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USA Courtney Downs LeaseCo, LLC

Balance Sheet
Books = Accrual
Nov 2007

ASSETS

Cash
Operating Cash 40,247.60
Money Market 0.00
Total Cash $40,247.60

OTHER ASSETS
Accounts Receivable (1,675.08)
Prepaid Expenses 5,879.99
Tax Escrow 226,938.42
Replacement Reserves 41,302.04
Capital / Repair Escrow 200,000.00
Total Other Assets 472,445.37

Total ASSETS 512,692.97

LIABILITIES & CAPITAL

LIABILITIES
Accounts Payable - Trade 138,372.64
Other Accounts Payable 776,437.05
Accrued Taxes 314,002.26
Prepaid Rent 40,436.55
Security Deposits 37,868.63
Total Liabilities 1,307,117.13

CAPITAL

Owners Equity 100.00
Retained Earnings (794,524.16)
Total Capital (794,424.16)

Total LIABILITIES & CAPITAL 512,692.97
USA Courtney Downs LeaseCo, LLC
Cash Flow (Actual + Budget)
Books = Accrual
For the 12 Months Ending Dec 2007

Jan 2007 Feb 2007 Mar 2007 Apr 2007 May 2007 Jun 2007 Jul 2007 Aug 2007 Sep 2007 Oct 2007 Nov 2007 Dec 2007 12 Month $/ $/ Dec 2006 12 Month $/ $/
Account Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Budget Total Unit Sq. Ft. Reforecast Total Unit Sq. Ft.
342 313,778 342 313,778
Revenue
Gross Potential Rent 352,560 345,950 343,190 338,114 331,407 327,521 321,211 314,121 309,900 307,861 304,657 321,211 3,917,703 11,455.27 12.49 364,160 4,919,199 14,383.62 15.68
- Vacancy (34,193) (31,453) (33,657) (26,399) (19,217) (11,745) (8,517) (14,496) (17,176) (16,540) (18,457) (11,745) (243,595) (712.27) (0.78) (43,000) (317,510) (928.39) (1.01)
- Concessions & Disc. (77,240) (77,177) (74,811) (68,736) (56,781) (52,476) (45,332) (33,435) (26,860) (27,853) (24,522) (49,500) (614,722) (1,797.43) (1.96) (80,000) (770,544) (2,253.05) (2.46)
- Other Write-offs & Adj. (5,251) (7,154) (5,738) (5,449) (6,551) (6,386) (5,803) (8,688) (5,798) (7,418) (8,902) (6,386) (79,525) (232.53) (0.25) (6,085) (101,131) (295.70) (0.32)
Total Rental Income 235,876 230,165 228,984 237,529 248,858 256,914 261,560 257,502 260,065 256,050 252,776 253,580 2,979,861 8,713.04 9.50 235,075 3,730,014 10,906.47 11.89

Other Income 27,580 21,616 22,944 22,832 23,203 22,482 19,521 31,751 27,802 23,451 24,899 20,195 288,275 842.91 0.92 19,000 353,213 1,032.79 1.13
Total Revenue 263,457 251,781 251,928 260,361 272,061 279,396 281,081 289,253 287,867 279,501 277,675 273,775 3,268,136 9,555.95 10.42 254,075 4,083,227 11,939.26 13.01

Operating Expenses
Salary Expense 33,611 20,391 30,933 32,195 31,382 31,663 40,842 22,827 31,229 29,995 30,781 30,347 366,195 1,070.74 1.17 37,759 466,153 1,363.02 1.49
Operating Expense 2,710 2,821 2,230 3,652 3,228 3,040 5,519 2,088 3,595 1,911 4,543 3,665 39,002 114.04 0.12 3,030 50,354 147.23 0.16
Advertising Expense 6,159 5,921 9,117 4,298 6,292 4,400 4,564 7,230 3,448 6,521 5,629 6,394 69,973 204.60 0.22 6,885 89,086 260.48 0.28
Make Ready Expense 3,805 2,722 3,636 6,647 4,645 6,951 5,843 4,190 7,769 6,636 5,174 2,828 60,844 177.91 0.19 7,500 76,523 223.75 0.24
Maintenance Expense 2,027 1,541 2,485 2,639 1,612 1,405 3,289 2,097 2,185 11,250 4,727 2,425 37,683 110.19 0.12 2,295 47,241 138.13 0.15
Service Expense 6,403 10,329 1,917 3,299 5,923 4,883 3,010 3,137 3,150 3,267 3,583 1,835 50,735 148.35 0.16 2,395 58,697 171.63 0.19
Administrative Expense 15,368 15,798 15,451 15,440 14,701 16,179 18,825 16,316 16,541 14,854 15,690 17,301 192,465 562.76 0.61 14,969 240,989 704.65 0.77
Utility Expense 9,370 15,941 12,794 6,685 9,382 12,548 12,990 1,571 8,672 10,645 7,972 8,051 116,622 341.00 0.37 10,900 143,887 420.72 0.46
Credit Card Fees 0 0 0 0 0 0 0 0 0 945 202 600 1,747 5.11 0.01
Taxes & Insurance 37,910 33,542 33,143 33,465 34,552 34,243 64,955 34,433 34,062 34,680 34,680 32,739 442,404 1,293.58 1.41 0 443,699 1,297.37 1.41
37,237 37,237 108.88 0.12
Total Operating Exp. 117,362 109,007 111,705 108,319 111,718 115,314 159,837 93,888 110,652 120,703 112,980 106,185 1,377,670 4,028.28 4.39
Net Operating Income 146,094 142,774 140,223 152,043 160,343 164,082 121,244 195,364 177,215 158,798 164,695 167,589 1,890,466 5,527.68 6.02 122,970 1,653,865 4,835.86 5.27
131,106 2,429,362 7,103.40 7.74
Rent Expense 193,253 193,253 193,253 193,253 193,253 193,253 193,253 193,253 193,253 193,253 193,253 193,253 2,319,041 6,780.82 7.39
Partnership Expense 0 0 0 0 365 0 690 273 735 0 129 415 2,606 7.62 0.01 193,254 196,411 574.30 0.63
Capital Expense 1,601 4,113 10,791 8,376 13,906 2,091 4,426 11,143 8,759 6,129 11,240 4,900 87,476 255.78 0.28 0 103,872 303.72 0.33
3,300 3,300 9.65 0.01
Cash Flow Frm Operations (48,760) (54,592) (63,822) (49,586) (47,181) (31,262) (77,125) (9,305) (25,533) (40,585) (39,927) (30,979) (518,657) (1,516.54) (1.65)
(65,449) 2,125,779 6,215.73 6.77
Rental Guarantees 7,543 (3,489) 0 0 0 0 0 0 0 0 0 0 0
250,000 250,000
Balance Sheet Adjustments
Cash - Non Operating Accounts 0 0 4,562 4,374 2,739 0 46,036 0 0 0 0 0 57,711
Accounts Receivable (4,571) (717) 131,540 (134,406) 2,415 (1,420) 8,565 8,538 (43) 321 1,244 0 11,465 0 12,708
Prepaid Assets (7,749) 3,588 6,328 (4,460) 523 337 10,797 5,633 5,633 5,139 5,880 0 31,648 0 37,528
Escrow Deposits (30,394) (34,568) (34,568) (34,822) 322,388 (35,800) (35,800) (35,800) (35,800) (35,800) 14,016 (7,125) 15,925 0 22,816
(2,951) (2,951)
Cash Increase (Decreae) From Assets (42,714) (31,697) 107,861 (169,314) 328,065 (36,884) 29,597 (21,630) (30,210) (30,340) 21,140 (7,125) 116,749
(2,951) 70,102
Accounts Payable 36,334 64,458 (135,734) 185,452 117,385 41,375 118,141 24,714 18,691 37,197 6,339 0 514,350
Accrued Expenses 41,830 25,859 110,449 36,480 (411,342) 29,291 (51,145) (11,371) 25,600 32,375 21,925 0 (150,050) 0 (128,125)
Other Payables (1,829) (1,300) (1,433) (4,374) (2,739) (793) (1,500) (2,763) (2,538) 1,250 (1,824) 0 (19,842) 0 (21,666)
Mortgages Payable 0 (11,458) (5,571) 15,448 1,581 0 12,262 0 (11,933) 0 0 0 328 0 328
0 0
Cash Increase (Decrease) From Liab. 76,334 77,559 (32,289) 233,006 (295,115) 69,872 77,757 10,580 29,821 70,821 26,440 0 344,787
0 (149,462)

NET CASH FLOW (7,597) (12,219) 11,751 14,106 (14,231) 1,726 30,229 (20,355) (25,922) (103) 7,653 (38,104) (57,122)
CUMM. NET CASH FLOW 47,614 35,395 47,146 61,251 47,020 48,746 78,975 58,620 32,698 32,595 40,248 2,144 181,601 2,296,419
55210.94 181,601

$700,000

$600,000

$500,000

$400,000

$300,000

$200,000

$100,000

$-

$(100,000)

$(200,000)

$(300,000)
Jan 2007 Feb 2007 Mar 2007 Apr 2007 May 2007 Jun 2007 Jul 2007 Aug 2007 Sep 2007 Oct 2007 Nov 2007 Dec 2007

Row 60 Row 61

Units
Sq. Ft.
### 384807

bayclub2 160 146,080
castlep 356 384,807
cedar 300 274,080
congress 257 254,074
jackson 247 221,730
lee 10 22,160
rem 428 398,868
ric 5 24,952
parkside 300 305,832
polo 440 403,761
sat 440 548,750
sweet 240 264,892
trailapt 280 286,056
vlgcrest 120 108,276
walnut 284 254,103
westo 12 48,309
wind 346 433,196
usacourt 280 299,111
usawalcr 284 254,103
W31: administrator:
assume insurance increases by 50%

W48: administrator:
replacement reserve + reduction in tax escrow due to overage
USA Courtney Downs LeaseCo, LLC
Budget Comparison
Books = Accrual
For the period ending November 30, 2007

MTD MTD YTD YTD
Account Actual Budget $ Variance MTD Variance Comment Actual Budget
Revenue
Market Rent 294,410.00 348,045.00 (53,635.00) Concessions are no longer being 3,260,240.00 3,861,770.00
offered, market rents changed to
reflect lower rents.
Loss / Gain to Lease 10,247.00 0.00 10,247.00 We have changed the budget to reflect 336,252.00 0.00
lower market rents, this will continue to
reduce over time as last years
concessions deplete.
Gross Potential Rent 304,657.00 348,045.00 (43,388.00) Explained above. 3,596,492.00 3,861,770.00
Prepaid Homeowners Dues 0.00 0.00 0.00 0.00 0.00
Residential Rent 0.00 0.00 0.00 0.00 0.00
Vacancy Loss (18,456.83) (29,485.24) 11,028.41 Actual vacancy is at 6% and budget is (231,850.03) (294,954.29)
at 8%.
Upfront Rent Concessions (6,795.41) (1,740.00) (5,055.41) Current specials are reduced prices on (39,232.82) (58,725.00)
selected units and waived security
deposit with look and lease.
Corporate Discount 0.00 0.00 0.00 0.00 0.00
Delinquent Rent 0.00 0.00 0.00 0.00 0.00
Adjustments & W/O (3,649.21) (677.66) (2,971.55) Due to one skip and excessive (18,511.08) (7,159.86)
damages from other move outs.
Model Units (1,980.00) (1,625.00) (355.00) (21,780.00) (17,875.00)
Courtesy Officer Apt. 0.00 0.00 0.00 0.00 0.00
Employee Apartment (1,934.80) (2,050.00) 115.20 (19,909.80) (22,550.00)
Housekeeping & Maintenance Fee 0.00 0.00 0.00 0.00 0.00
Guest Suite (1,337.85) (900.00) (437.85) (12,937.85) (9,900.00)
Lease Term Concessions (17,726.67) (41,179.17) 23,452.50 We have been able to reduce the (525,989.60) (593,822.78)
amount of concessions given off each
month to meet market needs. We have
also been renewing leases with fewer
concessions.
Homeowner's Assn Dues Income 0.00 0.00 0.00 0.00 0.00
Homeowner Dues Paid 0.00 0.00 0.00 0.00 0.00
Model Units 0.00 0.00 0.00 0.00 0.00
Lease Contract Difference 0.00 0.00 0.00 0.00 0.00
Total Rental Income $252,776.23 $270,387.93 $(17,611.70) Explained above. $2,726,280.82 $2,856,783.07

Laundry Income 0.00 0.00 0.00 0.00 0.00
Vending Income 0.00 68.00 (68.00) 0.00 748.00
Covered Parking Income 0.00 0.00 0.00 0.00 0.00
Late Charges & NSF Fees 2,148.00 1,650.00 498.00 We had 22 late fees charged and 7 20,019.60 18,150.00
NSF fees.
Month to Month Premium 1,326.67 200.00 1,126.67 Seven month to month fees collected 9,204.25 2,200.00
versus two budgeted.
Storage Fees 1,005.85 960.00 45.85 10,271.15 10,560.00
Repair & Maintenance Fees 0.00 0.00 0.00 0.00 0.00
Application Fees 1,310.00 750.00 560.00 We had 26 applications fees collected 16,519.90 9,600.00
versus 15 budgeted.
Termination Fees & Damages 2,695.00 1,000.00 1,695.00 Had one buyout fee due to resident 13,872.82 11,000.00
buying a house.
Miscellaneous Income 555.00 1,160.00 (605.00) Collected 13 utility transfer fees, 10 7,293.78 12,760.00
credit card convenience fees and one
firearm discharge fee.
Renters Insurance 0.00 0.00 0.00 0.00 0.00
Interest Income 0.00 0.00 0.00 3,488.53 0.00
Pet Rents & Fees 2,467.68 2,456.00 11.68 36,697.99 27,016.00
Tower Rent 0.00 0.00 0.00 0.00 0.00
Asset Management Fee 0.00 0.00 0.00 0.00 0.00
Parking Spaces Income 0.00 0.00 0.00 0.00 0.00
Homeowners Assessments 0.00 0.00 0.00 0.00 0.00
Garage Income 7,243.25 6,650.00 593.25 75,127.91 73,150.00
Water/Sewer Income 0.00 0.00 0.00 0.00 0.00
Cable/Telephone Income 0.00 1,006.00 (1,006.00) No cable income check received. 4,741.92 11,066.00
HOA Contributions Developer 0.00 0.00 0.00 0.00 0.00
Developer HOA Dues 0.00 0.00 0.00 0.00 0.00
Forfeited Deposits 1,967.40 90.00 1,877.40 Collected four deposits versus one 5,411.05 990.00
budgeted.
Developer Contributions 0.00 0.00 0.00 0.00 0.00
Interest Income Other 0.00 0.00 0.00 0.00 0.00
Thunder Income 0.00 0.00 0.00 0.00 0.00
Administration Fee 2,700.00 2,400.00 300.00 Collected 18 admin fees versus 16 32,600.00 31,800.00
budgeted.
Move-Out Charges 930.09 3,330.00 (2,399.91) Apartments left in better condition 26,307.70 45,510.00
resulting in fewer fees charged.
Short Term Lease Fees 550.00 150.00 400.00 Received four short term fees versus 6,048.29 3,300.00
one budgeted.
Extra-Ordinary Income 0.00 0.00 0.00 0.00 0.00
Corporate Rent 0.00 425.00 (425.00) 475.41 4,675.00
Corporate Units - expense 0.00 (1,750.00) 1,750.00 Bills being paid under guest suite 0.00 (19,250.00)
expense.
Deferred Revenue 0.00 0.00 0.00 0.00 0.00
HOA Developer Contributions 0.00 0.00 0.00 0.00 0.00
Acquisition Fees 0.00 0.00 0.00 0.00 0.00
Income - Rental 0.00 0.00 0.00 0.00 0.00
Income - C.A.M. 0.00 0.00 0.00 0.00 0.00
Income - Insurance 0.00 0.00 0.00 0.00 0.00
Income - Taxes 0.00 0.00 0.00 0.00 0.00
Income - Interest 0.00 0.00 0.00 0.00 0.00
Income - Other 0.00 0.00 0.00 0.00 0.00
Income - Condo Sales 0.00 0.00 0.00 0.00 0.00
Total Other Income 24,898.94 20,545.00 4,353.94 Explained above. 268,080.30 243,275.00

Total Revenue $277,675.17 $290,932.93 $(13,257.76) Explained above. $2,994,361.12 $3,100,058.07

Expense
Managers Salary 11,514.88 12,613.82 1,098.94 126,604.77 135,148.06
Salaries 0.00 0.00 0.00 0.00 0.00
Maintenance Salary 12,587.83 11,784.65 (803.18) 140,161.04 126,264.13
Salary - Administrative 0.00 0.00 0.00 0.00 0.00
Commissions & Bonus 4,179.84 1,837.50 (2,342.34) We had underestimated the bonus's to 44,819.42 33,855.98
be paid on a monthly basis.
Payroll Taxes 0.00 0.00 0.00 0.00 0.00
Group Insurance 1,666.41 778.00 (888.41) We have more participants for our 18,830.99 8,558.00
insurance program then what was
anticipated in the budget.
Disability Insurance 0.00 0.00 0.00 0.00 0.00
401k Match 0.00 0.00 0.00 0.00 0.00
Contract Labor 831.82 0.00 (831.82) 5,431.70 0.00
Workers Comp 0.00 0.00 0.00 0.00 0.00
Total Salary Expense 30,780.78 27,013.97 (3,766.81) Explained above. 335,847.92 303,826.17

Office Operations & Supplies 1,340.45 1,000.00 (340.45) Ordering of Laser printer cartridges 7,514.83 11,000.00
and toner for the fax machines.
Telephones 800.55 1,100.00 299.45 8,211.63 12,100.00
Answering Svc. & Pagers 131.25 100.00 (31.25) 1,106.40 1,100.00
Postage & Delivery 517.06 170.00 (347.06) 2,613.85 1,870.00
Patrol Services 0.00 0.00 0.00 0.00 0.00
Membership Dues 0.00 0.00 0.00 0.00 0.00
Publications & Subscriptions 63.00 90.00 27.00 1,198.82 990.00
Conventions/Seminars 0.00 0.00 0.00 0.00 0.00
Employee Training 176.59 115.00 (61.59) 3,642.71 1,265.00
Furniture Rental 0.00 0.00 0.00 0.00 0.00
Car Expenses 0.00 25.00 25.00 385.44 275.00
Permits & Fees 0.00 25.00 25.00 0.00 275.00
Credit Checks 1,009.20 450.00 (559.20) Ran 20 credit checks versus nine 4,743.16 5,760.00
budgeted.
Guest Suite Expense 504.71 650.00 145.29 5,919.74 7,150.00
Parking Cost 0.00 0.00 0.00 0.00 0.00
Total Operating Expense 4,542.81 3,725.00 (817.81) Explained above. 35,336.58 41,785.00

Advertising & Promotions 2,927.69 2,600.00 (327.69) Human directional ordered and new 39,789.54 34,300.00
flutter flags needed for the property.
Resident Promotions 266.48 798.00 531.52 Savings due to no monthly party. 4,746.28 8,778.00
Locators 1,934.55 1,735.44 (199.11) 13,942.75 22,994.58
Resident Referrals 500.00 1,860.00 1,360.00 One resident referral was paid out this 5,100.00 24,645.00
month.
Total Advertising Expense 5,628.72 6,993.44 1,364.72 Explained above. 63,578.57 90,717.58

Paint & Drywall 292.66 652.50 359.84 2,404.52 7,425.00
Contract Cleaning Svcs. 3,000.00 250.00 (2,750.00) We had an error in budgeting, we have 31,585.00 2,750.00
been over budget all year.
Carpet Cleaning & Repairs 1,121.00 2,175.00 1,054.00 Fewer carpets cleaned than budgeted 17,387.00 24,750.00
for, most of the carpets needed
replacing.
Window Coverings 418.73 100.00 (318.73) We had 17 blinds needing replacing 3,075.19 1,100.00
this month.

Vinyl & Tile Repairs 0.00 0.00 0.00 0.00 0.00
Lock & Keys (176.19) 50.00 226.19 Initial order came in wrong, this is the 670.00 550.00
credit from that order.
Counter & Tub Resurfacing 225.00 416.67 191.67 1,136.64 4,583.37
Other Redecorating 0.00 25.00 25.00 0.00 275.00
Cleaning Supplies 292.66 133.33 (159.33) 1,758.01 1,466.63
Total Make Ready Expense 5,173.86 3,802.50 (1,371.36) Explained above. 58,016.36 42,900.00

General Maintenance & Supplies 1,151.19 700.00 (451.19) Overage due to balance carried over 7,337.35 7,700.00
from Contravest.
HVAC Parts & Repairs 296.52 100.00 (196.52) 1,700.38 1,100.00
Plumbing Parts & Repairs 241.36 140.00 (101.36) 1,299.66 4,915.00
Electric Parts & Repairs 57.74 150.00 92.26 501.50 1,650.00
Roof & Gutter Repairs 0.00 0.00 0.00 270.00 0.00
Pools & Fountains 716.24 450.00 (266.24) We keep the pool heated in the winter 4,595.34 4,950.00
months.
Gates & Entrances 0.00 0.00 0.00 125.00 0.00
Glass & Screens 0.00 160.00 160.00 1,444.15 1,760.00
Appliance Parts & Repairs 438.62 450.00 11.38 3,298.35 5,400.00
Hardware 15.54 75.00 59.46 1,183.03 825.00
Exterior Painting 0.00 25.00 25.00 355.34 275.00
Uniforms 0.00 0.00 0.00 502.73 2,000.00
Elevator Service & Repairs 0.00 0.00 0.00 0.00 0.00
Security & Fire Systems 1,810.02 175.00 (1,635.02) Installation of new backflow device. 12,645.50 10,220.00
Uninsured Losses 0.00 0.00 0.00 0.00 0.00
Locks & Keys 0.00 0.00 0.00 0.00 0.00
Bulbs & Ballasts 0.00 0.00 0.00 0.00 0.00
Total Maintenance Expense 4,727.23 2,425.00 (2,302.23) Explained above. 35,258.33 40,795.00

Landscape & Grounds 2,773.23 5,000.00 2,226.77 No need to install winter flowers due to 23,698.38 30,000.00
installation of river rock in its place.
Trash Removal 724.07 510.00 (214.07) 7,443.86 5,610.00
Pest Control 86.00 75.24 (10.76) 1,387.26 827.64
Security Patrols 0.00 0.00 0.00 0.00 0.00
Window Cleaning Svc. 0.00 0.00 0.00 0.00 0.00
Interior Cleaning Svc. 0.00 0.00 0.00 0.00 0.00
Cable Television 0.00 0.00 0.00 0.00 0.00
Snow Removal 0.00 800.00 800.00 We did not experience any snowfall in 16,370.42 4,600.00
November.
Total Service Expense 3,583.30 6,385.24 2,801.94 Explained above. 48,899.92 41,037.64

Expenses - CAM - Electric 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Water/Sewer 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Gas 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Grounds 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Trash Removal 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Cleaning Svcs 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Maintenance 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - Insurance 0.00 0.00 0.00 0.00 0.00
Expenses - CAM - R/E Taxes 0.00 0.00 0.00 0.00 0.00
Total CAM Expense 0.00 0.00 0.00 0.00 0.00

Management Fees 11,107.01 11,637.32 530.31 Based on % of collection. 122,625.15 124,002.32
Asset Management Fees 1,000.00 1,000.00 0.00 11,000.00 11,000.00
Investor Administration Fee 3,200.00 3,300.00 100.00 35,550.00 36,300.00
Legal Fees 382.80 1,300.00 917.20 Four evictions filed versus seven 2,741.70 14,300.00
budgeted.
Accounting Fees 0.00 0.00 0.00 0.00 0.00
Postage & Delivery 0.00 0.00 0.00 0.00 0.00
Bank Charges 0.00 9.58 9.58 0.01 105.38
Partnership Insurance 0.00 0.00 0.00 0.00 0.00
Other Administrative Expenses 0.00 0.00 0.00 0.00 0.00
Travel Expense 0.00 0.00 0.00 572.67 0.00
Employee Activities 0.00 0.00 0.00 123.71 0.00
Printing 0.00 0.00 0.00 0.00 0.00
Computer Consulting 0.00 0.00 0.00 0.00 0.00
Computer Expense 0.00 0.00 0.00 2,550.30 5,124.00
Bank Charges 0.00 0.00 0.00 0.00 0.00
Development Cost 0.00 0.00 0.00 0.00 0.00
Total Admin. Expense 15,689.81 17,246.90 1,557.09 In line with the budget. 175,163.54 190,831.70
Electricity 475.55 3,340.00 2,864.45 Accrued 20 days for the month of 27,845.00 36,740.00
10/2007.
Electricity Gas - Resident 0.00 0.00 0.00 0.00 0.00
Natural Gas 1,179.47 2,565.00 1,385.53 17,583.22 28,215.00
Water & Sewer 15,722.37 8,965.00 (6,757.37) Due to increase of water charges when 142,564.70 98,615.00
only budgeted for a 3% increase.

Water & Sewer - Resident Reimb (10,508.07) (6,275.50) 4,232.57 (96,692.99) (69,030.50)
Water - irrigation 2,035.92 0.00 (2,035.92) Includes services from 9/27/07. 26,038.84 23,500.00
Electric - Tenant Reimbursement 0.00 0.00 0.00 0.00 0.00
Trash Reimbursement (1,999.22) (2,011.00) (11.78) (25,445.42) (22,121.00)
Water - Tenant Reimbursement 0.00 0.00 0.00 0.00 0.00
Utility -Vacant Electric 643.26 850.44 207.18 11,711.51 8,507.34
Utility - Vacant Gas 422.62 566.96 144.34 4,966.70 5,671.56
Tenant Reimbursement - Gas 0.00 0.00 0.00 0.00 0.00
Total Utility Expense 7,971.90 8,000.90 29.00 Explained above. 108,571.56 110,097.40

Management Fees 0.00 0.00 0.00 0.00 0.00
Management Fees-MRLL 0.00 0.00 0.00 0.00 0.00
Property Legal Fees 0.00 0.00 0.00 0.00 0.00
Credit Card Fees 202.02 0.00 (202.02) 1,146.87 0.00
Bank Charges 0.00 0.00 0.00 0.00 0.00
Bank Adjustments 0.00 0.00 0.00 0.00 0.00
Other Professional Fees 0.00 0.00 0.00 0.00 0.00
Late Charges 0.00 0.00 0.00 0.00 0.00
HOA Assessment Fees 0.00 0.00 0.00 0.00 0.00
Contributions 0.00 0.00 0.00 0.00 0.00
Fiduciary Fees 0.00 0.00 0.00 0.00 0.00
Custodial Fees 0.00 0.00 0.00 0.00 0.00
Thunder Expense 0.00 0.00 0.00 0.00 0.00
Accounting Fees 0.00 0.00 0.00 0.00 0.00
Total Management Expense 202.02 0.00 (202.02) 1,146.87 0.00

Property Taxes 28,800.00 27,616.50 (1,183.50) 314,002.26 303,781.50
Franchise Tax 0.00 0.00 0.00 0.00 0.00
Insurance 5,879.93 5,073.00 (806.93) Based on actual expense. 95,062.84 55,803.00
Tax Consultants 0.00 49.88 49.88 600.00 548.68
MIP 0.00 0.00 0.00 0.00 0.00
Total Taxes & Insurance 34,679.93 32,739.38 (1,940.55) 409,665.10 360,133.18
Total Operating Expenses 112,980.36 108,332.33 (4,648.03) 1,271,484.75 1,222,123.67
NET OPERATING INCOME 164,694.81 182,600.60 (17,905.79) Explained above. 1,722,876.37 1,877,934.40

Base Rent - Interest Payment 106,586.67 106,586.67 0.00 1,172,453.37 1,172,453.37
Base Rent - Principal Payment 0.00 0.00 0.00 0.00 0.00
Stated Rent 86,666.71 86,666.67 (0.04) 953,333.81 953,333.37
Office Rent 0.00 0.00 0.00 0.00 0.00
Total Rent Expense 193,253.38 193,253.34 (0.04) 2,125,787.18 2,125,786.74

Mortgage Interest 0.00 0.00 0.00 0.00 0.00
Loan Fees 0.00 0.00 0.00 0.00 0.00
Interest Expense 0.00 0.00 0.00 0.00 0.00
Interest Expense 0.00 0.00 0.00 0.00 0.00
Total Debt Service 0.00 0.00 0.00 0.00 0.00

Partnership Legal Fees 0.00 170.00 170.00 0.00 1,870.00
Partnership Accounting Fees 0.00 170.00 170.00 365.00 1,870.00
Partnership Travel 107.11 75.00 (32.11) 1,080.46 825.00
Partnership - Meals 21.42 0.00 (21.42) 745.80 0.00
Partnership Fees - Other 0.00 0.00 0.00 0.00 0.00
Partnership Expense 0.00 0.00 0.00 0.00 0.00
Due Diligence Cost 0.00 0.00 0.00 0.00 0.00
Dead Deal Cost 0.00 0.00 0.00 0.00 0.00
Partnership Exp- Leaseup Costs 0.00 0.00 0.00 0.00 0.00
Total Partnership Expense 128.53 415.00 286.47 2,191.26 4,565.00

Exterior Rehab 0.00 0.00 0.00 4,533.00 18,946.00
Interior Rehab 0.00 0.00 0.00 0.00 3,250.00
HVAC Replacement 0.00 0.00 0.00 0.00 0.00
Carpet & Floor Replacement 9,579.10 4,900.00 (4,679.10) Budgeted for four replacements and 62,624.71 53,900.00
actual replaced was nine.
Refrigerators 0.00 0.00 0.00 1,227.02 600.00
Dishwashers & Ranges 0.00 0.00 0.00 0.00 0.00
Washers / Dryers 0.00 0.00 0.00 0.00 0.00
Fire Alarm Replacement 0.00 0.00 0.00 0.00 0.00
Other Capital Improvements 1,660.60 0.00 (1,660.60) Two windows replaced in units 2103 14,191.49 3,713.00
and 6102 and replacement of a water
heater valve.
Boiler Replacement 0.00 0.00 0.00 0.00 0.00
Roof Replacement 0.00 0.00 0.00 0.00 0.00
Total Capital Expenses 11,239.70 4,900.00 (6,339.70) Explained above. 82,576.22 80,409.00
Casualty Losses 0.00 0.00 0.00 0.00 0.00
Casualty Recovery 0.00 0.00 0.00 0.00 0.00
Total Casualty Loss 0.00 0.00 0.00 0.00 0.00
NET INCOME (LOSS) (39,926.80) (15,967.74) (23,959.06) (487,678.29) (332,826.34)

Rental Guarantee 0.00 0.00 0.00 4,054.35 0.00
(39,926.80) (15,967.74) (23,959.06) (483,623.94) (332,826.34)
Annual
$ Variance Budget YTD Variance Comment

(601,530.00) 4,209,210.00

336,252.00 0.00

(265,278.00) 4,209,210.00
0.00 0.00
0.00 0.00
63,104.26 (325,479.64)

19,492.18 (59,160.00)

0.00 0.00
0.00 0.00
(11,351.22) (7,841.82)

(3,905.00) (19,500.00)
0.00 0.00
2,640.20 (24,600.00)
0.00 0.00
(3,037.85) (10,800.00)
67,833.18 (632,942.99)

0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
$(130,502.25) $3,128,885.55

0.00 0.00
(748.00) 816.00
0.00 0.00
1,869.60 19,800.00

7,004.25 2,400.00

(288.85) 11,520.00
0.00 0.00
6,919.90 10,250.00

2,872.82 12,000.00

(5,466.22) 13,920.00

0.00 0.00
3,488.53 0.00
9,681.99 29,472.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
1,977.91 79,800.00
0.00 0.00
(6,324.08) 12,072.00
0.00 0.00
0.00 0.00
4,421.05 1,080.00

0.00 0.00
0.00 0.00
0.00 0.00
800.00 33,800.00

(19,202.30) 48,840.00

2,748.29 3,600.00

0.00 0.00
(4,199.59) 5,100.00
19,250.00 (21,000.00)

0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
24,805.30 263,470.00

$(105,696.95) $3,392,355.55

8,543.29 147,761.88
0.00 0.00
(13,896.91) 138,048.78
0.00 0.00
(10,963.44) 39,026.28

0.00 0.00
(10,272.99) 9,336.00

0.00 0.00
0.00 0.00
(5,431.70) 0.00
0.00 0.00
(32,021.75) 334,172.94

3,485.17 12,000.00

3,888.37 13,200.00
(6.40) 1,200.00
(743.85) 2,040.00
0.00 0.00
0.00 0.00
(208.82) 1,080.00
0.00 0.00
(2,377.71) 1,380.00
0.00 0.00
(110.44) 300.00
275.00 300.00
1,016.84 6,150.00

1,230.26 7,800.00
0.00 0.00
6,448.42 45,450.00

(5,489.54) 36,900.00

4,031.72 9,576.00
9,051.83 24,440.78
19,545.00 26,195.00

27,139.01 97,111.78

5,020.48 7,852.50
(28,835.00) 3,000.00

7,363.00 26,175.00

(1,975.19) 1,200.00

0.00 0.00
(120.00) 600.00

3,446.73 5,000.04
275.00 300.00
(291.38) 1,599.96
(15,116.36) 45,727.50

362.65 8,400.00

(600.38) 1,200.00
3,615.34 5,055.00
1,148.50 1,800.00
(270.00) 0.00
354.66 5,400.00

(125.00) 0.00
315.85 1,920.00
2,101.65 5,850.00
(358.03) 900.00
(80.34) 300.00
1,497.27 2,000.00
0.00 0.00
(2,425.50) 10,395.00
0.00 0.00
0.00 0.00
0.00 0.00
5,536.67 43,220.00

6,301.62 30,000.00

(1,833.86) 6,120.00
(559.62) 902.88
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
(11,770.42) 5,850.00

(7,862.28) 42,872.88

0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00

1,377.17 135,694.22
0.00 12,000.00
750.00 39,600.00
11,558.30 15,600.00

0.00 0.00
0.00 0.00
105.37 114.96
0.00 0.00
0.00 0.00
(572.67) 0.00
(123.71) 0.00
0.00 0.00
0.00 0.00
2,573.70 5,124.00
0.00 0.00
0.00 0.00
15,668.16 208,133.18
8,895.00 40,080.00

0.00 0.00
10,631.78 30,780.00
(43,949.70) 107,580.00

27,662.49 (75,306.00)
(2,538.84) 23,500.00
0.00 0.00
3,324.42 (24,132.00)
0.00 0.00
(3,204.17) 9,387.78
704.86 6,258.52
0.00 0.00
1,525.84 118,148.30

0.00 0.00
0.00 0.00
0.00 0.00
(1,146.87) 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
(1,146.87) 0.00

(10,220.76) 331,398.00
0.00 0.00
(39,259.84) 60,876.00
(51.32) 598.56
0.00 0.00
(49,531.92) 392,872.56
(49,361.08) 1,327,709.14
(155,058.03) 2,064,646.41

0.00 1,279,040.04
0.00 0.00
(0.44) 1,040,000.04
0.00 0.00
(0.44) 2,319,040.08

0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00

1,870.00 2,040.00
1,505.00 2,040.00
(255.46) 900.00
(745.80) 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
0.00 0.00
2,373.74 4,980.00

14,413.00 18,946.00
3,250.00 3,250.00
0.00 0.00
(8,724.71) 58,800.00

(627.02) 600.00
0.00 0.00
0.00 0.00
0.00 0.00
(10,478.49) 3,713.00

0.00 0.00
0.00 0.00
(2,167.22) 85,309.00
0.00 0.00
0.00 0.00
0.00 0.00
(154,851.95) (344,682.67)

4,054.35 0.00
(150,797.60) (344,682.67)
Courtney Downs Apartments
November 07
LEASING & OCCUPANCY

NUMBER OF MOVE INS: 13 INCOME THIS MONTH: $277,675.00
NUMBER OF MOVE OUTS: 17 INCOME LAST MONTH: $279,501.00
NET FOR THE MONTH: -4 DIFFERENCE: -$1,826.00

TOTAL # GARAGES 120
# GARAGES OCCUPIED 116
OCCUPIED/LEASED %: 93.57%/96.78% GARAGES OCCUPIED % 97%

SOURCE OF TRAFFIC: REASONS WHY PROSPECTS DID NOT LEASE:
Traffic Leased
APTGUIDE.COM 0 0 * Job Transfer 5
APARTMENT GUIDE 0 0 * Too expensive. 6
YELLOW PAGES 0 0 * Future/No Availability/Waiting list 8
OTHER. NET 13 5 * Just started looking. 0
BLUE BOOK 21 6 * Waiting for Home to Sell 9
RENT.NET 0 0 * Current Lease to Expire 7
LIVES IN AREA 18 5 * Needs Ground Floor 3
RESIDENT REFERRAL 4 0 * Moved Elsewhere 5
LOCATORS 7 0 * Will return with roommate or spouse 8
RENT.COM 0 0 * Realtor Looking for Client 0
WALK-IN 0 0 * Undecided 2
SIGNAGE 9 0 * Employment pending 0
WORD OF MOUTH 0 0 * House sale pending 0
* Rented at Competitor 0
TOTALS 72 19 TOTALS 53

CLOSING RATIO: 37%

MARKETING ACTIVITIES & SOURCES FOR THE MONTH

* Met with Metro Brokers and dropped off brochures.
* Took flyers and brochures to Comcast Human Resourses.
* Took flyers to Parker Adventist Hospital Human Resourses.
* Took locators lunch and new prices for the month.
* Updated all internet ads with new pricing and specials for the month of October.
* Brochures and lunch were taken to First Data Human Resources.
* Met with Metro Brokers sales team with options of temporary housing for new home buyers.
* Dropped off cookie basket and brochures to Wells Fargo Team.
* Dropped off doughnuts and brochures to Marriott extended stay hotels.
* Took cookie and candy bag with flyer's to Newman Homes.
* Took cookie bag and brochures to David Weekly Homes.
* Took cookie and candy bag to D R Horton Homes sales center.
OVERVIEW OF COMPARABLE PROPERTIES:
The surrounding comps are still offering discounted rents on selected units.
This translates into one bedroom effective rents of $695, two bedrooms at $799and three bedrooms starting at $1050.
Look and leases are being locked in with $500 off to one month off with a 12 to 13 month lease.
Overall market is low 90's and average rental rate of $825.00 per month.
RESIDENT RETENTION:
We had 25 leases expiring in the month of November. 3- due to buying a house, 2- to relocating
3- too expensive, 1-moving home and 1 transfer on site.
and 13 residents decided to renew.
Overall we had 15 renewals with an average increase of $55.00 per renewal.
INCIDENTS ON THE PROPERTY:
N/A
MAINTENANCE: ROUTINE REPLACEMENTS:
Number
Number of: Replaced Apt. #
MARKET READY UNITS 18 REFRIGERATORS 0
COMPLETE PAINTS 10 DISHWASHERS 0 0
TOUCH UPS 8 WINDOWS 0
WORK ORDERS 124 A/C COMPRESSORS 0
Pending Completed 0 CONDENSING UNITS 0
Misc 0 9 9 WATER HEATERS 0
Electrical 0 23 23 ICE MAKERS 0
Punch 0 18 18 GARBAGE DISPOSALS 0
HVAC 0 7 7 MICROWAVES 0
9210, 12312, 2312, 7306, 19111,
Plumbing 0 56 56 CARPETS 9 4306, 19108, 4104 and 12110.
Property Ext. 0 0 0 CEILING FANS 0
Appliances 0 9 9 TOILETS 0
Safety 0 2 2 A/C FAN MOTORS 0
Total 0 124 124 COUNTER TOPS 0
ROOF LEAKS 0 CABINETS RESURFACED KITCHEN 0
19107-1, 12312-1, 2312-1, 7308-1,
19112-3, 7208-1, 4306-2, 9311-1,
PLUMBING LEAKS 0 BLINDS 17 19108-2, 4104-2, 4202-2.
TUBS RESURFACED 0
TUB TILES 0

CAPITAL IMPROVEMENTS IN PROGRESS:
N/A

PROBLEM AREAS NEEDING ATTENTION:
Snow blower is down and out.
Air compressor is broken.

CURRENT STAFF:

Manager Nancy Howland
Assistant Manager Carrie McMillan
Leasing Consultant Summer Wahrman
Leasing Consultant Kate Hawkins
Maintenance Supervisor Gabriel Tellez
Assistant Maintenance Russell Briley
Maintenance/ Grounds Jorge Chavez and Jorge Bernal

ACCOMPLISHMENTS FOR THE MONTH:
Courtney Downs
RENTAL SCHEDULE
November 07

EFFECTIVE EFFECTIVE EFFECTIVE Vacants Notice Net
UNIT TYPE #UNITS SIZE TOTAL MKT RENT MKT RENT MONTHLY ANNUAL CONCESSION CONCESSION PER S/F MONTHLY Vacants Leased Notice Leased Available
S/F PER UNIT PER S/F GROSS GROSS RENTS* PER UNIT GROSS
A1 1BR 40 704 28,160 725 1.03 $29,000 $348,000 725.00 1.03 $29,000 3 1 11 3 10
A1V 1BR 32 704 22,528 725 1.03 $27,520 $330,240 725.00 1.03 $27,520 0 0 0 0 0
A2 1BR 18 910 16,380 850 0.93 $15,300 $183,600 850.00 0.93 $15,300 1 1 2 0 2
B1 1BR 24 808 19,392 750 0.93 $18,000 $216,000 750.00 0.93 $18,000 3 2 5 0 6
B1V 1BR 32 808 25,856 760 0.94 $24,320 $291,840 760.00 0.94 $24,320 0 0 0 0 0
C 2BR 42 977 41,034 875 0.90 $36,750 $441,000 875.00 0.90 $36,750 5 2 7 0 10
C1 2BR 44 1,030 45,320 900 0.87 $39,600 $475,200 900.00 0.87 $39,600 4 0 6 0 10
C1V 2BR 22 1,030 22,660 925 0.90 $20,350 $244,200 925.00 0.90 $20,350 0 0 0 0 0
CV 2BR 24 977 23,448 875 0.90 $21,000 $252,000 875.00 0.90 $21,000 0 0 0 0 0
D 2BR 16 1,030 16,480 925 0.90 $14,800 $177,600 925.00 0.90 $14,800 1 1 6 0 6
DV 2BR 20 1,030 20,600 925 0.90 $18,500 $222,000 925.00 0.90 $18,500 0 0 0 0 0
E 3BR 24 1,140 27,360 1160 1.02 $27,840 $334,080 1,160.00 1.02 $27,840 3 2 2 0 3
EV 3BR 4 1,140 4,560 1160 1.02 $4,640 $55,680 1,160.00 1.02 $4,640 0 0 0 0 0

TOTAL 342 917 313,778 $870 $0.95 $297,620 $3,571,440 $870 0.95 $297,620 20 9 39 3 47
* Net of Concessions
MARKET SURVEY
Courtney Downs
November-07

Apartment Name Courtney Downs Coyote Ranch Windsor @ Meridian Pinnacle @ the Creek Dove Valley Cherrywood Village Reserve @ South Creek
Address 15849 E. Jamison Dr16363 E Freemont Ave 9875 Jefferson Pkwy 6107 S Parker Rd 7550 S Blackhawk 16950 E Carlson Dr 15611 E Jamison Dr
Phone 720-870-6114 303-693-8787 303-256-7700 303-766-2500 303-362-2000 303-805-7200 303-680-6696
Location Englewood, Co Aurora, Co Englewood, Co 80112 Centennial, Co Englewood, Co 80112 Parker, Co 80134 Englewood, Co 80112
# of units 342 507 653 216 312 360 168
Age of Property 5 5 7 4 6 6 6
Application Fee $50.00 $35.00 $40.00 $35.00 $40.00 $35.00 $50.00
Credit Card yes yes yes no yes no yes
Pets Allowed yes yes yes yes yes yes yes
Pet Deposit 300 n/r 300-600 150-300 $100 300-500 $400-500 300
Sec. Deposit 150 275-325 300 $300 $100.00 $200-300 100
W/D included Yes yes Only In Select Units Only Select Units no yes no
Covered Parking no yes yes yes no no no
Garage Detached yes yes yes yes yes yes
Cable Yes yes yes yes yes yes yes
Tennis Courts no no no no yes yes yes
# of pools 1 1 1 1 1 2 1
Weight Room yes yes yes yes yes yes yes
Jacuzzi yes 1 1 1 1 2 1
Ceiling Fans yes yes yes yes yes yes yes
Microwaves yes yes yes yes yes yes yes
Mini Blinds yes yes yes yes yes yes yes
FF Freezer yes yes yes yes yes yes yes
Icemakers yes yes yes yes yes yes yes
Fireplaces yes no yes yes yes yes yes
Access Gates no yes yes no yes yes yes
Alarm in Unit Prewired no yes yes yes no yes
Door to Door no no no no no no no
Aerobics/Kick Box no no no no no no no
Movie Room no yes yes yes yes yes yes
Computer Library yes yes yes yes yes yes yes
Indoor Basketball no no no no no no no
Water Charge yes no yes yes yes yes yes
MARKET SURVEY
Courtney Downs
November-07
(Concessions reduced rates)

PROPERTY: Courtney Downs Apt Coyote Ranch Windsor at Meridian Pinnacle @ the Creek Dove Valley Cherrywood Village Reserve@South Creek
PRICE SIZE PSF PRICE SIZE PSF PRICE SIZE PSF PRICE SIZE PSF PRICE SIZE PSF PRICE SIZE PSF PRICE SIZE PSF
Efficiency
Efficiency
1B1B (A) 725 704 1.03 695 779 0.89 680 627 1.08 795 685 1.16 770 768 1.00 690 707 0.98 689 763 0.90
1B1B (B) 850 808 1.05 770 853 0.90 740 701 1.06 830 705 1.02 785 842 0.93 708 796 729 763 1.05
1B1B w/study 750 910 0.82 840 811 0.91 845 760 1.03 790 992 1040 916
1B
1B
1B w/loft
1B1B w/study 820 956 0.86 1109 1051 1.06
2B2B (E) 875 977 0.90 950 1105 0.86 920 1044 0.88 1110 1120 0.99 1001 1115 0.90 900 1033 0.87 813 1037 0.78
2B2B (F) 900 1030 0.87 1015 1192 0.85 1060 1196 0.89 1036 1220 0.85 965 1093 0.88 840 1037 1.23
2B2B (G) 925 1030 0.90 1090 1180 0.92
2B2B (H)
2B2B
2B w/study
2B2B TH
2B2B TH
3B2B 1,160 1140 1.02 1270 1398 0.91 1320 1330 0.99 1169 1230 0.95 1271 1356 0.94 1290 1235 1.04 897 1257 0.71
3B2B 1340 1398 0.91 1305 1235 1.04 1134 1257 1.10

% occ /leased 94 96.78% 96% 97% 0 0% 94% 95.30% 96.0% 95% 93.1% 95% 96.0% 92%
Avg PSF 1 0.94 0.89 0.95 1.03 0.92 0.96 0.96
Avg Rents 884 1114 994 808 942 1131 995
/ Avail)
Units(Total 342 44 507 12 653 216 22 312 25 360 15 0 168 9

Special: look and lease
special $150 security deposit Special: $200 to one
waived and Reduced rents on Special: Reduced pricing Will not give out any Special:Rest of the month month off 12 to 13 month Special: $500 off first full Special: One month free on a
Rates select units. for all floor plans. information. for free on select units. lease. months rent. 12 to 13 month special.
reflect these rates:
specials:

Ren.: 15% increase on all Ren: Info not avail per Ren: $60 to $85 increas Ren: Average $50 to $125 Ren: Free carpet cleaning
Ren: $75 to $100 increase. renewals. corporate Ren:Per corporate for 12 month lease increase. with 12mo.