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FFCA PROPOSES CONSOLIDATION WITH UP TO 11 REAL ESTATE LIMITED PARTNERSHIPS INTO PUBLICLY TRADED REIT

 SCOTTSDALE, Ariz., July 1 /PRNewswire/ -- Franchise Finance Corporation of America (FFCA) announced that it plans to seek the approval of investors to consolidate FFCA and up to 11 FFCA-sponsored real estate limited partnerships (the partnerships) into a real estate investment trust (the REIT). The REIT intends to be listed on a national securities exchange and to operate as a self-administered REIT, with its assets managed directly by its own officers and employees. The partnerships invest in franchised restaurant real estate.
 Each partnership's participation in the consolidation will require, among other things, the approval of investors holding at least a majority of the outstanding units of such partnership. As a result of the consolidation, investors in the participating partnerships may elect to receive either shares of the newly issued common stock of the REIT or notes.
 Investors' approval of the consolidation will be solicited by means of a combined prospectus/consent solicitation statement. Investors will have at least 60 days after distribution of the combined prospectus/consent solicitation statement to review the proposed consolidation, to consult with their financial advisors and to vote on their partnership's participation in the consolidation.
 The Partnerships
 Specifically, FFCA will seek approval from investors in the following partnerships:
 Hardee's Lease Partners 1980 (a Delaware Limited Partnership);
 Insured Income Properties 1981 (a Delaware Limited Partnership);
 Insured Income Properties 1982 (a Delaware Limited Partnership);
 Insured Income Properties 1983 (a Delaware Limited Partnership);
 Insured Pension Investors 1983 (a Delaware Limited Partnership);
 Insured Income Properties 1984 (a Delaware Limited Partnership);
 Insured Pension Investors 1984 (a Delaware Limited Partnership);
 Insured Income Properties 1985 (a Delaware Limited Partnership);
 Insured Pension Investors 1985 (a Delaware Limited Partnership);
 Insured Income Properties 1986, L.P., a Delaware Limited
 Partnership; and
 Insured Income Properties 1988, L.P., a Delaware Limited
 Partnership.
 No Offer
 The offering of the common stock of the REIT and the notes will be made only by means of a combined prospectus/consent solicitation statement. A registration statement relating to these securities has been field with the Securities and Exchange Commission. These securities may not be sold nor may offers to buy be accepted prior to time the registration statement become effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
 NOTE: The partnerships were formed between 1980 and 1988 for the purpose of acquiring new and existing restaurants, including land, buildings and equipment. The properties were leased to franchisees and franchisors of national and regional restaurant systems. Each partnership was organized as an investment vehicle for investors interested in a professionally managed real estate portfolio, with the potential for increasing cash distributions and capital appreciation throughout real estate ownership. The partnerships acquired the properties after the restaurants were built and open for business.
 The REIT is being formed for the purpose of investing in a portfolio of franchised restaurant real estate. If all partnerships participate in the consolidation, the REIT will be one of the nation's largest REITs. In addition, the REIT will be one of the largest sources of real estate capital for the franchised restaurant industry in the United States. Through the proposed consolidation, the REIT would acquire up to 1,112 franchised restaurants in 44 states from the partnerships and, through the merger with FFCA, the management expertise necessary to administer this investment portfolio. The REIT will continue to raise capital to invest in franchised restaurants. FFCA is currently the nation's largest independent franchised restaurant real estate finance and investment management company.
 -0- 7/1/93
 /CONTACT: Peter C. Harkins or Marisa A. Heine of D.F. King & Co., Inc., 212-269-5550, for Franchise Finance Corporation of America/


CO: Franchise Finance Corporation of America ST: Arizona IN: SU:

SM-TS -- NY007 -- 7536 07/01/93 08:45 EDT
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Publication:PR Newswire
Date:Jul 1, 1993
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