Company: NEN
Filing Date: 2025-09-03
Form Type: 8-K/A
Source: 0001104659-25-087096
Chunk: 8

Company: NEW ENGLAND REALTY ASSOCIATES LIMITED PARTNERSHIP
Filing Date: 2025-09-03
Form: 8-K/A
Chunk 8
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 of revenue and certain expenses and accompanying
notes. Actual results could differ from those estimates.

Revenue Recognition

Rental revenue for Hill Estates et al is
recognized monthly over the terms of the lease. Residential leases are generally for a one-year term. No single tenant accounted for
more than 5% of the Property’s revenue. The
leases are classified as operating leases and revenue is recognized on a straight -line basis.

Unaudited Interim Information

The accompanying statement of revenue and
certain expenses for the three months ended March 31, 2025 is unaudited. In the opinion of management, the statement reflects all
adjustments necessary for a fair presentation of the results of the interim period. All such adjustments are of a normal recurring
nature. The results of operations for the period are not necessarily indicative of the purchased Property's future results of
operations.

3. Income Taxes

Hill Estates et al consists of a mixed use property,
comprising 396 residential units and two commercial properties, as well as two non-contiguous commercial properties, none of which are directly subject to income taxes.

4. Subsequent Events

Hill Estates et al evaluated subsequent events
through September 3, 2025 the date the statement was available to be issued.

<div align='center'>NEW ENGLAND REALTY ASSOCIATES LIMITED PARTNERSHIP

UNAUDITED PRO FORMA CONSOLIDATED FINANCIAL STATEMENTS</div>

The following unaudited pro forma consolidated balance sheet as of
March 31, 2025 gives effect to the New England Realty Associates Limited Partnership acquisition and financing described in Note A as
if such transaction had been completed as of March 31, 2025. The following unaudited pro forma consolidated income statements for the
three months ended March 31, 2025 and for the year ended December 31, 2024, which reflects amounts prior to the acquisition
date that are based on historic operations under the property’s previous ownership, are presented as if the acquisition and financings
were effective January 1, 2024.

The pro forma information is based on the
historical financial statements of the Partnership and Hill Estates et al and gives effect to the transactions, assumptions and
adjustments described in the accompanying notes to the unaudited pro forma consolidated financial statements. In addition, these
unaudited pro forma financial statements do not purport to project the future financial position or operating results of the
entities.

The pro forma