Segment Reporting

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

21. Segments

The Partnership consists of four reportable segments, Mortgage Revenue Bond Investments, MF Properties, Public Housing Capital Fund Trusts, and MBS Investments.  In addition to the four reportable segments, the Partnership also separately reports its consolidation and elimination information because it does not allocate certain items to the segments.

Mortgage Revenue Bond Investments Segment

The Mortgage Revenue Bond Investments segment consists of the Partnership’s portfolio of mortgage revenue bonds which have been issued to provide construction and/or permanent financing for Residential Properties and commercial properties in their market areas.  Such mortgage revenue bonds are held as investments.  On March 31, 2016, the Partnership held sixty-four mortgage revenue bonds. The Residential Properties financed by sixty-three mortgage revenue bonds contain a total of 8,787 rental units. In addition, one bond is collateralized by commercial real estate (Note 3). In addition, the return earned on the Investment in an unconsolidated entity has been included in this segment (Note 8).

MF Properties Segment

The MF Properties segment consists of indirect equity interests in multifamily, student housing, and senior citizen residential properties which are not currently financed by mortgage revenue bonds held by the Partnership but which the Partnership eventually intends to finance by such bonds through a restructuring.  In connection with any such restructuring, the Partnership will be required to dispose of any equity interest held in such MF Properties.  The Partnership’s interests in its current MF Properties are not currently classified as Assets held for sale because the Partnership does not believe it is probable a sale will occur and there is no definitive purchase agreement in existence that, under current guidance, can be recognized as a sale of real estate assets and, therefore, no sale is expected in the next twelve months. During the time the Partnership holds an interest in an MF Property, any net rental income generated by the MF Properties in excess of debt service will be available for distribution to the Partnership in accordance with its interest in the MF Property.    On March 31, 2016, the Partnership consolidated the results of eight MF Properties containing a total of 2,217 rental units (Note 7).

Management’s goals with respect to the properties constituting the MF Properties reportable segments is to generate increasing amounts of net rental income from these properties that will allow them to (i) make all payments of base interest, and possibly pay contingent interest, on the properties, and (ii) distribute net rental income to the Partnership from the MF Properties segment until such properties can be refinanced with additional mortgage revenue bonds meeting the Partnership’s investment criteria.  In order to achieve these goals, management of these multifamily residential properties is focused on: (i) maintaining high economic occupancy and increasing rental rates through effective leasing, reduced turnover rates and providing quality maintenance and services to maximize resident satisfaction; (ii) managing operating expenses and achieving cost reductions through operating efficiencies and economies of scale generally inherent in the management of a portfolio of multiple properties; and (iii) emphasizing regular programs of repairs, maintenance and property improvements to enhance the competitive advantage and value of its properties in their respective market areas.

Other Investments

The Amended and Restated LP Agreement authorizes the Partnership to make investments other than in mortgage revenue bonds provided that these other investments are rated in one of the four highest rating categories by a national securities rating agency and do not constitute more than 25% of the Partnership’s assets at the time of acquisition as required under the Amended and Restated LP Agreement.  In addition, the amount of other investments is limited based on the conditions to the exemption from registration under the Investment Company Act of 1940.  The Partnership owned other investments, PHC Certificates and MBS Securities, which are reported as two separate segments.

The PHC Trusts segment consists of the assets, liabilities, and related income and expenses of the PHC Trusts.   The Partnership consolidates the PHC Trusts due to its ownership of the LIFERS issued by the three PHC Trusts, which hold custodial receipts evidencing loans made to a number of local public housing authorities.  Principal and interest on these loans are payable by the respective public housing authorities out of annual appropriations to be made to the public housing authorities by the HUD under HUD’s Capital Fund Program established under the Capital Fund Program.

The MBS Securities segment consisted of the assets, liabilities, and related income and expenses of the MBS TOB Trusts that the Partnership consolidated due to its ownership of the LIFERs issued by the MBS TOB Trusts.  These MBS TOB Trusts are securitizations of state-issued mortgage-backed securities which were backed by residential mortgage loans. In January 2016, the Partnership sold its MBS Securities for approximating $15.0 million, approximately the outstanding amortized cost plus interest. The Partnership then collapsed the related three remaining MBS - TOB Trusts. The Partnership’s approximate $11.9 million TOB financing facilities, which were the securitization of these MBS TOB Trusts, were paid off in full in connection with this sale.  The sale of the Partnership’s remaining three MBS Securities eliminates this operating segment in the first quarter of 2016 (Note 6).

The following table details certain key financial information for the Partnership’s reportable segments for the three months ended March 31, 2016 and 2015:

	For the Three Months Ended March 31,
	2016			2015
Total revenues
Mortgage Revenue Bond Investments	$	9,074,195		$	7,318,561
MF Properties		5,074,104			4,302,301
Public Housing Capital Fund Trust		730,902			732,903
MBS Securities Investments		48,755			152,860
Consolidation/eliminations		-			-
Total revenues	$	14,927,956		$	12,506,625
Interest expense
Mortgage Revenue Bond Investments	$	3,784,390		$	2,889,120
MF Properties		670,333			712,899
Public Housing Capital Fund Trust		300,720			296,460
MBS Securities Investments		14,692			37,697
Consolidation/eliminations		-			-
Total interest expense	$	4,770,135		$	3,936,176
Depreciation expense
Mortgage Revenue Bond Investments	$	-		$	-
MF Properties		1,646,231			1,454,179
Public Housing Capital Fund Trust		-			-
MBS Securities Investments		-			-
Consolidation/eliminations		-			-
Total depreciation expense	$	1,646,231		$	1,454,179
Income from continuing operations
Mortgage Revenue Bond Investments	$	2,317,325		$	2,349,522
MF Properties		(267,803	)		(394,532	)
Public Housing Capital Fund Trust		430,182			429,148
MBS Securities Investments		51,984			115,022
Consolidation/eliminations		-			-
Income from continuing operations	$	2,531,688		$	2,499,160
Net income (loss)
Mortgage Revenue Bond Investments	$	2,317,337		$	2,349,522
MF Properties		(267,803	)		(393,641	)
Public Housing Capital Fund Trust		430,182			429,148
MBS Securities Investments		51,984			115,022
Discontinued Operations		-			24,428
Consolidation/eliminations		-			-
Net income - America First Multifamily Investors, L. P.	$	2,531,700		$	2,524,479

The following table details certain key financial information for the Partnership’s reportable segments on March 31, 2016 and December 31, 2015:

Total assets	March 31, 2016			December 31, 2015
Mortgage Revenue Bond Investments	$	875,819,690		$	849,226,911
MF Properties		139,905,856			141,704,103
Public Housing Capital Fund Trust Certificates		60,920,496			61,021,462
MBS Securities Investments		-			15,035,061
Consolidation/eliminations		(202,193,204	)		(199,877,054	)
Total assets	$	874,452,838		$	867,110,483