26. Segments

The Partnership has 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.

The Amended and Restated LP Agreement authorizes the Partnership to make investments in tax-exempt securities other than in MRBs provided that the tax-exempt investments are rated in one of the four highest rating categories by a national securities rating agency. The Amended and Restated LP Agreement also allows the Partnership to invest in other securities whose interest may be taxable for federal income tax purposes. Total tax-exempt and other investments cannot exceed 25% of the Partnership’s total 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 tax-exempt and other investments include PHC Certificates, MBS Securities, and Other Investments, which are reported as three separate segments.

Mortgage Revenue Bond Investments Segment

The Mortgage Revenue Bond Investments segment consists of the Partnership’s portfolio of MRBs and related property loans that have been issued to provide construction and/or permanent financing for Residential Properties and commercial properties in their market areas. Such MRBs 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, 2017, the Partnership held 87 MRBs. The Residential Properties financed by the MRBs contain a total of 10,666 rental units (unaudited). In addition, one MRB (Pro Nova 2014-1) is collateralized by commercial real estate. All general and administrative expenses on the consolidated statements of operations are allocated to this operating segment.

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).

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, 2017, the Partnership consolidates three MF Properties containing a total of 1,013 rental units (unaudited, see Note 9). Income tax expense for the Greens Hold Co is reported within this segment.

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 New 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:

	For the Years Ended December 31,
	2017		2016		2015
Total revenues
Mortgage Revenue Bond Investments	$	49,100,423	$	36,673,232	$	38,772,872
MF Properties		13,677,635		17,404,439		17,789,125
Public Housing Capital Fund Trust		2,951,735		2,888,035		2,994,482
MBS Securities Investments		-		17,921		225,890
Other Investments		4,651,752		1,995,123		170,922
Total revenues	$	70,381,545	$	58,978,750	$	59,953,291

Interest expense
Mortgage Revenue Bond Investments	$	18,705,398	$	11,904,616	$	10,787,252
MF Properties		2,099,840		2,200,531		2,659,350
Public Housing Capital Fund Trust		1,350,205		1,349,800		1,221,713
MBS Securities Investments		-		14,692		157,902
Other Investments		-		-		-
Total interest expense	$	22,155,443	$	15,469,639	$	14,826,217

Depreciation expense
Mortgage Revenue Bond Investments	$	-	$	-	$	-
MF Properties		4,949,935		5,980,483		5,888,973
Public Housing Capital Fund Trust		-		-		-
MBS Securities Investments		-		-		-
Other Investments		-		-		-
Total depreciation expense	$	4,949,935	$	5,980,483	$	5,888,973

Income from continuing operations
Mortgage Revenue Bond Investments	$	15,438,583	$	11,755,639	$	17,924,037
MF Properties		9,739,704		8,442,704		2,964,297
Public Housing Capital Fund Trust		839,570		1,538,234		1,758,022
MBS Securities Investments		-		51,984		67,547
Other Investments		4,644,994		1,995,123		170,922
Income from continuing operations	$	30,662,851	$	23,783,684	$	22,884,825

Partnership Net income
Mortgage Revenue Bond Investments	$	15,438,583	$	11,755,639	$	17,924,037
MF Properties		9,668,051		8,443,527		2,967,098
Public Housing Capital Fund Trust		839,570		1,538,234		1,758,022
MBS Securities Investments		-		51,984		67,547
Other Investments		4,644,994		1,995,123		170,922
Discontinued Operations		-		-		3,721,397
Partnership net income	$	30,591,198	$	23,784,507	$	26,609,023

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

	December 31, 2017			December 31, 2016
Total assets
Mortgage Revenue Bond Investments	$	937,565,390		$	764,995,675
MF Properties		83,514,758			129,895,112
Public Housing Capital Fund Trust Certificates		49,918,434			57,461,268
Other Investments		55,573,834			34,540,280
Consolidation/eliminations		(56,804,417	)		(42,778,661	)
Total assets	$	1,069,767,999		$	944,113,674