AEI Income & Growth Fund 25 Files 10-Q, Confirms Compliance

TL;DR

**AEI Income & Growth Fund 25 is playing by the rules, but without financials, it's a 'wait and see' for any real growth.**

AI Summary

AEI INCOME & GROWTH FUND 25 LLC, a real estate entity, filed its 10-Q for the quarter ended June 30, 2025, indicating it is a non-accelerated filer and a smaller reporting company. The company confirmed it has filed all required reports under Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months and has been subject to such filing requirements for the past 90 days. It also confirmed electronic submission of all Interactive Data Files as required by Rule 405 of Regulation S-T. The filing explicitly states that no securities are registered pursuant to Section 12(b) of the Act, with 'NONE' listed for trading symbols and exchanges. However, Limited Liability Company Units are registered pursuant to Section 12(g) of the Act. As of July 31, 2025, there were 35,791.59 Units of limited member outstanding. The company is not a shell company. Specific revenue and net income figures are not provided in the excerpt, preventing a detailed financial performance analysis.

Why It Matters

For investors, this filing confirms AEI INCOME & GROWTH FUND 25 LLC's ongoing compliance with SEC reporting requirements, which is a foundational aspect of investor confidence. The lack of a public trading symbol means direct market impact is limited, but the existence of 35,791.59 outstanding Limited Liability Company Units suggests a private or limited investor base. Competitive context is difficult to assess without financial performance data, but consistent regulatory adherence is crucial for any real estate fund in a competitive market. Employees and customers are less directly impacted by this specific compliance filing, but it underpins the fund's operational legitimacy.

Risk Assessment

Risk Level: low — The risk level is low because the filing explicitly states the company has filed all required reports and is not a shell company. This indicates strong regulatory compliance and operational transparency, reducing immediate red flags for investors. The company also confirmed electronic submission of all Interactive Data Files, further demonstrating adherence to SEC regulations.

Analyst Insight

Investors should note the compliance but recognize the absence of financial performance data in this excerpt. Further due diligence into the fund's financial statements and real estate portfolio is essential before making any investment decisions. This filing primarily confirms operational legitimacy, not financial health.

Key Numbers

• 35,791.59 — Limited Liability Company Units (Units outstanding as of July 31, 2025, indicating the current equity structure.)
• 000-50609 — Commission File Number (Unique identifier for the registrant with the SEC, confirming its registration.)

Key Players & Entities

• AEI INCOME & GROWTH FUND 25 LLC (company) — registrant of the 10-Q filing
• SEC (regulator) — governing body for 10-Q filings
• June 30, 2025 (date) — end of the quarterly period reported
• July 31, 2025 (date) — date for outstanding units count
• 35,791.59 (dollar_amount) — number of Limited Liability Company Units outstanding
• Delaware (company) — state of incorporation
• 30 East 7th Street, Suite 1300 St. Paul, Minnesota 55101 (company) — business address

FAQ

Industry Context

AEI INCOME & GROWTH FUND 25 LLC operates within the real estate sector, specifically as a real estate entity. This industry is characterized by its sensitivity to interest rates, economic cycles, and local market conditions. Trends include evolving property management technologies, shifts in demand for different property types (e.g., residential, commercial, industrial), and increasing focus on sustainability.

Regulatory Implications

As a non-accelerated filer and smaller reporting company, AEI INCOME & GROWTH FUND 25 LLC benefits from scaled disclosure requirements under the Securities Exchange Act of 1934. However, it must continue to comply with all filing obligations, including timely submission of quarterly reports and interactive data files, to maintain its reporting status.

What Investors Should Do

1. Monitor future filings for financial performance details.
2. Review the company's business strategy and property portfolio.

Key Dates

• 2025-06-30: Quarterly period ended — Marks the end of the reporting period for the 10-Q filing.
• 2025-08-11: 10-Q Filing Date — Indicates when the company submitted its quarterly report to the SEC.
• 2025-07-31: Units of limited member outstanding — Provides a snapshot of the company's equity structure as of this date.

Glossary

10-Q

A quarterly report required by the U.S. Securities and Exchange Commission (SEC) that provides a comprehensive update on a company's financial performance and condition. (This is the specific filing being analyzed, detailing the company's performance for the quarter ended June 30, 2025.)

Non-accelerated filer

A company that does not meet the requirements to be classified as a large accelerated filer or an accelerated filer, typically based on public float and filing history. (Indicates AEI INCOME & GROWTH FUND 25 LLC has less stringent filing deadlines and disclosure requirements compared to larger public companies.)

Smaller reporting company

A company that meets certain criteria related to public float and annual revenue, allowing for scaled disclosure requirements. (AEI INCOME & GROWTH FUND 25 LLC qualifies for reduced reporting obligations, simplifying compliance.)

Section 12(g) of the Act

Refers to Section 12(g) of the Securities Exchange Act of 1934, which requires companies with a certain number of shareholders and assets to register their securities with the SEC. (This section is relevant because AEI INCOME & GROWTH FUND 25 LLC has registered its Limited Liability Company Units under this provision.)

Limited Liability Company Units

The ownership interests in a Limited Liability Company (LLC). (These are the securities of AEI INCOME & GROWTH FUND 25 LLC that are registered with the SEC under Section 12(g).)

Year-Over-Year Comparison

As specific financial figures for revenue and net income are not provided in this excerpt, a direct comparison of key metrics like revenue growth or margin changes to the previous year's filing is not possible. The filing confirms compliance with reporting requirements for the preceding 12 months and the past 90 days, indicating consistent regulatory adherence.

Key Financial Figures

• $819,260 — the Company recognized rental income of $819,260 and $807,014, respectively. Rental inco
• $807,014 — ecognized rental income of $819,260 and $807,014, respectively. Rental income increased
• $1,592,000 — ecognize rental income of approximately $1,592,000 in 2025. For the six months ended Jun
• $91,401 — ion expenses from affiliated parties of $91,401 and $129,765, respectively. These admin
• $129,765 — from affiliated parties of $91,401 and $129,765, respectively. These administration exp
• $107,332 — ment expenses from unrelated parties of $107,332 and $70,854, respectively. These expens
• $70,854 — from unrelated parties of $107,332 and $70,854, respectively. These expenses represent
• $406,688 — a. The Company received net proceeds of $406,688, which resulted in a net gain of $711.
• $711 — 06,688, which resulted in a net gain of $711. At the time of sale, the cost and rela
• $1,248,000 — nd related accumulated depreciation was $1,248,000 and $842,023, respectively. In Januar
• $842,023 — mulated depreciation was $1,248,000 and $842,023, respectively. In January 2025, the P
• $2,018,418 — h the Company receiving net proceeds of $2,018,418, which resulted in a net gain of $1,238
• $1,238,455 — 18,418, which resulted in a net gain of $1,238,455. At the time of sale, the cost and rela
• $2,199,067 — nd related accumulated depreciation was $2,199,067 and $1,419,104, respectively. 11 ITE
• $1,419,104 — mulated depreciation was $2,199,067 and $1,419,104, respectively. 11 ITEM 2. MANAGEMENT

Filing Documents

• aei25-20250630.htm (10-Q) — 325KB
• ex2531-1.htm (EX-31.1) — 8KB
• ex2531-2.htm (EX-31.2) — 8KB
• ex2532.htm (EX-32) — 9KB
• 0001185198-25-000012.txt ( ) — 1354KB
• aei25-20250630.xsd (EX-101.SCH) — 14KB
• aei25-20250630_def.xml (EX-101.DEF) — 55KB
• aei25-20250630_lab.xml (EX-101.LAB) — 120KB
• aei25-20250630_pre.xml (EX-101.PRE) — 77KB
• aei25-20250630_cal.xml (EX-101.CAL) — 19KB
• aei25-20250630_htm.xml (XML) — 66KB

– Financial Information

Part I – Financial Information Item 1. Condensed Financial Statements (unaudited): Balance Sheets as of June 30, 2025 and December 31, 2024 3 Income 4 Cash Flows 5 Changes in Members' Equity 6 Condensed Notes to Financial Statements 7 – 9 Item 2.

Management's Discussion and Analysis of Financial

Management's Discussion and Analysis of Financial Condition and Results of Operations 9 - 13 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 13 Item 4.

Controls and Procedures

Controls and Procedures 14

– Other Information

Part II – Other Information Item 1.

Legal Proceedings

Legal Proceedings 15 Item 1A.

Risk Factors

Risk Factors 15 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 15 Item 3. Defaults Upon Senior Securities 16 Item 4. Mine Safety Disclosures 16 Item 5. Other Information 16 Item 6. Exhibits 16

Signatures

Signatures 16 2 AEI INCOME & GROWTH FUND 25 LLC BALANCE SHEETS ASSETS June 30, December 31, 2025 2024 (unaudited) Current Assets: Cash $ 3,203,987 $ 1,697,116 Real Estate Investments: Land 5,447,301 5,868,790 Buildings 13,543,450 15,321,028 Acquired Intangible Lease Assets 2,178,056 2,178,056 Real Estate Held for Investment, at Cost 21,168,807 23,367,874 Accumulated Depreciation and Amortization ( 8,088,698 ) ( 9,163,754 ) Real Estate Held for Investment, Net 13,080,109 14,204,120 Total Assets $ 16,284,096 $ 15,901,236 LIABILITIES AND MEMBERS' EQUITY Current Liabilities: Payable to AEI Fund Management, Inc. $ 163,440 $ 151,147 Distributions Payable 561,899 278,351 Unearned Rent 27,058 61,749 Total Current Liabilities 752,397 491,247 Members' Equity: Managing Member 12,223 ( 803 ) Limited Members – 50,000 Units authorized; 35,791.59 and 36,986.36 Units issued and outstanding as of 6/30/2025 and 12/31/2024, respectively 15,519,476 15,410,792 Total Members' Equity 15,531,699 15,409,989 Total Liabilities and Members' Equity $ 16,284,096 $ 15,901,236 The accompanying Condensed Notes to Financial Statements are an integral part of these statements. 3 AEI INCOME & GROWTH FUND 25 LLC (unaudited) Three Months Ended June 30 Six Months Ended June 30 2025 2024 2025 2024 Rental Income $ 391,406 $ 384,430 $ 819,260 $ 807,014 Expenses: LLC Administration – Affiliates 39,069 59,965 91,401 129,765 LLC Administration and Property Management – Unrelated Parties 52,119 45,928 107,332 70,854 Depreciation and Amortization 156,454 174,231 312,909 354,209 Total Expenses 247,642 280,124 511,642 554,828 Operating Income 143,764 104,306 307,618 252,186 Other Income: Gain on Sale of Real Estate 0 0 1,238,455 711 Miscellaneous O

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS. This section contains "forward-looking statements" which represent management's expectations or beliefs concerning future events, including statements regarding anticipated application of cash, expected returns from rental income, growth in revenue, the sufficiency of cash to meet operating expenses, rates of distribution, and other matters. These, and other forward-looking statements, should be evaluated in the context of a number of factors that may affect the Company's financial condition and results of operations, including the following: — Market and economic conditions which affect the value of the properties the Company owns and the cash from rental income such properties generate; — the federal income tax consequences of rental income, deductions, gain on sales and other items and the effects of these consequences for Members; — resolution by the Managing Member of conflicts with which they may be confronted; — the success of the Managing Member of locating properties with favorable risk return characteristics; — the effect of tenant defaults; and — the condition of the industries in which the tenants of properties owned by the Company operate. Application of Critical Accounting Policies The Company's financial statements have been prepared in accordance with US GAAP. Preparing the financial statements requires management to use judgment in the application of these accounting policies, including making estimates and assumptions. These judgments will affect the reported amounts of the Company's assets and liabilities and the disclosure of contingent assets and liabilities as of the dates of the financial statements and will affect the reported amounts of revenue and expenses during the reporting periods. It is possible that the carrying amount of the Company's assets and liabilities, or the results of reported operations, would be aff

MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued)

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued) The fair values of above market and below market in-place leases will be recorded based on the present value (using an interest rate which reflects the risks associated with the leases acquired) of the difference between (i) the contractual amounts to be paid pursuant to the in-place leases and (ii) an estimate of fair market lease rates for the corresponding in-place leases measured over a period equal to the non-cancelable term of the lease including any bargain renewal periods. The above market and below market lease values will be capitalized as intangible lease assets or liabilities. Above market lease values will be amortized on a straight-line basis as an adjustment of rental income over the remaining term of the respective leases. Below market lease values will be amortized on a straight-line basis as an adjustment of rental income over the remaining term of the respective leases, including any bargain renewal periods. If a lease were to be terminated prior to its stated expiration, all unamortized amounts of above market and below market in-place lease values relating to that lease would be recorded as an adjustment to rental income. The fair values of in-place leases will include estimated direct costs associated with obtaining a new tenant, and opportunity costs associated with lost rentals which are avoided by acquiring an in-place lease. Direct costs associated with obtaining a new tenant may include commissions, tenant improvements, and other direct costs and are estimated, in part, by management's consideration of current market costs to execute a similar lease. These direct costs will be included in intangible lease assets on the balance sheet and will be amortized on a straight-line basis to expense over the remaining term of the respective leases. The value of opportunity costs will be calculated using the contractual amounts to be paid pursuant to the in-place leases over a market absor

MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued)

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued) Allocation of Expenses AEI Fund Management, Inc. allocates expenses to each of the funds they manage primarily on the basis of the number of hours devoted by their employees to each fund's affairs. They also allocate expenses at the end of each month that are not directly related to a fund's operations based upon the number of investors in the fund and the fund's capitalization relative to other funds they manage. The Company reimburses these expenses subject to detailed limitations contained in the Operating Agreement. Factors Which May Influence Results of Operations The Company is not aware of any material trends or uncertainties, other than national economic conditions affecting real estate generally, that may reasonably be expected to have a material impact, favorable or unfavorable, on revenues and investment property value. However, due to the current economic factors, higher interest rates, and inflation in the U.S. and globally, our tenants and operating partners may be impacted. Results of Operations For the six months ended June 30, 2025 and 2024, the Company recognized rental income of $819,260 and $807,014, respectively. Rental income increased due to multiple rent increases of various properties. This increase was partially offset by the sale of one property in March of 2025. Based on the scheduled rent for the properties owned as of July 31, 2024, the Company expects to recognize rental income of approximately $1,592,000 in 2025. For the six months ended June 30, 2025 and 2024, the Company incurred LLC administration expenses from affiliated parties of $91,401 and $129,765, respectively. These administration expenses include costs associated with the management of the properties, processing distributions, reporting requirements and communicating with the Limited Members. These expenses were lower in 2025, when compared to 2024, mainly due to a decrease in property related manageme

MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued)

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued) For the six months ended June 30, 2025 and 2024, the Company recognized interest income of $30,176 and $22,497, respectively. Management believes inflation has not significantly affected income from operations. Leases may contain rent increases, based on the increase in the Consumer Price Index over a specified period, which will result in an increase in rental income over the term of the leases. Inflation also may cause the real estate to appreciate in value. However, inflation and changing prices may have an adverse impact on the operating margins of the properties' tenants, which could impair their ability to pay rent and subsequently reduce the Net Cash Flow available for distributions. Liquidity and Capital Resources During the six months ended June 30, 2025, the Company's cash balances increased $1,506,871 as a result of cash received from the sale of real estate and cash received from operations, which was partially offset by distributions paid to Members and cash used to repurchase Units. During the six months ended June 30, 2024, the Company's cash balances increased $311,451 as a result of cash received from the sale of real estate and cash received from operations, which was partially offset by distributions paid to Members and cash used to repurchase Units in excess of cash generated from operating activities. Net cash provided by operating activities increased from $562,179 in the six months ended June 30, 2024 to $660,045 in the six months ended June 30, 2025 as a result an increase in rental income, an increase in interest income and a decrease in LLC administration and property management expenses from affiliated parties in 2025. This was partially offset by net timing differences in the collection of payments from the tenants and an increase in LLC administration and property management expenses from unrelated parties in 2025. The major components of the Company's cash flow from i

MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued)

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS. (Continued) For the six months ended June 30, 2025 and 2024, the Company declared distributions of $840,250 and $557,320, respectively. Pursuant to the Operating Agreement, distributions of Net Cash Flow are to be allocated 97% to the Limited Members and 3% to the Managing Member. Distributions of Net Proceeds of Sale are to be allocated 99% to the Limited Members and 1% to the Managing Member. The Limited Members were allocated declared distributions of $820,801 and $540,600 and the Managing Member was allocated declared distributions of $19,449 and $16,720 for the periods ended June 30, 2025 and 2024, respectively. The Company may repurchase Units from Limited Members who have tendered their Units to the Company. Such Units may be acquired at a discount. The Company will not be obligated to purchase in any year more than 2% of the total number of Units outstanding on January 1 of such year. In no event shall the Company be obligated to purchase Units if, in the sole discretion of the Managing Member, such purchase would impair the capital or operation of the Company. On April 1, 2025, the Company repurchased a total of 1,194.77 Units for $608,740 from 37 Limited Members in accordance with the Operating Agreement. The Company acquired these Units using net sales proceeds. The repurchase increases the remaining Limited Members' ownership interest in the Company. As a result of this repurchase and pursuant to the Operating Agreement, the Managing Member received distributions of $6,149 in the second quarter of 2025. On April 1, 2024, the Company repurchased a total of 171.94 Units for $92,970 from 8 Limited Members in accordance with the Operating Agreement. The Company acquired these Units using net sales proceeds. The repurchase increases the remaining Limited Members' ownership interest in the Company. As a result of this repurchase and pursuant to the Operating Agreement, the Managing Member received distributio

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