Document And Entity Information
Document And Entity Information | 6 Months Ended |
Jun. 30, 2019shares | |
Document Information [Line Items] | |
Entity Registrant Name | SB PARTNERS |
Entity Central Index Key | 0000087047 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Non-accelerated Filer |
Entity Current Reporting Status | Yes |
Entity Emerging Growth Company | false |
Entity Small Business | false |
Entity Common Stock, Shares Outstanding (in shares) | 0 |
Entity Shell Company | false |
Document Type | 10-Q |
Document Period End Date | Jun. 30, 2019 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q2 |
Amendment Flag | false |
Consolidated Balance Sheets (Cu
Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Assets: | ||
Land | $ 470,000 | $ 470,000 |
Buildings, furnishings and improvements | 5,247,109 | 5,239,859 |
Less - accumulated depreciation | (2,320,940) | (2,249,190) |
Total real estate property | 3,396,169 | 3,460,669 |
Investment in Sentinel Omaha, LLC, net of reserve for fair value of $9,270,695 and $10,709,724 at June 30, 2019 and December 31, 2018, respectively | 37,082,754 | 42,838,890 |
Total investments | 40,478,923 | 46,299,559 |
Other Assets - | ||
Cash and cash equivalents | 1,725,979 | 338,239 |
Other | 1,140 | 7,789 |
Total assets | 42,206,042 | 46,645,587 |
Liabilities: | ||
Accounts payable | 190,774 | 561,800 |
Tenant security deposit | 105,611 | 104,212 |
Accrued expenses | 91,235 | 3,408,317 |
Total liabilities | 387,620 | 4,074,329 |
Partners' Equity (Deficit): | ||
Limited partner - 7,753 units | 41,831,464 | 42,584,203 |
General partner - 1 unit | (13,042) | (12,945) |
Total partners' equity | 41,818,422 | 42,571,258 |
Total liabilities and partners' equity | $ 42,206,042 | $ 46,645,587 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Investment in Sentinel Omaha, LLC, reserve for fair value | $ 9,270,695 | $ 10,709,724 |
Limited partner - units (in shares) | 7,753 | 7,753 |
General partner - units (in shares) | 1 | 1 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues: | ||||
Base rental income | $ 189,785 | $ 184,203 | $ 379,570 | $ 368,406 |
Other rental income | 88,532 | 87,041 | 177,064 | 174,082 |
Interest income | 676 | 5,825 | 715 | 8,362 |
Total revenues | 278,993 | 277,069 | 557,349 | 550,850 |
Expenses: | ||||
Real estate operating expenses | 85,743 | 72,007 | 151,651 | 139,794 |
Amortization of deferred financing costs | 1,820 | 7,279 | ||
Depreciation | 35,875 | 39,765 | 71,750 | 79,530 |
Real estate taxes | 32,765 | 30,466 | 64,724 | 60,934 |
Management fees | 250,746 | 228,903 | 503,000 | 455,067 |
Other | 31,460 | 30,734 | 61,524 | 61,209 |
Total expenses | 436,589 | 403,695 | 852,649 | 803,813 |
Loss from operations | (157,596) | (126,626) | (295,300) | (252,963) |
Equity in net income of investment | 795,927 | 1,116,053 | 1,204,835 | 2,227,790 |
Decrease (increase) in reserve for value of investment | 1,520,814 | (223,210) | 1,439,029 | 2,059,764 |
Net income | 2,159,145 | 766,217 | 2,348,564 | 4,034,591 |
Income allocated to general partner | 278 | 99 | 303 | 520 |
Income allocated to limited partners | $ 2,158,867 | $ 766,118 | $ 2,348,261 | $ 4,034,071 |
Income per unit of limited partnership interest (basic and diluted) | ||||
Net income (in dollars per share) | $ 278.49 | $ 98.83 | $ 302.92 | $ 520.39 |
Weighted Average Number of Units of Limited Partnership Interest Outstanding (in shares) | 7,753 | 7,753 | 7,753 | 7,753 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Partners' Equity (Deficit) (Unaudited) - 6 months ended Jun. 30, 2019 - USD ($) | General Partner [Member]Units of Partnership [Member] | General Partner [Member]Cumulative Cash Distributions [Member] | General Partner [Member]Retained Earnings [Member] | General Partner [Member] | Limited Partner [Member]Units of Partnership [Member] | Limited Partner [Member]Cumulative Cash Distributions [Member] | Limited Partner [Member]Retained Earnings [Member] | Limited Partner [Member] | Total |
Balance (in shares) at Dec. 31, 2018 | 1 | 7,753 | |||||||
Balance at Dec. 31, 2018 | $ 10,000 | $ (26,364) | $ 3,419 | $ (12,945) | $ 119,968,973 | $ (111,721,586) | $ 34,336,816 | $ 42,584,203 | $ 42,571,258 |
Net income | 303 | 303 | 2,348,261 | 2,348,261 | 2,348,564 | ||||
Distribution paid | (400) | (400) | (3,101,000) | (3,101,000) | |||||
Balance (in shares) at Jun. 30, 2019 | 1 | 7,753 | |||||||
Balance at Jun. 30, 2019 | $ 10,000 | $ (26,764) | $ 3,722 | $ (13,042) | $ 119,968,973 | $ (114,822,586) | $ 36,685,077 | $ 41,831,464 | $ 41,818,422 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Cash Flows From Operating Activities: | |||||
Net income | $ 2,159,145 | $ 766,217 | $ 2,348,564 | $ 4,034,591 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Equity in net (income) of investment | (795,927) | (1,116,053) | (1,204,835) | (2,227,790) | |
(Decrease) in reserve for value of investment | (1,520,814) | 223,210 | (1,439,029) | (2,059,764) | |
Depreciation and amortization | 71,750 | 86,810 | |||
Net decrease in operating assets | 6,649 | 5,946 | |||
Net (decrease) in accounts payable | (371,026) | (30,297) | |||
Net increase in tenant security deposit | 1,399 | 1,399 | |||
Net (decrease) increase in accrued expenses | (3,317,082) | 241,947 | |||
Distributions from investment in Sentinel Omaha, LLC | 8,400,000 | ||||
Net cash provided by operating activities | 4,496,390 | 52,842 | |||
Cash Flows From Investing Activities: | |||||
Capital additions to real estate owned | (7,250) | ||||
Net cash used in investing activities | (7,250) | ||||
Cash Flows From Financing Activities: | |||||
Distribution paid to partners | (3,101,400) | ||||
Repayment of loan payable | (32,714) | ||||
Net cash used in financing activities | (3,101,400) | (32,714) | |||
Net change in cash and cash equivalents and cash in escrow | 1,387,740 | 20,128 | |||
Cash and cash equivalents and cash in escrow at beginning of period | 338,239 | 1,954,705 | $ 1,954,705 | ||
Cash and cash equivalents and cash in escrow at end of period | $ 1,725,979 | $ 1,974,833 | $ 1,725,979 | $ 1,974,833 | $ 338,239 |
Note 1 - Organization and Signi
Note 1 - Organization and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2019 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | ( 1 SB Partners, a New York limited partnership, and its subsidiaries (collectively, the "Partnership" or the “Registrant”), have been engaged since April 1971 The consolidated financial statements included herein are unaudited; however, the information reflects all adjustments (consisting of normal recurring adjustments) that are, in the opinion of management, necessary to a fair presentation of the financial position, results of operations and cash flows for the interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations, although management believes that the disclosures are adequate to make the information presented not 10 The results of operations for the six June 30, 2019 not For a discussion of the significant accounting and financial reporting policies of the Partnership, refer to the Annual Report on Form 10–K December 31, 2018. |
Note 2 - Investments in Real Es
Note 2 - Investments in Real Estate | 6 Months Ended |
Jun. 30, 2019 | |
Notes to Financial Statements | |
Real Estate Disclosure [Text Block] | ( 2 As of June 30, 2019, June 30, 2019 December 31, 2018. No. of Year of Real Estate at Cost Type Prop. Acquisition Description 6/30/2019 12/31/2018 Industrial flex property 1 2002 60,345 sf $ 5,717,109 $ 5,709,859 Less: Accumulated depreciation (2,320,940 ) (2,249,190 ) Investment in real estate $ 3,396,169 $ 3,460,669 The Partnership’s wholly owned property located in Maple Grove, Minnesota is 100% October 31, 2024. 3% |
Note 3 - Assets Measured at Fai
Note 3 - Assets Measured at Fair Value | 6 Months Ended |
Jun. 30, 2019 | |
Notes to Financial Statements | |
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block] | ( 3 The accounting guidance for Fair Value Measurements establishes a framework for measuring fair value that includes a hierarchy used to classify the inputs used in determining fair value. The hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three Fair value is defined as the price that would be received upon sale of an asset or paid upon transfer of a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market for that asset or liability. The fair value is calculated based on the assumptions that market participants would use in pricing the asset or liability, not The three ● Level 1 ● Level 2 ● Level 3 The following major categories of assets were measured at fair value as of June 30, 2019 December 31, 2018: Level 3: June 30, Significant 2019 Unobservable (Unaudited) Inputs Total Assets Investment in Sentinel Omaha, LLC ("Omaha") $ 46,353,449 $ 46,353,449 Reserve for fair value of investment (9,270,695 ) (9,270,695 ) Total assets $ 37,082,754 $ 37,082,754 Level 3: December 31, Significant 2018 Unobservable (Audited) Inputs Total Assets Investment in Sentinel Omaha, LLC $ 53,548,614 $ 53,548,614 Reserve for fair value of investment (10,709,724 ) (10,709,724 ) Total assets $ 42,838,890 $ 42,838,890 The following is a reconciliation of the beginning and ending balances for assets measured at fair value using significant unobservable inputs (Level 3 June 30, 2019 December 31, 2018: Investment in Reserve for Sentinel fair value Omaha, LLC of investment Total Balance at January 1, 2018 $ 50,106,432 $ (12,526,608 ) $ 37,579,824 Equity in net income of investment 5,842,182 - 5,842,182 Distribution from investment (2,400,000 ) - (2,400,000 ) Decrease in reserve - 1,816,884 1,816,884 Balance at December 31, 2018 53,548,614 (10,709,724 ) 42,838,890 Equity in net income of investment 1,204,835 - 1,204,835 Distribution from investment (8,400,000 ) (8,400,000 ) Decrease in reserve - 1,439,029 1,439,029 Balance at June 30, 2019 $ 46,353,449 $ (9,270,695 ) $ 37,082,754 |
Note 4 - Investment in Sentinel
Note 4 - Investment in Sentinel Omaha, LLC | 6 Months Ended |
Jun. 30, 2019 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | ( 4 In 2007, $37,200,000 June 30, 2019 six three 30% The following are the condensed financial statements ( 000’s June 30, 2019 December 31, 2018 six June 30, 2019 2018. (Unaudited) (Audited) Balance Sheet June 30, 2019 December 31, 2018 Investment in real estate, net $ 215,700 $ 290,500 Other assets 15,417 13,960 Debt (74,155 ) (121,481 ) Other liabilities (2,450 ) (4,484 ) Members equity $ 154,512 $ 178,495 (Unaudited) (Unaudited) Statement of Operations June 30, 2019 June 30, 2018 Rent and other income $ 14,113 $ 17,514 Real estate operating expenses (6,705 ) (8,432 ) Other expenses (2,184 ) (2,876 ) Net realized gains 13,635 9,940 Net unrealized (losses) (14,842 ) (8,720 ) Net increase in net assets $ 4,017 $ 7,426 Omaha was precluded from making distributions to its investors until its unsecured loan was paid in full. During the first 2018, first October 16, 2018 $2,400,000. June 30, 2019, two $8,400,000 |
Note 5 - Accrued Expenses
Note 5 - Accrued Expenses | 6 Months Ended |
Jun. 30, 2019 | |
Notes to Financial Statements | |
Accounts Payable and Accrued Liabilities Disclosure [Text Block] | ( 5 The Partnership, its general partner and the holder of the unsecured loan had entered into a Management Subordination Agreement accruing a portion of the investment management fee payable by the Partnership to its general partner so long as the unsecured loan remained outstanding. On October 4, 2018, June 30, 2019, June 30, 2019 December 31, 2018, $91,235 $3,408,317, |
Note 6 - Distributions to Partn
Note 6 - Distributions to Partners | 6 Months Ended |
Jun. 30, 2019 | |
Notes to Financial Statements | |
Partners' Capital Notes Disclosure [Text Block] | ( 6 On April 16, 2019, $400 May 31, 2019. June 4, 2019. |
Note 2 - Investments in Real _2
Note 2 - Investments in Real Estate (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Notes Tables | |
Schedule of Real Estate Properties [Table Text Block] | No. of Year of Real Estate at Cost Type Prop. Acquisition Description 6/30/2019 12/31/2018 Industrial flex property 1 2002 60,345 sf $ 5,717,109 $ 5,709,859 Less: Accumulated depreciation (2,320,940 ) (2,249,190 ) Investment in real estate $ 3,396,169 $ 3,460,669 |
Note 3 - Assets Measured at F_2
Note 3 - Assets Measured at Fair Value (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Notes Tables | |
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Table Text Block] | Level 3: June 30, Significant 2019 Unobservable (Unaudited) Inputs Total Assets Investment in Sentinel Omaha, LLC ("Omaha") $ 46,353,449 $ 46,353,449 Reserve for fair value of investment (9,270,695 ) (9,270,695 ) Total assets $ 37,082,754 $ 37,082,754 Level 3: December 31, Significant 2018 Unobservable (Audited) Inputs Total Assets Investment in Sentinel Omaha, LLC $ 53,548,614 $ 53,548,614 Reserve for fair value of investment (10,709,724 ) (10,709,724 ) Total assets $ 42,838,890 $ 42,838,890 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Investment in Reserve for Sentinel fair value Omaha, LLC of investment Total Balance at January 1, 2018 $ 50,106,432 $ (12,526,608 ) $ 37,579,824 Equity in net income of investment 5,842,182 - 5,842,182 Distribution from investment (2,400,000 ) - (2,400,000 ) Decrease in reserve - 1,816,884 1,816,884 Balance at December 31, 2018 53,548,614 (10,709,724 ) 42,838,890 Equity in net income of investment 1,204,835 - 1,204,835 Distribution from investment (8,400,000 ) (8,400,000 ) Decrease in reserve - 1,439,029 1,439,029 Balance at June 30, 2019 $ 46,353,449 $ (9,270,695 ) $ 37,082,754 |
Note 4 - Investment in Sentin_2
Note 4 - Investment in Sentinel Omaha, LLC (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Statement of Operations [Member] | |
Notes Tables | |
Real Estate Investment Financial Statements, Disclosure [Table Text Block] | (Unaudited) (Unaudited) Statement of Operations June 30, 2019 June 30, 2018 Rent and other income $ 14,113 $ 17,514 Real estate operating expenses (6,705 ) (8,432 ) Other expenses (2,184 ) (2,876 ) Net realized gains 13,635 9,940 Net unrealized (losses) (14,842 ) (8,720 ) Net increase in net assets $ 4,017 $ 7,426 |
Balance Sheet [Member] | |
Notes Tables | |
Real Estate Investment Financial Statements, Disclosure [Table Text Block] | (Unaudited) (Audited) Balance Sheet June 30, 2019 December 31, 2018 Investment in real estate, net $ 215,700 $ 290,500 Other assets 15,417 13,960 Debt (74,155 ) (121,481 ) Other liabilities (2,450 ) (4,484 ) Members equity $ 154,512 $ 178,495 |
Note 2 - Investments in Real _3
Note 2 - Investments in Real Estate (Details Textual) | Jun. 30, 2019 |
Rent Increase, Yearly, Percentage | 3.00% |
Note 2 - Investments in Real _4
Note 2 - Investments in Real Estate - Summary of Investments in Real Estate (Details) | 6 Months Ended | |
Jun. 30, 2019USD ($)ft² | Dec. 31, 2018USD ($) | |
Less: Accumulated depreciation | $ (2,320,940) | $ (2,249,190) |
Investment in real estate | $ 3,396,169 | 3,460,669 |
Industrial Flex Property [Member] | ||
No. of Prop. | 1 | |
Year of Acquisition | 2002 | |
Description (Square Foot) | ft² | 60,345 | |
Investment in real estate, at cost | $ 5,717,109 | 5,709,859 |
Less: Accumulated depreciation | (2,320,940) | (2,249,190) |
Investment in real estate | $ 3,396,169 | $ 3,460,669 |
Note 3 - Assets Measured at F_3
Note 3 - Assets Measured at Fair Value - Fair Value Measurement of Assets (Details) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Reserve for fair value of investment | $ (9,270,695) | $ (10,709,724) | |
Total assets | 37,082,754 | 42,838,890 | |
Sentinel Omaha LLC [Member] | |||
Investment in Sentinel Omaha, LLC ("Omaha") | 46,353,449 | 53,548,614 | |
Reserve for fair value of investment | (9,270,695) | (10,709,724) | |
Total assets | 37,082,754 | 42,838,890 | |
Fair Value, Inputs, Level 3 [Member] | Sentinel Omaha LLC [Member] | |||
Investment in Sentinel Omaha, LLC ("Omaha") | 46,353,449 | 53,548,614 | $ 50,106,432 |
Reserve for fair value of investment | (9,270,695) | (10,709,724) | |
Total assets | $ 37,082,754 | $ 42,838,890 |
Note 3 - Assets Measured at F_4
Note 3 - Assets Measured at Fair Value - Reconciliation of Assets Measured at Fair Value (Details) - USD ($) | Oct. 16, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 |
Distribution from investment | $ (8,400,000) | |||
Distribution from investment | (8,400,000) | |||
Sentinel Omaha LLC [Member] | ||||
Balance, Investment in Sentinel Omaha, LLC | 53,548,614 | |||
Distribution from investment | $ (2,400,000) | (8,400,000) | ||
Balance, Investment in Sentinel Omaha, LLC | 46,353,449 | $ 53,548,614 | ||
Distribution from investment | $ (2,400,000) | (8,400,000) | ||
Fair Value, Inputs, Level 3 [Member] | Sentinel Omaha LLC [Member] | ||||
Balance, Investment in Sentinel Omaha, LLC | 53,548,614 | 50,106,432 | 50,106,432 | |
Equity in net income of investment | 1,204,835 | 5,842,182 | ||
Distribution from investment | (8,400,000) | (2,400,000) | ||
Balance, Investment in Sentinel Omaha, LLC | 46,353,449 | 53,548,614 | ||
Balance, Reserve for fair value of investment | (10,709,724) | (12,526,608) | (12,526,608) | |
Decrease in reserve | 1,439,029 | 1,816,884 | ||
Balance, Reserve for fair value of investment | (9,270,695) | (10,709,724) | ||
Balance | 42,838,890 | $ 37,579,824 | 37,579,824 | |
Equity in net income of investment | 1,204,835 | 5,842,182 | ||
Distribution from investment | (8,400,000) | (2,400,000) | ||
Decrease in reserve | 1,439,029 | 1,816,884 | ||
Balance | $ 37,082,754 | $ 42,838,890 |
Note 4 - Investment in Sentin_3
Note 4 - Investment in Sentinel Omaha, LLC (Details Textual) - USD ($) | Oct. 16, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2007 |
Proceeds from Equity Method Investment, Distribution | $ 8,400,000 | |||
Sentinel Omaha LLC [Member] | ||||
Investment Owned, at Cost | $ 37,200,000 | |||
Equity Method Investment, Ownership Percentage | 30.00% | |||
Proceeds from Equity Method Investment, Distribution | $ 2,400,000 | $ 8,400,000 |
Note 4 - Investment in Sentin_4
Note 4 - Investment in Sentinel Omaha, LLC - Balance Sheet (Details) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Other assets | $ 1,140 | $ 7,789 |
Sentinel Omaha LLC [Member] | ||
Investment in real estate, net | 215,700,000 | 290,500,000 |
Other assets | 15,417,000 | 13,960,000 |
Debt | (74,155,000) | (121,481,000) |
Other liabilities | (2,450,000) | (4,484,000) |
Members equity | $ 154,512,000 | $ 178,495,000 |
Note 4 - Investment in Sentin_5
Note 4 - Investment in Sentinel Omaha, LLC - Statement of Operations (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Rent and other income | $ 278,993 | $ 277,069 | $ 557,349 | $ 550,850 |
Real estate operating expenses | (85,743) | (72,007) | (151,651) | (139,794) |
Other expenses | (31,460) | (30,734) | (61,524) | (61,209) |
Net increase in net assets | $ 2,159,145 | $ 766,217 | 2,348,564 | 4,034,591 |
Sentinel Omaha LLC [Member] | ||||
Rent and other income | 14,113,000 | 17,514,000 | ||
Real estate operating expenses | (6,705,000) | (8,432,000) | ||
Other expenses | (2,184,000) | (2,876,000) | ||
Net realized gains | 13,635,000 | 9,940,000 | ||
Net unrealized (losses) | (14,842,000) | (8,720,000) | ||
Net increase in net assets | $ 4,017,000 | $ 7,426,000 |
Note 5 - Accrued Expenses (Deta
Note 5 - Accrued Expenses (Details Textual) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Sentinel Omaha LLC [Member] | Investment Advisory, Management and Administrative Service [Member] | Accounts Payable and Accrued Liabilities [Member] | ||
Management Fee Payable | $ 91,235 | $ 3,408,317 |
Note 6 - Distributions to Par_2
Note 6 - Distributions to Partners (Details Textual) | Apr. 16, 2019$ / shares |
Distribution Made to Limited Partner, Distributions Declared, Per Unit | $ 400 |