What changed in this filing

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Item 2. Management’s Discussion and Analysis

2025-11-07 compared with 2025-08-08 · 79 added, 69 removed, 254 unchanged (37% of the section changed)

11 unchanged sentences

The Partnership will consider refinancing existing properties if the Partnership’s cash reserves are insufficient to repay existing mortgages or if the Partnership needs additional funds for future acquisitions.

The vacancy rate for the Partnership’s residential properties as of August 1, 2025 was 2.4% as compared with a vacancy rate of 1.5% as of August 1, 2024.

The vacancy rate for the Joint Venture properties as of August 1, 2025 was 1.9%, as compared to 2.8% for the same period last year.

The vacancy rate for the Partnership’s residential properties as of November 1, 2025 was 3.25% as compared with a vacancy rate of 1.7% as of November 1, 2024.

The vacancy rate for the Joint Venture properties as of November 1, 2025 was 0.7%, as compared to 2.8% for the same period last year.

Residential tenants generally have lease terms of 12 months.

The majority of these leases will mature during the second and third quarters of the year.

During the second quarter of 2025, rents increased an average of 4.6% for renewals and increased an average of 1.4% for new leases.

During the third quarter of 2025, rents increased an average of 5.7% for renewals and decreased an average of 0.1% for new leases.

For the balance of 2025, management expects a rental market with slowing rent growth.

For the second quarter of 2025, consolidated revenue, excluding Hill Estates, increased by 3.9%, operating expenses increased by 0.3%, and Income before Other Income (Expense) increased by 12.3%, as compared to the second quarter of 2024.

For the third quarter of 2025, consolidated revenue, excluding Hill Estates, increased by 2.6%, operating expenses increased by 5.1%, and Income before Other Income (Expense) decreased by 2.7%, as compared to the third quarter of 2024.

On November 21, 2024, the Partnership entered into an agreement with Brookline Bank for a new $25,000,000 revolving line of credit.

4 unchanged sentences

This fee will be waived for any period in which the Partnership maintains aggregate deposits of twenty million dollars with the Lender.

As of June 30,2025, the Partnership was in compliance with the financial covenants and did not incur an unused line fee.

From the start of the Stock Repurchase Program in 2007 through June 30, 2025, the Partnership has purchased 1,553,365 Depositary Receipts.

During the six months ended June 30, 2025, the Partnership purchased a total of 3,007 Depositary Receipts.

As of September 30, 2025, the Partnership was in compliance with the financial covenants except for the liquidity covenant, and did not incur an unused line fee.

From the start of the Stock Repurchase Program in 2007 through September 30, 2025, the Partnership has purchased 1,554,701 Depositary Receipts.

During the nine months ended September 30, 2025, the Partnership purchased a total of 4,343 Depositary Receipts.

In March of 2020, the Board of Advisors and Board of Directors unanimously approved an extension of the Repurchase Program until March 31, 2025.

7 unchanged sentences

On January 2, 2024, the estate was settled, with Jameson Brown and Harley Brown each assuming 37.5% ownership in NewReal.

As of August 1, 2025, the Brown family related entities and Ronald Brown collectively own approximately 34.7% of the Depositary Receipts representing the Partnership Class A Units (including Depositary Receipts held by trusts for the benefit of such persons’ family members).

As of November 1, 2025, the Brown family related entities and Ronald Brown collectively own approximately 34.7% of the Depositary Receipts representing the Partnership Class A Units (including Depositary Receipts held by trusts for the benefit of such persons’ family members).

Brown family related entities also control 75% of the Partnership’s Class B Units, and 75% of the capital stock of NewReal, the Partnership’s sole general partner.

7 unchanged sentences

Residential tenants sign a one year lease.

During the six months ended June 30, 2025, tenant renewals were approximately 72% with an average rental increase of approximately 5.1%, new leases accounted for approximately 28% with a rental rate increase of approximately 0.7%.

During the six months ended June 30, 2025, leasing commissions were approximately $316,000 compared to approximately $231,000 for the six months ended June 30, 2024, an increase of approximately $85,000 (36.8%).

Tenant concessions were approximately $30,000 for the six months ended June 30, 2025, compared to approximately $78,000 for the six months ended June 30, 2024, a decrease of approximately $48,000 (61.5%).

Tenant improvements were approximately $1,779,000 for the six months ended June 30, 2025, compared to approximately $1,682,000 for the six months ended June 30, 2024, an increase of approximately $97,000 (5.8%).

Hamilton accounted for approximately 1.2% of the repair and maintenance expenses paid for by the Partnership during the six months ended June 30, 2025 and 0.5% during the six months ended June 30, 2024.

During the nine months ended September 30, 2025, tenant renewals were approximately 73% with an average rental increase of approximately 5.4%, new leases accounted for approximately 23% with a rental rate increase of approximately 0.2%.

During the nine months ended September 30, 2025, leasing commissions were approximately $686,000 compared to approximately $522,000 for the nine months ended September 30, 2024, an increase of approximately $164,000 (31.4%).

Tenant concessions were approximately $52,000 for the nine months ended September 30, 2025, compared to approximately $92,000 for the nine months ended September 30, 2024, a decrease of approximately $40,000 (43.5%).

Tenant improvements were approximately $2,675,000 for the nine months ended September 30, 2025, compared to approximately $2,503,000 for the nine months ended September 30, 2024, an increase of approximately $172,000 (6.9%).

Hamilton accounted for approximately 1.5% of the repair and maintenance expenses paid for by the Partnership during the nine months ended September 30, 2025 and 1.0% during the nine months ended September 30, 2024.

Of the funds paid to Hamilton for this purpose, the great majority was to cover the cost of services provided by the Hamilton maintenance department, including plumbing, electrical, carpentry services, and snow removal for those properties close to Hamilton’s headquarters.

2 unchanged sentences

Hamilton’s legal department handles most of the Partnership’s eviction and collection matters.

Additionally, it prepares most long-term commercial lease agreements and represents the Partnership in selected purchase and sale transactions.

Overall, Hamilton provided approximately $41,000 (100.0%) and approximately $89,000 (43.7%) of the legal services paid for by the Partnership during the six months ended June 30, 2025 and 2024, respectively.

Additionally, it prepares most long-term commercial lease agreements and represents the Partnership in selected purchase and sale

transactions.

Overall, Hamilton provided approximately $85,000 (91.7%) and approximately $138,000 (46.4%) of the legal services paid for by the Partnership during the nine months ended September 30, 2025 and 2024, respectively.

Additionally, as described in Note 3 to the consolidated financial statements, The Hamilton Company receives similar fees from the Investment Properties.

3 unchanged sentences

Hamilton’s architectural department also provides services to the Partnership on an as-needed basis.

During the six months ended June 30, 2025, Hamilton provided the Partnership approximately $225,000 in construction and architectural services, compared to approximately $330,000 for the six months ended June 30, 2024.

During the nine months ended September 30, 2025, Hamilton provided the Partnership approximately $1,075,000 in construction and architectural services, compared to approximately $420,000 for the nine months ended September 30, 2024.

Hamilton’s accounting staff perform bookkeeping and accounting functions for the Partnership.

During the six months ended June 30, 2025 and 2024, Hamilton charged the Partnership $62,500 for bookkeeping and accounting services.

During the nine months ended September 30, 2025 and 2024, Hamilton charged the Partnership $93,750 for bookkeeping and accounting services.

For more information on related party transactions, see Note 3 to the Consolidated Financial Statements.

21 unchanged sentences

The Partnership elected an allowed practical expedient.

For (i) operating lease arrangements involving real estate that include common area maintenance services and (ii) all real estate arrangements that include real estate taxes and insurance costs, we present these amounts within lease revenues in our consolidated statements of income.

For (i) operating lease arrangements involving real estate that include common area maintenance services and (ii) all real estate arrangements that include real estate taxes and insurance costs,

we present these amounts within lease revenues in our consolidated statements of income.

We record amounts reimbursed by the lessee in the period in which the applicable expenses are incurred.

Rental Property Held f or Sale:

Rental Property Held for Sale:

When assets are identified by management as held for sale, the Partnership discontinues depreciating the assets and estimates the sales price, net of selling costs, of such assets.

1 unchanged sentence

If, in management’s opinion, the estimated net sales price, net of selling costs, of the assets which have been identified as held for sale is less than the carrying value of the assets, a valuation allowance is established.

As of June 30, 2025, the Partnership has designated two properties with a value of approximately $3,000,000 as properties held for sale.

If circumstances arise that previously were considered unlikely and, as a result, the Partnership decides not to sell a property previously classified as held for sale, the property is reclassified as held and used.

25 unchanged sentences

A property’s value is impaired only if management’s estimate of the aggregate future cash flows (undiscounted and without interest charges) to be generated by the property is less than the carrying value of the property.

To the extent impairment has occurred, the loss shall be measured as the excess of the carrying amount of the property over the fair value of the property.

The Partnership’s estimates of aggregate future cash flows expected to be generated by each property are based on a number of assumptions that are subject to economic and

market uncertainties including, among others, demand for space, competition for tenants, changes in market rental rates, and costs to operate each property.

To the extent impairment has occurred, the loss shall be measured as the excess of the

carrying amount of the property over the fair value of the property.

The Partnership’s estimates of aggregate future cash flows expected to be generated by each property are based on a number of assumptions that are subject to economic and market uncertainties including, among others, demand for space, competition for tenants, changes in market rental rates, and costs to operate each property.

As these factors are difficult to predict and are subject to future events that may alter management’s assumptions, the future cash flows estimated by management in its impairment analyses may not be achieved.

25 unchanged sentences

RESULTS OF OPERATIONS

Three Months Ended June 30, 2025 and June 30, 2024

The Partnership and its Subsidiary Partnerships earned income before interest expense, income from investments in unconsolidated joint ventures, other expense of approximately $7,063,000 during the three months ended June 30, 2025, compared to approximately $6,538,000 for the three months ended June 30, 2024, an increase of approximately $525,000 (8.0%).

Three Months Ended September 30, 2025 and September 30, 2024

The Partnership and its Subsidiary Partnerships earned income before interest expense, income from investments in unconsolidated joint ventures, other expense of approximately $4,744,000 during the three months ended September 30, 2025, compared to approximately $6,470,000 for the three months ended September 30, 2024, a decrease of approximately $1,726,000 (26.7%).

The rental activity is summarized as follows:

Occupancy Date

August 1, 2025

August 1, 2024

November 1, 2025

November 1, 2024

Total square feet

Rental Income (in thousands)

Three Months Ended June 30,

Three Months Ended September 30,

Residential percentage

1 unchanged sentence

Contingent rentals

Three Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024:

Three Months Ended June 30,

Three Months Ended September 30, 2025 Compared to Three Months Ended September 30, 2024:

Three Months Ended September 30,

Rental income

10 unchanged sentences

Income from investments in unconsolidated joint ventures

Rental income for the three months ended June 30, 2025 was approximately $21,038,000, compared to approximately $19,842,000 for the three months ended June 30 2024, an increase of approximately $1,196,000 (6.0%).

The Partnership properties with the largest increases in rental income, excluding the Hill Estates, 26 Brighton Avenue, and 90 Concord properties rental income of approximately $410,000 include Westgate Apartments, Hamilton Green Apartments, WCB Associates, Hamilton Oaks, Redwood Hills, and School Street, with increases of $102,000, $89,000, $75,000, $72,000, $58,000 and $54,000 respectively.

Net (Loss) Income

Rental income for the three months ended September 30, 2025 was approximately $23,491,000, compared to approximately $20,021,000 for the three months ended September 30 2024, an increase of approximately $3,470,000 (17.3%).

Excluding revenues from the Hill Estates, 26 Brighton Avenue, and 90 Concord properties rental income of approximately $2,944,000, revenue increased approximately $526,000 (2.6%).

The Partnership properties with the largest increases in rental income include 62 Boylston, Hamilton Oaks, Residence at Captain Parker, WCB Associates, Redwood Hills, and School Street, with increases of $76,000, $66,000, $51,000, $49,000, $43,000 and $43,000 respectively.

Included in rental income is contingent rentals collected on commercial properties.

Contingent rentals include such charges as bill backs of common area maintenance charges, real estate taxes, and utility charges.

Expenses for the three months ended June 30, 2025 were approximately $14,176,000 compared to approximately $13,512,000 for the three months ended June 30, 2024, an increase of approximately $664,000 (4.9%).

Excluding expenses from the Hill Estates, 26 Brighton Avenue, and 90 Concord properties, operating expenses were approximately $13,475,000, a decrease of approximately $37,000 (0.3%).The factors contributing to the decrease are an increase in taxes and insurance of approximately $180,000 (7.2%), an increase in renting expenses of approximately $105,000 (69.9%), offset by a decrease in depreciation and amortization expense of approximately $313,000 (7.3%).

Interest expense for the three months ended June 30, 2025 was approximately $4,136,000 compared to approximately $3,900,000 for the three months ended June 30, 2024, an increase of approximately $236,000 (6.1%).

Expenses for the three months ended September 30, 2025 were approximately $18,942,000 compared to approximately $13,738,000 for the three months ended September 30, 2024, an increase of approximately $5,204,000 (37.9%).

Excluding expenses from the Hill Estates, 26 Brighton Avenue, and 90 Concord properties of approximately $4,506,000, operating expenses were approximately $14,436,000, an increase of approximately $698,000 (5.1%).The factors contributing to the increase other than from Hill Estates, 26 Brighton Avenue, and 90 Concord, are an increase in repairs and maintenance of approximately $633,000 (17.5%), an increase in taxes and insurance of approximately $146,000 (5.9%), offset by a decrease in depreciation and amortization expense of approximately $204,000 (4.8%).

Approximately $2,149,000 of the expenses associated with the recently purchased properties is attributable to depreciation expense.

Interest expense for the three months ended September 30, 2025 was approximately $5,450,000 compared to approximately $3,831,000 for the three months ended September 30, 2024, an increase of approximately $1,619,000 (42.3%).

Excluding interest expense for the Hill Estates of approximately $1,079,000, interest expense increased approximately $540,000 (14.1%).

Interest and dividend income for the three months ended June 30, 2025 was approximately $737,000 compared to approximately $1,113,000 for the three months ended June 30, 2024, a decrease of approximately $376,000 (33.7%).

The increase was due to the interest expense incurred when the Partnership borrowed an additional $40,000,000 in June, 2025 at an interest rate of 5.99% on the Master Credit Facility.

Interest and dividend income for the three months ended September 30, 2025 was approximately $37,000 compared to approximately $1,123,000 for the three months ended September 30, 2024, a decrease of approximately $1,086,000 (96.7%).

The decrease in the interest income is due to the use of the Investment in U.S.

Treasury bills to acquire the Hill Estates, 26 Brighton Avenue, and 90 Concord properties.

At June 30 2025, the Partnership has between a 40% and 50% ownership interests in seven different Investment Properties.

At September 30 2025, the Partnership has between a 40% and 50% ownership interests in seven different Investment Properties.

See a description of these properties included in the section titled Investment Properties as well as Note 15 to the Consolidated Financial Statements for a detail of the financial information of each Investment Property.

As described in Note 15 to the Consolidated Financial Statements, the Partnership’s share of the net income from the Investment Properties was approximately $485,000 for the three months ended June 30, 2025, compared to net income of approximately $321,000 for the three months ended June 30, 2024, an increase in income of approximately $164,000 (51%).

Included in the income for the three months ended June 30, 2025 is depreciation and amortization expense of approximately $658,000.

As a result of the changes discussed above, net income for the three months ended June 30, 2025 was approximately $4,150,000 compared to net income of approximately $4,073,000 for the three months ended June 30, 2024, an increase in income of approximately $77,000 (1.9%).

Six Months Ended June 30, 2025 Compared to Six Months Ended June 30, 2024:

Six Months Ended June 30,

As described in Note 15 to the Consolidated Financial Statements, the Partnership’s share of the net income from the Investment Properties was approximately $147,000 for the three months ended September 30, 2025, compared to net income of approximately $147,000 for the three months ended September 30, 2024, Included in the income for the three months ended September 30, 2025 is depreciation and amortization expense of approximately $665,000.

As a result of the changes discussed above, there was a net loss for the three months ended September 30, 2025 of approximately $522,000 compared to net income of approximately $3,909,000 for the three months ended September 30, 2024, a decrease in income of approximately $4,431,000 (113.3%).

Nine Months Ended September 30, 2025 Compared to Nine Months Ended September 30, 2024:

The Partnership and its Subsidiary Partnerships earned income before interest expense, income from investments in unconsolidated joint ventures, other expense of approximately $18,041,000 during the nine months ended September 30, 2025, compared to approximately $18,760,000 for the nine months ended September 30, 2024, a decrease of approximately $719,000 (3.8%).

Nine Months Ended September 30,

Rental income

10 unchanged sentences

Income from investments in unconsolidated joint ventures

Rental income for the six months ended June 30, 2025 was approximately $41,534,000, compared to approximately $39,552,000 for the six months ended June 30, 2024, an increase of approximately $1,982,000 (5.0%).

Rental income for the nine months ended September 30, 2025 was approximately $65,025,000, compared to approximately $59,573,000 for the nine months ended September 30, 2024, an increase of approximately $5,452,000 (9.2%).

Excluding revenues from the Hill Estates, 26 Brighton Avenue, and 90 Concord properties of approximately $3,365,000, revenue increased approximately $2,087,000 (3.5%).

Included in rental income is contingent rentals collected on commercial properties.

The Partnership properties with the largest increases in rental income include Westgate Apartments, Hamilton Green Apartments, WCB Associates, Hamilton Oaks, School Street, and Redwood Hills, with increases of $184,000, $151,000, $146,000, $134,000, $130,000 and $116,000 respectively.

The Partnership properties with the largest increases in rental income include Westgate Apartments, Hamilton Oaks, WCB Associates, Hamilton Green Apartments, School Street, and Redwood Hills, with increases of $226,000, $200,000, $195,000, $183,000, $173,000 and $160,000 respectively.

Included in rental income is contingent rentals collected on commercial properties.

Contingent rentals include such charges as bill backs of common area maintenance charges, real estate taxes, and utility charges.

Operating expenses for the six months ended June 30, 2025 were approximately $28,632,000 compared to approximately $27,654,000 for the six months ended June 30, 2024, an increase of approximately $978,000 (3.5%), Excluding operating costs for Hill Estates of approximately $701,000, operating expenses increased approximately $277,000 (1.0%).

Operating expenses for the nine months ended September 30, 2025 were approximately $47,574,000 compared to approximately $41,392,000 for the nine months ended September 30, 2024, an increase of approximately $6,182,000 (14.9%), Excluding operating costs for the Hill Estates, 26 Brighton Avenue and 90 Concord properties of approximately $5,208,000, operating expenses increased approximately $974,000 (2.4%).

The factors contributing to the increase are an increase in taxes and insurance expense of approximately $540,000 (7.2%), an increase in snow removal costs of approximately $432,000 (77.6%), partially offset by a decrease in depreciation and amortization expense of approximately $840,000 (6.6%).

Interest expense for the six months ended June 30, 2025 was approximately $7,928,000 compared to approximately $7,807,000 for the six months ended June 30, 2024, an increase of approximately $121,000 (1.5%).

Excluding interest expense for Hill Estates of approximately $149,000, interest decreased approximately $28,000 (0.4%).

Interest and dividend income for the six months ended June 30, 2025 was approximately $1,728,000 compared to approximately $2,290,000 for the six months ended June 30, 2024, a decrease of approximately $562,000 (24.5%).

Approximately $2,459,000 of the expenses associated with the recently purchased properties is attributable to depreciation expense.

Interest expense for the nine months ended September 30, 2025 was approximately $13,377,000 compared to approximately $11,638,000 for the nine months ended September 30, 2024, an increase of approximately $1,740,000 (14.9%).

Excluding interest expense for Hill Estates, 26 Brighton Avenue and 90 Concord properties of approximately

$1,228,000, interest expense increased approximately $512,000 (4.4%).

The increase was due to the interest expense incurred when the Partnership borrowed an additional $40,000,000 in May, 2025 at an interest rate of 5.99% on the Master Credit Facility.

Interest and dividend income for the nine months ended September 30, 2025 was approximately $1,765,000 compared to approximately $3,413,000 for the nine months ended September 30, 2024, a decrease of approximately $1,648,000 (48.3%).

The decrease in the interest income is due to the use of Investment in U.S.

Treasury bills to acquire the Hill Estates, 26 Brighton Avenue, and 90 Concord properties.

At June 30, 2025, the Partnership has between a 40% and 50% ownership interests in seven different Investment Properties.

At September 30, 2025, the Partnership has between a 40% and 50% ownership interests in seven different Investment Properties.

As described in Note 15 to the Consolidated Financial Statements, the Partnership’s share of the net income from the Investment Properties was approximately $847,000 for the six months ended June 30, 2025, compared to net income of approximately $762,000 for the six months ended June 30, 2024, an increase in income of approximately $85,000 (11.2%).

Included in the income for the six months ended June 30, 2025 is depreciation and amortization expense of approximately $1,309,000.

As a result of the changes discussed above, net income for the six months ended June 30, 2025 was approximately $7,945,000 compared to income of approximately $7,536,000 for the six months ended June 30, 2024, an increase in net income of approximately $409,000 (5.4%).

As described in Note 15 to the Consolidated Financial Statements, the Partnership’s share of the net income from the Investment Properties was approximately $994,000 for the nine months ended September 30, 2025, compared to net income of approximately $909,000 for the nine months ended September 30, 2024, an increase in income of approximately $85,000 (9.4%).

Included in the income for the nine months ended September 30, 2025 is depreciation and amortization expense of approximately $1,973,000.

As a result of the changes discussed above, net income for the nine months ended September 30, 2025 was approximately $7,424,000 compared to income of approximately $11,446,000 for the nine months ended September 30, 2024, a decrease in net income of approximately $4,022,000 (35.1%).

LIQUIDITY AND CAPITAL RESOURCES

The Partnership’s principal source of cash during the first six months of 2025 and 2024 was the proceeds from the increased in mortgage notes payable, the liquidation of U.S Treasury bills, and the collection of rents.

The Partnership’s principal use of cash during the first six months of 2025 was the purchase of a new property, construction of the Mill Street Development, improvements to rental properties, mortgage principal payments, purchases of U.S.

The Partnership’s principal source of cash during the first nine months of 2025 and 2024 was the proceeds from the increased in mortgage notes payable, the liquidation of U.S Treasury bills, and the collection of rents.

The Partnership’s principal use of cash during the first nine months of 2025 was the purchase of a new property, construction of the Mill Street Development, improvements to rental properties, mortgage principal payments, purchases of U.S.

Treasury bills, and distributions to partners.

The majority of cash and cash equivalents of $16,677,504 at June 30, 2025 and $17,615,940 at December 31, 2024 were held in interest bearing accounts at creditworthy financial institutions.

The decrease in cash of $938,436 for the six months ended June 30, 2025 is summarized as follows:

Six Months Ended June 30,

The majority of cash and cash equivalents of $13,374,205 at September 30, 2025 and $17,615,940 at December 31, 2024 were held in interest bearing accounts at creditworthy financial institutions.

The decrease in cash of $4,241,735 for the nine months ended September 30, 2025 is summarized as follows:

Nine Months Ended September 30,

Cash provided by operating activities

6 unchanged sentences

The net increase in cash provided by operating activities is due to various factors, including a change in depreciation expense, a change in income and distribution from joint ventures, and other factors.

The net decrease in cash used in investing activities is primarily for the purchase of the Hill Estates, improvement of rental properties, including the Mill Street Development project, offset by the proceeds of U.S.

The net decrease in cash used in investing activities is primarily for the purchase of the Hill Estates, 26 Brighton Avenue and 90 Concord properties, improvement of rental properties, including the Mill Street Development project, offset by the proceeds of U.S.

Treasury bills.

3 unchanged sentences

Cash reserves have been adequate to fully fund improvements.

Cash reserves used for the Mill Street Development Project were approximately $12,346,000 for the six months ended June 30,2025.

Beyond the Mill Street Development Project, the most significant improvements were made at Residences at Captain Parker, Staples Plaza, 62 Boylston Street, Hamilton Oaks, Courtyard at North Beacon, and Redwood Hills, at a cost of approximately $664,000, $655,000, $527,000, $419,000, $416,000 and 352,000, respectively.

During the six months ended June 30, 2025, the Partnership received distributions of approximately $837,000 from the investment properties.

For the six months ended June 30, 2024, the Partnership received $1,523,000 in distributions from the investment properties.

Included in these net distributions is the amount from Dexter Park of approximately $400,000 and $1,100,000 for the six months ended June 30, 2025 and 2024 , respectively.

Cash reserves used for the Mill Street Development Project were approximately $16,053,000 for the nine months ended September 30, 2025.

Beyond the Mill Street Development Project, the most significant improvements were made at Commonwealth 1137, Boylston Street, Residences at Captain Parker, Executive Apartments, Staples Plaza, and Hamilton Oaks, at a cost of approximately $1,299,000, $1,163,000, $748,000, $663,000, $655,000 and $616,000, respectively.

During the nine months ended September 30, 2025, the Partnership received distributions of approximately $1,078,000 from the investment properties.

For the nine months ended September 30, 2024, the Partnership received $3,972,000 in distributions from the investment properties.

Included in these net distributions is the amount from Dexter Park of approximately $600,000 and $1,340,000 for the nine months ended September 30, 2025 and 2024 , respectively.

In March 2025, the Partnership approved a quarterly distribution of $12.00 per Unit ($0.40 per Receipt), payable on March 31, 2025.

1 unchanged sentence

In May 2025, the Partnership approved a quarterly distribution of $12.00 per Unit ($0.40 per Receipt), payable on May 30, 2025 .

On August 7, 2025, the Partnership approved a quarterly distribution of $12.00 per Unit ($0.40 per Receipt), payable on September 30, 2025.

The Partnership anticipates that cash from operations will be sufficient to fund its current operations, pay distributions, and make required debt payments.

3 unchanged sentences

Off-Balance Sheet Arrangements—Joint Venture Indebtedness

As of June 30, 2025, the Partnership had a 40%-50% ownership interest in seven Joint Ventures, five of which have mortgage indebtedness.

As of September 30, 2025, the Partnership had a 40%-50% ownership interest in seven Joint Ventures, five of which have mortgage indebtedness.

We do not have control of these partnerships and therefore we account for them using the equity method of consolidation.

As June 30, 2025, our proportionate share of the non-recourse debt related to these investments was approximately $73,854,000.

As of September 30, 2025, our proportionate share of the non-recourse debt related to these investments was approximately $74,930,000.

See Note 15 to the Consolidated Financial Statements.

Contractual Obligations

As of June 30, 2025, we are subject to debt obligations as described in the table below.

As of September 30, 2025, we are subject to debt obligations as described in the table below.

Payments due by period

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* Excluding unamortized deferred financing costs

As of June 30, 2025, the Partnership has one property under construction located at 57 Mill Street in Woburn, MA.

As of September 30, 2025, the Partnership has one property under construction located at 57 Mill Street in Woburn, MA.

The project includes 72 residential units comprising approximately 93,000 square feet, and is estimated to be completed during the fourth quarter of 2025.

39 unchanged sentences

● Revenue associated with residential properties may be limited in the future if current rent restriction proposals are adopted by the State of Massachusetts.

A coalition of housing advocacy organizations announced that it will file an initiative petition with the Massachusetts’ State’s Attorney General on August 13, 2025, to put a ballot initiative in front of voters.

If approved, the petition would limit annual rent increases in Massachusetts to cost of living increases, with a 5% annual cap.

On August 6, 2025, a citizen’s petition was filed by a coalition of housing advocacy organizations with the Massachusetts’ State’s Attorney General, to put a ballot initiative in front of voters.

If approved, the petition would limit annual rent increases in

Massachusetts to cost of living increases, with a 5% annual cap.

If such a ballot measure were to be passed by voters, our financial condition, results of operations, and cash flows, as well as our ability to pay dividends, could be adversely affected over time.

5 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis