UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
Date of Report (Date of earliest event reported): January 20, 1998
(December 30, 1997)
Commission File Number 0-11655
NTS-PROPERTIES IV
(Exact name of registrant as specified in its charter)
Kentucky 61-1026356
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
10172 Linn Station Road
Louisville, Kentucky 40223
(Address of principal executive (Zip Code)
offices)
Registrant's telephone number,
including area code (502) 426-4800
Not Applicable
Former name, former address and former fiscal year,
if changed since last report
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Item 5. Other Items
On December 30, 1997, Full Sail Recorders, Inc., a tenant at the University
Boulevard office development in Orlando, Florida (Full Sail), delivered written
notice to the Partnership that Full Sail had (i) exercised its right of first
refusal under its lease with NTS-Properties V to purchase the University I
office building and the Phase III vacant land, and (ii) exercised its right of
first refusal under its lease with NTS University Boulevard Joint Venture to
purchase the University II office building, for an aggregate purchase price for
all three of $18,700,000. Full Sail exercised its right of first refusal under
the leases in response to a letter of intent to purchase University I,
University II and the Phase III land which was previously received by the
Partnership from an unaffiliated buyer. Under its right of first refusal, Full
Sail must purchase the properties on the same terms and conditions as
contemplated by the letter of intent. Full Sail agreed in its notice to the
Partnership to proceed to negotiate in good faith a definitive purchase
agreement for the properties. Because no binding agreement exists for the
purchase of these properties at this time, there can be no assurance that a
mutual agreement of purchase and sale will be reached among the parties, nor
that the sale of the properties will be consummated. The University II office
building is owned by the Lakeshore/University II Joint Venture, the successor to
NTS University Boulevard Joint Venture, in which the Partnership owns an 18%
joint venture interest. Under the terms of the right of first refusal, the
closings of the sale of University I, University II and the Phase III vacant
land are to occur simultaneously. The Partnership has not determined the use of
net proceeds from any such sale.
On February 1, 1996, NTS-Properties IV (the "Partnership") established an
Interest Repurchase Reserve pursuant to Section 16.4 of the Partnership's
Amended and Restated Agreement of Limited Partnership. Under Section 16.4,
limited partners may request the Partnership to repurchase their respective
interests (Units) in the Partnership. The Partnership notified the limited
partners by letter on February 1, 1996 of the establishment of the Interest
Repurchase Reserve of $297,450 to acquire up to 1,983 Units and the opportunity
to request that the Partnership repurchase Units at $150 per Unit. The
authorized units were repurchased. Subsequently, additional fundings were
authorized and units repurchased. The most recent funding of $45,000 to
repurchase 300 units at $150 per Unit occurred in November 1997. The authorized
units were repurchased on a first-come, first-served basis until the program was
oversubscribed.
As of January 13, 1998, NTS-Properties IV has elected to fund an additional
amount of $60,000 to its Interest Repurchase Reserve. With this funding, the
Partnership will be able to repurchase up to 400 additional Units at a price of
$150 per Unit. The first units to be repurchased will be those previously
submitted and not repurchased with earlier Interest Repurchase Reserve fundings
to the extent that those unit holders reconfirm their desire to sell their
units. If the number of Units submitted for repurchase exceeds that which can be
repurchased by the Partnership with the remaining balance of the current
funding, those additional Units may be repurchased in subsequent quarters. The
above offering price per Unit was established by the General Partner in its sole
discretion and does not purport to represent the fair market value or
liquidation value of the Unit.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the NTS
Mortgage Income Fund has duly caused this report to be signed on its behalf by
the undersigned, thereunto duly authorized.
NTS-Properties IV., Ltd.
(Registrant)
By:NTS-Properties Associates IV,
General Partner
By: NTS Capital Corporation,
General Partner
/s/ John W. Hampton
John W. Hampton
Senior Vice President
Date: January 20, 1998
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