Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - WELLS REAL ESTATE FUND VIII LP | q42011f8investerletter_fac.htm |
| EX-99.1 - LETTER TO LIMITED PARTNERS - WELLS REAL ESTATE FUND VIII LP | exh991q42011investorletterb.htm |
Exhibit 99.2
Wells Real Estate Fund VIII, L.P. Fact Sheet | VIII | |
DATA AS OF DECEMBER 31, 2011 | ||
PORTFOLIO SUMMARY | ||||||||||||||||||
PROPERTIES OWNED | % LEASED AS OF 12/31/2011 | PERCENT OWNED | ACQUISITION DATE | ACQUISITION PRICE* | DISPOSITION DATE | DISPOSITION PRICE | ALLOCATED NET SALE PROCEEDS | |||||||||||
14079 Senlac Drive | SOLD | 55% | 10/10/1996 | $4,474,700 | 11/29/2007 | $5,410,200 | $2,798,597 | |||||||||||
BellSouth | SOLD | 32% | 4/25/1995 | $9,000,000 | 5/15/2006 | $13,377,600 | $4,156,572 | |||||||||||
CH2M HILL | SOLD | 63% | 1/1/1996 | $5,114,233 | 12/7/2005 | $8,200,000 | $5,028,105 | |||||||||||
305 Interlocken Parkway | 100% | 55% | 2/20/1997 | $7,087,770 | N/A | N/A | $438,374 | |||||||||||
Hannover Center | SOLD | 63% | 4/1/1996 | $1,602,312 | 4/29/2004 | $1,725,427 | $1,079,364 | |||||||||||
15253 Bake Parkway | SOLD | 46% | 1/10/1997 | $8,459,425 | 12/2/2004 | $12,400,000 | $5,487,477 | |||||||||||
Tanglewood Commons | SOLD | 32% | 5/31/1995 | $8,700,001 | Various | $12,860,620** | $4,059,480** | |||||||||||
U.S. Cellular | 73% | 55% | 6/17/1996 | $10,485,786 | N/A | N/A | N/A | |||||||||||
WEIGHTED AVERAGE | 82% | |||||||||||||||||
* | The Acquisition Price does not include the up-front sales charge or capital expenditures, depreciation/amortization or impairments incurred over our ownership period, as applicable. |
** | This asset was sold in three transactions. The Disposition Price and Allocated Net Sale Proceeds reflect the combination of the three sales. |
FUND FEATURES
OFFERING DATES | January 1995 - January 1996 |
PRICE PER UNIT | $10 |
A/B STRUCTURE | A's - Cash available for distribution up to 10% Preferred B's - Net loss until capital account reaches zero + No Operating Distributions |
A/B RATIO AT CLOSE OF OFFERING | 82% to 18% |
AMOUNT RAISED | $32,042,689 |
Please note that the figures and dates in this fact sheet are subject to change as additional information becomes available related to a variety of factors, such as closing costs, prorations, and other adjustments.
The financial information presented is preliminary and subject to change, pending the filing of the Partnership's Form 10-K for the year ended December 31, 2011. We do not make any representations or warranties (expressed or implied) about the accuracy of any such statements to the investors' realized results at the close of the Fund.
Readers of this fact sheet should be aware that there are various factors and uncertainties that could cause actual results to differ materially from any forward-looking statements made in this material. Past performance is no guarantee of future results.
Portfolio Overview
Wells Fund VIII is in the positioning-for-sale phase of its life cycle, with six assets having been sold. While our focus on the two remaining assets will be on leasing and marketing efforts that we believe will ultimately result in better disposition prices for our investors, we will also evaluate offers to purchase the properties as-is.
Flextronics, the sole tenant at 305 Interlocken Parkway, intends to vacate the building at lease expiration (June 30, 2012). We are actively marketing this space for long-term lease.
U.S. Cellular executed an early lease renewal for 73% of the building, extending its lease term from April 2013 to December 2017.
Fourth quarter 2011 operating distributions were reserved (see “Estimated Annualized Yield” table). We anticipate that operating distributions may remain reserved in the near-term, given the anticipated leasing capital for the two remaining properties.
The Cumulative Performance Summary, which provides a high-level overview of the Fund's overall performance to date, is on the reverse.
Continued on reverse
Wells Real Estate Fund VIII, L.P. Fact Sheet | VIII | |
DATA AS OF DECEMBER 31, 2011 | ||
Property Summary
• | The 14079 Senlac Drive property was sold on November 29, 2007, and net sale proceeds of $2,798,597 were allocated to the Fund. Of that amount, $2,275,484 was distributed in May 2008, and the balance of $523,113 is being reserved at this time to fund anticipated capital at the two remaining assets in the Fund. |
• | The BellSouth building was sold on May 15, 2006, and net sale proceeds of $4,156,572 were allocated to the Fund. The November 2006 distribution included $3,669,599 of these proceeds. The remaining proceeds of $486,973 were distributed in May 2008. |
• | The CH2M HILL property was sold on December 7, 2005, and net sale proceeds of $5,028,105 were allocated to the Fund. Of these proceeds, $3,697,706 was distributed to the limited partners in May 2006. The remaining proceeds were distributed in November 2006. |
• | The 305 Interlocken Parkway property is located in Broomfield, Colorado, a suburb of Denver. The entire building is leased to Flextronics USA, Inc. through June 2012. Flextronics intends to vacate the building at lease expiration. We are actively marketing this space for long-term lease. |
• | The Hannover Center property was sold on April 29, 2004, and net sale proceeds of $1,079,364 were allocated to the Fund. These proceeds were distributed in May 2005. |
• | The 15253 Bake Parkway building was sold on December 2, 2004, following the signing of a new 10-year lease with Gambro Healthcare. Of the net sale proceeds, $5,487,476 was allocated to the Fund, and $424,857 was used to fund the Partnership's pro-rata share of the Gambro and CH2M HILL re-leasing costs. We distributed $3,612,619 of these proceeds to the limited partners in May 2005, and the remaining proceeds were distributed in November 2005. |
• | The Tanglewood Commons shopping center was sold on April 21, 2005, and the Fund had previously sold a land outparcel in 2002. The remaining outparcels were sold to Wells Management on January 31, 2007. The total net sale proceeds allocated to the Fund were $4,059,480. Of these proceeds, $3,821,938 was previously distributed, and the remaining $237,542 was distributed in the May 2008. |
• | The U.S. Cellular building is located in Madison, Wisconsin. Approximately 73% of the space is leased to U.S. Cellular through December 2017, and we are actively marketing the remaining vacant space for long-term lease. |
For a more detailed quarterly financial report, please refer to Fund VIII’s most recent 10-Q filing, which can be found on the Wells website at www.WellsREF.com.
CUMULATIVE PERFORMANCE SUMMARY
Par Value | Cumulative Operating Cash Flow Distributed(1) | Cumulative Passive Losses(1 & 2) | Cumulative Net Sale Proceeds Distributed(1) | Estimated Unit Value as of 12/31/11(3) | |||||
PER "A" UNIT | $10 | $8.41 | N/A | $5.85 | $3.26 | ||||
PER "B" UNIT | $10 | $0.00 | -$3.71 | $13.84 | $3.31 | ||||
(1) | These per-unit amounts represent estimates of the amounts attributable to the limited partners who have purchased their units directly from the Partnership in its initial public offering of units and have not made any conversion elections from Class A units to Class B units, or vice versa, under the Partnership agreement. |
(2) | This estimated per-unit amount is calculated as the sum of the annual per-unit cumulative passive loss allocated to a Pure Class B Unit, reduced for Gain on Sale per unit allocated to a Pure Class B Unit. |
(3) | Please refer to the disclosure related to the estimated unit valuations contained in the 1/31/2012 Form 8-K for this partnership. |
ESTIMATED ANNUALIZED YIELD* | ||||||||||
Q1 | Q2 | Q3 | Q4 | AVG YTD | ||||||
2011 | Reserved | Reserved | Reserved | Reserved | 0.00% | |||||
2010 | 3.00% | 3.00% | Reserved | Reserved | 1.50% | |||||
2009 | 3.00% | 3.00% | 3.00% | 3.00% | 3.00% | |||||
2008 | 4.00% | 2.50% | 3.00% | 3.00% | 3.13% | |||||
2007 | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | |||||
2006 | 5.00% | 5.00% | 4.00% | 4.00% | 4.50% | |||||
2005 | 3.00% | 3.50% | Reserved | 3.00% | 2.38% | |||||
2004 | 9.50% | Reserved | 9.50% | Reserved | 4.75% | |||||
2003 | 9.50% | 9.50% | 9.50% | 9.50% | 9.50% | |||||
2002 | 9.50% | 9.50% | 9.50% | 9.50% | 9.50% | |||||
2001 | 8.75% | 9.25% | 9.75% | 9.75% | 9.38% | |||||
2000 | 9.14% | 9.24% | 9.00% | 8.39% | 8.94% | |||||
1999 | 8.60% | 8.80% | 9.00% | 8.99% | 8.85% | |||||
1998 | 8.37% | 8.52% | 8.61% | 8.83% | 8.58% | |||||
TAX PASSIVE LOSSES — CLASS “B” PARTNERS
2010 | 2009 | 2008 | 2007 | 2006 | 2005 | |||||
0.00% | 0.00% | -9.37%** | -3.24%** | -29.63%** | -76.61%** | |||||
* | The calculation is reflective of the $10 offering price, adjusted for NSP paid-to-date to Class “A” unit holders. |
** | Negative percentage due to income allocation. |
6200 The Corners Parkway Ÿ Norcross, GA 30092-3365 Ÿ www.WellsREF.com Ÿ 800-557-4830
LPMPFSI1201-0057-8
© 2012 Wells Real Estate Funds