that during fiscal year 2017, all directors and executive officers of the Company have not had to file any reports under Section 16(a) of the Exchange Act.

~~FIRST~~ Based ~~HARTFORD~~solely ~~CORPORATION~~upon ~~AND~~a ~~SUBSIDIARIES~~review of such forms 3, 4, and 5 ~~CONSOLIDATED~~actually ~~STATEMENTS~~furnished OFto ~~COMPREHENSIVE~~the ~~INCOME~~Company by one 10% shareholder and his wife, the ~~FOR~~Company ~~THE~~believes ~~YEARS~~that ~~ENDED~~during ~~APRIL~~fiscal year ended April 30, ~~2016~~2017 ~~AND~~that: Mr. John Filippelli filed three Form 5 filings on a late basis correcting his missed filings required to have been filed on Form 4 at the times of such transactions during fiscal years ended April 2014, 2015 and 2016 by filing a late filed Form 5 for each such fiscal year; the late filings report 15 late filed transactions. Additionally, Barbara K. Filippelli timely filed on a Form 5 for fiscal year ended April 2017 that five transactions should have been filed on Form 4 at the times of such transactions and thus the filing reports such as late filed transactions.

	2016	2015
Consolidated net income	$1,643,388	$15,944,605
Other comprehensive income (loss), net of taxes:
Unrealized gains (losses) on marketable securities	(466,872)	269,975
Total comprehensive income	1,176,516	16,214,580
Amounts attributable to noncontrolling interests:
Net loss	124,538	908,991
Unrealized losses on marketable securities	371,057	208,473
	495,595	1,117,464
Comprehensive income attributable to First Hartford Corporation	$1,672,111	$17,332,044

(j) Code of Ethics:

~~See~~ The ~~accompanying~~Company’s ~~notes~~Code of Ethics, applicable to the Company’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, was included in the second quarter 10-Q filed on December 19, 2005. The Company will provide any person, without charge, a copy of any portion of the Code of Ethics upon request directed to the Treasurer of the Company.

25Annual Report on Form 10-K Page 21 First Hartford Corporation

~~FIRST~~ITEM ~~HARTFORD CORPORATION~~11. ~~AND~~EXECUTIVE ~~SUBSIDIARIES CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ DEFICIENCY FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~COMPENSATION

	Common Stock	Capital in Excess of Par	Accumulated Deficit	Accumulated Other Comprehensive (Loss) Income*	Treasury Stock	Total First Hartford Corporation	Noncontrolling Interests	Total
Balance, April 30, 2014	$3,298,609	$5,198,928	$(27,222,017)	$34,313	$(4,964,884)	$(23,655,051)	$4,213,521	$(19,441,530)
Distribution	-0-	-0-	-0-	-0-	-0-	-0-	(880,148)	(880,148)
Purchase of treasury stock	-0-	-0-	-0-	-0-	(5,198)	(5,198)	-0-	(5,198)
Net income (loss)	-0-	-0-	16,853,596	-0-	-0-	16,853,596	(908,991)	15,944,605
Unrealized gain on marketable securities	-0-	-0-	-0-	61,502	-0-	61,502	208,473	269,975
Balance, April 30, 2015	3,298,609	5,198,928	(10,368,421)	95,815	(4,970,082)	(6,745,151)	2,632,855	(4,112,296)
Distribution	-0-	-0-	-0-	-0-	-0-	-0-	(1,601,395)	(1,601,395)
Purchase of treasury stock	-0-	-0-	-0-	-0-	(14,334)	(14,334)	-0-	(14,334)
Net income (loss)	-0-	-0-	1,767,926	-0-	-0-	1,767,926	(124,538)	1,643,388
Unrealized loss on marketable securities	-0-	-0-	-0-	(95,815)	-0-	(95,815)	(371,057)	(466,872)
Balance, April 30, 2016	$3,298,609	$5,198,928	$(8,600,495)	$ -0-	$(4,984,416)	$(5,087,374)	$535,865	$(4,551,509)

(a) Summary Compensation Table:

*Consists exclusively of net unrealized gains (losses) on available-for-sale marketable securities.

Name & Principal Position	Year	Salary	Bonus	Stock Awards	Option Awards	Non-Equity Incentive Plan Compensation	Non-qualified Deferred Compensation Earnings	All Other Compensation	Total
Neil H. Ellis, Chairman	2017	$399,989	$-0-	$-0-	$-0-	$-0-	$-0-	$-0-	$399,989
	2016	$400,000	$-0-	$-0-	$-0-	$-0-	$-0-	$-0-	$400,000
John Toic, President	2017	$400,000	$75,000	$-0-	$-0-	$-0-	$-0-	401(k) $8,477	$483,477
	2016	$201,455	$299,166	$-0-	$-0-	$-0-	$-0-	$11,090	$511,711
Jeffrey Carlson, General Counsel & Secretary	2017	$175,000	$25,000	$-0-	$-0-	$-0-	$-0-	401(k) $7,710	$207,710
	2016	$175,000	$25,000	$-0-	$-0-	$-0-	$-0-	$7,682	$207,682
David B. Harding, Vice President	2017	$113,738	$-0-	$-0-	$-0-	$-0-	$-0-	401(k) $-0-	$113,738
	2016	$150,010	$-0-	$-0-	$-0-	$-0-	$-0-	$5,681	$155,691
Eric Harrington, Treasurer	2017	$140,000	$-0-	$-0-	$-0-	$-0-	$-0-	401(k) $5,616	$145,616
	2016	$134,616	$-0-	$-0-	$-0-	$-0-	$-0-	$4,457	$139,073
William Connolly, Managing Director of Connolly and Partners, LLC	2017	$149,993	$55,460	$-0-	$-0-	$-0-	$-0-	401(k) $6,358	$211,811
	2016	$149,988	$72,243	$-0-	$-0-	$-0-	$-0-	$4,979	$227,210

~~See~~ Directors ~~accompanying notes.~~Compensation:

27 Directors have not received any compensation for serving on the Board since each of the directors is either an officer or employee of the Company and, therefore, not independent, and are each compensated as employees for their officer and employee positions.

~~FIRST HARTFORD CORPORATION AND SUBSIDIARIES~~ ~~CONSOLIDATED~~(b) ~~STATEMENTS~~Stock ~~OF CASH FLOWS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~ Options:

	2016	2015
Operating activities:
Consolidated net income	$1,643,388	$15,944,605
Adjustments to reconcile consolidated net income
to net cash provided by operating activities:
Equity in earnings of unconsolidated subsidiaries, net of
distributions of $360,000 in 2016 and $840,000 in 2015	(306,851)	49,380
Gain on sale of real estate	(3,427,159)	(8,028,458)
Gain on voluntary foreclosure	(2,649,850)	-0-
Loss on impairment	330,700	-0-
Forgiveness of debt	-0-	(5,315,423)
Depreciation of real estate and equipment	5,210,982	5,342,339
Amortization of deferred expenses	388,414	382,156
Deferred income taxes	671,231	(2,802,007)
Loss on derivatives	2,177,879	104,157
Changes in operating assets and liabilities:
Accounts, notes and other receivables	6,998,755	4,180,336
Deposits and escrows	(459,504)	(5,764,162)
Prepaid expenses	(260,531)	(258,264)
Deferred expenses	821,944	(3,283,958)
Cash and cash equivalents – restricted	(1,122,242)	(179,490)
Accrued liabilities	272,732	384,491
Deferred income	169,398	(308,808)
Accounts and other payables	(4,443,478)	(174,447)
Net cash provided by operating activities	6,015,808	272,447
Investing activities:
Investments in marketable securities	(3,189,006)	(349,943)
Proceeds from sale of marketable securities	5,084,737	1,561,768
Purchases of equipment and tenant improvements	(193,541)	(23,788)
Proceeds from sales of real estate	21,100,182	30,401,052
Additions to developed properties and property under construction	(53,846,161)	(37,085,890)
Net cash (used in) investing activities	(31,043,789)	(5,496,801)

The Company does not have a stock option plan.

~~See accompanying~~Annual ~~notes.~~Report on Form 10-K Page 22 First Hartford Corporation

27 (c) No Compensation Committee:

~~FIRST~~ The ~~HARTFORD~~Company ~~CORPORATION~~does ~~AND~~not ~~SUBSIDIARIES~~have a compensation committee and ~~CONSOLIDATED~~does not have a committee charter because it does not have independent members ~~STATEMENTS~~on OFits ~~CASH~~Board ~~FLOWS~~of Directors. Instead its entire Board of Directors attempts to ~~FOR~~fulfill ~~THE~~the functions of a compensation committee. From time to time, the ~~YEARS~~Board ~~ENDED~~of ~~APRIL~~Directors 30may seek guidance from outside independent consultants. Mr. Ellis, ~~2016~~Mr. ~~AND~~Harding, ~~2015~~Mr. Toic, and Mr. Carlson are members of the Company’s ~~(continued)~~management and Mr. Connolly is an employee of the Company. In addition, Mr. Ellis, the majority owner of the Company, has various business relationships with the Company described under “Certain Relationships and Related Transactions”, in Item 13.

	2016	2015
Financing activities:
Purchase of treasury stock	$(14,334)	$(5,198)
Distributions to noncontrolling interests	(1,601,395)	(880,148)
Proceeds from:
Construction loans	24,343,442	21,824,319
Mortgages	11,752,500	8,766,598
Notes	-0-	40,000
Credit lines	3,140,928	-0-
Principal payments on:
Construction loans	(11,865,147)	(15,587,597)
Mortgages	(4,575,136)	(5,252,298)
Notes	-0-	-0-
Credit lines	(488,837)	-0-
Advances to related parties and affiliates, net	620,125	(483,866)
Net cash provided by financing activities	21,312,146	8,421,810
Net change in cash and cash equivalents	(3,715,835)	3,197,456
Cash and cash equivalents, beginning of year	9,698,341	6,500,885
Cash and equivalents, end of year	$5,982,506	$9,698,341
Cash paid during the year for interest	$8,952,062	$9,855,616
Cash paid during the year for income taxes	$762,994	$158,577

(d) Benefits and Perquisites:

Debt refinancing in 1st quarter:
New mortgage loan	$39,000,000	$-0-
Debt reduced	(39,723,828)	(-0-)
Net cash from refinancing in 1st quarter	$(723,828)	$-0-
Debt refinancing in 2nd quarter:
New mortgage loan	$-0-	$10,500,000
Debt reduced	(-0-)	(7,794,014)
Net cash from refinancing in 2nd quarter	$-0-	$2,705,986
Debt refinancing in 3rd quarter:
New mortgage loan	$-0-	$1,289,449
Debt reduced	(-0-)	(1,029,833)
Net cash from refinancing in 3rd quarter	$-0-	$259,616
Debt refinancing in 4th quarter:
New mortgage loan	$-0-	$17,564,600
Debt reduced	(-0-)	(13,088,604)
Net cash from refinancing in 4th quarter	$-0-	$4,475,996

Medical Insurance:

~~See~~ All employees, ~~accompanying~~including ~~notes~~executive officers, working over 30 hours a week are entitled to Company-paid medical insurance of which the employee pays, family $82 a week, employee and spouse $73 a week, and employee alone $33 a week.

28 Mr. Ellis has opted out of the Company plan and is covered by Medicare.

~~FIRST HARTFORD CORPORATION AND SUBSIDIARIES~~ ~~NOTES~~Disability ~~TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~Insurance:

1 Short-Term: Non-management employees receive the first week week’s pay at 100% of their salary or rate of pay when out on short term disability. ~~Summary~~The following weeks (based on years of ~~Significant~~service ~~Accounting~~- ~~Policies:~~one week per year of service) are paid at 70% of salary or rate of pay. Any additional weeks are paid at 60% of salary or rate of pay. The maximum benefit will not exceed $6,000 a month and ends at the 180th day of disability, at which time the long-term disability insurance takes effect.

~~Description~~ Management employees, as defined by the Company and including executive officers, receive 100% of ~~Business~~their pay for the first 180 days of disability and, thereafter, the long-term disability insurance takes effect.

~~First~~ Long-Term: After ~~Hartford~~180 ~~Corporation~~days ~~(the~~of ~~Company) was incorporated~~disability, inemployees ~~Maine~~receive in60% ~~1909~~of ~~and~~their isregular ~~engaged~~straight-time insalary ~~the~~for ~~purchase,~~absences ~~development,~~due ~~ownership,~~to ~~management~~long-term ~~and~~illness ~~sale~~or ofinjury ~~real~~until ~~estate,~~they reach ~~all~~eligibility offor ~~which~~Social isSecurity ~~considered~~or ~~the~~death. Management ~~“Real~~employees, ~~Estate Operation”~~as ~~segment. The~~defined by the Company ~~has~~and aincluding executive ~~second~~officers, ~~segment~~will ~~“Fee~~have ~~for~~the ~~Service”~~difference ~~in which~~between the ~~Company~~long-term isdisability benefits ~~engaged~~and asnormal afull ~~preferred~~salary ~~developer~~paid for ~~CVS~~by ~~and~~the ~~Cumberland Farms~~Company ~~(see~~as ~~Service~~determined ~~Income~~by tothe Board ~~follow)~~of Directors.

~~Principles~~ ofLife ~~Consolidation~~Insurance:

~~The accompanying consolidated financial statements~~ ~~include~~Each ~~the accounts~~ employee of ~~the~~First ~~Company~~Hartford, ~~its~~including ~~wholly-owned~~each ~~subsidiaries~~executive officer, ~~and~~is ~~all~~eligible ~~other entities~~to ~~in which the Company has a controlling financial interest. The latter~~receive ~~includes~~life ~~those~~insurance inuntil ~~which~~such ~~the~~employee ~~Company~~reaches ~~has been determined to be~~ the ~~primary beneficiary~~age of a70 ~~variable~~that, ~~interest~~in ~~entity~~the orevent ~~otherwise meets certain criteria~~of assuch aemployee’s ~~sole~~death, ~~general~~will ~~partner~~provide orproceeds ~~managing~~of ~~member~~two intimes ~~accordance with~~ the ~~consolidation~~ ~~guidance~~annual ofsalary ~~the Financial Accounting Standards Board (FASB)~~of ~~Accounting~~each ~~Standards Codification~~employee. AsAt ~~such, included in~~ the ~~consolidated financial~~age ~~statements~~of ~~are~~70, the ~~accounts~~amount of ~~Rockland~~life ~~Place~~insurance ~~Apartments~~proceeds ~~Limited~~each ~~Partnership~~employee ~~and~~is ~~Clarendon~~entitled ~~Hill~~to ~~Somerville~~receive ~~Limited~~upon ~~Partnership. The~~his ~~Company’s ownership~~death ~~percentage~~is inequal ~~these~~to ~~variable~~one ~~interest~~times ~~entity partnerships is~~such ~~nominal. All~~employee’s ~~intercompany~~annual ~~balances and transactions have been eliminated in consolidation~~salary.

~~Estimates~~ (e) Automobiles:

~~The~~ To ~~preparation~~assist management of ~~consolidated~~the ~~financial~~Company ~~statements~~ in ~~conformity~~carrying ~~with~~out its ~~accounting~~responsibilities ~~principles~~and ~~generally~~to ~~accepted~~improve injob performance, the ~~United States~~Company ofprovides ~~America~~its executive ~~requires~~officers ~~management~~with toautomobiles. The ~~make~~Company ~~estimates~~cannot ~~and~~specifically ~~assumptions that~~or ~~affect~~precisely ascertain the ~~reported~~amount ~~amounts~~ of ~~assets~~personal ~~and~~benefit, ~~liabilities~~if any, ~~the~~derived ~~disclosure~~by ofthose ~~contingent~~officers ~~assets~~from ~~and~~such ~~liabilities~~automobiles. However, asafter ofreasonable inquiry, the ~~date~~Company has ofconcluded that the ~~financial~~amount ~~statements, and~~of ~~the~~any ~~reported~~such ~~amounts~~benefit ofis ~~revenues~~immaterial and ~~expenses~~does ~~during~~not ~~the~~in any ~~reporting~~event ~~period~~exceed $10,000 to any officer. No provision had therefore been made ~~Actual~~for ~~results~~any ~~could~~such ~~differ~~benefit. All ~~from~~of ~~those~~the ~~estimates~~above mentioned officers are provided automobiles.

~~Financial Statement~~Annual ~~Presentation~~Report on Form 10-K Page 23 First Hartford Corporation

~~Because the Company is engaged in the development and~~ ~~sale of real estate at various stages of construction, the operating cycle may~~(f) ~~extend~~Deferred ~~beyond~~Compensation ~~one year. Accordingly, following the usual practice of the real estate industry, the accompanying consolidated balance sheets are unclassified.~~Plan:

~~Statements~~ On December 1, 2014, the Company adopted a Deferred Bonus Plan that awarded six employees an annual payment of ~~Cash~~$21,667 ~~Flows~~each for three years. Included in these six employees are Mr. Harding, Mr. Toic, and Mr. Carlson. All of the six employees satisfied the vesting requirement and received the first two annual payments as of April 30, 2017. The total expense recorded for this bonus was $390,000, of which $195,000 related to the three named executives.

~~For~~ On ~~purposes~~March 6, 2014, the Company adopted a Deferred Bonus Plan for Mr. Harding agreeing to pay him 7% of the ~~statements~~amount of ~~cash~~any ~~flows~~remaining Operating Reserve held at Clarendon, as defined, payable to the Company ~~considers~~upon ~~all~~approved ~~highly~~distribution ~~liquid~~of ~~investments~~the ~~purchased~~Operating Reserve ~~with~~upon antermination ~~original~~of the Partnership Agreement. There has been no ~~maturity~~expense recognized as of ~~three~~April ~~months~~30, or2017 ~~less~~as the event needed to betrigger ~~cash~~this payment ~~equivalents~~has not yet occurred.

~~Revenue Recognition~~ (g) Bonuses:

~~Rental~~ Prior ~~Income~~to December –31, ~~Rental~~2015, ~~income~~Mr. isToic’s ~~recognized~~base onsalary awas ~~straight-line~~$105,019. In ~~basis~~addition, Mr. Toic ~~over~~had ~~the~~an ~~terms~~agreement ofto ~~the~~receive ~~respective~~a ~~leases~~$7,500 ~~and~~bonus ~~consists~~on ofeach ~~base~~CVS ~~rent~~/ ~~and reimbursements~~Cumberland Farms fee for ~~certain~~service ~~costs~~closing, ~~such~~with asa ~~real~~minimum ~~estate~~of ~~taxes~~$175,000 ~~utilities,~~for any calendar year. During ~~insurance,~~fiscal ~~common~~years ~~maintenance~~2017 and ~~other~~2016, ~~recoverable~~Mr. ~~costs~~Toic asreceived ~~provided~~bonuses inof ~~the~~$-0- and $174,167, ~~lease~~respectively, ~~agreements~~under this agreement. ~~There~~In ~~are~~addition, noin ~~contingent~~fiscal ~~rents~~years 2017 and 2016, Mr. IfToic ~~conditions~~received ofbonuses ~~rent~~totaling ~~are~~$75,000 ~~not met~~and $125,000, ~~certain~~respectively, ~~tenants~~for ~~may~~his work ~~have~~on ~~rights~~the tosale ~~pay~~of ~~percentage~~several ~~rent~~properties. Beginning ~~not~~on toJanuary ~~exceed stated~~1, ~~rent~~2016, Mr. ~~Currently,~~Toic no ~~there~~longer ~~are~~receives abonuses ~~very~~prospectively ~~limited~~(he ~~number~~may still be paid for certain identified property sales that have not yet occurred as of ~~tenants~~that ondate) and his base salary was ~~percentage~~increased ~~rent.~~to $400,000.

In fiscal 29years 2017 and 2016, Mr. Carlson received $25,000 bonuses, respectively, for his work on the sale of several properties.

~~FIRST~~ Mr. ~~HARTFORD~~Connolly receives ~~CORPORATION~~commissions ~~AND~~equal ~~SUBSIDIARIES NOTES~~to ~~TO CONSOLIDATED~~8% ~~FINANCIAL~~of ~~STATEMENTS~~gross ~~FOR~~management ~~THE~~fees paid by the three ~~YEARS~~residential ~~ENDED~~properties. In ~~APRIL~~fiscal ~~30,~~years 2017 and 2016, ~~AND~~he ~~2015~~received $55,460 and $72,243, respectively.

1.Annual ~~Summary~~Report ofon ~~Significant~~Form ~~Accounting~~10-K ~~Policies~~Page ~~(continued):~~24 First Hartford Corporation

~~Revenue Recognition~~ITEM ~~(concluded):~~12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

~~Service Income~~ (a- ~~The Company is party to Preferred~~b) ~~Developer~~Security ~~Agreements~~Ownership with CVS and Cumberland Farms. Under these agreements, the Company’s fee for such services provided is recognized as earned when services, as outlined in the development agreements, are provided. Fees earned related to the development of ~~pharmacy~~Certain ~~stores for CVS during the years ended~~Beneficial ~~April 30~~Owners, ~~2016~~Directors and ~~2015~~Executive were $4,767,000 and $5,260,500, respectively. Fees earned for Cumberland Farms during the years ended April 30, 2016 and April 30, 2015 were $1,531,250 and $1,535,000, respectively. These fees are included in service income in the consolidated statements of income. Officers:

The following ~~Company~~table ~~also~~sets ~~provides~~forth ~~management~~information ~~and~~as ~~maintenance~~of fifteen days prior to the date ~~services~~hereof, based upon beneficial owner reported filings with the SEC, with respect to ~~others. Fees~~all ~~for~~persons ~~such~~known ~~services~~to ~~provided~~the ~~are~~Company ~~recognized~~to be beneficial owners of more than 5% of the Company’s outstanding shares of common stock, by each director, by each officer named in ~~service~~the Summary Compensation Table, and by all officers and ~~income~~directors asof ~~earned~~the ~~when~~Company ~~services~~as ~~are~~a ~~provided.~~group:

Sales of Real Estate – The Company recognizes sales of real estate as revenue upon the transfer of title and when substantially all performance requisites have been fulfilled. For the years ended April 30, 2016 and 2015, the Company had sales of $21,100,182 and $30,401,052, respectively. The cost of the property sold was $17,673,023 and $22,372,594 for 2016 and 2015, respectively. None of the property sold was otherwise providing significant ongoing cash flows to the Company.

Title of Class	Name & Address of Beneficial Owner of Identity of Group	Amount and Nature of Beneficial Ownerships	Percent Of Class

	Officers and Directors

Common Stock	Neil H. Ellis	1,355,326 (1)	58.5%
	43 Butternut Road
	Manchester, CT 06040

Common Stock	All Directors and Officers	1,355,426 (1)	58.5%
	as a Group (6 persons of which only 1 holds 5% or greater)

	Other 5% Beneficial Owners

Common Stock	John Filippelli	280,458 (2)	12.1%
	23 Lakeview Drive
	Pawling, NY 12564

Common Stock	Joel Lehrer	200,000	8.6%
	231 Atlantic Street, Unit 58
	Keyport, NJ 07735

~~Construction Income - The Company primarily develops~~ ~~real~~(1) Includes ~~estate~~417,183 ~~for~~shares ~~its~~owned ~~own~~by ~~use. However~~a corporation, ~~revenues~~which ~~from~~is ~~long-term~~wholly ~~projects~~owned ~~built for~~by ~~third~~Mr. ~~parties~~& ~~are~~Mrs. ~~recognized~~Ellis; on18,593 ~~the~~shares ~~percentage-of-completion method of accounting~~owned ~~based~~beneficially ~~on costs incurred to date in relation to total actual costs~~ and ~~estimated costs~~of torecord ~~complete~~by Mr. ~~Revisions~~ inEllis’ ~~costs~~wife; ~~and~~53,412 ~~profit~~shares ~~estimates~~held ~~are~~as ~~reflected in~~Trustee ~~operations~~for ~~during~~his ~~the~~daughters ~~accounting period~~ in which ~~the~~he ~~facts~~disclaims ~~become~~beneficial ~~known~~ownership. ~~The~~Excludes 14,250 ~~Company~~shares ~~provides~~held ~~for~~as ~~estimated~~trustee ~~losses~~for ~~on contracts in~~ the ~~year~~Jonathan ~~such losses become known~~G. ~~There~~ ~~were~~Ellis noLeukemia ~~long-term~~Foundation ~~construction projects or revenue for the~~(a ~~years~~charitable ~~ended April 30, 2016 and 2015~~foundation).

~~Other~~ ~~Receivables~~(2) Included in Mr. Filippelli’s shares are 279,806 shares over which he has Shared Dispositive Power with Mr. Filippelli’s wife and ~~Payables~~652 shares owned by Mr. Filippelli’s wife.

~~Pursuant to the Company’s Preferred Developer~~ ~~Agreement with CVS, the Company is obligated to fund allowable costs incurred~~(c) inChanges ~~connection with the identification and development of new retail pharmacy stores for which it receives direct reimbursements from CVS. Payables for allowable costs incurred~~ in connection with these activities but not yet funded were $7,478,581 and $12,484,551 as of April 30, 2016 and 2015 respectively, and have been included as “other payables” in the consolidated balance sheets. Related reimbursements due from CVS were $5,956,103 and $12,080,979 as of April 30, 2016 and 2015, respectively, and have been included in “other receivables” in the consolidated balance sheets.Control:

~~Cash~~ The Company ~~and~~is ~~Cash~~aware ~~Equivalents~~of –no ~~Restricted~~arrangements, which may result at a subsequent date in change in control of the Company.

~~Cash and cash equivalents – restricted, consist of~~ ~~funds received from CVS in connection with the Company’s Preferred Developer~~(d) ~~Agreement. Such~~Equity ~~amounts~~Compensation ~~are~~Plan to be used for the payment of costs incurred by the Company for the development and construction of CVS retail pharmacy stores. The restricted cash also includes Tenant Security Deposits held by the VIEs.Information:

30 None.

~~FIRST HARTFORD~~Annual ~~CORPORATION~~Report ~~AND~~on ~~SUBSIDIARIES NOTES~~Form ~~TO CONSOLIDATED~~10-K ~~FINANCIAL~~Page ~~STATEMENTS~~25 ~~FOR~~First ~~THE YEARS~~Hartford ~~ENDED APRIL 30, 2016 AND 2015~~Corporation

~~Developed~~ (a) Parkade ~~Properties~~Center Inc. (a wholly owned subsidiary of First Hartford Corporation) has a 1.99% interest in Hartford Lubbock Parkade LP II, ~~Equipment~~a partnership, which owns a shopping center in Lubbock, TX. Lubbock Parkade Inc., a wholly owned subsidiary of Journal Publishing Inc., owns 98.01% of the Partnership. Journal Publishing Inc. is owned by Neil H. Ellis, the Chairman of First Hartford Corporation, and ~~Tenant~~his ~~Improvements~~wife Elizabeth, through their ownership of Green Manor Corporation. First Hartford Realty Corporation manages the property and receives a 4% management fee, which is the industry norm for a shopping center.

~~Developed~~ For ~~properties~~the years ended April 30, ~~equipment~~2017 and ~~tenant~~2016, Parkade ~~improvements~~Center ~~are~~Inc. ~~recorded~~and atFirst ~~cost.~~Hartford Realty Corporation earned the following:

~~Depreciation and amortization are provided using the~~ ~~straight-line method based on the following estimated useful lives.~~ 2017 2016

Description	Years
Developed properties	15 – 40
Equipment	3 – 10
Tenant improvements	Lesser of improvement life
	or lease term

Management Fee (at 4%) $70,554 $71,217

~~Expenditures~~ For ~~for~~the ~~major~~years ~~renewals~~ended April 30, 2017 and ~~betterments~~2016, ~~which~~Parkade ~~extend~~Center ~~the~~Inc. ~~useful~~received ~~lives~~distributions of ~~developed~~$17,802 ~~properties~~and $7,264, ~~equipment~~respectively. ~~and~~For ~~tenant~~the ~~improvements~~years ended April 30, ~~are~~2017 ~~capitalized~~and 2016, Lubbock Parkade Inc. ~~Expenditures~~ ~~for~~received distributions ~~maintenance~~of $962,378 and ~~repairs~~$312,000, ~~are charged~~respectively, tofrom ~~operations~~Hartford asLubbock ~~incurred~~LP II.

~~Property~~ (b) Certain ~~Under~~Business ~~Construction~~Relationships:

~~The Company capitalizes costs directly associated with~~ ~~property~~Refer ~~under~~to ~~construction.~~(a) Such costs include materials, construction labor and payroll cost, allocation of salaries and payroll cost from direct activities such as engineering, purchasing and legal and services provided by subcontractorsabove. ~~Material carrying costs for property taxes, insurance and interest are also capitalized during the period of active construction until construction is substantially complete.~~

~~The Company capitalizes labor cost for direct work by~~ ~~offsite~~(c) Indebtedness ~~staff~~of ~~on specific projects. In the year ended April 30, 2016, $131,028 was capitalized. In the year ended April 30, 2015, $189,223 was capitalized.~~ Management:

~~Property~~ There ~~Held~~is ~~for Sale~~none.

~~The Company classifies property as “held for sale” if~~ ~~management~~(d) Transactions ~~commits~~with to sell the property and actively markets the property to potential buyers at fair market value, the property is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such property, and the sale is probable within one year. Promoters:

~~Deferred~~ There ~~Expenses~~is none.

~~Expenditures directly related to real estate under~~ ~~consideration~~(e) Director for development are deferred and included in deferred expenses in the consolidated balance sheets. These costs include option payments, attorney’s fees, architect and engineering fees, consultants, etc., but only to the extent they are from outside sources. If development of the real estate commences, all of the accumulated costs are reclassified to property under construction in the consolidated balance sheets. If the project is later abandoned, all of the accumulated costs are charged to expense.Independence:

31 All of the Directors of the Company are executives and/or employees of the Company and by definition are not independent. Further, Mr. Ellis owns in excess of fifty percent of the outstanding stock of the Company. The Company does not have any directors that meet the independence standards for audit, nominating or compensation committee.

~~FIRST~~ ~~HARTFORD~~The ~~CORPORATION~~Company’s ~~AND~~securities ~~SUBSIDIARIES NOTES~~are ~~TO CONSOLIDATED~~listed ~~FINANCIAL~~on ~~STATEMENTS~~The OTC Markets ~~FOR~~(the ~~THE~~electronic quotation system that trades the Company’s securities) and such ~~YEARS~~exchanges ~~ENDED~~and ~~APRIL~~systems ~~30,~~do ~~2016~~not ~~AND~~impose ~~2015~~requirements that a majority of the Board of Directors be independent.

1.Annual ~~Summary~~Report ofon ~~Significant~~Form ~~Accounting~~10-K ~~Policies~~Page ~~(continued):~~26 First Hartford Corporation

~~Deferred~~ITEM ~~Expenses~~14. ~~(concluded):~~PRINCIPAL ACCOUNTING FEES AND SERVICES

~~Leasing~~ On ~~costs~~December ~~incurred~~5, ~~primarily commissions~~2013, ~~are capitalized for signed leases and included in deferred expenses in~~ the ~~accompanying~~ ~~consolidated~~Company ~~balance~~engaged ~~sheets. Such~~Mahoney ~~costs are amortized using the~~Sabol ~~straight-line~~& ~~method~~Company, ~~over~~LLP ~~the~~to ~~terms~~audit of2013 ~~the~~and ~~related leases~~2012. ~~The~~This ~~unamortized balance~~agreement ofhas ~~such~~been ~~cost~~renewed ~~was $1,086,042 and $1,119,179 as of April 30, 2016 and 2015,~~for ~~respectively~~2014-2017.

~~Amortization~~ The ~~expense~~2017 ~~for~~and ~~the~~2016 ~~next~~amounts ~~five~~in ~~years~~the istable below represent ~~expected~~expenses tofor beMahoney asSabol ~~follows:~~& Company, LLP.

Year Ending April 30,
	2017	2016
2017	$205,198
Audit Fees (1)	$128,000	$125,000
2018	195,206
Audit Related Fees (2)	19,000	-0-
2019	152,902
Tax Fees	-0-	-0-
2020	86,571
All Other Fees (3)	4,922	-0-
2021	71,785
Thereafter	374,380
Total	$1,086,042

~~Investment~~ (1) Fees for the audit of the Company’s annual financial statements included in ~~Affiliated~~its ~~Entities~~Annual Report on Form 10-K, and Form 10-Q’s filed Quarterly.

~~The Company has an investment in an affiliated limited~~ ~~liability entity Dover Parkade, LLC,~~ (~~“Dover”~~2)~~. The~~ Fees ~~Company~~for ~~has~~the aaudit ~~50% interest in Dover which owns a shopping center in Dover Township, NJ. The operating and financial policies~~ of ~~Dover~~one are not controlled by the Company. For years prior to May 1, 2009, the Company was committed to provide funding to this equity method investee. The Company’s investment was recorded at cost and subsequently adjusted for its share of ~~their net income and losses and distributions. To 2009, losses and distributions from Dover exceeded~~ the Company’s ~~investment~~subsidiaries. Since then, distributions from Dover have been credited to income. The resulting carrying value of this investment of ($1,654,361) as of April 30, 2016 and ($1,961,212) as of April 30, 2015 is included in other liabilities.

On (3) Fees ~~October~~for ~~4, 2011,~~ the ~~Company~~review ~~entered~~of ~~into~~CAM acharges ~~partnership~~at ~~with~~one aof ~~nonprofit entity which purchased a 99 year leasehold interest in a 208 unit subsidized housing project in Claymont, Delaware. The Company is a non-controlling .01% limited partner in~~ the ~~entity. The~~ Company’s ~~investment~~ ~~is carried at cost of $100~~subsidiaries. ~~A subsidiary of the Company is the managing agent.~~

~~The Company recorded equity in earnings of~~ ~~unconsolidated~~Due ~~subsidiaries~~to ofthe ~~$666,851~~fact ~~and~~that ~~$790,620~~the ~~for~~Company ~~the~~does ~~years~~not ~~ended~~have ~~April~~a ~~30,~~formal ~~2016~~audit ~~and 2015~~committee, ~~respectively,~~the ~~which~~Board ~~includes~~of ~~significant~~Directors ~~distributions.~~has:

32 (a) Reviewed and discussed the Company’s audited financial statements with the independent auditors;

~~FIRST~~ (b) Discussed ~~HARTFORD~~with ~~CORPORATION~~the ~~AND SUBSIDIARIES~~independent ~~NOTES~~auditors ~~TO CONSOLIDATED~~the ~~FINANCIAL~~matters ~~STATEMENTS~~required ~~FOR~~to ~~THE YEARS~~be ~~ENDED~~discussed ~~APRIL~~by ~~30,~~professional ~~2016~~standards; ~~AND 2015~~and

1. (c) Reviewed ~~Summary~~and discussed the independence of ~~Significant~~the ~~Accounting~~auditors ~~Policies~~and ~~(continued):~~received a written disclosure from the audit firm confirming its independence.

~~Fair~~ ~~Value~~Based ~~Measurements~~on the review and discussions described above, the Board of Directors approved the inclusion of the Company’s audited financial statements in its Annual Report on Form 10-K for the fiscal year ended April 30, 2017.

~~Certain assets and liabilities are presented at fair~~ ~~value~~ By onits aBoard ~~recurring basis. In addition, fair values are disclosed for certain other assets and liabilities. In all cases, fair value is determined using valuation techniques based on a hierarchy~~ of ~~inputs. A summary of the hierarchy follows~~Directors:

·	Level 1 –	Quoted prices in active markets that are unadjusted and accessible at the measurement date for identical, unrestricted assets or liabilities.
·	Level 2 –	Quoted prices for identical assets and liabilities in markets that are not active, quoted prices for similar assets and liabilities in active markets or financial instruments for which significant observable inputs are available, either directly or indirectly such as interest rates and yield curves that are observable at commonly quoted intervals; and
·	Level 3 –	Prices or valuations that require inputs that are unobservable.

Neil H. Ellis

~~In certain cases, the inputs used to measure fair~~ ~~value~~David ~~may fall into different levels of the fair value hierarchy~~B. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability.Harding

~~The Company’s financial instruments include cash and~~ ~~cash~~William equivalents, accounts receivable, marketable securities, accounts payable, accrued expenses and debt. The fair values of accounts receivable, accounts payable and accrued expenses are estimated to approximate their carrying amounts because of their relative short-term nature. In general, the carrying amount of variable rate debt approximates its fair value. Further, the carrying amount of fixed rate debt approximates fair value debt since the interest rates on the debt approximates the Company’s current incremental borrowing rate. Information about the fair values of marketable securities and derivative liabilities is presented below.Connolly

~~Level~~ 1John Toic

~~Marketable~~ ~~Securities~~Jeffrey ~~– Common and Preferred Stocks~~Carlson

~~The~~Annual ~~Company~~Report ~~determines~~on ~~the~~Form ~~appropriate classifications of its investments in marketable debt and equity securities at the time of purchase and re~~10-~~evaluates~~K ~~such~~Page ~~determinations~~27 atFirst ~~each~~Hartford balance sheet date. As of April 30, 2016 and 2015, investments consist of equity securities, which are classified as available for sale. Investments in marketable securities are stated at fair value. Fair value for marketable securities is based on the last sale of the period obtained from recognized stock exchanges (i.e. Level 1). Net unrealized holding gains and temporary losses on equity securities are included as a separate component of the deficiency. Net unrealized losses of $466,872 as of April 30, 2016 and gains of $269,975 as of April 30, 2015 are included in accumulated other comprehensive (loss) income and noncontrolling interests. Gains or losses on securities sold are based on the specific identification method.Corporation

33 PART IV

~~FIRST HARTFORD~~ITEM ~~CORPORATION~~15. ~~AND~~EXHIBITS, ~~SUBSIDIARIES NOTES TO CONSOLIDATED~~ FINANCIAL ~~STATEMENTS~~STATEMENT ~~FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~SCHEDULES

1. Summary of Significant Accounting Policies (continued):

	Pages
(a) (1) The following items are included in Part II, Item 8 as presented in Item 15:

Report of Independent Registered Public Accounting Firm	30

Financial Statements:

Consolidated Balance Sheets – April 30, 2017 and 2016	31-32

Consolidated Statements of Income for the Years
Ended April 30, 2017 and 2016	33

Consolidated Statements of Comprehensive Income for the Years
Ended April, 30, 2017 and 2016	34

Consolidated Statements of Changes in Shareholders’ Deficiency
for the Years Ended April 30, 2017 and 2016	35

Consolidated Statements of Cash Flows for the Years
Ended April 30, 2017 and 2016	36-37

Notes to Consolidated Financial Statements	38-56

~~Fair~~ ~~Value Measurements~~ (~~concluded~~2): Financial statement schedules

~~Level~~ All 2financial statement schedules are omitted because they are not required.

~~Derivative Instruments~~ (b) Exhibits

~~The Company, through its 50% owned consolidated subsidiaries, has~~ ~~entered~~(3) Articles into two separate floating-to-fixed interest rate swap agreements with banks that expire in May 2025 and July 2031. The Company has determined that these derivative instruments do not meet the requirements of ~~hedge accounting~~Incorporation and ~~have therefore recorded the change in fair value of these derivative instruments through income in the consolidated statement of operations~~by-laws. The loss on derivatives incurred during the years ended April 30, 2016 and 2015 totaled $2,177,879 and $104,157, respectively, and the Company has recorded a liability of $4,693,209 and $2,515,330 in the consolidated balance sheets, which represents the fair value of the interest rate swaps as of April 30, 2016 and 2015, respectively.

~~Level~~ Exhibits (3) to Form-K for the Fiscal Year ended April 30, 1984, Pages 1-18 of Exhibits Binders, incorporated by reference to Securities File Number 0-8862.

~~Debt~~ (12) Subsidiaries of the Registrant.

A VIE of the Company assumed a third mortgage note with MHFA on November 1, 2006, having a balance of $18,315,482. The note bears interest at the rate of 5.36% per annum. The VIE has the right to purchase the note upon maturity for the fair value of the note as determined by an appraiser. The mortgage loan was recorded at its estimated fair value on the date of acquisition. The fair value of the third mortgage note has been determined based on the fair value of the property on the acquisition date less the primary loan balances. As of April 30, 2016, the carrying amount of the loan was $1,828,910.

Name of Subsidiary	State in which Incorporated
First Hartford Realty Corporation	Delaware
Lead Tech, Inc.	Connecticut
Parkade Center, Inc.	Texas
Plainfield Parkade, Inc.	Connecticut
EH&N Construction Company	Delaware
Dover Parkade, LLC	Delaware
DE 150 Corp.	Delaware
Brewery Parkade, Inc.	Rhode Island
Cranston Parkade, LLC	Rhode Island
Tri-City Plaza, Inc.	Delaware
1150 Union Street Corp.	Massachusetts
CP Associates, LLC	Rhode Island
Trolley Barn Associates, LLC	Rhode Island
Main Street NA Parkade, LLC	Connecticut

~~There~~Annual ~~have~~Report ~~been~~on noForm ~~significant~~10-K ~~transfers~~Page ~~between~~28 ~~Level 1~~First ~~and~~Hartford ~~Level 2.~~Corporation

Long-Lived Assets

Name of Subsidiary	State in which Incorporated
Connolly & Partners, LLC	Massachusetts
Cranston/BVT Associates Limited Partnership	Rhode Island
CP/BVT Inc.	Rhode Island
FHRC Management Corp.	Delaware
The Shoppes at Rio Grande Valley, LP	Texas
Edinburg SRGV, LLC	Delaware
Rockland Place Apartments, LLC	Massachusetts
Rockland Place Developers, LLC	Massachusetts
Rockland Place Apartments, LP	Massachusetts
EH&NU Inc.	Massachusetts
First BTS, LLC	Texas
First BTS Claiborne, LLC	Louisiana
First GL Conroe, LLC	Texas
First BTS Avondale, LLC	Louisiana
First BTS Austin, LLC	Texas
First GL Buda, LLC	Texas
First BTS Stanhope, LLC	New Jersey
First BTS N Carrollton LLC	Louisiana
First BTS Mid-City, LLC	Louisiana
First BTS Vernon, LLC	New Jersey
First BTS Conroe, LLC	Texas
First BTS MLK & 183, LLC	Texas
First BTS Parmer, LLC	Texas
First BTS West Lake, LLC	Texas
First BTS Brentwood, LLC	New York
First Sappington WAG, LLC	Missouri
First BTS Little Ferry, LLC	New Jersey
First GL Cedar Park, LLC	Texas
1813 W. Parmer Associates, LLC	Texas
FHRC Plumbing, Inc.	Massachusetts
Prosperity EB5 Holdings, LLC	Texas
Pharmacy EB5 Holdings, LLC	Connecticut
999 Realty, LLC	Delaware
The Robert Company, LLC	Texas
SATIS Corporation	Connecticut
First Hartford Rio Grande Valley, Inc.	Texas
Del Valle Parkade, LLC	Texas
EPFH, LLC	Texas
Clarendon Hill Somerville Limited Partnership	Massachusetts
Clarendon Developer, LLC	Massachusetts
Clarendon Hill Somerville, LLC	Massachusetts
LTI Environmental Services, Inc.	Massachusetts
Steeple City Cinemas, Inc.	Massachusetts
Steeple City Liquors, Inc.	Massachusetts
Hartford Lubbock Limited Partnership II	Texas
Connolly Claymont, LLC	Delaware
B’nai B’rith Claymont LP	Delaware

~~Long-lived assets are reviewed for impairment whenever~~ ~~events~~(31.1) ~~or changes in circumstances indicate that their carrying amount might~~Exhibit ~~not be recovered~~31. 1 CEO Certification

~~Income~~ (31.2) ~~Taxes~~Exhibit 31.2 CFO Certification

~~Deferred~~ (32.1) ~~income taxes are provided on the differences~~Exhibit ~~between~~32.1 CEO ~~the financial statement~~ and ~~income~~CFO ~~tax~~Certification ~~bases~~as ofto ~~assets~~18 ~~and liabilities and on net operating loss carryforwards using the enacted tax rates~~U.S.C. 1350

~~A valuation allowance would be provided for deferred~~ ~~income~~(c) Other ~~tax~~Financial ~~assets~~Statements ~~for which realization is not likely in the near term.~~

34 None.

~~FIRST HARTFORD~~Annual ~~CORPORATION~~Report ~~AND~~on ~~SUBSIDIARIES NOTES~~Form ~~TO CONSOLIDATED~~10-K ~~FINANCIAL~~Page ~~STATEMENTS~~29 ~~FOR~~First ~~THE YEARS~~Hartford ~~ENDED APRIL 30, 2016 AND 2015~~Corporation

1. REPORT ~~Summary~~OF ofINDEPENDENT REGISTERED ~~Significant~~PUBLIC ~~Accounting~~ACCOUNTING ~~Policies (continued):~~FIRM

~~Income~~ To ~~Taxes~~the ~~(concluded):~~Board of Directors andStockholders of First Hartford Corporation

As We have audited the accompanying consolidated balance sheets of First Hartford Corporation as of April 30, ~~2016~~ 2017 and ~~2015~~2016, and the ~~Company~~related ~~has~~consolidated ~~no significant~~statements ~~uncertain~~of income, ~~tax positions. The Company recognizes interest~~comprehensive ~~and~~income, ~~penalties~~changes onin ~~any~~shareholders’ ~~uncertain~~deficiency, ~~income~~and ~~tax~~cash ~~positions~~flows asfor aeach ~~component~~ of ~~income~~the ~~tax~~years ~~expense.~~in ~~During~~ the ~~years~~two-year period ended April 30, ~~2016~~2017. ~~and~~First ~~2015,~~Hartford ~~the~~Corporation’s management ~~Company~~is ~~did not~~responsible ~~recognize~~for ~~any~~these ~~interest~~financial orstatements. ~~penalties~~Our ~~related~~responsibility is to ~~unrecognized~~express ~~tax~~an ~~benefits.~~opinion on these financial statements based on our audits.

~~The~~ We ~~Company~~conducted ~~received~~our aaudits ~~notice~~in ~~from~~accordance with the ~~Internal Revenue~~standards ~~Service~~of ~~dated~~the ~~November~~Public ~~29,~~Company ~~2012~~Accounting Oversight Board (United States). Those standards require that ~~the~~we ~~Service~~plan ~~has~~and ~~completed~~perform ~~its~~the audit to obtain ~~examination~~reasonable ofassurance about whether the ~~Company’s~~financial ~~Federal~~statements ~~income~~are ~~tax~~free ~~return~~of material ~~for~~misstatement. ~~the~~The ~~period~~company ~~ended~~is not required to have, nor were we engaged ~~April~~to 30perform, ~~2010. The~~an ~~examination~~audit ~~resulted~~of inits nointernal ~~change~~control inover ~~reported~~financial ~~tax~~reporting. ~~The~~ Our ~~determination~~audit ~~does~~included ~~not~~consideration ~~include~~of ~~any~~internal ~~partnerships~~control over financial reporting as a basis for designing audit procedures that are appropriate in ~~which~~the circumstances, but not for the ~~Company~~purpose ~~has~~of expressing an ~~interest. The~~ ~~statute~~opinion on the effectiveness of ~~limitations~~the company’s isinternal ~~three~~control ~~years~~over ~~unless~~financial ~~there~~reporting. isAccordingly, ~~fraud~~we orexpress no ~~substantial~~such ~~understatement~~opinion. ofAn ~~income.~~audit ~~Therefore~~also includes examining, ~~tax~~on ~~returns~~a ~~for~~test ~~fiscal~~basis, ~~years~~evidence supporting ~~2013-2016~~the amounts and disclosures in the financial statements, assessing ~~are~~the ~~open~~accounting toprinciples ~~examination~~used and significant estimates made by ~~Federal~~management, ~~local~~as well ~~and~~as ~~state~~evaluating ~~authorities~~the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

~~Stock~~ In ~~Compensation~~our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of First Hartford Corporation as of April 30, 2017 and 2016, and the consolidated results of its operations and its cash flows for each of the years in the two-year period ended April 30, 2017, in conformity with accounting principles generally accepted in the United States of America.

~~Share-based~~/s/ ~~compensation~~Mahoney ~~cost~~Sabol is& ~~measured at the grant date~~Company, ~~based on the calculated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity grant).~~LLP

~~Earnings~~Glastonbury, ~~(loss) per share (EPS)~~Connecticut

~~Basic~~July earnings (loss) per share amounts are determined using the weighted-average outstanding common shares for the year. Diluted earnings (loss) per share amounts include the weighted-average outstanding common shares as well as potentially dilutive common stock options and warrants using the “treasury stock” method. There were no options outstanding at April 3031, ~~2016 or April 30, 2015.~~ 2017

~~New~~Annual ~~Accounting~~Report ~~Pronouncements~~on Form 10-K Page 30 First Hartford Corporation

~~In May 2014, the FASB issued a standard on revenue~~ ~~recognition~~ FIRST ~~providing~~HARTFORD aCORPORATION ~~single,~~AND comprehensive revenue recognition model for all contracts with customers. The revenue standard is based on the principle that revenue should be recognized to depict the transfer of promised goods or services to customers in an amount that reflects the consideration of which the entity expects to be entitled in exchanged for those goods or services. The standard is effective beginning January 1, 2017, with no early adoption permitted. The amendments may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized as of the date of initial application. We are currently evaluating the adoption method options and the impact of the new guidance on our consolidated financial statements.SUBSIDIARIES

~~In February 2015, the FASB issued a standard that~~ ~~amends~~CONSOLIDATED ~~the~~BALANCE current consolidation guidance. The amendments affect both the variable interest entity (VIE) and voting interest entity (VOE) consolidation models. The changes are extensive and apply to all companies. The need to assess an entity under the different consolidation model may change previous consolidation conclusions. The standard is effective in fiscal periods beginning after December 15, 2015 with early adoption permitted. The Company has evaluated the impact of the new guidance on its consolidated financial statements and concluded that it has no impact on its consolidated financial statements.SHEETS

35 APRIL 30, 2017 AND 2016

~~FIRST~~ ~~HARTFORD CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~ASSETS

1. Summary of Significant Accounting Policies (continued):

	2017	2016
Real estate and equipment:
Developed properties and property under construction (including $77,898,958 in 2017 and $74,693,823 in 2016 for VIEs)	$236,865,867	$228,733,956
Equipment and tenant improvements (including $2,424,964 in 2017 and $2,425,896 in 2016 for VIEs)	3,689,442	3,763,420
	240,555,309	232,497,376
Less accumulated depreciation and amortization (including $15,918,495 in 2017 and $13,827,009 in 2016 for VIEs)	(47,449,316)	(42,654,076)
	193,105,993	189,843,300


Property held for sale	11,389,591	15,422,312

Cash and cash equivalents (including $2,063,103 in 2017 and $1,507,163 in 2016 for VIEs)	6,250,757	5,982,506

Cash and cash equivalents – restricted (including $396,361 in 2017 and $406,749 in 2016 for VIEs)	526,012	2,070,963

Marketable securities (including $1,538,839 in 2017 and $1,601,795 in 2016 for VIEs)	1,538,839	1,601,795

Accounts and notes receivable, less allowance for doubtful accounts of $135,002 in 2017 and $769,961 in 2016 (including $66,543 in 2017 and $27,651 in 2016 for VIEs)	3,505,541	3,959,574

Other receivables	4,064,876	5,956,103

Deposits and escrow accounts (including $8,866,586 in 2017 and $4,137,450 in 2016 for VIEs)	15,930,999	9,937,588

Prepaid expenses (including $327,481 in 2017 and $306,547 in 2016 for VIEs)	1,644,320	1,438,759

Deferred expenses, net (including $167,273 in 2017 and $184,722 in 2016 for VIEs)	5,712,547	2,952,630

Investment in affiliates	100	100

Due from related parties and affiliates	152,776	159,954

Deferred tax asset	671,147	2,130,776

Total assets	$244,493,498	$241,456,360

~~New~~ See ~~Accounting~~accompanying ~~Pronouncements (concluded):~~notes.

InAnnual ~~April~~Report ~~2015,~~on ~~the~~Form ~~FASB issued ASU 2015~~10-~~03, "Interest~~K -Page ~~Imputation~~31 ofFirst ~~Interest~~Hartford (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs," which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability, and amortization of those costs should be reported as interest expense. This ASU is effective for financial statements issued for annual and interim periods beginning after December 15, 2015, and early adoption is permitted. The new guidance is applied on a retrospective basis for each period presented in the balance sheet. The Company has implemented this ASU and, accordingly, deferred debt issuance costs of $1,656,088 that were previously recorded in deferred expenses in the April 30, 2015 balance sheet are now recorded as a separate item called deferred debt issuance costs in the debt section of the April 30, 2015 balance sheet.Corporation

2. FIRST ~~Consolidated~~HARTFORD CORPORATION ~~Variable~~AND ~~Interest Entities~~SUBSIDIARIES

~~The~~CONSOLIDATED ~~Company’s~~BALANCE consolidated financial statements include the accounts of Rockland Place Apartments Limited Partnership (“Rockland”), Clarendon Hill Somerville Limited Partnership (“Clarendon”) and Trolley Barn Associates, LLC (“Trolley Barn”). The Company has consolidated Rockland, Clarendon and Trolley Barn based on the express legal rights and obligations provided to it by the underlying partnership agreements and its control of their business activity. SHEETS

~~Connolly and Partners, LLC (75% owned by the Company)~~ ~~has~~APRIL ~~a .01% ownership interest in and is a general partner of Rockland. Connolly and Partners~~30, ~~LLC~~2017 ~~also~~AND ~~owns 49% of Clarendon Hill Somerville, LLC which owns .01% of and is the general partner of Clarendon. Trolley Barn is 50% owned by the Company.~~2016

~~Rockland owns and operates a rental housing project~~ consisting of 204 units located in Rockland, Massachusetts. Clarendon owns and operates a 501 unit apartment complex in Somerville, Massachusetts. Both projects were renovated and are managed by the Company. Renovation costs were financed with loans from Massachusetts Housing Finance Agency (~~MHFA~~continued)~~, subsidies from U.S. Department of Housing and Urban Development (HUD) and limited partner capital contributions.~~

~~Each building of the projects qualifies for low-income~~ ~~housing~~LIABILITIES ~~credits~~AND ~~pursuant~~SHAREHOLDERS’ to Internal Revenue Code Section 42 (“Section 42”), which regulates the use of the projects as to occupant eligibility and unit gross rent, among other requirements. Each building of the projects must meet the provisions of these regulations during each of fifteen consecutive years in order to remain qualified to receive the credits. In addition, Rockland and Clarendon have executed an Extended Low-Income Housing Agreement, which requires the utilization of each project pursuant to Section 42 through the compliance period, even if Rockland or Clarendon disposes of the project.DEFICIENCY

Each project’s low-income housing credits are contingent on its ability to maintain compliance with applicable sections of Section 42. Failure to maintain compliance with occupant eligibility, and/or unit gross rent, or to correct noncompliance within a specified time period could result in recapture of previously taken tax credits plus interest. In addition, such potential noncompliance may result in an adjustment to the capital contributed by the investment limited partner.

	2017	2016
Liabilities:
Mortgages and other notes payable:
Construction loans payable	$26,929,537	$68,031,502
Mortgages payable (including $64,598,997 in 2017 and $56,580,047 in 2016 for VIEs)	195,763,409	149,119,630
Notes payable (including $1,704,697 in 2017 and $1,704,697 in 2016 for VIEs)	1,704,697	1,744,697
Lines of credit	6,400,000	2,652,091
Less: Deferred debt issuance costs (including $1,575,494 in 2017 and $1,151,746 in 2016 for VIEs)	(3,067,098)	(1,837,083)
	227,730,545	219,710,837

Accounts payable (including $569,600 in 2017 and $961,884 in 2016 for VIEs)	2,915,400	3,701,702
Other payables	4,966,246	8,843,015
Accrued liabilities (including $3,382,307 in 2017 and $3,254,953 in 2016 for VIEs)	5,699,875	6,124,930
Derivative liability	2,023,793	4,693,209
Deferred income (including $227,936 in 2017 and $254,576 in 2016 for VIEs)	622,461	677,694
Other liabilities	1,328,909	1,654,361
Due to related parties and affiliates (including $446,990 in 2017 and $430,269 in 2016 for VIEs)	598,843	602,121
Total liabilities	245,886,072	246,007,869

Commitments and Contingencies

Shareholders’ Deficiency:
First Hartford Corporation
Preferred stock, $1 par value; $.50 cumulative and convertible; authorized 4,000,000 shares; no shares outstanding	-0-	-0-
Common stock, $1 par value; authorized 6,000,000 shares: issued 3,236,843 in 2017 and 3,298,609 in 2016, outstanding 2,340,799 and 2,404,590 in 2017 and 2016, respectively	3,236,843	3,298,609

Capital in excess of par	5,093,779	5,198,928
Accumulated deficit	(5,612,263)	(8,600,495)
Accumulated other comprehensive income (loss)	-0-	-0-
Treasury stock, at cost, 896,044 and 894,019 shares in 2017 and 2016, respectively	(4,989,384)	(4,984,416)
Total First Hartford Corporation	(2,271,025)	(5,087,374)

Noncontrolling interests	878,451	535,865
Total shareholders’ deficiency	(1,392,574)	(4,551,509)

Total liabilities and shareholders’ deficiency	$244,493,498	$241,456,360

~~Rockland has an agreement with the Rockland Housing~~ ~~Authority~~See ~~whereby~~accompanying ~~the Housing Authority has the option to purchase the property, after the 15-year tax credit compliant period on January 1, 2024, from Rockland~~notes. ~~The option price is based on a specified formula in the agreement.~~

36Annual Report on Form 10-K Page 32 First Hartford Corporation

~~FIRST~~ FIRST HARTFORD CORPORATION AND SUBSIDIARIES ~~NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~

2. CONSOLIDATED ~~Consolidated~~STATEMENTS ~~Variable~~OF ~~Interest Entities (concluded):~~INCOME

~~Clarendon~~FOR ~~has~~THE anYEARS ~~agreement~~ENDED ~~with~~APRIL ~~the 51% owner of Clarendon Hill Somerville~~30, ~~LLC,~~2017 ~~Clarendon~~AND Hill Towers Tenant Association, LLC (“CHTTA”), whereby CHTTA has an option to purchase the property after the 15 year tax credit compliance period from the partnership. The option price is the greater of:2016

a. Outstanding debt and taxes, or

	2017	2016
Revenues:
Rental income	$31,984,825	$30,416,900
Service income	5,453,919	6,791,095
Sales of real estate	34,373,493	21,100,182
Other revenues	3,858,059	3,555,335
	75,670,296	61,863,512

Operating costs and expenses:
Rental expenses (includes depreciation and amortization of $5,668,173 and $5,519,043 in 2017 and 2016, respectively)	20,090,504	20,728,432
Service expenses	5,098,899	5,791,175
Cost of real estate sales	27,723,800	17,673,023
Selling, general and administrative expenses	9,078,059	7,141,236
	61,991,262	51,333,866

Income from operations	13,679,034	10,529,646

Non-operating income (expense):
Equity in earnings of unconsolidated subsidiaries	685,452	666,851
Other income	137,186	606,723
Gain / (loss) on derivatives (non-cash)	2,669,416	(2,177,879)
Loss on defeasance	(437,776)	-0-
Gain on voluntary foreclosure	-0-	2,649,850
Loss on impairment	-0-	(330,700)
Interest expense	(10,393,998)	(9,368,956)
	(7,339,720)	(7,954,111)

Income before income taxes	6,339,314	2,575,535

Income tax expense	1,859,941	932,147

Consolidated net income	4,479,373	1,643,388

Net (income) / loss attributable to noncontrolling interests	(1,491,141)	124,538

Net income attributable to First Hartford Corporation	$2,988,232	$1,767,926

Net income per share – basic	$1.26	$0.73

Net income per share – diluted	$1.26	$0.73

Shares used in basic per share computation	2,375,617	2,407,526
Shares used in diluted per share computation	2,375,617	2,407,526

b. ~~Fair~~ See ~~market~~accompanying ~~value of the property~~notes.

~~The~~Annual ~~assets~~Report aton ~~April~~Form ~~30,~~10-K ~~2016~~Page ~~and~~33 ~~2015~~First ofHartford the consolidated VIEs (Rockland and Clarendon) that can be used only to settle their obligations and the liabilities for which creditors (or beneficial interest holders) do not have recourse to the general credit of the Company are shown parenthetically in the line items of the consolidated balance sheets.Corporation

~~A summary of the assets and liabilities of Rockland~~ ~~and~~ FIRST ~~Clarendon~~HARTFORD ~~included~~CORPORATION inAND ~~the Company’s consolidated balance sheets as follows:~~SUBSIDIARIES

	April 30,
	2016	2015
Real estate and equipment, net	$65,735,521	$65,746,701
Other assets	8,195,007	9,822,867
Total assets	73,930,528	75,569,568
Intercompany profit elimination	(2,863,451)	(2,974,130)
Consolidated	$71,067,077	$72,595,438
Mortgages and other notes payable	$57,132,998	$57,850,580
Other liabilities	4,471,413	4,644,325
Total liabilities	$61,604,411	$62,494,905

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

~~Substantially all assets of Rockland and Clarendon are~~ ~~pledged~~FOR asTHE ~~collateral~~YEARS ~~for~~ENDED ~~its~~APRIL debt. The recourse of the holders of the mortgages and other notes payable is limited to the assets of Rockland and Clarendon. Combined revenues for Rockland and Clarendon were $12,117,191 for the year ended April 30, ~~2016~~2017 ~~and~~AND ~~$11,121,786 for the year ended April 30, 2015. The combined net loss for Rockland and Clarendon was $390,055 for the year ended April 30,~~ 2016 and $1,764,208 for the year ended April 30, 2015. Since the Company’s ownership interest in both entities is nominal, substantially all of such losses are allocated to the noncontrolling interests in the consolidated financial statements.

Trolley Barn’ s only asset is approximately seven acres of land in Cranston, RI.

	2017	2016

Consolidated net income	$4,479,373	$1,643,388


Other comprehensive income / (loss), net of taxes:
Unrealized gains / (losses) on marketable securities	112,813	(466,872)

Total comprehensive income	4,592,186	1,176,516

Amounts attributable to noncontrolling interests:
Net (income) / loss	(1,491,141)	124,538
Unrealized (gains) / losses on marketable securities	(112,813)	371,057

	(1,603,954)	495,595

Comprehensive income attributable to First Hartford Corporation	$2,988,232	$1,672,111

37 See accompanying notes.

~~FIRST HARTFORD~~Annual ~~CORPORATION~~Report ~~AND~~on ~~SUBSIDIARIES NOTES~~Form ~~TO CONSOLIDATED~~10-K ~~FINANCIAL~~Page ~~STATEMENTS~~34 ~~FOR~~First ~~THE YEARS~~Hartford ~~ENDED APRIL 30, 2016 AND 2015~~Corporation

3. FIRST ~~Construction~~HARTFORD CORPORATION ~~Loans,~~AND ~~Mortgages, Notes Payable, and Lines of Credit:~~SUBSIDIARIES

~~Information~~ CONSOLIDATED ~~about~~STATEMENTS ~~the~~OF ~~Company’s~~CHANGES ~~debt~~IN ~~follows:~~SHAREHOLDERS’ DEFICIENCY

	2016	2015
Construction loans and mortgages payable with interest rates ranging from
zero to 7.25% at April 30, 2016 and 2015 and maturities at various dates through 2056.	$217,151,132	$202,060,243
Notes payable with interest rates ranging from zero to 4.40% at
April 30, 2016 and 2015 and maturities ranging from 2025 to 2050.	1,744,697	1,744,697
Lines of credit with interest rates ranging from 3.0% to 3.4% at April 30, 2016 and maturities ranging from January 31, 2017 to June 30, 2017.	2,652,091	-0-
	221,547,920	203,804,940
Less deferred debt issuance costs	(1,837,083)	(1,656,088)
	$219,710,837	$202,148,852

FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

As of April 30, 2016 and 2015, $420,906 and $57,624 of interest was capitalized.

	Common Stock	Capital in Excess of Par	Accumulated Deficit	Accumulated Other Comprehensive (Loss) Income*	Treasury Stock	Total First Hartford Corporation	Noncontrolling Interests	Total

Balance, April 30, 2015	$3,298,609	$5,198,928	$(10,368,421)	$95,815	$(4,970,082)	$(6,745,151)	$2,632,855	$(4,112,296)

Distribution	-0-	-0-	-0-	-0-	-0-	-0-	(1,601,395)	(1,601,395)

Purchase of common stock	-0-	-0-	-0-	-0-	(14,334)	(14,334)	-0-	(14,334)

Net income (loss)	-0-	-0-	1,767,926	-0-	-0-	1,767,926	(124,538)	1,643,388

Unrealized loss on marketable securities	-0-	-0-	-0-	(95,815)	-0-	(95,815)	(371,057)	(466,872)

Balance, April 30, 2016	3,298,609	5,198,928	(8,600,495)	-0-	(4,984,416)	(5,087,374)	535,865	(4,551,509)


Distribution	-0-	-0-	-0-	-0-	-0-	-0-	(1,261,368)	(1,261,368)

Purchase of common stock	(61,766)	(105,149)	-0-	-0-	(4,968)	(171,883)	-0-	(171,883)

Net income	-0-	-0-	2,988,232	-0-	-0-	2,988,232	1,491,141	4,479,373

Unrealized gain on marketable securities	-0-	-0-	-0-	-0-	-0-	-0-	112,813	112,813

Balance, April 30, 2017	$3,236,843	$5,093,779	$(5,612,263)	$ -0-	$(4,989,384)	$(2,271,025)	$878,451	$(1,392,574)

~~Aggregate principal payments due on the above debt for~~ ~~each~~*Consists exclusively of ~~the~~net ~~years~~unrealized ~~succeeding~~gains ~~April~~(losses) ~~30,~~on ~~2016~~available-for-sale ~~are as follows:~~marketable securities.

Year Ending April 30,
2017	$30,092,123
2018	25,773,334
2019	3,138,909
2020	5,376,865
2021	2,296,650
Thereafter	154,870,039
	$221,547,920

See accompanying notes.

~~Substantially~~Annual ~~all~~Report ~~real~~on ~~estate~~Form ~~owned~~10-K isPage ~~pledged~~35 ~~as collateral~~First ~~for~~Hartford ~~construction and mortgage loans.~~Corporation

~~Refinancings:~~ FIRST HARTFORD CORPORATION AND SUBSIDIARIES

~~West Springfield, MA – Refinance: On August 15, 2014, the Company refinanced the~~ ~~mortgage on its shopping center in West Springfield, MA in the amount of~~ ~~$10,500,000. A prior mortgage with a remaining balance of $7,815,897 with an~~CONSOLIDATED ~~interest~~STATEMENTS ~~rate~~OF ofCASH 5.52% was paid from the proceeds. The new mortgage has an interest rate of 4.60% with a 30 year amortization and duration of 10 years, calls for interest only for the first two years. Transaction costs of $110,000 are being amortized over the life of the loan.FLOWS

38FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

FIRST HARTFORD CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015

	2017	2016
Operating activities:

Consolidated net income	$4,479,373	$1,643,388
Adjustments to reconcile consolidated net income
to net cash provided by operating activities:
Equity in earnings of unconsolidated subsidiaries, net of
distributions of $360,000 in 2017 and $360,000 in 2016	(325,452)	(306,851)
Gain on sale of real estate	(6,649,693)	(3,427,159)
Gain on voluntary foreclosure	-0-	(2,649,850)
Loss on impairment	-0-	330,700
Depreciation of real estate and equipment	5,453,963	5,210,982
Amortization of deferred expenses	868,263	388,414
Deferred income taxes	1,459,629	671,231
(Gain) / loss on derivatives	(2,669,416)	2,177,879
Changes in operating assets and liabilities:
Accounts, notes and other receivables	2,345,260	6,998,755
Deposits and escrows	4,519,094	(459,504)
Prepaid expenses	(205,561)	(260,531)
Deferred expenses	(4,858,195)	821,944
Cash and cash equivalents – restricted	1,544,951	(1,122,242)
Accrued liabilities	(425,055)	272,732
Deferred income	(55,233)	169,398
Accounts and other payables	(4,663,071)	(4,443,478)
Net cash provided by operating activities	818,857	6,015,808

Investing activities:
Investments in marketable securities	(466,827)	(3,189,006)
Proceeds from sale of marketable securities	642,596	5,084,737
Purchases of equipment and tenant improvements	(169,283)	(193,541)
Proceeds from sales of real estate	34,373,493	21,100,182
Additions to developed properties and property under construction	(32,238,452)	(53,846,161)
Net cash provided by (used in) investing activities	2,141,527	(31,043,789)

3. See ~~Construction Loans, Mortgages, Notes Payable, and Lines of Credit (concluded):~~accompanying notes.

~~Rockland,~~Annual MAReport ~~– Refinance: On December 18, 2014, the Company refinanced two mortgages~~ on ~~Rockland~~Form in10-K ~~the~~Page ~~amount~~36 ~~of $1,289,449. The~~First ~~two~~Hartford prior mortgages with a combined remaining balance of $1,029,833 and interest rates of 7.937% and 11.0% were paid from the proceeds. The two new mortgages both have an interest rate of 3.0% and have maturity dates of December 1, 2016 and March 1, 2018. Transaction costs of $108,111 are being amortized over the life of the loans.Corporation

~~Somerville, MA - Refinance: On February 23,~~ ~~2015, the Company refinanced a mortgage on Clarendon in the amount of $17,564,600.~~ AFIRST ~~prior~~HARTFORD ~~mortgage~~CORPORATION ~~with~~AND a remaining balance of $13,045,612 with an interest rate of 5.59% was paid from the proceeds. The new mortgage has an interest rate of 3.75%, calls for monthly payments of $85,088, and has a maturity date of November 1, 2042. Transaction costs of $312,413 are being amortized over the life of the loan.SUBSIDIARIES

~~Cranston, RI – Refinance: On May 28, 2015, the Company refinanced the mortgage~~ ~~on their shopping center in Cranston, RI in the amount of $33,500,000. A prior~~CONSOLIDATED ~~mortgage~~STATEMENTS ~~with~~OF aCASH remaining balance of $30,235,368 with an interest rate of 5.603% was paid from the proceeds. The new mortgage has a variable interest rate of 30 day LIBOR plus 1.90% (2.34% at April 30, 2016) and calls for 119 monthly principal payments of $57,279 (along with interest) and one final lump-sum payment of $26,683,779 in May 2025. Simultaneously, the Company entered into a floating-to-fixed interest rate swap agreement with the bank fixing the interest rate at 4.15%.FLOWS

~~CP Associates – Refinance: On June 9, 2015, the Company refinanced a mortgage on~~ ~~their~~FOR ~~Career Education building in Cranston, RI in the amount of $5,500,000. A~~THE ~~prior~~YEARS ~~mortgage~~ENDED ~~with~~APRIL ~~a remaining balance of $9,442,011 with an interest rate of 1.25% plus~~ 30 day LIBOR (fixed at an effective interest rate of 6.11% through a floating-to-fixed interest rate swap agreement that was also retired) was paid from the proceeds and cash on-hand. The new mortgage has a fixed interest rate of 3.00% through November 8, ~~2018,~~2017 ~~after~~AND which it adjusts to be a variable rate equal to 2.50% plus 30 day LIBOR. Principal payments of $250,000 are due quarterly, with interest payable monthly. The final payment is due on June 9, 2020, if not sooner paid (there is no prepayment penalty).2016

~~Lines of Credit:~~ (continued)

On December 7, 2015, the Company entered into a $2,000,000 revolving demand loan agreement (“line of credit”) with a regional bank. The interest rate on this loan is Wall Street Journal Prime, with a floor of 3.25%. The loan is unsecured and there are no guarantors. Interest is to be paid monthly; principal is to be repaid within twelve months or on demand, at the bank’s discretion. There are no prepayment penalties. This line of credit will primarily be used from time to time to fund initial investments related to development opportunities. As of April 30, 2016, the Company had borrowings of $1,694,091 against this credit line.

	2017	2016
Financing activities:

Purchase of common stock	$(171,883)	$(14,334)
Distributions to noncontrolling interests	(1,261,368)	(1,601,395)
Proceeds from:
Construction loans	12,282,080	24,343,442
Mortgages	11,929,657	11,752,500
Notes	-0-	-0-
Credit lines	5,775,000	3,140,928
Principal payments on:
Construction loans	(15,051,475)	(11,865,147)
Mortgages	(14,130,953)	(4,575,136)
Notes	(40,000)	-0-
Credit lines	(2,027,091)	(488,837)
Advances to related parties and affiliates, net	3,900	620,125
Net cash provided by / (used in) financing activities	(2,692,133)	21,312,146

Net change in cash and cash equivalents	268,251	(3,715,835)
Cash and cash equivalents, beginning of year	5,982,506	9,698,341

Cash and equivalents, end of year	$6,250,757	$5,982,506

Cash paid during the year for interest	$10,189,862	$8,952,062

Cash paid during the year for income taxes	$434,890	$762,994

The Company also obtained another credit line, in the amount of $2,760,000, as part of its purchase of land in Austin, TX as described in Note 17. This line of credit will primarily be used from time to time to fund initial investments related to development opportunities. As of April 30, 2016, the Company had borrowings of $958,000 against this credit line.

Debt refinancing in 1^st quarter:
New mortgage loan	$14,300,000	$39,000,000
Debt reduced	(5,359,713)	(39,723,828)
Escrow funded	(8,019,977)	(-0-)
Net cash from refinancing in 1^st quarter	$920,310	$(723,828)

Debt refinancing in 2^nd quarter:
New mortgage loan	$32,500,000	$-0-
Debt reduced	(31,030,767)	(-0-)
Escrow funded	(1,100,000)	(-0-)
Net cash from refinancing in 2^nd quarter	$369,233	$-0-

Debt refinancing in 3^rd quarter:
New mortgage loan	$21,186,745	$-0-
Debt reduced	(18,139,103)	(-0-)
Escrow funded	(1,392,528)	(-0-)
Net cash from refinancing in 3^rd quarter	$1,655,114	$-0-

Debt refinancing in 4^th quarter:
New mortgage loan	$-0-	$-0-
Debt reduced	(-0-)	(-0-)
Net cash from refinancing in 4^th quarter	$-0-	$-0-

4. See ~~Public~~accompanying ~~Infrastructure Reimbursements and Other Incentives:~~notes.

InAnnual ~~connection~~Report ~~with~~on ~~the~~Form Company’s development and construction of a shopping center owned and operated by the Company in the City of Edinburg, TX, the Company entered into an Economic Development Agreement dated February 20, 2007 with the City of Edinburg and other local non10-~~profit corporations. In~~K ~~connection~~Page ~~with~~37 ~~the~~First ~~agreement,~~Hartford ~~the Company received reimbursements of public infrastructure costs incurred by the Company in addition to other cash incentives.~~ Corporation

39 FIRST HARTFORD CORPORATION AND SUBSIDIARIES

~~FIRST~~ ~~HARTFORD CORPORATION AND SUBSIDIARIES~~ NOTES TO CONSOLIDATED FINANCIAL STATEMENTS ~~FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~

4. FOR ~~Public~~THE YEARS ~~Infrastructure~~ENDED ~~Reimbursements~~APRIL ~~and~~30, ~~Other~~2017 ~~Incentives~~AND ~~(concluded):~~2016

~~Public~~ 1. Summary ~~Infrastructure~~of ~~Reimbursements~~Significant Accounting Policies:

~~During the year ended April 30, 2010, the Company~~ ~~recognized a receivable from the City of Edinburg and reduction of the cost of~~Description ~~the shopping center~~ of $8,000,000 for the reimbursement of eligible public infrastructure costs incurred by the Company. The reimbursement was payable solely by the City of Edinburg from proceeds of public infrastructure bonds and/or from proceeds from 50% of the City’s dedicated 1% sales tax generated from the shopping center. The Company received the final $1,788,467 in reimbursements of eligible public infrastructure costs in the year ended April 30, 2015. There is no remaining receivable at April 30, 2016 or April 30, 2015.Business

~~Other~~ First ~~Cash~~Hartford ~~Incentives~~Corporation (the Company) was incorporated in Maine in 1909 and is engaged in the purchase, development, ownership, management and sale of real estate, all of which is considered the “Real Estate Operation” segment. The Company has a second segment “Fee for Service” in which the Company is engaged as a preferred developer for CVS and Cumberland Farms (see Service Income to follow).

~~In connection with the agreements, the Company also~~ ~~received contributions from the Edinburg Economic Development Corporation~~Principles ~~(“EEDC”)~~ of up to $4,000,000 as its .5% share of sales tax revenue generated from the shopping center. Such nonreciprocal transfers of the Company’s share of sales taxes generated are recorded by the Company as other non-operating income when received. The Company received $-0- and $2,391,850 from the EEDC for the years ended April 30, 2016 and 2015, respectively. The Company does not expect any more income from this agreement.Consolidation

5 The accompanying consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries, and all other entities in which the Company has a controlling financial interest. The latter ~~Pledge~~includes those in which the Company has been determined to be the primary beneficiary of ~~Stock~~a variable interest entity or otherwise meets certain criteria as a sole general partner or managing member in ~~Subsidiaries:~~accordance with the consolidation guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification. As such, included in the consolidated financial statements are the accounts of Rockland Place Apartments Limited Partnership and Clarendon Hill Somerville Limited Partnership. The Company’s ownership percentage in these variable interest entity partnerships is nominal. All intercompany balances and transactions have been eliminated in consolidation.

~~For an extended period of time the Company was unable~~ to obtain financing (secured or unsecured) without the personal guarantees of the Chairman of the Company. To some degree, the Company has recently been able to obtain financing without a guarantee, but generally guarantees continue to be a necessary component to some construction loans. In the past, the Company has provided pledges of the stock of its subsidiaries to the Chairman of the Company as protection from personal losses due to his guarantees. These pledges are expected to stay in place until the guarantees are eliminated.Estimates

The ~~Chairman~~preparation of ~~the~~consolidated ~~Company~~financial ~~has~~statements in ~~guaranteed~~conformity with accounting principles generally accepted in the United ~~following~~States ~~outstanding~~of America requires management to make estimates and assumptions that affect the reported amounts atof ~~April~~assets 30and liabilities, ~~2016:~~the disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Mortgage loan – Edinburg, TX	$1,284,400
Mortgage loan – Manchester, CT (Company HQ)	$214,763
Land loan – Buda, TX	$1,505,000

Financial Statement Presentation

In Because the ~~event~~Company ~~that~~is engaged in the ~~Chairman~~development and issale ~~called~~of ~~upon~~real toestate ~~pay~~at onvarious ~~any~~stages of construction, the ~~above~~operating ~~guarantees~~cycle may extend beyond one year. Accordingly, following the ~~Company~~usual ~~would~~practice ~~become~~of the real ~~liable~~estate toindustry, ~~him~~the accompanying consolidated balance sheets are unclassified.

40Statements of Cash Flows

~~FIRST~~ ~~HARTFORD~~For ~~CORPORATION~~purposes ~~AND~~of ~~SUBSIDIARIES NOTES~~the ~~TO CONSOLIDATED~~statements ~~FINANCIAL~~of ~~STATEMENTS~~cash flows, the ~~FOR~~Company ~~THE~~considers all highly liquid investments purchased with an original ~~YEARS~~maturity ~~ENDED~~of ~~APRIL~~three ~~30,~~months ~~2016~~or ~~AND~~less ~~2015~~to be cash equivalents.

6. Revenue ~~Related Party Transactions:~~Recognition

~~Included~~ Rental inIncome ~~amounts~~– ~~due~~Rental ~~from~~income ~~related~~is ~~parties~~recognized ~~and~~on a straight-line basis ~~affiliates~~over isthe ~~$157,288~~terms of the respective leases and ~~$157,288~~consists atof ~~April~~base 30rent and reimbursements for certain costs such as real estate taxes, ~~2016~~utilities, insurance, common maintenance and ~~2015~~other ~~relating~~recoverable tocosts as provided in the ~~funds~~lease ~~borrowed~~agreements. There ~~from~~are ~~Hartford~~no ~~Lubbock~~contingent ~~Limited~~rents. ~~Partnership~~If byconditions ~~Green~~of ~~Manor~~rent ~~Corp.,~~are not ~~which~~met, ~~owns~~certain ~~Journal~~tenants ~~Publishing~~may ~~and~~have ~~owns~~rights ~~98.01%~~to ofpay ~~Hartford~~percentage ~~Lubbock~~rent ~~Limited~~not to exceed ~~Partnership~~stated rent. ~~These~~Currently, ~~funds~~there ~~were~~are ~~borrowed~~a ~~some~~very ~~years~~limited ~~ago~~number ~~(prior~~of totenants ~~consolidation)~~on percentage rent.

~~Included~~Annual inReport ~~amounts~~on ~~due~~Form ~~from related parties and affiliates is $~~10-0-K ~~and~~Page ~~$500,000~~38 atFirst ~~April~~Hartford ~~30, 2016 and 2015 relating to funds provided to Cranston Brewery LLC by CP Associates, LLC, a 50% owned subsidiary of the Company. Cranston Brewery LLC owns the other 50% of CP Associates, LLC.~~ Corporation

~~Included in amounts due to related parties and~~ ~~affiliates~~FIRST isHARTFORD ~~$502,091~~CORPORATION ~~and~~AND $486,840 payable to Cranston Brewery LLC at April 30, 2016 and 2015, respectively. Cranston Brewery LLC is an affiliate but not owned by the Company. The amount due represents its funding of operations of Trolley Barn Associates (50%). The Company’s advances to Trolley Barn Associates were eliminated in consolidation.SUBSIDIARIES

~~Included in amounts due to related parties and~~ ~~affiliates~~NOTES ~~is $80,000 and $-0- payable to New Folly Brook Commons, LLC at April~~TO ~~30,~~CONSOLIDATED ~~2016~~FINANCIAL ~~and~~STATEMENTS 2015, respectively. New Folly Brook Commons, LLC is owned by the Chairman of the Company. The amount due represents the remaining balance for condominiums sold by New Folly Brook Commons, LLC to a subsidiary of the Company.

~~Included~~ FOR ~~in amounts due to related parties and~~THE ~~affiliates~~YEARS isENDED ~~$20,000~~APRIL ~~and $-0- payable to the Chairman of the Company at April~~ 30, ~~2016~~2017 ~~and~~AND ~~2015, respectively. The amount due represents a short-term loan to Hartford Lubbock Limited Partnership.~~2016

7 1. Summary ~~Stock~~of ~~Option~~Significant Accounting ~~Plan~~Policies (continued):

~~The~~ Revenue Recognition ~~Company does not have a stock option plan.~~ (concluded):

~~During~~ Service Income - The Company is party to preferred developer agreements with CVS and Cumberland Farms. Under these agreements, the Company’s fee for such services provided is recognized as earned when services, as outlined in the development agreements, are provided. Fees earned related to the development of pharmacy stores for CVS during the years ended April 30, 2017 and 2016 were $3,394,500 and ~~2015~~$4,767,000, norespectively. Fees earned for ~~options~~Cumberland Farms during the years ended April 30, 2017 and 2016 were ~~granted~~$1,445,000 and or$1,531,250, ~~exercised~~respectively. These fees are included in service income in the consolidated statements of income.

8 The Company also provides management and maintenance services to others. Fees ~~Employee~~for ~~Retirement~~such ~~Plan:~~services provided are recognized in service income as earned when services are provided.

~~The~~Sales ~~Company~~of ~~had~~Real ~~adopted~~Estate a– ~~SIMPLE~~The ~~IRA~~Company ~~through~~recognizes ~~December~~sales ~~31, 2015. This plan~~of ~~was~~real ~~replaced~~estate byas arevenue ~~401(k)~~upon ~~Plan~~the ontransfer ~~January~~of 1,title ~~2016.~~and ~~Under~~when ~~this~~substantially ~~plan,~~ all ~~employees~~ ~~over~~performance 18requisites ~~years~~have ofbeen ~~age,~~fulfilled. For ~~working~~the atyears ~~least~~ended April 30, ~~hours weekly are eligible to~~2017 ~~participate. Participants~~and ~~are~~2016, ~~eligible~~the toCompany ~~defer~~had ~~earnings~~sales toof ~~the~~$34,373,493 ~~extent~~and ~~of IRS~~$21,100,182, ~~regulations~~respectively. The ~~Company~~cost ~~matches up to 4%~~ of ~~each participating employee’ s annual salary (was 3% under~~ the ~~SIMPLE~~property ~~IRA). Pension~~sold ~~expense~~ was $~~132~~27,~~643~~723,800 and $8117,~~650~~673,023 for ~~the~~2017 ~~years~~and ~~ended~~2016, respectively. None ~~April~~of ~~30,~~the ~~2016~~property ~~and~~sold ~~2015,~~was otherwise providing significant ~~respectively.~~ongoing cash flows to the Company.

41Construction Income - The Company primarily develops real estate for its own use. However, revenues from long-term projects built for third parties are recognized on the percentage-of-completion method of accounting based on costs incurred to date in relation to total actual costs and estimated costs to complete. Revisions in costs and profit estimates are reflected in operations during the accounting period in which the facts become known. The Company provides for estimated losses on contracts in the year such losses become known. There were no long-term construction projects or revenue for the years ended April 30, 2017 and 2016.

~~FIRST~~ ~~HARTFORD CORPORATION AND SUBSIDIARIES~~ Other ~~NOTES~~Receivables ~~TO CONSOLIDATED~~and ~~FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~Payables

9 Pursuant to the Company’s Preferred Developer Agreement with CVS, the Company is obligated to fund allowable costs incurred in connection with the identification and development of new retail pharmacy stores for which it receives direct reimbursements from CVS. Payables ~~Gain~~for allowable oncosts ~~Forgiveness~~incurred in connection with these activities but not yet funded were $4,363,317 and $7,478,581 as of ~~Debt:~~April 30, 2017 and 2016 respectively, and have been included as “other payables” in the consolidated balance sheets. Related reimbursements due from CVS were $4,064,876 and $5,956,103 as of April 30, 2017 and 2016, respectively, and have been included in “other receivables” in the consolidated balance sheets.

~~During the year ended April 30, 2015, a 100% owned~~ ~~subsidiary~~Cash of the Company, Main Street NA Parkade, LLC, signed an agreement that the Mortgage loan secured by the property of Main Street NA Parkade located in North Adams would be reduced from $12,575,423 to $7,260,000. As of the date hereof the Note reflects an outstanding principal balance of $7,260,000 due to a reduction of principal indebtedness through debt forgiveness by Lender resulting in a gain in the amount of $5,315,423 during the year ended April 30, 2015. During the year ended April 30, 2014, the Company previously recorded an impairment loss of $4,027,573 on this property. This impairment reflected the continuing overall economic decline in the geographical area and ~~retail~~Cash ~~industry~~Equivalents ~~that~~– ~~thwarted the Company’s efforts to replace terminating tenants and generate sufficient cash flows to recover the carrying amount of the shopping center.~~Restricted

10 Cash and cash equivalents – restricted, consist of funds received from CVS in connection with the Company’s Preferred Developer Agreement. Such ~~Income~~amounts ~~Taxes:~~are to be used for the payment of costs incurred by the Company for the development and construction of CVS retail pharmacy stores. The restricted cash also includes Tenant Security Deposits held by the VIEs.

~~The~~Annual ~~provision~~Report ~~(benefit)~~on ~~for~~Form ~~income~~10-K ~~taxes~~Page ~~consists~~39 ~~of:~~First Hartford Corporation

	2016	2015
Current Federal income taxes	$80,000	$201,000
Current State income taxes	180,915	390,826
Deferred Federal income taxes	551,708	(2,442,776)
Deferred State income taxes	119,524	(359,231)
	$932,147	$(2,210,181)
The components of the net deferred income tax asset follow:
Tax effect of net operating loss carry-forwards	$1,426,572	$716,382
Basis in fixed assets	368,442	2,085,304
AMT credits	261,054	-0-
Other	74,708	321
Subtotal	2,130,776	2,802,007
Less: Valuation allowance	-0-	-0-
	$2,130,776	$2,802,007

FIRST HARTFORD CORPORATION AND SUBSIDIARIES

ANOTES ~~reconciliation of the provision (benefit) for income~~TO ~~taxes~~CONSOLIDATED ~~with~~FINANCIAL ~~amounts~~STATEMENTS ~~determined by applying the statutory U.S. Federal income tax rate before income taxes is as follows:~~

	2016	2015
Federal statutory rate (34%)	$918,025	$4,978,761
State tax – net of Federal effect	401,915	390,826
Change in valuation allowance on deferred tax assets	-0-	(5,051,000)
Losses attributable to noncontrolling interests	(42,343)	(309,057)
True-up of deferred income taxes	(301,433)	(1,818,246)
Change in tax rates	-0-	(359,232)
Other	(44,017)	(42,233)
Provision (benefit) for income taxes	$932,147	$(2,210,181)

FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

42 1. Summary of Significant Accounting Policies (continued):

~~FIRST HARTFORD~~Developed ~~CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30~~Properties, ~~2016~~Equipment ~~AND~~and ~~2015~~Tenant Improvements

~~11.~~ Developed ~~Leases:~~properties, equipment and tenant improvements are recorded at cost.

~~The~~Depreciation ~~Company~~and ~~leases~~amortization ~~commercial~~are ~~and~~provided ~~residential~~using ~~real~~the ~~estate~~straight-line tomethod ~~tenants~~based ~~under~~on ~~various~~the ~~operating~~following ~~leases~~estimated ~~expiring~~useful ~~through 2038~~lives.

Minimum future rentals to be received on non-cancellable commercial real estate leases as of April 30, 2016 are as follows:

Description	Years
Developed properties	15 – 40
Equipment	3 – 10
Tenant improvements	Lesser of improvement life or lease term

Year Ending April 30,
2017	$13,405,977
2018	12,400,195
2019	11,132,296
2020	8,357,404
2021	7,378,512
Thereafter	30,898,991
Total	$83,573,375

Expenditures for major renewals and betterments, which extend the useful lives of developed properties, equipment and tenant improvements, are capitalized. Expenditures for maintenance and repairs are charged to operations as incurred.

~~12.~~ Property ~~Investments~~Under ~~in Affiliates:~~Construction

~~Summarized~~The Company capitalizes costs directly associated with ~~financial~~property under construction. Such costs include materials, construction labor and ~~other~~payroll ~~information~~cost, allocation of salaries and payroll cost from direct activities such as engineering, purchasing and legal and services provided by subcontractors. Material carrying costs for ~~the~~property ~~Company’s~~taxes, ~~investment~~insurance inand interest ~~Dover~~are ~~Parkade~~also ~~LLC~~capitalized during the period of active construction until construction is substantially complete (~~Dover~~see Note 3). ~~follows:~~

~~Dover~~The –Company ~~New~~capitalizes ~~Jersey:~~labor cost for direct work by offsite staff on specific projects. In the year ended April 30, 2017, $52,500 was capitalized. In the year ended April 30, 2016, $131,028 was capitalized.

AsProperty ofHeld ~~and~~ for ~~the years ended April 30,~~Sale

The Company ~~ownership~~classifies –property ~~50%~~as “held for sale” if management commits to sell the property and actively markets the property to potential buyers at fair market value, the property is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such property, and the sale is probable within one year.

	2016	2015
Assets	$12,567,753	$13,048,902
Liabilities	19,756,185	20,131,036
Members’ deficit	(7,188,432)	(7,082,134)
Revenue	2,708,632	2,684,492
Operating expenses	1,281,968	1,308,420
Non-operating expense, net	(812,962)	(1,617,679)
Net income (loss)	613,702	(241,607)

Deferred Expenses

~~Dover~~ Expenditures directly related to real estate under consideration for development are deferred and included in deferred expenses in the consolidated balance sheets. These costs include option payments, attorney’s ~~major~~fees, ~~tenant~~architect isand ~~Stop~~engineering &fees, ~~Shop~~consultants, ~~which~~etc., but only to ~~provided~~the ~~53%~~extent ~~and~~they ~~55%~~are from outside sources. If development of the ~~total~~real ~~revenue~~estate commences, inall of the ~~years~~accumulated ~~ended~~costs ~~April~~are ~~30,~~reclassified ~~2016~~to ~~and~~property under construction ~~2015,~~in ~~respectively,~~the ~~under~~consolidated abalance ~~lease~~sheets. If ~~that~~the ~~expires~~project onis ~~June~~later 30abandoned, ~~2026~~all of the accumulated costs are charged to expense.

~~13.~~Annual ~~Concentrations~~Report ofon ~~Credit~~Form ~~Risk:~~10-K Page 40 First Hartford Corporation

~~The Company’s financial instruments that are subject~~ ~~to concentrations of credit risk consist of cash and cash equivalents,~~FIRST ~~marketable~~HARTFORD ~~securities,~~CORPORATION ~~and~~AND ~~accounts, notes and other receivables.~~SUBSIDIARIES

~~The Company places its cash deposits, including~~ ~~investments~~NOTES ~~in certificates of deposit, with various financial institutions.~~ TO ~~Bank~~CONSOLIDATED ~~deposits~~FINANCIAL ~~may~~STATEMENTS ~~be in excess of current Federal depository insurance limits.~~

~~The~~ FOR ~~Company has one customer which accounts for more~~THE ~~than~~YEARS ~~10%~~ENDED ofAPRIL ~~the~~30, ~~Company’s~~2017 ~~revenue~~AND ~~in both~~ 2016 ~~and 2015.~~

1. Summary of Significant 43Accounting Policies (continued):

~~FIRST~~ ~~HARTFORD~~Deferred ~~CORPORATION~~Expenses ~~AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~(concluded):

13 Leasing costs incurred, primarily commissions, are capitalized for signed leases and included in deferred expenses in the accompanying consolidated balance sheets. Such ~~Concentrations~~costs are amortized using the straight-line method over the terms of ~~Credit~~the ~~Risk~~related ~~(concluded):~~leases. The unamortized balance of such cost was $1,226,778 and $1,086,042 as of April 30, 2017 and 2016, respectively.

~~The Company assesses the financial strength of its~~ ~~tenants~~Amortization ~~prior~~expense ~~to executing leases and typically requires a security deposit and prepayment of rent. The Company establishes an allowance~~ for ~~doubtful accounts receivable based upon factors surrounding~~ the ~~credit~~next ~~risk~~five ofyears ~~specific tenants,~~is ~~historical~~expected ~~trends~~to ~~and~~be ~~other~~as ~~information.~~follows:

The Company assesses the financial strength of CVS prior to incurring costs in connection with the development of CVS pharmacy stores. Based on historical experience and other information, no allowance for doubtful accounts related to these receivables is considered necessary by management as of April 30, 2016 or 2015.

Year Ending April 30,
2018	$238,625
2019	196,538
2020	131,934
2021	117,048
2022	106,033
Thereafter	436,600
Total	$1,226,778

~~14.~~ Investment ~~Segment~~in ~~Information:~~Affiliated Entities

The ~~factors~~Company ~~used~~has byan ~~the~~investment in an affiliated limited liability entity Dover Parkade, LLC, (“Dover”). The Company tohas ~~identify~~a ~~reportable~~50% interest ~~segments~~in ~~include~~Dover ~~differences~~which owns a shopping center in ~~products~~Dover ~~and~~Township, ~~services~~NJ. The operating and financial ~~segregated~~policies ~~operations within~~of Dover are not controlled by the Company. For ~~The~~years ~~first~~prior to ~~segment~~May 1, ~~“Real~~2009, ~~Estate~~the ~~Operations”~~Company ~~participates~~was incommitted to provide funding to this equity ~~the~~method ~~purchase,~~investee. The ~~development,~~Company’s ~~management,~~investment ~~ownership~~was recorded at cost and subsequently ~~the~~adjusted ~~sale~~for its share of ~~real~~their ~~estate~~net income and losses and distributions. ~~Within~~ ~~its~~ Through ~~second~~April ~~segment~~30, ~~“Fee~~2009, ~~for~~losses ~~Service”,~~and distributions from Dover exceeded the Company’s investment and the Company’s ~~provides~~investment ~~preferred~~balance ~~developer~~was reduced below $0 ~~services~~and recorded as a liability. Beginning May 1, 2009, distributions from Dover have been credited to ~~CVS~~income and ~~Cumberland~~any ~~Farms~~additional ~~Inc~~losses have not been allowed to further reduce the investment balance. The inresulting ~~certain~~carrying ~~geographic~~value ~~areas~~of this investment of ($1,328,909) as of April 30, 2017 and ($1,654,361) as of April 30, 2016 is included in other liabilities. The ~~Summary~~Company recorded equity in ~~financial~~earnings ~~information~~of unconsolidated subsidiaries of $685,452 and $666,851 for the ~~two~~years ended ~~reportable~~April ~~segments~~30, is2017 asand ~~follows:~~2016, respectively, which includes distributions of $360,000 in each year.

	2016	2015
Revenues:
Real Estate Operations	$55,565,262	$62,728,465
Fee for Service	6,298,250	6,811,194
Total	$61,863,512	$69,539,659
Operating Cost and Expense:
Real Estate Operations	$38,498,837	$42,925,260
Fee for Service	5,695,793	4,445,780
Administrative Expenses	7,141,236	6,773,993
Total	$51,333,866	$54,145,033

On October 4, 2011, the Company entered into a partnership with a nonprofit entity which purchased a 99 year leasehold interest in a 208 unit subsidized housing project in Claymont, Delaware. The Company is a non-controlling .01% limited partner in the entity. The Company’s investment is carried at cost of $100. A subsidiary of the Company is the managing agent.

~~All~~Annual ~~costs after~~Report ~~administrative~~on ~~expenses~~Form ~~are~~10-K ~~cost~~Page of41 ~~the~~First ~~real~~Hartford ~~estate operation.~~Corporation

~~The only assets in the balance sheet belonging to the Fee~~ ~~for~~FIRST ~~Service~~HARTFORD ~~segment~~CORPORATION isAND ~~restricted cash of $1,664,214 in 2016 and $530,611 in 2015 and receivables of $5,956,103 in 2016 and $12,080,979 in 2015.~~SUBSIDIARIES

~~15.~~ NOTES ~~Deferred~~TO CONSOLIDATED ~~Compensation~~FINANCIAL ~~Plan:~~STATEMENTS

~~On December 1, 2014, the Company adopted a Deferred~~ ~~Bonus~~FOR ~~Plan that awarded six key employees an annual payment of $21,667 each for~~THE ~~three~~YEARS ~~years. All~~ENDED ofAPRIL ~~the six employees have satisfied the vesting requirement and received the first payment on August 15~~30, ~~2015. The~~2017 ~~total~~AND ~~expense recorded for this bonus was $390,000.~~2016

44 1. Summary of Significant Accounting Policies (continued):

~~FIRST~~ ~~HARTFORD CORPORATION AND SUBSIDIARIES~~Fair ~~NOTES~~Value ~~TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~Measurements

16 Certain assets and liabilities are presented at fair value on a recurring basis. In ~~Gain~~addition, fair values are disclosed for certain other assets and liabilities. In all cases, fair value is determined using valuation techniques based on ~~Voluntary~~a ~~Foreclosure~~hierarchy of inputs. A summary of the hierarchy follows:

~~Putnam,~~ Level CT1 – Quoted ~~Transfer~~prices ~~to Lender: On November 1, 2014, a payment was due for the mortgage of the shopping center~~ in ~~Putnam, CT in the amount of approximately~~active ~~$4,700,000. The~~markets ~~rentable space of the shopping center is 57,529 square feet, 46% of which was leased to one store. That store informed the Company~~ that ~~they~~ ~~were~~are ~~not~~unadjusted ~~renewing their lease, which expired on January 31, 2015,~~ and, ~~as a~~accessible ~~result,~~at the ~~Company~~measurement ~~found~~date it impossible to refinance the mortgage without finding a replacement tenant. Therefore, on June 5, 2015, the Company agreed to transfer title of the property to the lender. The Company recognized a gain since the mortgage was non-recourse and was in excess of the book value. Pre-tax income for ~~this shopping center was $44~~identical,~~645~~ ~~and~~unrestricted ~~$53,003~~assets ~~for~~or ~~the years ended April 30, 2016 and 2015, respectively~~liabilities.
~~17.~~ Level ~~Purchases~~2 of– Quoted ~~Real~~prices ~~Estate:~~for identical assets and liabilities in markets that are not active, quoted prices for similar assets and liabilities in active markets or financial instruments for which significant observable inputs are available, either directly or indirectly such as interest rates and yield curves that are observable at commonly quoted intervals; and
~~New Orleans, LA – Land Purchase: On May 29, 2015, the Company purchased a parcel of~~ ~~land~~ Level in3 ~~New Orleans, LA, for $7,999,901 including closing costs.~~– ~~The~~Prices ~~Company subdivided this lot and is overseeing construction of a shopping plaza with the goal of either leasing~~ or ~~selling these parcels shortly after construction is~~valuations ~~completed. This~~that ~~purchase~~require ~~was~~inputs ~~financed~~that ~~with advances from new promissory notes of $4,383,502 and working capital of $3,616,399. Key terms of the construction loans, which in total amount to $13,210,000,~~ are ~~as follows:~~unobservable.

	Note #1	Note #2
Note Amount:	$7,436,645	$5,773,355
Initial Term Maturity Date:	April 28, 2016 (extended to November 28, 2016)	May 28, 2017
Interest Rate:	Lesser of a) thirty day LIBOR plus applicable margin (3.50% prior to subdivision of land, 2.50% after) or b) highest lawful rate, as defined.	Lesser of a) thirty day LIBOR plus applicable margin (3.50% prior to subdivision of land, 2.75% after) or b) highest lawful rate, as defined.
Renewal Option:	Initial Term Maturity Date shall be renewed and extended at borrower’s option to November 28, 2016 if agreed-upon conditions are met.	Initial Term Maturity Date shall be renewed and extended at borrower’s option to May 28, 2018 and again until May 28, 2019 if agreed-upon conditions are met.

In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment, and considers factors specific to the asset or liability.

45The Company’s financial instruments include cash and cash equivalents, accounts receivable, marketable securities, accounts payable, accrued expenses and debt. The fair values of accounts receivable, accounts payable and accrued expenses are estimated to approximate their carrying amounts because of their relative short-term nature. In general, the carrying amount of variable rate debt approximates its fair value. Further, the carrying amount of fixed rate debt approximates fair value debt since the interest rates on the debt approximates the Company’s current incremental borrowing rate. Information about the fair values of marketable securities and derivative liabilities is presented below.

~~FIRST~~ ~~HARTFORD CORPORATION AND SUBSIDIARIES~~Level ~~NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEARS ENDED APRIL 30, 2016 AND 2015~~1

~~17.~~ Marketable Securities ~~Purchases~~– ofCommon ~~Real~~and ~~Estate~~Preferred ~~(continued):~~Stocks

~~Austin,~~ The TXCompany –determines ~~Land~~the ~~Purchases:~~appropriate Onclassifications of ~~July~~its ~~30,~~investments ~~2015,~~in ~~the~~marketable ~~Company~~debt ~~purchased~~and aequity ~~parcel~~securities at the time of ~~land~~purchase inand ~~Austin,~~re-evaluates TXsuch ~~for~~determinations ~~$1,874,309~~at ~~including~~each ~~closing~~balance ~~costs~~sheet date. ~~The Company is~~As ~~overseeing construction~~ of aApril ~~retail~~30, ~~store~~2017 ~~with~~and ~~the~~2016, ~~goal~~investments consist of ~~selling~~equity ~~the~~securities, ~~property~~which are ~~shortly~~classified ~~after~~as ~~construction~~available isfor ~~completed~~sale. ~~This~~Investments ~~purchase~~in ~~was~~marketable ~~financed~~securities ~~with a~~are ~~loan~~stated ofat ~~$1,312,500~~fair ~~and~~value. Fair ~~working~~value ~~capital~~for ofmarketable ~~$561,809. On~~securities ~~March~~is ~~23,~~based ~~2016,~~on the last ~~Company~~sale ~~purchased~~of athe ~~parcel~~period ~~of land~~obtained ~~adjacent~~from torecognized ~~this~~stock ~~property~~exchanges ~~for~~(i.e. ~~$3,187,997~~Level 1). Net ~~and~~unrealized isholding ~~overseeing~~gains ~~construction~~and oftemporary ~~another~~losses ~~retail~~on ~~store~~equity ~~with~~securities are ~~the~~included ~~goal~~as ofa ~~selling~~separate component of the ~~property~~deficiency. ~~shortly~~Net ~~after~~unrealized ~~construction~~gains isof ~~completed. Simultaneously~~$112,813 as ~~loan~~of ~~proceeds~~April ~~from~~30, ~~two~~2017 ~~separate loans~~and losses of $4466,~~558,000~~872 ~~were~~as ~~obtained~~of onApril ~~both~~30, ~~properties~~2016 toare ~~finance the new~~included ~~acquisition~~in ~~and~~noncontrolling ~~pay~~interests. ~~off~~Gains ~~the~~or ~~existing~~losses ~~loan of $1,312,500~~ on ~~the~~securities ~~adjacent property. Key~~sold ~~terms~~are ofbased on the ~~loans~~specific ~~are~~identification ~~as follows:~~ method.

	Term Loan	Line of Credit Loan
Loan Amount:	$3,600,000	$958,000
Total LOC:	N/A	$2,760,000
Maturity Date:	September 23, 2017	March 23, 2017
Interest Rate:	2.50% plus One Month ICE LIBOR rate up to maturity date, 12.0% thereafter	3.00% plus One Month ICE LIBOR rate up to maturity date, 12.0% thereafter
Interest Payable:	Interest only payable monthly.	Interest only payable monthly.

Annual Report on Form 10-K

Page 42

First Hartford Corporation

~~Vernon, NJ – Land Purchase: On September 8, 2015, the Company purchased a parcel~~FIRST ofHARTFORD ~~land~~CORPORATION inAND Vernon, NJ, for $4,175,985 including closing costs. This purchase was financed with an advance from a new construction loan of $2,959,018 and working capital of $1,216,967. The Company oversaw construction of a retail store and sold the property on February 3, 2016.SUBSIDIARIES

~~Conroe,~~NOTES ~~TX –~~TO ~~Land~~CONSOLIDATED ~~Purchase:~~FINANCIAL OnSTATEMENTS December 23, 2015, the Company purchased a parcel of land in Conroe, TX, for $3,125,470 including closing costs. The Company is overseeing construction of a retail store with the goal of selling the property shortly after construction is completed. This purchase was financed with an advance from a new construction loan of $2,253,880, advances from a line of credit (see Note 3) of $694,081, and working capital of $177,509. Key terms of the construction loan are as follows:

Maximum Loan Amount:	$5,650,000
Maturity Date:	December 24, 2019
Interest Rate:	One Month ICE LIBOR rate, as defined, plus a margin of 2.50% per annum.
Payments:	Interest only payable monthly through February 5, 2017. Thereafter, interest plus principal based on a 25-year amortization at an assumed interest rate payable monthly.

FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

~~Olathe, KS – Property Purchase: On April 20, 2016, the Company purchased a property with a single retail tenant in Olathe, KS for $6,712,698 including closing costs~~1. ~~The~~ Summary ~~Company plans to resell it by the end~~ of ~~the calendar year. This~~Significant ~~purchase~~Accounting ~~was~~Policies ~~financed with an advance from a new loan of $5,335,000, advances from the Company’s line of credit of $500,000~~ (~~see Note 3~~continued)~~, and working capital of $877,698. Key terms of the loan are as follows~~:

Loan Amount:	$5,335,000
Maturity Date:	January 20, 2017
Interest Rate:	LIBOR, as defined, plus 2.20%.
Payments:	Interest only payable monthly.

Fair Value Measurements (concluded):

~~Interest~~Level ~~Rate:~~ 2

46 Derivative Instruments

~~FIRST~~The Company, through its 50% owned consolidated subsidiaries, has ~~HARTFORD~~entered ~~CORPORATION~~into ~~AND~~two ~~SUBSIDIARIES~~separate floating-to-fixed interest rate swap agreements with ~~NOTES~~banks TOthat expire in May 2025 and July 2031. The Company has determined that ~~CONSOLIDATED~~these ~~FINANCIAL~~derivative ~~STATEMENTS~~instruments do not meet the requirements of hedge accounting ~~FOR~~and ~~THE~~have therefore recorded the change in fair value of these derivative ~~YEARS~~instruments ~~ENDED~~through ~~APRIL~~income in the consolidated statement of operations. The gain / (loss) on derivatives incurred during the years ended April 30, 2017 and 2016 totaled ~~AND~~$2,669,416 ~~2015~~and ($2,177,879), respectively, and the Company has recorded a liability of $2,023,793 and $4,693,209 in the consolidated balance sheets, which represents the fair value of the interest rate swaps as of April 30, 2017 and 2016, respectively.

~~17.~~ Level ~~Purchases of Real Estate (continued):~~3

Buda, TX Land Purchases: On April 29, 2016, the Company purchased a parcel of land in Buda, TX adjacent to another parcel owned by the Company for $686,167 including closing costs. In addition, subsequent to April 30, 2016, on May 13, 2016, the Company purchased three additional parcels of land adjacent to these parcels for $1,051,034 including closing costs. These purchases were financed by a new land loan of $1,505,000 with the balance funded by working capital. Key terms of the loan are as follows:Debt

Loan Amount:	$1,505,000
Maturity Date:	September 24, 2017
Interest Rate:	The lower of a) the Prime Rate per Wall Street Journal plus 1.00% or b) 4.25%.
Payments:	Interest only payable monthly. At maturity, outstanding principal plus any accrued interest will be payable.
Guarantors:	Both the Company (Corporate) and Chairman of the Company (Individual).

A VIE of the Company assumed a third mortgage note with Massachusetts Housing Finance Agency (MHFA) on November 1, 2006, having a balance of $18,315,482. The note bears interest at the rate of 5.36% per annum. The VIE has the right to purchase the note upon maturity for the fair value of the note as determined by an appraiser. The mortgage loan was recorded at its estimated fair value on the date of acquisition. The fair value of the third mortgage note has been determined based on the fair value of the property on the acquisition date less the primary loan balances. As of April 30, 2017, the carrying amount of the loan was $1,828,910.

~~18.~~ There ~~Subsequent~~were ~~Events:~~no gross realized and unrealized gains and losses on Level 3 assets and liabilities for the years ended April 30, 2017 and 2016.

The Company ~~has~~recognizes ~~evaluated~~transfers between levels within ~~for~~the ~~subsequent~~hierarchy ~~events~~as ~~through~~of ~~August~~the 5,beginning ~~2016,~~of the ~~date~~reporting period. There have been no significant transfers between levels within the ~~financial~~hierarchy ~~statements~~for the years ended ~~were~~April ~~issued~~30, 2017 and 2016.

OnLong-Lived June 15, 2016, Rockland Place Apartments LP repaid its bridge mortgage note with a principal balance of $591,174, its Fourth Mortgage Note with a principal balance of $500,000, and its Flexible Subsidy Capital Improvement Loan with a principal balance of $4,268,539 in full via a refinancing that will enable it to use the proceeds to redevelop the complex.Assets

On Long-lived ~~June~~assets 3,are ~~2016,~~reviewed ~~Rockland~~for ~~Place~~impairment ~~Apartments LP executed~~whenever aevents ~~First~~or ~~Mortgage~~changes ~~Note~~in ~~payable~~circumstances ~~with~~indicate ~~the~~that ~~Massachusetts~~their ~~Housing~~carrying ~~Finance Agency in the~~ amount ~~of $14,300,000. The proceeds of the note were used to retire the~~might ~~debt~~not ~~noted above, fund certain escrows, and pay closing costs. Funds will also~~ be ~~used to redevelop the complex~~recovered. ~~The note has a 40-year term and requires monthly payments of principal and interest of $54,628. The interest rate is fixed at 3.41%. The note is nonrecourse.~~

~~On June 29, 2016, the Company sold a property in Stanhope,~~ ~~NJ for $10,000,050 that had a cost basis of approximately $8,105,000.~~ A ~~construction~~Income ~~loan with a balance of $6,329,667 was paid off with the proceeds.~~Taxes

On Deferred ~~June~~income ~~30,~~taxes ~~2016,~~are ~~the~~provided ~~Company~~on ~~sold~~the ~~a portion of its~~differences ~~property~~between inthe ~~Edinburg,~~financial TXstatement ~~(i.e.,~~and ~~Texas~~income ~~Roadhouse)~~tax ~~for~~bases ~~$2,210,000~~of ~~that~~assets ~~had~~and ~~a cost~~liabilities ~~basis~~and ofon ~~approximately~~net ~~$1,277,550. A~~operating ~~mortgage~~loss ~~loan~~carryforwards ~~with~~using athe ~~balance~~enacted ~~of $1,279,136~~tax ~~was paid off with the proceeds~~rates.

A valuation allowance would be provided for deferred 47income tax assets for which realization is not likely in the near term.

~~PART~~Annual ~~III~~Report on Form 10-K Page 43 First Hartford Corporation

~~ITEM 10.~~ FIRST ~~DIRECTORS,~~HARTFORD ~~EXECUTIVE~~CORPORATION ~~OFFICERS~~ AND ~~CORPORATE GOVERNANCE~~SUBSIDIARIES

(a) Identification of Directors
The directors of First Hartford Corporation, their ages and the periods during which each has served as such are as follows:
Name	Age	Period of Service
Neil H. Ellis	88	1966 – Present
David B. Harding	71	1998 – Present
Jeff Carlson	61	2015 – Present
John Toic	44	2015 – Present
William Connolly	67	2015 – Present

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

~~There~~FOR ~~are~~THE noYEARS ~~arrangements~~ENDED orAPRIL ~~understandings~~30, ~~between~~2017 ~~any~~AND ~~of the foregoing and any other person pursuant to which such person was or is to be selected director or officer.~~2016

~~The~~1. ~~directors~~Summary of ~~the~~Significant Accounting ~~Company~~Policies ~~are each elected to one-year terms.~~ (continued):

~~Note that Stuart I. Greenwald was a director from 1980 through June 10, 2015, the date of his passing.~~ ~~Mr. Greenwald was also the Treasurer and Secretary of the Company~~ upIncome ~~through~~Taxes ~~that date.~~(concluded):

~~(b)~~ As of April 30, 2017 and 2016, the Company has no ~~Identification~~significant uncertain income tax positions. The Company recognizes interest and penalties on any uncertain income tax positions as a component of income ~~Executive~~tax ~~Officers~~expense. During the years ended April 30, 2017 and 2016, the Company did not recognize any interest or penalties related to unrecognized tax benefits.

The ~~names and~~statute ~~ages~~ of ~~all~~limitations ~~executive~~is ~~officers~~three ofyears ~~First~~unless ~~Hartford~~there is ~~Corporation~~fraud or substantial understatement of income. Therefore, ~~their~~tax ~~positions~~returns beginning ~~and~~with ~~the~~fiscal ~~periods~~year ~~during~~2014 ~~which~~are ~~each~~open ~~has~~to ~~served~~examination asby ~~such~~Federal, ~~are~~local asand ~~follows:~~state authorities.

Name	Age	Position	Period of Service
John Toic	44	President	2015 – Present
Neil H. Ellis	88	Chairman of the Board	1966 – Present
Jeff Carlson	61	Secretary	2015 - Present
Eric J. Harrington	46	Treasurer	2015 - Present
David B. Harding	71	Vice President	1998 – Present

Stock Compensation

~~There~~Share-based ~~are~~compensation cost is measured at the grant nodate, ~~arrangements~~based oron ~~understandings~~the ~~between~~calculated ~~any~~fair value of the ~~foregoing~~award, and ~~any~~is ~~other~~recognized as an ~~person~~expense ~~pursuant~~over tothe ~~which~~employee’s ~~such~~requisite ~~person~~service ~~was~~period or(generally isthe tovesting period beof ~~selected~~the ~~director~~equity ~~or officer~~grant).

~~Note~~Earnings ~~that Stuart~~(loss) I.per ~~Greenwald~~share ~~was Treasurer / Secretary from 1980 through June 10, 2015, the date of his passing. Mr. Carlson and Mr. Harrington were appointed to be the Secretary and Treasurer, respectively, on June 15, 2015.~~ (EPS)

48 Basic earnings (loss) per share amounts are determined using the weighted-average outstanding common shares for the year. Diluted earnings (loss) per share amounts include the weighted-average outstanding common shares as well as potentially dilutive common stock options and warrants using the “treasury stock” method. There were no options outstanding at April 30, 2017 or April 30, 2016.

~~ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE~~ ~~GOVERNANCE~~New ~~(continued):~~Accounting Pronouncements

~~(c)~~ ~~Identification~~In May 2014, the FASB issued a standard on revenue recognition providing a single, comprehensive revenue recognition model for all contracts with customers. The revenue standard is based on the principle that revenue should be recognized to depict the transfer of ~~Certain~~promised goods or ~~Significant~~services ~~Employees~~to customers in an amount that reflects the consideration of which the entity expects to be entitled in exchanged for those goods or services. The standard is effective beginning January 1, 2017, with no early adoption permitted. The amendments may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized as of the date of initial application. We are currently evaluating the adoption method options and the impact of the new guidance on our consolidated financial statements.

~~Name~~ In ~~Age~~February ~~Position~~2015, ~~Period~~the FASB issued a standard that amends the current consolidation guidance. The amendments affect both the variable interest entity (VIE) and voting interest entity (VOE) consolidation models. The changes are extensive and apply to all companies. The need to assess an entity under the different consolidation model may change previous consolidation conclusions. The standard is effective in fiscal periods beginning after December 15, 2015 with early adoption permitted. The Company has evaluated the impact of ~~Service~~the ~~N/A~~new guidance on its consolidated financial statements and concluded that it has no impact on its consolidated financial statements.

~~(d) Family~~Annual ~~Relationships~~Report on Form 10-K Page 44 First Hartford Corporation

~~There are no family relationships among any directors~~ orFIRST HARTFORD ~~executive~~CORPORATION ~~officers.~~AND SUBSIDIARIES

	(e)	Business Experience
	1.	Following is a brief description of the background of each director or executive officer:

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

~~Mr. Ellis served as President and as a director of the~~ ~~Company~~FOR ~~since 1966 until 2015, at which time he resigned as President and continued~~THE asYEARS ~~Chairman~~ENDED ofAPRIL ~~the Board. He is also President and Director of Green Manor Corporation~~30, a2017 ~~holding~~AND ~~company (which includes Journal Publishing Inc., Lubbock Parkade Inc. and MIP 16A Corp.) owned by him and his wife.~~2016

~~Mr. Harrington~~ ~~was appointed the role of Treasurer on June 15, 2015~~1. ~~Mr.~~ Summary ~~Harrington was hired in January 2015 as the Manager~~ of ~~Accounting; he now serves as the Treasurer~~Significant and as the principal financial officer of the Company. Mr. Harrington has been a CPA since 1995; he holds a B.S. in Business Administration, 1991, from Western New England College. His recent prior business experience has been: Director of Accounting atPolicies FM Facility Maintenance from 2012 to January, 2015; United Technologies from 2005 through 2012 in various manager of accounting and controller positions at several of its subsidiaries; Gerber Scientific 1995 through 2005 in various manager of accounting and controller positions; and at Price Waterhouse from 1991 through 1995 as an accountant.(concluded):

~~Mr. Harding has served as Vice President and as a director~~ ofNew ~~the~~Accounting ~~Company~~Pronouncements ~~since 1998. Additionally, he was the President or Vice President of Richmond Realty, LLC~~ (~~“Richmond”~~concluded) a real estate management company owned by him and his wife from January 1996 until it was dissolved. Prior to 1998, he had worked for the Company in the finance area for three years. In the past, Richmond had managed certain properties of the Company. :

Mr In February 2016, the FASB issued Accounting Standards Update (ASU) No. 2016-02, ~~Toic~~Leases, ~~was~~(Topic ~~elected~~842), ~~President~~which ofis ~~the~~intended to ~~Company~~improve financial reporting around leasing transactions. The ASU affects all companies and other organizations that engage in lease transactions (both ~~January~~lessee ~~2015~~and lessor) that lease assets such as real estate and manufacturing equipment. ~~Previously,~~ heThis ~~served~~ASU will require organizations that lease assets—referred to as “leases”—to ~~Vice~~recognize ~~President~~on ofthe ~~Municipal~~balance ~~Affairs~~sheet the assets and ~~CVS~~ ~~Development~~liabilities atfor the rights ~~Company~~and ~~since~~obligations ~~2005~~created by those leases. He ~~was~~ASU ~~elected~~No. 2016-02 asis effective afor ~~director~~fiscal years and interim periods within those years beginning January 1, 2019. The Company is in process of assessing the impact of the ~~2015~~adoption of ASU No. 2016-02 on its financial position, results of operations and cash flows.

~~Mr.~~ In ~~Carlson~~August ~~was~~2016, ~~appointed~~the toFASB beissued ~~Secretary~~ASU ofNo. ~~the~~2016-15, ~~Company~~Statement onof ~~June~~Cash ~~15,~~Flows ~~2015. Mr.~~(Topic ~~Carlson~~230): ~~has~~Classification ~~been~~of ~~serving~~Certain asCash ~~General Counsel~~Receipts ~~since~~and ~~2000,~~Cash ~~and~~Payments. ~~has~~The ~~been~~ASU ~~counsel~~provides toguidance ~~the~~on ~~Company~~how ~~since~~certain ~~1981;~~cash hereceipts ~~was~~and cash ~~admitted~~payments are to ~~the~~ ~~practice~~be ~~law~~presented and classified in the ~~State~~statement of ~~Connecticut~~cash flows. inFor ~~1981. Mr.~~public ~~Carlson~~entities, ~~holds~~ASU a2016-15 ~~B.A.~~is effective for fiscal years beginning ~~from~~after ~~Fairfield~~December ~~University~~15, 2017, and ainterim ~~law~~periods ~~degree~~within ~~from~~those ~~Southwestern~~fiscal ~~University~~years. ~~School~~Early adoption is permitted. The Company is currently evaluating the potential impact of ~~Law~~adopting this guidance on its consolidated financial statements.

~~Mr. Connolly has been the Managing Partner of Connolly~~ ~~and Partners, LLC since 2005~~2. He Consolidated ~~has been involved in the management~~Variable ~~development~~Interest ~~and redevelopment of real estate since 1972. He was elected as a director in 2015.~~Entities

2 The Company’s consolidated financial statements include the accounts of Rockland Place Apartments Limited Partnership (“Rockland”), Clarendon Hill Somerville Limited Partnership (“Clarendon”) and Trolley Barn Associates, LLC (“Trolley Barn”). The ~~Directorships:~~Company has consolidated Rockland, Clarendon and Trolley Barn based on the express legal rights and obligations provided to it by the underlying partnership agreements and its control of their business activity.

No Connolly ~~directors~~and ~~hold~~Partners, ~~any~~LLC ~~other~~(75% ~~directorships,~~owned ~~except~~by the Company) ~~directorships~~has a .01% ownership interest in ~~subsidiaries~~and is a general partner of ~~the~~Rockland. Connolly ~~Company~~and Partners, ~~and~~LLC Mralso owns 49% of Clarendon Hill Somerville, LLC which owns .01% ~~Ellis~~of ~~for~~and is the general partner of Clarendon. Trolley Barn is ~~aforementioned~~50% ~~Green~~owned ~~Manor~~by ~~Corporation~~the Company.

49 Rockland owns and operates a rental housing project consisting of 204 units located in Rockland, Massachusetts. Clarendon owns and operates a 501 unit apartment complex in Somerville, Massachusetts. Both projects were renovated and are managed by the Company. Renovation costs were financed with loans from MHFA, subsidies from U.S. Department of Housing and Urban Development (HUD) and limited partner capital contributions.

~~ITEM~~ Each ~~10. DIRECTORS,~~building of the projects qualifies for low-income ~~EXECUTIVE~~housing ~~OFFICERS~~credits ~~AND~~pursuant ~~CORPORATE~~to ~~GOVERNANCE~~Internal Revenue Code Section 42 (~~concluded~~“Section 42”):, which regulates the use of the projects as to occupant eligibility and unit gross rent, among other requirements. Each building of the projects must meet the provisions of these regulations during each of fifteen consecutive years in order to remain qualified to receive the credits. In addition, Rockland and Clarendon have executed an Extended Low-Income Housing Agreement, which requires the utilization of each project pursuant to Section 42 through the compliance period, even if Rockland or Clarendon disposes of the project.

~~(f)~~ Each ~~Involvement~~project’s low-income housing credits are contingent on its ability to maintain compliance with applicable sections of Section 42. Failure to maintain compliance with occupant eligibility, and/or unit gross rent, or to correct noncompliance within a specified time period could result in ~~Certain~~recapture ~~Legal~~of ~~Proceedings:~~previously taken tax credits plus interest. In addition, such potential noncompliance may result in an adjustment to the capital contributed by the investment limited partner.

NoAnnual ~~director~~Report oron ~~executive~~Form ~~officer has been involved in any material legal proceedings required to be disclosed under item 401(f) of Regulation S~~10-K ~~promulgated~~Page by45 ~~the~~First ~~Commission.~~Hartford Corporation

~~(g)~~ ~~Promoter~~FIRST HARTFORD ~~and~~CORPORATION ~~Control Persons:~~AND SUBSIDIARIES

~~Not~~ NOTES ~~applicable.~~TO CONSOLIDATED FINANCIAL STATEMENTS

~~(h)~~ ~~Audit~~FOR ~~Committee Financial~~THE ~~Expert:~~YEARS ENDED APRIL 30, 2017 AND 2016

~~The Company does not have an audit committee and does~~ ~~not have a committee charter because it does not have any independent members on its Board of Directors~~2. ~~Instead,~~ Consolidated ~~its entire Board of Directors attempts to fulfill~~Variable ~~the~~Interest ~~functions~~Entities of an audit committee. From time to time, the Board of Directors will seek guidance from outside independent consultants. Mr. Ellis, Mr. Harding, Mr. Toic, and Mr. Carlson are members of the Company’s management and Mr. Connolly is an employee of the Company. In addition, Mr. Ellis has various business relationships with the Company described under “Certain Relationships and Related Transactions”, in Item 13. Thus, none of the members of the Board of Directors meet the criteria for independence established by the New York Stock Exchange or other self-regulating stock exchanges. The Company does not otherwise meet the eligibility requirements for listing on the NYSE or with such other self-regulating stock exchanges.(concluded):

~~(i)~~ ~~Section~~Rockland 16has ~~(a)~~an ofagreement with the Rockland Housing ~~Exchange~~Authority ~~Act~~whereby the Housing Authority has the option to purchase the property, after the 15-year ~~Beneficial~~tax ~~Ownership~~credit ~~Reporting~~compliant ~~Compliance~~period on January 1, 2024, from Rockland. The option price is based on a specified formula in the agreement.

~~Section 16(a) of the Exchange Act requires the~~ ~~Company’s~~Clarendon ~~directors~~has ~~and~~an ~~executive~~agreement ~~officers, and persons who own more than 10% of a registered class of the Company’s equity securities, to file~~ with the ~~Commission~~ ~~initial~~51% ~~reports~~owner of ~~beneficial ownership on Form 3 and reports of~~ ~~changes~~Clarendon inHill ~~beneficial~~Somerville, ~~ownership~~LLC, ofClarendon ~~the~~Hill ~~Company’s~~Towers ~~equity~~Tenant ~~securities~~Association, ~~on Forms 4~~LLC ~~and 5. The rules promulgated by the Commission under Section 16~~(a“CHTTA”), ofwhereby ~~the Exchange~~CHTTA ~~Act~~has ~~require~~an ~~those~~option ~~persons~~ to ~~furnish~~purchase the ~~Company~~property ~~with~~after ~~copies~~the ~~of all~~15 ~~reports~~year ~~filed~~tax ~~with~~credit ~~the~~compliance ~~Commission~~period ~~pursuant~~from tothe ~~Section 16(a)~~partnership. ~~Based~~The ~~solely~~option ~~upon a~~price ~~review of such forms actually furnished to the Company, and written~~is ~~representations of certain of~~ the ~~Company’s~~greater ~~directors and executive officers that no forms were required to be filed, the Company believes that during fiscal year 2016, all directors, executive officers and 10% shareholders~~ of ~~the Company have not had to file any reports under Section 16(a) of the Exchange Act.~~:

~~(j)~~ a. ~~Code~~Outstanding ofdebt ~~Ethics~~and taxes, or

~~The Company’s Code of Ethics, applicable to the Company’s~~ principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, was included in the second quarter 10-Q filed on December 19, 2005b. ~~The Company will provide~~ ~~any~~Fair ~~person,~~market ~~without~~value ~~charge, a copy~~ of ~~any portion of~~ the ~~Code of Ethics upon request directed to the Treasurer of the Company.~~property

50 The assets at April 30, 2017 and 2016 of the consolidated VIEs (Rockland and Clarendon) that can be used only to settle their obligations and the liabilities for which creditors (or beneficial interest holders) do not have recourse to the general credit of the Company are shown parenthetically in the line items of the consolidated balance sheets.

~~ITEM~~ A ~~11. EXECUTIVE~~summary ~~COMPENSATION~~of the assets and liabilities of Rockland and Clarendon included in the Company’s consolidated balance sheets as follows:

(a) Summary Compensation Table

	April 30,
	2017	2016

Real estate and equipment, net	$66,732,664	$65,735,521
Other assets	13,417,929	8,195,007
Total assets	80,150,593	73,930,528

Intercompany profit elimination	(2,719,143)	(2,863,451)
Consolidated	$77,431,450	$71,067,077

Mortgages and other notes payable	$64,728,200	$57,132,998
Other liabilities	4,179,842	4,471,413
Total liabilities	$68,908,042	$61,604,411

Name& Principal Position	Year	Salary	Bonus	Stock Awards	Option Awards	Non-Equity Incentive Plan Compensation	Non-qualified Deferred Compensation Earnings	All Other Compensation	Total
Neil H. Ellis, Chairman, (President prior to January 26, 2015)	2016	$400,000	$-0-	$-0-	$-0-	$-0-	$-0-	$-0-	$400,000
	2015	$400,875	$-0-	$-0-	$-0-	$-0-	$-0-	$-0-	$400,875
Stuart I. Greenwald1 FORMER: Director, Treasurer and Secretary (through June 10, 2015)	2016	$118,461	$-0-	$-0-	$-0-	$-0-	$-0-	Simple IRA / 401(k) $1,218	$119,679
	2015	$176,000	$-0-	$-0-	$-0-	$-0-	$65,000	$5,280	$246,280
Eric Harrington, Treasurer (effective June 15, 2015)	2016	$134,616	$-0-	$-0-	$-0-	$-0-	$-0-	Simple IRA / 401(k) $4,457	$139,073
	2015	$32,308	$-0-	$-0-	$-0-	$-0-	$-0-	$485	$32,793
David B. Harding, Vice President	2016	$150,010	$-0-	$-0-	$-0-	$-0-	$-0-	Simple IRA / 401(k) $5,681	$155,691
	2015	$201,960	$-0-	$-0-	$-0-	$-0-	$65,000	$6,059	$273,019
John Toic, President (effective January 26, 2015)	2016	$201,455	$299,166	$-0-	$-0-	$-0-	$-0-	Simple IRA / 401(k) $11,090	$511,711
	2015	$105,019	$242,500	$-0-	$-0-	$-0-	$65,000	$3,150	$415,669
Jeff Carlson, General Counsel & Secretary (effective June 15, 2015)	2016	$175,000	$25,000	$-0-	$-0-	$-0-	$-0-	Simple IRA / 401(k) $7,682	$207,682
	2015	$157,218	$-0-	$-0-	$-0-	$-0-	$65,000	$4,717	$226,935
William Connolly, Managing Director of Connolly and Partners, LLC	2016	$149,988	$72,243	$-0-	$-0-	$-0-	$-0-	Simple IRA / 401(k) $4,979	$227,210
	2015	$149,988	$-0-	$-0-	$-0-	$-0-	$-0-	$4,500	$154,488

Substantially all assets of Rockland and Clarendon are pledged as collateral for its debt. The recourse of the holders of the mortgages and other notes payable is limited to the assets of Rockland and Clarendon. Combined revenues for Rockland and Clarendon were $12,171,608 for the year ended April 30, 2017 and $12,117,191 for the year ended April 30, 2016. The combined net loss for Rockland and Clarendon was $843,327 for the year ended April 30, 2017 and $390,055 for the year ended April 30, 2016. Since the Company’s ownership interest in both entities is nominal, substantially all of such losses are allocated to the noncontrolling interests in the consolidated financial statements.

51 Trolley Barn’s only asset is approximately seven acres of land in Cranston, RI with a carrying value of $391,905.

~~ITEM~~Annual ~~11. EXECUTIVE COMPENSATION~~Report ~~(continued):~~on Form 10-K Page 46 First Hartford Corporation

~~Footnote 1: Salary~~ ~~includes compensation totaling $98,154 paid to the estate of Stuart I.~~FIRST ~~Greenwald~~HARTFORD ~~from~~CORPORATION ~~June~~AND 11, 2015 through December 31, 2015 as a post-employment Board-approved death benefit for Mr. Greenwald’s loyalty and long-term service to the Company and $20,307 paid as salary directly to Mr. Greenwald up until his passing on June 10, 2015.SUBSIDIARIES

~~Directors~~ NOTES ~~Compensation~~TO CONSOLIDATED FINANCIAL STATEMENTS

~~Directors have not received any compensation for~~ ~~serving~~FOR ~~on the Board since each of the directors is either an officer or~~THE ~~employee~~YEARS ofENDED ~~the~~APRIL ~~Company and~~30, ~~therefore,~~2017 ~~not~~AND ~~independent.~~2016

~~(b) Stock~~ 3. Construction ~~Options~~Loans, Mortgages, Notes Payable, and Lines of Credit:

~~The~~ ~~Company~~Information ~~does~~about ~~not~~the ~~have~~Company’s adebt ~~stock option plan. All options were unexercised on February 11, 2014 and expired unused.~~follows:

	2017	2016

Construction loans and mortgages payable with interest rates ranging from zero to 7.25% at April 30, 2017 and 2016 and maturities at various dates through 2056.	$222,692,946	$217,151,132

Notes payable with interest rates ranging from zero to 4.40% at April 30, 2017 and 2016 and maturities ranging from 2030 to 2050.	1,704,697	1,744,697

Lines of credit with interest rates ranging from 3.98% to 4.25% at April 30, 2017 and maturities ranging from 2018 to 2020.	6,400,000	2,652,091

	230,797,643	221,547,920

Less deferred debt issuance costs	(3,067,098)	(1,837,083)

	$227,730,545	$219,710,837

~~The Company does not have a compensation committee and~~ ~~does~~As ~~not have a committee charter because it does not have independent members on its board~~ of ~~directors. Instead~~April ~~its entire Board of Directors attempts to fulfill the functions of a compensation committee. From time to time~~30, ~~the Board~~2017 ofand ~~Directors may seek guidance from outside independent consultants. Mr. Ellis~~2016, ~~Mr. Harding~~$162,217 ~~Mr. Toic,~~ and ~~Mr. Carlson are members of the Company’s~~$420,906 ~~management and Mr. Connolly is an employee~~ of ~~the~~interest ~~Company. In~~was ~~addition, Mr~~capitalized. ~~Ellis has various business relationships with the Company described under “Certain Relationships and Related Transactions”, in Item 13.~~

~~(d) Benefits~~ Aggregate ~~and~~principal ~~Perquisites~~payments due on the above debt for each of the years succeeding April 30, 2017 are as follows:

Medical

Year Ending April 30,

2018	$32,602,471
2019	8,885,776
2020	7,116,034
2021	5,862,559
2022	6,628,223
Thereafter	169,702,580
	$230,797,643

~~All~~ ~~employees,~~Substantially ~~including~~all ~~executive~~real ~~officers,~~estate ~~working~~owned ~~over~~is 30pledged ~~hours a week are~~as ~~entitled~~collateral tofor ~~Company-paid~~construction ~~medical insurance of which the employee pays, family $73 a week, employee~~ and ~~spouse~~mortgage ~~$58 a week, and employee alone $27 a week~~loans.

~~Mr. Ellis has opted out of the Company plan and is~~ ~~covered by Medicare.~~Refinancings:

~~Disability~~ Rockland Place Apartments LP – Refinance: On June 3, 2016, Rockland Place Apartments LP executed a First Mortgage Note payable with the Massachusetts Housing Finance Agency in the amount of $14,300,000. The note is nonrecourse, has a 40-year term and requires monthly payments of principal and interest of $54,628. The interest rate is fixed at 3.41%. The proceeds of the note were used to repay its bridge mortgage note with a principal balance of $591,174, its Fourth Mortgage Note with a principal balance of $500,000, and it’s Flexible Subsidy Capital Improvement Loan with a principal balance of $4,268,539. The proceeds also funded closing costs and certain escrows that are being used to redevelop the complex.

~~Short-Term:~~Annual ~~Non-management~~Report ~~employees receive the first week week’s pay at 100% of their salary or rate of pay when out~~ on ~~short~~Form ~~term disability. The following weeks (based on years of service~~ 10-K ~~one~~Page ~~week~~47 ~~per~~First ~~year of~~Hartford service) are paid at 70% of salary or rate of pay. The following weeks, if necessary, are paid at 60% of salary or rate of pay. The maximum benefit will not exceed $6,000 a month and ends at the 180th day of disability, at which time the long-term disability takes effect.Corporation

~~Management employees, as defined by the Company and including~~ ~~executive~~FIRST HARTFORD ~~officers,~~CORPORATION ~~receive~~AND ~~100% of their pay for the first 180 days of disability.~~SUBSIDIARIES

52 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

~~ITEM~~ FOR ~~11. EXECUTIVE~~THE ~~COMPENSATION~~YEARS ~~(concluded):~~ENDED APRIL 30, 2017 AND 2016

~~Long-Term:~~ ~~After~~3. Construction ~~180 days of disability~~Loans, ~~employees receive 60% of their regular straight-time salary for absences due to long-term illness or injury until they reach eligibility for Social Security or death. Management employees~~Mortgages, ~~as defined~~Notes ~~by the Company and including executive officers~~Payable, ~~will have the difference between the long-term disability benefits~~ and ~~normal~~Lines ~~full salary paid for by the Company as determined by the Board~~ of ~~Directors.~~Credit (continued):

Edinburg, TX - Refinance: On September 7, 2016, the Company partially refinanced its loans on its shopping center property in Edinburg, TX. The new loan with Goldman Sachs is for $32,500,000 and is secured by the shopping center. Proceeds from this new loan were used to pay off $31,030,767 of existing debt with Protective Life ~~Insurance~~and to establish a $1,100,000 Earnout Reserve Account (ERA), with the balance used to fund escrows and pay closing costs. The remainder of the existing debt of $15,926,740 is secured by vacant land of approximately 50 acres attached to the shopping center. The $1,100,000 ERA will be returned to the Company if, within two years, it can provide evidence that two significant named tenants have renewed their lease options for an additional five years (or the Company has entered into Approved Substitute Lease(s) for same) and the Earnout Debt Yield (EDY), as defined, is equal to or greater than 8.30%. If the Company fails to do so, a minimum of $1,000,000 of the ERA will be used to reduce the principal balance of the loan and up to $100,000 will be used to pay the applicable yield maintenance premium. The loan has a 30 year amortization and duration of 10 years (i.e., maturity date of September 6, 2026) with an interest rate of 4.604%. For the first year, interest only is paid monthly; beginning in October 2017, principal and interest are paid monthly. Prepayment of the loan is generally prohibited. The Company receives income directly to its operating account unless a “trigger event” occurs in which case the cash goes into a lockbox account controlled by the lender. Basic “trigger events” include:

~~Each~~ Failure ~~employee~~to ofmaintain ~~First~~a ~~Hartford,~~12 ~~including~~month-rolling ~~each~~Debt-Service ~~executive~~Coverage ~~officer~~Ratio (DSCR), isas ~~eligible~~defined, toof 1.1:1.0, Failure ~~receive~~to ~~life~~maintain ~~insurance~~a ~~until~~market-based ~~such~~Net ~~employee~~Worth, ~~reaches~~as ~~the~~defined, ~~age~~ of ~~70 that~~$20,000,000, Failure ~~in the event of~~to ~~such~~maintain ~~employee’s~~Liquid ~~death~~Assets, ~~will~~as ~~provide~~defined, ~~proceeds~~ of ~~two~~$2,000,000, Loan ~~times~~default, Various ~~the~~Rollover Trigger ~~annual~~Events, ~~salary~~which ~~of each~~include ~~employee. At~~certain ~~the~~significant ~~age~~named oftenants 70vacating, terminating ~~the~~or ~~amount~~not ofrenewing ~~life~~their ~~insurance~~leases, ~~proceeds~~or ~~each employee~~filing isfor ~~entitled~~bankruptcy toand ~~receive~~not replaced ~~upon~~with ~~his~~an ~~death~~Approved isSubstitute ~~equal~~Lease, toas ~~one times such employee’s annual salary~~defined.

~~(e) Automobiles~~ In addition, if a significant named tenant goes dark, vacates, or is not in occupancy of substantially all of its current space, the Company would have to deposit either a $2,000,000 reserve or letter of credit with the lender until such time as agreed upon lease conditions being met.

~~To assist~~ ~~management~~With respect to the remaining balance of $15,926,740 from the ~~Company~~original inloans ~~carrying~~with ~~out~~Protective ~~its~~Life ~~responsibilities~~now ~~and~~secured toby ~~improve~~vacant land of ~~job~~approximately ~~performance,~~50 ~~the~~acres ~~Company~~directly ~~provides~~adjacent ~~its~~to ~~executive~~the ~~officers~~shopping ~~with~~center, ~~automobiles. The~~the Company and ~~cannot~~the ~~specifically~~lender oragreed ~~precisely~~that ~~ascertain~~once the ~~amount~~Company ofrepays ~~personal benefit~~$2,000,000 ifof ~~any~~the balance, the ~~derived~~interest byrate ~~those~~on ~~officers~~the remaining balance will be reduced from ~~such~~5.0% ~~automobiles~~to 4.0%. ~~However,~~This ~~after~~repayment ~~reasonable~~was ~~inquiry~~made on April 28, ~~the~~2017. The ~~Company~~lender has ~~concluded~~also agreed that if the ~~amount~~Company ofpays ~~any~~off ~~such benefit~~the isentire ~~immaterial~~loan ~~and~~by ~~does~~September ~~not~~6, in2017, its ~~any~~50% ~~event~~Additional ~~exceed~~Interest ~~$10,000~~Agreement to(AIA) ~~any~~rights ~~officer~~will terminate. This Noremaining ~~provision~~loan ~~had~~is ~~therefore~~personally ~~been~~guaranteed ~~made~~by ~~for~~the ~~any~~Chairman ~~such benefit. All~~ of the ~~above mentioned officers are provided automobiles~~Company.

~~(f) Deferred~~ New ~~Compensation~~Orleans, ~~Plan~~LA – Refinance: On November 18, 2016, the Company refinanced one of its construction loans on its shopping center property in New Orleans, LA. The construction loan, which had a principal balance of $7,301,803, was replaced by a mortgage loan of $7,436,745. The new mortgage loan has an interest rate of One Month ICE LIBOR, as defined, plus 2.50% and an initial maturity date of November 18, 2017 with an option to extend the maturity to November 18, 2018 at an interest rate of 5.0% if it meets certain requirements. The loan is interest-only until November 18, 2017; if the loan is extended an additional year, principal payments will be made using a 25-year amortization.

~~On December~~Annual 1,Report 2014, the Company adopted a Deferred Bonus Plan that awarded six employees an annual payment of $21,667 each for three years. Included in these six employees are Mr. Greenwald, Mr. Harding, Mr. Toic, and Mr. Carlson. All of the six employees satisfied the vesting requirement and received the first payment on ~~August~~Form ~~15,~~10-K ~~2015. The~~Page ~~total~~48 ~~expense~~First ~~recorded~~Hartford ~~for this bonus was $390,000, of which $260,000 related to the four named executives.~~Corporation

~~On March~~ ~~6, 2014, the Company adopted a Deferred Bonus Plan for Mr. Harding agreeing to~~ FIRST ~~pay~~HARTFORD ~~him~~CORPORATION 7%AND of the amount of any remaining Operating Reserve held at Clarendon, as defined, payable to the Company upon approved distribution of the Operating Reserve upon termination of the Partnership Agreement. There has been no expense recognized as of April 30, 2016 as the event needed to trigger this payment has not yet occurred.SUBSIDIARIES

~~(g) Bonuses~~ NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

~~Prior to~~ ~~December~~FOR ~~31, 2015, Mr. Toic’s base salary was $105,019. In addition, Mr. Toic~~THE ~~had~~YEARS anENDED ~~agreement~~APRIL ~~to receive a $7~~30,~~500~~ ~~bonus~~2017 onAND ~~each CVS / Cumberland Farms fee for service closing, with a minimum of $175,000 for any calendar year. During fiscal years~~ 2016 and 2015, Mr. Toic received bonuses of $174,167 and $217,500, respectively, under this agreement. In addition, in fiscal years 2016 and 2015, Mr. Toic received bonuses totaling $125,000 and $25,000, respectively, for his work on the sale of several properties. Beginning on January 1, 2016, Mr. Toic will no longer receive bonuses prospectively (he may still be paid for certain identified property sales that have not yet occurred as of that date) and his base salary has been increased to $400,000.

~~In fiscal~~ ~~year~~3. Construction ~~2016~~Loans, Mortgages, ~~Mr.~~Notes ~~Carlson received a $25~~Payable,~~000~~ ~~bonus~~and ~~for~~Lines ~~his work on the sale~~ of ~~several~~ ~~properties.~~Credit (concluded):

Mr Lubbock, TX – Refinance: On November 21, 2016, the Company refinanced its mortgage loan on its shopping center in Lubbock, TX. The new mortgage loan has ~~Connolly~~a ~~receives~~principal ~~commissions~~balance ~~equal~~of $13,750,000, which was used to 8%pay off the previous mortgage loan balance of ~~gross~~$10,837,300, ~~management~~pay ~~fees~~a ~~paid~~defeasance bypremium ~~the~~of $432,776, pay ~~three~~closing ~~residential~~costs, ~~properties~~and fund escrows. InThe ~~fiscal~~new ~~years~~mortgage ~~2016~~loan ~~and~~has ~~2015,~~an heinterest ~~received~~rate of 4.974%, monthly payments of $7276,~~243~~540 based on a 27.5-year amortization, and $0a ten year term expiring on December 6, ~~respectively~~2026. Prepayment is not permitted until six months before the maturity date.

53 Construction Loans:

~~ITEM~~ Austin, 12TX – Financing: On February 28, 2017, the Company modified an existing line of credit loan to $4,000,000 of which up to $1,600,000 is available to finance construction of a building on a parcel of land it owns in Austin, TX. ~~SECURITY~~ This ~~OWNERSHIP~~loan OFhas ~~CERTAIN~~an interest rate of 1.50% plus the Prime Rate, as ~~BENEFICIAL~~defined, ~~OWNERS~~with ~~AND~~a ~~MANAGEMENT~~Floor Rate of 5.00% and has a maturity date of December 27, ~~AND~~2017 ~~RELATED~~with ~~STOCKHOLDER~~an ~~MATTERS~~option to extend for six months if certain criteria are met.

( Edinburg, TX – Financing: On April 28, 2017, the Company obtained a) $2,750,000 ~~Security~~construction ~~Ownership~~loan to finance construction of ~~Certain~~a ~~Beneficial~~restaurant at its Edinburg, TX ~~Owners:~~property. The Company had an equity requirement of $2,716,000, of which $2,000,000 was used to repay Protective Life against their remaining loan to release the lot the restaurant is being constructed on. The initial construction draw was for $1,092,857 with another $1,657,143 available to draw as construction is completed. The interest rate on the loan is the Prime Rate per Wall Street Journal plus 1.00% with a floor of 4.75% and a ceiling of 7.00%. The monthly loan payments are interest only for the first six months then convert to monthly principal and interest payments calculated using a 20 year amortization period with a final balloon payment due on April 25, 2024.

~~The~~ ~~following~~Lines ~~table sets forth information as~~ of fifteen days prior to the date hereof, based upon beneficial owner reported filings with the SEC, with respect to all persons known to the Company to be beneficial owners of more than 5% of the Company’s outstanding shares of common stockCredit:

Title of Class	Name & Address of Beneficial Owner of Identity of Group	Amount and Nature of Beneficial Ownerships	Percent Of Class
Common Stock	Neil H. Ellis	1,355,326 (1)	56.4%
	43 Butternut Road
	Manchester, CT 06040
Common Stock	John Filippelli	320,258 (2)	13.3%
	23 Lakeview Drive
	Pawling, NY 12564
Common Stock	Joel Lehrer	200,000	8.3%
	231 Atlantic Street, Unit 58
	Keyport, NJ 07735

On July 30, 2015, the Company obtained a credit line with a regional bank. This $2,760,000 line of credit is used from time to time primarily to fund initial investments related to development opportunities. The interest rate on these loans is 3.00% plus One Month ICE LIBOR rate up to maturity date (i.e., twelve months from issuance of proceeds) and 12.0% thereafter. As of April 30, 2017, the Company had borrowings of $2,650,000 against this credit line.

	(1)	Includes 417,183 shares owned by a corporation, which is wholly owned by Mr. & Mrs. Ellis; 18,593 shares owned beneficially and of record by Mr. Ellis’ wife; 53,412 shares held as Trustee for his daughters in which he disclaims beneficial ownership. Excludes 14,250 shares held as trustee for the Jonathan G. Ellis Leukemia Foundation (a charitable foundation).
	(2)	Included in Mr. Filippelli’s shares are 128,573 shares over which he has Shared Dispositive Power with Mr. Filippelli’s wife and 3,652 shares owned by Mr. Filippelli’s wife.

On December 7, 2015, the Company entered into a $2,000,000 revolving demand loan agreement (“line of credit”) with a regional bank. The interest rate on this loan is Wall Street Journal Prime, with a floor of 3.25%. The loan is unsecured and there are no guarantors. Interest is to be paid monthly; principal is to be repaid within twelve months or on demand, at the bank’s discretion. There are no prepayment penalties. This line of credit is used from time to time primarily to fund initial investments related to development opportunities. As of April 30, 2017, the Company had borrowings of $2,000,000 against this credit line.

~~(b)~~ ~~Security~~On ~~Ownership~~April 19, 2017, the Company entered into a $2,000,000 unsecured line of ~~Directors~~credit with a regional bank. Terms of the line of ~~and~~credit ~~Executive~~are ~~Officers~~as follows:

The following sets forth information as of the date hereof with respect to all shares beneficially owned by all directors and executive officers of the Company as a group:

Term:	3 years
Rate:	LIBOR + 3.25%
Fee:	0.50% (One Time)
Unused Fee:	0.25% annually on the unused line
Guarantee:	Full guarantee by the Chairman of the Company (Individual)
Deposits:	Must maintain a minimum of $500,000 at bank
Other:	Each funding request to be at the sole discretion of the bank and only to acquire credit tenanted properties.
Clean Up:	Borrower to be out of debt once each year for at least 30 days.

Title of Class	Name & Address of Beneficial Owner of Identity of Group	Amount and Nature of Beneficial Ownerships	Percent Of Class
Common	Neil H. Ellis	1,355,326	56.4%
	43 Butternut Road
	Manchester, CT 06040
Common	All Directors and Officers	1,355,426	56.4%
	As a Group (6 in number)

As of April 30, 2017, the Company had borrowings of $1,750,000 against this credit line.

54Annual Report on Form 10-K Page 49 First Hartford Corporation

~~ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL~~ ~~OWNERS~~FIRST HARTFORD ~~AND~~CORPORATION ~~MANAGEMENT~~ AND ~~RELATED STOCKHOLDER MATTERS (concluded):~~SUBSIDIARIES

~~(c)~~ ~~Changes~~NOTES inTO CONSOLIDATED ~~Control~~FINANCIAL STATEMENTS

~~The~~ ~~Company~~FOR isTHE YEARS ~~aware~~ENDED ofAPRIL ~~no arrangements~~30, ~~which~~2017 ~~may~~AND ~~result at a subsequent date in change in control of the Company.~~2016

~~(d)~~ ~~Equity~~4. Pledge ~~Compensation~~of ~~Plan~~Stock in ~~Information~~Subsidiaries:

~~None~~ For an extended period of time the Company was unable to obtain financing (secured or unsecured) without the personal guarantees of the Chairman of the Company. To some degree, the Company has recently been able to obtain financing without a guarantee, but generally guarantees continue to be a necessary component to some construction loans. In the past, the Company has provided pledges of the stock of its subsidiaries to the Chairman of the Company as protection from personal losses due to his guarantees. These pledges are expected to stay in place until the guarantees are eliminated.

~~ITEM~~ The ~~13. CERTAIN~~Chairman ~~RELATIONSHIPS~~of ~~AND~~the ~~RELATED~~Company has guaranteed the ~~TRANSACTIONS~~following ~~AND~~outstanding ~~DIRECTOR~~amounts ~~INDEPENDENCE~~at April 30, 2017:

(a) Parkade Center Inc. (a wholly owned subsidiary of First Hartford Corporation) has a 1.99% Interest in Hartford Lubbock Parkade LP, a partnership, which owns a shopping center in Lubbock, TX. Lubbock Parkade Inc., a wholly owned subsidiary of Journal Publishing Inc. owns 98.01% of the Partnership. Journal Publishing Inc. is owned by Neil H. Ellis, the Chairman of First Hartford Corporation, and his wife Elizabeth, through their ownership of Green Manor Inc. which owns Journal Publishing Inc. First Hartford Realty Corporation manages the Property and receives a 4% management fee, which is the industry norm for a shopping center.

Mortgage loan – Edinburg, TX	$13,926,740
Mortgage loan – Manchester, CT (Company HQ)	$206,356
Land loan – Buda, TX	$1,505,000
Land loan – Austin, TX	$2,500,000
Land loan – Cedar Park, TX	$1,365,000
Line of credit – Regional bank	$1,750,000

~~For~~ In the ~~years~~event ~~ended~~that ~~April~~the ~~30,~~Chairman ~~2016~~is ~~and~~called ~~2015,~~upon ~~Parkade~~to pay ~~Center~~on ~~Inc.~~any ~~and~~of ~~First~~the ~~Hartford~~above ~~Realty~~guarantees, ~~Corporation~~the ~~were~~Company ~~paid~~would ~~the~~become ~~following:~~liable to him.

	2016	2015
Management Fee (at 4%)	$63,990	$66,473

5. Related Party Transactions:

~~For~~Included ~~the~~in ~~years~~amounts ~~ended~~due from related parties and affiliates is $-0- and $157,288 at April 30, ~~2016~~2017 and ~~2015,~~2016 ~~Parkade~~relating to funds ~~Center~~borrowed ~~Inc.~~from ~~received~~Hartford ~~distributions~~Lubbock ofLimited $7Partnership by Green Manor Corporation,~~264~~ which owns Journal Publishing and ~~$5,057,~~owns ~~respectively~~98.01% ~~For~~of ~~the~~Hartford Lubbock Limited ~~years~~Partnership. ~~ended~~These ~~April~~funds ~~30,~~were ~~2016~~borrowed ~~and~~some ~~2015,~~years ~~Lubbock~~ago ~~Parkade~~(prior ~~Inc.~~to ~~received~~consolidation). ~~distributions~~The Chairman of ~~$312,000~~the Company and ~~$343,048,~~his ~~respectively,~~wife ~~from~~are ~~Hartford~~the ~~Lubbock~~owners LPof Green Manor Corporation.

~~(b)~~ ~~Certain~~Included ~~Business~~in ~~Relationships:~~amounts due from related parties and affiliates is $150,000 and $-0- at April 30, 2017 and 2016 relating to funds provided to a member of Cranston Brewery, LLC by Cranston/BVT Associates, LP, a 50% owned subsidiary of the Company. Cranston Brewery LLC owns the other 50% of Cranston/BVT Associates, LP.

~~Refer~~ Included in amounts due to related parties and affiliates is $518,813 and $502,091 payable to Cranston Brewery LLC at April 30, 2017 and 2016, respectively. Cranston Brewery LLC is an affiliate but not owned by the Company. The amount due represents its funding of operations of Trolley Barn Associates (a50%). ~~above~~The Company’s advances to Trolley Barn Associates were eliminated in consolidation.

~~(c)~~ ~~Indebtedness~~Included in amounts due to related parties and affiliates is $80,000 and $80,000 payable to New Folly Brook Commons, LLC at April 30, 2017 and 2016, respectively. New Folly Brook Commons, LLC is owned by the Chairman of ~~Management:~~the Company. The amount due represents the remaining balance for condominiums sold by New Folly Brook Commons, LLC to a subsidiary of the Company.

~~There~~ Included in amounts due to related parties and affiliates is ~~none~~$-0- and $20,000 payable to the Chairman of the Company at April 30, 2017 and 2016, respectively. The amount due represents a short-term loan to Hartford Lubbock Limited Partnership.

~~(d) Transactions~~Annual ~~with~~Report ~~Promoters:~~on Form 10-K Page 50 First Hartford Corporation

~~There~~ FIRST HARTFORD isCORPORATION ~~none.~~AND SUBSIDIARIES

~~(e)~~ ~~Director~~NOTES ~~Independence:~~TO CONSOLIDATED FINANCIAL STATEMENTS

~~All of the Directors of the Company are executives~~ ~~and/or~~FOR ~~employees of the Company and by definition are not independent. The~~THE ~~Company~~YEARS ~~does~~ENDED ~~not~~APRIL ~~have any directors that meet the independence standards for audit~~30, ~~nominating~~2017 orAND ~~compensation committee.~~2016

~~The Company’s securities are listed on The OTC Markets~~ ~~(the~~6. Employee ~~electronic quotation system that trades the Company’s securities) and such~~Retirement ~~exchanges and systems do not require that a majority of the Board of Directors be independent.~~Plan:

55 The Company had a SIMPLE IRA through December 31, 2015. This plan was replaced by a 401(k) Plan on January 1, 2016. Under this plan, all employees over 18 years of age, working at least 30 hours weekly are eligible to participate. Participants are eligible to defer earnings to the extent of IRS regulations. The Company matches up to 4% of each participating employee’s annual salary (was 3% under the SIMPLE IRA). Pension expense was $174,417 and $132,643 for the years ended April 30, 2017 and 2016, respectively.

~~ITEM 14. PRINCIPAL~~ ~~ACCOUNTANT~~7. Income ~~FEES AND SERVICES~~Taxes:

~~On December 5, 2013, the Company engaged Mahoney Sabol~~ &The ~~Company,~~provision ~~LLP~~(benefit) tofor ~~audit~~income ~~2013~~taxes ~~and~~consists ~~2012. This agreement has been renewed for 2014-2016.~~of:

The 2016 and 2015 amounts in the table below represent expenses for Mahoney Sabol & Company, LLP.

	2017	2016

Current Federal income taxes	$49,999	$80,000
Current State income taxes	350,313	180,915
Deferred Federal income taxes	1,265,977	551,708
Deferred State income taxes	193,652	119,524
	$1,859,941	$932,147

The components of the net deferred income tax asset follow:

Tax effect of net operating loss carry-forwards	$449,642	$1,426,572
Basis in fixed assets	250,042	368,442
AMT credits	311,917	261,054
Rent receivable	(381,301)	-0-
Other	40,847	74,708
Subtotal	671,147	2,130,776
Less: Valuation allowance	-0-	-0-
	$671,147	$2,130,776

	2016	2015
Audit Fees (1)	$115,500	$115,500
Audit Related Fees	-0-	-0-
Tax Fees	-0-	-0-
All Other Fees (2)	-0-	-0-

A reconciliation of the provision (benefit) for income taxes with amounts determined by applying the statutory U.S. Federal income tax rate before income taxes is as follows:

(1) Includes fees for the audit of the Company’s annual financial statements included in its Annual Report on Form 10-K, and Form 10-Q’s filed Quarterly.

	2017	2016

Federal statutory rate (34%)	$2,155,367	$875,682
State tax – net of Federal effect	350,313	180,915
Losses (income) attributable to noncontrolling interests in pass-through entities	(506,988)	42,343
Other	(138,751)	(166,793)
Provision (benefit) for income taxes	$1,859,941	$932,147

~~(2) Includes~~Annual ~~fees~~Report ~~for~~on ~~research.~~Form 10-K Page 51 First Hartford Corporation

~~Due to the fact that the Company does not have a~~ ~~formal~~ FIRST HARTFORD ~~audit~~CORPORATION ~~committee,~~AND ~~the Board of Directors has:~~SUBSIDIARIES

~~(a) Reviewed~~ NOTES ~~and discussed the~~TO ~~Company’s~~CONSOLIDATED ~~audited~~FINANCIAL ~~financial~~STATEMENTS ~~statements with the independent auditors;~~

~~(b) Discussed~~ FOR ~~with the independent~~THE ~~auditors~~YEARS ~~the~~ENDED ~~matters~~APRIL ~~required~~30, to2017 beAND ~~discussed by professional standards;~~2016

~~(c) Reviewed and discussed the~~ ~~independence of the auditors and received a written disclosure from the audit firm confirming its independence~~8. Leases:

~~Based~~ The onCompany ~~the~~leases ~~review~~commercial and ~~discussions~~residential ~~described above,~~real ~~the~~estate ~~Board~~to oftenants ~~Directors~~under ~~approved~~various ~~the~~operating ~~inclusion~~leases ofexpiring ~~the~~through ~~Company’s audited financial statements in its Annual Report on Form 10-K for the fiscal year ended April 30, 2016~~2042.

~~Neil~~ Minimum H.future ~~Ellis~~rentals to be received on non-cancellable commercial real estate leases as of April 30, 2017 are as follows:

David B. Harding

Year Ending April 30,

2018	$13,271,438
2019	12,174,840
2020	9,457,993
2021	8,478,983
2022	6,909,247
Thereafter	27,858,654
Total	$78,151,155

~~William~~ 9. Investments ~~Connolly~~in Affiliates:

~~John~~ Summarized financial ~~Toic~~and other information for the Company’s investment in Dover Parkade LLC (Dover) follows:

~~Jeff~~Dover ~~Carlson~~– New Jersey:

56As of and for the years ended April 30,

~~PART~~Company IVownership – 50%

ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES

	2017	2016

Assets	$11,811,029	$12,365,300
Liabilities	19,068,557	19,553,732
Members’ deficit	(7,257,528)	(7,188,432)
Revenue	2,700,169	2,708,632
Operating expenses	1,224,837	1,255,426
Non-operating expense, net	(824,428)	(839,504)
Net income (loss)	650,904	613,702

			Pages
(a)	(1)	The following items are included in Part II, Item 8:
		Report of Independent Registered Public Accounting Firm -	21
		Financial Statements:
		Consolidated Balance Sheets – April 30, 2016 and 2015	22 - 23
		Consolidated Statements of Income for the Years
		Ended April 30, 2016 and 2015	24
		Consolidated Statements of Comprehensive Income for the Years
		Ended April, 30, 2016 and 2015	25
		Consolidated Statements of Changes in Shareholders’ Deficiency
		for the Years Ended April 30, 2016 and 2015	26
		Consolidated Statements of Cash Flows for the Years
		Ended April 30, 2016 and 2015	27 - 28
		Notes to Consolidated Financial Statements	29 - 47
	(2)	Financial statement schedules
		All financial statement schedules are omitted because they are not required.
(b)	Exhibits
	(3)	Articles of Incorporation and by-laws.
		Exhibits (3) to Form-K for the Fiscal Year ended April 30, 1984, Pages 1-18 of
		Exhibits Binders, incorporated by reference to Securities File Number 0-8862.
57

Dover’s major tenant is Stop & Shop, which provided 56% and 53% of the total revenue in the years ended April 30, 2017 and 2016, respectively, under a lease that expires on June 30, 2026.

~~ITEM 15~~ 10. ~~EXHIBITS,~~ Concentrations ~~FINANCIAL~~of ~~STATEMENT SCHEDULES~~Credit ~~(continued)~~Risk:

(b)	Exhibits (continued):
	(12)	Subsidiaries of the Registrant.
		Name of Subsidiary	State in which Incorporated
		First Hartford Realty Corporation	Delaware
		Lead Tech, Inc.	Connecticut
		Parkade Center, Inc.	Texas
		Plainfield Parkade, Inc.	Connecticut
		EH&N Construction Company	Delaware
		Dover Parkade, LLC	Delaware
		DE 150 Corp.	Delaware
		Brewery Parkade, Inc.	Rhode Island
		Cranston Parkade, LLC	Rhode Island
		Tri-City Plaza, Inc.	Delaware
		1150 Union Street Corp.	Massachusetts
		CP Associates, LLC	Rhode Island
		Trolley Barn Associates, LLC	Rhode Island
		Main Street NA Parkade, LLC	Connecticut
		Connolly & Partners, LLC	Massachusetts
		Cranston/BVT Associates Limited Partnership	Rhode Island
		CP/BVT Inc.	Rhode Island
		FHRC Management Corp.	Delaware
		The Shoppes at Rio Grande Valley, LP	Texas
		Edinburg SRGV, LLC	Delaware
		Rockland Place Apartments, LLC	Massachusetts
		Rockland Place Developers, LLC	Massachusetts
		Rockland Place Apartments, LP	Massachusetts
		EH&NU Inc.	Massachusetts
		First BTS, LLC	Texas
		First BTS Claiborne, LLC	Louisiana
		First GL Conroe, LLC	Texas
		First BTS Avondale, LLC	Louisiana
		First BTS Austin, LLC	Texas
		First GL Buda, LLC	Texas

The Company’s financial instruments that are subject to concentrations of credit risk consist of cash and cash equivalents, marketable securities, and accounts, notes and other receivables.

58The Company places its cash deposits, including investments in certificates of deposit, with various financial institutions. Bank deposits may be in excess of current Federal depository insurance limits. The Company manages exposure to counterparty credit risk through specific minimum credit standards, diversification of counterparties and procedures to monitor its credit risk concentrations.

~~ITEM~~Annual ~~15. EXHIBITS,~~Report ~~FINANCIAL~~on ~~STATEMENT SCHEDULES~~Form ~~(continued):~~10-K Page 52 First Hartford Corporation

(b)	Exhibits (continued):
	(12)	Subsidiaries of the Registrant (Continued):
		Name of Subsidiary	State in which Incorporated
		First BTS Stanhope, LLC	New Jersey
		First BTS N Carrollton LLC	Louisiana
		First BTS Mid-City, LLC	Louisiana
		First BTS Vernon, LLC	New Jersey
		First BTS Conroe, LLC	Texas
		First BTS MLK & 183, LLC	Texas
		First BTS Parmer, LLC	Texas
		999 Realty, LLC	Delaware
		The Robert Company, LLC	Texas
		SATIS Corporation	Connecticut
		First Hartford Rio Grande Valley, Inc.	Texas
		Del Valle Parkade, LLC	Texas
		EPFH, LLC	Texas
		Clarendon Hill Somerville Limited Partnership	Massachusetts
		Clarendon Developer, LLC	Massachusetts
		Clarendon Hill Somerville, LLC	Massachusetts
		LTI Environmental Services, Inc.	Massachusetts
		Steeple City Cinemas, Inc.	Massachusetts
		Steeple City Liquors, Inc.	Massachusetts
		Hartford Lubbock Limited Partnership	Texas
		Hartford Lubbock Limited Partnership II	Texas
		Connolly Claymont, LLC	Delaware
		B’nai B’rith Claymont LP	Delaware
	(31.1)	Exhibit 31.1, CEO Certification
	(31.2)	Exhibit 31.2, CFO Certification
	(32.1)	Exhibit 32.1, CEO and CFO Certification as to 18 U.S.C. 1350
(b)	Other Financial Statements
	None.

FIRST HARTFORD CORPORATION AND SUBSIDIARIES

59 NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

SFOR ITHE YEARS GENDED NAPRIL A30, T2017 UAND ~~R E S~~2016

~~Pursuant~~ to10. Concentrations ~~the requirements~~ of ~~Section~~Credit Risk ~~13 or 15~~(dconcluded) ~~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 authorize.~~:

Dated: August 5, 2016
	FIRST HARTFORD CORPORATION
	By: /s/ Neil H. Ellis
	Neil H. Ellis
	Chairman of the Board

The Company has one customer which accounts for more than 10% of the Company’s revenue in both 2017 and 2016.

~~Pursuant~~ toThe Company assesses the ~~requirements~~financial strength of ~~the~~its tenants ~~Securities~~prior ~~Exchange~~to ~~Act~~executing ofleases ~~1934,~~and ~~this~~typically ~~report~~requires ~~has been~~a ~~signed~~security ~~below~~deposit ~~by the~~and prepayment ~~following~~of ~~persons~~rent. The onCompany ~~behalf~~establishes ofan ~~the~~allowance ~~registrant~~for doubtful accounts ~~and~~receivable inbased upon factors surrounding the ~~capacities~~credit ~~and~~risk onof ~~the~~specific ~~date~~tenants, historical ~~indicated~~trends and other information.

August 5, 2016	/s/ Neil H. Ellis
	Neil H. Ellis
	Chief Executive Officer,
	Chairman of the Board
	(Principal Executive Officer)
August 5, 2016	/s/Eric J. Harrington
	Eric J. Harrington
	Chief Financial Officer
	Treasurer
	(Principal Financial and Accounting Officer)

60 11. Segment Information:

The factors used by the Company to identify reportable segments include differences in products and services and segregated operations within the Company. The first segment, “Real Estate Operations” participates in the purchase, development, management, ownership and the sale of real estate. Within its second segment, “Fee for Service”, the Company provides preferred developer services to CVS and Cumberland Farms Inc. in certain geographic areas. Summary financial information for the two reportable segments is as follows:

	2017	2016
Revenues:
Real Estate Operations	$70,830,796	$55,565,262
Fee for Service	4,839,500	6,298,250
Total	$75,670,296	$61,863,512

Operating Cost and Expense:
Real Estate Operations	$47,901,941	$38,496,837
Fee for Service	5,011,262	5,695,793
Administrative Expenses	9,078,059	7,141,236
Total	$61,991,262	$51,333,866

All costs after administrative expenses are cost of the real estate operation.

The only assets in the balance sheet belonging to the Fee for Service segment is restricted cash of $129,651 in 2017 and $1,664,214 in 2016 and receivables of $4,262,302 in 2017 and $6,389,867 in 2016.

12. Deferred Compensation Plan:

On December 1, 2014, the Company adopted a Deferred Bonus Plan that awarded six key employees an annual payment of $21,667 each for three years. All of the six employees have satisfied the vesting requirements and received the first two payments in August 2015 and 2016. The total expense recorded for this bonus was $390,000.

Annual Report on Form 10-K

Page 53

First Hartford Corporation

FIRST HARTFORD CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

13. Gain on Voluntary Foreclosure:

Putnam, CT – Transfer to Lender: On November 1, 2014, a payment was due for the mortgage of the shopping center in Putnam, CT in the amount of approximately $4,700,000. The rentable space of the shopping center is 57,529 square feet, 46% of which was leased to one store. That store informed the Company that they were not renewing their lease, which expired on January 31, 2015, and, as a result, the Company found it impossible to refinance the mortgage without finding a replacement tenant. Therefore, on June 5, 2015, the Company agreed to transfer title of the property to the lender. The Company recognized a gain since the mortgage was non-recourse and was in excess of the book value. Pre-tax income for this shopping center was $-0- and $44,645 for the years ended April 30, 2017 and 2016, respectively.

14. Purchases of Real Estate:

Buda, TX - Land Purchases: On April 29, 2016, the Company purchased a parcel of land in Buda, TX adjacent to another parcel owned by the Company for $686,167 including closing costs. On May 13, 2016, the Company purchased three additional parcels of land adjacent to these parcels for $1,051,034 including closing costs. These purchases were financed by a new land loan of $1,505,000 with the balance funded by working capital. Key terms of the loan are as follows:

Loan Amount:	$1,505,000
Maturity Date:	September 24, 2017
Interest Rate:	The lower of a) the Prime Rate per Wall Street Journal plus 1.00% or b) 4.25%.
Payments:	Interest only payable monthly. At maturity, outstanding principal plus any accrued interest will be payable.
Guarantors:	Both the Company (Corporate) and Chairman of the Company (Individual).

Austin, TX – Land Purchase: On December 19, 2016, the Company purchased a parcel of land in Austin, TX for $3,732,223. This purchase, along with related closing costs, was financed by an existing line of credit of $1,250,000 and a new land loan of $2,500,000. This land is being held for potential future development. Key terms of the loan are as follows:

Loan Amount:	$2,500,000
Maturity Date:	December 19, 2018
Interest Rate:	The greater of a) the Prime Rate per Wall Street Journal plus 0.75% or b) 4.25%.
Payments:	Interest only payable monthly. At maturity, outstanding principal plus any accrued interest will be payable.
Guarantors:	Both the Company (Corporate) and Chairman of the Company (Individual).

Annual Report on Form 10-K

Page 54

First Hartford Corporation

FIRST HARTFORD CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

14. Purchases of Real Estate (continued):

Brentwood, NY – Land Purchase: On December 23, 2016, the Company purchased a parcel of land in Brentwood, NY for $5,000,000, which along with closing costs was financed by a new acquisition mortgage loan of $5,000,000 and working capital. The Company is going to build a single entity build-to-suit on this land. This construction will be financed by a building mortgage loan of $4,775,000 and a project mortgage loan of $875,000. The total amount of these three loans is $10,650,000. Key terms of the loans are as follows:

Loan Amount:	$10,650,000
Maturity Date:	December 1, 2027
Interest Rate:	One month LIBOR, as defined, plus 2.75% through December 1, 2017 (the “Construction Phase”); thereafter, one month LIBOR plus 1.95% (the “Permanent Phase”).
Payments:	Interest only payable monthly during the Construction Phase. Thereafter, principal and interest payable monthly using a 30-year amortization.
Guarantor:	The Company (Corporate).
Prepayment Penalties:	Prior to December 1, 2017, 0.50% of the principal balance prepaid; from January 1, 2018 – December 1, 2019, 1.00% of the principal balance prepaid.

St. Louis, MO – Property Purchase: On January 20, 2017, the Company purchased a property with a single retail tenant in St. Louis, MO for $5,900,000. The Company plans to resell it by the end of the calendar year. This purchase, along with closing costs, was financed with a new loan of $5,120,000, advances from one of the Company’s line of credit of $1,000,000, and working capital of $324,768. Key terms of the loan are as follows:

Loan Amount:	$5,120,000
Maturity Date:	October 20, 2017
Interest Rate:	One month LIBOR, as defined, plus 2.20%.
Payments:	Interest only payable monthly.

Cedar Park, TX – Property Purchase: On March 29, 2017, the Company purchased a property with a single retail tenant in Cedar Park, TX for $1,625,000 including closing costs. The Company plans to resell it by the end of the fiscal year ending April 30, 2018. This purchase was financed with proceeds from a new loan of $1,365,000 and working capital of $260,000. Key terms of the loan are as follows:

Loan Amount:	$1,365,000
Maturity Date:	March 29, 2022
Interest Rate:	The greater of a) the Prime Rate per Wall Street Journal plus 0.75% or b) 4.50%.
Payments:	Interest only payable monthly through September 2017, followed by monthly principal and interest payments using a 25 year amortization period with a final balloon payment at maturity.
Guarantors:	Both the Company (Corporate) and Chairman of the Company (Individual).

Annual Report on Form 10-K

Page 55

First Hartford Corporation

FIRST HARTFORD CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEARS ENDED APRIL 30, 2017 AND 2016

15. Subsequent Events:

The Company has evaluated for subsequent events through July 31, 2017, the date the financial statements were issued.

Houston, TX – Land Purchase: On May 12, 2017, the Company completed its purchase of a parcel of land in Houston, TX for $8,583,235 including closing costs. This purchase was financed with proceeds from a construction loan of $5,158,210, utilization of the Company’s lines of credit of $2,400,000, and working capital of $1,025,025. Key terms of the construction loan are as follows:

Loan Amount:	$8,600,000
Maturity Date:	November 15, 2018
Interest Rate:	2.50% plus One Month ICE LIBOR rate, as defined, up to maturity date and 12.0% thereafter.
Payments:	Interest only payable monthly with principal due at maturity.
Guarantee:	The Company (Corporate).

St. Louis, MO – Sale of Property: On May 30, 2017, the Company sold its single-tenant property in St. Louis, MO for $6,800,000 (cost of approximately $6,567,000). A loan with a balance of $5,120,000 and a credit line of $1,000,000 were paid off with the proceeds.

New Orleans, LA – Sale of Property: On June 7, 2017, the Company sold a parcel of its property with a single-tenant build-to-suit in New Orleans, LA for $11,350,000 (cost of approximately $9,007,000). A loan with a balance of $7,436,745 was paid off with the proceeds. The Company continues to hold the parcel of the property that includes the shopping center.

Austin, TX – Sale of Property: On June 15, 2017, the Company sold its single-tenant property in Austin, TX for $3,210,000 (cost of approximately $2,944,000). A loan with a balance of $1,102,899 was paid off with the proceeds.

New Orleans, LA – Refinance: On June 30, 2017, the Company refinanced its construction loan on its shopping center property in New Orleans, LA. The construction loan, which had a principal balance of $5,568,910, was replaced by a mortgage loan of $8,565,000. The new mortgage loan has an interest rate of 4.75%. The loan is interest-only until July 1, 2020; thereafter, monthly payments of $44,576 inclusive of principal and interest are due and payable until the maturity date of July 1, 2027, at which time the remaining principal balance must be repaid in full.

[End of Financial Statements and Notes thereto. ]

Annual Report on Form 10-K

Page 56

First Hartford Corporation

S I G N A T U R E S

Pursuant to the requirements of Section 13 or 15(d) 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.

Dated: July 31, 2017

FIRST HARTFORD CORPORATION

By: /s/ Neil H. Ellis

Neil H. Ellis

Chairman of the Board and

Chief Executive Officer

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

July 31, 2017	/s/ Neil H. Ellis
	Neil H. Ellis
	Chairman of the Board and
	Chief Executive Officer
	(Principal Executive Officer)


July 31, 2017	/s/ Eric J. Harrington
	Eric J. Harrington
	Chief Financial Officer and
	Treasurer
	(Principal Financial and Accounting Officer)

Filing Compare · FIRST HARTFORD CORP