EXHIBIT 99.8
- -------------
AT THE TRUST
Robert G. Higgins Investor Relations
First Vice President, General Counsel L.G. Schafran - Chairman and
630-218-7255 Interim CEO/President
bhiggins@banyanreit.com 630-218-7250
ir@banyanreit.com
FOR IMMEDIATE RELEASE
THURSDAY, MAY 2, 2002
BANYAN STRATEGIC REALTY TRUST SIGNS CONTRACT TO
SELL LAST REMAINING PROPERTY, NORTHLAKE TOWER FESTIVAL MALL,
FOR $20.5 MILLION
OAK BROOK, ILLINOIS - MAY 2, 2002 - BANYAN STRATEGIC REALTY TRUST
(Nasdaq: BSRTS) today announced that it has signed a contract to sell its
Tucker (Atlanta), Georgia property, known as Northlake Tower Festival Mall,
for a gross purchase price of $20.5 million. The purchaser, West Coast
Realty Investors, Inc., a Delaware corporation, has deposited $200,000 in
earnest money and is required to deposit an additional $200,000 at the end
of the inspection period (see below).
Northlake Tower Festival Mall is a 322,000 square foot power center on 38
acres located in suburban Atlanta. It is currently ninety-eight percent
(98%) leased to 49 tenants including Toys R-Us; Office Max; PetSmart;
Haverty's; AMC Theaters and Bally Total Fitness.
The purchase contract contains a forty-five (45) day inspection period and
is further contingent upon the purchaser obtaining the approval of General
Electric Capital Corp. ("GECC") to assume the existing first mortgage debt
that encumbers the property, which has an approximate principal balance of
$16.8 million. The purchaser is required to pay any and all assumption
fees charged by GECC. The purchaser may terminate the contract for any
reason during the inspection period without penalty.
The closing of the transaction is currently scheduled to occur on or before
July 17, 2002, unless an extension is required to complete the debt
assumption process. In the event GECC fails to approve the assumption, and
the purchaser has not elected to avail itself of alternative financing, the
contract will be terminated without penalty to the purchaser.
If the transaction closes at the contract price, the Trust expects to
realize net proceeds of approximately $3.35 million, or approximately
$0.215 per share, after crediting the Purchaser the amount of the existing
Northlake debt (approximately $16.8 million) and paying related closing
costs and prorations (expected to be approximately $0.35 million).
The Trust reiterated that it intends to continue its policy of making
liquidating distributions to its shareholders when, and as often as,
conditions warrant, including as soon as is practical after a closing. The
Trust also noted that pursuit of the pending litigation between the Trust
and its suspended president Leonard G. Levine is now the primary focus of
the Trust's liquidation activity going forward.
MORE
BANYAN STRATEGIC REALTY TRUST
ADD 1
Banyan Strategic Realty Trust is an equity Real Estate Investment Trust
(REIT) that, on January 5, 2001, adopted a Plan of Termination and
Liquidation. On May 17, 2001, the Trust sold approximately 85% of its
portfolio in a single transaction. Other properties were sold on April 1,
2002 and May 1, 2002. Banyan now owns a leasehold interest in one (1) real
estate property located in Atlanta, Georgia (the subject matter of this
press release), representing approximately 9% of its original portfolio.
As of this date, the Trust has 15,496,806 shares of beneficial interest
outstanding.
Except for the historical information contained herein, certain matters
discussed in this release are forward-looking statements, the achievement
of which involve risks and uncertainties such as the sale of the Trust's
remaining property, the amount of the remaining liquidating distributions,
the outcome of pending litigation and other risks and uncertainties that
are detailed from time to time in the Trust's reports filed with the
Securities and Exchange Commission, including the report on Form 10-K for
the year ended December 31, 2001 which was filed with the Securities and
Exchange Commission on March 21, 2002. Without limitation, the foregoing
words such as "anticipates", "expects", "intends", "plans", and similar
expressions are intended to identify forward-looking statements.
See Banyan's Website at http://www.banyanreit.com.
-30-