UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
For the quarterly period ended June 30, 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 0-17557
Brauvin High Yield Fund L.P.
(Exact name of registrant as specified in its charter)
Delaware 36-3569428
(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)
(312) 443-0922
(Registrant's telephone number, including area code)
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 .
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
INDEX
Page
PART I Financial Information
Item 1. Financial Statements 3
Balance Sheets at June 30, 1995 and
December 31, 1994 4
Statements of Operations for the six
months ended June 30, 1995 and
June 30, 1994 5
Statements of Operations for the three
months ended June 30, 1995 and
June 30, 1994 6
Statements of Partners' Capital for the
period January 1, 1992 to June 30, 1995 7
Statements of Cash Flows for the six months
ended June 30, 1995 and June 30, 1994 8
Notes to Financial Statements 9
Item 2. Management's Discussion and Analysis of
Financial Condition and Results of
Operations 16
PART II Other Information
Item 1. Legal Proceedings 18
Item 2. Changes in Securities 18
Item 3. Defaults Upon Senior Securities 18
Item 4. Submissions of Matters to a Vote of
Security Holders 18
Item 5. Other Information 18
Item 6. Exhibits and Reports on Form 8-K 18
SIGNATURES 19
<PAGE>
PART I - FINANCIAL INFORMATION
ITEM 1. Financial Statements
Except for the December 31, 1994 Balance Sheet, the
following Balance Sheet as of June 30, 1995, Statements of
Operations for the six months ended June 30, 1995 and 1994,
Statements of Operations for the three months ended June 30, 1995
and 1994, Statements of Partners' Capital for the period
January 1, 1992 to June 30, 1995 and Statements of Cash Flows for
the six months ended June 30, 1995 and June 30, 1994 for Brauvin
High Yield Fund L.P. (the "Partnership") are unaudited and have
not been examined by independent public accountants but reflect,
in the opinion of the management, all adjustments necessary to
present fairly the information required. All such adjustments
are of a normal recurring nature.
These financial statements should be read in conjunction
with the financial statements and notes thereto included in the
Partnership's 1994 Annual Report on Form 10-K.
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
BALANCE SHEETS
June 30, December 31,
1995 1994
ASSETS
Investment in real estate, at cost:
Land $ 5,768,768 $ 5,768,768
Buildings 13,554,207 13,554,207
19,322,975 19,322,975
Less: accumulated depreciation(2,658,805) (2,465,487)
Net investment in real estate 16,664,170 16,857,488
Investment in Joint Ventures (Note 5):
Brauvin High Yield Venture 34,137 34,179
Brauvin Funds Joint Venture 2,483,482 2,494,341
Brauvin Gwinnett County Venture 561,641 569,626
Cash and cash equivalents 1,057,240 1,016,066
Due from affiliates 12,896 12,151
Prepaid offering costs 18,855 20,873
Other assets 6,020 6,039
Total Assets $20,838,441 $21,010,763
LIABILITIES AND PARTNERS' CAPITAL
LIABILITIES:
Accounts payable and
accrued expenses $ 21,044 $ 14,652
Due to affiliates 3,179 2,859
Rent received in advance 69,381 232,379
Total Liabilities 93,604 249,890
PARTNERS' CAPITAL:
General Partners 126,271 129,815
Interest Holders 20,618,566 20,631,058
Total Partners' Capital 20,744,837 20,760,873
Total Liabilities and
Partners' Capital $20,838,441 $21,010,763
See accompanying notes to financial statements.
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
STATEMENTS OF OPERATIONS
For the Six Months Ended June 30,
1995 1994
INCOME:
Rental $1,215,739 $1,238,421
Interest 23,786 7,333
Other 138 1,521
Total income 1,239,663 1,247,275
EXPENSES:
General and administrative 70,536 85,323
Management fees 12,268 12,986
Depreciation 193,318 193,318
Total expenses 276,122 291,627
Income before equity interest
in joint ventures 963,541 955,648
Equity Interest in Joint
Venture's Net Income:
Brauvin High Yield Venture 2,858 2,806
Brauvin Funds Joint Venture 145,941 143,879
Brauvin Gwinnett County Venture 23,605 23,761
Net income $1,135,945 $1,126,094
Net income allocated to
the General Partners $ 22,719 $ 22,522
Net income allocated to
the Interest Holders $1,113,226 $1,103,572
Net income per Unit outstanding (a) $ 0.43 $ 0.43
(a) Net income per Unit was based on the average Units
outstanding during the period since they were of varying dollar
amounts and percentages based upon the dates Interest Holders
were admitted to the Partnership and additional Units were
purchased through the Plan. See accompanying notes to financial
statements.
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
STATEMENTS OF OPERATIONS
For the Three Months Ended June 30,
1995 1994
INCOME:
Rental $ 615,316 $ 632,582
Interest 15,120 3,472
Other (86) 1,521
Total income 630,350 637,575
EXPENSES:
General and administrative 44,506 50,410
Management fees 6,240 7,021
Depreciation 96,660 96,659
Total expenses 147,406 154,090
Income before equity interest
in joint ventures 482,944 483,485
Equity Interest in
Joint Venture's Net Income:
Brauvin High Yield Venture 1,444 1,393
Brauvin Funds Joint Venture 72,971 72,755
Brauvin Gwinnett County Venture 12,072 14,487
Net income $ 569,431 $ 572,120
Net income allocated to the
General Partners $ 11,389 $ 11,443
Net income allocated to the
Interest Holders $ 558,042 $ 560,677
Net income per Unit outstanding (a) $0.22 $0.22
(a) Net income per Unit was based on the average Units
outstanding during the period since they were of varying dollar
amounts and percentages based upon the dates Interest Holders
were admitted to the Partnership and additional Units were
purchased through the Plan.
See accompanying notes to financial statements.
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
STATEMENTS OF PARTNERS' CAPITAL
For the Period January 1, 1992 to June 30, 1995
General Interest
Partners Holders* Total
Balance, January 1, 1992 $143,107 $21,499,300 $21,642,407
Contributions, net -- 193,848 193,848
Selling commissions and
other offering costs (Note 1) -- (35,891) (35,891)
Net income 42,348 2,075,069 2,117,417
Cash distributions (39,264) (2,560,503) (2,599,767)
Balance,December 31, 1992 146,191 21,171,823 21,318,014
Contributions, net -- 281,434 281,434
Selling commissions and
other offering costs (Note 1) -- (36,324) (36,324)
Net income 43,788 2,145,606 2,189,394
Cash distributions (52,853) (2,590,902) (2,643,755)
Balance,December 31,1993 137,126 20,971,637 21,108,763
Contributions, net -- 63,295 63,295
Selling commissions and
other offering costs (Note 1) -- (37,316) (37,316)
Net income 45,922 2,250,200 2,296,122
Cash distributions (53,233) (2,616,758) (2,669,991)
Balance,December 31,1994 129,815 20,631,058 20,760,873
Contributions, net -- 189,800 189,800
Selling commissions and
other offering costs (Note 1) -- (19,171) (19,171)
Net income 22,719 1,113,226 1,135,945
Cash distributions (26,263) (1,296,347) (1,322,610)
Balance, June 30, 1995 $126,271 $20,618,566 $20,744,837
* Total Units sold at June 30, 1995, December 31, 1994, 1993 and
1992 were 2,599,983, 2,581,003, 2,574,675 and 2,546,530
respectively. Cash distributions to Interest Holders per Unit
were $0.50, $1.01, $1.01 and $1.01 for the six months ended June
30, 1995 and the years ended December 31, 1994, 1993 and 1992,
respectively. Cash distributions to Interest Holders per Unit
are based on the average Units outstanding during the period
since they were of varying dollar amounts and percentages based
upon the dates Interest Holders were admitted to the Partnership
and additional Units were purchased through the distribution
reinvestment plan.
See accompanying notes to financial statements.
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
STATEMENTS OF CASH FLOWS
For the Six Months Ended June 30,
1995 1994
Cash flows from operating activities:
Net income $1,135,945 $1,126,094
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation and amortization 193,318 193,318
Equity interest in Brauvin High
Yield Venture's net income (2,858) (2,806)
Equity interest in Brauvin Funds
Joint Venture's net income (145,941) (143,879)
Equity interest in Brauvin Gwinnett
County Venture's net income (23,605) (23,761)
Decrease in other assets 19 12,567
Increase in due from affiliates (745) (11,448)
Increase (decrease) in accounts
payable and accrued expenses 6,392 (47,207)
Decrease in rent received in advance (162,998) (9,898)
Increase in due to affiliates 320 39,760
Total adjustments (136,098) 6,646
Net cash provided by operating
activities 999,847 1,132,740
Cash flows from investing activities:
Distributions from Brauvin High
Yield Venture 2,900 4,150
Distributions from Brauvin Funds
Joint Venture 156,800 149,450
Distributions from Brauvin Gwinnett
County Venture 31,590 28,080
Net cash provided by investing
activities 191,290 181,680
Cash flows from financing activities:
Sale of Units, net of liquidations,
selling commissions and other
offering costs 172,647 36,736
Cash distributions to
General Holders (26,263) (26,168)
Cash distributions to
Interest Partners (1,296,347) (1,290,565)
Net cash used in financing
activities (1,149,963) (1,279,997)
Net increase in cash and cash
equivalents 41,174 34,423
Cash and cash equivalents at
beginning of period 1,016,066 857,383
Cash and cash equivalents at
end of period $ 1,057,240 $891,806
See accompanying notes to financial statements.
<PAGE>
BRAUVIN HIGH YIELD FUND L.P.
(a Delaware limited partnership)
NOTES TO FINANCIAL STATEMENTS
(1) ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION
BRAUVIN HIGH YIELD FUND L.P. (the "Partnership") is a Delaware
limited partnership organized for the purpose of acquiring
debt-free ownership of existing, free-standing, income-producing
retail,office and industrial real estate properties predominantly
subject to "triple-net" leases. The General Partners of the
Partnership are Brauvin Realty Advisors, Inc., Jerome J. Brault,
Cezar M. Froelich and David M. Strosberg. Brauvin Realty
Advisors, Inc. is owned primarily by Messrs. Brault (44%) and
Froelich (44%). Brauvin Securities, Inc., an affiliate of the
General Partners, was the selling agent of the Partnership. The
Partnership is managed by an affiliate of the General Partners.
The Partnership was formed on January 6, 1987 and filed a
Registration Statement on Form S-11 with the Securities and
Exchange Commission which became effective on September 4, 1987.
The sale of the minimum of $1,200,000 of depositary units
representing beneficial assignments of limited partnership
interests of the Partnership (the "Units") necessary for the
Partnership to commence operations was achieved on November 18,
1987. The Partnership's offering closed on May 19, 1988.
Through June 30, 1995 and December 31, 1994, the Partnership had
sold $25,999,830 and $25,810,033, of Units, respectively. The
June 30, 1995 total includes $2,497,403 of Units purchased by
Interest Holders who utilized their distributions of Operating
Cash Flow to purchase additional Units through the distribution
reinvestment plan (the "Plan") and is net of Units purchased by
the Partnership from Interest Holders liquidating their
investments in the Partnership, which Units were retired. As of
June 30, 1995, the Participants have acquired Units under the
Plan which approximate 9.6% of total Units outstanding.
The Partnership has acquired the land and buildings underlying
20 Taco Bell restaurants, 11 Ponderosa restaurants and two
Children's World Learning Centers. The Partnership also
acquired 1%, 49% and 23.4% equity interests in three joint
ventures with three entities affiliated with the Partnership.
These ventures own the land and buildings underlying six
Ponderosa restaurants, a Scandinavian Health Spa and a CompUSA
store, respectively.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Method
The accompanying financial statements have been prepared using
the accrual method of accounting.
Federal Income Taxes
Under the provisions of the Internal Revenue Code, the
Partnership's income and losses are reportable by the partners on
their respective income tax returns. Accordingly, no provision
is made for Federal income taxes in the Financial Statements.
However, in certain instances, the Partnership has been required
under applicable state law to remit directly to the tax
authorities amounts representing withholding from distributions
paid to partners.
Investment in Real Estate
The operating properties acquired by the Partnership are
stated at cost including acquisition costs, net of accumulated
depreciation. Depreciation expense is computed on a
straight-line basis over approximately 35 years.
Investment in Joint Ventures
The Partnership owns a 1% equity interest in Brauvin High
Yield Venture, which owns the land and building underlying six
Ponderosa restaurants; a 49% equity interest in Brauvin Funds
Joint Venture, which owns the land and building underlying a
Scandinavian Health Spa; and a 23.4% equity interest in Brauvin
Gwinnett County Venture, which owns the land and building
underlying a CompUSA store. The accompanying financial
statements include the investments in Brauvin High Yield Venture,
Brauvin Funds Joint Venture and Brauvin Gwinnett County Venture
using the equity method of accounting.
Organization Costs and Prepaid Offering Costs
Organization costs represent costs incurred in connection with
the organization and formation of the Partnership. Organization
costs were amortized over a period of five years using the
straight-line method.
The General Partners have guaranteed payment of any organization
and offering costs that exceed defined percentages of the gross
proceeds of the offering. Prepaid offering costs represent
amounts in excess of the defined percentages of the gross
proceeds. Subsequently, gross proceeds of the offering are
expected to increase due to the purchase of additional Units
through the distribution reinvestment plan (the "Plan") and the
prepaid offering costs will be transferred to offering costs and
treated as a reduction in Partners' Capital.
Cash and Cash Equivalents
Cash and cash equivalents include all highly liquid debt
instruments with an original maturity within three months of
purchase.
(2) PARTNERSHIP AGREEMENT
Distributions
All Operating Cash Flow, as defined in the Partnership
Agreement (the "Agreement"), shall be distributed: (a) first, to
the Interest Holders until the Interest Holders receive an amount
equal to their 10% Current Preferred Return, as such term is
defined in the Agreement; and (b) thereafter, any remaining
amounts will be distributed 98% to the Interest Holders and 2% to
the General Partners.
The net proceeds of a sale or refinancing of a Partnership
property shall be distributed as follows:
first, to the Interest Holders until each Interest Holder
has been paid an amount equal to the 10% Cumulative Preferred
Return, as defined in the Agreement;
second, to the Interest Holders until each Interest Holder
has been paid an amount equal to his Adjusted Investment, as
defined in the Agreement;
third, to the General Partners until they have been paid
an amount equal to a 2% preferred return;
fourth, 95% of any remaining Net Sale or Refinancing
Proceeds, as such term is defined in the Agreement, to the
Interest Holders and the remaining 5% to the General Partners.
Distributions to Interest Holders and the General Partners for
the second quarter of 1995 will be made on August 15, 1995 in the
amounts of $647,003 and $13,204, respectively.
Profits and Losses
Net profits and losses from operations of the Partnership
[computed without regard to any allowance for depreciation or
cost recovery deductions under the Internal Revenue Code of 1986,
as amended (the "Code")] for each taxable year of the Partnership
shall be allocated 98% to the Interest Holders and 2% to the
General Partners. Notwithstanding the foregoing, all
depreciation and cost recovery deductions allowed under the Code
shall be allocated 2% to the General Partners and 98% to the
Taxable Interest Holders, as defined in the Agreement.
The net profit of the Partnership from any sale or other
disposition of a Partnership property shall be allocated (with
ordinary income being allocated first) as follows: (a) first, an
amount equal to the aggregate deficit balances of the Partners'
Capital Accounts, as such term is defined in the Agreement, shall
be allocated to each Partner who or which has a deficit Capital
Account balance in the same ratio as the deficit balance of such
Partner's Capital Account bears to the aggregate of the deficit
balances of all Partners' Capital Accounts; (b) second, to the
Interest Holders until the Interest Holders have been allocated
profits equal to their 10% Cumulative Preferred Return; third,
to the Interest Holders until the Interest Holders have been
allocated an amount of profit equal to the amount of their
Adjusted Investment; (d) fourth, to the General Partners until
such time as they have been allocated profits equal to a 2%
preferred return; and (e) thereafter, 95% to the Interest Holders
and 5% to the General Partners. The net loss of the Partnership
from any sale or other disposition of a Partnership property
shall be allocated as follows: (a) first, an amount equal to the
aggregate positive balances in the Partners' Capital Accounts, to
each Partner in the same ratio as the positive balance in such
Partner's Capital Account bears to the aggregate of all Partners'
positive Capital Accounts balances; and (b) thereafter, 98% to
the Interest Holders and 2% to the General Partners.
(3) TRANSACTIONS WITH RELATED PARTIES
An affiliate of the General Partners manages the
Partnership's real estate properties for an annual management fee
equal to up to 1% of gross revenues derived from the properties.
The property management fee is subordinated, annually, to receipt
by the Interest Holders of an annual 10% non-cumulative,
non-compounded return on Adjusted Investment (as defined).
The Partnership pays affiliates of the General Partners
selling commissions of 8-1/2% of the capital contributions
received for Units sold by the affiliates.
An affiliate of one of the General Partners provides
securities and real estate counsel to the Partnership.
Fees, commissions and other expenses paid or payable to the
General Partners or its affiliates for the six months ended
June 30, 1995 and 1994 were as follows:
1995 1994
Selling commissions $17,153 $ 16,372
Management fees 12,268 12,986
Reimbursable operating
expenses 36,000 37,800
Legal fees -- 1,800
(4) WORKING CAPITAL RESERVES
The Partnership set aside 1% of the gross proceeds of its
Offering as a working capital reserve. At any time two years
subsequent to the termination of the Partnership's offering (May
19, 1990), it became permissible to reduce the working capital
reserve to an amount equal to not less than 1/2% of the proceeds
of the Offering ($125,000) if the General Partners believed such
reduction to be in the best interests of the Partnership and the
Interest Holders. As a result thereof, $125,000 was paid to an
affiliate of the General Partners in the fourth quarter of 1990
as an additional Acquisition Fee and $125,000 remains in reserve.
<PAGE>
(5) EQUITY INVESTMENT
The Partnership owns equity interests in the Brauvin High
Yield Venture, Brauvin Funds Joint Venture and Brauvin Gwinnett
County Venture and reports its investments on the equity method.
The following are condensed financial statements for the Brauvin
High Yield Venture, Brauvin Funds Joint Venture and Brauvin
Gwinnett County
Venture:
BRAUVIN HIGH YIELD VENTURE
June 30, December 31,
1995 1994
Land and buildings, net $5,223,209 $5,283,334
Other assets 6,383 9,096
Total Assets $5,229,592 $5,292,430
Liabilities $ 10,768 $ 69,363
Partners' capital 5,218,824 5,223,067
Total Liabilities
and Partners Capital $5,229,592 $5,292,430
For the six months ended June 30,
1995 1994
Rental income $352,224 $347,882
Expenses:
Depreciation 60,125 60,125
Management fees 3,502 3,775
Operating and administrative 2,839 3,427
Net income $285,758 $280,555
<PAGE>
BRAUVIN FUNDS JOINT VENTURE
June 30, December 31,
1995 1994
Land and buildings, net $4,871,548 $4,926,596
Other assets 250,030 217,144
Total Assets $5,121,578 $5,143,740
Liabilities $ -- $ --
Partners' capital 5,121,578 5,143,740
Total Liabilities
and Partners' Capital $5,121,578 $5,143,740
For the six months ended June 30,
1995 1994
Rental income $357,666 $354,512
Expenses:
Depreciation 55,048 55,048
Management fees 3,406 3,360
Operating and administrative 1,374 2,474
Net income $297,838 $293,630
<PAGE>
BRAUVIN GWINNETT COUNTY VENTURE
June 30, December 31,
1995 1994
Land and buildings, net $2,399,386 $2,422,262
Other assets 14,157 45,198
Total Assets $2,413,543 $2,467,460
Liabilities $ -- $ 19,792
Partners' capital 2,413,543 2,447,668
Total Liabilities
and Partners' Capital $2,413,543 $2,467,460
For the six months ended June 30,
1995 1994
Rental income $124,978 $132,354
Expenses:
Depreciation 22,876 22,876
Management fees 1,229 1,135
Operating and administrative --
6,800
Net income $100,873 $101,543
<PAGE>
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations.
Liquidity and Capital Resources
The Partnership commenced an offering to the public on
September 4, 1987 of 1,500,000 Units which was subsequently
increased to 2,500,000 Units. The offering closed on May 19,
1988 after 2,500,000 Units were sold. The Partnership purchased
the land and buildings underlying seven Taco Bell restaurants in
1987. In 1988, the Partnership purchased 13 Taco Bell
restaurants, nine Ponderosa restaurants and an interest in a
joint venture which purchased six Ponderosa restaurants. In
1989, the Partnership purchased the land and building underlying
a Ponderosa restaurant, an interest in a joint venture which
purchased a Scandinavian Health Spa, the land and buildings
underlying two Children's World Learning Centers and the land and
building underlying an additional Ponderosa restaurant. In 1993,
the Partnership purchased a 23.4% interest in a joint venture
which purchased a CompUSA store.
The Partnership raised $25,000,000 through its initial
offering and an additional $2,497,403 as of June 30, 1995,
through Units purchased by certain Interest Holders investing
their distributions of Operating Cash Flow in additional Units
through the distribution reinvestment plan (the "Plan"). As of
June 30, 1995, Units valued at $1,591,450 have been purchased by
the Partnership from Interest Holders liquidating their original
investment and retired. The Partnership has no funds available to
purchase additional property, excluding those raised through the
Plan.
The General Partners will be adopting an enhancement to the
Partnership's Distribution Reinvestment Plan effective August,
1995. This enhancement will permit unit holders to reinvest at a
unit price that will be adjusted to reflect any return of
investor capital generated through property sales. In addition,
any unit liquidations will also occur at the adjusted unit price.
Below is a table summarizing the historical data for distribution
rates per annum:
Distribution
Date 1995 1994 1993 1992 1991 1990 1989
February 15 10.00% 10.00% 10.00% 10.00% 9.50% 9.25% 9.00%
May 15 10.00 10.00 10.00 10.00 9.625 9.50 9.25
August 15 10.00 10.00 10.00 10.25 9.75 9.50 9.25
November 15
(a) 10.50 10.50 10.25 9.75 9.50 9.25
(a) The November 15, 1992, 1993 and 1994 quarterly
distributions were made at a rate of 10% per annum and
a second bonus distribution was made at a rate of
0.25%,0.50% and 0.50%, respectively, per annum.
Future increases in the Partnership's distributions will
largely depend on increased sales at the Partnership's properties
resulting in additional percentage rent and, to a lesser extent
on rental increases, which will occur due to increases in
receipts from certain leases based upon increases in the Consumer
Price Index or scheduled increases of base rent.
The Taco Bell located in Dunedin, Florida has been closed by
the operator. This restaurant is leased to the parent company,
Taco Bell Corporation, and the lease is being honored in full.
The property is currently being marketed to prospective buyers by
Taco Bell. We do not anticipate any interruption in lease
payments.
Since the distribution to Limited Partners had been at least
10% per annum during the six months ended June 30, 1995 and the
years ended December 31, 1994 and 1993, the General Partners and
its affiliates collected a management fee of $12,268, $25,596 and
$24,969, respectively and received $26,263, $53,233 and $52,853,
in Operating Cash Flow distributions for the six months ended
June 30, 1995 and the years ended December 31, 1994 and 1993,
respectively. This is anticipated to continue throughout 1995.
Results of Operations - Six months ended June 30, 1995 and 1994.
Results of operations for the Partnership for the six months
ended June 30, 1995 reflected net income of $1,135,945 as
compared to $1,126,094 for the six months ended June 30, 1994 an
increase of approximately $10,000. The increase in net income is
a result of a decrease in expenses and an increase in the Joint
Venture's net income. Total income for the six months ended June
30, 1995 was $1,239,662 as compared to $1,247,275 for the six
months ended June 30, 1994, a decrease of approximately $8,000.
The decrease in total income was due to a decrease in rental
income as a result of a decrease in percentage rent due to
sixteen of the Taco Bell restaurants paying percentage rent
compared to seventeen for the same period in 1994. The decrease
in rental income was mostly offset by an increase in interest
income due to higher interest rates on funds invested. Total
expenses for the six months ended June 30, 1995 were $276,122 as
compared to $291,627 for the six months ended June 30, 1995, a
decrease of approximately $16,000. The decrease in total
expenses is due to a decrease in insurance expense as a result of
the full amortization of a lease insurance policy on the Taco
Bell rents.
Results of Operations - Three months ended June 30, 1995 and 1994
Results of operations for the Partnership for the three months
ended June 30, 1995 reflected net income of $569,431 as compared
to $572,120 for the three months ended June 30, 1994, a decrease
of approximately $3,000. Total income for the three months ended
June 30, 1995 was $630,350 as compared to $637,575 for the three
months ended June 30, 1995, a decrease of approximately $7,000.
Total expenses for the three months ended June 30, 1995 were
$147,406 as compared to $154,090 for the three months ended June
30, 1994, a decrease of approximately $7,000. The decrease in
net income is a result of a decrease in rental income due to a
decrease in percentage rent and a decrease in the Joint Venture's
net income. The decrease in revenue was mostly offset by the
decrease in general and administrative expenses as the result of
the full amortization of a lease insurance policy on the Taco
Bell rents.
PART II - OTHER INFORMATION
ITEM 1. Legal Proceedings.
None.
ITEM 2. Changes in Securities.
None.
ITEM 3. Defaults Upon Senior Securities.
None.
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.
Exhibit 27. Financial Data Schedule
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
l934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
BY: Brauvin Realty Advisors, Inc.
Corporate General Partner of
Brauvin High Yield Fund L.P.
BY: /S/ Jerome J. Brault
Jerome J. Brault
Chairman of the Board of
Directors, President and Chief
Executive Officer
DATE: August 14, 1995
BY: /s/ Thomas J. Coorsh
Thomas J. Coorsh
Chief Financial Officer and
Treasurer
DATE: August 14, 1995
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> JUN-30-1995
<CASH> 1,057,240
<SECURITIES> 3,079,260 <F1>
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 0
<PP&E> 19,322,975 <F2>
<DEPRECIATION> 2,658,805
<TOTAL-ASSETS> 20,838,441
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 20,744,837 <F3>
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 20,838,441
<SALES> 0
<TOTAL-REVENUES> 1,239,663 <F4>
<CGS> 0
<TOTAL-COSTS> 276,122 <F5>
<OTHER-EXPENSES> (172,404) <F6>
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,135,945
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
<FN>
<F1> "SECURITIES" REPRESENTS INVESTMENTS IN JOINT VENTURE
<F2> "PP&E" REPRESENTS INVESTMENT IN REAL ESTATE [LAND AND
BUILDING]
<F3> "COMMON" REPRESENTS TOTAL PARTNERS CAPITAL
<F4> "TOTAL REVENUES" REPRESENTS RENTAL, INTEREST, AND OTHER
INCOME
<F5> "TOTAL COSTS" REPRESENTS TOTAL EXPENSES
<F6> "OTHER EXPENSES" REPRESENTS EQUITY INTEREST IN JOINT
VENTURES' NET INCOME
</FN>
</TABLE>
