REALMARK PROPERTY INVESTORS LTD PARTNERSHIP V - FORM 10-Q

Attached files

file	filename
EXCEL - IDEA: XBRL DOCUMENT - REALMARK PROPERTY INVESTORS LTD PARTNERSHIP V	Financial_Report.xls
EX-31 - CERTIFICATION PURSUANT TO RULE 13A-14(A), AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY - REALMARK PROPERTY INVESTORS LTD PARTNERSHIP V	ex31.htm
EX-32 - CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002. - REALMARK PROPERTY INVESTORS LTD PARTNERSHIP V	ex32.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[ X ] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended September 30, 2012

[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from __________ to __________

Commission File Number: 0-16561

REALMARK PROPERTY INVESTORS LIMITED PARTNERSHIP - V

(Exact name of registrant as specified in its charter)

Delaware 16-1275925

(State of organization) (IRS Employer Identification No.)

2350 North Forest Road, Getzville, New York 14068

(Address of principal executive offices)

(716) 636-9090

(Registrant’s telephone number)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate web site, if any, every Interactive Date File required to be submitted and posted pursuant to Rule 405 of Regulations S-T (232.405 of this chapter) during the preceding 12 months (or such shorter period that the registrant was required to submit and post such files) Yes o No x

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer o Accelerated filer o Non-accelerated filer (Do not check if a smaller reporting company) o Smaller reporting company x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).Yes o No x

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.Yes oNo x

Part 1 - FINANCIAL INFORMATION

Item 1 - Financial Statements

Condensed Consolidated Balance Sheets
(Unaudited)

	September 30,	December 31,
	2012	2011
Assets
Property and equipment at cost	$ 2,300,759	2,269,866
Less accumulated depreciation	(1,941,857)	(1,881,302)
	358,902	388,564

Cash	300	810
Accounts receivable	3,336	2,173
Other assets	4,690	3,512

Total assets	$ 367,228	395,059

Liabilities and Partners' Deficit

Payables to affiliated parties	2,540,110	2,261,921
Accounts payable and accrued expenses	123,828	305,524
Accrued interest payable to affiliated parties	464,773	422,521
Security deposits and prepaid rent	22,649	32,122
Notes Payable	116,000	-
Partners' deficit	(2,900,132)	(2,627,029)

Total liabilities and partners' deficit	$ 367,228	395,059




The accompanying notes are an integral part of the financial statements.

Condensed Consolidated Statements of Operations
(Unaudited)


	Three months ended September 30,		Nine months ended September 30,
	2012	2011	2012	2011

Rental income	$ 80,388	$ 34,739	221,361	141,956

Property operating costs	88,320	44,402	235,368	212,355
Administrative expense - affiliates	10,925	26,766	32,644	60,672
Other administrative expenses	16,694	46,344	51,184	66,147
Interest expense - affiliates	22,326	37,142	105,219	107,237
Interest expenses - Other	9,557	-	9,557	-
Depreciation	20,049	20,049	60,555	60,149

Total expenses	167,871	174,703	494,527	506,560


Net loss	$ (87,483)	(139,964)	(273,166)	(364,604)

Net loss per limited partnership unit	$ (4.04)	$ (6.47)	$ (12.62)	(16.84)

Weighted average limited partnership
units outstanding	21,003	21,003	21,003	21,003






The accompanying notes are an integral part of the financial statements.

Condensed Consolidated Statements of Cash Flows
(Unaudited)

	Nine months ended September 30,

	2012	2011
Cash provided by:
Operating activities:
Net loss	$ (273,166)	$ (364,604)
Adjustments
Depreciation	60,555	60,149
Changes in assets and Liabilities
	(151,195)	168,314

Net cash used in operating activities	(363,806)	(136,141)



Cash flows from investing activities
additions to property and equipment	(30,893)	-
Net Cash used in investing activities	(30,893)	-

Cash flows from financing activities
Increase in payables to affilitate parties	278,189	136,141
Increase in payables to unaffilitate third parties	116,000	-
Net Cash flows provided by financing activities	394,189	136,141

Net decrease in cash and equivalents	(510)	-
Cash equivalents at beginning of period	810	-
Cash and equivalents at end of period	$ 300	$ -


The accompanying notes are an integral part of the financial statements.

Notes to Consolidated Financial Statements

Nine months ended September 30, 2012 and 2011

(Unaudited)

Organization

Realmark Property Investors Limited Partnership - V (the Partnership), a Delaware limited partnership, was formed on February 28, 1986, to invest in a diversified portfolio of income-producing real estate investments. The general partners are Realmark Properties, Inc. (the corporate general partner) and Joseph M. Jayson (the individual general partner). Joseph M. Jayson is the sole shareholder of J.M. Jayson & Company, Inc. Realmark Properties, Inc. is a wholly-owned subsidiary of J.M. Jayson & Company, Inc. Under the partnership agreement, the general partners and their affiliates can receive compensation for services rendered and reimbursement for expenses incurred on behalf of the Partnership.

Basis of Presentation

The accompanying unaudited interim consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and the instructions to Form 10-Q. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America for complete financial statements. The balance sheet at December 31, 2011 has been derived from the audited financial statements at that date. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation, have been included. The Partnership’s significant accounting policies are set forth in its December 31, 2011 Form 10-K. The interim financial statements should be read in conjunction with the financial statements included therein. The interim results should not be considered indicative of the annual results.

Reclassifications

Certain amounts in the interim condensed consolidated financial statements have been reclassified to reflect a consistent presentation. This change had no effect on previously reported net loss.

Property and Equipment

Two of the three buildings of the office complex known as Commercial Park West in Durham, North Carolina were sold in December 2006. The mortgage on the buildings was paid off in the amount of $5,606,725 at the closing date with the sales proceeds and an advance from an affiliate in the amount of $790,000. At September 30, 2012, the Partnership owned and operated the one remaining building at the complex known as Commercial Park West.

PART I - Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Liquidity and Capital Resources

As a result of the operating loss at Commercial Park West, the Partnership relied on cash advances from affiliates of the general partner to fund operations during the first nine months of 2012. In accordance with the settlement of the lawsuit (Part II, Item 1), it is anticipated that with the sale of the remaining property, the Partnership may be in a position to make distributions to the limited partners.

Results of Operations

The Partnership’s net loss for the three and nine month periods ended September 30, 2012 decreased approximately $53,000 and $12,000 when compared to the same periods in 2011, from a net loss of approximately $140,000 and $364,000 in 2011 to a net loss of approximately $87,000 and $273,000 in 2012.

As compared to the same three and nine month periods of 2011, total income increased approximately $46,000 and $79,000. Total expenses decreased approximately 7,000 and $12,000. Property operations increased approximately $44,000 and $23,000. Administrative expenses to affiliates decreased approximately $16,000 and $28,000. Other administrative expenses decreased approximately $30,000 and $15,000. Interest expense to affiliates decreased approximately $15,000 and $2,000. Other interest expenses increased approximately $10,000 and $10,000.

PART I - Item 3. Quantitative and Qualitative Disclosures about Market Risk

The Partnership’s cash equivalents are short-term, non-interest bearing bank accounts.

PART I - Item 4. Controls and Procedures

Disclosure Controls and Procedures: The Partnership’s management, with the participation of the Partnership’s Individual General Partner, Principal Executive Officer and Principal Financial Officer, has evaluated the effectiveness of the Partnership’s disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended) as of the end of the period covered by this report. Based on such evaluation, the Partnership’s Individual General Partner, Principal Executive Officer and Principal Financial Officer have concluded that, as of the end of such period, the Partnership’s disclosure controls and procedures are effective.

Internal Control Over Financial Reporting: There have been no significant changes in the Partnership’s internal control over financial reporting (as defined in Rule 13a-15(f) under the Securities Exchange Act of 1934, as amended) during the fiscal quarter to which this report relates that have materially affected, or are reasonably likely to materially affect, the Partnership’s internal control over financial reporting. Management assessed the effectiveness of our internal control over financial reporting as of September 30, 2012. In making this assessment, our management used the criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

As previously reported, the Partnership, as a nominal defendant, the General Partners of the Partnership and of affiliated public partnerships (the “Realmark Partnerships”) and the officers and directors of the Corporate General Partner, as defendants, had been involved in a class action litigation in New York State court. The Partnership’s settlement of this litigation is described in its Annual Report on Form 10-K for the year ended December 31, 2011.

Item 5. Other Information

(a) Reports on Form 8-K

None.

Item 6. Exhibits

31.	Certification Pursuant to Rule 13a-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32.	Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS	XBRL Instance Document*

101.SCH	XBRL Taxonomy Extension Schema Document*

101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document*

101.DEF	XBRL Taxonomy Extension Definition Linkbase Document*

101.LAB	XBRL Taxonomy Extension Label Linkbase Document*

101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document*

* In accordance with Regulation S-T, the XBRL-related information in Exhibit 101 to this Quarterly Report on Form 10-Q shall be deemed to be “furnished” and not “filed.”

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

REALMARK PROPERTY INVESTORS LIMITED PARTNERHIP - V

November 14, 2012	/s/ Joseph M. Jayson
Date	Joseph M. Jayson
	Individual General Partner,
	Principal Executive Officer and
	Principal Financial Officer

REALMARK PROPERTY INVESTORS LTD PARTNERSHIP V - FORM 10-Q - November 14, 2012

Attached files

REALMARK PROPERTY INVESTORS LTD PARTNERSHIP V Reports