FORM 10-Q
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1997
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Commission File Number: 0-14593
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
(Exact name of registrant as specified in its charter)
California 33-0104267
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
400 South El Camino Real, Suite 1100
San Mateo, California 94402-1708
(Address of principal executive offices) (Zip Code)
(415) 343-9300
(Registrant's telephone number)
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
requirements for the past 90 days.
Yes X No
Total number of units outstanding as of March 31, 1997: 34,992
Page 1 of 16
<PAGE>
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Balance Sheets
(in thousands, except units outstanding)
(Unaudited)
<TABLE>
<CAPTION>
March 31, December 31,
<S> <C> <C>
1997 1996
Assets
Investments in real estate:
Rental property, net of accumulated depreciation of
$2,872 and $2,808 at March 31, 1997 and
December 31, 1996, respectively $ 6,237 $ 6,301
Rental property held for sale 9,490 9,490
---------- -----------
Total real estate investments 15,727 15,791
Cash and cash equivalents 899 773
Accounts receivable, net 25 79
Advances to unconsolidated joint venture 50 ---
Deferred financing costs and other fees, net of accumulated
amortization of $384 and $470 at March 31, 1997 and
December 31, 1996, respectively 195 122
Other assets 11 63
---------- -----------
Total assets $ 16,907 $ 16,828
========== ===========
Liabilities and Partners' Equity (Deficit)
Liabilities:
Notes payable $ 14,976 $ 14,773
Accounts payable and accrued expenses 90 127
Interest payable 122 8
Other liabilities 62 58
---------- -----------
Total liabilities 15,250 14,966
---------- -----------
Partners' equity (deficit):
General Partner (166) (162)
Limited Partners, 34,992 limited partnership
units outstanding 1,823 2,024
---------- -----------
Total partners' equity 1,657 1,862
---------- -----------
Total liabilities and partners' equity $ 16,907 $ 16,828
========== ===========
See accompanying notes to financial statements.
</TABLE>
Page 2 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Statements of Operations
(in thousands, except units outstanding and per unit amounts)
(Unaudited)
<TABLE>
<CAPTION>
Three months ended
March 31
-----------------
1997 1996
------ -----
Revenues:
<S> <C> <C>
Rental income $ 570 $ 605
Interest and other income 8 21
-------- --------
Total revenues 578 626
-------- --------
Expenses:
Operating, including $36 and $34 paid
to affiliates in the three months
ended March 31, 1997 and 1996,
respectively 178 163
Interest 411 359
Depreciation and amortization 72 153
General and administrative, including $106
and $118 paid to affiliates inthe three
months ended March 31, 1997 and 1996,
respectively 122 160
-------- --------
Total expenses 783 835
-------- --------
Loss from operations (205) (209)
-------- -------
Loss in unconsolidated joint venture --- (78)
--------- -------
Net loss $ (205) $ (287)
======== ========
Net loss per limited partnership
current unit $ (16.35) $ (22.87)
========= ========
Number of limited partnership current
units outstanding during the period
used to compute net loss per
limited partnership current unit 12,297 12,297
======== ========
See accompanying notes to financialstatements.
</TABLE>
Page 3 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Statements of Partners' Equity
(Deficit) For the three months ended
March 31, 1997 and 1996
(in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Total Total
General Limited Partners Limited Partners'
Partner Current Deferred Growth Partners Equity
<S> <C> <C> <C> <C> <C> <C>
Balance at December 31, 1996 $ (162) $ 2,024 $ --- $ --- $ 2,024 $ 1,862
Net loss (4) (201) --- --- (201) (205)
---------- ---------- ---------- ---------- --------- ----------
Balance at March 31, 1997 $ (166) $ 1,823 $ --- $ --- $ 1,823 $ 1,657
========== ========== ========== ========== ========= =========
Balance at December 31, 1995 $ (128) $ 3,714 $ --- $ --- $ 3,714 $ 3,586
Net loss (6) (281) --- --- (281) (287)
---------- ---------- ---------- ---------- --------- ----------
Balance at March 31, 1996 $ (134) $ 3,433 $ --- $ --- $ 3,433 $ 3,299
========== ========== ========== ========== ========= ===========
</TABLE>
See accompanying notes to financialstatements.
Page 4 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Statements of Cash Flows (in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Three months ended
March 31,
1997 1996
Cash flows from operating activities:
<S> <C> <C>
Net loss $ (205) $ (287)
Adjustments to reconcile net loss to net
cash provided by (used for) operating activities:
Loss in unconsolidated joint venture --- 78
Depreciation and amortization 72 153
Amortization of loan fees, included in interest expenses 27 2
Changes in certain assets and liabilities:
Accounts receivable 54 (46)
Deferred financing costs and other fees (37) (13)
Other assets (8) (49)
Accounts payable and accrued expenses (37) (53)
Interest payable 186 59
Other liabilities 4 (5)
---------- ----------
Net cash provided by (used for) operating activities 56 (161)
---------- ----------
Cash flows from investing activities:
Payments received on notes receivable from unconsolidated
joint venture --- 105
Increase in notes receivable from unconsolidated
joint venture (50) ---
---------- ----------
Net cash provided by (used for) investing activities (50) 105
---------- ----------
Cash flows from financing activities:
Net loan proceeds 140 ---
Notes payable principal payments (20) (38)
---------- ----------
Net cash provided by (used for) financing activities 120 (38)
---------- ----------
Net increase (decrease) in cash and cash equivalents 126 (94)
Cash and cash equivalents at beginning of period 773 1,816
---------- ----------
Cash and cash equivalents at end of period $ 899 $ 1,722
========== ==========
</TABLE>
- continued -
Page 5 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Statements of Cash Flows - continued - (in thousands)
(Unaudited)
Supplemental disclosure of cash flow information:
Cash paid for interest $ 270 $ 298
========== ==========
Supplemental disclosure of refinancing activity:
New financing $ 8,500 $ ---
Original financing paid off in escrow (8,277) ---
Increase in other assets and loan fees (11) ---
Accrued interest expense paid through escrow (72) ---
----------- ---------
Net loan proceeds $ 140 $ ---
========== =========
See accompanying notes to financial statements.
Page 6 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Notes to Financial Statements
March 31, 1997
(Unaudited)
Note 1. THE PARTNERSHIP AND ITS SIGNIFICANT ACCOUNTING POLICIES
In the opinion of Glenborough Corporation, the managing general partner, the
accompanying unaudited financial statements contain all adjustments (consisting
of only normal accruals) necessary to present fairly the financial position of
Outlook Income/Growth Fund VIII, A California Limited Partnership (the
"Partnership"), as of March 31, 1997 and December 31, 1996, and the related
statements of operations, changes in partners' equity and cash flows for the
three months ended March 31, 1997 and 1996.
Management intends to present a plan of Partnership liquidation for an investor
vote in 1997. The carrying value of the investments in real estate at March 31,
1997 does not purport to represent the ultimate sales price the Partnership will
realize from the disposition of these assets nor are the amounts reflected in
the accompanying financial statements intended to represent the ultimate amount
to be distributed to partners if the plan is adopted.
The Partnership has three types of units: (i) Current Units (12,297 units
currently outstanding); (ii) Deferred Units (8,424 units currently outstanding);
and (iii) Growth Units (14,271 units currently outstanding). Each type of unit
was designed to provide a different type of return to the investor.
Basis of Accounting - The accompanying financial statements have been prepared
on the accrual basis of accounting in accordance with generally accepted
accounting principles under the presumption that the Partnership will continue
as a going concern. As discussed above, management intends to present a plan of
Partnership liquidation for an investor vote in 1997. However, the liquidation
proceeds and the timing thereof are not currently estimable, nor is approval of
such plan assured. Accordingly, the accompanying financial statements do not
provide for any adjustments relating to the aforementioned plan of liquidation
if it is adopted.
Reclassifications - Certain 1996 balances have been reclassified to conform
with the current year presentation.
Note 2. REFERENCE TO 1996 AUDITED FINANCIAL STATEMENTS
----------------------------------------------
These unaudited financial statements should be read in conjunction with the
Notes to Consolidated Financial Statements included in the 1996 audited
financial statements.
Page 7 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Notes to Financial Statements
March 31, 1997
(Unaudited)
Note 3. TRANSACTIONS WITH AFFILIATES
In accordance with the Limited Partnership Agreement, the Partnership pays the
General Partner compensation for services provided to the Partnership.
Glenborough Corporation ("Glenborough") provides property management services
and was compensated for such services as follows:
Three months ended March 31,
1997 1996
Management fees $ 30,000 $ 28,000
Property management salaries 6,000 6,000
------------ ------------
$ 36,000 $ 34,000
============ ============
The Partnership also reimbursed Glenborough for expenses incurred for services
provided to the Partnership such as accounting, investor services, data
processing, duplicating and office supplies, legal and administrative services,
and the actual costs of goods and materials used for or by the Partnership.
Glenborough was reimbursed $106,000 and $118,000 for such expenses during the
three months ended March 31, 1997 and 1996, respectively. These amounts are
included in general and administrative expenses.
As of March 31, 1997, GPA Ltd., a partnership with the same general partner as
the Partnership, has purchased 1,953 limited partnership units (a 6% interest)
from two unaffiliated limited partners. In April, 1997, GPA Ltd., acquired an
additional 813 limited partnership units from an unaffiliated limited partner.
Note 4. INVESTMENT IN UNCONSOLIDATED JOINT VENTURE
The Partnership holds an undivided 50% general partner interest in Huntington
Breakers Apartments, Limited (the Breakers Partnership). The Breakers
Partnership owns a 342-unit apartment complex located in Huntington Beach,
California which was completed in March 1986.
At December 31, 1996, the Partnership's share of losses from the Breakers
Partnership exceeded its investments in and advances to the Breakers Partnership
by approximately $46,000. These excess losses were not recognized by the
Partnership as it had no obligations to fund such losses. The Partnership's
share of net income from the Breakers Partnership for the first quarter of 1997
was equal to the unrecognized losses from 1996. Therefore, the 1997 income from
the Breakers Partnership has been netted with the deferred losses as of December
31, 1996, and no income or loss from investment in unconsolidated joint venture
has been reflected in the accompanying statement of operations for the three
months ended March 31, 1997. During the quarter ended March 31, 1997, the
Partnership advanced Breakers Partnership $50,000 which is included in the
accompanying balance sheet at March 31, 1997.
Page 8 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Notes to Financial Statements
March 31, 1997
(Unaudited)
Summary condensed balance sheet information as of March 31, 1997 and December
31, 1996, and condensed statements of operations for the three months ended
March 31, 1997 and 1996, are as follows (in thousands):
Huntington Breakers Apartments, Limited,
A California Limited Partnership
Balance Sheets
<TABLE>
<CAPTION>
March 31, December 31,
1997 1996
<S> <C> <C>
Net real estate investment $ 15,737 $ 15,763
Other assets 1,370 1,279
------------ ------------
Total assets $ 17,107 $ 17,042
============ ============
Notes payable $ 19,535 $ 19,761
Notes payable to Outlook Income/Growth Fund VIII 1,085 1,014
Other liabilities 1,253 1,078
------------ ------------
Total liabilities 21,873 21,853
------------ ------------
Partners' deficit:
Outlook Income/Growth Fund VIII (3,140) (3,185)
Other Partners, net (1,626) (1,626)
------------ ------------
Total Partners' Deficit (4,766) (4,811)
------------ ------------
$ 17,107 $ 17,042
============ ============
</TABLE>
Huntington Breakers Apartments, Limited,
A California Limited Partnership
Condensed Statements of Operations
For the three months ended March 31, 1997 and 1996
1997 1996
---------- --------
Revenues $ 891 $ 899
Expenses 845 977
---------- ---------
Net income (loss) $ 46 $ (78)
========== =========
Page 9 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Notes to Financial Statements
March 31, 1997
(Unaudited)
As of March 31, 1997, the Breakers Partnership has a $16,000,000, 7-day variable
rate (3.45% at March 31, 1997) note payable secured by a first deed of trust and
letter of credit in the amount of $16,184,000. The note requires monthly
interest only installments and matures on July 1, 2014, at which time all
remaining principal and interest will be due and payable.
The Breakers Partnership also has a $3,535,000 note payable secured by a second
trust deed. The note accrues interest at LIBOR plus 1.5% (6.97% at March 31,
1997) and is payable in monthly interest only installments until June 1, 2001,
at which time all remaining principal and interest will be due and payable.
Huntington Breakers must comply with certain covenants relating to the
aforementioned notes which include maintenance of a Cash Collateral Account, as
defined, quarterly excess property income (total property income less carrying
costs, operating expenses, management fees, debt service payments, capital
expenditures and bond interest fees and expenses equals excess property income),
and the holding open for lease of at least 20% of the property's units to
tenants qualifying as "low income". For the three months ended March 31, 1997,
the Partnership paid $226,000 in excess property income payments. It is
management's opinion that the Partnership is in compliance with all required
terms of the loan agreement.
Note 5. NOTES PAYABLE
A summary of notes payable as of March 31, 1997 and 1996 are as follows
(outstanding balances in thousands):
<TABLE>
<CAPTION>
<S> <C> <C>
1997 1996
---- ----
9.38% note payable related to San Mar Plaza, secured by a first deed of trust;
payable in monthly principal and interest installments of $60,600 through the
maturity date of April 1,1997, at which time all remaining principal and
interest became due and payable. Management and the lender are currently
negotiating an amendment to the loan; however, a viable agreement has not been
reached as of the date of the filing and the ultimate resolution as to an
amendment to the loan agreement is not presently determinable. $ 6,476 $ 6,590
$8,500,000 note payable related to Silver Creek Plaza, secured by a
first deed of trust; bears interest at the Wells Fargo Bank prime
rate plus one and one-half percent (10% at March 31, 1997), requires
monthly interest only payments and has a maturity date of January 22,
1998. 8,500 ---
Page 10 of 16
<PAGE>
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
Notes to Financial Statements
March 31, 1997
(Unaudited)
9.75% matured note payable related to Silver Creek Plaza, secured by a first
deed of trust. On January 22, 1997, the Partnership obtained an $8,500,000 loan
from Wells Fargo Bank and paid-off the matured first and second deeds of trust
on Silver Creek Plaza. --- 7,324
9.5% matured note payable related to Silver Creek Plaza, secured by a second
deed of trust. On January 22, 1997, the Partnership obtained an $8,500,000 loan
from Wells Fargo Bank and paid-off the maturedfirst and second deeds of trusts
on Silver Creek Plaza --- 1,007
-------- ---------
Total notes payable $ 14,976 $14,921
======== =========
</TABLE>
Page 11 of 16
<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations
Liquidity and Capital Resources
Outlook Income/Growth Fund VIII (the Partnership) was formed to invest in
improved real estate which would: (i) generate sufficient cash flow to pay
expenses and to provide funds for cash distributions; (ii) increase equity
through reduction of mortgages; and (iii) have potential for appreciation.
The Partnership has three types of units: (i) Current Units (12,297 units
currently outstanding); (ii) Deferred Units (8,424 units currently outstanding);
and (iii) Growth Units (14,271 units currently outstanding). Each type of unit
was designed to provide a different type of return to the investor. Although the
Partnership was structured as a highly leveraged investment, it anticipated
paying high current cash distributions (9%) on the Current Units because they
represented only 35% of the funds raised and the Partnership would be able to
allocate all current cash flow to them. The Partnership paid distributions on
the Current Units at a 9% annualized rate from the quarter ended June 30, 1986
through the quarter ended December 31, 1987, and at a 6% rate from January 1,
1988, through the quarter ended June 30, 1988, at which time distributions were
suspended. At this time distributions remain suspended and management is unable
to predict when distributions will resume.
Management intends to present a plan of Partnership liquidation for an investor
vote in 1997. The carrying value of the investments in real estate at March 31,
1997 does not purport to represent the ultimate sales price the Partnership will
realize from the disposition of these assets nor are the amounts reflected in
the accompanying financial statements intended to represent the ultimate amount
to be distributed to partners if the plan is adopted.
On January 22, 1997, the Partnership obtained an $8,500,000 loan from Wells
Fargo Bank to pay-off the matured first and second deeds of trust on Silver
Creek Plaza. The new first deed of trust is secured by Silver Creek Plaza, with
a maturity date of January 22, 1998. The Silver Creek property is listed for
sale and is classified as rental property held for sale on the Partnership's
balance sheets.
As of March 31, 1997, the Partnership owns a 96,206 square foot shopping center
(San Mar Plaza), a shopping center consisting of 83,000 square feet of ground
leases and 71,000 square feet of leasable retail space (Silver Creek Plaza), and
a 50% joint venture interest in a 342-unit apartment complex (Huntington
Breakers Apartments).
Management believes that the Partnership's available cash together with cash
generated from operations and net proceeds upon the eventual sales of the
properties will be sufficient to finance the cash requirements of the
Partnership.
The Huntington Breakers joint venture generated losses in excess of the
Partnership's original investment. These excess losses were applied as a
reduction in the advances to the unconsolidated joint venture. Any future losses
exceeding cash advances to the unconsolidated joint venture will be recognized
only upon a sale or other disposition of the joint venture interest as the
Partnership is not obligated nor does it intend to restore any deficits which
may accumulate in its joint venture capital account.
Page 12 of 16
<PAGE>
Results of Operations
The $35,000, or 6%, decrease in rental income during the three months ended
March 31, 1997 compared to the same period in 1996, was due to a reduction in
occupancy at the San Mar Plaza property partially offset by an increase in
occupancy at the Silver Creek Plaza property. The occupancy rates at March 31,
1997 and March 31, 1996 were 87% and 97%, respectively, at San Mar Plaza and 93%
and 84%, respectively, at Silver Creek Plaza.
Interest and other income decreased by $13,000, or 62%, during the three months
ended March 31, 1997 compared to the same period in 1996, as a result of a lower
average invested cash balance of $1,295,000 for the first quarter of 1997
compared to $1,769,000 for the first quarter of 1996.
During the three months ended March 31, 1997 compared to the three months ended
March 31, 1996, operating expenses increased by $15,000, or 9%. The Silver Creek
Plaza property realized a $10,000, or 6%, increase in operating expenses due to
the 1997 write-off of prior year tenant receivables and an increase in
management fees attributable to increased rental income. The San Mar Plaza
property incurred a $5,000, or 3%, increase in operating expenses due to
advertising and janitorial costs associated with marketing the vacant spaces and
improving the appeal of the property.
The increase in interest expense of $52,000, or 14%, during the three months
ended March 31, 1997 compared to the same period in 1996, is primarily due to
the refinancing of the Silver Creek Plaza property upon the maturity of the
loans.
Due to the cessation of depreciation on the rental property held for sale,
Silver Creek Plaza, depreciation and amortization decreased by $81,000, or 53%,
during the three months ended March 31, 1997 compared to the same period in
1996.
During the three months ended March 31, 1997 compared to the same period in
1996, general and administrative expenses decreased by 24%, or $38,000, as a
result of lower legal fees due to a 1996 settlement and lower professional fees
attributable to non-recurring property appraisal fees incurred in 1996.
San Mar Plaza:
At March 31, 1997, San Mar Plaza was 87% occupied (equal to 12,562 square feet
of vacant space), which was ten percentage points lower than the March 31, 1996
occupancy. In August 1996, 10,962 square feet of the current vacancy of 12,562
occurred when Hastings Books, Music & Video terminated its lease and sub-leased
the vacant grocery store space currently leased by The Kroger Company.
Management is currently negotiating with a restaurant to lease 10,962 square
feet of vacant space. A lease has been drafted for the remaining 1,600 square
feet of vacant space, and is being reviewed by a prospective tenant. Management
continues to monitor 1997 lease expirations to negotiate renewals.
Silver Creek:
Silver Creek was 93% occupied at March 31, 1997, which was nine percentage
points higher than the March 31, 1996 occupancy. However, in April 1997 a
Page 13 of 16
<PAGE>
tenant, which occupied 2,700 square feet, vacated the premises upon lease
expiration. Management is optimistic about leasing the vacant spaces since a
number of potential tenants have expressed interest in the shopping center.
Huntington Breakers Apartments:
The Huntington Breakers Apartments joint venture agreement included an income
guaranty from the developer to the Partnership. The developer defaulted on the
income guaranty and no amounts were ever paid. Following lengthy negotiations,
the developer agreed to pay the guaranteed amounts, but the Partnership allowed
the payments to be deferred and collected as a priority claim against future
cash flow. Under the Huntington Breakers joint venture agreement, the
Partnership has an annual cash flow priority of $700,000. The property has never
reached this cash flow and no guaranty amounts have ever been received.
The property was 94% occupied at March 31, 1997, which is one percentage point
higher than the March 31, 1996, occupancy. Occupancies in the competing
complexes have improved and the competition has reduced rental concessions
offered to draw in new tenants. Management believes the market has improved and
continues an aggressive marketing campaign to attract new tenants and maintain
occupancy.
Huntington Breakers total expenses have decreased during the three months ended
March 31, 1997 compared to the same period in 1996, primarily as a result of
reduction in interest expense of $149,000, due to the new financing arrangements
offset by an increase in operating expenses of $13,000 related to furniture
rental expense and carpet replacement costs combined with an increase in
depreciation and amortization of $4,000 resulting from increased capital
expenditures.
Page 14 of 16
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
The Partnership is not a party to, nor any of its assets the
subject of, any material pending legal proceedings.
Item 2. Changes in Securities
Not applicable.
Item 3. Defaults Upon Senior Securities
Not applicable.
Item 4. Submission of Matters to a Vote of Security Holders
None.
Item 5. Other Information
None.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
#27 - Financial Data Schedule
(b) Reports on Form 8-K
None.
Page 15 of 16
<PAGE>
SIGNATURES
Pursuant to the requirements 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.
OUTLOOK INCOME/GROWTH FUND VIII,
A CALIFORNIA LIMITED PARTNERSHIP
By: Glenborough Corporation,
a California corporation
Managing General Partner
Date: May 15, 1997 By: /s/ Terri Garnick
------------------------
Terri Garnick
Chief Financial Officer
Page 16 of 16
<PAGE>
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000771998
<NAME> Outlook Income/Growth Fund VIII
<MULTIPLIER> 1,000
<CURRENCY> U.S.Dollars
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> MAR-31-1997
<CASH> 899
<SECURITIES> 0
<RECEIVABLES> 25
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 924
<PP&E> 18,599
<DEPRECIATION> 2,872
<TOTAL-ASSETS> 16,907
<CURRENT-LIABILITIES> 90
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 1,657
<TOTAL-LIABILITY-AND-EQUITY> 16,907
<SALES> 0
<TOTAL-REVENUES> 578
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 372
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 411
<INCOME-PRETAX> (205)
<INCOME-TAX> 0
<INCOME-CONTINUING> (205)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (205)
<EPS-PRIMARY> (16.35)
<EPS-DILUTED> (16.35)
</TABLE>
