UNITED STATES
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 March 31, 2008
or
[ ]Transition Report Pursuant to Section 13 or 15(d) of the Se
curities Exchange Act of 1934
For the transition period from to
Commission File Number 0-13402
Brauvin Real Estate Fund L.P. 4
(Name of small business issuer as specified in its charter)
Delaware 36-3304339
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
205 North Michigan Avenue, Chicago, Illinois 60601
(Address of principal executive offices) (Zip Code)
(312)759-7660
(Issuer's telephone number)
Not applicable
(Former name, former address and former fiscal year, if changed
since last report)
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 issuer was
required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes X No
..
Indicate by check mark whether the registrant is a shell company
(as defined by Rule 12b-2 of the Exchange Act). Yes No X.
Transitional Small Business Disclosure Format (Check one):
Yes ____ No __X___.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
INDEX
PART I
Page
Item 1. Financial Statements 3
Consolidated Statement of Net Assets in Liquidation
as of March 31, 2008(Liquidation Basis) 4
Consolidated Statement of Changes in Net Assets
in Liquidation for the period January 1, 2008 to
March 31, 2008 (Liquidation Basis) 5
Consolidated Statement of Changes in Net Assets
in Liquidation for the period January 1, 2007 to
March 31, 2007 (Liquidation Basis) 6
Consolidated Statements of Operations for the
three months ended March 31, 2008 and 2007
(Liquidation Basis) 7
Notes to Consolidated Financial Statements 8
Item 2. Management's Discussion and Analysis or Plan
of Operation 14
Item 3. Controls and Procedures 18
PART II
Item 1. Legal Proceedings 20
Item 2. Changes in Securities 20
Item 3. Defaults Upon Senior Securities 20
Item 4. Submission of Matters to a Vote of Security
Holders 20
Item 5. Other Information 20
Item 6. Exhibits, and Reports on Form 8-K 20
Signatures 21
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
PART I - FINANCIAL INFORMATION
ITEM 1. Financial Statements
The following Consolidated Statement of Net Assets in
Liquidation as of March 31, 2008 (Liquidation Basis),
Consolidated Statement of Changes in Net Assets in Liquidation
for the period January 1, 2008 to March 31, 2008 (Liquidation
Basis), Consolidated Statement of Changes in Net Assets in
Liquidation for the period January 1, 2007 to March 31, 2007
(Liquidation Basis) and Consolidated Statements of Operations for
the three months ended March 31, 2008 and 2007 (Liquidation
Basis) for Brauvin Real Estate Fund L.P. 4 (the "Partnership")
are unaudited but reflect, in the opinion of the management, all
adjustments necessary to present fairly the information required.
All such adjustments are of a normal recurring nature.
These financial statements should be read in conjunction with
the financial statements and notes thereto included in the
Partnership's 2007 Annual Report on Form 10-KSB.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
CONSOLIDATED STATEMENT OF NET ASSETS IN LIQUIDATION AS OF
MARCH 31, 2008 (LIQUIDATION BASIS)
(Unaudited)
ASSETS
Cash and cash equivalents $1,832,932
Tenant receivables 31,750
Escrow deposits 1,098
----------
Total Assets 1,865,780
----------
LIABILITIES
Accounts payable and accrued expenses 140,330
Reserve for estimated costs during
the period of liquidation (Note 1) 230,594
Due to affiliates 797
----------
Total Liabilities 371,721
----------
Net Assets in Liquidation $1,494,059
==========
See accompanying notes to consolidated financial statements.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
CONSOLIDATED STATEMENT OF CHANGES IN NET ASSETS IN LIQUIDATION
FOR
THE PERIOD JANUARY 1, 2008 TO MARCH 31, 2008
(LIQUIDATION BASIS)
(Unaudited)
Net assets in liquidation at January 1, 2008 $2,478,667
Excess expenses over revenue
from operations (14,083)
Distributions (1,000,000)
Adjustment to estimated liquidation costs 29,475
----------
Net assets in liquidation at March 31, 2008 $1,494,059
==========
Net assets available to:
General Partners $ --
==========
Limited Partners $1,494,059
==========
See accompanying notes to consolidated financial statements.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
CONSOLIDATED STATEMENT OF CHANGES IN NET ASSETS IN LIQUIDATION
FOR THE PERIOD JANUARY 1, 2007 TO MARCH 31, 2007
(LIQUIDATION BASIS)
(Unaudited)
Net assets in liquidation at January 1, 2007 $1,970,445
Excess revenue over expenses
from operations 11,150
Adjustment to estimated liquidation costs 29,475
----------
Net assets in liquidation at March 31, 2007 $2,011,070
==========
Net assets available to
General Partners $ --
==========
Limited Partners $2,011,070
==========
See accompanying notes to consolidated financial statements.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 2008 and 2007
(LIQUIDATION BASIS)
(Unaudited)
2008 2007
-------- -------
INCOME
Rental $ -- $176,676
Interest 13,184 2,105
Other, primarily tenant
expense reimbursements 11,787 36,581
--------- --------
Total income 24,971 215,362
--------- --------
EXPENSES
Interest -- 84,249
Real estate taxes -- 29,552
Repairs and maintenance -- 5,996
Management fees (Note 4) 924 13,684
Other property operating -- 9,856
General and administrative 38,130 60,875
--------- --------
Total expenses 39,054 204,212
--------- --------
Excess (expenses) over revenue
from operations $(14,083) $ 11,150
======== ========
See accompanying notes to consolidated financial statements.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - CONTINUED
(Unaudited)
(1) ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Organization
The financial statements consolidate the accounts of Brauvin
Real Estate Fund L.P. 4 and its wholly owned subsidiary (the
"Partnership").
The Partnership is a Delaware limited partnership organized
for the purpose of acquiring, operating, holding for investment
and disposing of existing office buildings, medical office
centers, shopping centers and industrial and retail commercial
buildings of a general purpose nature, all in metropolitan areas.
The General Partners of the Partnership are Brauvin Ventures,
Inc. and Jerome J. Brault. The Partnership is managed by an
affiliate of the General Partners.
Properties acquired by the Partnership either directly or
indirectly through affiliated joint ventures were: (a) Fortune
Professional Building (which was sold February 2003); (b) Raleigh
Springs Marketplace(which was sold in December 2007); (c)
Strawberry Fields Shopping Center (which was sold in July 2001
and terminated in 2002) and (d) Sabal Palm Shopping Center (which
was sold in December 2005).
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Management's Use of Estimates
The preparation of financial statements in conformity with
generally accepted accounting principles requires management to
make estimates and assumptions that affect the reported amounts
of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the
reported amounts of revenue and expenses during the reporting
period. Estimates significant to the financial statements
include the reserve for estimated costs during the period of
liquidation. Actual results could differ from those estimates.
Basis of Presentation
As a result of the July 12, 1999 authorization by a majority
of the Limited Partners to sell the Partnership's properties, the
Partnership began the liquidation process and, in accordance with
generally accepted accounting principles, the Partnership's
financial statements for periods subsequent to July 12, 1999 have
been prepared on the liquidation basis of accounting.
Accordingly, the carrying values of assets are presented at their
net realizable amounts and liabilities are presented at estimated
settlement amounts, including estimated costs associated with
carrying out the liquidation. Preparation of the financial
statements on a liquidation basis requires significant
assumptions by management, including the estimate of liquidation
costs and the resolution of any contingent liabilities. There
may be differences between the assumptions and the actual results
because events and circumstances frequently do not occur as
expected. Those differences, if any, could result in a change in
the net assets recorded in the statement of net assets in
liquidation as of March 31, 2008.
Estimated Liquidation Costs
Estimated costs expected to be incurred during the remaining
liquidation period through June 30, 2008 include legal fees and
other administrative items.
Actual results could differ materially from these estimates.
On a regular basis, an evaluation is made of the assumptions,
judgments and estimates, and changes are recorded, as
appropriate.
Accounting Method
The accompanying financial statements have been prepared in
accordance with the liquidation basis of accounting.
Tenant Receivables
Tenant receivables are comprised of (a) billed but
uncollected amounts due for monthly rents and other charges and
(b) estimated unbilled amounts due for tenant reimbursement of
common area maintenance charges and property taxes. Receivables
are recorded at estimated net realizable value. An allowance for
doubtful accounts of $14,167 is based on specific identification
of uncollectible accounts and the Partnership's historical
collection experience.
Federal Income Taxes
Under the provisions of the Internal Revenue Code, the
Partnership's income and losses are reportable by the partners on
their respective income tax returns. Accordingly, no provision
is made for Federal income taxes in the financial statements.
Principles of Consolidation
The Partnership has one affiliate, Brauvin Raleigh, L.L.C.
which is owned 100% by the Partnership. The accounts of the
Partnership have been consolidated with its wholly-owned
subsidiary in the accompanying financial statements. All
significant intercompany balances and transactions have been
eliminated upon consolidation.
Cash and Cash Equivalents
Cash and cash equivalents include all highly liquid debt
instruments with an original maturity within three months from
date of purchase.
The Partnership maintains its cash in bank deposit accounts,
which, at times, may exceed federally insured limits. The
Partnership has not experienced any losses in such accounts.
Management believes the Partnership is not exposed to any
significant credit risk related to cash or cash equivalents.
Estimated Fair Value of Financial Instruments
In connection with the adoption of the liquidation basis of
accounting, assets were adjusted to net realizable value, and
liabilities were adjusted to estimated settlement amounts.
(2) PARTNERSHIP AGREEMENT
The Partnership Agreement (the "Agreement") provides that 99%
of the net profits and losses from operations of the Partnership
for each fiscal year shall be allocated to the Limited Partners
and 1% of net profits and losses from operations shall be
allocated to the General Partners. The net profit of the
Partnership from the sale or other disposition of a Partnership
property shall be allocated as follows: first, there shall be
allocated to the General Partners the greater of: (i) 1% of such
net profits; or (ii) the amount distributable to the General
Partners as Net Sale Proceeds from such sale or other disposition
in accordance with paragraph 2, section K of the Agreement; and
second, all remaining profits shall be allocated to the Limited
Partners. The net loss of the Partnership from any sale or other
disposition of a Partnership property shall be allocated as
follows: 99% of such net loss shall be allocated to the Limited
Partners and 1% of such net loss shall be allocated to the
General Partners.
The Agreement provides that distributions of Operating Cash
Flow, as defined in the Agreement, shall be distributed 99% to
the Limited Partners and 1% to the General Partners. The receipt
by the General Partners of such 1% of Operating Cash Flow shall
be subordinated to the receipt by the Limited Partners of
Operating Cash Flow equal to a 10% per annum, cumulative,
non-compounded return on their Adjusted Investment (the
"Preferential Distribution"), as such term is defined in the
Agreement. In the event the full Preferential Distribution is
not made in any year (herein referred to as a "Preferential
Distribution Deficiency") and Operating Cash Flow is available in
following years in excess of the Preferential Distribution for
said year, then the Limited Partners shall be paid such excess
Operating Cash Flow until they have been paid any unpaid
Preferential Distribution Deficiency from prior years. Net Sale
Proceeds, as defined in the Agreement, received by the
Partnership shall be distributed as follows: (a) first, to the
Limited Partners until such time as the Limited Partners have
been paid an amount equal to the amount of their Adjusted
Investment; (b) second, to the Limited Partners until such time
as the Limited Partners have been paid an amount equal to any
unpaid Preferential Distribution Deficiency; and (c) third, 85%
of any remaining Net Sale Proceeds to the Limited Partners, and
the remaining 15% of the Net Sale Proceeds to the General
Partners.
At March 31, 2008, the Preferential Distribution Deficiency
exceeded the potential liquidation value of the remaining
Partnership assets.
(3) MORTGAGE NOTE PAYABLE
On November 17, 2005, the Partnership paid off the prior loan
(in the amount of $3,910,423) secured by Raleigh Springs
Marketplace using the proceeds from a new first mortgage loan
("First Mortgage") in the amount of $4,400,000. This loan
required payments of interest only and had a twelve-month
maturity. In 2006, the Partnership extended the loan for an
additional twelve-month period (with the payment of an additional
fee of $11,000). Interest was payable based on the LIBOR rate
plus 2.25%.
The Partnership was also required to purchase interest rate
caps with one year maturities at a cost of $5,000 and $2,500 at
December 15, 2006 and 2005, respectively. The interest rate caps
fixed the LIBOR rate at 6.45%. The notional amount of the
interest rate cap agreements were identical to the notional
amount of the mortgage loan. The fair market value of the
interest rate cap agreements at December 31, 2006 was $0.
The First Mortgage also required the establishment of a
$300,000 escrow that could be used for the payment of tenant
improvements and leasing commissions.
The First Mortgage lender also required the Partnership to
create a special purpose entity, Brauvin Raleigh L.L.C., which is
fully owned by the Partnership. The Partnership transferred its
ownership interest in the Raleigh Springs Marketplace to the
special purpose entity. The Partnership was also required to
enter into a limited guaranty agreement. Primarily, under the
terms of the guaranty agreement the Partnership will not be
personally liable unless the Partnership or Brauvin Raleigh LLC
commit fraud by misapplication or misappropriation of cash
receipts.
Raleigh Springs Marketplace served as collateral under the
respective nonrecourse debt obligation.
On December 31, 2007, the Partnership paid off the balance of
the note with proceeds from the sale of Raleigh Springs
Marketplace.
(4) TRANSACTIONS WITH AFFILIATES
Fees and other expenses incurred or payable to the General
Partners or their affiliates for the three months ended March 31,
2008 and 2007 were as follows:
2008 2007
-------- -------
Management fees $ 924 $13,684
Reimbursable office expenses 29,475 29,475
As of March 31, 2008, the Partnership had made all payments
to affiliates except for $797 for management fees.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
ITEM 2. Management's Discussion and Analysis or Plan of
Operation.
General
Certain statements in this Quarterly Report that are not
historical fact constitute "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Without limiting the foregoing, words such as
"anticipates," "expects," "intends," "plans" and similar
expressions are intended to identify forward-looking statements.
These statements are subject to a number of risks and
uncertainties. Actual results could differ materially from those
projected in the forward-looking statements. The Partnership
undertakes no obligation to update these forward-looking
statements to reflect future events or circumstances.
Liquidity and Capital Resources
The Partnership's mortgage notes payable was satisfied
through the sale of Raleigh Springs Marketplace.
In 1999, the Partnership solicited and received the votes of
the Limited Partners to approve a sale of all the Partnership's
properties, either on an individual or group basis, and to
subsequently liquidate the Partnership. The solicitation, which
was approved by the Limited Partners in the third quarter of
1999, stated that the Partnership's properties may be sold
individually or in any combination provided that the total sales
price for the properties included in the transaction equals or
exceeds 70% of the aggregate appraised value for such properties,
which valuation was conducted by an independent third party
appraisal firm.
The Partnership sold the Raleigh Springs Marketplace under a
closed bid process which included identification of target buyers
with proven financing ability and performance of certain
evaluations of the property, such as environmental testing.
Potential buyers were requested to sign confidentiality
agreements to safeguard the Partnership's confidential
proprietary information. The General Partners determined that
each bid must have been all cash, completely unconditional and
accompanied by a substantial deposit.
On March 10, 2008, the Partnership made a distribution to
Unit Holders in the amount of $1,000,000.
Property Status
Raleigh Springs Marketplace
On December 28, 2007, Brauvin Raleigh, L.L.C., an affiliate
of the Partnership, sold the property for a gross sales price of
$7,125,000, which was the Partnership's last property investment.
The Partnership received net sales proceeds, after repayment of
the First Mortgage, of approximately $2,423,000 and recognized a
gain on the sale of approximately $797,000. Under the terms of
the transaction, the Partnership was able to bill and retain the
2007 common area maintenance and real estate tax reimbursements.
Accordingly, in early 2008, the Partnership billed the Raleigh
Springs Marketplace tenants approximately $18,000 for
reimbursements. The Partnership is endeavoring to collect the
remaining receivables from the tenants.
The Partnership was required to provide certain
representations and warranties to the purchaser for six months
from the date of sale. The Partnership anticipates making a
final distribution to Unit Holders soon after the expiration of
the representations and warranties in third quarter of 2008.
Results of Operations
Other than the billing and collection of tenant expense
reimbursements and the collection of past due rents associated
with Partnership's prior ownership of Raleigh Springs
Marketplace, there were no significant property operations during
the three months ended March 31, 2008.
Results of Operations - Three months ended March 31, 2008 and
2007 (Liquidation Basis)
As a result of the Partnership's adoption of the liquidation
basis of accounting, and in accordance with generally accepted
accounting principles, the Partnership's financial statements for
periods subsequent to July 12, 1999 have been prepared on a
liquidation basis.
The Partnership generated an excess of expenses over revenue
of $14,000 for the period ended March 31, 2008 as compared to an
excess of revenue over expenses of $11,000 for the same period in
2007. The $25,000 decrease in the excess of revenue over
expenses is primarily a result of a decrease in total income of
$190,000 offset by a decrease in total expenses of $165,000.
Total income for the period ended March 31, 2008 was $25,000
as compared to $215,000 for the same period in 2007. The
$190,000 decrease in total revenue was primarily a result of
decreases in rental income and other tenant expense
reimbursements associated with the sale of Raleigh Springs
Marketplace in December 2007. Interest income increased
approximately $11,000.
Total expenses for the period ended March 31, 2008 were
$39,000 as compared to $204,000 for the same period in 2007. The
$165,000 decrease in total expense was due to a decrease in
interest expense of $84,000, a decrease in real estate tax of
$30,000, a decrease in general and administrative expense of
$23,000, a decrease in management fees of $13,000 and a decrease
in operating expense of $10,000. The decline in expenses is
associated with the sale of Raleigh Springs Marketplace in
December 2007.
Results of Operations - Three months ended March 31, 2007 and
2006 (Liquidation Basis)
As a result of the Partnership's adoption of the liquidation
basis of accounting, and in accordance with generally accepted
accounting principles, the Partnership's financial statements for
periods subsequent to July 12, 1999 have been prepared on a
liquidation basis.
The Partnership generated an excess of revenue over expenses
of $11,000 for the period ended March 31, 2007 as compared to an
excess of expenses over revenue of $45,000 for the same period in
2006. The $57,000 increase in an excess of revenue over expenses
is primarily a result of a decrease in total expenses of $57,000
offset by a decrease in total income of $9,000. The
Partnership's share of Sabal Palms net loss decreased $9,000.
Total income for the period ended March 31, 2007 was $215,000
as compared to $225,000 for the same period in 2006. The $10,000
decrease in total revenue was primarily a result of decreases in
other tenant expense reimbursements and interest income of
approximately $4,000 and $3,000, respectively.
Total expenses for the period ended March 31, 2007 were
$204,000 as compared to $261,000 for the same period in 2006.
The $57,000 decrease in total expense was due to a decrease in
general and administrative expense of $63,000, a decrease in
operating expense of $2,000, and a decrease in real estate tax of
$2,000. Partially offsetting these decreases was an increase in
interest expense of $10,000.
ITEM 3. Controls and Procedures
Controls and Procedures
As of March 31, 2008, the Partnership's Chief Executive
Officer and Chief Financial Officer of the Corporate General
Partner, have concluded that the Partnership's controls and
procedures (as defined in Rules 240.13a-15(e) and 15d-15(e) under
the Securities Exchange Act of 1934, as amended) were effective
based on the evaluation of these controls and procedures required
by paragraph (b) of Rule 13a-15 or Rule 15d-15 under the
Securities Exchange Act of 1934, as amended.
Management's Report on Internal Control over Financial Reporting
The Partnership's management is responsible for establishing
and maintaining adequate internal control over financial
reporting (as defined in Rule 13a-15(f) under the Securities
Exchange Act of 1934, as amended). The Partnership's management
assessed the effectiveness of the internal control over financial
reporting as of March 31, 2008. In making this assessment, the
Partnership's management used the criteria established in
Internal Control-Integrated Framework issued by the Committee of
Sponsoring Organizations of the Treadway Commission ("COSO").
The Partnership's management has concluded that, as of March 31,
2008, the internal control over financial reporting is effective
based on these criteria. Further, there were no changes in the
Partnership's controls over financial reporting during the
quarter ended March 31, 2008, that have materially affected, or
are reasonably likely to materially affect, the internal controls
over financial reporting.
The Partnership's management, including the Chief Executive
Officer and Chief Financial Officer of the Corporate General
Partner, does not expect that the disclosure controls and
procedures of the internal controls will prevent all error and
all fraud. A control system, no matter how well conceived and
operated, can provide only reasonable, not absolute, assurance
that the objectives of the control system are met. Further, the
design of a control system must reflect the fact that there are
resource constraints, and the benefits of controls must be
considered relative to their costs. Because of the inherent
limitations in all control systems, no evaluation of controls can
provide absolute assurance that all control issues and instances
of fraud, if any, have been detected.
Changes in Internal Controls
There have not been any significant changes in the
Partnership's internal controls or in other factors that could
significantly affect these controls subsequent to the date of
their evaluation. We are not aware of any significant
deficiencies or material weaknesses, therefore no corrective
actions were taken.
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
PART II - OTHER INFORMATION
ITEM 1. Legal Proceedings.
None.
ITEM 2. Changes in Securities.
None.
ITEM 3. Defaults Upon Senior Securities.
None.
ITEM 4. Submission of Matters to a Vote of Security
Holders.
None.
ITEM 5. Other Information.
None.
ITEM 6. Exhibits and Reports On Form 8-K.
Exhibit 99. Certification of Officers
BRAUVIN REAL ESTATE FUND L.P. 4
(a Delaware limited partnership)
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.
BY: Brauvin Ventures, Inc.
Corporate General Partner of
Brauvin Real Estate Fund L.P. 4
BY: /s/ Jerome J. Brault
Jerome J. Brault
Chairman of the Board of
Directors and President
DATE: May 15, 2008
BY: /s/ Thomas E. Murphy
Thomas E. Murphy
Chief Financial Officer and
Treasurer
DATE: May 15, 2008
CERTIFICATION FOR SARBANES-OXLEY SECTION 302(A)
CERTIFICATE OF THE CHIEF EXECUTIVE OFFICER
OF
BRAUVIN VENTURES, INC.
CORPORATE GENERAL PARTNER
OF
BRAUVIN REAL ESTATE FUND L.P. 4
I, Jerome J. Brault certify that:
1. I have reviewed this quarterly report on Form 10-QSB of
Brauvin Real Estate Fund L.P. 4;
2. Based on my knowledge, this report does not contain any
untrue statement of material fact or omit to state a
material fact necessary to make the statements made, in
light of the circumstances under which such statements were
made, not misleading with respect to the period covered by
this report;
3. Based on my knowledge, the financial statements, and other
financial information included in this report, fairly
present in all material respects the consolidated financial
condition, results of operations and statement of changes in
net assets in liquidation of the small business issuer as
of, and for, the periods presented in this report;
4. The small business issuer's other certifying officer and I
are responsible for establishing and maintaining disclosure
controls and procedures (as defined in Exchange Act Rules
13a-15(e) and 15d-15(e)) and internal control over financial
reporting (as defined in Exchange Act Rules 13a-15(f) and
15d-15(f)for the small business issue and have:
a) Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be
designed under our supervision, to ensure that material
information relating to the small business issuer,
including its consolidated subsidiaries, is made known
to us by others within those entities, particularly
during the period in which this quarterly report is
being prepared;
b) Evaluated the effectiveness of the small business
issuer's disclosure controls and procedures and
presented in this report our conclusions about the
effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this
report based on such evaluation; and
c) Disclosed in this report any change in the small
business issuer's internal control over financial
reporting that occurred during the small business
issuer's most recent fiscal quarter (the small business
issuer's fourth quarter in the case of an annual
report) that has materially affected, or is reasonably
likely to materially affect, the small business
issuer's internal control over financial reporting; and
5. The small business issuer's other certifying officer and I
have disclosed, based on our most recent evaluation of
internal control over financial reporting, to the small
business issuer's auditors and the audit committee of small
business issuer's board of directors (or persons performing
the equivalent function):
a) All significant deficiencies and material weaknesses in
the design or operation of internal control over
financial reporting which are reasonably likely to
aversely affect the small business issuer's ability to
record, process, summarize and report financial
information; and
b) Any fraud, whether or not material, that involves
management or other employees who have a significant
role in the small business issuer's internal controls
over financial reporting.
BY: Brauvin Ventures, Inc.
Corporate General Partner of
Brauvin Real Estate Fund L.P. 4
BY: /s/ Jerome J. Brault
Jerome J. Brault
Chairman of the Board of
Directors and President
DATE: May 15, 2008
CERTIFICATION FOR SARBANES-OXLEY SECTION 302(A)
CERTIFICATE OF THE CHIEF FINANCIAL OFFICER
OF
BRAUVIN VENTURES, INC.
CORPORATE GENERAL PARTNER
OF
BRAUVIN REAL ESTATE FUND L.P. 4
I, Thomas E. Murphy certify that:
1. I have reviewed this quarterly report on Form 10-QSB of
Brauvin Real Estate Fund L.P 4.;
2. Based on my knowledge, this report does not contain any
untrue statement of material fact or omit to state a
material fact necessary to make the statements made, in
light of the circumstances under which such statements were
made, not misleading with respect to the period covered by
this report;
3. Based on my knowledge, the financial statements, and other
financial information included in this report, fairly
present in all material respects the consolidated financial
condition, results of operations and statement of changes in
net assets in liquidation of the small business issuer as
of, and for, the periods presented in this report;
4. The small business issuer's other certifying officer and I
are responsible for establishing and maintaining disclosure
controls and procedures (as defined in Exchange Act Rules
13a-15(e) and 15d-15(e)) and internal control over financial
reporting (as defined in Exchange Act Rules 13a-15(f) and
15d-15(f)for the small business issue and have:
a) Designed such disclosure controls and procedures, or
caused such disclosure controls and procedures to be
designed under our supervision, to ensure that material
information relating to the small business issuer,
including its consolidated subsidiaries, is made known
to us by others within those entities, particularly
during the period in which this quarterly report is
being prepared;
b) Evaluated the effectiveness of the small business
issuer's disclosure controls and procedures and
presented in this report our conclusions about the
effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this
report based on such evaluation; and
c) Disclosed in this report any change in the small
business issuer's internal control over financial
reporting that occurred during the small business
issuer's most recent fiscal quarter (the small business
issuer's fourth quarter in the case of an annual
report) that has materially affected, or is reasonably
likely to materially affect, the small business
issuer's internal control over financial reporting; and
5. The small business issuer's other certifying officer and I
have disclosed, based on our most recent evaluation of
internal control over financial reporting, to the small
business issuer's auditors and the audit committee of small
business issuer's board of directors (or persons performing
the equivalent function):
a) All significant deficiencies and material weaknesses in
the design or operation of internal control over
financial reporting which are reasonably likely to
aversely affect the small business issuer's ability to
record, process, summarize and report financial
information; and
b) Any fraud, whether or not material, that involves
management or other employees who have a significant
role in the small business issuer's internal controls
over financial reporting.
BY: Brauvin Ventures, Inc.
Corporate General Partner of
Brauvin Real Estate Fund L.P. 4
BY: /s/ Thomas E. Murphy
Thomas E. Murphy
Chief Financial Officer and
Treasurer
DATE: May 15, 2008
Exhibit 99
SECTION 906 CERTIFICATION
The following statement is provided by the undersigned to
accompany the Quarterly Report on Form 10-QSB for the quarter
ended March 31, 2008, pursuant to Section 906 of the Sarbanes-
Oxley Act of 2002 and shall not be deemed filed pursuant to any
provisions of the Securities Exchange Act of 1934 or any other
securities law:
Each of the undersigned certifies that the foregoing Report on
Form 10-QSB fully complies with the requirements of Section 13(a)
of the Securities Exchange Act of 1934 (15 U.S.C. 78m) and that
the information contained in the Form 10-QSB fairly presents, in
all material respects, the financial condition and results of
operations of Brauvin Real Estate Fund L.P. 4.
BY: Brauvin Ventures, Inc.
Corporate General Partner of
Brauvin Real Estate Fund L.P. 4
BY: /s/ Jerome J. Brault
Jerome J. Brault
Chairman of the Board of
Directors and President
DATE: May 15, 2008
BY: /s/ Thomas E. Murphy
Thomas E. Murphy
Chief Financial Officer and
Treasurer
DATE: May 15, 2008