INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

6 Months Ended

Jun. 30, 2026

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

NOTE 15. INVESTMENT IN UNCONSOLIDATED JOINT VENTURES

The Partnership has invested in seven limited partnerships and limited liability companies, the majority of which have invested in residential apartment complexes, with three Joint Ventures investing in commercial property. The Partnership has between a 40%-50% ownership interests in each investment. The other investors are the Brown Family related entities and five current and former employees of the Management Company. The Brown Family’s ownership

interest was between 47.6% and 59%, with the balance owned by the others. A description of each investment is as follows:

On October 28, 2009 the Partnership invested approximately $15,925,000 in a joint venture to acquire a 40% interest in a residential property located in Brookline, Massachusetts. The property, Hamilton Park Towers LLC, referred to as Dexter Park, or Hamilton Park, is a 409 unit residential complex. The purchase price was $129,500,000. The original mortgage was $89,914,000 with an interest rate of 5.57% and was to mature in 2019. The mortgage called for interest only payments for the first two years of the loan and amortized over 30 years thereafter.

On May 31, 2018, Hamilton Park Towers, LLC, entered into a Mortgage Note with John Hancock Life Insurance Company (U.S.A.) in the principal amount of $125,000,000. Interest only payments on the Note are payable on a monthly basis at a fixed interest rate of 3.99% per annum, and the principal amount of the Note is due and payable on June 1, 2028. The Note is secured by a mortgage on the Dexter Park apartment complex located at 175 Freeman Street, Brookline, Massachusetts pursuant to a Mortgage, Assignment of Leases and Rents and Security Agreement dated May 31, 2018. The Note is guaranteed by the Partnership and HBC Holdings, LLC pursuant to a Guaranty Agreement dated May 31, 2018.

Hamilton Park used the proceeds of the loan to pay off an outstanding loan of approximately $82,000,000 and distributed approximately $41,200,000 to its owners. The Partnership’s share of the distribution was approximately $16,500,000. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for the investment using the equity method of accounting, although the Partnership has no legal obligation to fund its’ share of any future operating deficiencies as needed. At June 30, 2026, the balance on this mortgage before unamortized deferred financing costs is $125,000,000.

On March 7, 2005, the Partnership invested $2,000,000 for a 50% ownership interest in a building comprising 48 apartments, one commercial space and a 50-car surface parking lot located in Boston, Massachusetts. The purchase price was $14,300,000, with a $10,750,000 mortgage. The Joint Venture planned to operate the building and initiate development of the parking lot. In June 2007, the Joint Venture separated the parcels, formed an additional limited liability company for the residential apartments and obtained a mortgage on the property. The new limited liability company formed for the residential apartments and commercial space is referred to as Hamilton Essex 81, LLC. In August 2008, the Joint Venture restructured the mortgages on both parcels at Essex 81. On September 30, 2015, Hamilton Essex 81, LLC obtained a new 10 year mortgage in the amount of $10,000,000, interest only at 2.18% plus the one month Libor rate. The proceeds of the note were used to pay off the existing mortgage of $8,040,719 and the Partnership received a distribution of $978,193 for its share of the excess proceeds. On September 30, 2025, the property was refinanced with a 10 year mortgage in the amount of $12,214,000 at a fixed rate of 5.610% interest only. The Joint Venture paid off the prior mortgage of approximately $10,000,000 with the proceeds of the new mortgage and held the remaining $2,210,000 at the property as cash reserves. The costs associated with the refinancing were approximately $170,000. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting. Although the Partnership has no legal obligation, the Partnership intends to fund its share of any future operating deficits if needed. At June 30, 2026, the balance on this mortgage before unamortized deferred financing costs is $12,214,000. The investment in the parking lot is referred to as Hamilton Essex Development, LLC; the investment in the apartments is referred to as Hamilton Essex 81, LLC.

On March 2, 2005, the Partnership invested $2,352,000 for a 50% ownership interest in a 176-unit apartment complex with an additional small commercial building located in Quincy, Massachusetts. The purchase price was $23,750,000. The Joint Venture sold 127 of the units as condominiums and retained 49 units for long-term investment. The Joint Venture obtained a new 10-year mortgage in the amount of $5,000,000 on the units to be retained by the Joint Venture. The interest on the new loan was 5.67% fixed for the 10 year term with interest only payments for five years and amortized over a 30 year period for the balance of the loan term. On July 8, 2016, Hamilton 1025 LLC paid off the outstanding balance of the mortgage balance. The Partnership made a capital contribution of $2,359,500 to Hamilton 1025, LLC for its share of the funds required for the transaction. After paying off the mortgage, the Partnership began to sell off the individual units. In 2019, all residential units were sold. The Partnership still owns the commercial building. This investment is referred to as Hamilton 1025, LLC.

In September 2004, the Partnership invested approximately $5,075,000 for a 50% ownership interest in a 42-unit apartment complex located in Lexington, Massachusetts. The purchase price was $10,100,000. On September 12,

2016, the property was refinanced with a 15 year mortgage in the amount of $6,000,000, at 3.71%, interest only. The Joint Venture Partnership paid off the prior mortgage of approximately $5,158,000 with the proceeds of the new mortgage and made a distribution of $385,000 to the Partnership. The cost associated with the refinancing was approximately $123,000. In 2018, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting, although the Partnership has no legal obligation to fund its share of any future operating deficiencies, if needed. At June 30, 2026, the balance on this mortgage before unamortized deferred financing costs is $6,000,000. This investment is referred to as Hamilton Minuteman, LLC.

In August 2004, the Partnership invested $8,000,000 for a 50% ownership interest in a 280-unit apartment complex located in Watertown, Massachusetts. The total purchase price was $56,000,000. The Joint Venture sold 137 units as condominiums. The assets were combined with Hamilton on Main Apartments. Hamilton on Main, LLC is known as Hamilton Place. In August 2014, the property was refinanced with a 10 year mortgage in the amount of $16,900,000 at 4.34% interest only. The Joint Venture paid off the prior mortgage of approximately $15,205,000 with the proceeds of the new mortgage and distributed $850,000 to the Partnership. The costs associated with the refinancing were approximately $161,000. On April 18, 2024 the Borrower and KeyBank executed amended loan documents reflecting the transfer of interest in the Borrower. In conjunction with the execution of the amended loan documents, KeyBank provided a courtesy reduction equal to 50% of the transfer fee. In August 2024, the property was refinanced with a 10 year mortgage in the amount of $23,589,000 at 5.425% interest only. The Joint Venture paid off the prior mortgage of approximately $16,900,000 with the proceeds of the new mortgage and distributed $2,000,000 to the Partnership. The costs associated with the refinancing were approximately $243,000. In 2018, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting, although the Partnership has no legal obligation to fund its share of any future operating deficiencies, if needed. At June 30, 2026, the balance of the mortgage before unamortized deferred finance is $23,589,000. The investment is referred to as Hamilton on Main LLC.

In November 2001, the Partnership invested approximately $1,533,000 for a 50% ownership interest in a 40-unit apartment building in Cambridge, Massachusetts. In June 2013, the property was refinanced with a 15 year mortgage in the amount of $10,000,000 at 3.87%, interest only for 3 years and is amortized on a 30-year schedule for the balance of the term. The Joint Venture paid off the prior mortgage of approximately $6,776,000 with the proceeds of the new mortgage. After the refinancing, the Joint Venture made a distribution of $1,610,000 to the Partnership. As a result of the distribution, the carrying value of the investment fell below zero. The Partnership will continue to account for this investment using the equity method of accounting. Although the Partnership has no legal obligation, the Partnership intends to fund its share of any future operating deficits if needed. At June 30, 2026, the balance of this mortgage before unamortized deferred financing costs is approximately $7,865,000. This investment is referred to as 345 Franklin, LLC.

Summary financial information at June 30, 2026


					Hamilton									Hamilton			Hamilton
		Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
		Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
ASSETS
Rental Properties		$	5,700,858		$	2,577,382		$	3,699,439		$	66,867		$	3,782,504		$	12,731,811		$	67,822,407		$	96,381,268
Cash & Cash Equivalents			1,531,128			83,862			42,503			15,268			814,202			650,913			8,740,725			11,878,601
Rent Receivable			117,151			51,233			12,081			3,582			19,369			42,082			182,606			428,104
Real Estate Tax Escrow			21,194			—			28,654			—			34,362			—			—			84,210
Prepaid Expenses & Other Assets			205,496			23,323			110,117			1,266			85,374			456,151			2,523,237			3,404,964
Total Assets		$	7,575,827		$	2,735,800		$	3,892,794		$	86,983		$	4,735,811		$	13,880,957		$	79,268,975		$	112,177,147
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable		$	12,056,780		$	—		$	7,851,916		$	—		$	5,957,377		$	23,390,587		$	124,876,139		$	174,132,799
Accounts Payable & Accrued Expense			126,432			2,000			71,556			2,174			57,156			227,112			782,374			1,268,804
Advance Rental Pmts & Security Deposits			466,024			—			364,819			9,027			161,802			556,329			3,964,060			5,522,061
Total Liabilities			12,649,236			2,000			8,288,291			11,201			6,176,335			24,174,028			129,622,573			180,923,664
Partners’ Capital			(5,073,409)			2,733,800			(4,395,497)			75,782			(1,440,524)			(10,293,071)			(50,353,598)			(68,746,517)
Total Liabilities and Capital		$	7,575,827		$	2,735,800		$	3,892,794		$	86,983		$	4,735,811		$	13,880,957		$	79,268,975		$	112,177,147
Partners’ Capital %—NERA			50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures		$	—		$	1,366,900		$	—		$	37,891		$	—		$	—		$	—			1,404,791
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures		$	(2,536,705)		$	—		$	(2,197,749)		$	—		$	(720,262)		$	(5,146,536)		$	(20,141,439)			(30,742,690)
Total Investment in Unconsolidated Joint Ventures (Net)																							$	(29,337,899)
Total units/condominiums
Apartments			49			—			40			—			42			148			409			688
Commercial			1			1			—			1			—			—			—			3
Total			50			1			40			1			42			148			409			691

Financial information for the six months ended June 30, 2026


					Hamilton									Hamilton			Hamilton
		Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
		Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
Revenues
Rental Income		$	1,015,970		$	121,806		$	913,479		$	55,879		$	767,885		$	2,177,942		$	9,153,462		$	14,206,423
Laundry and Sundry Income			7,504			—			23			—			—			28,387			95,928			131,842
			1,023,474			121,806			913,502			55,879			767,885			2,206,329			9,249,390			14,338,265
Expenses
Administrative			12,996			12,293			22,389			2,522			9,245			42,860			112,685			214,990
Depreciation and Amortization			230,879			5,440			176,692			1,632			176,974			617,299			1,873,807			3,082,723
Management Fees			42,564			5,158			37,912			2,164			30,334			85,388			180,987			384,507
Operating			145,019			—			80,969			224			114,903			333,988			863,355			1,538,458
Renting			21,523			—			17,863			65			9,170			48,648			56,309			153,578
Repairs and Maintenance			104,914			1,000			53,258			—			80,501			379,416			716,665			1,335,754
Taxes and Insurance			154,400			41,539			100,426			11,159			95,288			286,391			1,398,375			2,087,578
			712,295			65,430			489,509			17,766			516,415			1,793,990			5,202,183			8,797,588
Income Before Other Income			311,179			56,376			423,993			38,113			251,470			412,339			4,047,207			5,540,677
Other Income (Loss)
Interest Expense			(354,518)			—			(158,192)			—			(116,666)			(658,942)			(2,526,062)			(3,814,380)
Interest Income			20,450			495			2,846			256			7,910			9,645			95,527			137,129
			(334,068)			495			(155,346)			256			(108,756)			(649,297)			(2,430,535)			(3,677,251)
Net (Loss) Income		$	(22,889)		$	56,871		$	268,647		$	38,369		$	142,714		$	(236,958)		$	1,616,674		$	1,863,426
Net (Loss) Income —NERA 50%		$	(11,445)		$	28,435		$	134,323		$	19,185		$	71,357		$	(118,478)						123,376
Net Income —NERA 40%																				$	646,670			646,670
																							$	770,046

Financial information for the three months ended June 30, 2026


					Hamilton									Hamilton			Hamilton
		Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
		Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
Revenues
Rental Income		$	509,505		$	61,335		$	451,465		$	28,745		$	407,634		$	1,108,211		$	4,580,809		$	7,147,704
Laundry and Sundry Income			3,798			—			23			—			—			15,171			53,849			72,841
			513,303			61,335			451,488			28,745			407,634			1,123,382			4,634,658			7,220,545
Expenses
Administrative			9,194			8,088			13,139			1,496			5,579			21,146			57,850			116,492
Depreciation and Amortization			115,298			2,720			88,388			816			88,789			309,851			939,187			1,545,049
Management Fees			21,435			2,579			19,066			1,114			16,094			42,972			90,140			193,400
Operating			60,717			—			26,655			159			33,977			152,085			346,989			620,582
Renting			18,448			—			16,833			32			6,270			39,825			29,574			110,982
Repairs and Maintenance			61,437			1,000			27,519			—			37,245			193,159			404,983			725,343
Taxes and Insurance			76,783			20,791			50,207			5,425			48,014			155,333			700,350			1,056,903
			363,312			35,178			241,807			9,042			235,968			914,371			2,569,073			4,368,751
Income Before Other Income			149,991			26,157			209,681			19,703			171,666			209,011			2,065,585			2,851,794
Other Income (Loss)
Interest Expense			(177,581)			—			(78,153)			—			(58,342)			(329,740)			(1,259,376)			(1,903,192)
Interest Income			10,297			200			1,553			150			4,326			5,250			55,443			77,219
			(167,284)			200			(76,600)			150			(54,016)			(324,490)			(1,203,933)			(1,825,973)
Net Income (Loss)		$	(17,293)		$	26,357		$	133,081		$	19,853		$	117,650		$	(115,479)		$	861,652		$	1,025,821
Net Income (Loss)—NERA 50%		$	(8,646)		$	13,179		$	66,540		$	9,926		$	58,824		$	(57,739)						82,084
Net Income —NERA 40%																				$	344,660			344,660
																							$	426,744

Future annual mortgage maturities at June 30, 2026 are as follows:

At June 30, 2026, the weighted average interest rate on the above mortgages was 4.3%. The effective rate was 4.4% including the amortization expense of deferred financing costs


		Hamilton			345			Hamilton			Hamilton on			Dexter
Period End		Essex 81			Franklin			Minuteman			Main Apts			Park			Total
6/30/2027		$	—			264,211		$	—		$			$	—		$	264,211
6/30/2028			—			274,619			—			—			125,000,000			125,274,619
6/30/2029			—			7,326,403			—			—			—			7,326,403
6/30/2030			—			—			—			—			—			—
6/30/2031			—			—			—			—			—			—
Thereafter			12,214,000			—			6,000,000			23,589,000			—			41,803,000
			12,214,000			7,865,233			6,000,000			23,589,000			125,000,000			174,668,233
Less: unamortized deferred financing costs			(157,220)			(13,317)			(42,623)			(198,413)			(123,861)			(535,434)
		$	12,056,780		$	7,851,916		$	5,957,377		$	23,390,587		$	124,876,139		$	174,132,799

Summary financial information at June 30, 2025


					Hamilton									Hamilton			Hamilton
		Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
		Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
ASSETS
Rental Properties		$	5,065,184		$	2,579,456		$	4,010,711		$	70,131		$	3,847,684		$	13,180,990		$	69,605,017		$	98,359,173
Cash & Cash Equivalents			1,364,311			67,004			65,073			14,483			479,150			588,855			5,210,740			7,789,616
Rent Receivable			197,025			65,560			15,696			—			3,888			36,070			149,279			467,518
Real Estate Tax Escrow			68,876			—			43,268			—			32,079			—			—			144,223
Prepaid Expenses & Other Assets			306,479			29,207			61,802			7			54,603			299,310			2,941,014			3,692,422
Total Assets		$	7,001,875		$	2,741,227		$	4,196,550		$	84,621		$	4,417,404		$	14,105,225		$	77,906,050		$	110,452,952
LIABILITIES AND PARTNERS’ CAPITAL
Mortgage Notes Payable		$	9,996,553		$	—		$	8,099,455		$	—		$	5,949,194		$	23,366,292		$	124,811,515		$	172,223,009
Accounts Payable & Accrued Expense			282,111			6,311			64,117			1,977			55,030			240,187			793,185			1,442,918
Advance Rental Pmts& Security Deposits			369,428			—			258,189			—			179,124			483,952			4,055,646			5,346,339
Total Liabilities			10,648,092			6,311			8,421,761			1,977			6,183,348			24,090,431			129,660,346			179,012,266
Partners’ Capital			(3,646,217)			2,734,916			(4,225,211)			82,644			(1,765,944)			(9,985,206)			(51,754,296)			(68,559,314)
Total Liabilities and Capital		$	7,001,875		$	2,741,227		$	4,196,550		$	84,621			4,417,404		$	14,105,225		$	77,906,050		$	110,452,952
Partners’ Capital %—NERA			50	%		50	%		50	%		50	%		50	%		50	%		40	%
Investment in Unconsolidated Joint Ventures		$	—		$	1,367,458		$	—		$	41,322		$			$			$			$	1,408,780
Distribution and Loss in Excess of investments in Unconsolidated Joint Ventures		$	(1,823,109)		$	—		$	(2,112,606)		$	—		$	(882,972)		$	(4,992,603)		$	(20,701,718)			(30,513,007)
Total Investment in Unconsolidated Joint Ventures (Net)																							$	(29,104,227)
Total units/condominiums
Apartments			48			—			40			0			42			148			409			687
Commercial			1			1			—			1			—			—			—			3
Total			49			1			40			1			42			148			409			690

Financial information for the six months ended June 30, 2025


					Hamilton									Hamilton			Hamilton
		Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
		Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
Revenues
Rental Income		$	998,349		$	120,942		$	960,298		$	49,835		$	743,084		$	2,176,046		$	8,932,174		$	13,980,728
Laundry and Sundry Income			5,091			—			—			—			—			29,211			93,984			128,286
			1,003,440			120,942			960,298			49,835			743,084			2,205,257			9,026,158			14,109,014
Expenses
Administrative			15,191			2,011			21,560			2,876			16,369			48,363			143,595			249,965
Depreciation and Amortization			231,944			5,855			174,660			1,632			170,946			573,175			1,823,872			2,982,084
Management Fees			39,691			5,058			36,692			2,060			29,578			86,031			186,390			385,500
Operating			172,413			—			67,248			59			80,485			290,502			734,048			1,344,755
Renting			10,217			—			36,277			68			9,267			54,477			47,216			157,522
Repairs and Maintenance			84,844			—			68,790			—			61,422			295,861			737,244			1,248,161
Taxes and Insurance			148,755			34,773			95,999			9,737			80,492			240,454			1,429,725			2,039,935
			703,055			47,697			501,226			16,432			448,559			1,588,863			5,102,090			8,407,922
Income Before Other Income			300,385			73,245			459,072			33,403			294,525			616,394			3,924,068			5,701,092
Other Income (Loss)
Interest Expense			(344,358)			—			(164,862)			—			(117,222)			(660,946)			(2,539,706)			(3,827,094)
Interest Income			19,472			682			3,897			288			4,960			8,821			75,139			113,259
Other income (Expense)			—			—						—			—									—
			(324,886)			682			(160,965)			288			(112,262)			(652,125)			(2,464,567)			(3,713,835)
Net Income (Loss)		$	(24,501)		$	73,927		$	298,107		$	33,691		$	182,263		$	(35,731)		$	1,459,501		$	1,987,257
Net Income (Loss)—NERA 50%		$	(12,250)		$	36,964		$	149,053		$	16,845		$	91,132		$	(17,866)						263,878
Net Income —NERA 40%																				$	583,801			583,801
																							$	847,679

Financial information for the three months ended June 30, 2025


					Hamilton									Hamilton			Hamilton
		Hamilton			Essex			345			Hamilton			Minuteman			on Main			Dexter
		Essex 81			Development			Franklin			1025			Apts			Apts			Park			Total
Revenues
Rental Income		$	493,808		$	60,471		$	457,180		$	24,918		$	375,471		$	1,070,467		$	4,484,108		$	6,966,423
Laundry and Sundry Income			2,734			—			—			—			—			14,146			53,836			70,716
			496,542			60,471			457,180			24,918			375,471			1,084,613			4,537,944			7,037,139
Expenses
Administrative			6,235			1,005			7,594			2,050			5,014			8,170			57,263			87,331
Depreciation and Amortization			116,036			2,928			87,631			816			86,129			287,273			918,654			1,499,467
Management Fees			19,403			2,529			17,629			1,030			15,298			43,065			93,045			191,999
Operating			74,151			—			28,420			59			23,121			102,489			294,692			522,932
Renting			9,998			—			5,537			48			3,801			22,273			22,669			64,326
Repairs and Maintenance			42,911			—			33,958			—			38,645			149,182			395,626			660,322
Taxes and Insurance			74,563			17,423			47,993			5,024			40,525			120,874			713,322			1,019,724
			343,297			23,885			228,762			9,027			212,533			733,326			2,495,271			4,046,101
Income Before Other Income			153,245			36,586			228,418			15,891			162,938			351,287			2,042,673			2,991,038
Other Income (Loss)
Interest Expense			(173,048)			—			(82,376)			—			(58,927)			(332,246)			(1,273,633)			(1,920,230)
Interest Income			9,620			341			1,867			133			2,775			3,693			43,337			61,766
			(163,428)			341			(80,509)			133			(56,152)			(328,553)			(1,230,296)			(1,858,464)
Net Income (Loss)		$	(10,183)		$	36,927		$	147,909		$	16,024		$	106,786		$	22,734		$	812,377		$	1,132,574
Net Income (Loss)—NERA 50%		$	(5,092)		$	18,464		$	73,955		$	8,012		$	53,393		$	11,368						160,100
Net Income —NERA 40%																				$	324,952			324,952
																							$	485,051