SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES AND EXCHANGE ACT OF 1934
Date of Report (Date of Earliest Event Reported) May 19, 1998
AEI INCOME & GROWTH FUND XXI LIMITED PARTNERSHIP
(Exact Name of Registrant as Specified in its Charter)
State of Minnesota
(State or other Jurisdiction of Incorporation or
Organization)
33-85076C 41-1789725
(Commission File Number) (I.R.S. Employer
Identification No.)
1300 Minnesota World Trade Center, St. Paul, Minnesota 55101
(Address of Principal Executive Offices)
(612) 227-7333
(Registrant's telephone number, including area code)
(Former name or former address, if changed since last report)
Item 2. Acquisition or Disposition of Assets.
On May 19, 1998, the Partnership purchased a newly
constructed Champps Americana restaurant in Livonia,
Michigan from Champps Americana, Inc. The total cash
purchase price of the land and building was approximately
$4,087,000. Champps Americana, Inc. is not affiliated with
the Partnership.
The cash, used in purchasing the property, was from
the proceeds of sale of Limited Partnership Units.
Item 7. Financial Statements and Exhibits.
(a) Financial statements of businesses acquired.
Not Applicable. Property was newly constructed.
(b) A limited number of proforma adjustments are
required to illustrate the effects of the
transaction on the balance sheet and income
statement. The following narrative
description is furnished in lieu of the
proforma statements:
Assuming the Partnership had acquired the
property on January 1, 1997, the Partnership's
Investments in Real Estate would have
increased by $4,087,000 and its Current Assets
(cash) would have decreased by approximately
$4,087,000.
The Total Income for the Partnership would
have increased from $1,513,094 to $1,891,988
for the year ended December 31, 1997 and from
$452,487 to $489,812 for three months ended
March 31, 1998 if the Partnership had owned
the property during the periods.
Depreciation Expense would have increased by
$134,354 and $33,588 for the year ended
December 31, 1997 and the three months ended
March 31, 1998, respectively.
The net effect of these proforma adjustments
would have caused Net Income to increase from
$439,239 to $683,779 and from $428,911 to
$432,648, which would have resulted in Net
Income of $28.30 and $17.97 per Limited
Partnership Unit outstanding for the year
ended December 31, 1997 and the three months
ended March 31, 1998, respectively.
(c) Exhibits
Exhibit 10.1 - Net Lease Agreement dated
July 8, 1997 between the
Partnership and Champps Americana,
Inc. relating to the property at
19470 Haggerty Road, Livonia,
Michigan (incorporated by
reference to Exhibit 10.2 of Form
10-QSB filed with the Commission
on August 5, 1997).
Exhibit 10.2 - First Amendment to
Net Lease Agreement dated May 19,
1998 between the Partnership and
Champps Americana, Inc. relating
to the property at 19470 Haggerty
Road, Livonia, Michigan.
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.
AEI INCOME & GROWTH FUND XXI LIMITED PARTNERSHIP
By: AEI Fund Management XXI, Inc.
Its: Managing General Partner
Date: June 16, 1998 /s/ Mark E Larson
By: Mark E. Larson
Its Chief Financial Officer
(Principal Accounting and
Financial Officer)