2U - MANCHESTER HERALD, Monday, Oct. 1. 1984 BUSINESS iron Bulow confident Bolton media plan Play Bingo Business Check out real estate syndication despite Impending trial criticized at hearing and win cash ... page 4 ... page 10 In Brief If you are a small investor with as little as $3,000, little as $2,000 and own a lew bricks in a page 2 you can gain access to the real estate syndication muitimillion-dollar skyscraper. Secondary offering slated boom — an upsurge estimated to reach $20 billion in A Levan emphasizes that investors might want to look public and private offerings by the end of this year. Y o u r at a syndicator whose real estate is mortgaged, since BOSTON — Houghton Mifflin Co. has filed a Federal guidelines for Individual Retirement Ac­ participants in such a fund can write off a portion of registration statement for a secondary public counts (IRAs) also permit investors to put up to $2,000 M o n e y 's their investment — as much as 40 percent in the first offering of 299,043 common shares. a year into partnerships if the Securities and year. Write-offs could cumulatively amount to 70 The offering will follow the conversion to Exchange Commission approves the offerings. W o rth percent over six years. common stock of $5 million of the company's 13 Real estate syndication — known only to an elitist Sylvia Porter Caution: Becoming a limited partner in real estate Clearing tonight; percent convertible subordinated notes held by group of sophisticated wealthy investors 10 years ago V syndication is not for everybody. Each state sets its Manchester, Conn. one institutional investor, which represent the — is now one of fastest-growing segments of the sun on Wednesday shares to be sold. financial community. own criteria for investor suitability, but the rale of Tuesday, Oct. 2, 1984 thumb in most states is that the investor in public real — see page 2 Houghton Mifflin said it did not intend to If you are among the vast number of the uninitiated, The bulk of syndications, however, are executed by estate offerings shou Id be at least in the 30 percent tax Single copy: 25$ include any shares on its own behalf in the public real estate syndication involves the purchase of a number of small financial organizations, many of bracket with a net worth of about $75,000. offering and the company would receive none of shares or units in a fund backed by a mix of which are registered with the Securities and This type of investment might be excellent for you if Unnlh the proceeds of the sale. commercial and residential properties that can iManrfeatFr Exchange Commission for public participation. you are a young professional seeking to build-up include office buildings, shopping centers, condomini­ Private syndicators generally are involved in the enough equity to buy a home, a married couple with Textron changes lineup ums and warehouses. You, the investor, become a limited partner. purchase of a single property and require an children trying to afford the cost of higher education PROVIDENCE. R.f. — Textron Inc. has investment of at least $25,000. or a retiree who is looking for fresh investment announced that the metrology products line of is Unlike money funds, certificates of deposit, Ginnie Among the major public real estate syndicators are opportunities. Jones & Lamson Division will become part of the Maes and other financial instruments, the rush to real Merrill Lynch, Balcor, Consolidated Capital, JMB Much of the industry's recent growth has been Landlord Bridgeport Machines Division effective Oct 1. estate syndication was sparked by the opportunity to Realty, and I.R.E. Financial Corp. of Coral Gables. spurred by its ability to deliver above-average The move will permit Bridgeport to form a share in profits in large income-producing properties Fla. Real Estate syndication for a public offering attractive returns that cannot be matched by most as well as tax incentives that allow the small investor operates in a manner similar to a mutual fund, says other investments. Donovan metrology products group with a strong distribu­ tion netweork, officials said. The division to receive portions of the benefits that go directly to Alan B. Levan, chairman of I.R.E. Financial. The In the last several years, thousands of financial threatens recently became distributor of the Numerex the property owner. difference is that some of the funds generated from planners, brokers and other investment experts have Corp.'s line of precision coordinate measuring the property's depreciation and interest on the begun selling limited partnerships in real estate Now the giants are moving in and such firms as mortgage are sheltered from taxes, as are capital syndication. Even life insurance agents are jumping machines and other related inspection Merrill Lynch and American Express are among the equipment. gains if the property appreciates. on the bandwagon. lawsuit growing list of syndicators now totaling more than If, for instance, you cannot invest in large-scale Clearly, real estate limited partnerships are Textron's metrology products operation, which 5,000 and still growing. says he’s will retain the Jones & Lamson name, is based in commercial real estate by yourself, you can put up as definitely not just for the wealthy anymore. York, S.C., and produces a broad line of By Sarah E. Hall measuring equipment. Many lose their land Herald Reporter The lawyer representing down­ Rhode Island banks merge town merchant George Marlow PROVIDENCE, R.I. — Columbus National today urged the Housing Code innocent 2 Bank will officially merge into Rhode Island Enforcement Committee to con­ Hospital Trust National Bunk effective Monday, Farmers feel uncertain about future sider granting variances for his By Frank Spotnitz officials announced. client's apartment building — and United Press International Reagan team hopes A new business unit called the Rhode Island By Sonia Hillgren warned that if the committee Banking Group has been formed as a result of the United Press International sharply higher interest rates that could be traced refuses, it may risk a lawsuit. NEW YORK — Labor Secretary to ride out storm merger to serve state consumer and small back to bank deregulation, the Federal Reserve's Raymond Donovan surrendered banking needs, officials said. Attorney John LaBelle Sr. said — see page 5 MOUNT AYR, Iowa — Ed Kail, a young Methodist moves in 1979 and 1980 to control inflation and federal that the panel should apply the today to face criminal charges of Robert W. Powers, who was president of budget deficits. grand larceny and falsifying re­ Columbus and senior vice president of Hospital minister, coined the term "community grief" to Manchester housing code through­ describe his neighbors' reactions to the agricultural The 1980 grain embargo, imposed because the out town, not just to Marlow's cords while he was an executive of Trust, will retain his Hospital Trust title and head Soviets invaded Afghanistan, dealt the first blow to a New Jersey construction firm. that new group, officials said. depression in this southern Iowa farm town. building at 869 Main Street. The final blow was last year's drought, the worst in farm exports on which farmers became dependent in "Otherwise, I will bring suit," he "It's a political hatchet job," vone Construction Co. and the firm The addition of Columbus' nine banking the 1970s. Then efforts to squelch inflation streng­ said Donovan of the charges before itself were named in the 137-count branches to those at Hospital Trust will bring the a half century. A year later, the effects on the said. "There will not be selective community are still painful. The latest jolt was the thened the U.S, dollar, making farm exports enforcement of Mr. Marlow and entering the Criminal Courthouse Indictment that stemmed from an number of statewide banking offices to 39, expensive for foreign buyers wracked by worldwide in the Bronx. investigation into Schiavone's re­ officials said. unexpected forced closure of the Tingley State Bank. not other people in this town." Kail believed raising the shared feeling to a recession. The town's investigation of the "You bet your life," Donovan lationship with JoPel. JoPel is an conscious level and naming it was one of the best ways As the farm boom of the 1970s ended, farming Marlow building began last march replied when asked if he would excavation company owned by Steel firm gets contract to deal with stress of forced farm sales, job layoffs in became less lucrative so, farmland lost value. after the landlord asked for help fight the charges. New York state Sen. Joseph local small industries, neighbors leaving town and Farmers' collateral shrank as their interest pay­ evicting a tenant who had taken in Donovan, who went into the Galiber and reputed mobster Wil­ AVON — SKF Steel Co. has announced the farmers having difficulty borrowing money to hang ments doubled. young people barred from Man­ courthouse through a side en­ liam Masselli, that did work for receipt of a two-year, $1 million contract from on for another year. Bankers used to lend farmers money based on chester's homeless shelter. Door- trance, said he would have no Schiavone on a New York subway Rockwell International to supply precision rolled collateral. Banks were forced to shift to cash flow in a further comment before his ar­ contract. forgings. "We were in a massive grief reaction as a to-door downtown inspections are community," said Kail in his study, where he transition so fast farmers could not adapt. planned but have not begun for raignment, which was scheduled Bronx District Attorney Mario SKF Steel analyzed and developed a ring counseled more than twice as many people as usual "They're moving into a phase that no one lack of staff, officials have said.