0000930661-01-501963.txt : 20011018 0000930661-01-501963.hdr.sgml : 20011018 ACCESSION NUMBER: 0000930661-01-501963 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20010926 ITEM INFORMATION: Acquisition or disposition of assets ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20011010 FILER: COMPANY DATA: COMPANY CONFORMED NAME: TRANSCONTINENTAL REALTY INVESTORS INC CENTRAL INDEX KEY: 0000733590 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 946565852 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09240 FILM NUMBER: 1756005 BUSINESS ADDRESS: STREET 1: 10670 N CENTRAL EXPRWY STE 300 CITY: DALLAS STATE: TX ZIP: 75231 BUSINESS PHONE: 2146924700 MAIL ADDRESS: STREET 1: 10670 N CENTRAL EXPRWY STREET 2: SUITE 300 CITY: DALLAS STATE: TX ZIP: 75231 FORMER COMPANY: FORMER CONFORMED NAME: JOHNSTOWN CONSOLIDATED REALTY TRUST DATE OF NAME CHANGE: 19861005 FORMER COMPANY: FORMER CONFORMED NAME: JOHNSTOWN CONSOLIDATED REALTY TRUST /CA/ DATE OF NAME CHANGE: 19890815 8-K 1 d8k.txt FORM 8-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 September 26, 2001 -------------------------------------------------- Date of Report (Date of Earliest Event Reported) TRANSCONTINENTAL REALTY INVESTORS, INC. --------------------------------------------------------- (Exact Name of Registrant as Specified in its Charter) Nevada 1-9240 94-6565852 -------------------------------------------------------------------------------- (State of Incorporation) (Commission (IRS Employer File No.) Identification No.) 1800 Valley View Lane, Suite 300, Dallas, TX 75234 -------------------------------------------------------------------------------- (Address of Principal Executive Offices) (Zip Code) Registrant's Telephone Number, Including Area Code: (469) 522-4200 --------------- 1 ITEM 2. ACQUISITION OR DISPOSITION OF ASSETS In 2001, Transcontinental Realty Investors, Inc. ("TCI") has sold a significant amount of its properties as follows:
Gain/ % of Sale Units/ Sales (Loss) TCI's Date Property Location Sq.Ft./Acres Price on Sale Assets Purchaser ---- -------- -------- ------------ ----- ------- ------ -------------------- Apartments (dollars in Thousands) 02/21/01 Heritage Tulsa, OK 136 Units $ 2,285 $ 1,575 0.08% 21st Investment Group, LLC 03/01/01 Forest Ridge Denton, TX 56 Units 2,000 1,014 0.10% Investment Property Exchange Services, LLC 03/08/01 Park at Colonnade San Antonio, TX 211 Units 5,800 1,592 0.52% Colonade-Central Texas, LP 05/18/01 Glenwood Addison, TX 168 Units 3,659 -- 0.50% American Realty Investors, Inc./(1/) 05/22/01 Fontenelle Hills Bellevue, NE 338 Units 16,500 4,565 1.53% Haley Fontenelle Hills, Ltd. 05/31/01 Bent Tree Gardens Addison, TX 204 Units 9,000 601 1.09% Bent Tree Gardens Partners, LP 06/19/01 McCallum Glen Dallas, TX 275 Units 8,450 1,375 0.70% Texas McCallum Glen Partners, Ltd. 08/06/01 Park Lane Dallas, TX 97 Units 2,750 1,827 0.10% Investors Park Lane, Ltd. 08/08/01 McCallum Crossing Dallas, TX 322 Units 11,500 4,486 0.86% Texas McCallum Crossing Partners, Ltd. 08/28/01 Carseka Los Angeles, CA 54 Units 4,000 1,353 0.29% Empire West Group 09/26/01 Sunset Lakes Waukegan, IL 414 Units 15,200 7,316 0.83% Kinzie Realty Corporation 09/28/01 Oak Run Pasadena, TX 160 Units 5,800 2,227 0.44% RHP-Oak Run Manor, LP Office Buildings 06/08/01 Waterstreet Boulder, CO 106,257 Sq.Ft. 22,250 9,154 1.45% Waterstreet Plaza, LLC, NESC- Exchange XXIII, LLC 06/27/01 Daley San Diego, CA 64,425 Sq.Ft. 6,211 836 0.67% AG/Touchstone Daley, LLC 07/23/01 Chesapeake Center San Diego, CA 57,493 Sq.Ft. 6,575 204 0.78% KM Phoenix Associates, LLC Industrial Warehouse 02/21/01 Zodiac Dallas, TX 35,435 Sq.Ft. 762 167 0.07% Zodiac Investments, LP 06/14/01 Tech Trading Center Sterling, VA 197,659 Sq.Ft. 10,775 4,163 0.80% V-Glenn Drive Associates, LLC Land 02/23/01 McKinney 36 McKinney, TX 1.822 Acres 476 355 0.01% State of Texas 03/29/01 Round Mountain Austin, TX 110 Acres 2,560 1,046 0.18% Renroc Development, LLP 04/20/01 Moss Creek Greensboro, NC 4.79 Acres 15 (71) 0.01% Ted L. and Mary E. Bissette 08/30/01 Eagle Crest Farmers Branch, TX 4.41 Acres 300 (215) 0.07% City of Farmers Branch --------- -------- ------ $ 136,868 $ 43,570 11.10% ========= ========
____________________________ (1) Glenwood Apartments were exchanged with a related party for two parcels of land. 2 ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS ---------------------------------------------- Proforma statements of operations are presented for the year ended December 31, 2000, and the six months ended June 30, 2001. The proforma statement of operations present TCI's operations as if the transactions described above had occurred at January 1 of each of the periods presented. A proforma balance sheet as of June 30, 2001, is also presented. The proforma balance sheet presents the property sales described above, as if they had occurred at January 1, 2001. 3 TRANSCONTINENTAL REALTY INVESTORS, INC. PROFORMA COMBINED CONSOLIDATED BALANCE SHEET JUNE 30, 2001
McCallum Actual/(1)/ Chesapeake/(2)/ Park Lane/(2)/ Crossing/(2)/ Carseka/(2)/ ----------- --------------- ---------------- -------------- ------------- Assets (dollars in thousands) Real Estate Real estate held for investment ............... $671,099 $ (5,997) $(1,078) (7,464) $(2,419) Less - accumulated depreciation ............... (87,945) 192 334 1,064 263 -------- -------- ------- --------- -------- 583,154 (5,805) (744) (6,400) (2,156) Real estate held for sale ..................... 485 -- -- -- -- Notes and interest receivable Performing ................................ 11,263 -- -- -- -- Less - allowance for losses ............... (537) -- -- -- -- -------- -------- ------- --------- -------- 10,726 -- -- -- -- Investments in real estate entities ........... 19,946 -- -- -- -- Cash and cash equivalents ..................... 29,717 (6) (6) (7) (5) Other assets .................................. 45,926 (91) (47) (629) (52) -------- -------- ------- --------- -------- $689,954 (5,902) $ (797) $ (7,036) $(2,213) ======== ======== ======= ========= ======= Liabilities and Equity Notes and interest payable .................... $446,535 $ (2,910) $(1,127) $ (8,216) $(1,487) Other liabilities ............................. 22,433 (122) (22) (350) (37) -------- -------- ------- --------- -------- 468,968 (3,032) (1,149) (8,566) (1,524) Commitments and Contingencies Minority interest ............................. 4,294 -- -- -- -- Redeemable Preferred Stock .................... 1,500 -- -- -- -- Stockholders' Equity Common stock .................................. 86 -- -- -- -- Paid-in capital ............................... 278,245 -- -- -- -- Accumulated distributions in excess of accumulated earnings ...................... (60,080) (2,870) 352 1,530 (689) Unrealized gain on marketable equity .......... (3,059) -- -- -- -- -------- -------- ------- --------- -------- 215,192 (2,870) 352 1,530 (689) -------- -------- ------- --------- -------- $689,954 $ (5,902) $ (797) $ (7,036) $(2,213) ======== ======== ======= ========= ======== Eagle Sunset Crest/(2)/ Lakes/(2)/ Oak Run/(2)/ Proforma ------------ ---------- ------------ ---------- Assets Real Estate Real estate held for investment ............... $ (505) $ (7,703) $(3,648) $ 642,285 Less - accumulated depreciation ............... -- 1,465 352 (84,275) -------- -------- ------- --------- (505) (6,238) (3,296) 558,010 Real estate held for sale ..................... -- -- -- 485 Notes and interest receivable Performing ................................ -- -- -- 11,263 Less - allowance for losses ............... -- -- -- (537) -------- -------- ------- --------- -- -- -- 10,726 Investments in real estate entities ........... -- -- -- 19,946 Cash and cash equivalents ..................... -- (7) (4) 29,682 Other assets .................................. -- (331) (231) 44,545 -------- -------- ------- --------- $ (505) $ (6,576) $(3,531) $ 663,394 ======== ======== ======= ========= Liabilities and Equity Notes and interest payable .................... $ -- $ (7,409) $(4,439) $ 420,947 Other liabilities ............................. (1) (427) (146) 21,328 -------- -------- ------- --------- (1) (7,836) (4,585) 442,275 Commitments and Contingencies Minority interest ............................. -- -- -- 4,294 Redeemable Preferred Stock .................... -- -- -- 1,500 Stockholders' Equity Common stock .................................. -- -- -- 86 Paid-in capital ............................... -- -- -- 278,245 Accumulated distributions in excess of accumulated earnings ...................... (504) 1,260 1,054 (59,947) Unrealized gain on marketable equity .......... -- -- -- (3,059) -------- -------- ------- --------- (504) 1,260 1,054 215,325 -------- -------- ------- --------- $ (505) $ (6,576) $(3,531) $ 663,394 ======== ======== ======= =========
___________________________ (1) Includes properties sold prior to June 30, 2001 (2) Assumes sale by TCI on January 1, 2001 4 TRANSCONTINENTAL REALTY INVESTORS, INC. PROFORMA COMBINED STATEMENT OF OPERATIONS /(1)(2)/ SIX MONTHS ENDED JUNE 30, 2001
Office Industrial Actual Apartments/(3)/ Building/(4)/ Warehouse/(5)/ Land/(6)/ Proforma ------ ------------- ----------- -------------- ------- -------- Revenue (dollars in thousands) Rents ..................................... $ 71,041 $ (7,193) $ (2,004) $ (700) $ (14) $ 61,130 Property operations ....................... 40,441 (4,199) (1,004) (228) (89) 34,921 --------- -------- -------- ------- ------ --------- 30,600 (2,994) (1,000) (472) 75 26,209 Other income Interest and other ........................ 1,258 -- -- -- -- 1,258 Equity (loss) in equity investees ......... (2,366) -- -- -- -- (2,366) Gain on sale of real estate ............... 28,749 17,209 204 -- (215) 45,947 --------- -------- ------- ------- ------ --------- 27,641 17,209 204 -- (215) 44,839 Other expense Interest .................................. 21,953 (2,018) (901) (267) (1) 18,766 Depreciation .............................. 10,049 (557) (377) (122) -- 8,993 Advisory fees ............................. 2,941 (326) (142) (43) (13) 2,417 Net income fee ............................ 1,129 1,029 47 (3) (9) 2,193 Incentive fees ............................ 1,577 1,191 (11) -- (17) 2,740 General and administrative ................ 5,923 -- -- -- -- 5,923 Minority interest ......................... 22 -- -- -- -- 22 --------- -------- -------- ------- ------ --------- 43,594 (681) (1,384) (435) (40) 41,054 Net income (loss) ............................ 14,647 14,896 588 (37) (100) 29,994 Preferred dividend requirement ............... (15) -- -- -- -- (15) --------- -------- -------- ------- ------ -------- Net income (loss) ............................ $ 14,632 $ 14,896 $ 588 $ (37) $ (100) $ 29,979 ========= ======== ======== ======= ====== ========= Basic and diluted earnings per share Net income applicable to Common shares $ 1.68 $ 3.45 ====== ========= Weighted average Common shares used in computing earnings per share 8,686,091 8,686,091 ========= =========
5 TRANSCONTINENTAL REALTY INVESTORS, INC. NOTES TO PROFORMA COMBINED STATEMENT OF OPERATIONS SIX MONTHS ENDED JUNE 30, 2001 (1) The Proforma Combined Statement of Operations assumes that each property was sold by TCI on January 1, 2001. (2) Operating results for sold properties are their actual operating results from January 1 to their respective date of sale. (3) Includes the Heritage Apartments sold in February 2001, the Forest Ridge and Park at Colonade Apartments sold in March 2001, the Glenwood, Fontenelle Hills and Bent Tree Apartments sold in May 2001, the McCallum Glen Apartments sold in June 2001, the Park Lane, McCallum Crossing and Carseka Apartments sold in August 2001 and the Sunset Lakes and Oak Run Apartments sold in September 2001. (4) Includes the Daley and Waterstreet Office Buildings sold in June 2001, and the Chesapeake Center Office Building sold in July 2001. (5) Includes the Zodiac Warehouse sold in February 2001, and the Technology Trading Center sold in June 2001. (6) Includes the partial sale of the McKinney 36 land parcel in February 2001, the partial sale of the Round Mountain land parcel in March 2001, the Moss Creek land parcel sold in April 2001, and the partial sale of the Eagle Crest land parcel in August 2001. 6 TRANSCONTINENTAL REALTY INVESTORS, INC. PROFORMA COMBINED STATEMENT OF OPERATIONS /(1)(2)/ YEAR ENDED DECEMBER 31, 2000
Office Industrial Actual Apartments/(3)/ Building/(4)/ Warehouse/(5)/ Land/(6)/ Proforma ---------- ----------------- ------------- ---------------- ---------- ---------- (dollars in thousands) Revenue Rents ..................................... $ 139,662 $ (16,674) $ (4,146) $ (1,597) $ (10) $ 117,235 Property operations ....................... 78,170 (8,570) (1,731) (505) (17) 67,187 ---------- ----------- --------- --------- ------- ---------- 61,492 (8,104) (2,415) (1,092) 167 50,048 Other income Interest and other ........................ 2,371 -- -- -- -- 2,371 Equity (loss) in equity investees ......... (556) -- -- -- -- (556) Gain on sale of real estate ............... 50,550 27,931 10,194 4,330 1,115 94,120 ---------- ----------- --------- --------- ------- ---------- 52,365 27,931 10,194 4,330 1,115 95,935 Other expense Interest .................................. 48,114 (4,566) (1,694) (544) (5) 41,305 Depreciation .............................. 19,749 (1,519) (718) (296) -- 17,216 Advisory fees ............................. 5,258 (330) (143) (42) (13) 4,730 Net income fee ............................ 2,415 1,801 774 309 97 5,396 General and administrative ................ 8,506 -- -- -- -- 8,506 Minority interest ......................... 33 -- -- -- -- 33 ---------- ----------- --------- --------- ------- ---------- 84,075 (4,614) (1,781) (573) 79 77,186 Net income ................................... 29,782 24,441 9,560 3,811 1,203 68,797 Preferred dividend requirement ............... (22) -- -- -- -- (22) ---------- ----------- --------- --------- ------- ---------- Net income ................................... $ 29,760 $ 24,441 $ 9,560 $ 3,811 $ 1,203 $ 68,775 ========== =========== ========= ========= ======= ========== Basic and diluted earnings per share Net income applicable to Common shares .... $ 3.45 $ 7.97 ========== ========== Weighted average Common shares used in computing earnings per share .............. 8,631,621 8,631,621 ========== ==========
______________________________ 7 TRANSCONTINENTAL REALTY INVESTORS, INC. NOTES TO PROFORMA COMBINED STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 2000 (1) The Proforma Combined Statement of Operations assumes that each property was sold by TCI on January 1, 2000. (2) Operating results for sold properties are their actual operating results for the year ended December 31, 2000. (3) Includes the Heritage Apartments sold in February 2001, the Forest Ridge and Park at Colonade Apartments sold in March 2001, the Glenwood, Fontenelle Hills and Bent Tree Gardens Apartments sold in May 2001, the McCallum Glen Apartments sold in June 2001, the Park Lane, McCallum Crossing and Carseka Apartments sold in August 2001, and the Sunset Lakes and Oak Run Apartments sold in September 2001. (4) Includes the Daley and Waterstreet Office Buildings sold in June 2001, and the Chesapeake Center Office Building sold in July 2001. (5) Includes the Zodiac Warehouse sold in February 2001, and the Technology Trading Center sold in June 2001. (6) Includes the partial sale of the McKinney 36 land parcel in February 2001, the partial sale of the Round Mountain land parcel in March 2001, the Moss Creek land parcel sold in April 2001, and the partial sale of the Eagle Crest land parcel in August 2001. 8 SIGNATURE --------- Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereto duly authorized. TRANSCONTINENTAL REALTY INVESTORS, INC. Date: October 10, 2001 By: /s/ Brent Horak ------------------------ ----------------------------------- Brent Horak Vice President and Chief Financial Officer (Principal Financial Officer) 9