SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 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) March 31, 1997
BALCOR REALTY INVESTORS - 83
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Exact Name of Registrant
Illinois 0-11805
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State or other jurisdiction Commission file number
2355 Waukegan Road
Suite A200
Bannockburn, Illinois 36-3189175
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Address of principal I.R.S. Employer
executive offices Identification
Number
60015
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Zip Code
Registrant's telephone number, including area code:
(847) 267-1600
ITEM 2. ACQUISITION OR DISPOSITION OF ASSETS
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Deer Oaks Apartments
In 1982, a limited partnership (the "Limited Partnership") consisting of the
Partnership as general partner and the seller (the "JV Partner") as limited
partner acquired the Deer Oaks Apartments, San Antonio, Texas. The Partnership
utilized approximately $3,600,000 of offering proceeds towards the purchase of
the property. The property was acquired subject to first mortgage financing of
$5,114,200. In 1995, the first mortgage loan was refinanced with a new
$4,800,000 first mortgage loan.
On March 31, 1997, the Limited Partnership contracted to sell the property for
a sale price of $8,000,000 to an unaffiliated party, Sentinel Acquisitions
Corp., a Delaware corporation. The purchaser has deposited $100,000 into an
escrow account as earnest money. As part of the sale price, the purchaser
expects to assume the existing first mortgage loan, which is expected to have
an outstanding principal balance of approximately $4,714,000 at closing,
scheduled for May 12, 1997. In the event that the conditions in the agreement
of sale relating to the assumption of the loan have not been satisfied on or
before May 7, 1997, the Limited Partnership and the purchaser each have the
right to extend the closing to June 12, 1997 upon written notice to the other
party.
The remainder of the sale price will be payable in cash at closing. From the
proceeds of the sale, the Limited Partnership will pay $160,000 as a brokerage
commission to an affiliate of the third party providing property management
services for the property and will receive the remaining proceeds of
approximately $3,126,000, less closing costs. The JV Partner will not be
entitled to receive any portion of the proceeds. Neither the General Partner
nor any affiliate will receive a brokerage commission in connection with the
sale of the Property. The General Partner will be reimbursed by the Limited
Partnership for its actual expenses incurred in connection with the sale.
Affiliates of the General Partner have sold or contracted to sell more than
5 additional properties to the purchaser during 1996 and 1997.
The closing is subject to the satisfaction of numerous terms and conditions,
including the consent of the holder of the first mortgage loan. There can
be no assurance that all of the terms and conditions will be complied with
and, therefore, it is possible the sale of the property may not occur.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
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(A) FINANCIAL STATEMENTS AND EXHIBITS:
None
(B) PRO FORMA FINANCIAL INFORMATION:
None
(C) EXHIBITS:
(2) Agreement of Sale and attachment thereto relating to the sale
of Deer Oaks Apartments, San Antonio, Texas.
No information is required under Items 1, 3, 4, 5, 6 and 8 and these items
have, therefore, been omitted.
Signature
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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.
BALCOR REALTY INVESTORS-83
By: Balcor Partners-XIII, an Illinois general
partnership, its general partner
By: RGF-Balcor Associates-II, an Illinois general
partnership, a partner
By: The Balcor Company, a Delaware corporation,
a partner
By: /s/ Jerry M. Ogle
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Jerry M. Ogle, Managing Director
and Secretary
Dated: April 15, 1997