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EXHIBIT 28.1
GRUBB & ELLIS REALTY
INCOME TRUST, L.T.
FINAL REPORT TO BENEFICIARIES
December 31, 1997
Enclosed is the final distribution of $0.25 per unit which represents the
remaining funds of the Trust. Effective December 31, 1997 the Trust was
terminated.
We finally reached agreement on December 17, 1997 with the purchaser of the
Trust's last asset, the Vintner Square Shopping Center in Livermore,
California, on a dispute over post-closing adjustments. We have been involved
in negotiations on this matter since April, 1997 which is the reason it has
taken so long to complete the liquidation.
A summary financial report is included with this letter on the reverse side.
The financial statements from Coopers & Lybrand along with the final K-1 report
will both be completed and mailed at the end of January.
The change in revenue reflects the closing of the shopping center sale in
September, 1996. General and administrative expenses for 1997 are audit and K-1
tax preparation costs for 1996 and 1997, unit holder mailing costs; SEC
filings; transfer agent fees and legal fees in connection with the shopping
center sale and subsequent dispute. These expenses were partially offset by
post-closing recoveries of rental operating expenses and the reduction of
excess reserve for beneficiaries' receivables.
We at Ellis Partners, Inc. have done everything possible to complete a very
difficult liquidation assignment as quickly and efficiently as possible. We
appreciate your patience and understanding throughout this process.
Sincerely yours,
Ellis Partners, Inc., Liquidating Agent for Grubb & Ellis Realty Income Trust,
L.T.
By: /s/ HAROLD A. ELLIS, JR.
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Harold A. Ellis, Jr.
President
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Grubb and Ellis Realty Income Trust, Liquidating Trust
STATEMENT OF INCOME
(Unaudited)
Period from Period from
1-Jan-97 1-Jan-96
to 31-Dec-97 to 31-Dec-96
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Revenue
Rental income $ -- $ 712,000
Short term investment interest and other income 11,000 20,000
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Total Revenue 11,000 732,000
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Expenses
Rental operating expenses 0 279,000
Interest 0 443,000
Directors' fees and expenses 0 15,000
General and administrative expenses 56,000 96,000
Reserve for beneficiaries' receivables 0 186,000
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Total Expenses 56,000 1,019,000
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Net income (Loss) before loss on sale of real
estate investment (45,000) (287,000)
Loss on sale of real estate investment (163,000) (1,508,000)
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Net income (Loss) $ (208,000) $ (1,795,000)
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Net income (Loss) per unit of beneficial
interest $ (0.08) $ (0.64)
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Number of units of beneficial interest
outstanding 2,653,169 2,803,169
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BALANCE SHEET
Unaudited 31-Dec-97 31-Dec-96
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Assets
Cash and cash equivalents $ 3,000 $ 308,000
Restricted cash 0 1,845,000
Prepaid expenses and other assets 41,000 27,000
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Total Assets $ 44,000 $ 2,180,000
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Liabilities and Beneficiaries' Equity
Liabilities:
Other liabilities 44,000 1,041,000
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Total Liabilities 44,000 1,041,000
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Beneficiaries' Equity:
Units of beneficial interest 12,737,000 12,737,000
Notes receivable from beneficiaries (175,000) (251,000)
Reserve for beneficiaries' notes receivable 175,000 186,000
Distributions in excess of accumulated earnings (12,737,000) (11,533,000)
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Total beneficiaries' equity 0 1,139,000
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Total liabilities and beneficiaries' equity $ 44,000 $ 2,180,000
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