FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT of 1934
For the quarterly period ended June 30, 2002
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OR
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT of 1934
For the transition period from _____________________ to _____________________
Commission file number
0-17549
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CNL Income Fund IV, Ltd.
- -----------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Florida 59-2854435
- ------------------------------------ ---------------------------
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
450 South Orange Avenue
Orlando, Florida 32801
- ------------------------------------ ---------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number
(including area code) (407) 540-2000
---------------------------
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Sections 13 or 15(d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. Yes X No _____
CONTENTS
Page
Part I.
Item 1. Financial Statements:
Condensed Balance Sheets 1
Condensed Statements of Income 2
Condensed Statements of Partners' Capital 3
Condensed Statements of Cash Flows 4
Notes to Condensed Financial Statements 5-6
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 7-10
Item 3. Quantitative and Qualitative Disclosures About
Market Risk 10
Part II.
Other Information 11-12
CNL INCOME FUND IV, LTD.
(A Florida Limited Partnership)
CONDENSED BALANCE SHEETS
June 30, December 31,
2002 2001
------------------ -------------------
ASSETS
Land and buildings on operating leases, net $ 10,952,939 $ 11,106,349
Net investment in direct financing leases 310,735 323,935
Investment in joint ventures 3,008,254 3,108,042
Cash and cash equivalents 531,717 645,220
Receivables, less allowance for doubtful accounts of $9,858
in 2002 22,628 51,516
Due from related parties -- 4,574
Accrued rental income 281,076 269,464
Other assets 29,624 33,675
------------------ -------------------
$ 15,136,973 $ 15,542,775
================== ===================
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable and accrued expenses $ 8,185 $ 10,252
Real estate taxes payable 49,669 48,654
Distributions payable 523,947 523,947
Due to related parties 199,884 189,985
Rents paid in advance and deposits 38,792 33,068
------------------ -------------------
Total liabilities 820,477 805,906
Partners' capital 14,316,496 14,736,869
------------------ -------------------
$ 15,136,973 $ 15,542,775
================== ===================
See accompanying notes to condensed financial statements.
CNL INCOME FUND IV, LTD.
(A Florida Limited Partnership)
CONDENSED STATEMENTS OF INCOME
Quarter Ended Six Months Ended
June 30, June 30,
2002 2001 2002 2001
-------------- ------------- -------------- --------------
Revenues:
Rental income from operating leases $ 374,296 $ 385,344 $ 745,520 $ 760,791
Earned income from direct financing leases 8,266 8,786 16,666 17,693
Contingent rental income 2,335 19,227 26,437 30,391
Interest and other income 1,405 11,123 3,581 74,963
-------------- ------------- -------------- --------------
386,302 424,480 792,204 883,838
-------------- ------------- -------------- --------------
Expenses:
General operating and administrative 59,708 65,423 131,176 163,000
Property expenses 12,671 17,399 16,693 41,075
State and other taxes 4,729 2,356 14,099 27,161
Depreciation and amortization 77,087 82,673 154,649 167,352
Provision for write-down of assets -- 178,817 -- 178,817
-------------- ------------- -------------- --------------
154,195 346,668 316,617 577,405
-------------- ------------- -------------- --------------
Income Before Loss on Sale of Assets and Equity in
Earnings of Joint Ventures 232,107 77,812 475,587 306,433
Loss on Sale of Assets -- (93,792 ) -- (93,792 )
Equity in Earnings of Joint Ventures 80,011 58,596 151,934 132,097
-------------- ------------- -------------- --------------
Net Income $ 312,118 $ 42,616 $ 627,521 $ 344,738
============== ============= ============== ==============
Net Income per Limited Partner Unit $ 5.20 $ 0.71 $ 10.46 $ 5.75
============== ============= ============== ==============
Weighted Average Number of Limited Partner
Units Outstanding 60,000 60,000 60,000 60,000
============== ============= ============== ==============
See accompanying notes to condensed financial statements.
CNL INCOME FUND IV, LTD.
(A Florida Limited Partnership)
CONDENSED STATEMENTS OF PARTNERS' CAPITAL
Six Months Ended Year Ended
June 30, December 31,
2002 2001
-------------------- ------------------
General partners:
Beginning balance $ 787,351 $ 787,351
Net income -- --
-------------------- ------------------
787,351 787,351
-------------------- ------------------
Limited partners:
Beginning balance 13,949,518 16,008,318
Net income 627,521 1,089,094
Distributions ($17.46 and $52.46 per
limited partner unit, respectively) (1,047,894 ) (3,147,894 )
-------------------- ------------------
13,529,145 13,949,518
-------------------- ------------------
Total partners' capital $ 14,316,496 $ 14,736,869
==================== ==================
See accompanying notes to condensed financial statements.
CNL INCOME FUND IV, LTD.
(A Florida Limited Partnership)
CONDENSED STATEMENTS OF CASH FLOWS
Six Months Ended
June 30,
2002 2001
-------------- ----------------
Increase (Decrease) in Cash and Cash Equivalents
Net Cash Provided by Operating Activities $ 892,407 $ 840,135
-------------- ----------------
Cash Flows from Investing Activities:
Proceeds from sale of assets -- 390,000
Liquidating distribution from joint venture 41,984 --
Payment of lease costs -- (21,250 )
-------------- ----------------
Net cash used in investing activities 41,984 368,750
-------------- ----------------
Cash Flows from Financing Activities:
Distributions to limited partners (1,047,894 ) (1,500,000 )
-------------- ----------------
Net cash used in financing activities (1,047,894 ) (1,500,000 )
-------------- ----------------
Net Decrease in Cash and Cash Equivalents (113,503 ) (291,115 )
Cash and Cash Equivalents at Beginning of Period 645,220 1,366,871
-------------- ----------------
Cash and Cash Equivalents at End of Period $ 531,717 $ 1,075,756
============== ================
Supplemental Schedule of Non-Cash Financing
Activities:
Deferred real estate disposition fees incurred and unpaid at
end of period $ -- $ 11,700
============== ================
Distributions declared and unpaid at end
of period $ 523,947 $ 525,000
============== ================
See accompanying notes to condensed financial statements.
CNL INCOME FUND IV, LTD.
(A Florida Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS
Quarters and Six Months Ended June 30, 2002 and 2001
1. Basis of Presentation:
The accompanying unaudited condensed financial statements have been
prepared in accordance with the instructions to Form 10-Q and do not
include all of the information and note disclosures required by
generally accepted accounting principles. The financial statements
reflect all adjustments, consisting of normal recurring adjustments,
which are, in the opinion of management, necessary to a fair statement
of the results for the interim periods presented. Operating results for
the quarter and six months ended June 30, 2002, may not be indicative
of the results that may be expected for the year ending December 31,
2002. Amounts as of December 31, 2001, included in the financial
statements, have been derived from audited financial statements as of
that date.
These unaudited financial statements should be read in conjunction with
the financial statements and notes thereto included in Form 10-K of CNL
Income Fund IV, Ltd. (the "Partnership") for the year ended December
31, 2001.
Effective January 1, 2002, the Partnership adopted Statement of
Financial Accounting Standards No. 144 "Accounting for the Impairment
or Disposal of Long-Lived Assets." This statement requires that a
long-lived asset be tested for recoverability whenever events or
changes in circumstances indicate that its carrying amount may not be
recoverable. The carrying amount of a long-lived asset is not
recoverable if it exceeds the sum of the undiscounted cash flows
expected to result from the use and eventual disposition of the asset.
The assessment is based on the carrying amount of the asset at the date
it is tested for recoverability. An impairment loss is recognized when
the carrying amount of a long-lived asset exceeds its fair value. If an
impairment is recognized, the adjusted carrying amount of a long-lived
asset is its new cost basis. The statement also requires that the
results of operations of a component of an entity that either has been
disposed of or is classified as held for sale be reported as a
discontinued operation if the disposal activity was initiated
subsequent to the adoption of the Standard.
2. Reclassification
Certain items in the prior year's financial statements have been
reclassified to conform to 2002 presentation. These reclassifications
had no effect on total partners' capital or net income.
3. Investment in Joint Ventures:
In January 2002, Titusville Joint Venture, in which the Partnership
owned a 26.6% interest, sold its property to an unrelated third party
for $180,000 and received net sales proceeds of approximately $165,600
resulting in a gain of approximately $4,900 to the joint venture. The
property was identified for sale as of December 31, 2001. The
Partnership and the joint venture partner dissolved the joint venture
and the Partnership received approximately $42,000 representing its pro
rata share of the joint venture's liquidating distribution. No gain or
loss was recorded relating to the dissolution of the joint venture.
CNL INCOME FUND IV, LTD.
(A Florida Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS
Quarters and Six Months Ended June 30, 2002 and 2001
4. Concentration of Credit Risk:
The following schedule presents total rental revenues from individual
lessees, each representing more than ten percent of the Partnership's
total rental revenues (including the Partnership's share of rental
revenues from joint ventures and the properties held as
tenants-in-common with affiliates of the general partners) for each of
the six months ended June 30:
2002 2001
-------------- -------------
Shoney's, Inc. $ 143,719 $ 169,479
Tampa Foods, L.P. 105,648 99,468
In addition, the following schedule presents total rental revenues from
individual restaurant chains, each representing more than ten percent
of the Partnership's total rental revenues (including the Partnership's
share of total rental revenues from joint ventures and the properties
held as tenants-in-common with affiliates of the general partners) for
each of the six months ended June 30:
2002 2001
-------------- -----------
Wendy's Old Fashioned
Hamburger Restaurants $ 164,356 $ 154,248
Denny's 121,606 120,068
Shoney's 120,044 117,837
Arby's 98,295 N/A
Golden Corral Family Steakhouse
Restaurants N/A 104,522
The information denoted by N/A indicates that for each period
presented, the tenant and the chain did not represent more than ten
percent of the Partnership's total rental revenues.
Although the Partnership's properties are geographically diverse
throughout the United States and the Partnership's lessees operate a
variety of restaurant concepts, default by any of these lessees or
restaurant chains will significantly impact the results of operations
of the Partnership.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS
CNL Income Fund IV, Ltd. (the "Partnership") is a Florida limited
partnership that was organized on November 18, 1987, to acquire for cash, either
directly or through joint venture arrangements, both newly constructed and
existing restaurant properties, as well as land upon which restaurants were to
be constructed, which are leased primarily to operators of national and regional
fast-food and family-style restaurant chains (collectively, the "Properties").
The leases generally are triple-net leases, with the lessees responsible for all
repairs and maintenance, property taxes, insurance and utilities. As of June 30,
2001, the Partnership owned 25 Properties directly and eight Properties
indirectly, through joint venture or tenancy in common arrangements. As of June
30, 2002, the Partnership owned 24 Properties directly and seven Properties
indirectly, through joint venture or tenancy in common arrangements.
Capital Resources
The Partnership's primary source of capital is cash from operating
activities (which includes cash received from tenants, distributions from joint
ventures, and interest and other income received, less cash paid for expenses).
Cash from operating activities was $892,407 and $840,135, during the six months
ended June 30, 2002 and 2001, respectively. The increase in cash from operating
activities for the six months ended June 30, 2002 was primarily a result of
changes in the Partnership's working capital and changes in income and expenses
as described in "Results of Operations" below.
Other sources and uses of capital included the following during the six
months ended June 30, 2002.
In January 2002, Titusville Joint Venture, in which the Partnership
owned a 26.6% interest, sold its Property to an unrelated third party for
$180,000 and received net sales proceeds of approximately $165,600 resulting in
a gain of approximately $4,900 to the joint venture. This Property was
identified for sale as of December 31, 2001. The Partnership and the joint
venture partner dissolved the joint venture in accordance with the joint venture
agreement and the Partnership received approximately $42,000 representing its
pro rata share of the joint venture's liquidating distribution. No gain or loss
was recorded relating to the dissolution of the joint venture. The Partnership
used the majority of the liquidation proceeds to pay liabilities of the
Partnership.
Currently, rental income from the Partnership's Properties is invested
in money market accounts or other short-term, highly liquid investments such as
demand deposit accounts at commercial banks, money market accounts and
certificates of deposit with less than a 90-day maturity date, pending the
Partnership's use of such funds to pay Partnership expenses or to make
distributions to the partners. At June 30, 2002, the Partnership had $531,717
invested in such short-term investments, as compared to $645,220 at December 31,
2001. The funds remaining at June 30, 2002, will be used to pay distributions
and other liabilities of the Partnership.
Short-Term Liquidity
The Partnership's short-term liquidity requirements consist primarily
of the operating expenses of the Partnership.
The Partnership's investment strategy of acquiring Properties for cash
and leasing them under triple-net leases to operators who generally meet
specified financial standards minimizes the Partnership's operating expenses.
The general partners believe that the leases will continue to generate cash flow
in excess of operating expenses.
The general partners have the right, but not the obligation, to make
additional capital contributions if they deem it appropriate in connection with
the operations of the Partnership.
The Partnership generally distributes cash from operations remaining
after the payment of operating expenses of the Partnership, to the extent the
general partners determine that such funds are available for distribution. Based
on current and anticipated future cash from operations and for the six months
ended June 30, 2002, the liquidating distributions received from Titusville
Joint Venture, and for the six months ended June 30, 2001, the net proceeds from
the 2000 sale of the Property in Topeka, Kansas, the Partnership declared
distributions to limited partners of $1,047,894 and $1,500,000 for the six
months ended June 30, 2002 and 2001, ($523,947 and $525,000 for the quarters
ended June 30, 2002 and 2001), respectively. This represents distributions of
$17.46 and $25.00 per unit for the six months ended June 30, 2002 and 2001,
respectively, ($8.73 and $8.75 for the quarters ended June 30, 2002 and 2001,
respectively). Distributions for the six months ended June 30, 2001, included a
special distribution of $450,000, as a result of the distribution of net sales
proceeds from the 2000 sale of the Property in Topeka, Kansas. This special
distribution was effectively a return of a portion of the limited partners
investment, although, in accordance with the Partnership agreement, it was
applied towards the limited partners' unpaid preferred return. As a result of
the sales of two Properties in 2001, the Partnership's total revenues were
reduced, while the majority of the Partnership's operating expenses remained
fixed. No distributions were made to the general partners for the six months
ended June 30, 2002 and 2001. No amounts distributed to the limited partners for
the six months ended June 30, 2002 and 2001 are required to be or have been
treated by the Partnership as a return of capital for purposes of calculating
the limited partners' return on their adjusted capital contributions. The
Partnership intends to continue to make distributions of cash available for
distribution to the limited partners on a quarterly basis.
Total liabilities of the Partnership, including distributions payable,
increased to $820,477 at June 30, 2002, from $805,906 at December 31, 2001,
primarily as a result of an increase in amounts due to related parties at June
30, 2002. Total liabilities at June 30, 2002, to the extent they exceed cash and
cash equivalents at June 30, 2002, will be paid from future cash from
operations, and, in the event the general partners elect to make additional
contributions or loans, from the future general partners' capital contributions
or loans.
Long-Term Liquidity
The Partnership has no long-term debt or other long-term liquidity
requirements.
Results of Operations
Total rental revenues were $762,186 for the six months ended June 30,
2002, as compared to $778,484 for the six months ended June 30, 2001, of which
$382,562 and $394,130 were earned during the second quarter of 2002 and 2001,
respectively. The decrease in rental revenues during the six months ended June
30, 2002, as compared to the same period in 2001, was partially attributable to
the sale of the Properties in Palm Bay, Florida and Corpus Christi, Texas during
2001. During 2001, the Partnership distributed a portion of the net sales
proceeds from the sale of these Properties to the limited partners, as a result,
rental revenues are expected to remain at reduced amounts.
Rental revenues also decreased during the quarter and six months ended
June 30, 2002 due to the fact that the Partnership entered into a new lease
relating to the Property in Streator, Illinois. The former lease for the
Property in Streator, Illinois, which was scheduled to expire in December 2002,
was terminated by the Partnership and the tenant during 2001. The Partnership
re-leased this Property to a new tenant. Rents due under the new lease are lower
than rents due under the previous lease; therefore, the Partnership expects that
rental revenues in future periods will remain at reduced amounts. However, the
general partners do not anticipate that the decrease in rental revenues relating
to the new lease will have a material adverse affect on the Partnership's
financial position or results of operations.
The decrease in rental revenues, during the six months ended June 30,
2002, was partially offset by an increase in rental revenues as a result of the
Partnership re-leasing the Property in Richmond, Virginia in 2001. This Property
was vacant during the first quarter of 2001.
During the six months ended June 30, 2002 and 2001, the Partnership
earned $26,437 and $30,391, respectively, in contingent rental income from the
Partnership's Properties, of which $2,335 and $19,227 were earned during the
quarters ended June 30, 2002 and 2001, respectively.
During the six months ended June 30, 2002 and 2001, the Partnership
recognized income of $151,934 and $132,097, respectively, attributable to net
operating results from joint ventures, of which income of $80,011 and $58,596
were reported during the quarters ended June 30, 2002 and 2001, respectively.
Net operating results reported by joint ventures were lower during the quarter
and six months ended June 30, 2001, as compared to the same period in 2002, due
to the fact that the tenant of the Property owned by Titusville Joint Venture
(in which the Partnership owns a 26.6% interest in the profits and losses of the
joint venture) vacated the Property in 1997, and the Partnership incurred
expenses, which are of a fixed nature, such as real estate taxes, insurance and
maintenance during 2001. In addition, during the quarter and six months ended
June 30, 2001, the joint venture established a provision for write-down of
assets for its Property for approximately $38,300. The provision represented the
difference between the Property's carrying value at June 30, 2001, and its fair
value. During January 2002, the joint venture sold this Property, as described
above, in "Capital Resources." Net income earned by joint ventures is expected
to remain at reduced amounts as a result of distributing the majority of net
sales proceeds received to the Limited Partners.
During the six months ended June 30, 2002, two of the Partnership's
lessees, Shoney's, Inc. and Tampa Foods, L.P., each contributed more than ten
percent of the Partnership's total rental revenues (including the Partnership's
share of the rental revenues from Properties owned by joint ventures and
Properties owned with affiliates of the General Partners as tenant-in-common).
It is anticipated that, based on the minimum rental payments required by the
leases, Shoney's, Inc. and Tampa Foods, L.P., each will continue to contribute
more than ten percent of the Partnership's total rental revenues. In addition,
during the six months ended June 30, 2002, four Restaurant Chains, Wendy's,
Denny's, Shoney's and Arby's, each accounted for more than ten percent of the
Partnership's total rental revenues (including the Partnership's share of the
rental revenues from Properties owned by joint ventures and Properties owned
with affiliates of the General Partners as tenants-in-common). It is anticipated
that these four Restaurant Chains each will continue to account for more than
ten percent of the total rental revenues to which the Partnership is entitled
under the terms of the leases. Any failure of these lessees or these Restaurant
Chains will materially affect the Partnership's income if the Partnership is not
able to re-lease the Properties in a timely manner.
During the six months ended June 30, 2002 and 2001, the Partnership
earned $3,581 and $74,963, respectively, in interest and other income, of which
$1,405 and $11,123 were earned during the quarters ended June 30, 2002 and 2001,
respectively. Interest and other income during the quarter and six months ended
June 30, 2001, was higher primarily due to interest earned on the net sales
proceeds received from the sale of Properties, pending distribution to the
limited partners, as described above in "Short-Term Liquidity."
Operating expenses, including depreciation and amortization expense and
provision for write-down of assets were $316,617 and $577,405, for the six
months ended June 30, 2002 and 2001, respectively, of which $154,197 and
$346,668 were incurred during the quarters ended June 30, 2002 and 2001,
respectively. Operating expenses were higher during the quarter and six months
ended June 30, 2001, as compared to the same period in 2002, due to the fact
that the Partnership recorded a provision for write-down of assets of $178,817
relating to the Property in Palm Bay, Florida. The tenant defaulted under the
terms of its lease and vacated the Property. The increase in the provision
represented the difference between the carrying value of the Property at June
30, 2001, and its fair value. During August 2001, the Partnership sold this
Property and recognized a loss of approximately $27,100 during the year ended
December 31, 2001. In addition, state taxes were higher during the six months
ended June 30, 2001, as compared to the same period in 2002, due to the fact
that the Partnership incurred additional taxes on gains on the sale of
Properties.
The decrease in operating expenses during the six months ended June 30,
2002, as compared to the same period in 2001, was also partially attributable to
a decrease in the costs incurred for administrative expenses for servicing the
Partnership and its Properties and to a decrease in depreciation expense due to
the sale of two Properties in 2001. During the six months ended June 30, 2001,
the Partnership recorded a provision for doubtful accounts of approximately
$9,900 for past due rental amounts relating to the Big Boy's Property located in
Topeka, Kansas, due to financial difficulties the tenant was experiencing.
As a result of the sale of the Property in Corpus Christi, Texas during
2001, the Partnership recognized a loss of approximately $93,800 during the
quarter and six months ended June 30, 2001.
Effective January 1, 2002, the Partnership adopted Statement of
Financial Accounting Standards No. 144 "Accounting for the Impairment or
Disposal of Long-Lived Assets." This statement requires that a long-lived asset
be tested for recoverability whenever events or changes in circumstances
indicate that its carrying amount may not be recoverable. The carrying amount of
a long-lived asset is not recoverable if it exceeds the sum of the undiscounted
cash flows expected to result from the use and eventual disposition of the
asset. The assessment is based on the carrying amount of the asset at the date
it is tested for recoverability. An impairment loss is recognized when the
carrying amount of a long-lived asset exceeds its fair value. If an impairment
is recognized, the adjusted carrying amount of a long-lived asset is its new
cost basis. The statement also requires that the results of operations of a
component of an entity that either has been disposed of or is classified as held
for sale be reported as a discontinued operation if the disposal activity was
initiated subsequent to the adoption of the Standard.
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Not applicable.
PART II. OTHER INFORMATION
Item 1. Legal Proceedings. Inapplicable.
Item 2. Changes in Securities. Inapplicable.
Item 3. Defaults upon Senior Securities. Inapplicable.
Item 4. Submission of Matters to a Vote of Security Holders. Inapplicable.
Item 5. Other Information. Inapplicable.
Item 6. Exhibits and Reports on Form 8-K.
(a) Exhibits
3.1 Certificate of Limited Partnership of CNL Income
Fund IV, Ltd. (Included as Exhibit 3.1 in
Amendment No. 1 to Registration Statement No.
33-20249 on Form S-11 and incorporated herein by
reference.)
3.2 Amended and Restated Agreement and Certificate of
Limited Partnership of CNL Income Fund IV, Ltd.
(Included as Exhibit 3.2 to Form 10-K filed with
the Securities and Exchange Commission on March
31, 1994, and incorporated herein by reference.)
4.1 Certificate of Limited Partnership of CNL Income
Fund IV, Ltd. (Included as Exhibit 3.1 in
Amendment No. 1 to Registration Statement No.
33-20249 on Form S-11 and incorporated herein by
reference.)
4.2 Amended and Restated Agreement and Certificate of
Limited Partnership of CNL Income Fund IV, Ltd.
(Included as Exhibit 3.2 to Form 10-K filed with
the Securities and Exchange Commission on March
31, 1994, and incorporated herein by reference.)
10.1 Property Management Agreement (Included as Exhibit
10.1 to Form 10-K filed with the Securities and
Exchange Commission on March 31, 1994, and
incorporated herein by reference.)
10.2 Assignment of Property Management Agreement from
CNL Investment Company to CNL Income Fund
Advisors, Inc. (Included as Exhibit 10.2 to Form
10-K filed with the Securities and Exchange
Commission on March 30, 1995, and incorporated
herein by reference.)
10.3 Assignment of Property Management Agreement from
CNL Income Fund Advisors, Inc. to CNL Fund
Advisors, Inc. (Included as Exhibit 10.3 to Form
10-K filed with the Securities and Exchange
Commission on April 1, 1996, and incorporated
herein by reference.)
10.4 Assignment of Management Agreement from CNL Fund
Advisors, Inc. to CNL APF Partners, LP. (Included
as Exhibit 10.4 to Form 10-Q filed with the
Securities and Exchange Commission on August 9,
2001, and incorporated herein by reference.)
10.5 Assignment of Management Agreement from CNL APF
Partners, LP to CNL Restaurants XVIII, Inc. (Filed
herewith.)
(b) Reports on Form 8-K
No reports on Form 8-K were filed during the
quarter ended June 30, 2002.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
DATED this 12th day of August, 2002.
CNL INCOME FUND IV, LTD.
By:CNL REALTY CORPORATION
General Partner
By:/s/ James M. Seneff, Jr.
---------------------------
JAMES M. SENEFF, JR.
Chief Executive Officer
(Principal Executive Officer)
By:/s/ Robert A. Bourne
---------------------------
ROBERT A. BOURNE
President and Treasurer
(Principal Financial and
Accounting Officer)
CERTIFICATION OF CHIEF EXECUTIVE OFFICER
OF CORPORATE GENERAL PARTNER
PURSUANT TO 18 U.S.C. SECTION 1350 AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
The undersigned, James M. Seneff, Jr., the Chief Executive Officer of CNL Realty
Corporation, the corporate general partner of CNL Income Fund IV, Ltd. (the
"Partnership"), has executed this certification in connection with the filing
with the Securities and Exchange Commission of the Partnership's Quarterly
Report on Form 10-Q for the period ending June 30, 2002 (the "Report"). The
undersigned hereby certifies that:
(1) the Report fully complies with the requirements of Section 13(a) or 15(d) of
the Securities Exchange Act of 1934; and
(2) the information contained in the Report fairly presents, in all material
respects, the financial condition and results of operations of the Partnership.
Date: August 12, 2002 /s/ James M. Seneff, Jr.
-----------------------------
Name: James M. Seneff, Jr.
Title: Chief Executive Officer
CERTIFICATION OF CHIEF FINANCIAL OFFICER
OF CORPORATE GENERAL PARTNER
PURSUANT TO 18 U.S.C. SECTION 1350 AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
The undersigned, Robert A. Bourne, the President and Treasurer of CNL Realty
Corporation, the corporate general partner of CNL Income Fund IV, Ltd. (the
"Partnership"), has executed this certification in connection with the filing
with the Securities and Exchange Commission of the Partnership's Quarterly
Report on Form 10-Q for the period ending June 30, 2002 (the "Report"). The
undersigned hereby certifies that:
(1) the Report fully complies with the requirements of Section 13(a) or 15(d) of
the Securities Exchange Act of 1934; and
(2) the information contained in the Report fairly presents, in all material
respects, the financial condition and results of operations of the Partnership.
Date: August 12, 2002 /s/ Robert A. Bourne
------------------------------
Name: Robert A. Bourne
Title: President and Treasurer
EXHIBIT INDEX
Exhibit Number
3.1 Certificate of Limited Partnership of CNL Income Fund IV, Ltd.
(Included as Exhibit 3.1 in Amendment No. 1 to Registration
Statement No. 33-20249 on Form S-11 and incorporated herein by
reference.)
3.2 Amended and Restated Agreement and Certificate of Limited
Partnership of CNL Income Fund IV, Ltd. (Included as Exhibit
3.2 to Form 10-K filed with the Securities and Exchange
Commission on March 31, 1994, and incorporated herein by
reference.)
4.1 Certificate of Limited Partnership of CNL Income Fund IV, Ltd.
(Included as Exhibit 3.1 in Amendment No. 1 to Registration
Statement No. 33-20249 on Form S-11 and incorporated herein by
reference.)
4.2 Amended and Restated Agreement and Certificate of Limited
Partnership of CNL Income Fund IV, Ltd. (Included as Exhibit
3.2 to Form 10-K filed with the Securities and Exchange
Commission on March 31, 1994, and incorporated herein by
reference.)
10.1 Property Management Agreement (Included as Exhibit 10.1 to
Form 10-K filed with the Securities and Exchange Commission on
March 31, 1994, and incorporated herein by reference.)
10.2 Assignment of Property Management Agreement from CNL
Investment Company to CNL Income Fund Advisors, Inc. (Included
as Exhibit 10.2 to Form 10-K filed with the Securities and
Exchange Commission on March 30, 1995, and incorporated herein
by reference.)
10.3 Assignment of Property Management Agreement from CNL Income
Fund Advisors, Inc. to CNL Fund Advisors, Inc. (Included as
Exhibit 10.3 to Form 10-K filed with the Securities and
Exchange Commission on April 1, 1996, and incorporated herein
by reference.)
10.4 Assignment of Management Agreement from CNL Fund Advisors,
Inc. to CNL APF Partners, LP. (Included as Exhibit 10.4 to
Form 10-Q filed with the Securities and Exchange Commission on
August 9, 2001, and incorporated herein by reference.)
10.5 Assignment of Management Agreement from CNL APF Partners, LP
to CNL Restaurants XVIII, Inc. (Filed herewith.)
EXHIBIT 10.5