Filed Pursuant to
Rule 424(b)(2)
Y
FEBRUARY 10, 1997
SUPPLEMENT NO. 5 TO PROSPECTUS FOR
BOSTON CAPITAL TAX CREDIT FUND IV L.P.
DATED
MAY 1, 1996
(SUPPLEMENT OFFERING BCTC IV SERIES 29 AND
IDENTIFYING CERTAIN ANTICIPATED INVESTMENTS)
This Supplement is part of, and should be read in conjunction with, the
Prospectus of the Fund. Capitalized terms used herein but not defined have
the meanings ascribed to them in the Prospectus. This Supplement No. 5
supersedes all previous supplements to the Prospectus.
Status of BCTC IV Series 28
The Fund received orders for a total of 4,000,000 BACs ($39,999,000) with
respect to Series 28, and issued the last of such Series 28 BACs on January
31, 1997. The aggregate fees paid as of January 31, 1997 to the General
Partner and Affiliates with respect to Series 28 were $4,719,882. No
additional BACs will be offered with respect to Series 28. The Fund has
issued a total of 27,313,852 BACs, raised $273,114,000 and admitted 16,590
Investors with respect to Series 20 through 28. (See "Prior Performance of
the General Partner and its Affiliates" in the Prospectus.)
Offering of BCTC IV Series 29
The Fund is offering, effective February 10, 1997, the tenth series of BACs
("Series 29") consisting of 4,000,000 BACs, with a minimum required
investment of five hundred BACs at $10 per BAC ($5,000) per Investor, on the
terms and conditions as are set forth in the Prospectus. No BACs in Series 29
will be issued unless at least 250,000 BACs in such series are sold. The
offering of BACs in Series 29 will not exceed 12 months.
THE PURCHASE OF BACS IN SERIES 29 WILL NOT ENTITLE THE INVESTOR TO ANY
INTEREST IN ANY OTHER SERIES OF THE FUND NOR ANY INTEREST IN BOSTON CAPITAL
TAX CREDIT FUND LIMITED PARTNERSHIP, OR BOSTON CAPITAL TAX CREDIT FUND II
LIMITED PARTNERSHIP, OR BOSTON CAPITAL TAX CREDIT FUND III L.P.
The Fund anticipates acquiring, on behalf of Series 29, limited
partnership interests in the twenty-two (22) Operating Partnerships more
fully described hereinafter (the "Operating Partnerships") pursuant to the
provisions of "Investment Objectives and Acquisition Policies," as set forth
in the Prospectus. The Operating General Partners (or affiliates thereof)
with respect to certain of the Operating Partnerships described below are
general partners of other operating partnerships which have been invested in
by the Fund on behalf of other series and/or other partnerships affiliated
with the General Partner. (See "Conflicts of Interest" in the Prospectus). A
significant portion of the funds invested by the Fund in each Operating
Partnership will be used to pay fees and expenses to the Operating General
Partners. (See the table entitled "Terms of Investment in Operating
Partnerships" in this Supplement.)
The following disclosure changes the tax credit investment objective from
the annual $1.20 to $1.40 per BAC which appears in the Prospectus and
supersedes any contrary disclosure in the Prospectus.
The Fund will endeavor to invest in Operating Partnerships with a goal of
generating tax credits for allocation to Investors, upon completion and
occupancy of all Apartment Complexes, averaging approximately $1.10 to $1.30
per BAC annually in Series 29, which would be the equivalent of an
approximate 11%-13% annual Tax Credit as a percentage of capital invested,
for the ten year credit period applicable to each Apartment Complex in which
Series 29 invests. (See "Investment Objectives and Acquisition Policies" in
the Prospectus.) This assumes: (a) the applicability of current tax laws and
regulations and current interpretations of such laws and regulations by the
courts; (b) each of such Apartment Complexes is occupied with qualifying
individuals throughout the 15-year Fed-
<PAGE>
eral Housing Tax Credit compliance period; and (c) BAC Holders are unable to
use any passive tax losses generated by the Fund. These investment objectives
do not represent yield or return on investment.
Assuming: none of the Apartment Complexes invested in by a Series has any
value at the end of the 15-year Federal Housing Tax Credit compliance period
applicable to the investments of a Series and at such time if an Investor
uses the suspended passive losses equal to the unreturned Capital
Contribution, the equivalent tax-free internal rate of return would be
approximately 5.2%-7.1% for Investors with taxable income which is taxed at
that time in the 15%-39.6% tax brackets, respectively. (See "Federal Income
Tax Matters--Passive Loss and Tax Credit Limitations" for a discussion of
offsetting an Investor's loss of Capital Contribution against active income.)
If the Apartment Complexes appreciate in value, such increased value can be
recognized through sales of Operating Partnership Interests or the sale or
refinancing of Apartment Complexes (even though the restrictions and
compliance requirements of the Federal Housing Tax Credit program will
continue to apply to such Apartment Complexes at that time), and Investors
receive distributions from such sales, the equivalent tax-free internal rate
of return will be greater.
The selection of an 11%-13% annual Tax Credit as a percentage of capital
invested, as an investment objective, has been made by the Fund after
consulting with the Dealer-Manager regarding tax-free returns currently
available to investors in other similar tax credit investments. Pursuant to
the rules for the allocation of Federal Housing Tax Credits, the Fund's
investment goal is for the following annual tax-free amounts (for each
$10,000 investment in Series 29): $300-$400 in 1997; $600-$800 in 1998;
$1,100-$1,300 in 1999-2006; $800-$1,100 in 2007; and $200-$400 in 2008. This
statement of Tax Credit investment goal does not represent a forecast of
anticipated Tax Credits to be obtained nor does it represent a yield or
return on investment. Rather it represents an investment goal of the Fund
under the rules for allocation of Tax Credits for the credit period
applicable to the Fund's anticipated Series 29 investments. As there is no
assurance that the value of the Fund's assets will equal such amount or that
such distributions will be made, there is no assurance that any particular
tax-free internal rate of return will be achieved. (See "Tax Credit
Programs--The Federal Housing Tax Credit," commencing at page 64 of the
Prospectus, for a discussion of the allocation of Federal Housing Tax Credits
during the applicable credit period.)
The Fund's investment in Operating Partnerships on behalf of Series 29
will be consistent with the provisions of the Prospectus relating to the
investment in Operating Partnerships. (See, particularly, "Investment
Objectives and Acquisition Policies," "Investment in Operating Partnerships,"
and "Sharing Arrangements: Profits, Credits, Losses, Net Cash Flow and
Residuals.")
THE POTENTIAL OPERATING PARTNERSHIP INTERESTS IDENTIFIED BELOW RELATE ONLY
TO BCTC IV--SERIES 29.
While the General Partner believes that the Fund, on behalf of Series 29,
is reasonably likely to acquire interests in the Operating Partnerships which
are developing or will develop, as applicable, the Apartment Complexes
described hereinafter, the Fund may not be able to do so as a result of
additional information or changes in circumstances. Before any such
acquisition is made, the General Partner will continue and complete its due
diligence review as to the applicable Operating Partnership and the related
Apartment Complex. This process will include the review and analysis of
information concerning, among other matters, market competition and
environmental factors; if any significant adverse information is obtained by
the General Partner, either action will be taken to mitigate the adverse
factor(s), or the acquisition will not be made. If such interests are
acquired, the terms may differ materially from those described below.
Accordingly, Investors should not rely on the ability of the Fund to invest
in these Apartment Complexes or under the described investment terms in
deciding whether to invest in the Fund. The anticipated acquisition of the
Operating Partnership Interests described hereinafter represents
approximately 85% of the total equity which the Fund currently expects to
invest in Operating Partnerships on behalf of Series 29.
S-2
<PAGE>
Management's Discussion and Analysis of Financial Condition and Results of
Operations
Since Series 29 is currently in the offering phase it has no material assets
nor any operating history. The twenty- two (22) Operating Partnerships in
which Interests are currently expected to be acquired, and the respective
Operating General Partners, are as follows:
<TABLE>
<CAPTION>
Partnership General Partner(s)
- --------------------------------------------------- -----------------------------------
<S> <C> <C>
1. Arbor Park L.P. J. H. Thames, Jr.
(the "Arbor Park Partnership")
2. Homes for Annapolis L.P. Homes Development Corporation
(the "Bay Forest Partnership") CP Annapolis LLC
3. Bent Tree Apartments L.P. William S. Swan
(the "Bent Tree Partnership")
4. Collins L.P. Intervest Corporation
(the "Collins Partnership")
5. Dogwood L.P. Humphrey-Stavrou & Associates
(the "Dogwood Partnership")
6. Emerald Trace L.P. Joyce Middleton
(the "Emerald Trace Partnership")
7. Forest Hill L.P. First Centrum Corporation
(the "Forest Hill Partnership")
8. Glenbrook Apartments L.P. William S. Swan
(the "Glenbrook Partnership")
9. Lake Hickory L.P. Intervest Corporation
(the "Lake Hickory Partnership")
10. Lincoln Hotel L.P. Barone, Galasso & Associates
(the "Lincoln Hotel Partnership")
11. Lutkin Bayou L.P. Intervest Corporation
(the "Lutkin Bayou Partnership")
12. East Bridge Street L.P. Mill Development Corporation
(the "Mill Partnership")
13. Newton L.P. Intervest Corporation
(the "Newton Partnership")
14. Northway Drive L.P. Elaina D. Glockzin
(the "Northway Partnership")
15. Ozark L.P. Intervest Corporation
(the "Ozark Partnership")
16. Palmetto Place L.P. M. Riemer Calhoun, Jr.
(the "Palmetto Place Partnership")
17. Pecan Hill Apartments L.P. William S. Swan
(the "Pecan Hill Partnership")
S-3
<PAGE>
Partnership General Partner(s)
- --------------------------------------------------- -----------------------------------
18. Poplarville Housing L.P. Intervest Corporation
(the "Poplarville Partnership")
19. Quail Run Apartments L.P. William S. Swan
(the "Quail Run Partnership")
20. Rhome Apartments L.P. William S. Swan
(the "Rhome Partnership")
21. Westfield Apartments L.P. M. Riemer Calhoun, Jr.
(the "Westfield Partnership")
22. Willow Point III L.P. J. H. Thames, Jr.
(the "Willow Point Partnership")
</TABLE>
Permanent Mortgage Loan financing for the Apartment Complexes described
herein is being or will be provided from a variety of sources, as described
below. It is anticipated that all of the dwelling units in the Apartment
Complexes identified herein will be eligible for Federal Housing Tax Credits.
The Apartment Complexes described in this Supplement are anticipated to
complete construction or rehabilitation, as applicable, during 1997 and 1998.
Certain of the Apartment Complexes, as described below, have not yet begun
construction. Delays in construction could occur with respect to Apartment
Complexes currently under construction or as to which construction has not
yet commenced, which could result in delay or reduction in achieving Tax
Credits. (See "Risk Factors--Tax Risks Associated with the Fund's
Investments" in the Prospectus.) The General Partner believes that each of
the Apartment Complexes has or will have adequate property insurance. The
tables included in this Supplement describe in greater detail information
concerning the Apartment Complexes and the anticipated terms of investment in
each Operating Partnership.
The Priority Return Base for Series 29 is $1.20 per BAC (12%). (See
"Glossary" at page 163 of the Prospectus for the definition of the term
"Priority Return Base.") Investors should note that the "Priority Return
Base" is the level of return that must be provided to Investors before the
General Partner may receive a 5% share in the proceeds from the sale or
refinancing of Apartment Complexes or Operating Partnership Interests. (See
"Liquidation Phase" at page 49 of the Prospectus.) In establishing the
Priority Return Base, the General Partner is not representing that the Fund
is expected to provide this level of return to Investors. The General Partner
will receive fees and compensation for services prior to BAC Holders
receiving the Priority Return.
S-4
<PAGE>
INFORMATION CONCERNING THE APARTMENT COMPLEXESINFORMATION CONCERNING THE
APARTMENT COMPLEXES--(Continued)
<TABLE>
<CAPTION>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management
Name Property Units Rents Anticipated Loan Rate Amount Management Agent Fee
--------------- --------------- ------ ------------------------ -------------- ------- ------- ---------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1. Arbor Park Jackson, 160 $371 1BR Tax Exempt Compass Bank, 7% $32,000 Park Development 5% of net
Partnership Mississippi $437 2BR Bond N.A. rental
$494 3BR Financing $5,700,000 income
issued (4)
through the
City of
Jackson,
Mississippi
(4)
2. Bay Forest Annapolis, 120 $491- Elderly Midland 9.75% $18,000 Boston Financial 6% of net
Partnership Maryland $589 1BR Apartment Mortgage Property rental
$590- Development Investment Management income
$708 2BR Program(b) Group
Community $3,886,000(a)
Development Anne Arundel 3%
Block Grant County
Program(c) $786,790(b)
(5) City of 0%
Annapolis
$200,000(c)
(5)
3. Bent Tree Jacksboro, 18 $228 1BR FmHA Sec. 515 $618,390 1% (2) $ 5,400 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
4. Collins Collins, 36 $217 1BR FmHA Sec. 515 $981,456 1% (2) $ 9,900 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
5. Dogwood Appomattox, 48 $260 1BR FmHA Sec. 515 $1,524,476 1% (2) $13,200 Humphrey $18 per
Partnership Virginia $290 2BR with 100% Management occupied
$300 3BR rental unit per
assistance month
6. Emerald Trace Ruston, 48 $244- HOME Premier 9.5% $ 9,600 Middleton 6% of net
Partnership Louisiana $304 1BR Investment Bank, N.A. Management, rental
$285- Partnerships $744,800(a) Inc. income
$358 2BR Program(b) Louisiana 4%
$396 3BR (6) Housing
Finance
Agency
$420,000(b)
(6)
S-5
<PAGE>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management
Name Property Units Rents Anticipated Loan Rate Amount Management Agent Fee
--------------- --------------- ------ ------------------------ -------------- ------- ------- ---------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
7. Forest Hill Richmond, 85 $435- Federal Midland 9% $14,875 Elder Homes 5% of net
Partnership Virginia $528 1BR Housing Tax Affordable Corporation rental
$529- Credits Housing income
$640 2BR Group Trust
$2,755,000
(7)
8. Glenbrook Saint Joseph, 18 $219 1BR FmHA Sec. 515 $547,650 1% (2) $ 5,400 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
9. Lake Hickory Lake Hickory, 24 $228 2BR FmHA Sec. 515 $838,642 1% (2) $ 6,600 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
10. Lincoln Hotel San Diego, 41 $200 0BR Disposition Savings 9.5% $ 5,000 Barone, 5% of net
Partnership California Development Associations Gelasso & rental
Loan Program(b) Mortgage Associates income
(8) Company
$205,000(a)
San Diego 3%
Redevelopment
Agency
$558,000(b)
(8)
11. Lutkin Bayou Drew, 32 $234 1BR FmHA Sec. 515 $644,652 1% (2) $ 8,800 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
12. Mill Saugerties, 90 $437 0BR Secured Loan New York 8.75% $18,000 Jobco 5% of net
Partnership New York $475 1BR Rental State Housing Management,Inc. rental
Housing Finance Agency
Program(a) $2,174,000(a)
Acquisition New York
Rehabilitation State Housing 1%
Loan Program(b) Trust Fund
(9) $600,000(b)
(9)
13. Newton Newton, 32 $219 1BR FmHA Sec. 515 $934,135 1% (2) $ 8,800 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
S-6
<PAGE>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management
Name Property Units Rents Anticipated Loan Rate Amount Management Agent Fee
--------------- --------------- ------ ------------------------ -------------- ------- ------- ---------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
14. Northway Nacogdoches, 70 $265- Federal HOME First 9% $10,500 Summit Management 6% of
Partnership Texas $328 1BR Funds National Corporation net rental
$313- Program(b) Bank income
$389 2BR (10) $1,262,000(a)
$350- Texas 3%
$437 3BR Department of
Housing and
Community
Affairs
$391,000(b)
(10)
15. Ozark Poplarville, 16 $224 1BR FmHA Sec. 515 $384,448 1% (2) $ 4,400 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
16. Palmetto Benton, 40 $243- HOME Premier 8% $ 8,000 TF Management, 5% of net
Place Louisiana $300 2BR Investment Bank, N.A. Inc. rental
Partnership $345 3BR Partnerships $350,000(a) income
Program(b) Louisiana 4%
(11) Housing
Finance
Agency
$380,000(b)
(11)
17. Pecan Hill Bryson, 16 $212 1BR FmHA Sec. 515 $395,120 1% (2) $ 4,800 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
18. Poplarville Poplarville, 16 $228 1BR FmHA Sec. 515 $410,574 1% (2) $ 4,400 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
19. Quail Run Iowa Park, 16 $223 1BR FmHA Sec. 515 $362,793 1% (2) $ 4,800 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
20. Rhome Rhome, 18 $228 1BR FmHA Sec. 515 $531,300 1% (2) $ 5,400 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
S-7
<PAGE>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management
Name Property Units Rents Anticipated Loan Rate Amount Management Agent Fee
--------------- --------------- ------ ------------------------ -------------- ------- ------- ---------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
21. Westfield Welsh, 40 $256 2BR HOME Premier 8% $ 8,000 TF Management, 5% of net
Partnership Louisiana $340 3BR Investment Bank, N.A. Inc. rental
Partnerships $330,000(a) income
Program(b) Louisiana 4%
(12) Housing
Finance
Agency
$350,000(b)
(12)
22. Willow Point Jackson, 120 $371 1BR Tax Exempt Compass Bank, 7% $24,000 Park Development 5% of net
Partnership Mississippi $437 2BR Bond N.A. rental
$494 3BR Financing $4,300,000 income
issued (13)
through the
City of
Jackson,
Mississippi
(13)
</TABLE>
(1) Exclusive of utilities, unless indicated otherwise.
(2) FmHA 515 loan with a term of 50 years, a stated interest rate of between
7.5% and 9.5%; written down to an effective rate of 1% through an
interest credit subsidy, and payments of principal and interest on the
basis of a 50 year amortization schedule.
(3) Except as and to the extent noted in the following footnote, the terms
of all permanent mortgage loans described in the following footnotes,
which have a term to maturity which is shorter than the term employed
for the amortization schedule, provide or are expected to provide that
the entire outstanding balance of principal of and interest on such
permanent mortgage loan shall be due and payable in full at the maturity
of such mortgage loan.
(4) The terms of the Arbor Park Partnership's anticipated permanent first
mortgage loan in the amount of $5,700,000 are expected to include a term
of 5 years, an interest rate of 7% and payments of principal and
interest on the basis of a 30 year amortization schedule.
(5) (a) The terms of the Bay Forest Partnership's anticipated permanent
first mortgage loan in the amount of $3,886,000 are expected to
include a term of 30 years, an interest rate of 9.75% and payments
of principal and interest on the basis of a 30 year amortization
schedule.
(b) The terms of the Bay Forest Partnership's anticipated permanent
second mortgage loan in the amount of $786,790 are expected to
include a term of 30 years, an interest rate of 3% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(c) The terms of the Bay Forest Partnership's anticipated permanent
third mortgage loan in the amount of $200,000 are expected to
include a term of 30 years, an interest rate of 0% and payment of
principal on the basis of a 30 year amortization schedule, provided,
however, that the terms of the permanent third mortgage loan will
provide for the deferral and accrual of payment of principal based
on available cash flow, and for the payment of the entire
outstanding balance of principal at the end of the 30-year term.
(6) (a) The terms of the Emerald Trace Partnership's anticipated permanent
first mortgage loan in the amount of $744,800 are expected to
include a term of 40 years, an interest rate of 9.5% and payments of
principal and interest on the basis of a 40 year amortization
schedule.
(b) The terms of the Emerald Trace Partnership's anticipated permanent
second mortgage loan in the amount of $420,000 are expected to
include a term of 20 years, an interest rate of 4% and payments of
principal and interest on the basis of a 20 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 20-year term.
(7) The terms of the Forest Hill Partnership's anticipated permanent first
mortgage loan in the amount of $2,755,000 are expected to include a term
of 30 years, an interest rate of 9% and payments of principal and
interest on the basis of a 30 year amortization schedule.
S-8
<PAGE>
(8) (a) The terms of the Lincoln Hotel Partnership's anticipated permanent
first mortgage loan in the amount of $205,000 are expected to
include a term of 30 years, an interest rate of 9.5%, which will
adjust every 10 years with a maximum adjustment of 4%, and payments
of principal and interest on the basis of a 30 year amortization
schedule to that amount which is the yield on the 30 year U.S.
Treasury bond plus 3%.
(b) The terms of the Lincoln Hotel Partnership's anticipated permanent
second mortgage loan in the amount of $558,000 are expected to
include a term of 30 years, an interest rate of 3% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(9) (a) The terms of the Mill Partnership's anticipated permanent first
mortgage loan in the amount of $2,174,000 are expected to include a
term of 30 years, an interest rate of 8.75% and payments of
principal and interest on the basis of a 30 year amortization
schedule.
(b) The terms of the Mill Partnership's anticipated permanent second
mortgage loan in the amount of $600,000 are expected to include a
term of 30 years, an interest rate of 1% and payments of principal
and interest on the basis of a 30 year amortization schedule,
provided, however, that the terms of the permanent second mortgage
loan will provide for the deferral and accrual of payments of
principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(10) (a) The terms of the Northway Partnership's anticipated permanent first
mortgage loan in the amount of $1,262,000 are expected to include a
term of 15 years, an interest rate of 9% and payments of principal
and interest on the basis of a 30 year amortization schedule.
(b) The terms of the Northway Partnership's anticipated permanent second
mortgage loan in the amount of $391,000 are expected to include a
term of 30 years, an interest rate of 3% and payments of principal
and interest on the basis of a 30 year amortization schedule,
provided, however, that the terms of the permanent second mortgage
loan will provide for the deferral and accrual of payments of
principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(11) (a) The terms of the Palmetto Place Partnership's anticipated permanent
first mortgage loan in the amount of $350,000 are expected to
include a term of 30 years, an interest rate of 8% and payments of
principal and interest on the basis of a 30 year amortization
schedule.
(b) The terms of the Palmetto Place Partnership's anticipated permanent
second mortgage loan in the amount of $380,000 are expected to
include a term of 30 years, an interest rate of 4% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(12) (a) The terms of the Westfield Partnership's anticipated permanent first
mortgage loan in the amount of $330,000 are expected to include a
term of 30 years, an interest rate of 8% and payments of principal
and interest on the basis of a 30 year amortization schedule.
(b) The terms of the Westfield Partnership's anticipated permanent
second mortgage loan in the amount of $350,000 are expected to
include a term of 30 years, an interest rate of 4% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(13) The terms of the Willow Point Partnership's anticipated permanent first
mortgage loan in the amount of $4,300,000 are expected to include a term
of 5 years, an interest rate of 7% and payments of principal and
interest on the basis of a 30 year amortization schedule.
S-9
<PAGE>
TERMS OF INVESTMENT IN OPERATING PARTNERSHIPSTERMS OF INVESTMENT IN OPERATING
PARTNERSHIPS--(Continued)
<TABLE>
<CAPTION>
Ownership Fund's
Interest (%) Approximate
Profits, Average Development Annual Asset
Losses, Operating Annual Fee/Other Partnership Management
BCTC IV Credit/Net General Operating Operating Anticipated Distributions Management Fee to
Partnership Capital Cash Partner Deficit Partnership's Federal to Operating Fee to Boston
Name Contribution Flow/Backend Contribution Guarantee Credit Base Credit GP Operating GP Capital
------------------------- -------------- ------------------------ ------------- ----------- ------------ ------------ ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1. Arbor Park $2,792,272 99/50/50 $ 100 Unlimited
Partnership in time
and amount $11,549,865 $423,072 $1,000,000 $10,000 $10,000
2. Bay Forest $4,110,626 99/25/25 $ 100 Unlimited
Partnership in amount
for 5 years $ 7,677,903 $652,480 $1,069,178 $10,000 $30,000
3. Bent Tree $ 157,010 99/50/50 $11,432 Unlimited
Partnership in amount
for 15 years $ 682,222 $ 24,922 $ 88,746 $ 500 $ 500
4. Collins $ 282,025 99/50/50 $17,812 Unlimited
Partnership in amount
for 10 years $ 1,286,694 $ 47,004 $ 207,439 $ 500 $ 500
5. Dogwood $ 409,116 99/50/50 $ 7,200 Unlimited
Partnership in amount
for 5 years $ 1,806,314 $ 65,986 $ 82,840 $ 750 $ 750
6. Emerald $1,040,920 99/35/35 $ 100 Unlimited
Trace in time
Partnership and amount $ 2,066,498 $173,487 $ 290,000 $ 4,800 $ 3,000
7. Forest Hill $2,644,987 99/25/25 $ 100 Unlimited
Partnership in amount
for 5 years $ 4,989,178 $419,839 $ 831,530 $10,000 $ 7,000
8. Glenbrook $ 142,553 99/50/50 $10,812 Unlimited
Partnership in amount
for 15 years $ 619,404 $ 22,627 $ 83,474 $ 500 $ 500
9. Lake Hickory $ 185,079 99/50/50 $17,065 Unlimited
Partnership in amount
for 10 years $ 844,390 $ 30,846 $ 143,612 $ 500 $ 500
10. Lincoln $1,419,315 99/30/30 $ 100 Unlimited
Hotel in time
Partnership and amount $ 1,416,922 $236,553 $ 130,000 $ 3,000 $ 3,000
11. Lutkin Bayou $ 174,583 99/50/50 $13,548 Unlimited
Partnership in amount
for 10 years $ 796,504 $ 29,097 $ 132,596 $ 500 $ 500
12. Mill $4,787,640 99/25/30 $ 100 Unlimited
Partnership in time
and amount $ 9,890,841 $772,200 $ 873,304 $10,000 $10,000
13. Newton $ 229,136 99/50/50 $18,569 Unlimited
Partnership in amount
for 10 years $1,045,393 $ 38,189 $204,612 $ 500 $ 500
14. Northway $2,900,205 99/50/50 $ 100 Unlimited
Partnership in time
and amount $5,524,000 $467,775 $554,000 $ 7,000 $ 7,000
15. Ozark $ 93,888 99/50/50 $ 8,624 Unlimited
Partnership in amount
for 10 years $ 428,347 $ 15,648 $ 58,412 $ 500 $ 500
16. Palmetto $ 967,750 99/50/50 $ 100 Unlimited
Place in time
Partnership and amount $1,863,372 $158,648 $160,000 $ 4,000 $ 4,000
17. Pecan Hill $ 104,220 99/50/50 $ 9,212 Unlimited
Partnership in amount
for 15 years $ 452,846 $ 16,543 $ 58,909 $ 500 $ 500
18. Poplarville $ 78,628 99/50/50 $ 6,218 Unlimited
Partnership in amount
for 10 years $ 358,726 $ 13,105 $ 42,135 $ 500 $ 500
19. Quail Run $ 95,364 99/50/50 $ 8,743 Unlimited
Partnership in amount
for 15 years $ 414,363 $ 15,137 $ 53,901 $ 500 $ 500
20. Rhome $ 143,289 99/50/50 $11,364 Unlimited
Partnership in amount
for 15 years $ 622,602 $ 22,744 $ 80,988 $ 500 $ 500
21. Westfield $ 905,669 99/50/50 $ 100 Unlimited
Partnership in time
and amount $1,743,837 $148,470 $150,000 $ 4,000 $ 4,000
22. Willow Point $2,105,735 99/50/50 $ 100 Unlimited
Partnership in time
and amount $8,710,094 $319,051 $675,000 $10,000 $10,000
</TABLE>
S-11
<PAGE>
THE ARBOR PARK PARTNERSHIP
(Arbor Park Apartments)
Arbor Park Apartments is a 160-unit apartment complex for families which is
to be constructed in Jackson, Mississippi. Arbor Park Apartments will consist
of 32 one-bedroom units, 80 two-bedroom units and 48 three-bedroom units
contained in 10 buildings. The complex will offer a pool, recreation room and
central laundry facilities.
Individual units will contain a refrigerator, range, dishwasher, disposal,
air conditioning, smoke detectors and a patio or porch.
Construction of Arbor Park Apartments is anticipated to begin in March,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
------------- ------------------- ------------- ---------------------
<S> <C> <C> <C>
40 January, 1998 8 February, 1998
40 February, 1998 8 March, 1998
40 March, 1998 8 April, 1998
40 April, 1998 16 May, 1998
16 June, 1998
16 July, 1998
16 August, 1998
16 September, 1998
16 October, 1998
20 November, 1998
20 December, 1998
</TABLE>
THE BAY FOREST PARTNERSHIP
(Bay Forest Apartments)
Bay Forest Apartments is a 120-unit apartment complex for senior citizens
which is to be constructed on Georgetown and Edgewood Roads in Annapolis,
Maryland. Bay Forest Apartments will consist of 90 one-bedroom units and 30
two-bedroom units contained in 2 buildings. The complex will offer a dining/
function room, library, exercise room, elevators and central laundry
facilities.
Individual units will contain a refrigerator, range, dishwasher, disposal,
air conditioning, smoke detectors, an emergency call system and a patio or
balcony.
Construction of Bay Forest Apartments is anticipated to begin in April,
1997. The Operating General Partners anticipate that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- --------------- ----------- ---------------
<S> <C> <C> <C>
60 January, 1998 15 February, 1998
60 February, 1998 15 March, 1998
15 April, 1998
15 May, 1998
15 June, 1998
15 July, 1998
15 August, 1998
15 September, 1998
</TABLE>
THE BENT TREE PARTNERSHIP
(Bent Tree Apartments)
Bent Tree Apartments is an existing 18-unit apartment complex for senior
citizens which is to be rehabilitated in Jacksboro, Texas. Bent Tree
Apartments will consist of 18 one-bedroom units contained in 4 buildings. The
complex will offer a community room and central laundry facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Bent Tree Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
18 July, 1997 9 August, 1997
9 September, 1997
</TABLE>
THE COLLINS PARTNERSHIP
(Collins Apartments)
Collins Apartments is an existing 36-unit apartment complex for senior
citizens which is to be rehabilitated in Collins, Mississippi. Collins
Apartments will consist of 36 one-bedroom units contained in 4 buildings. The
complex will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Collins Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
S-12
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
36 July, 1997 9 August, 1997
9 September, 1997
9 October, 1997
9 November, 1997
</TABLE>
THE DOGWOOD PARTNERSHIP
(Dogwood Apartments)
Dogwood Apartments is an existing 48-unit apartment complex for families
which is to be rehabilitated on Route 5 in Appomattox, Virginia. Dogwood
Apartments will consist of 8 one-bedroom units, 34 two- bedroom units and 6
three-bedroom units contained in 4 buildings. The complex will offer a
function room, playground and central laundry facilities.
Individual units will contain a refrigerator, range, air conditioning,
smoke detectors, cable television hook-up and a balcony.
Rehabilitation of Dogwood Apartments is anticipated to begin in June,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- --------------- ----------- ----------------
<S> <C> <C> <C>
24 July, 1997 12 August, 1997
24 August, 1997 12 September, 1997
12 October, 1997
12 November, 1997
</TABLE>
THE EMERALD TRACE PARTNERSHIP
(Emerald Trace Apartments)
Emerald Trace Apartments is a 48-unit apartment complex for families which is
to be constructed in Ruston, Louisiana. Emerald Trace Apartments will consist
of 8 one-bedroom units, 32 two-bedroom units and 8 three-bedroom units
contained in 8 buildings. The complex will offer a meeting/reception area and
central laundry facilities.
Individual units will contain a refrigerator, range, bathroom exhaust fan,
air conditioning and smoke detectors.
Construction of Emerald Trace Apartments is anticipated to begin in June,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ---------------
<S> <C> <C> <C>
24 September, 1997 12 October, 1997
24 October, 1997 12 November, 1997
12 December, 1997
12 January, 1998
</TABLE>
THE FOREST HILL PARTNERSHIP
(Forest Hill Apartments)
Forest Hill Apartments is an 85-unit apartment complex for senior citizens
which is to be constructed on Forest Hill Avenue in Richmond, Virginia.
Forest Hill Apartments will consist of 69 one-bedroom units and 16
two-bedroom units contained in 8 buildings. The complex will offer a function
room, library and central laundry facilities.
Individual units will contain a refrigerator, range, air conditioning and
smoke detectors.
Construction of Forest Hill Apartments is anticipated to begin in
February, 1997. The Operating General Partner anticipates that construction
completion and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ----------------
<S> <C> <C> <C>
17 September, 1997 10 September, 1997
17 October, 1997 10 October, 1997
17 November, 1997 14 November, 1997
17 December, 1997 14 December, 1997
17 January, 1998 18 January, 1998
19 February, 1998
</TABLE>
THE GLENBROOK PARTNERSHIP
(Glenbrook Apartments)
Glenbrook Apartments is an existing 18-unit apartment complex for senior
citizens which is to be rehabilitated on Sand Hill Avenue in Saint Joseph,
Texas. Glenbrook Apartments will consist of 18 one-bedroom units contained in
4 buildings. The complex will offer a community room and central laundry
facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Glenbrook Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
S-13
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
18 July, 1997 9 August, 1997
9 September, 1997
</TABLE>
THE LAKE HICKORY PARTNERSHIP
(Lake Hickory Apartments)
Lake Hickory Apartments is an existing 24-unit apartment complex for senior
citizens which is to be rehabilitated in Lake Hickory, Mississippi. Lake
Hickory Apartments will consist of 24 one-bedroom units contained in 4
buildings. The complex will offer a meeting room and central laundry
facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Lake Hickory Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
24 July, 1997 6 August, 1997
6 September, 1997
6 October, 1997
6 November, 1997
</TABLE>
THE LINCOLN HOTEL PARTNERSHIP
(Lincoln Apartments)
Lincoln Apartments is an existing 41-unit apartment complex which is to be
rehabilitated on Fifth Avenue between Market and Island Streets in San Diego,
California. Lincoln Apartments will consist of 41 efficiency units contained
in 1 building. The complex will offer a library, conference room, lounge and
central laundry facilities.
Individual units will contain a refrigerator, range, microwave, smoke
detectors and cable television hook-up.
Rehabilitation of Lincoln Apartments began in December, 1996. The
Operating General Partner anticipates that completion of rehabilitation and
occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- --------------- ----------- ----------------
<S> <C> <C> <C>
41 August, 1997 10 September, 1997
10 October, 1997
10 November, 1997
11 December, 1997
</TABLE>
THE LUTKIN BAYOU PARTNERSHIP
(Lutkin Bayou Apartments)
Lutkin Bayou Apartments is an existing 32-unit apartment complex for senior
citizens which is to be rehabilitated in Drew, Mississippi. Lutkin Bayou
Apartments will consist of 32 one-bedroom units contained in 4 buildings. The
complex will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Lutkin Bayou Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
32 July, 1997 8 August, 1997
8 September, 1997
8 October, 1997
8 November, 1997
</TABLE>
THE MILL PARTNERSHIP
(Mill Apartments)
Mill Apartments is an existing 90-unit apartment complex for senior citizens
which is to be rehabilitated in Saugerties, New York. Mill Apartments will
consist of 18 studio units and 72 one-bedroom units contained in 1 building.
The complex will offer a solarium/living room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Mill Apartments is anticipated to begin in June, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
S-14
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ------------- ----------- ----------------
<S> <C> <C> <C>
90 May, 1998 18 June, 1998
18 July, 1998
18 August, 1998
18 September, 1998
18 October, 1998
</TABLE>
THE NEWTON PARTNERSHIP
(Newton Apartments)
Newton Apartments is an existing 32-unit apartment complex for senior
citizens which is to be rehabilitated in Newton, Mississippi. Newton
Apartments will consist of 32 one-bedroom units contained in 4 buildings. The
complex will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Newton Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
32 July, 1997 8 August, 1997
8 September, 1997
8 October , 1997
8 November, 1997
</TABLE>
THE NORTHWAY PARTNERSHIP
(Northway Drive Apartments)
Northway Drive Apartments is a 70-unit apartment complex for families which
is to be constructed in Nacogdoches, Texas. Northway Drive Apartments will
consist of 22 one-bedroom units, 30 two-bedroom units and 18 three-bedroom
units contained in 19 buildings. The complex will offer a community room,
pool, function room, play and picnic areas, basketball court, playground,
individual storage units and central laundry facilities.
Individual units will contain a refrigerator, range, dishwasher, air
conditioning and smoke detectors.
Construction of Northway Drive Apartments is anticipated to begin in
February, 1997. The Operating General Partner anticipates that construction
completion and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ----------------
<S> <C> <C> <C>
17 July, 1997 10 August, 1997
17 August, 1997 10 September, 1997
18 September, 1997 10 October, 1997
18 October, 1997 10 November, 1997
10 December, 1997
10 January, 1998
10 February, 1998
</TABLE>
THE OZARK PARTNERSHIP
(Ozark Apartments)
Ozark Apartments is an existing 16-unit apartment complex for senior citizens
which is to be rehabilitated in Poplarville, Mississippi. Ozark Apartments
will consist of 16 one-bedroom units contained in 4 buildings. The complex
will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Ozark Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
16 July, 1997 4 August, 1997
4 September, 1997
4 October, 1997
4 November, 1997
</TABLE>
THE PALMETTO PLACE PARTNERSHIP
(Palmetto Place Apartments)
Palmetto Place Apartments is a 40-unit apartment complex for families which
is to be constructed in Benton, Louisiana. Palmetto Place Apartments will
consist of 10 one-bedroom units and 30 two-bedroom units contained in 8
buildings. The complex will offer a playground and central laundry
facilities.
Individual units will contain a refrigerator, range, air conditioning,
smoke detectors and a patio or porch.
Construction of Palmetto Place Apartments is anticipated to begin in
February, 1997. The Operating General Partner anticipates that construction
completion and occupancy will occur as follows:
S-15
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ------------- ----------- ----------------
<S> <C> <C> <C>
20 June, 1997 10 July, 1997
20 July, 1997 10 August, 1997
10 September, 1997
10 October, 1997
</TABLE>
THE PECAN HILL PARTNERSHIP
(Pecan Hill Apartments)
Pecan Hill Apartments is an existing 16-unit apartment complex for senior
citizens which is to be rehabilitated on Pecan Hill Drive in Bryson, Texas.
Pecan Hill Apartments will consist of 16 one-bedroom units contained in 4
buildings. The complex will offer a community room and central laundry
facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Pecan Hill Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
16 July, 1997 8 August, 1997
8 September, 1997
</TABLE>
THE POPLARVILLE PARTNERSHIP
(Poplarville Apartments)
Poplarville Apartments is an existing 16-unit apartment complex for senior
citizens which is to be rehabilitated in Poplarville, Mississippi.
Poplarville Apartments will consist of 16 one-bedroom units contained in 4
buildings. The complex will offer a meeting room and central laundry
facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Poplarville Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
16 July, 1997 4 August, 1997
4 September, 1997
4 October, 1997
4 November, 1997
</TABLE>
THE QUAIL RUN PARTNERSHIP
(Quail Run Apartments)
Quail Run Apartments is an existing 16-unit apartment complex for senior
citizens which is to be rehabilitated on Wildflower Street in Iowa Park,
Texas. Quail Run Apartments will consist of 16 one-bedroom units contained in
4 buildings. The complex will offer a community room and central laundry
facilities.
Individual units will contain a refrigerator, range, dishwasher, smoke
detectors and a patio or porch.
Rehabilitation of Quail Run Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
16 July, 1997 8 August, 1997
8 September, 1997
</TABLE>
THE RHOME PARTNERSHIP
(Rhome Apartments)
Rhome Apartments is an existing 18-unit apartment complex for senior citizens
which is to be rehabilitated on Autumn Lane in Rhome, Texas. Rhome Apartments
will consist of 18 one-bedroom units contained in 4 buildings. The complex
will offer a community room and central laundry facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Rhome Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
18 July, 1997 9 August, 1997
9 September, 1997
</TABLE>
S-16
<PAGE>
THE WESTFIELD PARTNERSHIP
(Westfield Apartments)
Westfield Apartments is a 40-unit apartment complex for families which is to
be constructed in Welsh, Louisiana. Westfield Apartments will consist of 10
one-bedroom units and 30 two-bedroom units contained in 8 buildings. The
complex will offer a playground and central laundry facilities.
Individual units will contain a refrigerator, range, air conditioning,
smoke detectors and a patio or porch.
Construction of Westfield Apartments is anticipated to begin in February,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ------------- ----------- ----------------
<S> <C> <C> <C>
20 June, 1997 10 July, 1997
20 July, 1997 10 August, 1997
10 September, 1997
10 October, 1997
</TABLE>
THE WILLOW POINT PARTNERSHIP
(Willow Point Apartments)
Willow Point Apartments is a 120-unit apartment complex for families which is
to be constructed in Jackson, Mississippi. Willow Point Apartments will
consist of 16 one-bedroom units, 72 two-bedroom units and 32 three-bedroom
units contained in 6 buildings. The complex will offer a pool, recreation
room and central laundry facilities.
Individual units will contain a refrigerator, range, dishwasher, disposal,
air conditioning, smoke detectors and a patio or porch.
Construction of Willow Point Apartments is anticipated to begin in March,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ---------------
<S> <C> <C> <C>
40 September, 1997 10 October, 1997
40 October, 1997 10 November, 1997
40 November, 1997 10 December, 1997
10 January, 1998
10 February, 1998
10 March, 1998
10 April, 1998
10 May, 1998
10 June, 1998
10 July, 1998
10 August, 1998
10 September, 1998
</TABLE>
* * * * * * * *
MANAGEMENT
The disclosure under the section of the Prospectus entitled "Management" on
page 89 under the subheading "Herbert F. Collins" incorrectly states that Mr.
Collins currently serves as Chairman of the Massachusetts Housing Policy
Commission. Mr. Collins was Chairman in 1992 only.
C&M ASSOCIATES D/B/A BOSTON CAPITAL ASSOCIATES
C&M Associates, a Massachusetts general partnership, is the general partner
of the General Partner. (See "Management" and pages I-5 through I-8 in the
Prospectus.) The sole partners of C&M Associates, Mr. Collins and Mr.
Manning, currently have no commitment, intent or reasonable probability that
they will fund cash flow deficits or furnish other direct or indirect
financial assistance to C&M Associates.
FOR NEBRASKA INVESTORS ONLY:
The Fund may not complete a sale of BACs to an Investor until at least five
business days after the Investor receives a final Prospectus.
FOR NEW HAMPSHIRE INVESTORS ONLY:
The Suitability requirements for New Hampshire residents on page 22 of the
Prospectus are hereby superseded by the following:
Additional Suitability Requirements: (1) minimum annual gross taxable
income of at least $50,000 and a net worth (excluding home, home furnishings
and automobiles) of not less than $125,000 or (2) a net
S-17
<PAGE>
worth (exclusive of home, home furnishings and automobiles) of not less than
$250,000.
FOR MASSACHUSETTS INVESTORS ONLY:
Sales of BACs are not deemed completed until five days after an Investor has
received the Prospectus, and an Investor may receive a refund of his/her
subscription within said five day period.
S-18
<PAGE>
NY
FEBRUARY 10, 1997
SUPPLEMENT NO. 5 TO PROSPECTUS FOR
BOSTON CAPITAL TAX CREDIT FUND IV L.P.
DATED
MAY 1, 1996
(SUPPLEMENT OFFERING BCTC IV SERIES 29 AND
IDENTIFYING CERTAIN ANTICIPATED INVESTMENTS)
This Supplement is part of, and should be read in conjunction with, the
Prospectus of the Fund. Capitalized terms used herein but not defined have
the meanings ascribed to them in the Prospectus. This Supplement No. 5
supersedes all previous supplements to the Prospectus.
Status of BCTC IV Series 28
The Fund received orders for a total of 4,000,000 BACs ($39,999,000) with
respect to Series 28, and issued the last of such Series 28 BACs on January
31, 1997. The aggregate fees paid as of January 31, 1997 to the General
Partner and Affiliates with respect to Series 28 were $4,719,882. No
additional BACs will be offered with respect to Series 28. The Fund has
issued a total of 27,313,852 BACs, raised $273,114,000 and admitted 16,590
Investors with respect to Series 20 through 28. (See "Prior Performance of
the General Partner and its Affiliates" in the Prospectus.)
Offering of BCTC IV Series 29
The Fund is offering, effective February 10, 1997, the tenth series of BACs
("Series 29") consisting of 4,000,000 BACs, with a minimum required
investment of five hundred BACs at $10 per BAC ($5,000) per Investor, on the
terms and conditions as are set forth in the Prospectus. No BACs in Series 29
will be issued unless at least 250,000 BACs in such series are sold. The
offering of BACs in Series 29 will not exceed 12 months.
THE PURCHASE OF BACS IN SERIES 29 WILL NOT ENTITLE THE INVESTOR TO ANY
INTEREST IN ANY OTHER SERIES OF THE FUND NOR ANY INTEREST IN BOSTON CAPITAL
TAX CREDIT FUND LIMITED PARTNERSHIP, OR BOSTON CAPITAL TAX CREDIT FUND II
LIMITED PARTNERSHIP, OR BOSTON CAPITAL TAX CREDIT FUND III L.P.
The Fund anticipates acquiring, on behalf of Series 29, limited
partnership interests in the twenty-two (22) Operating Partnerships more
fully described hereinafter (the "Operating Partnerships") pursuant to the
provisions of "Investment Objectives and Acquisition Policies," as set forth
in the Prospectus. The Operating General Partners (or affiliates thereof)
with respect to certain of the Operating Partnerships described below are
general partners of other operating partnerships which have been invested in
by the Fund on behalf of other series and/or other partnerships affiliated
with the General Partner. (See "Conflicts of Interest" in the Prospectus). A
significant portion of the funds invested by the Fund in each Operating
Partnership will be used to pay fees and expenses to the Operating General
Partners. (See the table entitled "Terms of Investment in Operating
Partnerships" in this Supplement.)
The Fund's investment in Operating Partnerships on behalf of Series 29
will be consistent with the provisions of the Prospectus relating to the
investment in Operating Partnerships. (See, particularly, "Investment
Objectives and Acquisition Policies," "Investment in Operating Partnerships,"
and "Sharing Arrangements: Profits, Credits, Losses, Net Cash Flow and
Residuals.")
THE POTENTIAL OPERATING PARTNERSHIP INTERESTS IDENTIFIED BELOW RELATE ONLY
TO BCTC IV--SERIES 29.
While the General Partner believes that the Fund, on behalf of Series 29,
is reasonably likely to acquire interests in the Operating Partnerships which
are developing or will develop, as applicable, the Apartment Complexes
described
<PAGE>
hereinafter, the Fund may not be able to do so as a result of additional
information or changes in circumstances. Before any such acquisition is made,
the General Partner will continue and complete its due diligence review as to
the applicable Operating Partnership and the related Apartment Complex. This
process will include the review and analysis of information concerning, among
other matters, market competition and environmental factors; if any
significant adverse information is obtained by the General Partner, either
action will be taken to mitigate the adverse factor(s), or the acquisition
will not be made. If such interests are acquired, the terms may differ
materially from those described below. Accordingly, Investors should not rely
on the ability of the Fund to invest in these Apartment Complexes or under
the described investment terms in deciding whether to invest in the Fund. The
anticipated acquisition of the Operating Partnership Interests described
hereinafter represents approximately 85% of the total equity which the Fund
currently expects to invest in Operating Partnerships on behalf of Series 29.
S-2
<PAGE>
Management's Discussion and Analysis of Financial Condition and Results of
Operations
Since Series 29 is currently in the offering phase it has no material assets
nor any operating history. The twenty- two (22) Operating Partnerships in
which Interests are currently expected to be acquired, and the respective
Operating General Partners, are as follows:
<TABLE>
<CAPTION>
Partnership General Partner(s)
- --------------------------------------------------- -----------------------------------
<S> <C> <C>
1. Arbor Park L.P. J. H. Thames, Jr.
(the "Arbor Park Partnership")
2. Homes for Annapolis L.P. Homes Development Corporation
(the "Bay Forest Partnership") CP Annapolis LLC
3. Bent Tree Apartments L.P. William S. Swan
(the "Bent Tree Partnership")
4. Collins L.P. Intervest Corporation
(the "Collins Partnership")
5. Dogwood L.P. Humphrey-Stavrou & Associates
(the "Dogwood Partnership")
6. Emerald Trace L.P. Joyce Middleton
(the "Emerald Trace Partnership")
7. Forest Hill L.P. First Centrum Corporation
(the "Forest Hill Partnership")
8. Glenbrook Apartments L.P. William S. Swan
(the "Glenbrook Partnership")
9. Lake Hickory L.P. Intervest Corporation
(the "Lake Hickory Partnership")
10. Lincoln Hotel L.P. Barone, Galasso & Associates
(the "Lincoln Hotel Partnership")
11. Lutkin Bayou L.P. Intervest Corporation
(the "Lutkin Bayou Partnership")
12. East Bridge Street L.P. Mill Development Corporation
(the "Mill Partnership")
13. Newton L.P. Intervest Corporation
(the "Newton Partnership")
14. Northway Drive L.P. Elaina D. Glockzin
(the "Northway Partnership")
15. Ozark L.P. Intervest Corporation
(the "Ozark Partnership")
16. Palmetto Place L.P. M. Riemer Calhoun, Jr.
(the "Palmetto Place Partnership")
17. Pecan Hill Apartments L.P. William S. Swan
(the "Pecan Hill Partnership")
S-3
<PAGE>
Partnership General Partner(s)
- --------------------------------------------------- -----------------------------------
18. Poplarville Housing L.P. Intervest Corporation
(the "Poplarville Partnership")
19. Quail Run Apartments L.P. William S. Swan
(the "Quail Run Partnership")
20. Rhome Apartments L.P. William S. Swan
(the "Rhome Partnership")
21. Westfield Apartments L.P. M. Riemer Calhoun, Jr.
(the "Westfield Partnership")
22. Willow Point III L.P. J. H. Thames, Jr.
(the "Willow Point Partnership")
</TABLE>
Permanent Mortgage Loan financing for the Apartment Complexes described
herein is being or will be provided from a variety of sources, as described
below. It is anticipated that all of the dwelling units in the Apartment
Complexes identified herein will be eligible for Federal Housing Tax Credits.
The Apartment Complexes described in this Supplement are anticipated to
complete construction or rehabilitation, as applicable, during 1997 and 1998.
Certain of the Apartment Complexes, as described below, have not yet begun
construction. Delays in construction could occur with respect to Apartment
Complexes currently under construction or as to which construction has not
yet commenced, which could result in delay or reduction in achieving Tax
Credits. (See "Risk Factors--Tax Risks Associated with the Fund's
Investments" in the Prospectus.) The General Partner believes that each of
the Apartment Complexes has or will have adequate property insurance. The
tables included in this Supplement describe in greater detail information
concerning the Apartment Complexes and the anticipated terms of investment in
each Operating Partnership.
The Priority Return Base for Series 29 is $1.20 per BAC (12%). (See
"Glossary" at page 163 of the Prospectus for the definition of the term
"Priority Return Base.") Investors should note that the "Priority Return
Base" is the level of return that must be provided to Investors before the
General Partner may receive a 5% share in the proceeds from the sale or
refinancing of Apartment Complexes or Operating Partnership Interests. (See
"Liquidation Phase" at page 49 of the Prospectus.) In establishing the
Priority Return Base, the General Partner is not representing that the Fund
is expected to provide this level of return to Investors. The General Partner
will receive fees and compensation for services prior to BAC Holders
receiving the Priority Return.
S-4
<PAGE>
INFORMATION CONCERNING THE APARTMENT COMPLEXESINFORMATION CONCERNING THE
APARTMENT COMPLEXES--(Continued)
<TABLE>
<CAPTION>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management Management
Name Property Units Rents Anticipated Loan Rate Amount Agent Fee
---------------------------- ------- ------------------------- -------------- ------- ------- --------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1. Arbor Park Jackson, 160 $371 1BR Tax Exempt Compass Bank, 7% $32,000 Park Development 5% of net
Partnership Mississippi $437 2BR Bond N.A. rental
$494 3BR Financing $5,700,000 income
issued (4)
through the
City of
Jackson,
Mississippi
(4)
2. Bay Forest Annapolis, 120 $491- Elderly Midland 9.75% $18,000 Boston Financial 6% of net
Partnership Maryland $589 1BR Apartment Mortgage Property rental
$590- Development Investment Management income
$708 2BR Program(b) Group
Community $3,886,000(a)
Development Anne Arundel 3%
Block Grant County
Program(c) $786,790(b)
(5) City of 0%
Annapolis
$200,000(c)
(5)
3. Bent Tree Jacksboro, 18 $228 1BR FmHA Sec. 515 $618,390 1% (2) $ 5,400 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
4. Collins Collins, 36 $217 1BR FmHA Sec. 515 $981,456 1% (2) $ 9,900 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
5. Dogwood Appomattox, 48 $260 1BR FmHA Sec. 515 $1,524,476 1% (2) $13,200 Humphrey $18 per
Partnership Virginia $290 2BR with 100% Management occupied
$300 3BR rental unit per
assistance month
6. Emerald Trace Ruston, 48 $244- HOME Premier 9.5% $ 9,600 Middleton 6% of net
Partnership Louisiana $304 1BR Investment Bank, N.A. Management, rental
$285- Partnerships $744,800(a) Inc. income
$358 2BR Program(b) Louisiana 4%
$396 3BR (6) Housing
Finance
Agency
$420,000(b)
(6)
S-5
<PAGE>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management Management
Name Property Units Rents Anticipated Loan Rate Amount Agent Fee
------------------------------ ------- ------------------------- -------------- ------- ------- --------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
7. Forest Hill Richmond, 85 $435- Federal Midland 9% $14,875 Elder Homes 5% of net
Partnership Virginia $528 1BR Housing Tax Affordable Corporation rental
$529- Credits Housing income
$640 2BR Group Trust
$2,755,000
(7)
8. Glenbrook Saint Joseph, 18 $219 1BR FmHA Sec. 515 $547,650 1% (2) $ 5,400 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit
assistance per month
9. Lake Hickory Lake Hickory, 24 $228 2BR FmHA Sec. 515 $838,642 1% (2) $ 6,600 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
10. Lincoln Hotel San Diego, 41 $200 0BR Disposition Savings 9.5% $ 5,000 Barone, 5% of net
Partnership California Development Associations Gelasso & rental
Loan Program(b) Mortgage Associates income
(8) Company
$205,000(a)
San Diego 3%
Redevelopment
Agency
$558,000(b)
(8)
11. Lutkin Bayou Drew, 32 $234 1BR FmHA Sec. 515 $644,652 1% (2) $ 8,800 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
12. Mill Saugerties, 90 $437 0BR Secured Loan New York 8.75% $18,000 Jobco 5% of net
Partnership New York $475 1BR Rental State Housing Management, rental
Housing Finance Agency Inc. income
Program(a) $2,174,000(a)
Acquisition New York
Rehabilitation State Housing 1%
Loan Program(b) Trust Fund
(9) $600,000(b)
(9)
13. Newton Newton, 32 $219 1BR FmHA Sec. 515 $934,135 1% (2) $ 8,800 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit
assistance per month
S-6
<PAGE>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management Management
Name Property Units Rents Anticipated Loan Rate Amount Agent Fee
---------------- --------------- ------- ------------------------- -------------- ------- ------- ------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
14. Northway Nacogdoches, 70 $265- Federal HOME First 9% $10,500 Summit 6% of net
Partnership Texas $328 1BR Funds National Management rental
$313- Program(b) Bank Corporation income
$389 2BR (10) $1,262,000(a)
$350- Texas 3%
$437 3BR Department of
Housing and
Community
Affairs
$391,000(b)
(10)
15. Ozark Poplarville, 16 $224 1BR FmHA Sec. 515 $384,448 1% (2) $ 4,400 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit
assistance per month
16. Palmetto Benton, 40 $243- HOME Premier 8% $ 8,000 TF Management, 5% of net
Place Louisiana $300 2BR Investment Bank, N.A. Inc. rental
Partnership $345 3BR Partnerships $350,000(a) income
Program(b) Louisiana 4%
(11) Housing
Finance
Agency
$380,000(b)
(11)
17. Pecan Hill Bryson, 16 $212 1BR FmHA Sec. 515 $395,120 1% (2) $ 4,800 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit
assistance per month
18. Poplarville Poplarville, 16 $228 1BR FmHA Sec. 515 $410,574 1% (2) $ 4,400 Intervest $21 per
Partnership Mississippi with 100% Management occupied
rental unit per
assistance month
19. Quail Run Iowa Park, 16 $223 1BR FmHA Sec. 515 $362,793 1% (2) $ 4,800 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit
assistance per month
20. Rhome Rhome, 18 $228 1BR FmHA Sec. 515 $531,300 1% (2) $ 5,400 Swan Management $22 per
Partnership Texas with 100% occupied
rental unit per
assistance month
S-7
<PAGE>
Number Basic Government Permanent Mortgage Annual Annual
Partnership Location of of Monthly(1) Assistance Mortgage Interest Reserve Management Management
Name Property Units Rents Anticipated Loan Rate Amount Agent Fee
---------------- --------------- ------- ------------------------- -------------- ------- ------- --------------- ---------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
21. Westfield Welsh, 40 $256 2BR HOME Premier 8% $ 8,000 TF Management, 5% of net
Partnership Louisiana $340 3BR Investment Bank, N.A. Inc. rental
Partnerships $330,000(a) income
Program(b) Louisiana 4%
(12) Housing
Finance
Agency
$350,000(b)
(12)
22. Willow Point Jackson, 120 $371 1BR Tax Exempt Compass Bank, 7% $24,000 Park Development 5% of net
Partnership Mississippi $437 2BR Bond N.A. rental
$494 3BR Financing $4,300,000 income
issued (13)
through the
City of
Jackson,
Mississippi
(13)
</TABLE>
(1) Exclusive of utilities, unless indicated otherwise.
(2) FmHA 515 loan with a term of 50 years, a stated interest rate of between
7.5% and 9.5%; written down to an effective rate of 1% through an
interest credit subsidy, and payments of principal and interest on the
basis of a 50 year amortization schedule.
(3) Except as and to the extent noted in the following footnote, the terms
of all permanent mortgage loans described in the following footnotes,
which have a term to maturity which is shorter than the term employed
for the amortization schedule, provide or are expected to provide that
the entire outstanding balance of principal of and interest on such
permanent mortgage loan shall be due and payable in full at the maturity
of such mortgage loan.
(4) The terms of the Arbor Park Partnership's anticipated permanent first
mortgage loan in the amount of $5,700,000 are expected to include a term
of 5 years, an interest rate of 7% and payments of principal and
interest on the basis of a 30 year amortization schedule.
(5) (a) The terms of the Bay Forest Partnership's anticipated permanent
first mortgage loan in the amount of $3,886,000 are expected to
include a term of 30 years, an interest rate of 9.75% and payments
of principal and interest on the basis of a 30 year amortization
schedule.
(b) The terms of the Bay Forest Partnership's anticipated permanent
second mortgage loan in the amount of $786,790 are expected to
include a term of 30 years, an interest rate of 3% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(c) The terms of the Bay Forest Partnership's anticipated permanent
third mortgage loan in the amount of $200,000 are expected to
include a term of 30 years, an interest rate of 0% and payment of
principal on the basis of a 30 year amortization schedule, provided,
however, that the terms of the permanent third mortgage loan will
provide for the deferral and accrual of payment of principal based
on available cash flow, and for the payment of the entire
outstanding balance of principal at the end of the 30-year term.
(6) (a) The terms of the Emerald Trace Partnership's anticipated permanent
first mortgage loan in the amount of $744,800 are expected to
include a term of 40 years, an interest rate of 9.5% and payments of
principal and interest on the basis of a 40 year amortization
schedule.
(b) The terms of the Emerald Trace Partnership's anticipated permanent
second mortgage loan in the amount of $420,000 are expected to
include a term of 20 years, an interest rate of 4% and payments of
principal and interest on the basis of a 20 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 20-year term.
(7) The terms of the Forest Hill Partnership's anticipated permanent first
mortgage loan in the amount of $2,755,000 are expected to include a term
of 30 years, an interest rate of 9% and payments of principal and
interest on the basis of a 30 year amortization schedule.
S-8
<PAGE>
(8) (a) The terms of the Lincoln Hotel Partnership's anticipated permanent
first mortgage loan in the amount of $205,000 are expected to
include a term of 30 years, an interest rate of 9.5%, which will
adjust every 10 years with a maximum adjustment of 4%, and payments
of principal and interest on the basis of a 30 year amortization
schedule to that amount which is the yield on the 30 year U.S.
Treasury bond plus 3%.
(b) The terms of the Lincoln Hotel Partnership's anticipated permanent
second mortgage loan in the amount of $558,000 are expected to
include a term of 30 years, an interest rate of 3% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(9) (a) The terms of the Mill Partnership's anticipated permanent first
mortgage loan in the amount of $2,174,000 are expected to include a
term of 30 years, an interest rate of 8.75% and payments of
principal and interest on the basis of a 30 year amortization
schedule.
(b) The terms of the Mill Partnership's anticipated permanent second
mortgage loan in the amount of $600,000 are expected to include a
term of 30 years, an interest rate of 1% and payments of principal
and interest on the basis of a 30 year amortization schedule,
provided, however, that the terms of the permanent second mortgage
loan will provide for the deferral and accrual of payments of
principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(10) (a) The terms of the Northway Partnership's anticipated permanent first
mortgage loan in the amount of $1,262,000 are expected to include a
term of 15 years, an interest rate of 9% and payments of principal
and interest on the basis of a 30 year amortization schedule.
(b) The terms of the Northway Partnership's anticipated permanent second
mortgage loan in the amount of $391,000 are expected to include a
term of 30 years, an interest rate of 3% and payments of principal
and interest on the basis of a 30 year amortization schedule,
provided, however, that the terms of the permanent second mortgage
loan will provide for the deferral and accrual of payments of
principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(11) (a) The terms of the Palmetto Place Partnership's anticipated permanent
first mortgage loan in the amount of $350,000 are expected to
include a term of 30 years, an interest rate of 8% and payments of
principal and interest on the basis of a 30 year amortization
schedule.
(b) The terms of the Palmetto Place Partnership's anticipated permanent
second mortgage loan in the amount of $380,000 are expected to
include a term of 30 years, an interest rate of 4% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(12) (a) The terms of the Westfield Partnership's anticipated permanent first
mortgage loan in the amount of $330,000 are expected to include a
term of 30 years, an interest rate of 8% and payments of principal
and interest on the basis of a 30 year amortization schedule.
(b) The terms of the Westfield Partnership's anticipated permanent
second mortgage loan in the amount of $350,000 are expected to
include a term of 30 years, an interest rate of 4% and payments of
principal and interest on the basis of a 30 year amortization
schedule, provided, however, that the terms of the permanent second
mortgage loan will provide for the deferral and accrual of payments
of principal and interest based on available cash flow, and for the
payment of the entire outstanding balance of principal and interest
at the end of the 30-year term.
(13) The terms of the Willow Point Partnership's anticipated permanent first
mortgage loan in the amount of $4,300,000 are expected to include a term
of 5 years, an interest rate of 7% and payments of principal and
interest on the basis of a 30 year amortization schedule.
S-9
<PAGE>
TERMS OF INVESTMENT IN OPERATING PARTNERSHIPSTERMS OF INVESTMENT IN OPERATING
PARTNERSHIPS--(Continued)
<TABLE>
<CAPTION>
Ownership Fund's
Interest (%) Approximate
Profits, Average Development Annual Asset
Losses, Operating Annual Fee/Other Partnership Management
BCTC IV Credit/Net General Operating Operating Anticipated Distributions Management Fee to
Partnership Capital Cash Partner Deficit Partnership's Federal to Operating Fee to Boston
Name Contribution Flow/Backend Contribution Guarantee Credit Base Credit GP Operating GP Capital
------------ ------------ ------------------------ --------------------------------------------------- -----------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1. Arbor Park $2,792,272 99/50/50 $ 100 Unlimited $11,549,865 $423,072 $1,000,000 $10,000 $10,000
Partnership in time
and amount
2. Bay Forest $4,110,626 99/25/25 $ 100 Unlimited $ 7,677,903 $652,480 $1,069,178 $10,000 $30,000
Partnership in amount
for 5 years
3. Bent Tree $ 157,010 99/50/50 $11,432 Unlimited $ 682,222 $ 24,922 $ 88,746 $ 500 $ 500
Partnership in amount
for 15 years
4. Collins $ 282,025 99/50/50 $17,812 Unlimited $ 1,286,694 $ 47,004 $ 207,439 $ 500 $ 500
Partnership in amount
for 10 years
5. Dogwood $ 409,116 99/50/50 $ 7,200 Unlimited $ 1,806,314 $ 65,986 $ 82,840 $ 750 $ 750
Partnership in amount
for 5 years
6. Emerald $1,040,920 99/35/35 $ 100 Unlimited $ 2,066,498 $173,487 $ 290,000 $ 4,800 $ 3,000
Trace in time
Partnership and amount
7. Forest Hill $2,644,987 99/25/25 $ 100 Unlimited $ 4,989,178 $419,839 $ 831,530 $10,000 $ 7,000
Partnership in amount
for 5 years
8. Glenbrook $ 142,553 99/50/50 $10,812 Unlimited $ 619,404 $ 22,627 $ 83,474 $ 500 $ 500
Partnership in amount
for 15 years
9. Lake Hickory $ 185,079 99/50/50 $17,065 Unlimited $ 844,390 $ 30,846 $ 143,612 $ 500 $ 500
Partnership in amount
for 10 years
10. Lincoln $1,419,315 99/30/30 $ 100 Unlimited $ 1,416,922 $236,553 $ 130,000 $ 3,000 $ 3,000
Hotel in time
Partnership and amount
11. Lutkin Bayou $ 174,583 99/50/50 $13,548 Unlimited $ 796,504 $ 29,097 $ 132,596 $ 500 $ 500
Partnership in amount
for 10 years
12. Mill $4,787,640 99/25/30 $ 100 Unlimited $ 9,890,841 $772,200 $ 873,304 $10,000 $10,000
Partnership in time
and amount
S-10
<PAGE>
<CAPTION>
Ownership Fund's
Interest (%) Approximate
Profits, Average Development Annual Asset
Losses, Operating Annual Fee/Other Partnership Management
BCTC IV Credit/Net General Operating Operating Anticipated Distributions Management Fee to
Partnership Capital Cash Partner Deficit Partnership's Federal to Operating Fee to Boston
Name Contribution Flow/Backend Contribution Guarantee Credit Base Credit GP Operating GP Capital
------------ ------------ ------------------------ --------------------------------------------------- -----------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
13. Newton $ 229,136 99/50/50 $18,569 Unlimited $1,045,393 $ 38,189 $204,612 $ 500 $ 500
Partnership in amount
for 10 years
14. Northway $2,900,205 99/50/50 $ 100 Unlimited $5,524,000 $467,775 $554,000 $ 7,000 $ 7,000
Partnership in time
and amount
15. Ozark $ 93,888 99/50/50 $ 8,624 Unlimited $ 428,347 $ 15,648 $ 58,412 $ 500 $ 500
Partnership in amount
for 10 years
16. Palmetto $ 967,750 99/50/50 $ 100 Unlimited $1,863,372 $158,648 $160,000 $ 4,000 $ 4,000
Place in time
Partnership and amount
17. Pecan Hill $ 104,220 99/50/50 $ 9,212 Unlimited $ 452,846 $ 16,543 $ 58,909 $ 500 $ 500
Partnership in amount
for 15 years
18. Poplarville $ 78,628 99/50/50 $ 6,218 Unlimited $ 358,726 $ 13,105 $ 42,135 $ 500 $ 500
Partnership in amount
for 10 years
19. Quail Run $ 95,364 99/50/50 $ 8,743 Unlimited $ 414,363 $ 15,137 $ 53,901 $ 500 $ 500
Partnership in amount
for 15 years
20. Rhome $ 143,289 99/50/50 $11,364 Unlimited $ 622,602 $ 22,744 $ 80,988 $ 500 $ 500
Partnership in amount
for 15 years
21. Westfield $ 905,669 99/50/50 $ 100 Unlimited $1,743,837 $148,470 $150,000 $ 4,000 $ 4,000
Partnership in time
and amount
22. Willow Point $2,105,735 99/50/50 $ 100 Unlimited $8,710,094 $319,051 $675,000 $10,000 $10,000
</TABLE>
Partnership in time
and amount
S-11
<PAGE>
THE ARBOR PARK PARTNERSHIP
(Arbor Park Apartments)
Arbor Park Apartments is a 160-unit apartment complex for families which is
to be constructed in Jackson, Mississippi. Arbor Park Apartments will consist
of 32 one-bedroom units, 80 two-bedroom units and 48 three-bedroom units
contained in 10 buildings. The complex will offer a pool, recreation room and
central laundry facilities.
Individual units will contain a refrigerator, range, dishwasher, disposal,
air conditioning, smoke detectors and a patio or porch.
Construction of Arbor Park Apartments is anticipated to begin in March,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
------------- ------------------- ------------- ---------------------
<S> <C> <C> <C>
40 January, 1998 8 February, 1998
40 February, 1998 8 March, 1998
40 March, 1998 8 April, 1998
40 April, 1998 16 May, 1998
16 June, 1998
16 July, 1998
16 August, 1998
16 September, 1998
16 October, 1998
20 November, 1998
20 December, 1998
</TABLE>
THE BAY FOREST PARTNERSHIP
(Bay Forest Apartments)
Bay Forest Apartments is a 120-unit apartment complex for senior citizens
which is to be constructed on Georgetown and Edgewood Roads in Annapolis,
Maryland. Bay Forest Apartments will consist of 90 one-bedroom units and 30
two-bedroom units contained in 2 buildings. The complex will offer a dining/
function room, library, exercise room, elevators and central laundry
facilities.
Individual units will contain a refrigerator, range, dishwasher, disposal,
air conditioning, smoke detectors, an emergency call system and a patio or
balcony.
Construction of Bay Forest Apartments is anticipated to begin in April,
1997. The Operating General Partners anticipate that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- --------------- ----------- ---------------
<S> <C> <C> <C>
60 January, 1998 15 February, 1998
60 February, 1998 15 March, 1998
15 April, 1998
15 May, 1998
15 June, 1998
15 July, 1998
15 August, 1998
15 September, 1998
</TABLE>
THE BENT TREE PARTNERSHIP
(Bent Tree Apartments)
Bent Tree Apartments is an existing 18-unit apartment complex for senior
citizens which is to be rehabilitated in Jacksboro, Texas. Bent Tree
Apartments will consist of 18 one-bedroom units contained in 4 buildings. The
complex will offer a community room and central laundry facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Bent Tree Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
18 July, 1997 9 August, 1997
9 September, 1997
</TABLE>
THE COLLINS PARTNERSHIP
(Collins Apartments)
Collins Apartments is an existing 36-unit apartment complex for senior
citizens which is to be rehabilitated in Collins, Mississippi. Collins
Apartments will consist of 36 one-bedroom units contained in 4 buildings. The
complex will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Collins Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
S-12
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
36 July, 1997 9 August, 1997
9 September, 1997
9 October, 1997
9 November, 1997
</TABLE>
THE DOGWOOD PARTNERSHIP
(Dogwood Apartments)
Dogwood Apartments is an existing 48-unit apartment complex for families
which is to be rehabilitated on Route 5 in Appomattox, Virginia. Dogwood
Apartments will consist of 8 one-bedroom units, 34 two- bedroom units and 6
three-bedroom units contained in 4 buildings. The complex will offer a
function room, playground and central laundry facilities.
Individual units will contain a refrigerator, range, air conditioning,
smoke detectors, cable television hook-up and a balcony.
Rehabilitation of Dogwood Apartments is anticipated to begin in June,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- --------------- ----------- ----------------
<S> <C> <C> <C>
24 July, 1997 12 August, 1997
24 August, 1997 12 September, 1997
12 October, 1997
12 November, 1997
</TABLE>
THE EMERALD TRACE PARTNERSHIP
(Emerald Trace Apartments)
Emerald Trace Apartments is a 48-unit apartment complex for families which is
to be constructed in Ruston, Louisiana. Emerald Trace Apartments will consist
of 8 one-bedroom units, 32 two-bedroom units and 8 three-bedroom units
contained in 8 buildings. The complex will offer a meeting/reception area and
central laundry facilities.
Individual units will contain a refrigerator, range, bathroom exhaust fan,
air conditioning and smoke detectors.
Construction of Emerald Trace Apartments is anticipated to begin in June,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ---------------
<S> <C> <C> <C>
24 September, 1997 12 October, 1997
24 October, 1997 12 November, 1997
12 December, 1997
12 January, 1998
</TABLE>
THE FOREST HILL PARTNERSHIP
(Forest Hill Apartments)
Forest Hill Apartments is an 85-unit apartment complex for senior citizens
which is to be constructed on Forest Hill Avenue in Richmond, Virginia.
Forest Hill Apartments will consist of 69 one-bedroom units and 16
two-bedroom units contained in 8 buildings. The complex will offer a function
room, library and central laundry facilities.
Individual units will contain a refrigerator, range, air conditioning and
smoke detectors.
Construction of Forest Hill Apartments is anticipated to begin in
February, 1997. The Operating General Partner anticipates that construction
completion and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ----------------
<S> <C> <C> <C>
17 September, 1997 10 September, 1997
17 October, 1997 10 October, 1997
17 November, 1997 14 November, 1997
17 December, 1997 14 December, 1997
17 January, 1998 18 January, 1998
19 February, 1998
</TABLE>
THE GLENBROOK PARTNERSHIP
(Glenbrook Apartments)
Glenbrook Apartments is an existing 18-unit apartment complex for senior
citizens which is to be rehabilitated on Sand Hill Avenue in Saint Joseph,
Texas. Glenbrook Apartments will consist of 18 one-bedroom units contained in
4 buildings. The complex will offer a community room and central laundry
facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Glenbrook Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
S-13
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
18 July, 1997 9 August, 1997
9 September, 1997
</TABLE>
THE LAKE HICKORY PARTNERSHIP
(Lake Hickory Apartments)
Lake Hickory Apartments is an existing 24-unit apartment complex for senior
citizens which is to be rehabilitated in Lake Hickory, Mississippi. Lake
Hickory Apartments will consist of 24 one-bedroom units contained in 4
buildings. The complex will offer a meeting room and central laundry
facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Lake Hickory Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
24 July, 1997 6 August, 1997
6 September, 1997
6 October, 1997
6 November, 1997
</TABLE>
THE LINCOLN HOTEL PARTNERSHIP
(Lincoln Apartments)
Lincoln Apartments is an existing 41-unit apartment complex which is to be
rehabilitated on Fifth Avenue between Market and Island Streets in San Diego,
California. Lincoln Apartments will consist of 41 efficiency units contained
in 1 building. The complex will offer a library, conference room, lounge and
central laundry facilities.
Individual units will contain a refrigerator, range, microwave, smoke
detectors and cable television hook-up.
Rehabilitation of Lincoln Apartments began in December, 1996. The
Operating General Partner anticipates that completion of rehabilitation and
occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- --------------- ----------- ----------------
<S> <C> <C> <C>
41 August, 1997 10 September, 1997
10 October, 1997
10 November, 1997
11 December, 1997
</TABLE>
THE LUTKIN BAYOU PARTNERSHIP
(Lutkin Bayou Apartments)
Lutkin Bayou Apartments is an existing 32-unit apartment complex for senior
citizens which is to be rehabilitated in Drew, Mississippi. Lutkin Bayou
Apartments will consist of 32 one-bedroom units contained in 4 buildings. The
complex will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Lutkin Bayou Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
32 July, 1997 8 August, 1997
8 September, 1997
8 October, 1997
8 November, 1997
</TABLE>
THE MILL PARTNERSHIP
(Mill Apartments)
Mill Apartments is an existing 90-unit apartment complex for senior citizens
which is to be rehabilitated in Saugerties, New York. Mill Apartments will
consist of 18 studio units and 72 one-bedroom units contained in 1 building.
The complex will offer a solarium/living room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Mill Apartments is anticipated to begin in June, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
S-14
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ------------- ----------- ----------------
<S> <C> <C> <C>
90 May, 1998 18 June, 1998
18 July, 1998
18 August, 1998
18 September, 1998
18 October, 1998
</TABLE>
THE NEWTON PARTNERSHIP
(Newton Apartments)
Newton Apartments is an existing 32-unit apartment complex for senior
citizens which is to be rehabilitated in Newton, Mississippi. Newton
Apartments will consist of 32 one-bedroom units contained in 4 buildings. The
complex will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Newton Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
32 July, 1997 8 August, 1997
8 September, 1997
8 October, 1997
8 November, 1997
</TABLE>
THE NORTHWAY PARTNERSHIP
(Northway Drive Apartments)
Northway Drive Apartments is a 70-unit apartment complex for families which
is to be constructed in Nacogdoches, Texas. Northway Drive Apartments will
consist of 22 one-bedroom units, 30 two-bedroom units and 18 three-bedroom
units contained in 19 buildings. The complex will offer a community room,
pool, function room, play and picnic areas, basketball court, playground,
individual storage units and central laundry facilities.
Individual units will contain a refrigerator, range, dishwasher, air
conditioning and smoke detectors.
Construction of Northway Drive Apartments is anticipated to begin in
February, 1997. The Operating General Partner anticipates that construction
completion and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ----------------
<S> <C> <C> <C>
17 July, 1997 10 August, 1997
17 August, 1997 10 September, 1997
18 September, 1997 10 October, 1997
18 October, 1997 10 November, 1997
10 December, 1997
10 January, 1998
10 February, 1998
</TABLE>
THE OZARK PARTNERSHIP
(Ozark Apartments)
Ozark Apartments is an existing 16-unit apartment complex for senior citizens
which is to be rehabilitated in Poplarville, Mississippi. Ozark Apartments
will consist of 16 one-bedroom units contained in 4 buildings. The complex
will offer a meeting room and central laundry facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Ozark Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
16 July, 1997 4 August, 1997
4 September, 1997
4 October, 1997
4 November, 1997
</TABLE>
THE PALMETTO PLACE PARTNERSHIP
(Palmetto Place Apartments)
Palmetto Place Apartments is a 40-unit apartment complex for families which
is to be constructed in Benton, Louisiana. Palmetto Place Apartments will
consist of 10 one-bedroom units and 30 two-bedroom units contained in 8
buildings. The complex will offer a playground and central laundry
facilities.
Individual units will contain a refrigerator, range, air conditioning,
smoke detectors and a patio or porch.
Construction of Palmetto Place Apartments is anticipated to begin in
February, 1997. The Operating General Partner anticipates that construction
completion and occupancy will occur as follows:
S-15
<PAGE>
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ------------- ----------- ----------------
<S> <C> <C> <C>
20 June, 1997 10 July, 1997
20 July, 1997 10 August, 1997
10 September, 1997
10 October, 1997
</TABLE>
THE PECAN HILL PARTNERSHIP
(Pecan Hill Apartments)
Pecan Hill Apartments is an existing 16-unit apartment complex for senior
citizens which is to be rehabilitated on Pecan Hill Drive in Bryson, Texas.
Pecan Hill Apartments will consist of 16 one-bedroom units contained in 4
buildings. The complex will offer a community room and central laundry
facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Pecan Hill Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
16 July, 1997 8 August, 1997
8 September, 1997
</TABLE>
THE POPLARVILLE PARTNERSHIP
(Poplarville Apartments)
Poplarville Apartments is an existing 16-unit apartment complex for senior
citizens which is to be rehabilitated in Poplarville, Mississippi.
Poplarville Apartments will consist of 16 one-bedroom units contained in 4
buildings. The complex will offer a meeting room and central laundry
facilities.
Individual units will contain a refrigerator, range and smoke detectors.
Rehabilitation of Poplarville Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- ---------------------
<S> <C> <C> <C>
16 July, 1997 4 August, 1997
4 September, 1997
4 October, 1997
4 November, 1997
</TABLE>
THE QUAIL RUN PARTNERSHIP
(Quail Run Apartments)
Quail Run Apartments is an existing 16-unit apartment complex for senior
citizens which is to be rehabilitated on Wildflower Street in Iowa Park,
Texas. Quail Run Apartments will consist of 16 one-bedroom units contained in
4 buildings. The complex will offer a community room and central laundry
facilities.
Individual units will contain a refrigerator, range, dishwasher, smoke
detectors and a patio or porch.
Rehabilitation of Quail Run Apartments is anticipated to begin in May,
1997. The Operating General Partner anticipates that completion of
rehabilitation and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
16 July, 1997 8 August, 1997
8 September, 1997
</TABLE>
THE RHOME PARTNERSHIP
(Rhome Apartments)
Rhome Apartments is an existing 18-unit apartment complex for senior citizens
which is to be rehabilitated on Autumn Lane in Rhome, Texas. Rhome Apartments
will consist of 18 one-bedroom units contained in 4 buildings. The complex
will offer a community room and central laundry facilities.
Individual units will contain a refrigerator, range, smoke detectors and a
patio or porch.
Rehabilitation of Rhome Apartments is anticipated to begin in May, 1997.
The Operating General Partner anticipates that completion of rehabilitation
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
---------------------------- ------------- --------------------
<S> <C> <C> <C>
18 July, 1997 9 August, 1997
9 September, 1997
</TABLE>
S-16
<PAGE>
THE WESTFIELD PARTNERSHIP
(Westfield Apartments)
Westfield Apartments is a 40-unit apartment complex for families which is to
be constructed in Welsh, Louisiana. Westfield Apartments will consist of 10
one-bedroom units and 30 two-bedroom units contained in 8 buildings. The
complex will offer a playground and central laundry facilities.
Individual units will contain a refrigerator, range, air conditioning,
smoke detectors and a patio or porch.
Construction of Westfield Apartments is anticipated to begin in February,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ------------- ----------- ----------------
<S> <C> <C> <C>
20 June, 1997 10 July, 1997
20 July, 1997 10 August, 1997
10 September, 1997
10 October, 1997
</TABLE>
THE WILLOW POINT PARTNERSHIP
(Willow Point Apartments)
Willow Point Apartments is a 120-unit apartment complex for families which is
to be constructed in Jackson, Mississippi. Willow Point Apartments will
consist of 16 one-bedroom units, 72 two-bedroom units and 32 three-bedroom
units contained in 6 buildings. The complex will offer a pool, recreation
room and central laundry facilities.
Individual units will contain a refrigerator, range, dishwasher, disposal,
air conditioning, smoke detectors and a patio or porch.
Construction of Willow Point Apartments is anticipated to begin in March,
1997. The Operating General Partner anticipates that construction completion
and occupancy will occur as follows:
<TABLE>
<CAPTION>
Number Number
of Units Completion of Units Rent-Up
- ----------- ---------------- ----------- ---------------
<S> <C> <C> <C>
40 September, 1997 10 October, 1997
40 October, 1997 10 November, 1997
40 November, 1997 10 December, 1997
10 January, 1998
10 February, 1998
10 March, 1998
10 April, 1998
10 May, 1998
10 June, 1998
10 July, 1998
10 August, 1998
10 September, 1998
</TABLE>
* * * * * * * *
MANAGEMENT
The disclosure under the section of the Prospectus entitled "Management" on
page 89 under the subheading "Herbert F. Collins" incorrectly states that Mr.
Collins currently serves as Chairman of the Massachusetts Housing Policy
Commission. Mr. Collins was Chairman in 1992 only.
C&M ASSOCIATES D/B/A BOSTON CAPITAL ASSOCIATES
C&M Associates, a Massachusetts general partnership, is the general partner
of the General Partner. (See "Management" and pages I-5 through I-8 in the
Prospectus.) The sole partners of C&M Associates, Mr. Collins and Mr.
Manning, currently have no commitment, intent or reasonable probability that
they will fund cash flow deficits or furnish other direct or indirect
financial assistance to C&M Associates.
FOR NEBRASKA INVESTORS ONLY:
The Fund may not complete a sale of BACs to an Investor until at least five
business days after the Investor receives a final Prospectus.
FOR NEW HAMPSHIRE INVESTORS ONLY:
The Suitability requirements for New Hampshire residents on page 22 of the
Prospectus are hereby superseded by the following:
Additional Suitability Requirements: (1) minimum annual gross taxable
income of at least $50,000 and a net worth (excluding home, home furnishings
and automobiles) of not less than $125,000 or (2) a net
S-17
<PAGE>
worth (exclusive of home, home furnishings and automobiles) of not less than
$250,000.
FOR MASSACHUSETTS INVESTORS ONLY:
Sales of BACs are not deemed completed until five days after an Investor has
received the Prospectus, and an Investor may receive a refund of his/her
subscription within said five day period.
S-18
