UNITED STATES
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
Date of Report (Date of earliest event reported) September 23, 2005
MULTI-BENEFIT REALTY FUND '87-1
(Exact name of small business issuer as specified in its charter)
California 0-16684 94-3026785
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification Number)
55 Beattie Place
Post Office Box 1089
Greenville, South Carolina 29602
(Address of principal executive offices)
(Partnership's telephone number)
(864) 239-1000
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligations of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17
CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 1.02 Termination of a Material Definitive Agreement.
On August 16, 2005 (the "Effective Date"), Multi-Benefit Realty Fund '87-1 (the
"Registrant"), a California limited partnership which owns a 99% interest in
Hunt Club Associates, Ltd., (the "Partnership"), and four other partnerships
("Selling Partnerships") entered into an agreement (the "Purchase Agreement")
with a third party, Prime Quest Management, LLC, an Illinois limited liability
company (the "Purchaser"), relating to the purchase and sale of five apartment
complexes, each of which is owned by one of the Selling Partnerships and all of
which together contain a total of 1,324 units. Each of the Selling Partnerships
is affiliated with AIMCO Properties, LP, an affiliate of the Partnership's
general partner. One of the properties subject to the Purchase Agreement is Hunt
Club Apartments ("Hunt Club'), a 200-unit apartment complex located in
Indianapolis, Indiana that is owned by the Partnership. Under the terms of the
Purchase Agreement, the Purchaser agreed to purchase the five apartment
complexes owned by the Selling Partnerships for a total purchase price of
approximately $39,131,000, of which approximately $4,911,500 is allocated to
Hunt Club (the "Purchase Price"). The Purchaser also agreed to purchase two
additional apartment complexes from affiliates of the Partnership's general
partner pursuant to two separate purchase and sale agreements. The purchase of
these two additional apartment complexes is contingent on the purchase of the
five properties covered by the Purchase Agreement.
Under the terms of the Purchase Agreement, the Purchaser may terminate the
Purchase Agreement at any time prior to the expiration of the feasibility period
as defined in the Purchase Agreement, acting in the Purchaser's sole discretion
and for any reason or no reason, upon delivery of written notice to the Selling
Partnerships and the escrow agent. On September 23, 2005, the Purchaser
delivered written notice to the Selling Partnerships and the escrow agent of its
election to terminate the Purchase Agreement pursuant to its terms.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Partnership has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
MULTI-BENEFIT REALTY FUND '97-1
By: ConCap Equities, Inc.
General Partner
By: /s/Martha L. Long
Martha L. Long
Senior Vice President
Date: September 29, 2005