NOTE 14. 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. Harold Brown’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, 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 it matured 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. In connection with this refinancing, the property incurred a defeasance charge of approximately $3,830,000. Based on its’ ownership in the property, the Partnership incurred 40% of this charge, an expense of approximately $1,532,000. This charge had a material effect on the 2018 net income.

At December 31, 2019, the balance on this mortgage before unamortized deferred financing costs is approximately $125,000,000. This investment, Hamilton Park Towers, LLC is referred to as Dexter Park.

On October 3, 2005, the Partnership invested $2,500,000 for a 50% ownership interest in a 168‑unit apartment complex in Quincy, Massachusetts. The purchase price was $30,875,000. The Joint Venture sold 120 units as condominiums and retained 48 units for long‑term investment. In February 2007, the Joint Venture refinanced the 48 units with a new 10 year mortgage in the original amount of $4,750,000 with an interest rate of 5.57%, interest only for five years. The loan was to be amortized over 30 years with a maturity date of March 2017. On March 1, 2017, the mortgage balance was paid in full, with the Partnership contributing its share of the mortgage balance of approximately $2,222,000. After paying off the mortgage, the Partnership sold the individual units. 3 units were sold in 2019, resulting in a gain of approximately $429,000. As of December 30, 2019, all units have been sold by this Joint Venture. This investment is referred to as Hamilton Bay Apartments, LLC.

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 28, 2015, Hamilton Essex Development, LLC paid off the outstanding mortgage balance of $1,952,286. The Partnership made a capital contribution of $978,193 to Hamilton Essex Development LLC for its share of the funds required for the transaction. Additionally, the Partnership made a capital contribution of $100,000 to Hamilton Essex 81, LLC. 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. 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 December 31, 2019, the balance on this mortgage before unamortized deferred financing costs is approximately $10,000,000. 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 Partnership sold 127 of the units as condominiums and retained 49 units for long‑term investment. The Partnership obtained a new 10‑year mortgage in the amount of $5,000,000 on the units to be retained by the Partnership. 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. 2 units were sold in 2019, resulting in a gain of approximately $306,000. As of December 31, 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. In October 2004, the Joint Venture obtained a mortgage on the property in the amount of $8,025,000 and returned $3,775,000 to the Partnership. The Joint Venture obtained a new 10‑ year mortgage in the amount of $5,500,000 in January 2007. The interest on the new loan was 5.67% fixed for the ten year term with interest only payments for five years and amortized over a 30 year period for the balance of the loan. This loan required a cash contribution by the Partnership of $1,250,000 in December 2006. 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. At December 31, 2019, the balance on this mortgage before unamortized deferred financing costs is approximately $6,000,000. 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. 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 2005, Hamilton on Main Apartments, LLC obtained a ten year mortgage on the three buildings to be retained. The mortgage was $16,825,000, with interest only of 5.18% for three years and amortizing on a 30 year schedule for the remaining seven years when the balance was due. The net proceeds after funding escrow accounts and closing costs on the mortgage were approximately $16,700,000, which were used to reduce the existing mortgage. 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. At December 31, 2019, the balance of the mortgage before unamortized deferred financing costs is approximately $16,900,000.. 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. 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 December 31, 2019, the balance of this mortgage before unamortized deferred financing costs is approximately $9,355,000. This investment is referred to as 345 Franklin, LLC.

Summary financial information as of December 31, 2019


				Hamilton												Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Bay Apts			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	7,083,307		$	2,593,148		$	5,678,703			88,083		$	—		$	5,323,570		$	15,891,917		$	83,980,278		$	120,639,006
Cash & Cash Equivalents		197,467			49,460			223,691			8,186			—			95,965			480,899			2,185,844			3,241,512
Rent Receivable		217,779			33,072			—			—			—			221			11,284			43,373			305,729
Real Estate Tax Escrow		66,410			—			19,985			—			—			29,110			85,597			—			201,102
Prepaid Expenses & Other Assets		303,876			97,716			84,228			1,567			—			23,831			158,714			1,572,665			2,242,597
Total Assets	$	7,868,839		$	2,773,396		$	6,006,607		$	97,836		$	—		$	5,472,697		$	16,628,411		$	87,782,160		$	126,629,946
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	9,920,713		$	—		$	9,298,174		$	—		$	—		$	5,904,185		$	16,825,094		$	124,456,090		$	166,404,256
Accounts Payable & Accrued Expense		81,718			2,600			77,908			7,828			—			47,740			282,855			799,949			1,300,598
Advance Rental Pmts & Security Deposits		321,205			—			325,682			—			—			151,180			479,585			2,776,988			4,054,640
Total Liabilities		10,323,636			2,600			9,701,764			7,828			—			6,103,105			17,587,534			128,033,027			171,759,494
Partners’ Capital		(2,454,797)			2,770,796			(3,695,157)			90,008			—			(630,408)			(959,123)			(40,250,867)			(45,129,548)
Total Liabilities and Capital	$	7,868,839		$	2,773,396		$	6,006,607		$	97,836		$	—		$	5,472,697		$	16,628,411		$	87,782,160		$	126,629,946
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures	$	—		$	1,385,398		$	—		$	45,004		$	—		$	—		$	—		$	—			1,430,402
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(1,227,399)		$	—		$	(1,847,579)		$	—		$	—		$	(315,204)		$	(479,562)		$	(16,100,347)			(19,970,089)
Total Investment in Unconsolidated Joint Ventures (Net)																									$	(18,539,687)
Total units/condominiums
Apartments		48			—			40			175			48			42			148			409			910
Commercial		1			1			—			1			—			—			—			—			3
Total		49			1			40			176			48			42			148			409			913
Units to be retained		49			1			40			—			—			42			148			409			689
Units to be sold		—			—			—			175			48			—			—			—			223
Units sold through February 1, 2020		—			—			—			175			48			—			—			—			223
Unsold units		—			—			—			—			—			—			—			—			—
Unsold units with deposits for future sale as of February 1, 2020		—			—			—			—			—			—			—			—			—

Summary financial information for the year ended December 31, 2019


			Hamilton								Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Bay Apts		Apts		Apts		Park		Total
Revenues
Rental Income	$	1,743,610	$	222,183	$	1,613,295	$	93,116	$	3,541	$	1,136,912	$	3,429,864	$	16,406,426	$	24,648,947
Laundry and Sundry Income		14,350		—		2,844		—		—		6,033		41,174		100,695		165,096
		1,757,960		222,183		1,616,139		93,116		3,541		1,142,945		3,471,038		16,507,121		24,814,043
Expenses
Administrative		29,307		25,369		24,610		7,497		6,147		7,722		68,877		207,769		377,298
Depreciation and Amortization		483,748		20,297		345,282		7,655		—		357,932		1,046,022		3,642,465		5,903,401
Management Fees		69,039		8,683		62,486		3,556		145		45,624		132,195		342,613		664,341
Operating		89,002		8		80,581		974		—		83,872		398,286		1,138,348		1,791,071
Renting		43,534		—		36,918		64		—		5,324		47,817		361,446		495,103
Repairs and Maintenance		152,930		3,180		125,474		28,399		10,266		133,812		651,948		1,405,732		2,511,741
Taxes and Insurance		245,086		61,493		154,731		22,213		5,206		131,821		404,805		2,049,298		3,074,653
		1,112,646		119,030		830,082		70,358		21,764		766,107		2,749,950		9,147,671		14,817,608
Income Before Other Income		645,314		103,153		786,057		22,758		(18,223)		376,838		721,088		7,359,450		9,996,435
Other Income (Loss)
Interest Expense		(466,737)		—		(377,448)		—		—		(235,883)		(769,526)		(5,065,599)		(6,915,193)
Interest Income		—		—		—		—		—		—		—		—		—
Gain on Sale of Real Estate		—		—		—		306,075		428,560		—		—		—		734,635
		(466,737)		—		(377,448)		306,075		428,560		(235,883)		(769,526)		(5,065,599)		(6,180,558)
Net Income (Loss)	$	178,577	$	103,153	$	408,609	$	328,833	$	410,337	$	140,955	$	(48,438)	$	2,293,851	$	3,815,877
Net Income (Loss)—NERA 50%	$	89,289	$	51,577	$	204,305	$	164,417	$	205,169	$	70,478	$	(24,219)				761,014
Net Income —NERA 40%															$	917,540		917,540
																	$	1,678,554

Future annual mortgage maturities at December 31, 2019 are as follows:


	Hamilton		345		Hamilton		Hamilton on		Dexter
Period End	Essex 81		Franklin		Minuteman		Main Apts		Park		Total
12/31/2020	$	—	$	205,532	$	—	$	—	$	—	$	205,532
12/31/2021		—		213,629		—		—		—		213,629
12/31/2022		—		222,044		—		—		—		222,044
12/31/2023		—		230,791		—		—		—		230,791
12/31/2024		—		239,883		—		16,900,000		—		17,139,883
Thereafter		10,000,000		8,242,892		6,000,000		—		125,000,000		149,242,892
		10,000,000		9,354,771		6,000,000		16,900,000		125,000,000		167,254,771
Less: unamortized deferred financing costs		(79,287)		(56,597)		(95,815)		(74,906)		(543,910)		(850,515)
	$	9,920,713	$	9,298,174	$	5,904,185	$	16,825,094	$	124,456,090	$	166,404,256

At December 31, 2019 the weighted average interest rate on the above mortgages was 4.03%. The effective rate was 4.09% including the amortization expense of deferred financing costs.

Summary financial information as of December 31, 2018


				Hamilton												Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Bay Apts			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	7,222,446		$	2,595,638		$	6,005,953		$	—		$	—		$	5,639,497		$	16,718,616		$	86,988,709		$	125,170,859
Assets Held for Sale		—			—			—			265,622			379,515			—			—			—			645,137
Cash & Cash Equivalents		131,634			118,093			94,349			125,611			258,487			99,701			160,310			1,972,138			2,960,323
Rent Receivable		199,425			28,329			6,872			2,977			—			3,711			23,845			269,345			534,504
Real Estate Tax Escrow		71,579			—			19,863			—			—			30,801			96,761			—			219,004
Prepaid Expenses & Other Assets		267,028			115,491			64,930			22,439			113,164			19,476			64,371			1,043,892			1,710,791
Total Assets	$	7,892,112		$	2,857,551		$	6,191,967		$	416,649		$	751,166		$	5,793,186		$	17,063,903		$	90,274,084		$	131,240,618
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	9,906,924		$	—		$	9,489,257		$	—		$	—		$	5,896,001		$	16,809,043		$	124,391,467		$	166,492,692
Accounts Payable & Accrued Expense		196,896			1,750			51,932			33,282			9,498			48,866			186,461			867,773			1,396,458
Advance Rental Pmts& Security Deposits		259,821			—			249,546			7,187			2,291			124,684			389,084			2,559,561			3,592,174
Total Liabilities		10,363,641			1,750			9,790,735			40,469			11,789			6,069,551			17,384,588			127,818,801			171,481,324
Partners’ Capital		(2,471,529)			2,855,801			(3,598,768)			376,180			739,377			(276,365)			(320,685)			(37,544,717)			(40,240,706)
Total Liabilities and Capital	$	7,892,112		$	2,857,551		$	6,191,967		$	416,649		$	751,166		$	5,793,186		$	17,063,903		$	90,274,084		$	131,240,618
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures	$	—		$	1,427,901		$	—		$	188,090		$	369,689		$			$			$			$	1,985,680
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(1,235,765)		$	—		$	(1,799,384)		$	—		$	—		$	(138,183)		$	(160,343)		$	(15,017,887)			(18,351,562)
Total Investment in Unconsolidated Joint Ventures (Net)																									$	(16,365,882)
Total units/condominiums
Apartments		48			—			40			175			48			42			148			409			910
Commercial		1			1			—			1			—			—			—			—			3
Total		49			1			40			176			48			42			148			409			913
Units to be retained		49			1			40			—			—			42			148			409			689
Units to be sold		—			—			—			176			48			—			—			—			224
Units sold through February 1, 2019		—			—			—			174			47			—			—			—			221
Unsold units		—			—			—			2			1			—			—			—			3
Unsold units with deposits for future sale as of February 1, 2019		—			—			—			1			—			—			—			—			1

Summary financial information for the year ended December 31, 2018


			Hamilton								Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Bay Apts		Apts		Apts		Park		Total
Revenues
Rental Income	$	1,654,459	$	244,137	$	1,567,718	$	112,785	$	74,812	$	1,077,105	$	3,419,218	$	15,769,019	$	23,919,253
Laundry and Sundry Income		14,595				5,410		—		—		(364)		38,080		106,237		163,958
		1,669,054		244,137		1,573,128		112,785		74,812		1,076,741		3,457,298		15,875,256		24,083,211
Expenses
Administrative		21,146		9,280		27,601		5,939		12,566		5,449		56,339		222,472		360,792
Depreciation and Amortization		475,646		8,706		347,547		—		30,000		355,463		1,032,394		3,582,439		5,832,195
Management Fees		59,246		8,632		65,058		4,503		3,091		42,852		131,500		337,318		652,200
Operating		78,979		—		76,512		1,606		1,435		93,795		388,387		1,302,164		1,942,878
Renting		41,946		37,353		44,869		108		—		5,940		25,947		489,727		645,890
Repairs and Maintenance		159,486		8,643		130,926		94,680		92,268		121,222		663,314		1,395,609		2,666,148
Taxes and Insurance		247,729		64,529		147,217		46,164		36,094		127,505		426,665		1,731,155		2,827,058
		1,084,178		137,143		839,730		153,000		175,454		752,226		2,724,546		9,060,884		14,927,161
Income Before Other Income		584,876		106,994		733,398		(40,215)		(100,642)		324,515		732,752		6,814,372		9,156,050
Other Income (Loss)
Interest Expense		(440,676)		—		(384,824)		—		—		(237,707)		(770,342)		(5,032,626)		(6,866,175)
Interest Income		—		—		—		—		—		—		—		—		—
Other Income		—		—		—		—		—		—		—		(3,829,950)		(3,829,950)
Gain on sale of real estate		—		—		—		1,972,876		2,437,665		—		—		—		4,410,541
		(440,676)		—		(384,824)		1,972,876		2,437,665		(237,707)		(770,342)		(8,862,576)		(6,285,584)
Net Income (Loss)	$	144,200	$	106,994	$	348,574	$	1,932,662	$	2,337,023	$	86,808	$	(37,590)	$	(2,048,204)	$	2,870,466
Net Income (Loss)—NERA 50%	$	72,100	$	53,497	$	174,287	$	966,331	$	1,168,512	$	43,404	$	(18,795)				2,459,336
Net Income —NERA 40%															$	(819,282)		(819,282)
																	$	1,640,054

Summary financial information for the year ended December 31, 2017


				Hamilton												Hamilton			Hamilton
	Hamilton			Essex			345			Hamilton			Hamilton			Minuteman			on Main			Dexter
	Essex 81			Development			Franklin			1025			Bay Apts			Apts			Apts			Park			Total
ASSETS
Rental Properties	$	7,615,554		$	2,598,297		$	6,325,676		$	—		$	—		$	5,870,833		$	17,568,730		$	89,746,236		$	129,725,326
Assets Held for Sale		—			—			—			1,670,652			2,365,620			—			—			—			4,036,272
Cash & Cash Equivalents		293,801			46,076			105,074			86,495			448,952			88,436			145,149			969,064			2,183,047
Rent Receivable		21,478			—			9,057			7,129			9,199			2,121			14,879			152,759			216,622
Real Estate Tax Escrow		95,544			—			18,171			—			—			28,519			183,649			316,132			642,015
Prepaid Expenses & Other Assets		77,490			697			53,813			362,044			315,996			25,703			71,449			1,291,561			2,198,753
Total Assets	$	8,103,867		$	2,645,070		$	6,511,791		$	2,126,320		$	3,139,767		$	6,015,612		$	17,983,856		$	92,475,752		$	139,002,035
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable	$	9,893,135		$	—		$	9,672,846		$	—		$	—		$	5,887,818		$	16,792,991		$	81,898,222		$	124,145,012
Accounts Payable & Accrued Expense		57,811			1,700			56,417			11,151			23,049			49,540			137,282			750,666			1,087,616
Advance Rental Pmts& Security Deposits		313,218			—			234,870			11,649			19,365			76,426			361,677			2,469,208			3,486,413
Total Liabilities		10,264,164			1,700			9,964,133			22,800			42,414			6,013,784			17,291,950			85,118,096			128,719,041
Partners’ Capital		(2,160,297)			2,643,370			(3,452,342)			2,103,520			3,097,353			1,828			691,906			7,357,656			10,282,994
Total Liabilities and Capital	$	8,103,867		$	2,645,070		$	6,511,791		$	2,126,320		$	3,139,767		$	6,015,612		$	17,983,856		$	92,475,752		$	139,002,035
Partners’ Capital %—NERA		50	%		50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures	$			$	1,321,684		$	—		$	1,051,759		$	1,548,676		$	913		$	345,952		$	2,943,060			7,212,044
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures	$	(1,080,148)		$	—		$	(1,726,171)		$	—		$	—		$	—		$	—		$	—			(2,806,319)
																									$	4,405,725
Total units/condominiums
Apartments		48			—			40			175			48			42			148			409			910
Commercial		1			1			—			1			—			—			—			—			3
Total		49			1			40			176			48			42			148			409			913
Units to be retained		49			1			40			—			—			42			148			409			689
Units to be sold		—			—			—			176			48			—			—			—			224
Units sold through February 1, 2018		—			—			—			159			31			—			—			—			190
Unsold units		—			—			—			17			17			—			—			—			34
Unsold units with deposits for future sale as of February 1, 2018		—			—			—			7			4			—			—			—			11

Summary financial information for the year ended December 31, 2017


			Hamilton						Hamilton				Hamilton		Hamilton
	Hamilton		Essex		345		Hamilton		Bay		Hamilton		Minuteman		on Main		Dexter
	Essex 81		Development		Franklin		1025		Sales		Bay Apts		Apts		Apts		Park		Total
Revenues
Rental Income	$	1,404,006	$	227,856	$	1,473,098	$	352,888	$	5,557	$	544,482	$	1,024,570	$	3,359,971	$	14,983,834	$	23,376,262
Laundry and Sundry Income		15,424				5,380								2,620		37,968		101,131		162,523
		1,419,430		227,856		1,478,478		352,888		5,557		544,482		1,027,190		3,397,939		15,084,965		23,538,785
Expenses
Administrative		26,760		26,065		25,686		4,142		6,326		8,617		5,671		33,688		179,614		316,569
Depreciation and Amortization		456,728		2,830		348,502		82,383		81,655		181,152		349,910		1,005,595		3,376,142		5,884,897
Management Fees		59,873		9,114		61,513		13,056		253		19,947		39,976		133,138		323,136		660,006
Operating		70,847		—		70,599		458		38		4,239		87,284		360,706		1,146,768		1,740,939
Renting		37,474		—		36,194		392		181		241		7,992		36,767		282,022		401,263
Repairs and Maintenance		188,763		3,668		109,039		227,346		3,326		303,174		81,647		606,570		1,435,579		2,959,112
Taxes and Insurance		239,875		58,538		138,503		99,646		1,850		140,904		127,947		436,266		1,719,536		2,963,065
		1,080,320		100,215		790,036		427,423		93,629		658,274		700,427		2,612,730		8,462,797		14,925,851
Income Before Other Income		339,110		127,641		688,442		(74,535)		(88,072)		(113,792)		326,763		785,209		6,622,168		8,612,934
Other Income (Loss)
Interest Expense		(349,303)		—		(393,193)		—		—		(41,957)		(237,293)		(770,953)		(4,780,498)		(6,573,197)
Interest Income		—		—		—		—		—		—		—		—		—		—
Other Income		—		—		—		—		—		—		—		—		—		—
Gain on sale of real estate		—		—		—		2,378,753		133,295		3,628,205		—		—		—		6,140,253
		(349,303)		—		(393,193)		2,378,753		133,295		3,586,248		(237,293)		(770,953)		(4,780,498)		(432,944)
Net Income (Loss)	$	(10,193)	$	127,641	$	295,249	$	2,304,219	$	45,223	$	3,472,456	$	89,469	$	14,256	$	1,841,672	$	8,179,990
Net Income (Loss)—NERA 50%	$	(5,097)	$	63,821	$	147,625	$	1,152,109	$	22,612	$	1,736,228	$	44,735	$	7,127				3,169,159
Net Income —NERA 40%																	$	736,668		736,668
																			$	3,905,827