CNL AMERICAN REALTY FUND, INC.
This Supplement is part of, and should be read in conjunction with, the
Prospectus dated July 9, 1997. Capitalized terms used in this Supplement have
the same meaning as in the Prospectus unless otherwise stated herein.
Information in this Supplement is provided as of October 15, 1997. As of
October 15, 1997, the Company had not entered into any initial commitments to
acquire properties. Proposed properties for which the Company receives initial
commitments, as well as property acquisitions that occur after October 15, 1997
will be reported in a subsequent Supplement.
THE OFFERING
As of October 15, 1997, the Company had received aggregate subscription
proceeds of $2,774,580, which exceeded the minimum offering amount of
$2,500,000, and $2,652,330 of the funds were released from escrow. As of October
21, 1997, the Company had received total subscription proceeds of $3,276,100
from 174 investors, of which $122,250 (representing funds received from
Pennsylvania investors) will be held in escrow until aggregate subscription
proceeds total at least $8,250,000. As of October 21, 1997, the Company had
approximately $1,906,000 available to invest in Properties following deduction
of Selling Commissions, Marketing Support and Due Diligence Expense
Reimbursement Fees, Organizational and Offering Expenses and Acquisition Fees.
