AEI Income & Growth Fund XXII Reports Improved Financial Results for Q1 2025

AEI Income & Growth Fund XXII Limited Partnership reported its financial results for the three months ending March 31, 2025, showing a rental income of $111,056, a slight increase from $109,519 in the same period of 2024. The Partnership's total expenses decreased to $118,157 from $123,462 year-over-year, primarily due to a reduction in partnership administration expenses from affiliated parties, which fell from $33,527 to $20,868. Despite the increase in rental income, the Partnership recorded a net loss of $1,727, an improvement from the net loss of $12,575 in the prior year, resulting in a net loss per limited partnership unit of $0.15 compared to $1.04 in 2024.

The Partnership's operational metrics indicate a stable performance, with the number of limited partnership units remaining unchanged at 11,749. The total partners' capital as of March 31, 2025, was reported at $6,385,676, down from $6,456,623 at the end of 2024. The Partnership declared distributions of $69,220 for both periods, with limited partners receiving $67,143 and general partners $2,077. The distributions represented a return of capital of $5.71 per limited partnership unit for both periods.

Cash flow from operating activities showed a significant increase, rising to $46,477 in 2025 from $23,142 in 2024. This increase was attributed to timing differences in tenant payments and a decrease in partnership administration expenses from related parties. However, the Partnership's cash balance decreased by $22,743 during the quarter, compared to a larger decrease of $80,671 in the same quarter of the previous year, reflecting the ongoing distribution payments to partners.

Management noted that the increase in rental income was driven by a rent increase on one property, and they anticipate recognizing approximately $446,000 in rental income for the full year 2025 based on scheduled rents. The Partnership did not engage in any property acquisitions or sales during the quarter, maintaining its focus on existing properties. Looking ahead, management expressed confidence that ongoing rent payments and cash generated from property sales will adequately fund distributions and meet other obligations.

Overall, AEI Income & Growth Fund XXII Limited Partnership's financial performance for the first quarter of 2025 reflects a positive trend in rental income and a reduction in net losses, despite challenges posed by market conditions. The Partnership continues to prioritize stable distributions while managing operational costs effectively.