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):
March 30, 2001
HOME PROPERTIES OF NEW YORK, INC.
(Exact name of Registrant as specified in its Charter)
MARYLAND 1-13136 16-1455126
(State or other (Commission file (I.R.S. Employer
jurisdiction of number) Identification
incorporation or Number)
organization)
850 CLINTON SQUARE
ROCHESTER, NEW YORK 14604
(Address of principal executive offices)
Registrant's telephone number, including area code: (716) 546-4900
Not applicable
(Former name or former address, if changed since last report)
Item 5. OTHER EVENTS.
Home Properties of New York, L.P., a New York limited partnership (the
"Operating Partnership") recently purchased eight apartment communities in
unrelated transactions. Collectively these acquisitions are deemed "significant
acquisitions" pursuant to the regulations of the Securities and Exchange
Commission governing the report of transactions under the Current Report on Form
8-K. Individually, these acquisitions are not "significant" and are not "related
businesses".
The Operating Partnership also recently sold twelve properties. These
acquisitions are not deemed to be "significant dispositions" either collectively
or individually and are reported here for information purposes only.
Home Properties of New York, Inc. (the "Company") is the sole general partner
and current holder, directly and indirectly, through Home Properties Trust, in
which the Company holds 100% of the beneficial interests, of approximately sixty
percent of the limited partnership interests in the Operating Partnership.
WOODHOLME MANOR. On March 30, 2001, the Operating Partnership acquired all of
the equity interests in the entity that owned Woodholme Manor Apartments, a
176-unit community located in Baltimore, Maryland. The purchase price of $5.8
million was funded by the issuance of operating partnership units in the
Operating Partnership having an agreed upon value of $2.5 million, with the
balance of $3.3 million paid in cash from available funds. Woodholme Manor was
constructed in 1969 and occupancy was 97.2% at the time of closing.
VIRGINIA VILLAGE. On May 31, 2001, the Operating Partnership acquired all of the
equity interests in the entity that owned Virginia Village Apartments, a
344-unit community located in Alexandria, Virginia. The purchase price of $27
million was funded by the assumption of $9.6 million of debt, the issuance of
operating partnership units in the Operating Partnership having an agreed upon
value of $16.2 million and $1.2 million in cash from available funds. The debt
carries a fixed rate of interest of 6.91% and matures in 2008. Virginia Village
was constructed in 1967 and occupancy was 99% at the time of acquisition.
SANDALWOOD. On May 31, 2001, the Operating Partnership, through its wholly-owned
subsidiary Home Properties Sandalwood, LLC, acquired Sandalwood Apartments, a
384-unit apartment community (formerly a co-op) located in Owings Mills,
Maryland. The purchase price of $17.3 million was paid in cash funded under the
Operating Partnership's line of credit, which bears interest at 125 basis points
over the 30-day LIBOR rate. Sandalwood was built in 1973 and was 99% occupied at
the time of acquisition.
SOUTHERN MEADOWS. On June 29, 2001, the Operating Partnership, through its
wholly-owned subsidiary Home Properties Southern Meadows, LLC, acquired Southern
Meadows Apartments, a 452-unit apartment community in Bayport, New York, for a
total purchase price of $39 million. The purchase price was funded by the
assumption of $19.2 million of debt and $19.8 million of cash from available
funds, primarily from the proceeds from sale transactions (discussed below). The
debt carries a fixed rate of interest of 8.234% and matures in July, 2007. The
community was built in 1971 and was 98.4% occupied at the time of acquisition.
HAUPPAUGE [a/k/a Devonshire Hills]. On July 16, 2001, the Operating Partnership,
through its wholly-owned subsidiary Home Properties Hauppauge, LLC, acquired
Home Properties of Hauppauge (now called Devonshire Hills), a 297-unit apartment
community located in Hauppauge, New York. The total purchase price of $46.5
million was funded by the assumption of $24.6 million of debt and the balance of
$21.9 million paid from cash from available funds. The first and second assumed
mortgages carry fixed rates of interest of 8% and 6.72%, respectively, and
mature in 2006 and 2009, respectively. the community was constructed in 1968 and
at the time of acquisition was 97.1% occupied.
FENLAND FIELD. On August 1, 2001, the Operating Partnership, through its
wholly-owned subsidiary Home Properties Fenland Field, LLC, acquired all of the
issued outstanding shares of stock in the entity which owns Fenland Field
Apartments, a 234-unit apartment community located in Columbia, Maryland. The
purchase price of $14.5 million was paid in cash funded under the Operating
Partnership's line of credit, which bears interest at 125 basis points over the
30-day LIBOR rate. At the time of acquisition the community was 99% occupied.
COURTYARDS VILLAGE. On August 29, 2001, the Operating Partnership, through its
wholly-owned subsidiary Home Properties Courtyard Village, LLC, acquired
Courtyards Village Apartments, a 224-unit apartment community located in
Naperville, Illinois. The purchase price of $12.8 million was funded by the
assumption of $5.1 million of debt and $7.7 million of cash funded under the
Operating Partnership's line of credit, which bears interest at 125 basis points
over the 30-day LIBOR rate. Courtyards was constructed in 1971 and at the time
of acquisition occupancy was 97%.
THE MANOR. On August 31, 2001, the Operating Partnership, through its
wholly-owned subsidiary Home Properties Manor, LLC, acquired The Manor
Apartments, a 435-unit apartment community located in Silver Spring, Maryland.
The purchase price of $35.3 million was paid in cash from available funds,
primarily from the proceeds from sale transactions (discussed below). The Manor
was constructed in 1969 and occupancy was 98.7% at the time of acquisition.
None of the above sellers were affiliated with the Operating Partnership, the
Company, any directors or officers of the Company or any affiliates of any such
director or officers. Except for Sandalwood which was formerly a co-op, the
properties were all previously operated as multifamily apartment properties, and
it is the intent of the Company and the Operating Partnership to continue to
operate them as multifamily apartment communities.
The purchase prices were negotiated with the sellers and based on an internal
analysis by the Company of the historical cash flows and fair market value of
the properties.
In addition, the Operating Partnership sold twelve properties as set forth
below.
BUFFALO. On May 17, 2001, the Operating Partnership sold three apartment
communities having a total of 875 units located in the suburbs of Buffalo, New
York to Clover Properties Fund I, L.P.: Williamstowne Apartments, 528 units
located in Cheektowaga, New York. Garden Village Apartments, 315 units also
located in Cheektowaga, New York, and the 32-unit Fairway Apartments located in
Tonawanda, New York. The total gross sale price was $37 million. The sale
proceeds were reinvested in Southern Meadows and other properties acquired in
2001 (discussed above).
ROCHESTER . On June 15, 2001, the Operating Partnership sold the 82-unit
Springcreek Apartments, located in Dansville, New York, for a gross sale price
of $2.55 million.
On July 17, 2001, the Operating Partnership sold two Rochester-area apartment
communities: Hill Court Apartments, 95 units and Ivy Ridge Apartments, 135
units, for a total of $9.2 million. On August 15, 2001, the Operating
Partnership sold Hamlet Court Apartments, 98 units, for $3.6 million. The sale
proceeds were reinvested in other properties acquired in 2001 (discussed above).
MIDATLANTIC. On August 30, 2001, the Operating Partnership sold 100% of the
equity interests in the entities owning five properties in the Mid-Atlantic
region, including Country Club Apartments, 150 units, Glen Burnie, Maryland;
Doub Meadow Apartments, 95 units, Hagerstown, Maryland; Laurel Pines Apartments,
236 units, Laurel, Maryland; Strawberry Hill Apartments, 145 units, Baltimore,
Maryland; and Riverdale Apartments, 580 units, Hampton, Virginia. The total
gross sale price was $47.6 million. Sale proceeds were reinvested in The Manor
and other recent acquisitions (described above).
None of the above buyers were affiliated with the Operating Partnership, the
Company, any directors or officers of the Company or any affiliated of any such
directors of officers.
The purchase prices were negotiated with the buyers and based on an internal
analysis by the Company of the historical cash flows and fair market values of
the properties.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
a. Financial Statement of Businesses Acquired
Financial statements for certain of the interests and properties
acquired and noted in Item 5 are not available at this time and will be filed by
amendment as soon as practicable, but not later than 60 days from the date this
Form 8-K must be filed.
b. Pro Forma Financial Information
Pro forma financial statements of the Company reflecting certain of the
interests and properties acquired and noted in Item 5 are not available at this
time and will be filed by amendment as soon as practicable, but not later than
60 days from the date this Form 8-K must be filed.
c. Exhibits
None
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1034, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Dated: September 12, 2001 HOME PROPERTIES OF NEW YORK INC.
(Registrant)
By: /s/ David P. Gardner
-------------------------------------
David P. Gardner, Senior Vice President