Attached files
| file | filename |
|---|---|
| EX-99.1 - STATEMENT OF REVENUES AND CERTAIN EXPENSES - MANUFACTURED HOUSING PROPERTIES INC. | mhpc_ex991.htm |
| 8-K/A - CURRENT REPORT - MANUFACTURED HOUSING PROPERTIES INC. | mhpc_8k.htm |
Exhibit 99.2
UNAUDITED PRO FORMA CONSOLIDATED FINANCIAL STATEMENTS
The following unaudited pro forma consolidated financial statements
have been prepared in accordance with US GAAP and S-X Article 11 to
provide pro forma information with regards to certain real estate
acquisitions and financing transactions, as
applicable.
On August 5, 2019, MHP Pursuits LLC, a wholly-owned subsidiary of
Manufactured Housing Properties Inc., a Nevada corporation (the
“Company”), entered into a purchase agreement (the
“Purchase Agreement”) with CSC Warner Robins, LLC
(“CSC”) , pursuant to which MHP Pursuits LLC
agreed to purchase all of the assets of CSC for $5.3
million, of which approximately $3.7
million will be attributed to the value of land and land
improvements and $1.6 million will be attributed to the mobile
homes. Closing of the Purchase Agreement was completed on November
14, 2019 and the Company’s newly formed wholly owned
subsidiary, Springlake MHP LLC, purchased the assets. The
transaction will be accounted for as an asset
acquisition.
The unaudited pro forma consolidated financial statements
are presented for the year ended
December 31, 2018 and the nine months ended September 30, 2019 and
include certain pro forma adjustments to illustrate the estimated
effect of the Company’s acquisition described
above.
The unaudited pro forma consolidated financial statements
are presented for informational
purposes only and do not purport to be indicative of the
Company’s financial results as if the transactions reflected
herein had occurred on the date or been in effect during the period
indicated. The unaudited pro forma consolidated financial
statements should not be viewed as indicative of the
Company’s financial results in the future and should be read
in conjunction with the Company’s financial
statements.
MANUFACTURED HOUSING PROPERTIES INC.
UNAUDITED PRO FORMA CONSOLIDATED STATEMENTS OF
OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 2018
|
|
Historical
|
Acquisition
|
Adjustment
|
Pro
Forma
|
|
Revenue
|
|
|
|
|
|
Rental
and related income
|
$2,000,312
|
$505,695 $
|
$
|
$2,506,007
|
|
Total
revenues
|
2,000,312
|
505,695
|
|
2,506,007
|
|
|
|
|
|
|
|
Community
operating expenses
|
|
|
|
|
|
Repair
and maintenance
|
135,131
|
9,550
|
|
144,681
|
|
Real
estate taxes
|
81,024
|
26,674
|
|
107,698
|
|
Utilities
|
149,516
|
46,320
|
|
195,836
|
|
General
and administrative expense
|
310,710
|
149,223
|
|
459,933
|
|
Depreciation
and amortization expense
|
534,290
|
-
|
245,625(a)
|
779,915
|
|
Interest
expense
|
1,001,455
|
-
|
169,071(b)
|
1,170,526
|
|
Corporate
compensation expenses, including stock based compensation of
$59K
|
1,030,527
|
-
|
|
1,030,527
|
|
Total
expenses
|
3,242,653
|
231,767
|
|
3,889,116
|
|
|
|
|
|
|
|
Net
income (loss) before provision for income taxes
|
(1,242,341)
|
273,928
|
|
(1,383,109)
|
|
|
|
|
|
|
|
Provision
for income taxes
|
8,286
|
-
|
|
8,286
|
|
Net
income (loss)
|
$(1,250,627)
|
$273,928
|
|
(1,391,395)
|
|
|
|
|
|
|
|
Net
income (loss) noncontrolling interest
|
45,766
|
-
|
|
45,766
|
|
|
|
|
|
|
|
Net
income (loss) attributable to the Company
|
$(1,296,393)
|
$273,928
|
|
$(1,345,629)
|
|
|
|
|
|
|
|
Weighted
average loss per share - basic and fully diluted
|
|
|
|
$(0.13)
|
|
|
|
|
|
|
|
Weighted
average shares - basic and fully diluted
|
|
|
|
10,100,747
|
(a)
Adjustment to
recognize depreciation expense on the investment property and
amortization expense on the acquisition costs.
(b)
Adjustment to
recognize the interest expense on the outstanding debt issued for
the purchase of investment property.
MANUFACTURED HOUSING PROPERTIES INC.
UNAUDITED PRO FORMA CONSOLIDATED STATEMENTS OF
OPERATIONS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2019
|
|
Historical
|
Acquisition
|
Adjustment
|
Pro Forma
|
|
Revenue
|
|
|
|
|
|
Rental
and related income
|
$1,983,283
|
$384,714
|
$-
|
$2,367,997
|
|
Total
revenues
|
1,983,283
|
384,714
|
|
2,367,997
|
|
|
|
|
|
|
|
Community
operating expenses
|
|
|
|
|
|
Repair
and maintenance
|
160,621
|
7,068
|
|
167,689
|
|
Real
estate taxes
|
110,660
|
19,821
|
|
130,481
|
|
Utilities
|
130,744
|
40,120
|
|
170,864
|
|
General
and administrative expense
|
274,203
|
114,239
|
|
388,442
|
|
Depreciation
and amortization expense
|
496,966
|
|
184,219(a)
|
681,185
|
|
Interest
expense
|
1,076,254
|
-
|
126,803(b)
|
1,203,057
|
|
Corporate
compensation expenses, including stock based compensation of
$59K
|
587,463
|
-
|
|
587,463
|
|
Refinancing
cost
|
552,272
|
-
|
|
552,272
|
|
Total
expenses
|
3,389,183
|
181,248
|
|
3,881,453
|
|
|
|
|
|
|
|
Net
income (loss) before provision for income taxes
|
(1,405,900
|
203,466
|
|
(1,513,456
|
|
|
|
|
|
|
|
Preferred
stock dividends
|
90,834
|
-
|
|
90,834
|
|
Provision
for income taxes
|
-
|
-
|
|
-
|
|
Net
income (loss)
|
$(1,496,734)
|
$203,466
|
|
(1,604,290)
|
|
|
|
|
|
|
|
Net
income (loss) noncontrolling interest
|
-
|
-
|
|
-
|
|
|
|
|
|
|
|
Net
income (loss) attributable to the Company
|
$(1,496,734)
|
$203,466
|
|
$(1,604,290)
|
|
|
|
|
|
|
|
Weighted
average loss per share - basic and fully diluted
|
|
|
|
$(0.13)
|
|
|
|
|
|
|
|
Weighted
average shares - basic and fully diluted
|
|
|
|
12,738,962
|
(a)
Adjustment to
recognize depreciation expense on the investment property and
amortization expense on the acquisition costs.
(b)
Adjustment to
recognize the interest expense on the outstanding debt issued for
the purchase of investment property.