INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

9 Months Ended

Sep. 30, 2026

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

NOTE 15. INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

The Partnership has invested in seven limited partnerships and limited liability companies, the majority of which have invested in residential apartment complexes, with three Joint Ventures investing in commercial property. The Partnership has between a 40%-50% ownership interests in each investment. The other investors are the Brown family related entities and five current and former employees of the Management Company. The Brown family’s ownership interest was between 47.6% and 59%, with the balance owned by the others. A description of each investment is as follows:

On October 28, 2009 the Partnership invested approximately $15,925,000 in a joint venture to acquire a 40% interest in a residential property located in Brookline, Massachusetts. The property, Hamilton Park Towers LLC, referred to as Dexter Park, or Hamilton Park, is a 409 unit residential complex. The purchase price was $129,500,000. The original mortgage was $89,914,000 with an interest rate of 5.57% and was to mature in 2019. The mortgage called for interest only payments for the first two years of the loan and amortized over 30 years thereafter.

On May 31, 2018, Hamilton Park Towers, LLC, entered into a Mortgage Note with John Hancock Life Insurance Company (U.S.A.) in the principal amount of $125,000,000. Interest only payments on the Note are payable on a monthly basis at a fixed interest rate of 3.99% per annum, and the principal amount of the Note is due and payable on June 1, 2028. The Note is secured by a mortgage on the Dexter Park apartment complex located at 175 Freeman Street, Brookline, Massachusetts pursuant to a Mortgage, Assignment of Leases and Rents and Security Agreement dated May 31, 2018. The Note is guaranteed by the Partnership and HBC Holdings, LLC pursuant to a Guaranty Agreement dated May 31, 2018.

Hamilton Park used the proceeds of the loan to pay off an outstanding loan of approximately $82,000,000 and distributed approximately $41,200,000 to its owners. The Partnership’s share of the distribution was approximately $16,500,000. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for the investment using the equity method of accounting, although the Partnership has no legal obligation to fund its’ share of any future operating deficiencies as needed. At September 30, 2026, the balance on this mortgage before unamortized deferred financing costs is $125,000,000.

On March 7, 2005, the Partnership invested $2,000,000 for a 50% ownership interest in a building comprising 48 apartments, one commercial space and a 50-car surface parking lot located in Boston, Massachusetts. The purchase price was $14,300,000, with a $10,750,000 mortgage. The Joint Venture planned to operate the building and initiate development of the parking lot. In June 2007, the Joint Venture separated the parcels, formed an additional limited liability company for the residential apartments and obtained a mortgage on the property. The new limited liability company formed for the residential apartments and commercial space is referred to as Hamilton Essex 81, LLC. In August 2008, the Joint Venture restructured the mortgages on both parcels at Essex 81. On September 30, 2015, Hamilton Essex 81, LLC obtained a new 10 year mortgage in the amount of $10,000,000, interest only at 2.18% plus the one month Libor rate. The proceeds of the note were used to pay off the existing mortgage of $8,040,719 and the Partnership received a distribution of $978,193 for its share of the excess proceeds. On September 30, 2025, the property was refinanced with a 10 year mortgage in the amount of $12,214,000 at a fixed rate of 5.610% interest only. The Joint Venture paid off the prior mortgage of approximately $10,000,000 with the proceeds of the new mortgage and held the remaining $2,210,000 at the property as cash reserves. The costs associated with the refinancing were approximately $170,000. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting. Although the Partnership has no legal obligation, the Partnership intends to fund its share of any future operating deficits if needed. At September 30, 2026, the balance on this mortgage before unamortized deferred financing costs is $12,214,000. The investment in the parking lot is referred to as Hamilton Essex Development, LLC; the investment in the apartments is referred to as Hamilton Essex 81, LLC.

On March 2, 2005, the Partnership invested $2,352,000 for a 50% ownership interest in a 176-unit apartment complex with an additional small commercial building located in Quincy, Massachusetts. The purchase price was $23,750,000. The Joint Venture sold 127 of the units as condominiums and retained 49 units for long-term investment. The Joint Venture obtained a new 10-year mortgage in the amount of $5,000,000 on the units to be retained by the Joint Venture. The interest on the new loan was 5.67% fixed for the 10 year term with interest only payments for five years and amortized over a 30 year period for the balance of the loan term. On July 8, 2016, Hamilton 1025 LLC paid off the outstanding balance of the mortgage balance. The Partnership made a capital contribution of $2,359,500 to Hamilton 1025, LLC for its share of the funds required for the transaction. After paying off the mortgage, the Partnership began to sell off the individual units. In 2019, all residential units were sold. The Partnership still owns the commercial building. This investment is referred to as Hamilton 1025, LLC.

In September 2004, the Partnership invested approximately $5,075,000 for a 50% ownership interest in a 42-unit apartment complex located in Lexington, Massachusetts. The purchase price was $10,100,000. On September 12, 2016, the property was refinanced with a 15 year mortgage in the amount of $6,000,000, at 3.71%, interest only. The Joint Venture Partnership paid off the prior mortgage of approximately $5,158,000 with the proceeds of the new mortgage and made a distribution of $385,000 to the Partnership. The cost associated with the refinancing was approximately $123,000. In 2018, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting, although the Partnership has no legal obligation to fund its share of any future operating deficiencies, if needed. At September 30, 2026, the balance on this mortgage before unamortized deferred financing costs is $6,000,000. This investment is referred to as Hamilton Minuteman, LLC.

In August 2004, the Partnership invested $8,000,000 for a 50% ownership interest in a 280-unit apartment complex located in Watertown, Massachusetts. The total purchase price was $56,000,000. The Joint Venture sold 137 units as condominiums. The assets were combined with Hamilton on Main Apartments. Hamilton on Main, LLC is known as Hamilton Place. In August 2014, the property was refinanced with a 10 year mortgage in the amount of $16,900,000 at 4.34% interest only. The Joint Venture paid off the prior mortgage of approximately $15,205,000 with the proceeds of the new mortgage and distributed $850,000 to the Partnership. The costs associated with the refinancing were approximately $161,000. On April 18, 2024 the Borrower and KeyBank executed amended loan documents reflecting the transfer of interest in the Borrower. In conjunction with the execution of the amended loan documents, KeyBank provided a courtesy reduction equal to 50% of the transfer fee. In August 2024, the property was refinanced with a 10 year mortgage in the amount of $23,589,000 at 5.425% interest only. The Joint Venture paid off the prior mortgage of approximately $16,900,000 with the proceeds of the new mortgage and distributed $2,000,000 to the Partnership. The costs associated with the refinancing were approximately $243,000. In 2018, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting, although the Partnership has no legal obligation to fund its share of any future operating deficiencies, if needed. At September 30, 2026, the balance of the mortgage before unamortized deferred finance is $23,589,000. The investment is referred to as Hamilton on Main LLC.

In November 2001, the Partnership invested approximately $1,533,000 for a 50% ownership interest in a 40-unit apartment building in Cambridge, Massachusetts. In June 2013, the property was refinanced with a 15 year mortgage in the amount of $10,000,000 at 3.87%, interest only for 3 years and is amortized on a 30-year schedule for the balance of the term. The Joint Venture paid off the prior mortgage of approximately $6,776,000 with the proceeds of the new mortgage. After the refinancing, the Joint Venture made a distribution of $1,610,000 to the Partnership. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting. Although the Partnership has no legal obligation, the Partnership intends to fund its share of any future operating deficits if needed. At September 30, 2026, the balance of this mortgage before unamortized deferred financing costs is approximately $7,800,000. This investment is referred to as 345 Franklin, LLC.

Summary financial information at September 30, 2026

				Hamilton									Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	5,682,305		$	2,576,967		$	3,616,392		$	66,051		$	3,721,129		$	12,818,784		$	67,039,966		$	95,521,594
Cash & Cash Equivalents		1,359,981			104,028			63,420			21,368			1,024,960			527,885			7,913,161			11,014,803
Rent Receivable		106,730			45,929			12,979			4,038			13,838			62,327			238,791			484,632
Real Estate Tax Escrow		74,962			—			69,212			—			37,290			—			—			181,464
Prepaid Expenses & Other Assets		199,147			20,098			99,730			933			66,321			413,558			2,521,917			3,321,704
Total Assets	$	7,423,125		$	2,747,022		$	3,861,733		$	92,390		$	4,863,538		$	13,822,554		$	77,713,835		$	110,524,197
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	12,061,030		$	—		$	7,788,482		$	—		$	5,959,423		$	23,396,661		$	124,892,295		$	174,097,891
Accounts Payable & Accrued Expense		119,657			3,000			105,352			2,914			71,246			223,804			734,251			1,260,224
Advance Rental Pmts & Security Deposits		371,005			—			285,675			9,026			157,180			541,144			2,597,779			3,961,809
Total Liabilities		12,551,692			3,000			8,179,509			11,940			6,187,849			24,161,609			128,224,325			179,319,924
Partners’ Capital		(5,128,567)			2,744,022			(4,317,776)			80,450			(1,324,311)			(10,339,055)			(50,510,490)			(68,795,727)
Total Liabilities and Capital	$	7,423,125		$	2,747,022		$	3,861,733		$	92,390		$	4,863,538		$	13,822,554		$	77,713,835		$	110,524,197
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures	$	—		$	1,372,011		$	—		$	40,225		$	—		$	—		$	—			1,412,236
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(2,564,284)		$	—		$	(2,158,888)		$	—		$	(662,156)		$	(5,169,528)		$	(20,204,196)			(30,759,051)
Total Investment in Unconsolidated Joint Ventures (Net)																						$	(29,346,815)
Total units/condominiums
Apartments		48			—			40			—			42			148			409			687
Commercial		1			1			—			1			—			—			—			3
Total		49			1			40			1			42			148			409			690

Financial information for the nine months ended September 30, 2026

			Hamilton						Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Apts		Apts		Park		Total
Revenues
Rental Income	$	1,497,116	$	183,142	$	1,362,333	$	83,415	$	1,159,657	$	3,296,490	$	13,524,547	$	21,106,700
Laundry and Sundry Income		11,395		—		23		—		55		43,214		134,603		189,290
		1,508,511		183,142		1,362,356		83,415		1,159,712		3,339,704		13,659,150		21,295,990
Expenses
Administrative		19,241		14,507		29,201		3,392		12,207		60,944		176,752		316,244
Depreciation and Amortization		347,336		8,160		265,239		2,448		266,729		929,457		2,818,092		4,637,461
Management Fees		62,203		7,824		56,012		3,247		46,121		132,199		266,685		574,291
Operating		203,310		—		110,162		357		139,625		468,203		1,154,913		2,076,570
Renting		50,260		—		48,970		97		9,835		84,330		140,247		333,739
Repairs and Maintenance		166,142		1,000		120,606		—		119,700		541,151		1,588,174		2,536,773
Taxes and Insurance		229,500		60,359		151,019		16,183		142,224		421,378		2,164,597		3,185,260
		1,077,992		91,850		781,209		25,724		736,441		2,637,662		8,309,460		13,660,338
Income Before Other Income		430,519		91,292		581,147		57,691		423,271		702,042		5,349,690		7,635,652
Other Income (Loss)
Interest Expense		(536,488)		—		(238,299)		—		(176,989)		(998,753)		(3,795,930)		(5,746,459)
Interest Income		27,922		802		3,518		346		12,646		13,771		156,022		215,027
		(508,566)		802		(234,781)		346		(164,343)		(984,982)		(3,639,908)		(5,531,432)
Net (Loss) Income	$	(78,047)	$	92,094	$	346,366	$	58,037	$	258,928	$	(282,940)	$	1,709,782	$	2,104,220
Net (Loss) Income —NERA 50%	$	(39,024)	$	46,047	$	173,183	$	29,019	$	129,464	$	(141,470)				197,219
Net Income —NERA 40%													$	683,913		683,913
															$	881,132

Financial information for the three months ended September 30, 2026

			Hamilton						Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Apts		Apts		Park		Total
Revenues
Rental Income	$	481,146	$	61,335	$	448,854	$	27,536	$	391,765	$	1,118,547	$	4,371,085	$	6,900,268
Laundry and Sundry Income		3,891		—		—		—		62		14,827		38,675		57,455
		485,037		61,335		448,854		27,536		391,827		1,133,374		4,409,760		6,957,723
Expenses
Administrative		6,245		2,214		6,812		870		2,962		18,084		64,067		101,254
Depreciation and Amortization		116,457		2,720		88,546		816		89,755		312,159		944,286		1,554,739
Management Fees		19,639		2,666		18,099		1,083		15,787		46,810		85,698		189,782
Operating		58,292		—		29,192		134		24,722		134,215		291,558		538,113
Renting		28,738		—		31,107		32		665		35,682		83,938		180,162
Repairs and Maintenance		61,228		—		67,347		—		39,199		161,735		871,509		1,201,018
Taxes and Insurance		75,099		18,820		50,590		5,023		46,936		134,988		766,222		1,097,678
		365,698		26,420		291,693		7,958		220,026		843,673		3,107,278		4,862,746
Income Before Other Income		119,339		34,915		157,161		19,578		171,801		289,701		1,302,482		2,094,977
Other Income (Loss)
Interest Expense		(181,970)		—		(80,107)		—		(60,323)		(339,811)		(1,269,869)		(1,932,080)
Interest Income		7,472		307		670		90		4,736		4,125		60,495		77,895
		(174,498)		307		(79,437)		90		(55,587)		(335,686)		(1,209,374)		(1,854,185)
Net (Loss) Income	$	(55,159)	$	35,222	$	77,724	$	19,668	$	116,214	$	(45,985)	$	93,108	$	240,792
Net (Loss) Income —NERA 50%	$	(27,580)	$	17,611	$	38,862	$	9,834	$	58,107	$	(22,992)				73,843
Net Income —NERA 40%													$	37,243		37,243
															$	111,086

Future annual mortgage maturities at September 30, 2026 are as follows:

At September 30, 2026, the weighted average interest rate on the above mortgages was 4.3%. The effective rate was 4.4% including the amortization expense of deferred financing costs

	Hamilton		345		Hamilton		Hamilton on		Dexter
Period End	Essex 81		Franklin		Minuteman		Main Apts		Park		Total
9/30/2027	$		$	266,775	$	—	$		$	—	$	266,775
9/30/2028		—		7,533,359		—		—		125,000,000		132,533,359
9/30/2029		—				—		—		—		—
9/30/2030		—		—		—		—		—		—
9/30/2031		—		—		—		—		—		—
Thereafter		12,214,000		—		6,000,000		23,589,000		—		41,803,000
		12,214,000		7,800,134		6,000,000		23,589,000		125,000,000		174,603,134
Less: unamortized deferred financing costs		(152,970)		(11,652)		(40,577)		(192,339)		(107,705)		(505,243)
	$	12,061,030	$	7,788,482	$	5,959,423	$	23,396,661	$	124,892,295	$	174,097,891

Summary financial information at September 30, 2025

				Hamilton									Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	5,298,785		$	2,578,834		$	3,944,259		$	69,315		$	3,781,556		$	13,372,001		$	69,368,454		$	98,413,204
Cash & Cash Equivalents		2,957,779			64,506			100,046			14,268			618,244			287,451			4,731,097			8,773,391
Rent Receivable		153,153			62,810			10,492			895			13,286			35,349			145,272			421,257
Real Estate Tax Escrow		70,289			—			79,926			—			36,067			—			—			186,282
Prepaid Expenses & Other Assets		397,786			29,387			92,822			939			78,424			319,765			2,506,742			3,425,865
Total Assets	$	8,877,792		$	2,735,537		$	4,227,545		$	85,417		$	4,527,577		$	14,014,566		$	76,751,565		$	111,219,999
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	12,044,033		$	—		$	8,038,487		$	—		$	5,951,240		$	23,372,366		$	124,827,672		$	174,233,798
Accounts Payable & Accrued Expense		222,266			7,000			105,473			2,702			70,503			222,068			772,803			1,402,815
Advance Rental Pmts& Security Deposits		349,841			—			280,627			—			159,475			476,085			3,102,500			4,368,528
Total Liabilities		12,616,140			7,000			8,424,587			2,702			6,181,218			24,070,519			128,702,975			180,005,141
Partners’ Capital		(3,738,348)			2,728,537			(4,197,042)			82,715			(1,653,641)			(10,055,953)			(51,951,410)			(68,785,142)
Total Liabilities and Capital	$	8,877,792		$	2,735,537		$	4,227,545		$	85,417			4,527,577		$	14,014,566		$	76,751,565		$	111,219,999
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures	$	—		$	1,364,269		$	—		$	41,358		$			$			$			$	1,405,626
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(1,869,173)		$	—		$	(2,098,520)		$	—		$	(826,821)		$	(5,027,977)		$	(20,780,565)			(30,603,056)
Total Investment in Unconsolidated Joint Ventures (Net)																						$	(29,197,430)
Total units/condominiums
Apartments		48			—			40			0			42			148			409			687
Commercial		1			1			—			1			—			—			—			3
Total		49			1			40			1			42			148			409			690

Financial information for the nine months ended September 30, 2025

			Hamilton						Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Apts		Apts		Park		Total
Revenues
Rental Income	$	1,470,949	$	181,413	$	1,408,071	$	77,219	$	1,130,131	$	3,281,200	$	13,440,970	$	20,989,953
Laundry and Sundry Income		8,663		—		—		—		—		42,236		132,144		183,043
		1,479,612		181,413		1,408,071		77,219		1,130,131		3,323,436		13,573,114		21,172,996
Expenses
Administrative		21,935		16,709		51,056		3,644		19,647		61,488		207,905		382,384
Depreciation and Amortization		347,980		8,782		263,284		2,448		258,384		862,702		2,754,240		4,497,820
Management Fees		60,368		7,586		54,542		3,119		44,637		129,432		280,331		580,015
Operating		247,428		—		78,253		153		106,961		438,652		1,106,892		1,978,339
Renting		48,517		—		68,595		100		10,367		100,356		170,809		398,744
Repairs and Maintenance		153,000		—		150,284		—		103,949		484,553		1,467,823		2,359,609
Taxes and Insurance		222,225		51,806		144,757		14,405		123,509		368,068		2,093,980		3,018,750
		1,101,453		84,883		810,771		23,869		667,454		2,445,251		8,081,980		13,215,661
Income Before Other Income		378,159		96,530		597,300		53,350		462,677		878,185		5,491,134		7,957,335
Other Income (Loss)
Interest Expense		(521,484)		—		(246,058)		—		(176,777)		(997,081)		(3,851,742)		(5,793,142)
Interest Income		26,694		1,019		5,034		413		8,666		12,418		122,995		177,239
		(494,790)		1,019		(241,024)		413		(168,111)		(984,663)		(3,728,747)		(5,615,903)
Net (Loss) Income	$	(116,631)	$	97,549	$	356,276	$	53,763	$	294,566	$	(106,478)	$	1,762,387	$	2,341,432
Net (Loss) Income —NERA 50%	$	(58,316)	$	48,775	$	178,138	$	26,882	$	147,283	$	(53,239)				289,523
Net Income —NERA 40%													$	704,956		704,956
															$	994,478

Financial information for the three months ended September 30, 2025

			Hamilton						Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Apts		Apts		Park		Total
Revenues
Rental Income	$	472,600	$	60,471	$	447,773	$	27,384	$	387,047	$	1,105,154	$	4,508,796	$	7,009,225
Laundry and Sundry Income		3,572		—		—		—		—		13,025		38,160		54,757
		476,172		60,471		447,773		27,384		387,047		1,118,179		4,546,956		7,063,982
Expenses
Administrative		6,745		14,699		29,496		768		3,278		13,125		64,311		132,422
Depreciation and Amortization		116,036		2,927		88,624		816		87,438		289,528		930,368		1,515,737
Management Fees		20,677		2,529		17,850		1,060		15,059		43,402		93,941		194,518
Operating		75,015		—		11,005		94		26,475		148,150		372,844		633,583
Renting		38,300		—		32,318		31		1,100		45,879		123,593		241,221
Repairs and Maintenance		68,156		—		81,494		—		42,527		188,692		730,578		1,111,447
Taxes and Insurance		73,470		17,033		48,758		4,668		43,017		127,614		664,254		978,814
		398,399		37,188		309,545		7,437		218,894		856,390		2,979,889		4,807,742
Income Before Other Income		77,773		23,283		138,228		19,947		168,153		261,789		1,567,067		2,256,240
Other Income (Loss)
Interest Expense		(177,126)		—		(81,196)		—		(59,555)		(336,135)		(1,312,036)		(1,966,048)
Interest Income		7,222		337		1,137		125		3,706		3,597		47,857		63,981
		(169,904)		337		(80,059)		125		(55,849)		(332,538)		(1,264,179)		(1,902,067)
Net (Loss) Income	$	(92,131)	$	23,620	$	58,169	$	20,072	$	112,304	$	(70,749)	$	302,888	$	354,173
Net (Loss) Income —NERA 50%	$	(46,066)	$	11,810	$	29,085	$	10,036	$	56,152	$	(35,375)				25,643
Net Income —NERA 40%													$	121,155		121,155
															$	146,798