1-U 1 x_3_22-araxaiform1-u.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 1-U

 

CURRENT REPORT PURSUANT TO REGULATION A

 

February 19, 2022

(Date of Report (Date of earliest event reported))

 

ENERGEA PORTFOLIO 2 LLC

(Exact name of registrant as specified in its charter)

 

Delaware

(State or other jurisdiction of incorporation or organization)

 

84-4611704

(I.R.S. Employer Identification No.)

 

62 Clementel Drive, Durham, CT 06422

(Full mailing address of principal executive offices)

 

860-316-7466

(Issuer's telephone number, including area code)

 

Class A Investor Shares
(Title of each class of securities issued pursuant to Regulation A)

 

 

 

This IC Memo includes projections and forward-looking information that represent Energea's assumptions and expectations in light of currently available information. Except for statements of historical fact, the information contained herein constitutes forward-looking statements and they are provided to allow potential investors the opportunity to understand management's beliefs and opinions in respect of the future so that they may use such beliefs and opinions as one factor in evaluating an investment. These forward-looking statements are not guarantees of future performance and necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance.

 

 

Executive Summary

 

Araxá I is a 2.5 MW (AC) solar power plant to be located at the Córrego do Sal Farm in the Araxá municipality, Minas Gerais State ("Project"). The Project will be connected to the CEMIG electricity distribution grid ("Project"), as established through the Brazilian Federal Law 14.300/2022 and Normative Resolution (REN) No 492/2012 of ANEEL (National Electrical Energy Agency) with revisions given by REN no 517/2012, no 687/2015 and no 786/2017.

 

This solar plant will be rented to a consortium, made up of residential and commercial customers for a period of 25 years.

 

The project is at Development Stage with Interconnection secured and a Land Lease fully executed with a 25-year term.

 

The estimated total cost of the project is 16.210.434 BRL (2.931.005 USD) with a projected IRR of 20,42% ($USD).

 

 

Key Information

 

General Info

 

Project Owner

Energea Portfolio 2 LLC.

Project Location

Araxá/MG, Brazil

Technology

Ground-Mounted Solar

System Size (AC/DC)

2.50 MW/ 3.13 MWp

Estimated Year 1 Production

6,279 MWh

Coordinates

19.608786° S 46.975379° W

Land Status

Rented

Project Status

Notice to Proceed

Useful Equipment Life (Years)

25

 

Stakeholders

 

SPE

Energea Araxá I Ltda.

Offtaker

Consórcio Minas Gerais de Geração Compartilhada de Energia Elétrica Energea

EPC Contractor

T.B.D.

O&M Contractor

T.B.D.

Land Owner

Jordelino José Carneiro Neto

 

Uses of Capital and Project Economics

 

Project Hard Costs

12.982.107 BRL

Project Soft Costs

1.190.734 BRL

Developer Fee

708.302 BRL

Total Project Financing

16.210.434 BRL

Debt Funding

N/A

Equity Funding

16.210.434 BRL

Project IRR (BRL)

22,77%

 

 

Project Review

 

SPE

 

The Project's Special Purpose Entity (SPE) was fully formed on December 17, 2021, Energea Portfolio 2 LLC. being the sole member of the company. The SPE General Information is described on Table 1.

 

Table 1 - SPE General Information

SPE

Energea Araxá I Ltda.

Registered Office

1056 Uruguai Street, room 310, Sion District, Belo Horizonte Municipality - MG, Zip Code: 30.310-300

CNPJ

44.621.389/0001-68

 

Site

 

The Jordelino José Carneiro Neto ("Land Owner") owns the site for the project. The SPE entered into a Site Lease Agreement with the Land Owner to secure approximately 6,5 hectares of the site on February 18th, 2022. The agreed monthly lease payment is 8,000 BRL from February 2022 and going forward. The values are adjusted on each contract year in accordance with the IPCA.

 

Design

 

The Project final design has not been defined yet. Nevertheless, it is expected to employ Energea's standard solution with bifacial solar modules manufactured by Longi, a Tier 1 solar manufacturer based in China and SMA String inverters.

 

According to the initial Energy Production Assessment, the Project is estimated to produce around 6,279 MWh/year with an AC Capacity Factor of 28.7%.

 

Interconnection

 

The Interconnection for the project is secured through the CUSD and CCER agreements signed on August 26th, 2021, between CEMIG Distribuição S.A. ("Utility Company") and Consórcio Texas. According to the recently passed Brazilian law 14.300/2022, the interconnection agreements can only be transferred after the power plant Commercial Operation Date ("COD"). For that reason, the CUSD and CCER Agreements will be assigned to the Consórcio Minas Gerais de Geração Compartilhada de Energia Elétrica Energea ("Offtaker") after the project's COD.

 

On a distribution grid level, system modifications priced at 755,393 BRL by CEMIG will be necessary for the project's interconnection. The SPE will do a Request for Proposal to price and define the contractor which will be responsible for the Interconnection Works.

 

Offtaker

 

The Offtaker is the Consórcio Minas Gerais de Geração Compartilhada de Energia Elétrica Energea. The SPE and the Offtaker have signed an Equipment Rental Agreement on February 21st, 2022, which determines a monthly fixed price to be paid to the SPE. Both parties have also executed an O&M

Agreement, that stipulates a variable remuneration to the SPE.

 

The consortium is made up of residential and commercial customers known as "subscribers". They may opt into and out of the program without penalty. In the case any subscriber does not make a payment, the Offtaker may replace them with another subscriber from the waiting list.

 

Table 2 - PPA Main Terms

Revenue Contract Term

25 years

Equipment Rental Price

305,556 BRL/mth

O&M Price

Variable

Resulting Energy Credit

721.21 BRL/MWh

 

EPC

 

The EPC contractor has not been selected yet. The SPE will do an RFP to price and scope the necessary works and, consequently, to select the EPC partner for the project.

 

O&M

 

The final O&M service provider has not been selected yet. The Contractor will be chosen and contracted in duly time, prior to the Project's COD.

 

 

Financial Analysis

 

The resulting nominal IRR of Araxá I is projected to be 20.42%, with an estimated payback of 6 years, 6 months, and 9 days from the NTP date. The income statement, cash flow statement and balance sheet up until 2030 (shown annually) are presented on Exhibit I.

 

As of February 25th, 2022, the distributed generation ("DG") market in Bahia's CEMIG's concession zone has reached, according to ANEEL, 131,556 generating units, with 190,020 consumers total, at a grand total installed capacity of 1.554 MW, placing it in 1st place, out of 106, in virtual net metering projects in Brazil. Growth, although historically high, is slowing down, with the number of interconnections reaching 53,483 in December 2021, an increase of 18,933 (54.8%) if compared with December 2020, an addition of 51.3% from 2019 to 2020 and 237.7% from 2018 to 2019.

 

The current configuration of the project model used for this analysis considers a scenario with PL 5829/2019 (sanctioned as PL 14300/2022) being active in the DG market, as it's been approved in both Brazilian legislative chambers, Congress and Senate, having been signed by the President of the Republic of Brazil on the 6th of January 2022.

 

The project's nominal IRR was stress tested on scenarios with a range of variations applied to the discounted price. The resulted average was an impact of negative 31.7 basis points per percentage point increased. Another test was conducted on the effects of the devaluation of the Brazilian Real currency towards the U.S. dollar, with it resulting in a negative 109.6 basis points per percentage point devalued.

 

Two macroeconomic assumptions are assumed within the financial model to better reflect the reality of Brazil's regional condition. For currency inflation, it was assumed a 4.00% year-to-year price readjustments for all years, apart from year 2022, which was defined at a 20.00% rate. On Foreign Exchange ("FX"), this model assumes a base rate of 5.35 $BRL / $USD in the month of December, resulted from the last 12-month average, being devalued month-to-month at a yearly 2.00% compounded rate.

 

Revenue

 

The source of the project's revenue is split in between two 25-year term contracts with Energea Consortium MG, an Equipment Rental Contract, with a fixed monthly price, with its value defined in Table 4, and an O&M Contract, containing a true-up mechanism with the goal of adjusting the overall revenue to match a target price per energy compensated.

 

In the case of Araxá I, the true-up formula first calculates the utility's energy credit value, after discounting the non-compensable taxes from the grossed up low voltage rates, and applies a fixed discount on it to extract the total on which to charge the consortium members. This method allows for a higher realized revenue in the project, as the basis for the application of the discount (the credit value) is lower than the utility tariff. It is, then, deducted from the collected billed amount, after a 4.00% projected default rate is applied, the demand charge (TUSD up until the expected revision date of May 25th, 2023, and TUSDg thereafter, as a direct scenario where PL 5829/2019 passes is being accounted for), and the fixed monthly price of the Rental Contract. The result, if positive, gets collected by the SPE and, if negative, discounts the fixed monthly value of the Equipment Rental.

This analysis used a 30-day billing cycle to realize each month's revenue.

 

Inflation readjustments of both contracts are timed, in the model, with the utility's price refresh. Historically, CEMIG-D's rates tend to readjust once per year, in the month of May. Currently, the model uses as a basis for adjustment, the Brazilian Central Bank's 2020's target inflation rate of 4.00%, defined in the IPCA index, with the year 2022 assuming 20,00%. However, energy inflation in Minas Gerais has been, historically, above IPCA, with CEMIG's last two years readjustments at -0.01% (2020 to 2021) and -1.62% (2019 to 2020) but, cumulatively for the last 4 years, 25.1% versus IPCA's 17.9%.

 

Table 4 - Revenue Assumptions

Revenue Contract Term

25 years

Fixed Discount on Credit Value

20.00%

Rental Revenue Price

305,556 BRL / month

O&M Revenue Price

Variable

Resulting Energy Credit Rate

721,21 BRL / MWh

Energea's Rate (Taxes Discounted)

672,30 BRL / MWh

Demand Charge (TUSD rate)

15,72 BRL / kWac

Demand Charge (TUSDg rate)

12,26 BRL / kWac

Default Rate

4.00%

 

Operating Expenses

 

The model assumes the operating expenses as they are valued on Table 5. Payment of some items can be realized by the consortium and deducted from the SPE's revenue, with the goal of lowering taxes paid on both revenue and income. With the configuration listed on Table 4, the SPE was able to increase its IRR by an additional 36 basis points, as it saves 2.21 million reais from projected PIS/COFINS, ISS, IRPJ and CSLL tax payments on the course of 25 years.

 

All prices used on Table 5 are readjusted by IPCA, currently assumed at a 4.00% rate, once per year.

 

Table 5 - Operating Expenses Assumptions

Operations & Maintenance

5 reais per kWac

Paid by SPE

Land of Roof Rental

8,000 BRL / month

Paid by SPE

Insurance (GL & Property)

1,500 BRL / month

Paid by SPE

Banking & FX Fees

200 BRL / month

Paid by SPE

Site Security

5,000 BRL / month

Paid by SPE

Postage and Courier Services

100 BRL / month

Paid by SPE

Technical Services Reserve

11,111 BRL/ month

Paid by SPE

Travel

500 BRL / month

Paid by SPE

Utilities

500 BRL / month

Paid by SPE

Marketing Commission

5.00% of Revenue

Paid by Consortium

Billing and Collections

20 BRL / MWh*

Paid by Consortium

Other

200 BRL/month

 

Average OPEX per Month

73,259 BRL/ month

-

*On the energy compensated

**All values readjusted with IPCA annually.

 

CAPEX

 

For this analysis, it was considered, in the model, the latest EPC prices supplied by Alexandria Solar, as layered on Table 6.

 

As part of the project's Soft Costs, a 3% contingency on the EPC total. Additionally, costs related to Accounting, Consulting Services, Environmental Licensing, Insurance, Land Rental and Spare Parts were also budgeted within the same section.

 

Lastly, an interconnection cost is assumed by the project. As described in the "Parecer de Acesso" document, page 3 item 1.3, the utility covers all the budgeted cost of 755,393.33 BRL, with a scheduled construction timing of 17 months from notary recognition of the documents CUSD, CCER and TAO. This sets the projected COD with no delayed CUSD payments assumed in this financial analysis (as the COD is timed with the interconnection date).

 

Table 6 - Capital Expenditures Assumptions

Acquisition Costs

503,625 BRL

0.16 BRL/Wdc

 

 

 

Hard Costs

12,982,107 BRL

4.15 BRL/Wdc

Solar Modules

5,335,982 BRL

1.71 BRL/Wdc

Solar Inverters

767,558 BRL

0.25 BRL/Wdc

Mounting Materials

2,100,939 BRL

0.67 BRL/Wdc

Electrical Materials

1,238,019 BRL

0.40 BRL/Wdc

Civil Materials

298,501 BRL

0.09 BRL/Wdc

Engineering Drawings

241,274 BRL

0.08 BRL/Wdc

Site Works

443,974 BRL

0.14 BRL/Wdc

Electrical Work

1,247,347 BRL

0.40 BRL/Wdc

Mechanical Work

330,168 BRL

0.10 BRL/Wdc

Others

183,736 BRL

0.06 BRL/Wdc

Interconnection

794,607 BRL

0.25 BRL/Wdc

 

 

 

Soft Costs

1,190,734 BRL

0.38 BRL/Wdc

Billing Software

50,000 BRL

0.02 BRL/Wdc

Commission

125,000 BRL

0.04 BRL/Wdc

Contingency

389,463 BRL

0.12 BRL/Wdc

Environmental Licensing

21,500 BRL

0.01 BRL/Wdc

Insurance

50,000 BRL

0.01 BRL/Wdc

Land Rental

152,000 BRL

0.05 BRL/Wdc

Marketing Channels

150,000 BRL

0.05 BRL/Wdc

Spare Parts

252,771 BRL

0.08 BRL/Wdc

 

 

 

Developer Fees

708,302 BRL

0.23 BRL/Wdc

 

 

 

Pre-COD OpEx

825,666 BRL

0.26 BRL/Wdc

 

 

 

Total CapEx (All-In)

16,210,434 BRL

5.19 BRL/Wdc

 

Taxes

 

Araxá I stands with an effective tax rate of 14.95%, compared with its gross revenues, with PIS / COFINS representing 3.65%, ISS at 0.10%, IRPJ at 7.63% and CSLL at 2.88%.

As the project contains an average EBT margin of 59.65% (after depreciation), it is benefited by the Presumed Profit tax basis as it locks the taxable income at 32% of gross revenue. The downside of adopting a Presumed Profit basis is the loss of 48,584.33 BRL in Net Operating Losses ("NOLs") and 1,270,719 BRL in PIS / COFINS tax credits. After running both scenarios, the model assumes that a Presumed Profit tax basis is more beneficial to be used in the SPE.

 

No IOF tax is assumed as all contributions, distributions and intercompany transactions are done locally, in between the SPE and the Brazilian holding Energea Victory Hill Brasil Holding LTDA.

Indirect taxes are not charged to the SPE but are both paid indirectly through demand charge (as it's grossed up by both PIS / COFINS and ICMS) and deducted from the energy credit's value. Minas Gerais currently contains the lowest rates for indirect taxes, for Shared Generation projects, if compared with any other State, representing, for Araxá I, a total of 5.98% of the gross revenue and an annual average of 349,575.57 BRL.

 

Table 7 - Tax Assumptions

Direct Taxes

PIS / COFINS on Revenue

3.65% of Gross Revenue

ISS on Revenue

5.00% of O&M Revenue

Tax Basis

Presumed Profit

Taxable Income Basis

32.00% of Gross Revenue

IRPJ on Profit

15.00% of Taxable Income

Additional IRPJ on Profit (If monthly taxable income is greater than 20,000)

10.00% of Taxable Income

CSLL on Profit

9.00% of Taxable Income

IOF on Financial Transactions

NA

 

Indirect Taxes

PIS / COFINS on Demand Charge

4.50%

ICMS on Demand Charge

32.00%

Non-Compensable PIS / COFINS

48.91 BRL / MWh

 

 

Legal Review

 

Relevant Documents

 

A Legal review was performed in the project's available documentation. The most relevant documents are listed below:

1.     Social Contract of Energea Araxá I Ltda.;

2.     Property Lease Agreement.

 

Issues List

 

Table 8 - Issues List

EPC Agreement

There's no EPC Agreement.

Revenue Agreements

The Revenue Agreements (Equipment Rental Agreement and O&M) are not signed.

 

Contract Summary

 

Table 9 - SPE Social Contract Summary

Contract

Social Contract of Energea Araxá I Ltda.

Incorporation Date

December 17 th, 2021

Structure

Limited Liability Company (Brazilian Limitada)

Quotaholder

Energea Portfolio 2 LLC. (100%)

Management

Christopher Joseph Sattler

Luiz Gil de Leão

 

Table 10 - Property Lease Agreement Summary

Contract

Property Lease Agreement

Date

February 18th, 2022

Parties

Energea Araxá I Ltda. - Lessee

Jordelino José Carneiro Neto and Palmira Barcelos Carneiro - Lessors

Term

25 years from the signature date

Object

Lease of a rural property in Araxá, State of Minas Gerais, with a total area of 6,5 hectares

Basic Rent

R$8,000.00

Rent Payment

Monthly

Surface Rights

Lessors have the obligation to provide the surface rights deed when requested by Lessee.

 

 

Documentation Checklist

 

Table 11 - Documentation Checklist

SPE

Social Contract

X

National Registration

X

Municipal Registration

 

Site

Site Photos

X

Land Owner Documents

X

Property Lease Agreement

X

Design and Application

Energy Resource Study

Preliminary Engineering

Interconnection

Parecer de Acesso

X

Interconnection Contracts

X

Permit

Environmental License

X

Offtaker

Offtaker Credit Analysis

X

Revenue Agreement Set

EPC

Selection of EPC

EPC Contract scoped and priced

O&M

O&M Agreement

 

Investment

Project Model

X

 

 

The Investment Committee members have reviewed the Project Memorandum and hereby approve the investment on the Araxá I Project.

 

 

SIGNATURES

 

Pursuant to the requirements of Regulation A, the issuer has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Energea Global LLC

 

By MICHAEL SILVESTRINI

Name: Mike Silvestrini

Title: Co-Founder

 

Date March 8, 2022

 

 

Exhibit I

Balance Sheet, Income Statement, Cash Flow Statement

 

ENERGEA PORTFOLIO 2 LLC - ARAXA I, LTDA. PROJECT

CONSOLIDATED BALANCE SHEETS

(All numbers in Brazilian Real)

2021

2022

2023

2024

2025

2026

2027

2028

2029

2030

Assets

Current assets:

Cash and cash equivalents

0

0

215,143

223,032

230,289

237,781

245,516

253,502

261,745

270,255

Accounts receivable

0

0

0

0

0

0

0

0

0

0

Prepaid expenses and other current assets

0

0

0

0

0

0

0

0

0

0

Total current assets

0

0

215,143

223,032

230,289

237,781

245,516

253,502

261,745

270,255

Property and equipment

708,302

1,299,927

15,384,768

15,384,768

15,384,768

15,384,768

15,384,768

15,384,768

15,384,768

15,384,768

Depreciation

(2,361)

(48,073)

(592,648)

(1,670,257)

(2,747,866)

(3,825,474)

(4,903,083)

(5,980,692)

(7,058,300)

(8,135,909)

Tax credits

0

0

0

0

0

0

0

0

0

0

Other assets

0

0

0

0

0

0

0

0

0

0

Total assets

705,941

1,251,854

15,007,262

13,937,543

12,867,191

11,797,075

10,727,201

9,657,578

8,588,213

7,519,115

Liabilities and stockholders' equity

Current liabilities:

Accounts payable

0

0

0

0

0

0

0

0

0

0

Short-term debt

0

0

0

0

0

0

0

0

0

0

Accrued expenses and other current liabilities

0

0

0

0

0

0

0

0

0

0

Total current liabilities

0

0

0

0

0

0

0

0

0

0

Tax payable

0

0

0

0

0

0

0

0

0

0

Long-term debt

0

0

0

0

0

0

0

0

0

0

Other liabilities

0

0

0

0

0

0

0

0

0

0

Total liabilities

0

0

0

0

0

0

0

0

0

0

Stockholders' equity:

Additional paid-in capital

708,302

1,302,284

16,210,434

16,210,434

16,210,434

16,210,434

16,210,434

16,210,434

16,210,434

16,210,434

Retained earnings

(2,361)

(50,430)

(1,203,172)

(2,272,891)

(3,343,243)

(4,413,359)

(5,483,233)

(6,552,856)

(7,622,221)

(8,691,319)

Total stockholders' equity

705,941

1,251,854

15,007,262

13,937,543

12,867,191

11,797,075

10,727,201

9,657,578

8,588,213

7,519,115

Total liabilities and stockholders' equity

705,941

1,251,854

15,007,262

13,937,543

12,867,191

11,797,075

10,727,201

9,657,578

8,588,213

7,519,115

 

 

 

ENERGEA PORTFOLIO 2 LLC - ARAXA I, LTDA. PROJECT

CONSOLIDATED STATEMENTS OF INCOME

(All numbers in Brazilian Real)

2021

2022

2023

2024

2025

2026

2027

2028

2029

2030

Gross revenue

0

0

1,455,884

4,310,202

4,460,503

4,612,559

4,769,778

4,932,337

5,100,416

5,274,201

Taxes on revenue:

PIS / COFINS

0

0

53,140

157,322

162,808

168,358

174,097

180,030

186,165

192,508

ISS

0

0

5,979

11,161

10,790

10,346

9,854

9,347

8,913

8,535

Total taxes on revenue

0

0

59,118

168,483

173,598

178,704

183,951

189,377

195,078

201,043

Net revenue

0

0

1,396,765

4,141,719

4,286,905

4,433,854

4,585,828

4,742,960

4,905,38

5,073,17

Costs and expenses:

Operations and maintenance

0

0

50,000

152,500

158,600

164,944

171,542

178,403

185,540

192,961

Land or roof rental

0

0

32,000

97,600

101,504

105,564

109,787

114,178

118,745

123,495

Insurance

0

0

6,000

18,300

19,032

19,793

20,585

21,408

22,265

23,155

FX wire fees

0

411

400

1,220

1,269

1,320

1,372

1,427

1,484

1,544

Banking fees

0

100

1,208

1,256

1,307

1,359

1,413

1,470

1,529

1,590

Postage and courier services

0

0

20,000

61,000

63,440

65,978

68,617

71,361

74,216

77,184

Technical services reserve

0

0

400

1,220

1,269

1,320

1,372

1,427

1,484

1,544

Travel

0

0

44,444

135,556

140,978

146,617

152,482

158,581

164,924

171,521

Utilities

0

0

2,000

6,100

6,344

6,598

6,862

7,136

7,422

7,718

Management fees

0

0

2,000

6,100

6,344

6,598

6,862

7,136

7,422

7,718

Other

0

1,846

73,306

12,191

12,609

13,028

13,461

13,907

14,368

14,844

Total costs and expenses

0

2,357

231,758

493,042

512,695

533,117

554,354

576,436

599,398

623,275

Income from operations

0

(2,357)

1,165,007

3,648,677

3,774,209

3,900,737

4,031,474

4,166,524

4,305,99

4,449,82

Interest and other income (expense), net

0

0

0

0

0

0

0

0

0

0

Depreciation and amortization

(2,361)

(45,71)

(544,575)

(1,077,60)

(1,077,6)

(1,077,6)

(1,077,6)

(1,077,6)

(1,077,6)

(1,077,6)

Income before provision for income taxes

(2,361)

(48,06)

620,432

2,571,068

2,696,601

2,823,128

2,953,865

3,088,916

3,228,31

3,372,23

Provision for income taxes

0

0

150,400

444,950

461,303

477,846

494,952

512,638

530,925

549,833

Net income

(2,361)

(48,06)

470,032

2,126,118

2,235,298

2,345,282

2,458,914

2,576,277

2,697,46

2,822,40

 

 

 

 

ENERGEA PORTFOLIO 2 LLC - ARAXA I, LTDA. PROJECT

CONSOLIDATED STATEMENTS OF CASH FLOWS

(All numbers in Brazilian Real)

2021

2022

2023

2024

2025

2026

2027

2028

2029

2030

Cash flows from operating activities

Net income

(2,361)

(48,069)

470,032

2,126,118

2,235,298

2,345,282

2,458,914

2,576,277

2,697,406

2,822,440

Adjustments in net income:

Depreciation and amortization

2,361

45,712

544,575

1,077,609

1,077,609

1,077,609

1,077,609

1,077,609

1,077,609

1,077,609

Other

0

0

0

0

0

0

0

0

0

0

Changes in assets and liabilities:

Accounts receivable

0

0

0

0

0

0

0

0

0

0

Prepaid expenses and other current assets

0

0

0

0

0

0

0

0

0

0

Other assets

0

0

0

0

0

0

0

0

0

0

Accounts payable

0

0

0

0

0

0

0

0

0

0

Other liabilities

0

0

0

0

0

0

0

0

0

0

Net cash provided by operating activities

0

(2,357)

1,014,607

3,203,727

3,312,907

3,422,890

3,536,522

3,653,886

3,775,014

3,900,049

Cash flows from investing activities

Purchases of property and equipment, net

(708,302)

(591,625)

(14,084,84)

0

0

0

0

0

0

0

Other investing activities, net

0

0

0

0

0

0

0

0

0

0

Net cash used in investing activities

(708,302)

(591,625)

(14,084,841)

0

0

0

0

0

0

0

Cash flows from financing activities

Issuance (repayment) of debt

0

0

0

0

0

0

0

0

0

0

Issuance (reduction) of equity capital

708,302

593,982

14,908,150

0

0

0

0

0

0

0

Distributions paid to investors

0

0

(1,622,773)

(3,195,838)

(3,305,649)

(3,415,398)

(3,528,787)

(3,645,901)

(3,766,771)

(3,891,539)

Net cash used in financing activities

708,302

593,982

13,285,376

(3,195,838)

(3,305,649)

(3,415,398)

(3,528,787)

(3,645,901)

(3,766,771)

(3,891,539)

Net increase (decrease) in cash

0

0

215,143

7,889

7,257

7,492

7,735

7,985

8,244

8,510

Cash at beginning of the period

0

0

0

215,143

223,032

230,289

237,781

245,516

253,502

261,745

Cash at end of the period

0

0

215,143

223,032

230,289

237,781

245,516

253,502

261,745

270,255