UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
( X ) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1995
OR
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to .
Commission File Number 1-8820
Banyan Short Term Income Trust
(Exact name of Registrant as specified in its charter)
Massachusetts 36-6801275
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
150 South Wacker Drive, Chicago, Illinois 60606
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (312) 553-9800
Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the Registrant was
required to file such reports), and (2) has been subject to such filing require-
ments for the past 90 days. YES X . NO .
Shares of beneficial interest outstanding as of May 11, 1995: 6,667,410.
Transitional Small Business Disclosure Format. YES . NO X .
PART I FINANCIAL INFORMATION
Item 1. Financial Statements
BANYAN SHORT TERM INCOME TRUST
CONSOLIDATED BALANCE SHEETS
MARCH 31, 1995 AND DECEMBER 31, 1994
(UNAUDITED)
1995 1994
ASSETS
Cash and Cash Equivalents $ 5,109,167 $ 2,687,908
Investment Securities 6,301,232 4,638,553
Interest Receivable 167,238 64,556
Foreclosed Real Estate
Held for Sale 11,558,043 11,558,043
Net Investment in Real
Estate Ventures 3,990,574 4,229,540
Note Receivable --- 3,500,000
Other Assets 213,735 211,004
------------ ------------
Total Assets $ 27,339,989 $ 26,889,604
============ ============
LIABILITIES AND SHARE-
HOLDERS' EQUITY
Liabilities
Accounts Payable and
Accrued Expenses $ 437,584 $ 306,273
------------ ------------
Total Liabilities 437,584 306,273
------------ ------------
Shareholders' Equity
Shares of Beneficial Interest,
No Par, 7,500,000 Shares
Authorized, 6,917,510 Shares
Issued 61,870,851 61,870,851
Accumulated Deficit (34,592,786) (34,881,537)
Unrealized Losses on
Investment Securities (94,297) (124,620)
Treasury Stock, at Cost,
for 250,100 Shares of
Beneficial Interest (281,363) (281,363)
------------ ------------
Total Shareholders' Equity 26,902,405 26,583,331
------------ ------------
Total Liabilities and
Shareholders' Equity $ 27,339,989 $ 26,889,604
============ ============
Book Value Per Share of
Beneficial Interest
(6,667,410 Shares Issued
and Outstanding) $ 4.03 $ 3.99
============ ============
The accompanying notes are an integral part of the
consolidated financial statements.
BANYAN SHORT TERM INCOME TRUST
CONSOLIDATED STATEMENTS OF INCOME AND EXPENSES
FOR THE THREE MONTHS ENDED MARCH 31, 1995 AND 1994
(UNAUDITED)
INCOME 1995 1994
Interest Income on Cash
and Cash Equivalents $ 50,476 $ 32,101
Interest Income on Investment
Securities 81,393 30,352
Other Income 24,757 ---
----------- -----------
Total Income 156,626 62,453
----------- -----------
EXPENSES (RECOVERIES)
Shareholder Expenses 25,760 44,447
Directors' Fees, Expenses
and Insurance 54,172 49,550
Other Professional Fees 39,000 83,444
General and Administrative 140,768 79,696
Recovery of Losses On Loans
Notes, and Interest Re-
ceivable and Class Action
Settlement Costs and Expenses (336,374) (519,943)
------------ ------------
Total (Recoveries) Expenses (76,674) (262,806)
----------- -----------
Operating Income 233,300 325,259
Net Income From Foreclosed
Real Estate Held for Sale
and Real Estate Ventures 55,451 247,718
----------- -----------
Net Income $ 288,751 $ 572,977
=========== ===========
Net Income Per Share
of Beneficial Interest (Based
on Shares Outstanding of
6,667,410) $ 0.04 $ 0.09
=========== ===========
The accompanying notes are an integral part of the consolidated
financial statements.
BANYAN SHORT TERM INCOME TRUST
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY
FOR THE THREE MONTHS ENDED MARCH 31, 1995
(UNAUDITED)
Unrealized Losses
Shares of on
Beneficial Interest Investment
Shares Amount Securities
Shareholders'
Equity, December
31, 1994 6,917,510 $61,870,851 $ (124,620)
Net Income --- --- ---
Unrealized Gains
for the Period
Ended March 31,
1995 --- --- 30,323
--------- ----------- ----------
Shareholders'
Equity,
March 31, 1995 6,917,510 $61,870,851 $ (94,297)
========= =========== ==========
BANYAN SHORT TERM INCOME TRUST
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY
FOR THE THREE MONTHS ENDED MARCH 31, 1995 (CONTINUED)
(UNAUDITED)
Accumulated Treasury
Deficit Stock Total
Shareholders'
Equity December
31, 1994 $(34,881,537) $(281,363) $26,583,331
Net Income 288,751 --- 288,751
Unrealized Gains
for the Period
Ended March 31,
1995 --- --- 30,323
------------ --------- -----------
Shareholders'
Equity
March 31, 1995 $(34,592,786) $(281,363) $26,902,405
============ ========= ===========
The accompanying notes are an integral part of the consolidated
financial statements.
BANYAN SHORT TERM INCOME TRUST
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1995 AND 1994
(UNAUDITED)
1995 1994
CASH FLOWS FROM OPERATING
ACTIVITIES:
NET INCOME $ 288,751 $ 572,977
Adjustments to Reconcile Net
Income to Net Cash Provided
by Operating Activities:
Amortization of Premium on
Investment Securities 11,640 ---
Equity in Net Income from
Operations of Foreclosed
Real Estate Held for Sale and
Real Estate Ventures (55,451) (247,718)
Net Change In:
Interest Receivable on Cash and
Cash Equivalents and
Investment Securities (102,682) (23,293)
Other Assets (2,731) (92,690)
Accounts Payable and Accrued
Expenses 131,311 (87,521)
----------- -----------
Net Cash Provided In Operating
Activities 270,838 121,755
----------- -----------
CASH FLOWS FROM INVESTING
ACTIVITIES:
Proceeds from Maturity of
Investment Securities 2,051,620 399,178
Purchase of Investment Securities (3,695,616) (5,120,929)
Collections of Notes Receivable 3,500,000 ---
Distributions from (Investment in)
Foreclosed Real Estate Held for
Sale and Real Estate Ventures,
Net 294,417 (45,109)
----------- -----------
Net Cash Provided By (Used In) 2,150,421 (4,766,860)
Investing Activities ----------- -----------
Net Increase (Decrease) in Cash
and Cash Equivalents 2,421,259 (4,645,105)
Cash and Cash Equivalents at
Beginning of Period 2,687,908 5,237,003
----------- -----------
Cash and Cash Equivalents at
End of Period $ 5,109,167 $ 591,898
=========== ===========
The accompanying notes are an integral part of the consolidated
financial statements.
BANYAN SHORT TERM INCOME TRUST
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
MARCH 31, 1995
(UNAUDITED)
Readers of this quarterly report should refer to Banyan Short Term
Income Trust's (the "Trust's") audited consolidated financial statements for
the year ended December 31, 1994, which are included in the Trust's 1994
Annual Report, as certain footnote disclosures which would substantially
duplicate those contained in such audited financial statements have been
omitted from this report.
1. FINANCIAL STATEMENT PRESENTATION
As of March 31, 1995 the consolidated financial statements include the
accounts of the Trust, its wholly-owned subsidiaries, the Trust's 50% interest
in the Oakridge Joint Venture and 75% interest in the Dearborn Park Townhome
Partnership which are accounted for on the equity method. (See Investment in
Real Estate Ventures for further details regarding the Trust's interest in
these projects). In the opinion of management, all adjustments necessary for
a fair presentation have been made to the accompanying consolidated financial
statements as of March 31, 1995 and for the quarters ended March 31, 1995 and
1994. These adjustments made to the financial statements, as presented, are
all of a normal recurring nature to the Fund unless otherwise indicated.
2. TRANSACTIONS WITH AFFILIATES
Administrative costs, primarily salaries and general and administrative
expenses are reimbursed by the Trust to Banyan Management Corp. ("BMC").
These costs are allocated to the Fund and other entities to whom BMC provides
administrative services based upon the actual number of hours spent by BMC
personnel on matters related to that Fund. The Trust's costs for the three
months ended March 31, 1995 and 1994 aggregated $88,325 and $67,839,
respectively. As one of its administrative services, BMC serves as the paying
agent for general and administrative costs of the Trust. As part of providing
this payment service, BMC maintains a bank account on behalf of the Trust. As
of March 31, 1995, the Trust had a net receivable due from BMC of $161,420.
3. INVESTMENT SECURITIES
The Trust's investment securities portfolio at March 31, 1995 is as
follows:
Amortized Cost
Net of Principal
Paydowns Estimated Market
Title of Each Issue Received Value at Mar.
and Name of Issuer Mar. 31, 1995 31, 1995 (2)
Federal Farm Credit
Bank 4.43%, 12/01/94-
04/03/95 $ 549,951 $ 549,951
Federal National
Residential Finance
Note 4.32%, 02/28/95-
06/06/95 693,045 693,045
Federal Home Loan
Bank 8.70%, 03/27/95-
07/06/95 1,016,886 1,016,886
Federal Home Loan
Mortgage Corp. (1)
7.00%, 5/06/94-
3/15/2005 399,475 395,093
Federal Home Loan
Mortgage Corp. (1)
6.20%, 3/07/94-
5/15/2013 1,013,230 965,000
Federal National
Mortgage Assoc. (1)
6.75%, 01/20/95-
10/25/2017 1,897,808 1,895,839
Federal National
Mortgage Assoc. (1)
7.55%, 3/07/94-
2/25/2020 825,134 785,418
---------- ----------
$6,395,529 $6,301,232
========== ==========
(1) The Guaranteed REMIC Pass-Through Certificates are guaranteed as to
timely payment of principal and interest by the Federal National
Mortgage Association. The maturity of the principal of the above
investment securities is dependent upon the repayment of the underlying
U.S. Agency sponsored mortgages. The rate of repayment is dependent
upon the current market level of interest rates on mortgage loans as it
relates to the interest rates of the mortgages underlying each REMIC
security. The expected maturity of these investment securities, under
the market conditions as of the first quarter of 1995, is expected to be
from March 15, 2005 to February 25, 2020. These expectations may change
as interest rates on mortgage loans change.
(2) The Fund has recorded unrealized losses of $94,297 on its investment
securities based on their current market values at March 31, 1995.
4. FORECLOSED REAL ESTATE HELD FOR SALE, NOTE RECEIVABLE AND OTHER INCOME
The Trust had previously made three mortgage loans to the Boca Raton
Hotel and Club Limited Partnership (the "Borrower"). Those loans were cross
collateralized by the Boca Golf and Tennis Club and by a seven-acre
undeveloped parcel of land located near an existing marina adjacent to the
Boca Raton Hotel and Resort (the "Marina Parcel"). Both parcels are located
in Boca Raton, Florida. In March 1993, the Trust initiated foreclosure
proceedings against the Borrower, because its note had become due and no
payment was forthcoming.
On December 29, 1994, the Court approved a Settlement Stipulation (the
"Settlement Agreement") regarding the Trust's foreclosure litigation related
to the Trust's three mortgage loans to the Borrower. Under the Settlement
Agreement, the Trust received $1,000,000 in cash and a stipulated judgment
providing for a foreclosure sale of the Marina Parcel. The Settlement
Agreement further provided that anytime prior to March 31, 1995 the Borrower
could obtain a release of the Trust's lien against the Boca Golf and Tennis
Club by tendering, to the Trust, $3,500,000 plus interest at 10% per annum
from the court approval date of the Settlement Agreement. On February 7,
1995, the Trust acquired title to the Marina Parcel pursuant to the consensual
foreclosure sale. On February 22, 1995 the Trust received the aforesaid
$3,500,000 plus $24,757 of interest and released its mortgage lien on the Boca
Golf and Tennis Club. Additionally, pursuant to the Settlement Agreement, the
Borrower has agreed to cooperate with the Trust regarding the development
rights for a 210-unit residential development on the Marina Parcel. The Trust
has also agreed to lease the Marina Parcel to an affiliate of the Borrower for
a one year period, effective February 7, 1995, at a triple net rent of
$100,000 per year, for use by the Borrower solely as an employee parking lot.
The effect of the Settlement Agreement was reflected on the Trust's balance
sheet as of December 31, 1994. For the quarter ended March 31, 1995, the
Trust recorded interest income of $24,757 as other income in the Trust's
consolidated statements of income and expenses on the Boca Golf and Tennis
Club Note, as discussed above, and recognized a $24,495 loss related to the
Marina Parcel.
5. INVESTMENT IN REAL ESTATE VENTURES
Equity in Income (Loss):
For the quarter ended
March 31, 1995 1994
Dearborn Park Townhome
Partnership $ 123,575 $ 303,888
Oakridge Partnership (43,629) (56,170)
---------- ---------
Total $ 79,946 $ 247,718
========== =========
During the quarter ended March 31, 1995, the Trust received $262,500 as
its share of a distribution from the Dearborn Park Townhome Partnership. Also
during the quarter ended March 31, 1995, the Trust funded $46,992 to the
Oakridge Partnership. These fundings were offset by the receipt of $103,404
of deposits related primarily to the sales contract on 211 acres of the
Oakridge property.
6. RECOVERY OF LOSSES ON LOANS, NOTES AND INTEREST RECEIVABLE AND CLASS
ACTION SETTLEMENT COSTS AND EXPENSES
On February 9, 1995, the Trust received a cash distribution of $497,873
related to its interest in a liquidating trust established for the benefit of
the unsecured creditors of VMS Realty Partners and its affiliates ("VMS").
For the quarter ended March 31, 1995, the Trust has recorded a $336,374
recovery of losses on mortgage loans, notes and interest receivable on its
consolidated statement of income and expenses related to the distribution
received from the liquidating trust. The $336,374 net recovery in 1995
represents the $497,873 distribution received net of an estimated $161,499 due
to the Class Action Settlement Fund representing the Trust's share of amounts
due pursuant to the terms of the previously settled VMS securities litigation.
As of March 31, 1995, the Trust has recorded $279,808 in distributions
received from the liquidating trust as a liability in accounts payable and
accrued expenses on its consolidated balance sheet per the terms of the Class
Action Settlement.
On January 25, 1994, the Trust received net proceeds of $519,943
relating to a recovery of payments previously made into an escrow established
as part of the Class Action Settlement of the VMS securities litigation. The
escrow was established to provide the trustees of the Trust with monies to
fund the cost of any litigation in which they may be named as defendants
following settlement of the class action. Subsequently, the trustees have
released the proceeds from the escrow, and the Trust has purchased an
insurance policy to cover the directors.
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
GENERAL
Banyan Short Term Income Trust (the "Trust") was formed to make short-
term loans to affiliates of VMS Realty Partners. The Trust has been adversely
affected as a result of the non-payment of amounts due from these borrowers on
mortgage loans and notes receivable. As a result of these defaults, the Trust
suspended the making of new loans (except for advances of additional funds
under circumstances which it is deemed necessary to preserve the value of
existing collateral), including instances where the Trust has foreclosed upon
or taken title, directly or indirectly, to the collateral. The Trust has also
suspended distributions to shareholders. In early 1990, the Trust implemented
a plan designed to preserve its assets and manage its properties acquired
through foreclosure or otherwise until they can be disposed of in an orderly
manner (the "Principal Recovery Plan"). In early January 1992, the Board
affirmed that the continued implementation of the Principal Recovery Plan,
consistent with property specific business plans adopted during 1991, is the
best way to maximize shareholder value over the long-term.
The Trust's largest asset is the Boca Raton Marina Parcel. The Trust
took title to this property on February 7, 1995 and has agreed to a one year
triple net lease with the property's former owner which provides for net rent
of $100,000 for the year. The parcel will be utilized by the lessee solely as
a parking lot for its employees. The Trust's other assets consist of a 50%
interest in a partnership which owns a 241 acre parcel in Hollywood and Dania,
Florida ("Oakridge") and a 75% interest in a partnership which owns the
Federal Square at Dearborn Park townhome development in Chicago. The Trust's
joint venture interests in these two assets have a combined book value of
$3,990,574 as of March 31, 1995.
With the February 1995 completion of the Boca Settlement Agreement, the
Trust anticipates that substantially all of the Trust's remaining assets will
be liquidated in the next twelve to eighteen months. During 1995, it is the
Trust's intention to market the Marina Parcel for sale, complete the
development and sales of townhome units in the Federal Square Project and sell
the remaining residential parcel and retail site at Oakridge. The Trust will
continue to concentrate its efforts toward maximizing the value and
marketability of its assets as well as continuing its efforts to reduce the
ongoing operating expenses of the Trust. Management of the Trust expects to
present the Board of Trustees with various alternatives to the Trust's current
business plan during the second quarter of 1995. The Trust's management will
evaluate and present various alternatives to the Board of Trustees including,
but not limited to, liquidating the trust or merging with another entity. It
is the Trust's intent to propose a plan to the shareholders at the annual
meeting based on the Board of Trustees review of management's recommendations
as discussed above.
LIQUIDITY AND CAPITAL RESOURCES
Cash and cash equivalents consist of cash and short-term investments.
The Trust's cash and cash equivalents balance at March 31, 1995 and December
31, 1994 was $5,109,167 and $2,687,908, respectively. The increase in cash
and cash equivalents is primarily due to the Trust's receipt of $3,500,000 due
pursuant to the Boca Golf and Tennis Club Note, a $497,873 distribution from
the liquidating trust, a $262,500 equity distribution from the Dearborn Park
Townhome Partnership and receipts of $103,404 related primarily to the sales
contract on the Oakridge property. These receipts were partially offset by
the Trust's purchase of additional investment securities during 1995 of
approximately $1,700,000 and payment of operating expenses and expenditures
related to its real estate ventures.
The Trust's current balance of cash and cash equivalents and investment
securities is expected to be sufficient to meet its reasonably anticipated
needs for liquidity and capital resources in the near future. However, cash
reserves may be expended to maintain, operate and dispose of properties. The
Trust will seek to balance its activities in this regard, consistent with
available resources. Ultimately, the cash proceeds derived from the sale of
the Trust's remaining property interests will further contribute to the
Trust's liquidity position.
On February 9, 1995, the Trust received a cash distribution of $497,873
related to its interest in a liquidating trust established for the benefit of
the previously unsecured creditors of VMS Realty Partners and its affiliates
("VMS"). For the quarter ended March 31, 1995, the Trust has recorded a
$336,374 recovery of losses on mortgage loans, notes and interest receivable
on its consolidated statement of income and expenses related to the
distribution received from the liquidating trust. The $336,374 net recovery
in 1995 represents the $497,873 distribution received net of an estimated
$161,499 due to the Class Action Settlement Fund representing the Trust's
share of amounts due per the terms of the previously settled VMS securities
litigation.
On January 25, 1994, the Trust received net proceeds of $519,943
relating to a recovery of payments previously made into an escrow established
as part of the Class Action Settlement of the VMS securities litigation. The
escrow was established to provide the trustees of the Trust with monies to
fund the cost of any litigation in which they may be named as defendants
following settlement of the class action. Subsequently, the trustees have
released the proceeds from the escrow, and the Trust has purchased an
insurance policy to cover the directors.
Management reviews each investment property interest held by the Trust
on a quarterly basis utilizing current market information, including
appraisals, market studies, financial projections and sales comparisons. When
it has been determined in management's opinion that a permanent impairment in
the value of a given property interest has occurred, the carrying value of
that interest is written down to its fair market value.
The Trust's ability to make distributions to its shareholders is
dependent upon, among other things: (i) changes in the eventual sales price
of properties to which the Trust has taken title; (ii) income from the Trust's
investments in the Federal Square at Dearborn Park development and the
Oakridge property; (iii) the Trust's ability to control its expenses; (iv)
recovery on and potential distribution of cash proceeds from the assets of the
liquidating trust in which the Trust holds an interest; and (v) the general
improvement of conditions in the real estate markets where the Trust's
properties are located.
RESULTS OF OPERATIONS
For the quarters ended March 31, 1995 and 1994, the Trust recorded total
income of $156,626 and $62,453, respectively. This increase is primarily
attributable to the increases in income on cash and cash equivalents and
investment securities which are attributable to the increase in cash available
for investment and the higher interest rates available on such investments.
Also contributing to this increase is the $24,757 of interest income received
from the Boca Golf and Tennis Club note as discussed above.
Net income from foreclosed real estate held for sale and real estate
ventures totalled $55,451 and $247,718 for the quarters ended March 31, 1995
and 1994, respectively. For the quarters ended March 31, 1995 and 1994, net
income from foreclosed real estate held for sale and real estate ventures
consisted of $123,575 and $303,888, respectively, from income related to the
Dearborn Park Townhome Partnership ("Dearborn Park"). The Dearborn Park
income represents the Trust's 75% share of the Dearborn partnership's net
income from the sale of 8 and 15 townhomes during the first three months of
1995 and 1994, respectively. Development of Dearborn Park's Federal Square
Townhome project, consisting of a total of 117 townhomes, is substantially
complete with 102 units sold or under contract as of March 31, 1995. During
the first three months of 1995, Dearborn Park Partnership received net income
from sales of approximately $160,000 in connection with the sale of the
townhomes. The Trust recorded $43,629 and $56,170 as its share of the
Oakridge Partnership ("Oakridge") operating loss for the quarters ended March
31, 1995 and 1994, respectively. The decrease in the loss between 1995 and
1994 is primarily due to the completion of the zoning and entitlement work
during 1994. The Trust also recognized a $24,495 loss as of March 31, 1995
related to the Boca Marina Parcel which the Trust took title to on February 7,
1995.
Total (recoveries) expense for the quarter ended March 31, 1995 and 1994
were ($76,674) and ($262,806), respectively. This change represents a
$186,132 decrease in recoveries for the first quarter of 1995 when compared to
the same period in 1994 and is primarily attributable to the January 25, 1994
receipt of $519,943 representing net proceeds from a recovery of payments
previously made into an escrow established as part of the class action
settlement of the VMS securities litigation. The 1994 recovery was partially
matched by a $336,374 recovery of losses on mortgage loans, notes and interest
receivable which the Trust recorded during the first quarter of 1995. The
1995 recovery related to the distribution received from the Trust's interest
in the liquidating trust as discussed above in Liquidity and Capital
Resources. Adding to the impact of these recoveries are the decreases in
first quarter 1995 shareholder expenses, and other professional fees when
compared to the same period in 1994. Shareholder expenses decreased due to
the timing of the recognition of payments for annual report and proxy related
costs. Other professional fees decreased as a result of reimbursements for
legal fees related to the Boca foreclosure matter for expenditures made by the
Trust in prior periods. Partially offsetting these decreases in expenditures
is the increase in general and administrative expenses. General and
administrative expenses increased due primarily to an increase in Banyan
Management Corp ("BMC") expenses which were allocated to the Trust based on
the actual number of hours spent by BMC personnel on Trust-related matters.
The finalization of the Boca Raton Hotel and Club Limited Partnership
settlement, the foreclosure sale and transfer of ownership of the Boca Marina
Parcel required the increased efforts on behalf of the BMC personnel.
The combination of these changes resulted in net income of $288,751
($0.04) per share and $572,977 ($0.09) per share, respectively, for the
quarters ended March 31, 1995 and 1994.
PART II - OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) No exhibits are included with this report.
(b) On January 17, 1995, a current report on Form 8-K was filed wherein Item
5. Other Information disclosed the terms of a settlement relating to the
Boca Raton Hotel and Club Limited Partnership Loans.
SIGNATURES
PURSUANT to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this Report to be signed
on its behalf by the undersigned thereunto duly authorized.
BANYAN SHORT TERM INCOME TRUST
By: /s/ Leonard G. Levine Date: May 11, 1995
Leonard G. Levine, President
By: /s/ Joel L. Teglia Date: May 11, 1995
Joel L. Teglia, Vice President
of Finance and Administration, and Chief
Financial and Accounting Officer
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
"This schedule contains summary financial information extracted from
Banyan Short Term Income Trust's Form 10QSB for the quarter ended
March 31, 1995 and is qualified in its entirety by reference to
such Form 10QSB."
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> MAR-31-1995
<CASH> 5,109,167
<SECURITIES> 6,301,232
<RECEIVABLES> 167,238
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 11,577,637
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 27,339,989
<CURRENT-LIABILITIES> 437,584
<BONDS> 0
<COMMON> 27,278,065
0
0
<OTHER-SE> (375,660)
<TOTAL-LIABILITY-AND-EQUITY> 27,339,989
<SALES> 0
<TOTAL-REVENUES> 156,626
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 259,700
<LOSS-PROVISION> (336,374)
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 288,751
<INCOME-TAX> 0
<INCOME-CONTINUING> 288,751
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 288,751
<EPS-PRIMARY> 0.04
<EPS-DILUTED> 0.04
</TABLE>
