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 20, 1999 NEW ENGLAND LIFE PENSION PROPERTIES IV; A REAL ESTATE LIMITED PARTNERSHIP (Exact Name of Registrant as Specified in its Charter) Massachusetts (State or Other Jurisdiction of Incorporation) 0-15429 04-2893298 (Commission File Number) (IRS Employer Identification No.) 225 Franklin Street, 25th Floor Boston, MA 02110 (Address of principal executive offices) (Zip Code) (617) 261-9000 Registrant's Telephone Number, Including Area Code Not Applicable (Former Name or Former Address, if Changed Since Last Report) Item 2. Acquisition or Disposition of Assets. - ---------------------------------------------- New England Life Pension Properties IV; A Real Estate Limited Partnership (the "Partnership") owns a 69.5% partnership interest in Gateway 51 Partnership (the "Joint Venture"), a general partnership organized to own real property. The remaining 30.5% is owned by New England Pension Properties V; A Real Estate Limited Partnership, an affiliate of the Partnership. On December 20, 1999, the Joint Venture sold its property located at 7130-7150 Columbia Gateway Drive, Columbia, Maryland. The property was sold to an unaffiliated third party (the "Buyer") for gross proceeds of $19,850,000, of which the Partnership's share was $13,795,750. The selling price was determined by arms-length negotiation between the Joint Venture and the Buyer. The Partnership received its 69.5% share of the net proceeds, approximately $13,425,000, and recognized a gain of approximately $1,505,000. Item 7. Financial Statements and Exhibits. - ------------------------------------------- In connection with the disposition of the asset discussed in Item 2 above, pro forma financial statements are presented below. The pro forma balance sheet is presented as of September 30, 1999 (Exhibit A). The pro forma income statements are presented for the fiscal year ended December 31, 1998 (Exhibit B) and the nine month period ended September 30, 1999 (Exhibit C). SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this amendment to be signed on its behalf by the undersigned hereunto duly authorized. Date: January 3, 2000 NEW ENGLAND LIFE PENSION PROPERTIES IV; A REAL ESTATE LIMITED PARTNERSHIP (Registrant) By: Fourth Copley Corp., Managing General Partner By: /s/ Alison Husid Cutler ----------------------- Name: Alison Husid Cutler Title: President, Chief Executive Officer and Director 2 EXHIBIT A New England Life Pension Properties IV A Real Estate Limited Partnership Pro Forma Balance Sheet September 30, 1999 Unaudited Pro Forma September 30, 1999 September 30, 1999 Adjustment Pro Forma ------------------ ---------- ------------------ ASSETS Joint Venture $4,301,103 $0 $4,301,103 Joint Venture, held for disposition, net 11,506,397 (11,506,397)(a) 0 Other net assets 146,489 0 146,489 Cash and cash equivalents 18,656,254 13,425,371 (a) 32,081,625 ------------------ ----------------- ------------------ $34,610,243 $1,918,974 $36,529,217 ================== ================= ================== LIABILITIES AND PARTNERS'CAPITAL Accounts payable $155,839 $0 $155,839 Accrued management fee 146,719 0 146,719 Deferred management and disposition fees 4,680,003 413,872 (b) 5,093,875 ------------------ ----------------- ------------------ Total liabilities 4,982,561 413,872 5,396,433 ================== ================= ================== Partners' capital (deficit): Limited partners ($422 per unit; 120,000 units authorized, 94,997 units issued and outstanding) 29,637,112 1,490,051 (a) 31,127,163 General partners (9,430) 15,051 (a) 5,621 ------------------ ---------------- ------------------- 29,627,682 1,505,102 31,132,784 ------------------ ---------------- ------------------- Total partners' capital $34,610,243 $1,918,974 $36,529,217 ================== ================= ================== 3 EXHIBIT B New England Life Pension Properties IV A Real Estate Limited Partnership Pro Forma Income Statement Year Ended December 31, 1998 Unaudited Year Ended Year Ended Pro Forma December 31, 1998 December 31, 1998 Adjustment Pro Forma ----------------- ----------------- ----------------- Investment Activity Property rentals $2,907,757 $0 $2,907,757 Property operating expenses (1,358,566) 0 (1,358,566) Depreciation and amortization (549,260) 0 (549,260) ------------------ ----------------- ----------------- 999,931 0 999,931 Joint venture earnings 1,515,033 (1,003,627)(b) 511,406 Amortization (5,308) 3,468 (b) (1,840) ------------------ ----------------- ----------------- Total real estate operations 2,509,656 (1,000,159) 1,509,497 Gain on sales of property 3,742,541 0 3,742,541 ------------------ ----------------- ------------------ Total real estate activity 6,252,197 (1,000,159) 5,252,038 Interest on cash equivalents and short term investments 396,197 0 396,197 ------------------ ----------------- ------------------ Total investment activity 6,648,394 (1,000,159) 5,648,235 Portfolio Expenses Management fee 333,771 (88,309)(f) 245,462 General and administrative 325,912 (5,908)(g) 320,004 ------------------- ----------------- ------------------ 659,683 (94,217) 565,466 ------------------- ----------------- ------------------ Net income (loss) $5,988,711 ($905,942) $5,082,769 =================== ================= ================== Net income (loss) per limited partnership unit $62.41 ($9.44)(d) $52.97 =================== ================= ================== Number of limited partnership units outstanding during the year 94,997 94,997 94,997 =================== ================= ================== 4 EXHIBIT C New England Life Pension Properties IV A Real Estate Limited Partnership Pro Forma Income Statement Nine Months Ended September 30, 1999 Unaudited Nine Months Ended Nine Months Ended Pro Forma September 30, 1999 September 30, 1999 Adjustment Pro Forma ------------------ ---------- ------------------ Investment Activity Property rentals $1,480,349 $0 $1,480,349 Property operating expenses (889,448) 0 (889,448) Depreciation and amortization (83,830) 0 (83,830) ------------------ ----------- ----------------- 507,071 0 507,071 Joint venture earnings 1,430,398 (919,514)(e) 510,884 Amortization (3,981) 2,601 (e) (1,380) Total real estate operations 1,933,488 (916,913) 1,016,575 Gain on sale of property 3,474,005 0 3,474,005 ------------------ ----------- ----------------- Total real estate activity 5,407,493 (916,913) 4,490,580 Interest on cash equivalents and short term investments 220,374 0 220,374 ------------------ ----------- ----------------- Total investment activity 5,627,867 (916,913) 4,710,954 Portfolio Expenses Management fee 261,930 (63,050)(f) 198,880 General and administrative 219,092 0 219,092 ------------------ ----------- ----------------- 481,022 (63,050) 417,972 ------------------ ----------- ----------------- Net income (loss) $5,146,845 ($853,863) $4,292,982 ================== =========== ================= Net income (loss) per limited partnership unit $53.64 ($8.90)(d) $44.74 ================== =========== ================= Number of limited partnership units outstanding during the period 94,997 94,997 94,997 ================== =========== ================= Pro Forma Financial Statement Footnotes: (a) Disposition of asset as discussed in Item 2 herein and allocation of the gain to the Partners on such disposition. (b) Disposition fee incurred in connection with the disposition of the asset discussed in Item 2 herein. (c) Removal of 1998 operating activity related to the disposed asset discussed in Item 2 herein. (d) Calculation of net loss per limited partnership unit after the removal of operating activity related to the disposed asset discussed in Item 2 herein. (e) Removal of 1999 year-to-date operating activity related to the disposed asset discussed in Item 2 herein. (f) Removal of management fees based on distributions received during the pro forma period from the disposed asset discussed in Item 2 herein. (g) Removal of appraisal fees incurred during the pro forma period for the disposed asset discussed in Item 2 herein. 5