SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934
FORM 10Q
For the Quarter Ended June 30, 1995, Commission file number: 33-
18688
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
(Exact name of registrant as specified in its charter)
ARIZONA 86-0602485
(State or other jurisdiction of (I.R.S. Employer Identi-
incorporation organization) fication No.)
3420 E. Shea Blvd., Suite 111, Phoenix, Arizona 85028
(Address of principal executive offices) (Zip Code)
Registrant's Telephone Number, Including
Area Code: (602) 996-3420
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>
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
BALANCE SHEET
As of September 30, 1995
Balance
==============
============= Assets ==================
Checking-BankOne #01792118 98.72
Contributions Receivable-Tessier Properties 25,000.47
Contributions Receivable-Herve J.R. Tessier 252.53
-------------
Total Current Assets 25,351.72
Land-Acq.#1/Baseline & 32nd Street 1,347,632.94
Land-Acq.#2/Casa Grande 1,310,550.18
-------------
Total Land Held for Investment 2,658,183.12
Prepaid Legal 5,800.00
Organizational Costs 30,135.74
Loan Origination Fee 38,000.00
Loan Fees-Modification Agreement 10,529.79
Syndication Costs-Commission 239,856.00
Syndication Costs-Legal 62,932.39
Syndication Costs-Other 98,791.09
Syndication Costs-Due Dilligence 22,312.13
Accum. Amort.-Organization Costs -30,135.74
Accum. Amort.-Loan Fees -38,000.00
Accum. Amort.-Modification Agreement Costs -10,529.79
-------------
Total Other Assets 429,691.61
Total Assets 3,113,226.45
=============
=========== Liabilities ===============
Accounts Payable-Pre Petition 57,998.71
Accounts Payable-Post Petition 1,148.25
Interest Payable 266,198.30
Real Estate Taxes Payable 5,637.40
Sales Tax Payable 3.53
Advances From Affiliates-TPI 20,050.00
-------------
Total Current Liabilities 351,036.19
<PAGE>
Balance
=============
====== Long Term Liabilities ==========
Notes Payable-Chicago Title 367,825.33
Notes Payable-Earl B. Ogsbury 237,529.95
Notes Payable-Harry & Ann Wood 30,000.00
Notes Payable-FATCO & Chicago Title 44,160.58
Notes Payable-Secured Income 93B 580,200.00
Notes Payable-FATCO Casa Grande 85,000.00
Notes Payable- Tessier & Assoc. 5,800.00
-------------
Total Long Term Liabilities 1,350,515.86
Total Liabilities 1,701,552.05
-------------
========= Partners' Capital ===========
Partner Contribution 2,524,800.00
General Partner L.P. Contribution 500.00
General Partner Contribution 25,253.00
Current Year Net Income -125,721.19
Previous Retained Earnings -1,013,157.41
-------------
Total Partners' Capital 1,411,674.40
-------------
Total Liabilities and Equity 3,113,226.45
=============
<PAGE>
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
INCOME STATEMENT
From July 1, 1995 Through September 30, 1995
Period to Date Year to Date
============== ==============
Income
- ------
Rental Income -271.47 -2,665.09
-------------- --------------
Total Income -271.47 -2,665.09
General & Administrative
- ------------------------
Accounting - Tax 0.00 2,860.00
Accounting - General 0.00 500.00
Administrative 160.94 941.00
Bank Charges 15.85 106.98
Advertising 0.00 24.50
Facility Support 0.00 750.00
Insurance - General 173.65 1,622.54
Licenses & Fees 0.00 625.00
Management Fees 0.00 3,304.02
Office Expenses & Supplies 5.55 289.69
Postage 0.00 533.04
Printing & Photos .90 17.60
Professional Services 52.50 735.00
Rent 0.00 418.25
Repairs & Maintenence 0.00 118.53
Telephone 10.00 104.12
Taxes - Real Estate 0.00 4,729.19
-------------- --------------
Total Expenses 419.39 17,679.38
<PAGE>
Other Income and Expenses
- -------------------------
Interest Income 0.00 183.04
Interest Expense -28,540.50 -110,716.29
-------------- --------------
Total Other Income & Expenses -28,540.50 -110,533.25
-------------- --------------
Net Income -28,688.42 -125,547.54
============== ==============
<PAGE>
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
Statement of Cash Flows (Indirect Method)
3rd Quarter, 1995
Cash Flow from Operating Activities:
Net Income -28,688.42
Add (deduct) to reconcile net income to cash flow:
Depreciation and Amortization
Accum. Amort. - Modification Agr. Costs 0.00
--------------
Subtotal Depreciation and Amortization 0.00
Changes in Accounts Receivable
Accounts Receivable 0.00
--------------
Subtotal Changes in Accounts Receivable 0.00
Changes in Prepaid Expense
Deposits 0.00
Prepaid Interest 0.00
--------------
Subtotal Changes in Prepaid Expense 0.00
Changes in Payables & Accrued Expenses
Interest Payable 28,540.50
Property Tax Payable-Pre Petition 0.00
Accounts Payable-Pre Petition 0.00
Accounts Payable-Post Petition 0.00
Property Tax Payable-Post Petition 0.00
Advances from Affiliates-Tessier Properties 300.00
Sales Tax Payable 3.53
Deposit-Tenant 0.00
--------------
Subtotal Changes in Payable and Accrued Expenses 28,844.03
==============
Net Cash Outflow from Operating Expenses 155.61
<PAGE>
Cash Flow from Financing Activities
Notes Payable 0.00
Notes Payable-Chicago Title 0.00
Notes Payable-First Am. Title 0.00
Notes Payable-Earl G. Ogsbury 0.00
Notes Payable-Harry & Ann Wood 0.00
Notes Payable-FATCO & Chicago Title 0.00
Notes Payable-Secured Income 93B 0.00
Notes Payable-FATCO Casa Grande 0.00
--------------
Subtotal Notes Payable 0.00
==============
Net Cash Outflow from Financing Activities 0.00
Net Decrease in Cash During Period 155.61
==============
Cash Balance at Start of Period -56.89
Cash Balance at End of Period 98.72
<PAGE>
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
NOTES TO FINANCIAL STATEMENTS
June 30, 1995
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature of Partnership
TPI Land Development IV Limited Partnership is a limited
partnership formed under the laws of the State of Arizona
of which Herve J. R. Tessier and Tessier Properties,
Inc., an Arizona corporation, are the general partners.
The Partnership was formed to acquire parcels of
unimproved or partially improved real property for
development and may acquire operating commercial and
other business real property in Arizona as investments to
hold for future appreciation.
On January 28, 1990 the Partnership offering was closed.
The total raised during the offering period was
$2,525,300 or 25,253 units.
Duration of Partnership
It is the intention of the Partnership to acquire
property for investment and appreciation purposes. The
Partnership may, however, sell a portion or all of the
properties in the future with a view towards liquidation
of the Partnership. Such sales could occur approximately
two to five years after property acquisition. However,
if not terminated prior to December 31, 2011, the
Partnership shall cease to exist at that date.
Amortization of Organization Costs
Organization costs represent costs incurred during the
formation period of the Partnership and are being
amortized over 60 months.
Amortization of Loan Fees
Loan fees represent costs incurred in
obtaining a note payable. These costs are
being amortized over 24 months.
<PAGE>
NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Syndication Costs
Syndication costs represent commissions incurred on the
sale of limited partnership interests and the costs of
preparing the limited partnership prospectus. These
costs have been charged against partners' contributions.
Income Taxes
No provision for income taxes is made for the Partnership
as the reporting and payment of income tax is the
responsibility of the individual partners.
Partners' Preferred Return on Capital Contributions
As an incentive to early investment and the purchase of
larger numbers of units, limited partners will receive a
preferred return on their investment. The preferred
return is determined by applying a preference percentage
(based upon the date the contribution is received and the
number of units purchased) to the limited partner's
adjusted capital account balance from the first day of
the month following the receipt of the limited partner's
investment to the date of recoupment of that Investment.
Allocation of Net Profits, Losses, and Distributions to
Partners
Net profits, losses, and distributions are allocated
ninety-nine percent (99%) to the limited partners in
accordance with their respective capital percentages and
one percent (1%) to the general partners until the
limited partners have collectively received their
preferred return on their adjusted capital contribution,
then one hundred percent (100%) to the general partners
until they have received twenty-five percent (25%) of the
distributions to partners after recoupment and program
return, and then seventy-five percent (75%) of the
remainder to the limited partners and twenty-five percent
(25%) to the general partners.
<PAGE>
NOTE 2: CONTRIBUTIONS RECEIVABLE - PARTNERS
Amounts receivable from partners for capital
contributions are as follows:
General partners' contributions
Herve J.R. Tessier
(managing general partner) $ 253
Tessier Properties, Inc.
(managing general partner) 25,000
$25,253
As of June 30, 1995, the general partners had not made
their capital contributions. The contributions will be
paid prior to the partnership dissolution. Interest is
not charged on the contributions due.
NOTE 3: LAND
Costs incurred by the Partnership for acquisition of land
as of June 30, 1995 are as follows:
32nd Street & Baseline $1,347,633
Florence Blvd. & Los Hermanos 1,310,550
$2,658,183
NOTE 4: PARTNERS' CAPITAL
Partners' capital contributions received and subscribed
as of June 30, 1995 are as follows:
Limited partners contribution $ 2,525,300
General partners contribution 25,253
Total Contribution $ 2,550,553
Prior years profit (loss) (1,013,157)
Current years profit(loss) (125,721)
Partners' Capital $ 1,411,675
<PAGE>
NOTE 5: NOTE PAYABLE
This partnership is obligated under a promissory note for
$580,200, dated December 14, 1993 to Secured Income 93B
Limited Partnership. Interest of 14% shall accrue to the
principal monthly, if unpaid. Unless sooner paid, the
entire unpaid interest and principal shall be due and
payable on December 4, 1996. These monies were used to
implement the modification agreements discussed below.
This partnership is obligated under a promissory note for
$30,000 dated March 18, 1991, secured by a deed of trust
on partnership land, payable in quarterly installments of
interest at 15% per annum. Unpaid interest to accrue to
principal. Unless sooner paid, the entire unpaid
interest and principal shall be due and payable on March
18, 1994. The principal balance as of June 30, 1994 is
$30,000.
Upon filing of settlement agreement and note
modifications dated March 17, 1993, the above notes were
modified as follows:
Principal balance of $450,000 plus accrued interest
of $211,725 as of October 31, 1993 shall accrue interest
of 17.5% effective November 1, 1993. Monthly payments of
interest only shall be due and payable through November
1, 1994. Thereafter, principal and interest of $16,624
shall be due monthly with the remaining principal and
interest all due and payable October 31, 1999. This
modification shall go into effect if the partnership pays
to the note holder $25,000 on or before November 1, 1993.
This principal balance has been reduced to $237,000 by
the Promissory Note of December 14, 1993.
Principal balance of $383, 212 shall be paid
quarterly in installments of $24,582 (principal and
interest) beginning March 30, 1995 with interest accruing
from October 1, 1992 at 10% per annum. Remaining
principal and interest shall be all due and payable March
30, 1998. Past due interest to October 1, 1992 of
$86,223 shall be reduced in 1994 by impounded payment of
$19160.58, the balance all due and payable March 30,
1998.
A new note was executed to First American Title Insurance
Company and Chicago Title Company for $44,160.58 on March
17, 1993. A non-interest note in monthly installments of
$1,840.03 commencing March 30, 1996. Remaining balance
shall all be due and payable on February 28, 1998. If
this note is defaulted, an interest rate of 12% per annum
shall accrue from date of default.
NOTE 6: Tessier Properties Inc., as general partner, has advanced
operating funds of $11,300 to the partnership.
NOTE 7: On June 26, 1995, the partnership filed a petition for
reorganization under Chapter 11 of the Bankruptcy Code.
Case #95-05116-PHX-CGC<PAGE>
<PAGE>
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
Management's Discussion and Analysis of Financial
Conditions and Results of Operations
On January 28, 1990 the Partnership offering was closed. The
total raised during the offering was $2,525,300 or 25,253
units. The main source of income for the operating stage of
the partnership is interest income from money market
instruments and rental income. On April 20, 1990 the
partnership obtained a loan in the amount of $450,000 for the
purpose of eliminating an existing note and increasing the
partnership's operating reserves. The amount borrowed was
determined by the payoff of the existing note and estimated
operating expenses and other note obligations for two years.
In the fall of 1990, the General Partner was involved in
negotiations with the original note holder of Acquisition No.
1 - Baseline and 32nd Street to restructure the carryback on
that parcel. An agreement had been reached in principal;
however, negotiations were halted when legal problems arose
with the Modification Agreement and with the title to the
commercial portion of the parcel which was to have been
released to the Partnership at the time of purchase.
To restructure its debt and reorganize the partnership, the
General Partner filed a petition for reorganization under
Chapter XI of the Bankruptcy Code (See Note 7).
<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.
TPI LAND DEVELOPMENT IV LIMITED PARTNERSHIP
By: Herve J.R. Tessier
Date: 10/30/95
