Outlook

As always, we have no idea of the strength of the current real estate market or where it is going. We do know that we are finding it increasingly difficult to find investments that meet our standards for a profitable return, especially for residential purchases. The most recent residential purchase we made was over three years ago, Woodchase (now Magnolia Crossing) in Gulfport, Mississippi. It has proved to be our most challenging acquisition to date. More recently, we were unable to find any replacement property for an office building that we sold. And most recently, we purchased an office building in Austin as replacement property for commercial strip malls that we sold.