1
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): December 8, 1995
Vanguard Real Estate Fund II, A Sales-Commission-Free Income Properties Fund
- ----------------------------------------------------------------------------
(Exact name of the registrant as specified in its character)
Massachusetts 0-17656 23-2482429
- ------------- ------- ----------
(State of other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
Vanguard Financial Center, Malvern, PA 19355
- -------------------------------------- -----
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (610) 669-1000
2
INDEX
Page No.
Cover Page . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
ITEM
NO.
Item 1. Change in Control of Registrant . . . . . . . . . . . . . . . 2
-------------------------------
Item 2. Acquisition or Disposition of Assets . . . . . . . . . . . . . 2
------------------------------------
Item 3. Bankruptcy or Receivership . . . . . . . . . . . . . . . . . . 2
--------------------------
Item 4. Changes in Registrant's Certifying Accountant . . . . . . . . 2
---------------------------------------------
Item 5. Other Events . . . . . . . . . . . . . . . . . . . . . . . . . 2
------------
Item 6. Resignation of Registrant's Directors . . . . . . . . . . . . 2
-------------------------------------
Item 7. Financial Statements and Exhibits . . . . . . . . . . . . . . 2
---------------------------------
Item 8. Change in Fiscal Year . . . . . . . . . . . . . . . . . . . . 2
---------------------
Signatures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Exhibit Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
3
Item 1. Change in Control of Registrant
None
Item 2. Acquisition or Disposition of Assets
None
Item 3. Bankruptcy or Receivership
None
Item 4. Changes in Registrant's Certifying Accountant
None
Item 5. Other Events
On December 8, 1995, the Fund's Board of Trustees adopted a plan of
liquidation and termination. This plan is being undertaken in the eighth year
of the Fund's initially contemplated seven-to-twelve-year life. The decision
to adopt the plan of liquidation at this time was driven by several factors,
including real estate market conditions and tax considerations affecting real
estate investment trusts. The plan of liquidation contemplates the orderly
sale of, and the distribution of net proceeds received from, the Fund's
remaining real estate investments over the next 24 months.
At December 8, 1995 the Fund held investments in three
income-producing commercial properties or portfolios (consisting of one office
complex located in San Carlos, California, one shopping center located in
Boulder, Colorado, and one industrial park located in Bucks County,
Pennsylvania) and a limited partnership interest that owns an income-producing
property (located in Mountain View, California). The Fund's real estate
investments at November 30, 1995 had a recorded book value of approximately
$26.0 million, or $4.05 per share.
In addition, at its regular meeting on December 6, 1995, the Board of
Trustees declared a $1.25 per share distribution, payable on December 28, 1995,
to shareholders of record as of December 26, 1995. This distribution will be
made from the Fund's cash reserves, which were approximately $9 million at
November 30, 1995. The capital distribution will reduce the book value of the
Fund's shares and also the amount of future income the Fund may be expected to
generate.
Item 6. Resignation of Registrant's Directors
None
Item 7. Financial Statements and Exhibits
The Plan of Liquidation and Termination for Vanguard Real Estate Fund
II is attached as an exhibit on pages 5-9 of this Report.
Item 8. Change in Fiscal Year
None
2
4
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 thereunto duly authorized.
Vanguard Real Estate Fund II,
A Sales-Commission-Free Income Properties Fund
DATE: January 9, 1995 BY: /s/ Ralph K. Packard
----------------- ----------------------
Ralph K. Packard
Vice President and Controller
3
5
EXHIBIT INDEX
Page No.
2. Plan of Liquidation and Termination - Vanguard Real Estate
Fund II ........................................................ 5-9
4