UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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): April 17, 2012
| Bluerock Enhanced Multifamily Trust, Inc. |
| (Exact Name of Registrant as Specified in Its Charter) |
| Maryland | 333-153135 | 26-3136483 | ||
| (State or other jurisdiction of incorporation or organization) |
(Commission File Number) |
(I.R.S. Employer Identification No.) | ||
|
Heron Tower, 70 East 55th Street, 9th Floor New York, NY 10022 |
| (Address of principal executive offices) |
| (212) 843-1601 |
| (Registrant’s telephone number, including area code) |
| None |
| (Former name or former address, if changed since last report) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| ¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
| ITEM 8.01 | OTHER EVENTS |
This Current Report on Form 8-K is being filed by Bluerock Enhanced Multifamily Trust, Inc. (the “Company”) to present information about the prior performance of programs sponsored by Bluerock Real Estate LLC, the Company’s sponsor. This prior performance information is being filed on Form 8-K in order to be incorporated by reference into the Company’s Registration Statement on Form S-11 (File No. 333-153135), as amended.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| BLUEROCK ENHANCED MULTIFAMILY TRUST, INC. | |
| DATE: April 17, 2012 | /s/ R. Ramin Kamfar |
| R. Ramin Kamfar | |
| Chief Executive Officer and Chairman of the Board | |
| (Principal Executive Officer) | |
PRIOR PERFORMANCE SUMMARY
Prior Investment Programs
The information presented in this section represents the historical experience of real estate programs sponsored by Bluerock. These are all private programs as Bluerock has sponsored no public programs other than our Company. Investors in this offering should not assume that they will experience returns, if any, comparable to those experienced by investors in any of Bluerock’s prior programs. Investors who purchase our shares will not acquire any ownership interest in any of the programs discussed in this section.
The Prior Performance Tables set forth information as of December 31, 2011 regarding certain of these prior programs regarding: (1) experience in raising and investing funds (Table I); (2) compensation to Bluerock or its affiliate (separate and distinct from any return on its investment) (Table II); (3) annual operating results (Table III); and (4) sales or disposals of properties (Table V); and Table IV regarding results of completed programs has been omitted because no transactions of this nature have been completed during the three years ended December 31, 2011. We will furnish copies of Table VI which shows acquisitions of properties by prior programs to any prospective investor upon request and without charge.
As of December 31, 2011, Bluerock was the sponsor of nine private programs that had closed offerings in the prior three years; eight of which had investment objectives similar to our Company (see Tables I and II), and was the sponsor of sixteen private programs that had closed offerings in the prior five years; fourteen of which had investment objectives similar to our Company (see Tables III). Only one program, Woodlands I, LLC, had been completed as of December 31, 2011, and because it completed operations prior to January 1, 2007, it has not been included in Table IV. Bluerock was the sponsor of three programs that resulted in sales or disposals of property (Table V).
Private Programs
As of December 31, 2011, Bluerock was sponsor of a total of twenty-two private programs, which had raised in the aggregate $280.9 million in equity and debt capital from a total of 2,172 syndication investors, and acquired a total of twenty-six properties. Nineteen of these programs had similar investment objectives to our Company, including two multifamily residential programs and one real estate opportunity fund for which offerings have not closed as of December 31, 2011 and the results of which are not included in the Prior Performance Tables. As of December 31, 2011, six properties had been sold by these programs. Of these twenty-two programs, two had closed or been completed, as applicable, prior to the time periods for which information is required to be reported in the Prior Performance Tables.
Bluerock directly or indirectly contributed the necessary equity to acquire the properties for these programs and the remaining portion was typically borrowed on a non-recourse basis with the properties purchased serving as collateral for the borrowings.
Investors in these programs were not entitled to approve property acquisition sales or refinancing. However, tenant-in-common investors in the Cummings Research Park I, Cummings Research Park II and Cummings Research Park III Office Portfolio (Huntsville, Alabama) and Landmark/Laumeier Office Portfolio (St. Louis, Missouri), had the right to approve the sale or refinancing of those properties in order to garner tax-deferred treatment under Section 1031 of the Internal Revenue Code at the time of the investor’s acquisition of an interest in the program. Investors in programs that are multi-asset funds do not have the opportunity to review specific properties for investment prior to the program’s investment in that property.
As a percentage of acquisition and development costs, the diversification of these properties by geographic area is as follows:
| Geographic Area | % | |||
| South | 60.83 | % | ||
| Midwest | 20.41 | % | ||
| Northeast | 12.91 | % | ||
| West | 5.85 | % | ||
As a percentage of acquisition and development costs, the diversification of these properties by asset class is as follows:
| Asset Class | % | |||
| Office | 55.48 | % | ||
| Multifamily Residential | 33.67 | % | ||
| Development | 8.25 | % | ||
| Assisted Living | 2.60 | % | ||
As a percentage of acquisition and development costs, 91.75% was spent on existing or used residential and office properties, and 8.25% was spent on land acquired for development.
An affiliate of Bluerock serves (or, in the case of the completed programs, served) as either property manager or asset manager for each of its programs.
In addition to these programs with similar investment objectives, two notes programs sponsored by Bluerock offered notes to be issued by a limited liability company affiliated with Bluerock. The issuer in each note program borrowed funds from investors, who invested in the issuer’s notes. In one note programs, the issuer in turn contributed the note offering proceeds to a subsidiary for investment in real estate or real estate-related debt and investments. In the other notes program, the issuer in turn used the offering proceeds to fund real estate-based loans secured by a first position mortgage. Investors in these notes programs made loans to the respective issuer by investing in its notes, and did not acquire equity interests therein.
Additionally, one program sponsored by Bluerock offered notes and preferred equity to be issued by a limited liability company affiliated with Bluerock. The issuer in this program borrowed funds from investors, who invested in the issuer’s notes, and issued preferred equity to investors in exchange for capital contributions. The issuer in turn used the offering proceeds to fund the development costs of a residential condominium project.
As of December 31, 2011, Bluerock, through the first notes program, had raised approximately $11.8 million from 181 investors. Including interest accrued through December 31, 2011, a total of approximately $10.9 million of those proceeds had been invested principally with other Bluerock affiliates. Through the second note program, Bluerock had raised $5.8 million from 85 investors as of December 31, 2011. Including interest accrued through December 31, 2011, a total of approximately $2.8 million of those proceeds had been invested. As of December 31, 2011, Bluerock through the third program raised approximately $15.04 million from 247 investors and a total of approximately $10.0 million of those proceeds had been invested.
Adverse Business Developments
Recent conditions in the general economy have adversely affected the financial and real estate markets, as well as certain of our private programs.
The BR-North Park Towers program’s property, located in Southfield, Michigan, suspended investor distributions in December 2010 due to continued pressure from the weak Michigan economy and the deterioration of the domestic automobile manufacturing industry. In September 2009, the distributions to investors were reduced from a 6% to a 3.5% cash yield on their investment through an option, which expired December 2010. In March 2012, the property received a lender default notice, and hired a consultant to assist in negotiating a potential discounted payoff with the special servicer; which discussions are ongoing.
The 1355 First Avenue program, as a result of the general lack of credit in the current depressed economic environment, has been unable to secure construction financing at the originally anticipated loan-to-cost ratio in order to commence construction, necessitating additional capital raising efforts and a suspension of investor distributions in August 2009.
The Summit at Southpoint program reduced distributions in April 2009, a 7.25% to a 1% cash yield in order to rebuild reserves that were depleted to accommodate a new, large tenant in connection with a new lease with a longer than projected term.
The Valley Townhomes DST program reduced distributions from a 6.0% to a 2.0% cash yield effective July 2010, in order to build reserves due to lower than projected revenues.
The Town and Country DST program, while 100% leased, suspended distributions effective October 2010 in order to build necessary reserves for upcoming lease roll-overs and associated tenant improvement and leasing commission expenses as required by the lender.
The BR Capital notes program suspended distributions as a result of its substantial investment in the 1355 First Ave program listed above and any pending refinance or completion and sale of the 1355 First Avenue project.
The Cummings Research Park DST program reduced distributions from 6.75% to 1.0% effective March 2012 as a result of higher than expected vacancy as a result of a softening in the leasing market related to defense spending cuts and the uncertainty of tenant contracts and in order to build-up reserves for upcoming lease roll-overs and associated tenant improvement and leasing commissions expenses.
The Landmark/ Laumeier DST program reduced distributions effective April 2012 from 7.50% to 1.0% as a result of higher than expected vacancy and in order to build-up reserves for upcoming lease roll-overs and associated tenant improvement and leasing commissions expenses.
The total return to those programs will be lower than previously anticipated due to adverse market conditions.
Acquisitions of Properties by Programs
In the three years ended December 31, 2011, six multifamily residential programs and one real estate opportunity fund were sponsored by Bluerock and acquired a total of eight properties or indirect equity interests therein. Eleven properties were multifamily residential and were located in San Antonio, El Paso, and Austin, Texas, Nashville and Chattanooga, Tennessee, Chapel Hill, North Carolina, Atlanta, Georgia, Newport News, Virginia, and one property was assisted living and located in Marietta, GA. The acquisitions were financed with a combination of cash equity and purchase money financing, as further described in Table VI, which is included in Part II of our Registration Statement (File No. 333-153135) of which our prospectus is a part, shows more detailed information on the acquisition of these properties. We will furnish copies of Table VI which shows acquisitions of properties by prior funds to any prospective investor upon request and without charge.
PRIOR PERFORMANCE TABLES
As used herein, the terms “we”, “our” and “us” refer to Bluerock Enhanced Multifamily Trust, Inc.
The following Prior Performance Tables, or Tables, provide information relating to real estate investment programs sponsored by Bluerock Real Estate, L.L.C., or Bluerock, or Prior Real Estate Programs, through December 31, 2011. All of the Prior Real Estate Programs presented in the Tables or otherwise discussed in the section entitled “Prior Performance Summary” in our Registration Statement on Form S-11 (File No. 333-153135), as amended are private programs that have no public reporting requirements. Bluerock has not previously sponsored a public program.
As of December 31, 2011, Bluerock served as sponsor of a total of twenty-two Prior Real Estate Programs, fourteen of which had been closed to outside investors after December 31, 2006 and had similar investment objectives to our Company. Certain relevant information regarding these programs is presented in Table VI, which is included in Part II of our Registration Statement on Form S-11 (File No. 333-153135), as amended. An affiliate of Bluerock serves as either property manager or asset manager for each of these programs.
In addition to these programs with similar investment objectives, two notes programs sponsored by Bluerock offered notes to be issued by a limited liability company affiliated with Bluerock. The issuer in each note program borrowed funds from investors, who invested in the issuer’s notes. In one note program, the issuer in turn contributed the note offering proceeds to a subsidiary for investment in real estate or real estate-related debt and investments. In the other notes program, the issuer in turn used the offering proceeds to fund real estate-based loans secured by a first position mortgage. Investors in these notes programs made loans to the respective issuer by investing in its notes, and did not acquire equity interests therein.
Additionally, one program sponsored by Bluerock offered notes and preferred equity to be issued by a limited liability company affiliated with Bluerock. The issuer in this program borrowed funds from investors, who invested in the issuer’s notes, and issued preferred equity to investors in exchange for capital contributions. The issuer in turn used the offering proceeds to fund the development costs of a residential condominium project. We refer to this program and the notes programs discussed in the paragraph above as the “Notes Programs.”
Other than the Notes Programs sponsored by Bluerock, certain of the investment objectives of the Bluerock-sponsored programs are similar to ours, including the acquisition and operation of commercial or multifamily properties; the provision of stable cash flow available for distribution to investors; preservation and protection of investor capital; and the realization of capital appreciation upon the ultimate sale or refinancing of the program properties. See “Investment Strategies, Objectives and Policies” in our Registration Statement on Form S-11 (File No. 333-153135), as amended. Bluerock considers the investment objectives of the Notes Programs to be different than the other Prior Real Estate Programs. An investor in each Notes Program is making an investment in notes, which is a loan to the issuer, not an equity investment. The investment objective of each Notes Program is to provide fixed payments of interest to notes investors and return principal to notes investors, regardless of the underlying performance of the real estate assets or loans, and to provide a high, risk-adjusted return to investors in the preferred equity of the third Notes Program based on sales of individual, residential condominium units to be developed and not the operation and rental of the underlying property. Because the Notes Programs do not have similar investment objectives to Bluerock’s other Prior Real Estate Programs, the Tables do not include information on the Notes Programs.
Our advisor is responsible for the acquisition, origination, financing, operation, maintenance and disposition of our investments. Key members of the management of Bluerock indirectly own and control our advisor and will play a significant role in the promotion of this offering and the operation of our advisor. The financial results of the Prior Real Estate Programs thus may provide some indication of our advisor’s ability to perform its obligations. However, general economic conditions affecting the real estate industry and other factors contribute significantly to financial results.
As an investor in our company, you will not own any interest in the Prior Real Estate Programs and should not assume that you will experience returns, if any, comparable to those experienced by investors in the Prior Real Estate Programs.
The following tables are included herein:
| · | Table I – Experience in Raising and Investing Funds; |
| · | Table II – Compensation to Sponsor; |
| · | Table III – Operating Results of Prior Programs; and |
| · | Table V – Sales of Disposals of Properties. |
Table IV – Results of Completed Programs has been omitted because no Prior Real Estate Programs were responsive to the instructions of this table.
The information in these tables should be read together with the summary information under “Prior Performance Summary” in our Registration Statement on Form S-11 (File No. 333-153135), as amended.
TABLE I
(UNAUDITED)
EXPERIENCE IN RAISING AND INVESTING FUNDS
This Table I sets forth a summary of experience of Bluerock Real Estate, L.L.C. in raising and investing funds in Prior Real Estate Programs the offerings of which have closed in the three years ended December 31, 2011. All of the Prior Real Estate Programs presented in this Table I have similar or identical investment objectives to Bluerock Enhanced Multifamily Trust, Inc. Information is provided with regard to the manner in which the proceeds of the offerings have been applied. Also set forth is information pertaining to the timing and length of these offerings and the time period over which the proceeds have been invested in the properties. All figures are as of December 31, 2011.
| Valley Townhomes, DST | Plaza Gardens, DST | Town & Country Corporate Center | BR Mesa Ridge, DST | BR Marietta, LLC (Savannah Court) | Bluerock Special Opportunity + Income Fund, LLC | BR Tech Ridge Investment, LLC | BR Chapel Hill Investment, LLC | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Dollar amount offered | $19,567,189 | $ | 8,620,783 | $ | 24,090,630 | $ | 5,156,471 | $ | 7,949,505 | $ | 50,000,000 | $ | 2,500,000 | $ | 3,053,465 | |||||||||||||||||||||||||||||||||||||||||||||||
| Dollar amount raised | $17,909,635 | 91.5 | % | $ | 8,620,783 | 100.0 | % | $ | 24,090,630 | 100.0 | % | $ | 5,156,471 | 100.0 | % | $ | 7,949,505 | 100.0 | % | $ | 29,118,119 | 58.2 | % | $ | 2,500,000 | 100.0 | % | $ | 3,053,465 | 100.0 | % | |||||||||||||||||||||||||||||||
| Less offering expenses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Selling commissions and | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| discounts retained by affiliates | 1,433,484 | 8.0 | % | 775,871 | 9.0 | % | 2,168,157 | 9.0 | % | 489,865 | 9.5 | % | 564,505 | 7.1 | % | 2,940,653 | 10.1 | % | 288,710 | 11.6 | % | 304,650 | 10.0 | % | ||||||||||||||||||||||||||||||||||||||
| Organizational expenses | 560,719 | 3.1 | % | 215,520 | 2.5 | % | 602,266 | 2.5 | % | 128,912 | 2.5 | % | 198,738 | 2.5 | % | 1,641,015 | 5.6 | % | 135,290 | 5.4 | % | 84,851 | 2.8 | % | ||||||||||||||||||||||||||||||||||||||
| Reserves | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||||||||
| Other | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||||||||||||
| Amount available for investment | $15,915,432 | 80.4 | % | $ | 7,629,392 | 88.5 | % | $ | 21,320,207 | 88.5 | % | $ | 4,537,694 | 88.0 | % | $ | 7,186,262 | 90.4 | % | $ | 24,536,451 | 42.5 | % | $ | 2,076,000 | 83.0 | % | $ | 2,663,964 | 87.2 | % | |||||||||||||||||||||||||||||||
| Acquisition costs: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cash invested | 14,161,820 | 36.4 | % | 6,853,268 | 26.9 | % | 19,647,761 | 36.6 | % | 4,253,777 | 38.9 | % | 6,430,743 | 35.9 | % | 15,981,024 | 97.1 | % | 1,900,050 | 97.7 | % | 2,410,100 | 93.0 | % | ||||||||||||||||||||||||||||||||||||||
| Acquisition fees | 1,196,760 | 3.1 | % | 633,000 | 2.5 | % | 1,282,500 | 2.3 | % | 328,244 | 3.0 | % | 693,566 | 3.9 | % | 484,537 | 2.9 | % | 8,163 | 0.4 | % | 146,068 | 5.7 | % | ||||||||||||||||||||||||||||||||||||||
| Loan costs | 556,852 | 1.4 | % | 1,134,516 | 4.4 | % | 3,160,368 | 5.9 | % | 574,450 | 5.2 | % | 715,908 | 4.0 | % | - | - | 37,422 | 1.9 | % | 34,808 | 1.3 | % | |||||||||||||||||||||||||||||||||||||||
| Mortgage financing | 23,011,000 | 59.1 | % | 16,880,000 | 66.2 | % | 29,650,000 | 55.2 | % | 5,785,000 | 52.9 | % | 10,075,000 | 56.2 | % | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||||||
| Total acquisition cost | $38,926,432 | 100.0 | % | $ | 25,500,784 | 100.0 | % | $ | 53,740,629 | 100.0 | % | $ | 10,941,471 | 100.0 | % | $ | 17,915,217 | 100.0 | % | $ | 16,465,561 | 100.0 | % | $ | 1,945,635 | 100.0 | % | $ | 2,590,976 | 100.0 | % | |||||||||||||||||||||||||||||||
| Percent leverage | 59.1% | 66.2 | % | 55.2 | % | 52.9 | % | 56.2 | % | 0.0 | % | 0.0 | % | 0.0 | % | |||||||||||||||||||||||||||||||||||||||||||||||
| Date offering began | 7/17/2008 | 9/19/2008 | 11/15/2008 | 1/15/2011 | 1/26/2011 | 2/8/2008 | 4/2/2010 | 2/28/2011 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Length of offering (in months) | 20.5 | 33.0 | 12.0 | 8.0 | 4.0 | 22.0 | 4.0 | 4.0 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Months to invest 90% of amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| available for investment | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (measured from the beginning | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| of the offering) | 13 | 30 | 6 | (1 | ) | 7 | 4 | 19 | 2 | 4 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
_____________________________
(1) Total raised through sales to investors for Town & Country is $1,783,264. 90% of that total was reached in the 6 month of the offering period.
| TABLE II |
| (UNAUDITED) |
| COMPENSATION TO SPONSOR |
This Table II sets forth the types of compensation received by Bluerock Real Estate, L.L.C., and its affiliates, including compensation paid out of offering proceeds and compensation paid in connection with ongoing operations, in connection with eight programs the offerings of which have closed in the three years ended December 31, 2011. All of the Prior Real Estate Programs presented in this Table II have similar or identical investment objectives to Bluerock Enhanced Multifamily Trust, Inc. All figures are as of December 31, 2011.
| Valley Townhomes, DST | Plaza Gardens, DST | Town & Country Corp Center | BR Mesa Ridge, DST | BR Marietta, LLC (Savannah Court) | Bluerock Special Opportunity + Income Fund, LLC | BR Tech Ridge Investment, LLC | BR Chapel Hill Investment, LLC | Other Programs (3) | Total | ||||||||||||||||||||||||||||||||
| Date offering commenced | 7/17/2008 | 9/19/2008 | 11/15/2008 | 1/15/2011 | 1/26/2011 | 2/8/2008 | 4/2/2010 | 2/28/2011 | |||||||||||||||||||||||||||||||||
| Dollar amount raised | $ | 17,909,635 | $ | 8,620,783 | $ | 24,090,630 | $ | 5,156,471 | $ | 7,949,505 | $ | 29,118,119 | $ | 2,500,000 | $ | 3,053,465 | $ | 130,066,716 | $ | 228,465,324 | |||||||||||||||||||||
| Amount paid to sponsor from proceeds | |||||||||||||||||||||||||||||||||||||||||
| of offering: | |||||||||||||||||||||||||||||||||||||||||
| Underwriting fees | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||||||||
| Acquisition fees | |||||||||||||||||||||||||||||||||||||||||
| - real estate commissions | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||
| - advisory fees | 1,196,760 | 278,484 | - | 328,244 | 538,566 | 1,238,264 | 8,163 | 146,068 | 7,815,474 | 11,550,023 | |||||||||||||||||||||||||||||||
| - Reimbursed offering expenses | 560,719 | 256,152 | 785,458 | 122,402 | 198,738 | 146,341 | - | - | 3,063,825 | 5,133,635 | |||||||||||||||||||||||||||||||
| Other | - | - | - | - | - | - | 135,290 | 84,851 | 70,000 | 290,141 | |||||||||||||||||||||||||||||||
| Total amount paid to sponsor | $ | 1,757,479 | $ | 534,636 | $ | 785,458 | $ | 450,646 | $ | 737,304 | $ | 1,384,605 | $ | 143,453 | $ | 230,919 | $ | 10,949,299 | $ | 16,973,799 | |||||||||||||||||||||
| Dollar amount of cash generated | |||||||||||||||||||||||||||||||||||||||||
| from operations before deducting | |||||||||||||||||||||||||||||||||||||||||
| payments to sponsor | $ | 2,963,612 | $ | 232,547 | $ | 2,682,477 | $ | 224,365 | $ | 279,498 | $ | 9,241,835 | $ | 886,747 | $ | 118,965 | $ | 73,629,782 | $ | 90,259,828 | |||||||||||||||||||||
| Amount paid to sponsor from operations: | |||||||||||||||||||||||||||||||||||||||||
| Property management fees | - | - | - | - | - | 318,217 | 73,865 | 37,450 | 2,547,302 | 2,976,834 | |||||||||||||||||||||||||||||||
| Partnership management fees | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||
| Construction management fees | - | - | - | - | - | - | 253,087 | 9,227 | 1,362,048 | 1,624,362 | |||||||||||||||||||||||||||||||
| Reimbursements | - | - | - | - | - | - | 54,477 | 27,485 | 190,057 | 272,019 | |||||||||||||||||||||||||||||||
| Leasing commissions | - | - | - | - | - | 69,186 | - | - | 186,483 | 255,669 | |||||||||||||||||||||||||||||||
| Asset Management Fee | - | - | - | - | - | - | - | - | 614,453 | 614,453 | |||||||||||||||||||||||||||||||
| Oversight
Fee | - | - | - | 11,842 | - | - | - | - | - | 11,842 | |||||||||||||||||||||||||||||||
| Other
| - | - | - | - | - | 997,202 | - | - | - | 997,202 | |||||||||||||||||||||||||||||||
| | |||||||||||||||||||||||||||||||||||||||||
| Dollar amount of property sales and | |||||||||||||||||||||||||||||||||||||||||
| refinancing before deducting | |||||||||||||||||||||||||||||||||||||||||
| payments to sponsor: | |||||||||||||||||||||||||||||||||||||||||
| -
cash | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||
| -
notes | - | - | - | - | - | - | 4,408,600 | (1) | 2,175,500 | (2) | - | 6,584,097 | |||||||||||||||||||||||||||||
| Amount paid to sponsor from property sales | |||||||||||||||||||||||||||||||||||||||||
| and refinancing: | |||||||||||||||||||||||||||||||||||||||||
| Real estate commissions | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||
| Incentive
fees | - | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||
| Other
| - | - | - | - | - | 807,870 | 37,422 | 21,755 | - | 867,047 | |||||||||||||||||||||||||||||||
(1) Tech Ridge Property in which the Tech Ridge Fund holds an indirect equity ownership of 31.49% in refinanced its property loan for $14.0 million. $4,408,600 represents the Fund's pro-rata ownership share of the $14.0 million loan.
(2) Chapel Hill Property, in which the Chapel Hill Fund holds an indirect equity ownership of 43.51%, refinanced its property loan for $5.0 million. $2,175,000 represents the Fund's pro-rata ownership share of the $5.0 million loan.
(3) Includes amounts paid to sponsor in the most recent three years for seven other programs that closed prior to most recent three years.
| TABLE III |
| (UNAUDITED) |
| ANNUAL OPERATING RESULTS OF PRIOR REAL ESTATE PROGRAMS |
This Table III sets forth the annual operating results of Prior Real Estate Programs sponsored by Bluerock Real Estate, L.L.C. and its affiliates that have closed offerings during the five years ended December 31, 2011. All of the Prior Real Estate Programs presented in this Table III have similar or identical investment objectives to Bluerock Enhanced Multifamily Trust, Inc. All figures are for the period commencing January 1 of the year acquired, except as otherwise noted.
BR North Park Towers, DST (Sponsores by Bluerock Real Estate, L.L.C.)
| 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | |||||||||||||||||||
| Gross revenue | $ | 867,355 | $ | 2,165,177 | $ | 2,145,856 | $ | 2,099,164 | $ | 2,409,865 | $ | 1,222,156 | ||||||||||||
| Interest income | - | - | - | - | - | - | ||||||||||||||||||
| Less: | ||||||||||||||||||||||||
| Operating expenses | - | - | - | - | - | - | ||||||||||||||||||
| Interest expense | 334,676 | 806,665 | 817,705 | 838,047 | 891,853 | 764,926 | ||||||||||||||||||
| Property and asset management fees | - | - | - | - | - | - | ||||||||||||||||||
| General and administrative | 32,044 | 116,998 | 120,162 | 118,150 | 607,654 | 469,230 | ||||||||||||||||||
| Commissions | - | - | - | - | - | - | ||||||||||||||||||
| Depreciation and amortization | 512,927 | 1,259,215 | 1,286,330 | 1,295,774 | 1,349,138 | 1,370,314 | ||||||||||||||||||
| Net income - GAAP basis | $ | (12,292 | ) | $ | (17,701 | ) | $ | (78,340 | ) | $ | (152,807 | ) | $ | (438,780 | ) | $ | (1,382,314 | ) | ||||||
| Taxable income | ||||||||||||||||||||||||
| - from operations | $ | (12,292 | ) | $ | (17,701 | ) | $ | (78,340 | ) | $ | (152,807 | ) | $ | (438,780 | ) | $ | (1,382,314 | ) | ||||||
| - from gain on sale | - | - | - | - | - | - | ||||||||||||||||||
| Cash generated from operations | 193,293 | 838,586 | 247,915 | 415,545 | 302,906 | - | ||||||||||||||||||
| Cash generated from sales | - | - | - | - | - | - | ||||||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | - | ||||||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | - | ||||||||||||||||||
| and refinancing | 193,293 | 838,586 | 247,915 | 415,545 | 302,906 | - | ||||||||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||||||
| - from operating cash flow | 88,823 | - | 215,589 | 415,545 | 104,274 | - | ||||||||||||||||||
| - from sales and refinancing | - | - | - | - | - | - | ||||||||||||||||||
| - from other | - | - | - | 191,054 | - | - | ||||||||||||||||||
| Cash generated (deficiency) after cash distributions | 104,470 | 838,586 | 32,326 | (191,054 | ) | 198,632 | - | |||||||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||||||
| Improvements to building | 72,080 | 219,681 | 205,489 | 445,544 | 238,500 | 65,506 | ||||||||||||||||||
| Other | 34,837 | 34,224 | 65,660 | 25,231 | 35,158 | - | ||||||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||||||
| and special items | $ | (2,446 | ) | $ | 584,681 | $ | (238,822 | ) | $ | (661,829 | ) | $ | (75,026 | ) | $ | (65,506 | ) | |||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||||||
| - from operations | $ | (1 | ) | $ | (2 | ) | $ | (7 | ) | $ | (13 | ) | $ | (38 | ) | $ | (50 | ) | ||||||
| - from recapture | - | - | - | - | - | - | ||||||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||
| Cash distribution to investors | ||||||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||||||
| - from investment income | $ | 8 | $ | - | $ | 19 | $ | 36 | $ | 9 | $ | - | ||||||||||||
| - from return of capital | - | - | - | - | - | - | ||||||||||||||||||
| Total distributions on GAAP basis | $ | 8 | $ | - | $ | 19 | $ | 36 | $ | 9 | $ | - | ||||||||||||
| Source (on cash basis) | ||||||||||||||||||||||||
| - from operations | $ | 8 | $ | - | $ | 19 | $ | 36 | $ | 9 | $ | - | ||||||||||||
| - from refinancing | - | - | - | - | - | - | ||||||||||||||||||
| - from other | - | - | - | - | - | - | ||||||||||||||||||
| - from sales | - | - | - | - | - | - | ||||||||||||||||||
| Total distributions on cash basis | $ | 8 | $ | - | $ | 19 | $ | 36 | $ | 9 | $ | - | ||||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||||
Summit at Southpoint (sponsored by Bluerock Real Estate, L.L.C.)
| 2007 | 2008 | 2009 | 2010 | 2011 | ||||||||||||||||
| Gross revenue | $ | 4,594,040 | $ | 4,844,940 | $ | 4,543,029 | $ | 4,855,748 | $ | 3,127,210 | ||||||||||
| Interest income | 63,770 | 19,749 | 7,855 | 5,117 | 4,487 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Operating expenses | 1,893,957 | 1,876,996 | 1,817,877 | 1,652,949 | 1,533,306 | |||||||||||||||
| Interest expense | 1,620,832 | 1,356,549 | 1,352,842 | 1,352,842 | 1,363,961 | |||||||||||||||
| Property and asset management fees | 181,349 | 355,891 | 227,596 | 253,871 | 123,519 | |||||||||||||||
| General and administrative | 82,099 | 112,526 | 49,678 | 86,382 | 229,731 | |||||||||||||||
| Commissions | - | - | - | - | - | |||||||||||||||
| Depreciation and amortization | 587,252 | 614,799 | 696,371 | 785,649 | 442,938 | |||||||||||||||
| Net Income - GAAP basis | $ | 292,320 | $ | 547,928 | $ | 406,520 | $ | 729,172 | $ | (561,758 | ) | |||||||||
| Taxable income | ||||||||||||||||||||
| - from operations | $ | 292,320 | $ | 547,928 | $ | 406,520 | $ | 729,172 | $ | (561,758 | ) | |||||||||
| - from gain on sale | - | - | - | - | - | |||||||||||||||
| Cash generated from operations | 1,151,744 | 1,188,747 | (596,287 | ) | 1,386,285 | 10,201 | ||||||||||||||
| Cash generated from sales | - | - | - | - | - | |||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | |||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | |||||||||||||||
| and refinancing | 1,151,744 | 1,188,747 | (596,287 | ) | 1,386,285 | 10,201 | ||||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||
| - from operating cash flow | 537,825 | 1,114,975 | 357,558 | 135,450 | 135,450 | |||||||||||||||
| - from sales and refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | 613,919 | 73,772 | (953,845 | ) | 1,250,835 | (125,249 | ) | |||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||
| Improvements to building | 336,367 | 147,866 | 207,036 | 245,457 | 812,091 | |||||||||||||||
| Other | 21,020 | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||
| and special items | $ | 256,532 | $ | (74,094 | ) | $ | (1,160,881 | ) | $ | 1,005,378 | $ | (937,340 | ) | |||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||
| - from operations | $ | 22 | $ | 41 | $ | 30 | $ | 54 | $ | (41 | ) | |||||||||
| - from recapture | - | - | - | - | - | |||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Cash distribution to investors | ||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||
| - from investment income | $ | 40 | $ | 83 | $ | 27 | $ | 10 | $ | 10 | ||||||||||
| - from return of capital | - | - | - | - | - | |||||||||||||||
| Total distributions on GAAP basis | $ | 40 | $ | 83 | $ | 27 | $ | 10 | $ | 10 | ||||||||||
| Source (on cash basis) | ||||||||||||||||||||
| - from operations | $ | 40 | $ | 83 | $ | 27 | $ | 10 | $ | 10 | ||||||||||
| - from refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| - from sales | - | - | - | - | - | |||||||||||||||
| Total distributions on cash basis | $ | 40 | $ | 83 | $ | 27 | $ | 10 | $ | 10 | ||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||
_________________________________
(1) The property owned by Summit at Southpoint was purchased on February 22, 2006.
| Landmark/Laumeier Office Portfolio (sponsored by Bluerock Real Estate, L.L.C.) | ||||||||||||||||||||
| 2007 (1) | 2008 | 2009 | 2010 | 2011 | ||||||||||||||||
| Gross revenue | $ | 3,202,979 | $ | 3,608,620 | $ | 3,784,480 | $ | 3,462,669 | $ | 3,494,587 | ||||||||||
| Interest income | 2,978 | 24,729 | 16,688 | 6,237 | 4,705 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Operating expenses | 998,593 | 1,491,113 | 1,319,332 | 1,209,159 | 1,362,757 | |||||||||||||||
| Interest expense | 880,119 | 1,049,505 | 1,046,637 | 1,046,637 | 1,046,638 | |||||||||||||||
| Property and asset management fees | 142,422 | 217,125 | 228,895 | 218,323 | 214,766 | |||||||||||||||
| General and administrative | 19,136 | 55,346 | 108,149 | 144,903 | 194,395 | |||||||||||||||
| Depreciation and amortization | 479,502 | 578,004 | 596,984 | 619,872 | 841,546 | |||||||||||||||
| Net Income - GAAP basis | $ | 686,185 | $ | 242,257 | $ | 501,171 | $ | 230,012 | $ | (160,810 | ) | |||||||||
| Taxable income | ||||||||||||||||||||
| - from operations | $ | 686,185 | $ | 242,257 | $ | 501,171 | $ | 230,012 | $ | (160,810 | ) | |||||||||
| - from gain on sale | - | - | - | - | - | |||||||||||||||
| Cash generated from operations | 306,846 | 1,683,131 | 810,365 | 854,816 | 745,856 | |||||||||||||||
| Cash generated from sales | - | - | - | - | - | |||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | |||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | |||||||||||||||
| and refinancing | 306,846 | 1,683,131 | 810,365 | 854,816 | 745,856 | |||||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||
| - from operating cash flow | 197,822 | 530,401 | 557,726 | 564,375 | 564,375 | |||||||||||||||
| - from sales and refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | 109,024 | 1,152,730 | 252,639 | 290,441 | 181,481 | |||||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||
| Improvements to building | 87,649 | 66,696 | 142,668 | 153,992 | 1,183,514 | |||||||||||||||
| Other | - | 147,937 | 63,880 | 33,717 | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||
| and special items | $ | 21,375 | $ | 938,097 | $ | 46,091 | $ | 102,732 | $ | (1,002,033 | ) | |||||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||
| - from operations | $ | 92 | $ | 33 | $ | 67 | $ | 31 | $ | (21 | ) | |||||||||
| - from recapture | - | - | - | - | - | |||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Cash distribution to investors | ||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||
| - from investment income | $ | 27 | $ | 71 | $ | 75 | $ | 76 | $ | 75 | ||||||||||
| - from return of capital | - | - | - | - | - | |||||||||||||||
| Total distributions on GAAP basis | $ | 27 | $ | 71 | $ | 75 | $ | 76 | $ | 75 | ||||||||||
| Source (on cash basis) | ||||||||||||||||||||
| - from operations | $ | 27 | $ | 71 | $ | 75 | $ | 76 | $ | 75 | ||||||||||
| - from refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| - from sales | - | - | - | - | - | |||||||||||||||
| Total distributions on cash basis | $ | 27 | $ | 71 | $ | 75 | $ | 76 | $ | 75 | ||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||
_________________________________
(1) The property owned by Landmark/Laumeier Portfolio was purchased on May 14, 2007.
| 1355 First Avenue (sponsored by Bluerock Real Estate, L.L.C.) | ||||||||||||||||||||
| 2007 (1) | 2008 | 2009 | 2010 | 2011 | ||||||||||||||||
| Gross revenue | $ | - | $ | 2,787,649 | $ | 2,500,000 | $ | 1,249,500 | $ | 1,249,500 | ||||||||||
| Interest income | 59,607 | 96,724 | 36,916 | 2 | - | |||||||||||||||
| Less: | ||||||||||||||||||||
| Operating expenses | 60,000 | - | - | - | 1,249,500 | |||||||||||||||
| Interest expense | 1,020,964 | - | - | - | - | |||||||||||||||
| Property and asset management fees | - | - | - | - | - | |||||||||||||||
| General and administrative | 95,225 | 19,609 | 929,600 | 1,281,830 | 12,474 | |||||||||||||||
| Commissions | - | - | - | - | - | |||||||||||||||
| Depreciation and amortization | - | - | - | - | - | |||||||||||||||
| Net Income - GAAP basis | $ | (1,116,582 | ) | $ | 2,864,765 | $ | 1,607,316 | $ | (32,328 | ) | $ | (12,474 | ) | |||||||
| Taxable income | ||||||||||||||||||||
| - from operations | $ | - | $ | 2,864,765 | $ | 1,607,316 | $ | (32,328 | ) | $ | (12,474 | ) | ||||||||
| - from gain on sale | - | - | - | - | - | |||||||||||||||
| Cash generated from operations | (1,347,451 | ) | 2,864,765 | 1,607,316 | (32,328 | ) | - | |||||||||||||
| Cash generated from sales | - | - | - | - | - | |||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | |||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | |||||||||||||||
| and refinancing | (1,347,451 | ) | 2,864,765 | 1,607,316 | (32,328 | ) | - | |||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||
| - from operating cash flow | - | 1,641,714 | 1,641,714 | - | - | |||||||||||||||
| - from sales and refinancing | 101,719 | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | (1,449,170 | ) | 1,223,051 | (34,398 | ) | (32,328 | ) | - | ||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||
| Improvements to building | 1,348,767 | 13,254,395 | - | - | - | |||||||||||||||
| Other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||
| and special items | $ | (2,797,937 | ) | $ | (12,031,344 | ) | $ | (34,398 | ) | $ | (32,328 | ) | $ | - | ||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||
| - from operations | $ | (55 | ) | $ | 92 | $ | 51 | $ | (1 | ) | $ | - | ||||||||
| - from recapture | - | - | - | - | - | |||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Cash distribution to investors | ||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||
| - from investment income | $ | - | $ | 53 | $ | 53 | $ | - | $ | - | ||||||||||
| - from return of capital | - | - | - | - | - | |||||||||||||||
| Total distributions on GAAP basis | $ | - | $ | 53 | $ | 53 | $ | - | $ | - | ||||||||||
| Source (on cash basis) | ||||||||||||||||||||
| - from operations | $ | - | $ | 53 | $ | 53 | $ | - | $ | - | ||||||||||
| - from refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| - from sales | - | - | - | - | - | |||||||||||||||
| Total distributions on cash basis | $ | - | $ | 53 | $ | 53 | $ | - | $ | - | ||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||
_________________________________
(1) The property owned by 1355 First Avenue was purchased on June 29, 2007
| Huntsville - Cummings Research Park - Portfolio I | ||||||||||||||||||||
| 2007 | 2008 | 2009 | 2010 | 2011 | ||||||||||||||||
| Gross revenue | $ | 1,487,708 | $ | 7,289,265 | $ | 7,352,316 | $ | 8,414,035 | $ | 8,780,506 | ||||||||||
| Interest income | 31,243 | 26,097 | 12,190 | 3,928 | 2,863 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Operating expenses | 268,377 | 3,544,865 | 3,054,756 | 3,254,161 | 3,534,892 | |||||||||||||||
| Interest expense | - | 2,121,351 | 2,137,262 | 2,115,555 | 2,115,555 | |||||||||||||||
| Property and asset management fees | 33,867 | 367,068 | 539,099 | 511,091 | 512,824 | |||||||||||||||
| General and administrative | 4,949 | 106,368 | 83,840 | 171,097 | 94,034 | |||||||||||||||
| Commissions | - | - | - | - | - | |||||||||||||||
| Depreciation and amortization | 517,388 | 3,120,810 | 3,160,544 | 3,212,140 | 3,672,263 | |||||||||||||||
| Net Income - GAAP basis | $ | 694,370 | $ | (1,945,100 | ) | $ | (1,610,995 | ) | $ | (846,081 | ) | $ | (1,146,199 | ) | ||||||
| Taxable income | ||||||||||||||||||||
| - from operations | $ | 694,370 | $ | (1,945,100 | ) | $ | (1,610,995 | ) | $ | (846,081 | ) | $ | (1,146,199 | ) | ||||||
| - from gain on sale | ||||||||||||||||||||
| Cash generated from operations | 11,107,095 | 1,185,345 | 2,913,660 | 2,104,243 | 2,201,329 | |||||||||||||||
| Cash generated from sales | - | - | - | - | - | |||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | |||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | |||||||||||||||
| and refinancing | 11,107,095 | 1,185,345 | 2,913,660 | 2,104,243 | 2,201,329 | |||||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||
| - from operating cash flow | - | 1,350,057 | 1,561,452 | 877,587 | 1,885,638 | |||||||||||||||
| - from sales and refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | 11,107,095 | (164,712 | ) | 1,352,208 | 1,226,656 | 315,691 | ||||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||
| Improvements to building | - | 2,388,717 | 146,824 | 324,236 | 1,024,522 | |||||||||||||||
| Other | - | 96,876 | 351,925 | 114,385 | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||
| and special items | $ | 11,107,095 | $ | (2,650,305 | ) | $ | 853,459 | $ | 788,035 | $ | (708,831 | ) | ||||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||
| - from operations | $ | - | $ | (80 | ) | $ | (67 | ) | $ | (35 | ) | $ | (47 | ) | ||||||
| - from recapture | - | - | - | - | - | |||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Cash distribution to investors | ||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||
| - from investment income | $ | - | $ | 56 | $ | 64 | $ | 36 | $ | 78 | ||||||||||
| - from return of capital | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Total distributions on GAAP basis | $ | - | $ | 56 | $ | 64 | $ | 36 | $ | 78 | ||||||||||
| Source (on cash basis) | ||||||||||||||||||||
| - from operations | $ | - | $ | 56 | $ | 64 | $ | 36 | $ | 78 | ||||||||||
| - from refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| - from sales | - | - | - | - | - | |||||||||||||||
| Total distributions on cash basis | $ | - | $ | 56 | $ | 64 | $ | 36 | $ | 78 | ||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||
| Huntsville - Cummings Research Park - Portfolio II | ||||||||||||||||||||
| 2007 | 2008 | 2009 | 2010 | 2011 | ||||||||||||||||
| Gross revenue | $ | 1,314,505 | $ | 8,511,115 | $ | 9,213,136 | $ | 9,287,664 | $ | 9,448,259 | ||||||||||
| Interest income | 136,487 | 29,370 | 9,768 | 2,716 | 1,228 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Operating expenses | 260,708 | 3,466,514 | 3,632,458 | 3,606,173 | 3,706,749 | |||||||||||||||
| Interest expense | - | 2,690,334 | 2,702,035 | 2,682,983 | 2,682,983 | |||||||||||||||
| Property and asset management fees | 41,392 | 534,851 | 602,508 | 545,046 | 609,413 | |||||||||||||||
| General and administrative | 9,020 | 136,070 | 97,671 | 221,110 | 101,982 | |||||||||||||||
| Commissions | - | - | - | - | - | |||||||||||||||
| Depreciation and amortization | 359,308 | 2,174,579 | 2,247,563 | 2,404,671 | 4,085,029 | |||||||||||||||
| Net Income - GAAP basis | $ | 780,564 | $ | (461,863 | ) | $ | (59,331 | ) | $ | (169,603 | ) | $ | (1,736,669 | ) | ||||||
| Taxable income | ||||||||||||||||||||
| - from operations | $ | 780,564 | $ | (461,863 | ) | $ | (59,331 | ) | $ | (169,603 | ) | $ | (1,736,669 | ) | ||||||
| - from gain on sale | - | - | - | - | - | |||||||||||||||
| Cash generated from operations | 11,020,459 | 2,945,123 | 3,105,688 | 2,756,518 | 2,488,750 | |||||||||||||||
| Cash generated from sales | - | - | - | - | - | |||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | |||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | |||||||||||||||
| and refinancing | 11,020,459 | 2,945,123 | 3,105,688 | 2,756,518 | 2,488,750 | |||||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||
| - from operating cash flow | - | 1,227,028 | 1,500,710 | 1,303,198 | 1,680,651 | |||||||||||||||
| - from sales and refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | 11,020,459 | 1,718,095 | 1,604,978 | 1,453,320 | 808,099 | |||||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||
| Improvements to building | - | 1,461,149 | 1,366,653 | 69,728 | 929,934 | |||||||||||||||
| Other | - | - | - | 1,524,497 | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||
| and special items | $ | 11,020,459 | $ | 256,946 | $ | 238,325 | $ | (140,905 | ) | $ | (121,835 | ) | ||||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||
| - from operations | $ | - | $ | (22 | ) | $ | (3 | ) | $ | (8 | ) | $ | (84 | ) | ||||||
| - from recapture | - | - | - | - | - | |||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Cash distribution to investors | ||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||
| - from investment income | $ | - | $ | 58 | $ | 71 | $ | 61 | $ | 81 | ||||||||||
| - from return of capital | - | - | - | - | - | |||||||||||||||
| Total distributions on GAAP basis | $ | - | $ | 58 | $ | 71 | $ | 61 | $ | 81 | ||||||||||
| Source (on cash basis) | ||||||||||||||||||||
| - from operations | $ | - | $ | 58 | $ | 71 | $ | 61 | $ | 81 | ||||||||||
| - from refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| - from sales | - | - | - | - | - | |||||||||||||||
| Total distributions on cash basis | $ | - | $ | 58 | $ | 71 | $ | 61 | $ | 81 | ||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||
| in program properties at the end of last year reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||
| Huntsville - Cummings Research Park - Portfolio III | ||||||||||||||||||||
| 2007 | 2008 | 2009 | 2010 | 2011 | ||||||||||||||||
| Gross revenue | $ | 1,218,835 | $ | 8,164,819 | $ | 8,691,299 | $ | 8,852,890 | $ | 8,947,715 | ||||||||||
| Interest income | 31,534 | 19,721 | 10,224 | 4,973 | 3,278 | |||||||||||||||
| Less: | ||||||||||||||||||||
| Operating expenses | 305,746 | 3,631,519 | 3,651,460 | 3,618,446 | 3,819,206 | |||||||||||||||
| Interest expense | - | 2,262,117 | 2,250,949 | 2,255,936 | 2,255,936 | |||||||||||||||
| Property and asset management fees | 33,426 | 324,969 | 561,211 | 503,519 | 557,989 | |||||||||||||||
| General and administrative | 9,952 | 327,175 | 144,304 | 242,521 | 131,624 | |||||||||||||||
| Commissions | - | - | - | - | - | |||||||||||||||
| Depreciation and amortization | 319,636 | 2,205,383 | 2,262,351 | 2,340,006 | 3,278,927 | |||||||||||||||
| Net Income - GAAP basis | $ | 581,609 | $ | (566,623 | ) | $ | (168,752 | ) | $ | (102,565 | ) | $ | (1,092,689 | ) | ||||||
| Taxable income | ||||||||||||||||||||
| - from operations | $ | 581,609 | $ | (566,623 | ) | $ | (168,752 | ) | $ | (102,565 | ) | $ | (1,092,689 | ) | ||||||
| - from gain on sale | ||||||||||||||||||||
| Cash generated from operations | 8,981,298 | 2,661,423 | 2,155,584 | 1,984,281 | 2,154,407 | |||||||||||||||
| Cash generated from sales | - | - | - | - | - | |||||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | - | |||||||||||||||
| Total cash generated from operations, sales | - | - | - | - | - | |||||||||||||||
| and refinancing | 8,981,298 | 2,661,423 | 2,155,584 | 1,984,281 | 2,154,407 | |||||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||||||
| - from operating cash flow | - | 1,244,261 | 1,483,267 | 1,290,065 | 1,707,436 | |||||||||||||||
| - from sales and refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | 8,981,298 | 1,417,162 | 672,317 | 694,216 | 446,971 | |||||||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||||||
| Improvements to building | - | 941,557 | 403,095 | 16,448 | 951,336 | |||||||||||||||
| Other | 4,508,843 | - | - | 208,665 | - | |||||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||||||
| and special items | $ | 4,472,455 | $ | 475,605 | $ | 269,222 | $ | 469,103 | $ | (504,365 | ) | |||||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||||||
| Federal income tax results: | ||||||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||||||
| - from operations | $ | - | $ | (27 | ) | $ | (8 | ) | $ | (5 | ) | $ | (52 | ) | ||||||
| - from recapture | ||||||||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||
| Cash distribution to investors | ||||||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||||||
| - from investment income | $ | - | 59 | 70 | 61 | 81 | ||||||||||||||
| - from return of capital | - | - | - | - | - | |||||||||||||||
| Total distributions on GAAP basis | $ | - | $ | 59 | $ | 70 | $ | 61 | $ | 81 | ||||||||||
| Source (on cash basis) | ||||||||||||||||||||
| - from operations | $ | - | 59 | 70 | 61 | 81 | ||||||||||||||
| - from refinancing | - | - | - | - | - | |||||||||||||||
| - from other | - | - | - | - | - | |||||||||||||||
| - from sales | - | - | - | - | - | |||||||||||||||
| Total distributions on cash basis | $ | - | $ | 59 | $ | 70 | $ | 61 | $ | 81 | ||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||||
| Valley Townhomes, DST | ||||||||||||||||
| 2008 | 2009 | 2010 | 2011 | |||||||||||||
| Gross revenue | $ | 1,414,438 | $ | 3,205,082 | $ | 3,340,515 | $ | 2,662,940 | ||||||||
| Interest income | 3,847 | - | - | 417 | ||||||||||||
| Less: | ||||||||||||||||
| Operating expenses | 280,482 | 941,867 | 998,446 | - | ||||||||||||
| Interest expense | 1,076,864 | 2,615,301 | 2,631,181 | 1,423,166 | ||||||||||||
| Property and asset management fees | 40,380 | 96,148 | 99,930 | - | ||||||||||||
| General and administrative | 91,704 | 33,676 | 75,400 | 694 | ||||||||||||
| Commissions | - | - | - | - | ||||||||||||
| Depreciation and amortization | 16,042 | 1,750,616 | - | 1,518,908 | ||||||||||||
| Net Income - GAAP basis | $ | (87,187 | ) | $ | (2,232,526 | ) | $ | (464,442 | ) | $ | (279,411 | ) | ||||
| Taxable income | ||||||||||||||||
| - from operations | $ | (87,187 | ) | $ | (2,232,526 | ) | $ | (464,442 | ) | $ | (279,411 | ) | ||||
| - from gain on sale | ||||||||||||||||
| Cash generated from operations | 734,909 | 849,492 | 530,744 | 848,467 | ||||||||||||
| Cash generated from sales | - | - | - | - | ||||||||||||
| Cash generated from financing/refinancing | - | - | - | - | ||||||||||||
| Total cash generated from operations, sales | ||||||||||||||||
| and refinancing | 734,909 | 849,492 | 530,744 | 848,467 | ||||||||||||
| Less: Cash distributed to investors | ||||||||||||||||
| - from operating cash flow | 141,508 | 909,072 | 769,796 | 358,193 | ||||||||||||
| - from sales and refinancing | - | - | - | - | ||||||||||||
| - from other | - | - | - | - | ||||||||||||
| Cash generated (deficiency) after cash distributions | 593,401 | (59,580 | ) | (239,052 | ) | 490,274 | ||||||||||
| Special items (not including sales and refinancing) | ||||||||||||||||
| Improvements to building | - | 723,407 | - | 307,680 | ||||||||||||
| Other | - | 548,420 | 33,706 | - | ||||||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||||||
| and special items | $ | 593,401 | $ | (1,331,407 | ) | $ | (272,758 | ) | $ | 182,594 | ||||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||||||
| Federal income tax results: | ||||||||||||||||
| Ordinary income (loss) | ||||||||||||||||
| - from operations | $ | (5 | ) | $ | (125 | ) | $ | (26 | ) | $ | (16 | ) | ||||
| - from recapture | ||||||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | $ | - | ||||||||
| Cash distribution to investors | ||||||||||||||||
| Source (on GAAP basis) | ||||||||||||||||
| - from investment income | 8 | 51 | 43 | 20 | ||||||||||||
| - from return of capital | - | - | - | - | ||||||||||||
| Total distributions on GAAP basis | 8 | 51 | 43 | 20 | ||||||||||||
| Source (on cash basis) | ||||||||||||||||
| - from operations | 8 | 51 | 43 | 20 | ||||||||||||
| - from refinancing | - | - | - | - | ||||||||||||
| - from other | - | - | - | - | ||||||||||||
| - from sales | - | - | - | - | ||||||||||||
| Total distributions on cash basis | 8 | 51 | 43 | 20 | ||||||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||||||
| in program properties at the end of last year | ||||||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | 100 | % | ||||||||
_________________________________
(1) The property owned by Valley Townhomes, DST was purchased on July 31, 2008
| Plaza Gardens, DST (Sponsored by Bluerock Real Estate, L.L.C.) | ||||||||||||
| 2009 | 2010 | 2011 | ||||||||||
| Gross revenue | $ | 1,304,980 | $ | 1,429,935 | $ | 1,635,999 | ||||||
| Interest income | - | - | - | |||||||||
| Less: | ||||||||||||
| Operating expenses | - | - | - | |||||||||
| Interest expense | 787,733 | 907,300 | 1,097,200 | |||||||||
| Property and asset management fees | - | - | - | |||||||||
| General and administrative | 27,081 | 2,500 | 978 | |||||||||
| Commissions | - | - | - | |||||||||
| Depreciation and amortization | 978,827 | 962,252 | 1,156,634 | |||||||||
| Net Income - GAAP basis | $ | (488,661 | ) | $ | (442,117 | ) | $ | (618,813 | ) | |||
| Taxable income | ||||||||||||
| - from operations | $ | (488,661 | ) | $ | (442,117 | ) | $ | (618,813 | ) | |||
| - from gain on sale | ||||||||||||
| Cash generated from operations | 198,503 | 320,813 | 232,547 | |||||||||
| Cash generated from sales | - | - | - | |||||||||
| Cash generated from financing/refinancing | - | - | - | |||||||||
| Total cash generated from operations, sales | ||||||||||||
| and refinancing | 198,503 | 320,813 | 232,547 | |||||||||
| Less: Cash distributed to investors | ||||||||||||
| - from operating cash flow | 162,448 | 318,313 | 506,916 | |||||||||
| - from sales and refinancing | - | - | - | |||||||||
| - from other | - | - | - | |||||||||
| Cash generated (deficiency) after cash distributions | 36,055 | 2,500 | (274,369 | ) | ||||||||
| Special items (not including sales and refinancing) | ||||||||||||
| Improvements to building | - | 14,541 | - | |||||||||
| Other | - | - | - | |||||||||
| Cash generated (deficiency) after cash distributions | ||||||||||||
| and special items | $ | 36,055 | $ | (12,041 | ) | $ | (274,369 | ) | ||||
| Tax and Distribution Data Per $1,000 Invested | ||||||||||||
| Federal income tax results: | ||||||||||||
| Ordinary income (loss) | ||||||||||||
| - from operations | $ | (110 | ) | $ | (64 | ) | $ | (74 | ) | |||
| - from recapture | ||||||||||||
| Capital gain (loss) | $ | - | $ | - | $ | - | ||||||
| Cash distribution to investors | ||||||||||||
| Source (on GAAP basis) | ||||||||||||
| - from investment income | 37 | 46 | 59 | |||||||||
| - from return of capital | - | - | - | |||||||||
| Total distributions on GAAP basis | 37 | 46 | 59 | |||||||||
| Source (on cash basis) | ||||||||||||
| - from operations | 37 | 46 | 59 | |||||||||
| - from refinancing | - | - | - | |||||||||
| - from other | - | - | - | |||||||||
| - from sales | - | - | - | |||||||||
| Total distributions on cash basis | 37 | 46 | 59 | |||||||||
| Amount (in percentage terms) remaining invested | ||||||||||||
| in program properties at the end of last year | ||||||||||||
| reported in table | 100 | % | 100 | % | 100 | % | ||||||
_________________________________
(1) The property owned by Plaza Gardens, DST was purchased on August 29, 2008
| Mesa Ridge, DST (Sponsored by Bluerock Real Estate, L.L.C.) | ||||
| 2011 | ||||
| Gross revenue | $ | 550,201 | ||
| Interest income | 457 | |||
| Less: | ||||
| Operating expenses | - | |||
| Interest expense | 224,804 | |||
| Property and asset management fees | - | |||
| General and administrative | 7,375 | |||
| Commissions | - | |||
| Depreciation and amortization | 883,570 | |||
| Net Income - GAAP basis | $ | (565,091 | ) | |
| Taxable income | ||||
| - from operations | $ | (565,091 | ) | |
| - from gain on sale | ||||
| Cash generated from operations | 224,365 | |||
| Cash generated from sales | - | |||
| Cash generated from financing/refinancing | - | |||
| Total cash generated from operations, sales | ||||
| and refinancing | 224,365 | |||
| Less: Cash distributed to investors | ||||
| - from operating cash flow | 225,552 | |||
| - from sales and refinancing | - | |||
| - from other | - | |||
| Cash generated (deficiency) after cash distributions | (1,187 | ) | ||
| Special items (not including sales and refinancing) | ||||
| Improvements to building | 34,426 | |||
| Other | - | |||
| Cash generated (deficiency) after cash distributions | ||||
| and special items | $ | (35,613 | ) | |
| Tax and Distribution Data Per $1,000 Invested | ||||
| Federal income tax results: | ||||
| Ordinary income (loss) | ||||
| - from operations | $ | (110 | ) | |
| - from recapture | ||||
| Capital gain (loss) | $ | - | ||
| Cash distribution to investors | ||||
| Source (on GAAP basis) | ||||
| - from investment income | 44 | |||
| - from return of capital | - | |||
| Total distributions on GAAP basis | 44 | |||
| Source (on cash basis) | ||||
| - from operations | 44 | |||
| - from refinancing | - | |||
| - from other | - | |||
| - from sales | - | |||
| Total distributions on cash basis | 44 | |||
| Amount (in percentage terms) remaining invested | ||||
| in program properties at the end of last year | ||||
| reported in table | 100 | % | ||
_________________________________
(1) The property owned by BR Mesa Ridge, DST was purchased on March 31, 2011
| BR Marietta, LLC (Savannah Court) (Sponsored by Bluerock Real Estate, L.L.C.) | ||||
| 2011 | ||||
| Gross revenue | $ | 726,014 | ||
| Interest income | - | |||
| Less: | ||||
| Operating expenses | - | |||
| Interest expense | 285,501 | |||
| Property and asset management fees | - | |||
| General and administrative | 12,750 | |||
| Commissions | - | |||
| Depreciation and amortization | 373,885 | |||
| Net Income - GAAP basis | $ | 53,878 | ||
| Taxable income | ||||
| - from operations | $ | 53,878 | ||
| - from gain on sale | ||||
| Cash generated from operations | 279,498 | |||
| Cash generated from sales | - | |||
| Cash generated from financing/refinancing | - | |||
| Total cash generated from operations, sales | ||||
| and refinancing | 279,498 | |||
| Less: Cash distributed to investors | ||||
| - from operating cash flow | 326,692 | |||
| - from sales and refinancing | - | |||
| - from other | - | |||
| Cash generated (deficiency) after cash distributions | (47,194 | ) | ||
| Special items (not including sales and refinancing) | ||||
| Improvements to building | 28,630 | |||
| Other | - | |||
| Cash generated (deficiency) after cash distributions | ||||
| and special items | $ | (75,824 | ) | |
| Tax and Distribution Data Per $1,000 Invested | ||||
| Federal income tax results: | ||||
| Ordinary income (loss) | ||||
| - from operations | $ | 7 | ||
| - from recapture | ||||
| Capital gain (loss) | $ | - | ||
| Cash distribution to investors | ||||
| Source (on GAAP basis) | ||||
| - from investment income | 41 | |||
| - from return of capital | - | |||
| Total distributions on GAAP basis | 41 | |||
| Source (on cash basis) | ||||
| - from operations | 41 | |||
| - from refinancing | - | |||
| - from other | - | |||
| - from sales | - | |||
| Total distributions on cash basis | 41 | |||
| Amount (in percentage terms) remaining invested | ||||
| in program properties at the end of last year | ||||
| reported in table | 100 | % | ||
_________________________________
(1) The property owned by BR Marietta, LLC was purchased on May 27, 2011
| BR Chapel Hill Investment, LLC (Sponsored by Bluerock Real Estate, L.L.C.) | ||||
| 2011 | ||||
| Gross revenue | $ | - | ||
| Equity in loss of joint ventures | (504,357 | ) | ||
| Interest income | - | |||
| Less: | ||||
| Operating expenses | - | |||
| Interest expense | - | |||
| Property and asset management fees | 46,677 | |||
| General and administrative | 33,359 | |||
| Acquisition fees | 146,068 | |||
| Depreciation and amortization | 14,866 | |||
| Net Income - GAAP basis | $ | (745,327 | ) | |
| Taxable income | ||||
| - from operations | $ | (722,798 | ) | |
| - from gain on sale | - | |||
| Cash generated from operations | (188,965 | ) | ||
| Cash generated from sales | - | |||
| Cash generated from financing/refinancing (2) | (21,755 | ) | ||
| Total cash generated from operations, sales | ||||
| and refinancing | (210,720 | ) | ||
| Less: Cash distributed to investors | ||||
| - from operating cash flow | - | |||
| - from sales and refinancing | - | |||
| - from other | - | |||
| Cash generated (deficiency) after cash distributions | (210,720 | ) | ||
| Special items (not including sales and refinancing) | ||||
| Issuance of equity (net of syndication costs) | 2,663,964 | |||
| Investment in joint venture | (2,410,000 | ) | ||
| Other | - | |||
| Cash generated (deficiency) after cash distributions | ||||
| and special items | $ | 43,244 | ||
| Tax and Distribution Data Per $1,000 Invested | ||||
| Federal income tax results: | ||||
| Ordinary income (loss) | ||||
| - from operations | $ | (237 | ) | |
| - from recapture | ||||
| Capital gain (loss) | $ | - | ||
| Cash distribution to investors | ||||
| Source (on GAAP basis) | ||||
| - from investment income | - | |||
| - from return of capital | - | |||
| Total distributions on GAAP basis | - | |||
| Source (on cash basis) | ||||
| - from operations | - | |||
| - from refinancing | - | |||
| - from other | - | |||
| - from sales | - | |||
| Total distributions on cash basis | - | |||
| Amount (in percentage terms) remaining invested | ||||
| in program properties at the end of last year | ||||
| reported in table | N/A | (1) | ||
_________________________________
(1) 2011 is the first year of Chapel Hill.
(2) Amount represents financing fee paid.
| BR Tech Ridge Investment, LLC (Sponsored by Bluerock Real Estate, L.L.C.) | ||||||||
| 2010 | 2011 | |||||||
| Gross revenue | $ | - | $ | - | ||||
| Equity in loss of joint ventures | (130,756 | ) | (51,627 | ) | ||||
| Interest income | - | - | ||||||
| Less: | ||||||||
| Operating expenses | - | - | ||||||
| Interest expense | - | - | ||||||
| Property and asset management fees | 253,698 | 71,330 | ||||||
| General and administrative | 2,536 | 70,311 | ||||||
| Acquisition fees | 8,163 | - | ||||||
| Depreciation and amortization | 15,593 | 21,830 | ||||||
| Net Income - GAAP basis | $ | (410,746 | ) | $ | (215,098 | ) | ||
| Taxable income | ||||||||
| - from operations | $ | (150,341 | ) | $ | (283,555 | ) | ||
| - from gain on sale | - | - | ||||||
| Cash generated from operations | (4,930 | ) | (351,107 | ) | ||||
| Cash generated from sales | - | - | ||||||
| Cash generated from financing/refinancing | - | - | ||||||
| Total cash generated from operations, sales | - | |||||||
| and refinancing | (4,930 | ) | (351,107 | ) | ||||
| Less: Cash distributed to investors | ||||||||
| - from operating cash flow | - | - | ||||||
| - from sales and refinancing | - | - | ||||||
| - from other | - | 531,250 | ||||||
| Cash generated (deficiency) after cash distributions | (4,930 | ) | (882,357 | ) | ||||
| Special items (not including sales and refinancing) | ||||||||
| Issuance of equity (net of syndication costs) | 2,076,714 | - | ||||||
| Investment in joint venture | (1,900,050 | ) | - | |||||
| Distributions from joint ventures | 827,968 | |||||||
| Other | - | (38,993 | ) | |||||
| Cash generated (deficiency) after cash distributions | ||||||||
| and special items | $ | 171,734 | $ | (93,382 | ) | |||
| Tax and Distribution Data Per $1,000 Invested | ||||||||
| Federal income tax results: | ||||||||
| Ordinary income (loss) | ||||||||
| - from operations | $ | (60 | ) | $ | (113 | ) | ||
| - from recapture | ||||||||
| Capital gain (loss) | $ | - | $ | - | ||||
| Cash distribution to investors | ||||||||
| Source (on GAAP basis) | ||||||||
| - from investment income | - | - | ||||||
| - from return of capital | - | 213 | ||||||
| Total distributions on GAAP basis | - | 213 | ||||||
| Source (on cash basis) | ||||||||
| - from operations | - | - | ||||||
| - from refinancing | - | - | ||||||
| - from other | - | 213 | ||||||
| - from sales | - | - | ||||||
| Total distributions on cash basis | - | 213 | ||||||
| Amount (in percentage terms) remaining invested | ||||||||
| in program properties at the end of last year | ||||||||
| reported in table | N/A | (1) | 100 | % | ||||
_________________________________
(1) 2010 is the first year of Tech Ridge.
| Special Opportunity and Income Fund, LLC (Sponsored by Bluerock Real Estate, L.L.C.) | ||||||||
| 2010 | 2011 | |||||||
| Gross revenue | $ | 11,728,966 | $ | 6,674,820 | ||||
| Equity in Loss from Investments | (600,786 | ) | (423,447 | ) | ||||
| Interest income | 163,728 | 214,681 | ||||||
| Less: | ||||||||
| Operating expenses | 5,184,864 | 2,717,488 | ||||||
| Interest expense | 2,822,712 | 1,815,519 | ||||||
| Property and asset management fees | 1,277,914 | 639,440 | ||||||
| General and administrative | 698,818 | 605,473 | ||||||
| Commissions | - | - | ||||||
| Depreciation and amortization | 5,130,071 | 2,126,834 | ||||||
| Acquisition & Disposition Fees | 818,378 | 757,834 | ||||||
| (Gain) from Discontinued operations | - | (10,135,635 | ) | |||||
| Noncontrolling Interest | (1,345,394 | ) | 4,332,519 | |||||
| Net Income - GAAP basis | $ | (3,295,455 | ) | $ | 3,606,582 | |||
| Taxable income | ||||||||
| - from operations | $ | (3,703,126 | ) | $ | (3,311,984 | ) | ||
| - from gain on sale | - | 5,983,078 | ||||||
| Cash generated from operations | 2,764,759 | 1,229,290 | ||||||
| Cash generated from sales | - | 17,228,931 | ||||||
| Cash generated from financing/refinancing | 11,264,008 | (127,000 | ) | |||||
| Total cash generated from operations, sales | ||||||||
| and refinancing | 14,028,767 | 18,331,221 | ||||||
| Less: Cash distributed to investors | ||||||||
| - from operating cash flow | 2,329,321 | 2,336,849 | ||||||
| - from sales and refinancing | - | 582,886 | ||||||
| - from other | - | 113,640 | ||||||
| Cash generated (deficiency) after cash distributions | 11,699,446 | 15,297,846 | ||||||
| Special items (not including sales and refinancing) | ||||||||
| Issuance of equity, net | 162,047 | - | ||||||
| Investments in joint ventures | (3,575,323 | ) | (3,182,856 | ) | ||||
| Acquisition of land and buildings | (17,850,371 | ) | - | |||||
| Distributions from joint ventures | 69,293 | 506,811 | ||||||
| Contributions from non-controlling interests | 3,835,837 | - | ||||||
| Distributions to non-controlling interests | - | (8,883,960 | ) | |||||
| Improvements to building | - | - | ||||||
| Other | (963,964 | ) | 3,757,759 | (1) | ||||
| Cash generated (deficiency) after cash distributions | ||||||||
| and special items | $ | (6,623,035 | ) | $ | 7,495,600 | |||
| Tax and Distribution Data Per $1,000 Invested | ||||||||
| Federal income tax results: | ||||||||
| Ordinary income (loss) | ||||||||
| - from operations | $ | (127 | ) | $ | (114 | ) | ||
| - from recapture | ||||||||
| Capital gain (loss) | $ | - | $ | 205 | ||||
| Cash distribution to investors | ||||||||
| Source (on GAAP basis) | ||||||||
| - from investment income | 95 | 244 | ||||||
| - from return of capital | - | 74 | ||||||
| Total distributions on GAAP basis | 95 | 317 | ||||||
| Source (on cash basis) | ||||||||
| - from operations | 95 | 244 | ||||||
| - from refinancing | - | - | ||||||
| - from other | - | - | ||||||
| - from sales | - | 74 | ||||||
| Total distributions on cash basis | 95 | 317 | ||||||
| Amount (in percentage terms) remaining invested | ||||||||
| in program properties at the end of last year | ||||||||
| reported in table | 100 | % | 68 | % | ||||
_________________________________
(1) Includes net activity of restricted cash, investments in and collections on note receivables, and redemptions
| TABLE V |
| (UNAUDITED) |
| SALES OR DISPOSALS OF PROPERTIES |
| Selling Price, Net of Closing Costs and GAAP Adjustments | Cost of Properties Including Closing and Soft Costs | Excess (Deficiency) of Property Operating Receipts over Cash Expenditures(6) | |||||||||||||||||||||||||||||||||||||
| Property | Date Acquired | Date of Sale | Cash received net of closing costs | Mortgage balance at time of sale | Purchase money mortgage taken back by program | Adjustments resulting from application of GAAP | Total | Original mortgage financing | Total acquisition cost, capital improvement closing and soft costs(5) | Total | |||||||||||||||||||||||||||||
| Mesa Ridge Apartments (1) | 12/30/2008 | 3/31/2011 | $ | 3,234,905 | $ | 5,450,945 | $ | - | $ | - | $ | 8,685,850 | (2) | $ | 5,397,000 | $ | 820,860 | $ | 1,386,894 | ||||||||||||||||||||
| The Ashford Apartments | 11/12/2009 | 9/27/2011 | 9,160,916 | 14,812,000 | - | - | 23,972,916 | (3) | 14,812,000 | 414,956 | 2,134,346 | ||||||||||||||||||||||||||||
| Meadows Apartments | 12/30/2008 | 10/11/2011 | 2,404,434 | 2,804,658 | - | - | 5,209,092 | (4) | 2,842,000 | 567,126 | 936,573 | ||||||||||||||||||||||||||||
| (1) | Mesa Ridge Apartments was sold by Bluerock Special Opportunity + Income Fund, LLC to BR Mesa Ridge, DST, an affiliate of Bluerock. |
| (2) | The sale of Mesa Ridge Apartments produced ordinary income of $736,219 and capital gains of $1,978,946. |
| (3) | The sale of Meadows Apartments produced ordinary income of $581,961 and capital gains of $1,590,433. |
| (4) | The sale of The Ashford Apartments produced ordinary income of $797,036 and capital gains of $6,916,825. |
| (5) | Amounts shown do not include pro rata share of program’s original offering costs. |
| (6) | Program administrative costs are not included. |