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) August 30, 2002
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Presidential Realty Corporation
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(Exact name of registrant as specified in charter)
DELAWARE 1-8594 13-1954619
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification Number)
180 South Broadway, White Plains, New York 10605
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (914) 948-1300
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No change since last Report
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(Former name or former address, if changed since
last report)
Item 5. Other Events and Regulation FD Disclosure.
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On August 30, 2002, Presidential Realty Corporation ("Presidential")
consummated the sale of its Sunwood Apartments property in Miami, Florida to
Sunwood Development LLC for a sales price of $8,000,000 pursuant to a contract
for the sale executed in February, 2002. The net cash proceeds of sale, after
repayment of the $4,641,879 first mortgage loan, a brokerage fee of $240,000 and
other expenses of sale of $25,804, were $3,092,317, substantially all of which
is being held in escrow to be used to purchase an exchange property pursuant to
a tax-free exchange under Section 1031 of the Internal Revenue Code.
Presidential has not yet identified a suitable property to acquire with the
proceeds of sale and if it does not find a suitable exchange property, the
proceeds will be released from escrow and the sale will result in taxable
capital gain of approximately $1,857,000.
The carrying value of the property was $6,009,837(net of accumulated
deprecation of $611,303). Presidential will, for financial reporting purposes,
recognize a gain from the sale (before taxes) of approximately $1,655,000. For
the year ended December 31, 2001, the Sunwood Apartments property had gross
revenues of approximately $1,190,000 and operating income of approximately
$198,000. For the six months ended June 30, 2002, gross revenues were
approximately $561,000 and operating income was approximately $121,000.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: September 11, 2002 PRESIDENTIAL REALTY CORPORATION
By: Jeffrey F. Joseph
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Jeffrey F. Joseph
President