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 November 15, 1996
GRIFFIN REAL ESTATE FUND-VI, A LIMITED PARTNERSHIP
MINNESOTA
Commission file number 33-1629
IRS Employer Identification No. 41-1545501
510 Marquette Avenue, Suite 300, Minneapolis, MN 55402
Registrant's telephone number: (612) 338-2828
Item 2. Acquisition or disposition of assets.
DISPOSITION OF INDUSTRY PARK BUILDING
9301 SCIENCE CENTER DRIVE, NEW HOPE, MINNESOTA
On November 15, 1996, Industry Park Building located at 9301 Science Center
Drive, New Hope, MN was sold to SCD Management, Limited Liability Partnership.
Description of Property
The Industry Park Building is a 55,190 square foot office warehouse located at
9301 Science Center Drive, New Hope, MN. The property was originally acquired by
Griffin Real Estate Fund-VI on May 18, 1988 for $1,880,000. A downpayment of
$995,016 was made with the balance of $884,984 financed by assuming the first
mortgage loan.
Sale of Property
The sales price of $1,590,000 cash only was arrived at through negotiations with
the buyer who had no material relationship to Griffin Real Estate Fund-VI, to
any affiliates of Griffin Real Estate Fund-VI, to its General Partners, or to
any associates of its General Partners. With the sale of the property, the
associated mortgage principal balance of $765,237 and accrued interest of $2,828
were extinguished.
The Industry Park Building was the last remaining property owned by Griffin Real
Estate Fund-VI. The Partnership will terminate operations and distribute all
remaining available cash to its investors by year end.
Item 7. Financial Statements and Exhibits
The following documents are filed as part of this report:
Proforma financial information.
<TABLE>
<CAPTION>
GRIFFIN REAL ESTATE FUND-VI,
A LIMITED PARTNERSHIP
BALANCE SHEETS
DECEMBER 31, 1995
* After
Disposition
ASSETS: Actual Adjustment Proforma
- ------- ----------- ----------- -----------
<S> <C> <C> <C>
Cash and cash equivalents $ 135,745 $ 735,886 $ 871,631
Real estate tax escrow deposits 68,649 -- 68,649
Receivables and other assets 10,772 (850) 9,922
----------- ----------- -----------
Total 215,166 735,036 950,202
----------- ----------- -----------
PROPERTY AND EQUIPMENT:
Land 1,085,776 (338,000) 747,776
Buildings and improvements 6,443,789 (1,644,418) 4,799,371
Furniture and equipment 242,362 -- 242,362
Less valuation allowance (470,000) 65,000 (405,000)
----------- ----------- -----------
Total 7,301,927 (1,917,418) 5,384,509
Less accumulated depreciation 1,919,664 (389,010) 1,530,654
----------- ----------- -----------
Property and equipment - net 5,382,263 (1,528,408) 3,853,855
----------- ----------- -----------
Deferred expenses (less accumulated
amortization -$22,547) 43,607 (37,527) 6,080
----------- ----------- -----------
TOTAL ASSETS $ 5,641,036 $ (830,899) $ 4,810.137
=========== =========== ===========
LIABILITIES AND PARTNERS' EQUITY:
LIABILITIES:
Accounts payable:
Affiliate $ 11,818 $ -- $ 11,818
Other 14,385 (64) 14,321
Security deposits 51,567 (17,473) 34,094
Accrued interest 32,971 (5,887) 27,084
Mortgage notes payable 4,172,438 (783,840) 3,388,598
----------- ----------- -----------
Total liabilities 4,283,179 (807,264) 3,475,915
----------- ----------- -----------
PARTNERS' EQUITY:
General Partners (100,118) (236) (100,354)
Limited Partners 1,457,975 (23,399) 1,434,576
----------- ----------- -----------
Total Partners' Equity 1,357,857 (23,635) 1,334,222
----------- ----------- -----------
TOTAL LIABILITIES AND PARTNERS' EQUITY $ 5,641,036 $ (830,899) $ 4,810,137
=========== =========== ===========
</TABLE>
* The after disposition proforma represents the historcial operations of the
Partnership which does not include assets or liabilities relating to the
disposed property.
<TABLE>
<CAPTION>
GRIFFIN REAL ESTATE FUND-VI,
A LIMITED PARTNERSHIP
STATEMENTS OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 1995
*After Disposition
REVENUES: Actual Adjustments Proforma
- --------- ----------- ----------- -----------
<S> <C> <C> <C>
Rent (less apartment vacancies: 1995,
$92,041) $ 1,134,321 $ (189,049) $ 945,272
Common Area maintenance
reimbursement 220,087 (114,357) 105,730
Interest 4,401 -- 4,401
Other 34,669 (310) 34,359
----------- ----------- -----------
Total revenues 1,393,478 (303,716) 1,089,762
----------- ----------- -----------
EXPENSES:
Interest 402,217 (74,931) 327,286
Depreciation and amortization 231,729 (61,318) 170,411
Property valuation provision (benefit) (75,000) 26,000 (49,000)
Real Estate Taxes 198,286 (75,146) 123,140
Repairs and maintenance 179,392 (44,203) 135,189
Utilities 77,295 (13,446) 63,849
Salaries and employee benefits 126,596 -- 126,596
Management fees to related parties 70,508 (9,145) 61,363
Administrative 89,924 (15,720) 74,204
Insurance 27,968 (2,640) 25,328
Bad Debt 24,588 -- 24,588
Other 11,150 -- 11,150
----------- ----------- -----------
Total Expenses 1,364,653 (270,549) 1,094,104
----------- ----------- -----------
NET INCOME (LOSS) $ 28,825 $ (33,167) $ (4,342)
=========== =========== ===========
NET INCOME (LOSS) ALLOCATED TO GENERAL
$ 288 $ (331) $ (43)
=========== =========== ===========
NET INCOME (LOSS) ALLOCATED TO LIMITED
PARTNERS $ 28,537 $ (32,836) $ (4,299)
=========== =========== ===========
PER UNIT:
NET INCOME (LOSS) $ 1.50 $ (1.73) $ (.23)
=========== =========== ===========
*The after disposition proforma represents the historical operations of the
Partnership which does not include operating income or expenses relating to the
disposed property, or the gain or loss on disposal.
</TABLE>
GRIFFIN REAL ESTATE FUND-VI,
A LIMITED PARTNERSHIP
CONDENSED BALANCE SHEETS
SEPTEMBER 30, 1996
(unaudited)
*After
Disposition
ASSETS: Actual Adjustments Proforma
- ------- ----------- ----------- -----------
Cash and cash equivalents $ 593,187 $ 767,354 $ 1,360,541
Receivables and other assets 33,095 (32,811) 284
----------- ----------- -----------
Total 626,282 734,543 1,360,825
----------- ----------- -----------
PROPERTY AND EQUIPMENT:
Land 338,000 (338,000) --
Buildings and Improvements 1,644,419 (1,644,419) --
Less valuation allowance (65,000) 65,000 --
----------- ----------- -----------
Total 1,917,419 (1,917,419) --
Less accumulated depreciation 428,022 (428,022) --
----------- ----------- -----------
Property and Equipment- net 1,489,397 (1,489,397) --
----------- ----------- -----------
TOTAL ASSETS $ 2,115,679 $ (754,854) $ 1,360,825
=========== =========== ===========
LIABILITIES AND PARTNERS' EQUITY:
- ---------------------------------
LIABILITIES:
Accounts payable and accrued
liabilities $ 13,135 $ (5,950) $ 7,185
Security Deposit 20,228 (20,228) --
Mortgage notes payable 768,790 (768,790) --
----------- ----------- -----------
Total liabilities 802,153 (794,968) 7,185
----------- ----------- -----------
PARTNERS' EQUITY:
General Partners (100,561) 401 (101,160)
Limited Partners 1,414,087 39,713 1,453,800
----------- ----------- -----------
Total Partners' Equity 1,313,526 40,114 1,353,640
----------- ----------- -----------
TOTAL LIABILITIES AND
PARTNERS' EQUITY $ 2,115,679 $ (754,854) $ 1,360,825
=========== =========== ===========
*The after disposition proforma represents the historical operations of the
Partnership which does not include assets or liabilities relating to the
disposed property.
GRIFFIN REAL ESTATE FUND-VI,
A LIMITED PARTNERSHIP
CONDENSED STATEMENTS OF OPERATIONS
NINE MONTHS ENDED SEPTEMBER 30, 1996
(unaudited)
*After
Disposition
REVENUES: Actual Adjustments Proforma
--------- --------- ---------
Rental Income $ 744,720 $(260,619) $ 484,101
Interest Income 7,602 -- 7,602
Other Income 20,036 (304) 19,732
--------- --------- ---------
Total Revenues 772,358 (260,923) 511,435
--------- --------- ---------
OPERATING EXPENSES:
Operating Expenses 411,321 (102,717) 308,604
Interest Expense 237,837 (52,238) 185,599
Property valuation benefit (405,000) -- (405,000)
Depreciation and amortization 131,390 (46,198) 85,192
--------- --------- ---------
Total Operating Expenses 375,548 (201,153) 174,395
--------- --------- ---------
NET INCOME BEFORE
EXTRAORDINARY ITEM 396,810 (59,770) 337,040
EXTRAORDINARY ITEM:
LOSS ON SALE OF PROPERTY (94,723) -- (94,723)
--------- --------- ---------
NET INCOME 302,087 (59,770) 242,317
NET INCOME ALLOCATED
TO GENERAL PARTNER 3,021 (598) 2,423
--------- --------- ---------
NET INCOME ALLOCATED
TO LIMITED PARTNERS $ 299,066 $ (59,172) $ 239,894
========= ========= =========
PER UNIT (weighted average basis):
NET INCOME BEFORE
EXTRAORDINARY ITEM $ 20.63 $ (3.11) $ 17.52
EXTRAORDINARY ITEM (4.92) -- (4.92)
--------- --------- ---------
NET INCOME $ 15.71 $ (3.11) $ 12.60
========= ========= =========
*The after disposition proforma represents the historical operations of the
Partnership which does not include operating income or expenses relating to the
disposed property, or the gain or loss on disposal.
Signatures
Prursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
GRIFFIN REAL ESTATE FUND VI,
A LIMITED PARTNERSHIP
BY: GRIFFIN EQUITY PARTNERS
ITS GENERAL PARTNER
Date: November 29, 1996 BY: /s/ Larry D. Fransen
-------------------------
Larry D. Fransen
General Partner
