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CF INCOME PARTNERS L.P. ANNOUNCES TENTATIVE AGREEMENT TO SELL PARTNERSHIP'S ASSETS

 LOS ANGELES, Aug. 24 /PRNewswire/ -- CF Income Partners L.P. (NYSE: CFI), a Los Angeles-based master limited partnership, announced today that it had reached an agreement in principle with the American Continental Properties Group to sell the partnership's investment portfolio for a cash purchase price of $182,500,000. "Alex. Brown & Sons, the partnership's financial advisor, conducted an exhaustive review of the alternatives available to the partnership. Based upon a careful consideration of the alternatives, management decided that a bulk sale of the partnership's assets would be in the best interests of our unitholders," said Dennis A. Sondker, president of CF Management Corp., the partnership's general partner.
 The American Continental Properties Group is an experienced institutional real estate investor and developer which, together with its partners, have acquired and developed approximately $2 billion worth of real estate over the past 15 years in the United States and Europe and have acquired over 6,000 units of residential real estate in the last three years.
 The partnership did not announce how the net sales proceeds of the transaction would be allocated between the partnership's unitholders and creditors, pending various negotiations. Sondker continued, "I would like to be able to announce today how much per unit this transaction is worth to our unitholders. However, determining this value will depend upon several unresolved factors including the cost of the transaction, the cost of settling pending and threatened litigation and the outcome of negotiations with California Federal Bank, the partnership's largest creditor. Nevertheless, I am optimistic that the proposed transaction and resolution of these negotiations could ena ?the partnership to pay a liquidating distribution and that the transaction could provide tax benefits to our unitholders. After distribution of proxy materials describing the transaction, we intend to hold a special meeting of the unitholders later this year to approve the transaction and the winding up and dissolution of the partnership."
 Completion of the transaction is subject to approval and execution of a definitive agreement, successful negotiations with California Federal Bank, receipt of a fairness opinion as to the transaction, unitholder approval, settlement of all outstanding pending and threatened class action and derivative litigation affecting the partnership and completion of the American Continental Properties Group's due diligence.
 CF Income Partners L.P. is a publicly traded master limited partnership which has invested in income-producing multifamily residential, commercial and industrial properties.
 -0- 8/24/93
 /CONTACT: Barbara J. Pape of CF Income Partners, 213-930-6246/
 (CFI)


CO: CF Income Partners L.P.; American Continental Properties Group;
 CF Management Corp. ST: California IN: FIN SU: TNM


SM-EH -- LA003 -- 5324 08/24/93 08:51 EDT
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Publication:PR Newswire
Date:Aug 24, 1993
Words:436
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