Segment Reporting

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Segments

26. Segments

Due to the increased investments in ATAX Vantage Holdings, LLC, the Partnership added a new segment during the second quarter of 2016 named “Other Investments.” The Partnership consists of four reportable segments - Mortgage Revenue Bond Investments, MF Properties, Public Housing Capital Fund Trusts, and Other 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.  In January 2016, the Partnership sold its three remaining MBS Securities and eliminated the MBS Securities Investments operating segment.

Mortgage Revenue Bond Investments Segment

The Mortgage Revenue Bond Investments segment consists of the Partnership’s portfolio of mortgage revenue bonds and related property loans 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 and the related property loans, net of loan loss, are reported as such on the Partnership’s consolidated balance sheets.  At December 31, 2016, the Partnership held 83 mortgage revenue bonds. The Residential Properties financed by 83 mortgage revenue bonds contain a total of 9,968 rental units. In addition, one bond is collateralized by commercial real estate (Note 6). All general and administrative expenses on the consolidated statements of operations are allocated to this operating segment.

MF Properties Segment

The MF Properties segment consists of multifamily, student housing, and senior citizen residential properties held by the Partnership. 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.    At December 31, 2016, the Partnership consolidated the results of seven MF Properties containing a total of 2,004 rental units (see Note 9). Income tax expense for the Greens Hold Co is reported within this segment.

Other Investments under the Amended and Restated LP Agreement

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’s other investments are separated out into two separate segments – Public Housing Capital Fund Trust and Other Investments.

Public Housing Capital Fund Trust Segment

The Public Housing Capital Fund Trust segment consists of the assets, liabilities, and related income and expenses of the Partnership’s PHC Certificates (see Note 7).

Other Investments Segment

The Other investments segment consists of the operations of ATAX Vantage Holdings, LLC, which is invested in unconsolidated entities (Note 10) and has issued property loans due from Vantage at Brooks LLC and Vantage at Braunfels LLC (Note 11).  

The following table details certain key financial information for the Partnership’s reportable segments for the three years ended December 31:

	2016		2015		2014
Total revenues
Mortgage Revenue Bond Investments	$	36,673,232	$	38,772,872	$	23,227,674
MF Properties		17,404,439		17,789,125		14,250,572
Public Housing Capital Fund Trust		2,888,035		2,994,482		3,038,819
MBS Securities Investments		17,921		225,890		1,423,958
Other Investments		1,995,123		170,922		-
Total revenues	$	58,978,750	$	59,953,291	$	41,941,023
Interest expense
Mortgage Revenue Bond Investments	$	11,904,616	$	10,787,252	$	7,147,092
MF Properties		2,200,531		2,659,350		2,319,928
Public Housing Capital Fund Trust		1,349,800		1,221,713		1,295,238
MBS Securities Investments		14,692		157,902		403,653
Total interest expense	$	15,469,639	$	14,826,217	$	11,165,911
Depreciation expense
Mortgage Revenue Bond Investments	$	-	$	-	$	-
MF Properties		5,980,483		5,888,973		4,801,533
Public Housing Capital Fund Trust		-		-		-
MBS Securities Investments		-		-		-
Total depreciation expense	$	5,980,483	$	5,888,973	$	4,801,533
Income (loss) from continuing operations
Mortgage Revenue Bond Investments	$	11,755,639	$	17,924,037	$	13,181,961
MF Properties		8,442,704		2,964,297		(938,151	)
Public Housing Capital Fund Trust		1,538,234		1,758,022		1,714,968
MBS Securities Investments		51,984		67,547		1,017,637
Other Investments		1,995,123		170,922		-
Income from continuing operations	$	23,783,684	$	22,884,825	$	14,976,415
Net income (loss)
Mortgage Revenue Bond Investments	$	11,755,639	$	17,924,037	$	13,181,961
MF Properties		8,443,527		2,967,098		(933,478	)
Public Housing Capital Fund Trust		1,538,234		1,758,022		1,714,968
MBS Securities Investments		51,984		67,547		1,017,637
Other Investments		1,995,123		170,922		-
Discontinued Operations		-		3,721,397		52,773
Partnership net income	$	23,784,507	$	26,609,023	$	15,033,861

The following table details total assets for the Company’s reportable segments for the two years ended December 31:

Total assets	December 31, 2016			December 31, 2015 (1)
Mortgage Revenue Bond Investments	$	764,995,675		$	658,846,881
MF Properties		129,895,112			141,704,103
Public Housing Capital Fund Trust Certificates		57,461,268			61,021,462
MBS Securities Investments		-			15,035,061
Other Investments		34,540,280			7,726,970
Consolidation/eliminations		(42,778,661	)		(17,223,994	)
Total assets	$	944,113,674		$	867,110,483

(1) The Partnership has reduced the reported assets of the Mortgage Revenue Bond Investments segment and the consolidation and eliminations amount by approximately $182.7 million to eliminate intercompany activity within the Mortgage Revenue Bond Investments segment.