-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Qw/ge4HmP6DVYZil8N/AfeNs05GNuEg7UUZ2saikHRVuR7/rU2y4VfRTUDSScSfB MgbEizLpaEsvaB5fWEdyvw== 0000763049-97-000011.txt : 19971111 0000763049-97-000011.hdr.sgml : 19971111 ACCESSION NUMBER: 0000763049-97-000011 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970930 FILED AS OF DATE: 19971110 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: ANGELES INCOME PROPERTIES LTD IV CENTRAL INDEX KEY: 0000763049 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE [6500] IRS NUMBER: 953974194 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: SEC FILE NUMBER: 000-14283 FILM NUMBER: 97711171 BUSINESS ADDRESS: STREET 1: ONE INSIGNIA FINANCIAL PLZ STREET 2: PO BOX 1089 CITY: GREENVILLE STATE: SC ZIP: 29602 BUSINESS PHONE: 8032391000 MAIL ADDRESS: STREET 1: ONE INSIGNIA FINANCIAL PLAZA STREET 2: P.O. BOX 1089 CITY: GREENVILLE STATE: SC ZIP: 29602 10QSB 1 FORM 10-QSB.--QUARTERLY OR TRANSITIONAL REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 QUARTERLY OR TRANSITIONAL U.S. Securities and Exchange Commission Washington, D.C. 20549 FORM 10-QSB [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 1997 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT For the transition period.........to......... Commission file number 0-14283 ANGELES INCOME PROPERTIES LTD. IV (Exact name of small business issuer as specified in its charter) California 95-3974194 (State or other jurisdiction of (IRS Employer incorporation or organization) Identification No.) One Insignia Financial Plaza Greenville, South Carolina 29602 (Address of principal executive offices) (864) 239-1000 (Issuer's telephone number) Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS a) ANGELES INCOME PROPERTIES, LTD. IV CONSOLIDATED BALANCE SHEET (Unaudited) (in thousands, except unit data) September 30, 1997
Assets Cash and cash equivalents: Unrestricted $ 3,576 Restricted--tenant security deposits 8 Investment in joint venture 6 Accounts receivable, net of allowance of $96 163 Escrow for taxes 292 Restricted escrows 439 Other assets 697 Investment properties: Land $ 2,708 Buildings and related personal property 20,436 23,144 Less accumulated depreciation (12,283) 10,861 $ 16,042 Liabilities and Partners' Capital Liabilities Accounts payable $ 18 Tenant security deposits 7 Accrued taxes 127 Other liabilities 158 Mortgage note payable 15,261 Partners' (Deficit) Capital General partner $ (1,130) Limited partners (131,800 units issued and 131,585 units outstanding) 1,601 471 $ 16,042 See Accompanying Notes to Consolidated Financial Statements
b) ANGELES INCOME PROPERTIES, LTD. IV CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (in thousands, except unit data)
Three Months Ended Nine Months Ended September 30, September 30, 1997 1996 1997 1996 Revenues: Rental income $ 1,041 $ 989 $ 3,086 $ 3,038 Other income 56 42 166 112 Total revenues 1,097 1,031 3,252 3,150 Expenses: Operating 378 308 992 988 General and administrative 90 123 275 301 Maintenance 78 185 273 333 Depreciation 261 263 774 782 Interest 381 363 1,146 1,095 Property taxes 55 56 163 169 Bad debt recovery, net (28) (23) (32) (232) Total expenses 1,215 1,275 3,591 3,436 Loss before equity in income (loss) of joint venture(s) (118) (244) (339) (286) Equity in income (loss) of joint venture(s) 3 (475) 14,105 (1,523) Net (loss) income $ (115) $ (719) $ 13,766 $ (1,809) Net (loss) income allocated to general partner (2%) $ (2) $ (14) $ 275 $ (36) Net (loss) income allocated to limited partners (98%) (113) (705) 13,491 (1,773) Net (loss) income $ (115) $ (719) $ 13,766 $ (1,809) Net (loss) income per limited partnership unit $ (.86) $ (5.35) $ 102.53 $ (13.46) See Accompanying Notes to Consolidated Financial Statements
c) ANGELES INCOME PROPERTIES, LTD. IV CONSOLIDATED STATEMENT OF CHANGES IN PARTNERS' (DEFICIT) CAPITAL (Unaudited) (in thousands, except unit data)
Limited Partnership General Limited Units Partner Partners Total Original capital contributions 131,800 $ 1 $ 65,900 $ 65,901 Partners' deficit at December 31, 1996 131,585 $ (1,405) $ (11,890) $ (13,295) Net income for the nine months ended September 30, 1997 -- 275 13,491 13,766 Partners' (deficit) capital at September 30, 1997 131,585 $ (1,130) $ 1,601 $ 471 See Accompanying Notes to Consolidated Financial Statements
d) ANGELES INCOME PROPERTIES, LTD. IV CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (in thousands)
Nine Months Ended September 30, 1997 1996 Cash flows from operating activities: Net income (loss) $ 13,766 $ (1,809) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Equity in (income) loss of joint venture(s) (14,105) 1,523 Depreciation 774 782 Bad debt recovery, net (32) (232) Amortization of loan costs and leasing commissions 77 170 Change in accounts: Restricted cash (2) 2 Accounts receivable 115 148 Escrows for taxes 3 75 Other assets (167) (45) Accounts payable (63) (38) Tenant security deposit liabilities (2) 2 Accrued taxes (11) (13) Other liabilities (19) 44 Net cash provided by operating activities 334 609 Cash flows from investing activities: Property improvements and replacements (278) (103) Advances to joint venture -- (741) Collection on advances to joint venture 457 -- Deposits to restricted escrows (143) -- Withdrawals from restricted escrows 13 -- Proceeds from note receivable -- 109 Net cash provided by (used in) investing activities 49 (735) Cash flows from financing activities: Payments on mortgage notes payable (115) (227) Additions to loan costs -- (242) Net cash used in financing activities (115) (469) Net increase (decrease) in unrestricted cash and cash equivalents 268 (595) Unrestricted cash and cash equivalents at beginning of period 3,308 3,426 Unrestricted cash and cash equivalents at end of period $ 3,576 $ 2,831 Supplemental disclosure of cash flow information: Cash paid for interest $ 1,121 $ 1,064 See Accompanying Notes to Consolidated Financial Statements
e) ANGELES INCOME PROPERTIES, LTD. IV NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE A - BASIS OF PRESENTATION The accompanying unaudited financial statements of Angeles Income Properties, Ltd. IV (the "Partnership" or the "Registrant") have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-QSB and Item 310(b) of Regulation S-B. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of Angeles Realty Corporation II (the "General Partner"), all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 1997, are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 1997. For further information, refer to the financial statements and footnotes thereto included in the Partnership's annual report on Form 10-KSB for the fiscal year ended December 31, 1996. Certain reclassifications have been made to the 1996 information to conform to the 1997 presentation. NOTE B - INVESTMENT IN JOINT VENTURE The Partnership has a 66.7% investment in Northtown Mall Partners ("Northtown") which is shown as "Investment in Joint Venture" on the accompanying balance sheet. The investment property, Northtown Mall, was sold in May 1997, but effective April 1, 1997. The Partnership had a 43% investment in the Burlington Outlet Mall Joint Venture ("Burlington"). This investment property was foreclosed upon by the lender in 1995, however certain revenues and expenses were incurred in 1996. The condensed balance sheet information for Northtown is as follows: September 30, 1997 (in thousands) Assets Cash $ 7 Total Assets $ 7 Liabilities Liabilities $ 7 Total Liabilities $ 7 The condensed profit and loss statements for the three and nine months ended September 30, 1997 and 1996, for the joint ventures are as follows (in thousands):
Northtown Burlington Three Months Ended Three Months Ended September 30, September 30, 1997 1996 1996 Revenues $ 12 $ 2,564 $ -- Costs and expenses (6) (3,277) (11) Loss on sale of investment property (5) -- -- Net income (loss) $ 1 $ (713) $ (11) Nine Months Ended Nine Months Ended September 30, September 30, 1997 1996 1996 Revenues $ 2,739 $ 7,554 $ 11 Costs and expenses (3,527) (9,841) (11) Gain on sale of investment property 23,627 -- -- Net income (loss) $22,839 $ (2,287) $ --
The Partnership realized equity income from Northtown of approximately $14,105,000 for the nine months ended September 30, 1997, and realized equity loss from the joint ventures of approximately $1,523,000 for the nine months ended September 30, 1996. During the fourth quarter of 1997, all remaining liabilities will be paid and this Joint Venture will be terminated. The Partnership accounts for its investment in the joint ventures using the equity method of accounting. Under the equity method, the Partnership records its equity interest in income and losses of the joint ventures; however, the investment in the joint venture will be recorded at an amount less than zero (a liability) to the extent of the Partnership's share of net liabilities of the joint venture (see "Note D" for information regarding the sale of Northtown). NOTE C - TRANSACTIONS WITH AFFILIATED PARTIES The Partnership has no employees and is dependent on the General Partner and its affiliates for the management and administration of all Partnership activities. The Partnership Agreement provides for payments to affiliates for services and as reimbursement of certain expenses incurred by affiliates on behalf of the Partnership. The following payments were made to the General Partner and affiliates during the nine months ended September 30, 1997 and 1996: 1997 1996 (in thousands) Property management fees (included in operating expense) $ 98 $ 100 Lease commissions 77 63 Reimbursement for services of affiliates (included in general and administrative expense) 144 180 For the period from January 1, 1996, to August 31, 1997, the Partnership insured its properties under a master policy through an agency and insurer unaffiliated with the General Partner. An affiliate of the General Partner acquired, in the acquisition of a business, certain financial obligations from an insurance agency which was later acquired by the agent who placed the master policy. The agent assumed the financial obligations to the affiliate of the General Partner who receives payment on these obligations from the agent. The amount of the Partnership's insurance premiums that accrued to the benefit of the affiliate of the General Partner by virtue of the agent's obligations was not significant. In July 1993, Angeles Mortgage Investment Trust ("AMIT") initiated litigation against Angeles Fort Worth Option Joint Venture ("Fort Worth") and other partnerships which loaned money to AMIT seeking to avoid repayment of such obligations. The Partnership had a 43% interest in Fort Worth. The Partnership subsequently filed a counterclaim against AMIT seeking to enforce the obligation, the principal amount of which was $2,240,000 plus accrued interest from March 1993 ("AMIT Obligation"). On November 9, 1994, Fort Worth executed a definitive Settlement Agreement to settle the dispute with respect to the AMIT obligation. The actual closing of the Settlement Agreement occurred April 14, 1995. The Partnership's claim against AMIT was satisfied by a cash payment by AMIT totaling $1,933,000 (the "Settlement Amount") plus interest at closing. These funds were applied against the Partnership's $5,000,000 note receivable from Fort Worth. On August 9, 1995, Fort Worth and Angeles entered into an agreement in principle regarding the allowance of an amended claim for the deficiency between the original principal and the Settlement Amount (the "deficiency"). The amended claim equaled 90% of the deficiency, or $276,000. In January 1996, the Partnership received $48,000 as payment on the deficiency. MAE GP Corporation ("MAE GP"), an affiliate of the General Partner, owns 1,675,113 Class B Shares of AMIT. The terms of the Class B Shares provide that they are convertable, in whole or in part, into Class A Shares on the basis of 1 Class A Share for every 49 Class B Shares (however, in connection with the settlement agreement described in the following paragraph, MAE GP has agreed not to convert the Class B Shares so long as AMIT's option is outstanding). These Class B Shares entitle MAE GP to receive 1% of the distributions of net cash distributed by AMIT(however, in connection with the settlement agreement described in the following paragraph, MAE GP has agreed to waive it's right to receive dividends and distributions so long as AMIT's option is outstanding). These Class B Shares also entitle MAE GP to vote on the same basis as Class A Shares, providing MAE GP with approximately 39% of the total voting power of AMIT (unless and until converted to Class A Shares, in which case the percentage of the vote controlled represented by the shares held by MAE GP would approximate 1.3% of the vote). Between the date of acquisition of these shares (November 24, 1992) and March 31, 1995, MAE GP declined to vote these shares. Since that date, MAE GP voted its shares at the 1995 and 1996 annual meetings in connection with the election of trustees and other matters. MAE GP has not exerted and continues to decline to exert any management control over or participate in the management of AMIT. Subject to the terms of the proxy described below, MAE GP may choose to vote these shares as it deems appropriate in the future. In addition, Liquidity Assistance L.L.C., an affiliate of the General Partner and an affiliate of Insignia Financial Group, Inc. ("Insignia"), which provides property management and partnership administration services to the Partnership, owns 96,800 Class A Shares of AMIT at September 30, 1997. These Class A Shares represent approximately 2.2% of the total voting power of AMIT. As part of a settlement of certain disputes with AMIT, MAE GP granted to AMIT an option to acquire the Class B shares owned by it. This option can be exercised at the end of 10 years or when all loans made by AMIT to partnerships affiliated with MAE GP as of November 9, 1994 (which is the date of execution of a definitive Settlement Agreement) have been paid in full, but in no event prior to November 9, 1997. In connection with such settlement, AMIT delivered to MAE GP cash in the sum of $250,000 at closing (which occurred April 14, 1995) as payment for the option. If and when the option is exercised, AMIT will be required to remit to MAE GP an additional $94,000. Simultaneously with the execution of the option and as part of the settlement, MAE GP executed an irrevocable proxy in favor of AMIT, the result of which is that MAE GP is permitted to vote the Class B Shares on all matters except those involving transactions between AMIT and MAE GP affiliated borrowers or the election of any MAE GP affiliate as an officer or trustee of AMIT. On those matters, MAE GP is obligated to deliver to the AMIT trustees, in their capacity as trustees of AMIT, proxies with regard to the Class B Shares instructing such trustees to vote said Class B Shares in accordance with the vote of the majority of the Class A Shares voting to be determined without consideration of the votes of "Excess Class A Shares" (as defined in Section 6.13 of the Declaration of Trust of AMIT). On April 3, 1997, Insignia and AMIT entered into a non-binding agreement in principle contemplating, among other things, a business combination of AMIT and Insignia Properties Trust, an entity owned 98% by Insignia and its affiliates ("IPT"). On July 18, 1997, IPT, Insignia and MAE GP entered into a definitive merger agreement pursuant to which (subject to shareholder approval and certain other conditions, including the receipt by AMIT of a fairness opinion from its investment bankers) AMIT would be merged with and into IPT, with each Class A Share and Class B Share being converted into 1.625 and 0.0332 common shares of IPT, respectively. The foregoing exchange ratios are subject to adjustment to account for dividends paid by AMIT from January 1, 1997, and dividends paid by IPT from February 1, 1997. It is anticipated that Insignia (and its affiliates) and MAE GP (and its affiliates) would own approximately 53.1% and 2.3%, respectively, of post-merger IPT when this transaction is consummated. In 1992, the Partnership loaned Fort Worth $5,000,000 to cover leasing commissions, tenant improvements, and capital expenditures. The note payable required interest at a rate of prime plus 1.5% with monthly interest only payments through January 1996, at which time the principal was due. The note was in default in prior years due to non-payment of interest when due. This note payable was forgiven by the Partnership when the Joint Venture was terminated in 1996. NOTE D - SALE OF PROPERTY On May 12, 1997, the Partnership sold Northtown Mall to an affiliate of the lender. The sale resulted in net proceeds of approximately $1,200,000, after payment of closing costs, and the gain on the sale amounted to approximately $23,627,000. The economic closing of the sale of Northtown Mall was as of April 1, 1997, at which time the Partnership was released from the mortgage note secured by this property in the amount of approximately $51,326,000. NOTE E - REFINANCE On October 1, 1996, the Partnership refinanced the mortgage debt secured by Factory Merchants Mall. The new mortgage, in the principal amount of $15,400,000, carries a stated interest rate of 9.75% and matures in October 2006. The previous mortgage, in the principal amount of $14,242,000, carried a stated interest rate of 9.87% and matured in December 1997. ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION The Partnership's investment properties consist of two commercial properties. The following table sets forth the average occupancy of the properties for the nine months ended September 30, 1997 and 1996: Average Occupancy Property 1997 1996 Factory Merchant's Mall (1) Pigeon Forge, Tennessee 96% 89% Eastgate Market Place (2) Walla Walla, Washington 82% 92% (1) The increase in occupancy at Factory Merchant's Mall results from existing tenants leasing additional space on a short-term basis for special promotional sales. Due to the competition in the area, the General Partner is currently considering a redevelopment of this mall in order to enhance it's competitive abilities. (2) A lease has been signed with a major tenant for the majority of the remaining space available however, as of September 30, 1997, the tenant has not moved in. The Partnership realized net income of approximately $13,766,000 for the nine months ended September 30, 1997, compared to a net loss of approximately $1,809,000 for the nine months ended September 30, 1996. The Partnership realized a net loss of approximately $115,000 for the three months ended September 30, 1997, compared to a net loss of approximately $719,000 for the three months ended September 30, 1996. The increase in income for the nine months ended September 30, 1997, is due to the equity income of the joint venture as a result of the gain realized on the sale of Northtown in the second quarter of 1997 (see discussion below). For the nine months ended September 30, 1997, versus 1996, loss before equity income of the joint ventures increased due to an increase in interest expense and a decrease in bad debt recovery. Partially offsetting this was an increase in rental and other income and a decrease in maintenance expense. Interest expense increased for the nine months ended September 30, 1997, compared to the corresponding period of 1996, as a result of the increased principal balance on the debt secured by Factory Merchant's Mall. This debt was refinanced in 1996 (see "Note E"). Bad debt recovery for the nine months ended September 30, 1997, is the result of an analysis of past due amounts from tenants at both of the Partnership's investment properties. During the nine months ended September 30, 1996, the Partnership recognized bad debt recovery of approximately $48,000 from AMIT and approximately $61,000 from Fort Worth as payment on its note payable to the Partnership (see discussion at "Note C"). In addition, there were bad debt recoveries from tenants of the Partnership's investment properties that had been previously reserved. Rental revenue increased due to the leasing of additional space by tenants at Factory Merchants Mall, as discussed above. Other income increased primarily due to an increase in interest income resulting from increased balances held in higher interest bearing accounts. Maintenance expenses decreased in 1997, compared to 1996, resulting from projects completed in 1996 to enhance the appearance of the Partnership's investment properties in order to more easily attract tenants. Additionally, there was a remodeling project at Eastgate Mall in 1996 to prepare the retail space for the anticipated move-in of a large tenant in 1997. The decrease in net loss for the three months ended September 30, 1997, is due to the increase in equity income of the joint ventures. During the three months ended September 30, 1996, Northtown continued to generate significant losses due to declining occupancy and continuing maintenance needs. For the three months ended September 30, 1997, versus 1996, loss before equity in income or loss of the joint ventures decreased due to an increase in revenues and a decrease in maintenance expenses, as discussed above. On May 12, 1997, the Partnership sold Northtown Mall to an affiliate of the lender. The sale resulted in net proceeds of approximately $1,200,000, after payment of closing costs, and the gain on the sale amounted to approximately $23,627,000. The Partnership's pro-rata share of this gain is included in equity in income of the joint venture. The economic closing of the sale of Northtown Mall was as of April 1, 1997, at which time the Partnership was released from the mortgage note payable of approximately $51,326,000. During the fourth quarter of 1997, all remaining liabilities will be paid and this Joint Venture will be terminated. Included in maintenance expense for the nine months ended September 30, 1997, is $17,000 of major repairs and maintenance comprised of parking lot repairs. Included in maintenance expense for the nine months ended September 30, 1996 is approximately $75,000 of major repairs and maintenance comprised primarily of exterior painting. As part of the ongoing business plan of the Partnership, the General Partner monitors the rental market environment of each of its investment properties to assess the feasibility of increasing rents, maintaining or increasing occupancy levels and protecting the Partnership from increases in expenses. As part of this plan, the General Partner attempts to protect the Partnership from the burden of inflation-related increases in expenses by increasing rents and maintaining a high overall occupancy level. However, due to changing market conditions, which can result in the use of rental concessions and rental reductions to offset softening market conditions, there is no guarantee that the General Partner will be able to sustain such a plan. At September 30, 1997, the Partnership held unrestricted cash and cash equivalents of approximately $3,576,000 compared to approximately $2,831,000 at September 30, 1996. Net cash provided by operating activities decreased, despite an increase in net income, due to a lesser decrease in accounts receivable, an increase in other assets and a decrease in other liabilities. Net cash provided by investing activities increased primarily due to no joint venture advances during the nine months ended September 30, 1997. There were approximately $741,000 in such advances during the nine months ended September 30, 1996. Prior to the sale of the property, Northtown Mall continued to experience cash shortfalls and had been dependent upon the Partnership and Angeles Income Properties, Ltd. III (the 33.3% owner of Northtown) to cover such shortfalls in order to meet operating and debt service requirements. Also increasing net cash provided by investing activities was $457,000 in collections on advances the Partnership made to Northtown Mall in prior years. These payments by Northtown were made available from the proceeds of the sale of Northtown Mall. Net cash used in financing activities decreased due to no additional loan costs incurred during the nine months ended September 30, 1997, versus approximately $242,000 in loan costs incurred during the same period in 1996. These loan costs were necessary in order to refinance the mortgage indebtedness secured by Factory Merchant's Mall. Also, payments on mortgage notes payable decreased due to the refinancing of the mortgage debt secured by Factory Merchants Mall (see "Note E" regarding the refinance of Factory Merchants Mall). The sufficiency of existing liquid assets to meet future liquidity and capital expenditure requirements is directly related to the level of capital expenditures required at the properties to adequately maintain the physical assets and other operating needs of the Partnership. Such assets are currently thought to be sufficient for any near-term needs of the Partnership. The mortgage indebtedness of approximately $15,261,000, which is secured by the Factory Merchant's Mall investment property, matures in October 2006. Future cash distributions will depend on the levels of net cash generated from operations, refinancings, property sales and the availability of cash reserves. There were no cash distributions in the first nine months of 1997 or 1996. PART II - OTHER INFORMATION ITEM 1. LEGAL PROCEEDINGS The Partnership had a 43% investment in the Fort Worth Option Joint Venture ("Fort Worth"). The last property owned by Fort Worth, the W.T. Waggoner Building, was sold in 1995. The Partnership, along with other affiliates, has been named in a suit brought by a company which owned a 20% interest ("Plaintiff") in the W.T. Waggoner Building. The Plaintiff is suing for breach of contract and negligence for mismanagement of the property. The General Partner believes that there is no merit in this suit and intends to vigorously defend it. The Registrant is unaware of any other pending or outstanding litigation that is not of a routine nature. The General Partner of the Registrant believes that all such pending or outstanding litigation will be resolved without a material adverse effect upon the business, financial condition, or operations of the Partnership. ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K a) Exhibits: Exhibit 10.17 Sales Agreement among Northtown Mall Partners, a California general partnership, Northtown Associates, a Delaware general partnership, and State of Wisconsin Investment Board, an independent state agency, and Northtown LLP, a Minnesota limited liability partnership dated May 5, 1997. Exhibit 10.18 General Conveyance by Northtown Mall Partners, a California general partnership, dated May 5, 1997. Exhibit 10.19 Termination of Agreements and Assignment of Accounts between Northtown Mall Partners, a California general partnership and Northtown Associates, a Delaware general partnership and State of Wisconsin Investment Board, an independent state agency, made as of May 5, 1997. Exhibit 27, Financial Data Schedule, is filed as an exhibit to this report. b) Reports on Form 8-K: No reports on form 8-K were filed during the three months ended September 30, 1997. SIGNATURES In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. ANGELES INCOME PROPERTIES, LTD. IV By: Angeles Realty Corporation II General Partner By: /s/ Carroll D. Vinson Carroll D. Vinson President By: /s/ Robert D. Long, Jr. Robert D. Long, Jr. Vice President/CAO Date: November 10, 1997 EX-27 2
5 This schedule contains summary financial information extracted from Angeles Income Properties, Ltd. IV 1997 Third Quarter 10-QSB and is qualified in its entirety by reference to such 10-QSB filing. 0000763049 ANGELES INCOME PROPERTIES, LTD. IV 1,000 9-MOS DEC-31-1997 SEP-30-1997 3,576 0 163 0 0 0 23,144 12,283 16,042 0 15,261 0 0 0 471 16,042 0 3,252 0 0 3,591 0 1,146 13,766 0 13,766 0 0 0 13,766 102.53 0 Registrant has an unclassified balance sheet. Multiplier is 1.
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