Prudential Checklist

THE NHP FOUNDATION AND ITS AFFILIATED ENTITIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

Years ended December 31, 2018 and 2017 _________

2018

2017

Cash flows from operating activities: Excess (deficit) of revenue over expenses

$

(12,636,092)

$

24,571,607

Adjustments to reconcile excess (deficit) of revenue over expenses to cash provided by (used in) operating activities: Depreciation and amortization

13,035,576 1,160,606 1,359,779

12,487,774

Bad debt expense

711,050 896,215

Amortization of debt issuance costs

Unrealized loss on swap

(366,243) (486,205) (388,834)

(248,448)

(Gain) Loss on sale of properties

(40,264,074)

Other (income) losses in housing funds Increase (decrease) in operating assets: Accrued interest on notes receivable

(323)

(60,037)

38,169

Prepaid expenses and other assets

2,027,127

(5,178,306)

Tenants’ security deposits

(137,870)

(8,655)

Due from affiliates

(2,304,795)

(7,178,132)

Grant receivable

(4,094)

41,096

(Increase) decrease in operating liabilities: Accounts payable and accrued expenses

7,018,212 1,857,698

2,359,924 (933,192) (107,999)

Other liabilities

Tenants’ security deposits

194,227 228,520

Accrued interest on mortgage, notes and construction loan payable

319,441

Net cash provided by (used in) operating activities

10,497,575

(12,493,853)

Cash flows from investing activities: Proceeds from repayment of notes receivable

-

854,220

Issuance of notes receivable

(1,250,678)

(102,978)

Purchase of land, buildings, improvements and equipment

(104,511,948)

(65,495,318)

Purchase of other assets

(343,175) (627,395)

(460,878)

Net payment (advances) of working capital

21,314

Net deferred development costs (additions)/ reimbursements

34,338

(3,699,459)

Cash acquired from equity transfer Proceeds from sale of rental property

-

2,587,576

23,000,000

43,081,429

Net proceeds from (purchase of) investment in housing funds Net deposits to mortgage escrow and utility deposits Net (deposits to) withdrawals from replacement reserves

(411,636)

789,922

(19,676,314)

(3,296,738)

1,118,469

(89,069)

Net sales (purchases) of investments

615,055

(6,312)

Net cash used in investing activities

(102,053,284)

(25,816,291)

Cash flows from financing activities: Capital contributions received from noncontrolling interests

26,951,609

28,340,587

Net payment of advances from affiliates

3,197,004

715,926

Proceeds from mortgages, notes and construction loans payable

121,914,263 (63,540,961)

79,452,489

Principal payments on mortgages, notes and construction loans payable

(33,536,079)

Payments for debt issuance costs

(3,634,039)

(4,279,647)

Net cash provided by financing activities

84,887,876

70,693,276

Net increase (decrease) in cash and cash equivalents

(6,667,833)

32,383,132

Cash and cash equivalents, beginning

45,624,210

13,241,078

Cash and cash equivalents, ending

$

38,956,377

$

45,624,210

See notes to consolidated financial statements

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