EXHIBIT 11
BOETTCHER WESTERN PROPERTIES III LTD.
(A Limited Partnership)
Pro Forma Balance Sheet
September 30, 1997
(Unaudited)
Pro Forma Adjustments
---------------------
Historical Sale of Liquidation & Pro Forma
September 30, 1997 Venetian Dissolution September 30, 1997
------------------ ------------ -------------- ------------------
Assets
------
Real estate held for sale $5,769,761 $(5,769,761) $ - $ -
Cash and cash equivalents, at cost
which approximates market value 855,739 3,175,683 (4,031,422) -
Accounts receivable and other assets 172,824 (172,824) - -
Debt issuance costs, net of accumulated
amortization of $47,083 2,500 (2,500) - -
---------- ----------- ----------- ---
$6,800,824 $(2,769,402) $(4,031,422) $ -
========== =========== =========== ===
Liabilities and Partners' Capital
- ---------------------------------
Mortgages payable, net of unamortized
debt discount of $1,673 $3,169,358 $(3,169,358) $ - $ -
Payable to managing general partner 195,003 - (93,083) -
(101,920)
Accounts payable and accrued liabilities 282,163 (282,163) - -
Tenants' deposits 36,638 (36,638) - -
Property taxes payable 21,238 (21,238) - -
Unearned rental income 5,670 (5,670) - -
---------- ----------- ----------- ---
Total Liabilities 3,710,070 (3,515,067) (195,003) -
---------- ----------- ----------- ---
Partners' Capital:
General partners (109,376) 7,456 101,920 -
Limited partners 3,200,130 738,209 (3,938,339) -
---------- ----------- ----------- ---
Total Partners' Capital 3,090,754 745,665 (3,836,419) -
---------- ----------- ----------- ---
$6,800,824 $(2,769,402) $(4,031,422) $ -
========== =========== =========== ===
See accompanying notes to proforma financial statements.
E-11.1
BOETTCHER WESTERN PROPERTIES III LTD.
(A Limited Partnership)
Pro Forma Statement of Operations
For the year ended September 30, 1997
(Unaudited)
Pro Forma Adjustments
---------------------
Historical Pro Forma
Year Ended Sale of Venetian, Year Ended
September 30, 1997 Liquidation & Dissolution September 30, 1997
------------------ ------------------------- ------------------
Revenue:
Rental income $ 773,819 $ (773,819) $ -
Tenant reimbursements for common
area charges, insurance and taxes 240,896 (240,896) -
Other income 56,753 (56,753) -
---------- ----------- ---
1,071,468 (1,071,468) -
---------- ----------- ---
Expenses:
Interest, including amortization of debt
discount and debt issuance costs 360,774 (360,774) -
Property taxes 86,165 (86,165) -
Fees and reimbursements to
managing general partner 101,613 (101,613) -
Other management fees 45,147 (45,147) -
Repairs and maintenance 127,779 (127,779) -
Utilities 37,679 (37,679) -
Other administrative 79,165 (79,165) -
Environmental (216,177) 216,177 -
---------- ----------- ---
622,145 (622,145) -
---------- ----------- ---
Net earnings (loss) $ 449,323 $ (449,323) $ -
========== =========== ===
Net earnings per limited partnership unit
using the weighted average number of
limited partnership units outstanding
of 22,000 $ 20.42 $ (20.42) $ -
========== =========== ===
See accompanying notes to proforma financial statements.
E-11.2
BOETTCHER WESTERN PROPERTIES III LTD.
(A Limited Partnership)
NOTES TO UNAUDITED PRO FORMA FINANCIAL INFORMATION
1) The unaudited pro forma balance sheet assumes that the Partnership had sold
Venetian Square Shopping Center ("Venetian") for $7,275,000 and liquidated
and dissolved the Partnership as of September 30, 1997. The unaudited pro
forma statement of operations restate the historical operations of the
Partnership for the year ended September 30, 1997 by eliminating in total
the operating results of the Partnership. All of the unaudited proforma
financial information is based on amounts as of September 30, 1997. Final
results may differ from such information as a result of known and unknown
contingencies (including, without limitation, Partnership operations
subsequent to September 30, 1997, customary closing adjustments, and
potential reimbursement for environmental remediation expenses).
2) The estimated gain recognized from the sale of Venetian and estimated
distribution of available funds in liquidation of the Partnership to Limited
Partners as of September 30, 1997 has been computed as follows:
Gain on sale of real estate investment:
---------------------------------------
Total contract sale price $ 7,275,000
Less: Net book value of real estate investment (5,769,761)
Selling commission (509,250)
Other expenses of sale (primarily legal fees
and title insurance) (75,000)
-----------
Gain on sale 920,989
Write off of non-cash assets (175,324)
-----------
Net gain on sale 745,665
Estimated expenses of liquidation and dissolution (15,000)
-----------
Net gain on sale and dissolution $ 730,665
===========
Estimated distribution to Partners:
-----------------------------------
Total contract sale price $ 7,275,000
Selling commission (509,250)
Other expenses of sale (primarily legal fees and title insurance) (75,000)
Less: Current liabilities of Venetian (including mortgages payable) (3,515,067)
-----------
Adjusted cash received 3,175,683
Add: Current liquid assets of the Partnership 855,739
Less: Outstanding debt to Managing General Partner (93,083)
Estimated expenses of liquidation and dissolution (15,000)
-----------
Estimated cash available for final distribution $ 3,923,339
===========
Estimated distribution to Limited Partners per $1,000 unit $ 178.33
===========
E-11.3