-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, JRgeJYV61E0z29VDmmt8diHlbFswyWUATjxFNdqoyho4KAyoWhIk+xBWuuW7wLQ6 SZP+5Eiv8E/z8huKPCxb8A== 0000950168-98-002868.txt : 19980828 0000950168-98-002868.hdr.sgml : 19980828 ACCESSION NUMBER: 0000950168-98-002868 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 2 FILED AS OF DATE: 19980827 SROS: NASD GROUP MEMBERS: LF STRATEGIC REALTY INVESTORS II L.P. GROUP MEMBERS: LFSRI II ALTERNATIVE PARTNERSHIP L.P. GROUP MEMBERS: LFSRI II-CADIM ALTERNATIVE PARTNERSHIP L.P. GROUP MEMBERS: MURRY N. GUNTY GROUP MEMBERS: PROMETHEUS HOMEBUILDERS LLC SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: FORTRESS GROUP INC CENTRAL INDEX KEY: 0001010607 STANDARD INDUSTRIAL CLASSIFICATION: GEN BUILDING CONTRACTORS - RESIDENTIAL BUILDINGS [1520] IRS NUMBER: 541774997 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: SEC FILE NUMBER: 005-50213 FILM NUMBER: 98699291 BUSINESS ADDRESS: STREET 1: 1650 TYSONS BLVD STREET 2: SUITE 600 CITY: MCLEAN STATE: VA ZIP: 22102 BUSINESS PHONE: 7034424545 MAIL ADDRESS: STREET 1: 1650 TYSONS BLVD STREET 2: SUITE 600 CITY: MCLEAN STATE: VA ZIP: 22102 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: PROMETHEUS HOMEBUILDERS LLC CENTRAL INDEX KEY: 0001056957 STANDARD INDUSTRIAL CLASSIFICATION: [] STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: C/O LAZARD FRERES REAL ESTATE INVESTORS STREET 2: 30 ROCKFELLER CTR 63RD FLOOR CITY: NEW YORK STATE: NY ZIP: 10020 BUSINESS PHONE: 2126326100 MAIL ADDRESS: STREET 1: C/O LAZARD FRERES REAL ESTATE INVESTORS STREET 2: 30 ROCKFELLER CTR 63RD FLOOR CITY: NEW YORK STATE: NY ZIP: 10020 SC 13D/A 1 FORTRESS GROUP SC 13D/A ----------------------------- OMB APPROVAL ----------------------------- OMB Number: 3235-0145 EXPIRES: OCTOBER 31, 1997 ESTIMATED AVERAGE BURDEN HOURS PER RESPONSE . . .14.90 ----------------------------- UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 AMENDMENT NO. 3 TO SCHEDULE 13D UNDER THE SECURITIES EXCHANGE ACT OF 1934 THE FORTRESS GROUP, INC. - -------------------------------------------------------------------------------- (NAME OF ISSUER) - -------------------------------------------------------------------------------- Common Stock, par value $0.01 per share (TITLE OF CLASS OF SECURITIES) 34956K108 (CUSIP NUMBER) Murry N. Gunty Prometheus Homebuilders LLC LF Strategic Realty Investors II L.P. LFSRI II Alternative Partnership L.P. LFSRI II-CADIM Alternative Partnership L.P. 30 Rockefeller Plaza, 63rd Floor New York, NY 10020 (212) 632-6000 with a copy to: R. Ronald Hopkinson, Esq. Latham & Watkins 885 Third Avenue New York, New York 10022 (212) 906-1200 - -------------------------------------------------------------------------------- (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) August 17, 1998 (Date of Event which Requires Filing of this Statement) If the filing person has previously filed a statement on Schedule 13G to report the acquisition which is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(b)(3) or (4), check the following box [ ]. Check the following box if a fee is being paid with the statement [ ]. (A fee is not required only if the reporting person: (1) has a previous statement on file reporting beneficial ownership of more than five percent of the class of securities described in Item 1; and (2) has filed no amendment subsequent thereto reporting beneficial ownership of five percent or less of such class.) (See Rule 13d-7.) Note: Six copies of this statement, including all exhibits, should be filed with the Commission. See Rule 13d-1(a) for other parties to whom copies are to be sent. *The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page. The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes). 1
SCHEDULE 13D - ------------------------------- ------------------------------ CUSIP NO. 34956K108 PAGE 2 OF 11 --------------- -- ------ -- - ------------------------------- ------------------------------ - -------------------------------------------------------------------------------------------- NAME OF REPORTING PERSON SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 1 Prometheus Homebuilders LLC - -------------------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ] 2 (b) [ ] - -------------------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF (See Item 3) - -------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware - -------------------------------------------------------------------------------------------- SOLE VOTING POWER NUMBER OF 7 7,565,512(1) SHARES ---------------------------------------------------------------------- BENEFICIALLY OWNED BY SHARED VOTING POWER EACH REPORTING 8 None PERSON ---------------------------------------------------------------------- WITH SOLE DISPOSITIVE POWER 9 7,565,512 ---------------------------------------------------------------------- SHARED DISPOSITIVE POWER 10 None - -------------------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 7,565,512 - -------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - -------------------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 41.3% - -------------------------------------------------------------------------------------------- TYPE OF REPORTING PERSON* 14 OO (limited liability company) - -------------------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7 (INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION. - ---------- (1) Including 6,666,667 shares of Common Stock receivable upon conversion of the Class AA Preferred Stock (as defined in the preamble) (See Item 5).
SCHEDULE 13D - ------------------------------- ------------------------------ CUSIP NO. 34956K108 PAGE 3 OF 11 --------------- -- ------ -- - ------------------------------- ------------------------------ - -------------------------------------------------------------------------------------------- NAME OF REPORTING PERSON SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 1 LF Strategic Realty Investors II L.P. - -------------------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ] 2 (b) [X] - -------------------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF (See Item 3) - -------------------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED 5 PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------------------- CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - -------------------------------------------------------------------------------------------- SOLE VOTING POWER 7 None ---------------------------------------------------------------------- NUMBER OF SHARES SHARED VOTING POWER BENEFICIALLY OWNED BY 8 7,565,512(2) (See Item 2) EACH ---------------------------------------------------------------------- REPORTING PERSON SOLE DISPOSITIVE POWER WITH 9 None ---------------------------------------------------------------------- SHARED DISPOSITIVE POWER 10 7,565,512 (See Item 2) ---------------------------------------------------------------------- - -------------------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 7,565,512 - -------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - -------------------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 41.3% - -------------------------------------------------------------------------------------------- TYPE OF REPORTING PERSON* 14 PN (limited partnership) - -------------------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7 (INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION. - ---------- (2) Including 6,666,667 shares of Common Stock receivable upon conversion of the Class AA Preferred Stock (as defined in the preamble) (See Item 5).
SCHEDULE 13D - ------------------------------- ------------------------------ CUSIP NO. 34956K108 PAGE 4 OF 11 --------------- -- ------ -- - ------------------------------- ------------------------------ - -------------------------------------------------------------------------------------------- NAME OF REPORTING PERSON SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 1 LFSRI II Alternative Partnership L.P. - -------------------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ] 2 (b) [X] - -------------------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------------------- SOURCE OF FUNDS 4 AF (See Item 3) - -------------------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED 5 PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------------------- CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - -------------------------------------------------------------------------------------------- SOLE VOTING POWER NUMBER OF 7 None SHARES ---------------------------------------------------------------------- BENEFICIALLY OWNED BY EACH SHARED VOTING POWER REPORTING PERSON 8 7,565,512(3) (See Item 2) WITH ---------------------------------------------------------------------- SOLE DISPOSITIVE POWER 9 None ---------------------------------------------------------------------- SHARED DISPOSITIVE POWER 10 7,565,512 (See Item 2) - -------------------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 7,565,512 - -------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - -------------------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 41.3% - -------------------------------------------------------------------------------------------- TYPE OF REPORTING PERSON* 14 PN (limited partnership) - -------------------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7 (INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION. - ---------- (3) Including 6,666,667 shares of Common Stock receivable upon conversion of the Class AA Preferred Stock (as defined in the preamble) (See Item 5).
PAGE 6 OF 11 - -------------------------------------------------------------------------------------------- NAME OF REPORTING PERSON SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 1 LFSRI II-CADIM Alternative Partnership L.P. - -------------------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ] 2 (b) [X] - -------------------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------------------- SOURCE OF FUNDS 4 AF (See Item 3) - -------------------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED 5 PURSUANT TO ITEMS 2(d) or 2(e) [ ] - -------------------------------------------------------------------------------------------- CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - -------------------------------------------------------------------------------------------- SOLE VOTING POWER 7 None ---------------------------------------------------------------------- NUMBER OF SHARES SHARED VOTING POWER BENEFICIALLY OWNED BY 8 7,565,512(4) (See Item 2) EACH ---------------------------------------------------------------------- REPORTING PERSON SOLE DISPOSITIVE POWER 9 None ---------------------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 7,565,512 (See Item 2) - -------------------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 7,565,512 - -------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES* [X] - -------------------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 41.3% - -------------------------------------------------------------------------------------------- TYPE OF REPORTING PERSON* 14 PN (limited partnership) - -------------------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7 (INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION. - ---------- (4) Including 6,666,667 shares of Common Stock receivable upon conversion of the Class AA Preferred Stock (as defined in the preamble) (See Item 5).
PAGE 7 OF 11 This Amendment No. 3, dated August 27, 1998, which amends the Schedule 13D, dated March 3, 1998, (the "Previous Statement"), of the Reporting Persons (as defined below) is filed to reflect information required pursuant to Rule 13d-2 of the General Rules and Regulations under the Securities Exchange Act of 1934, as amended, relating to the purchase by Alternative and Cadim (each defined below) of an interest in Prometheus (as defined below), the holder of interests in the Issuer described in the Previous Statement. ITEM 1. SECURITY AND ISSUER. No change. ITEM 2. IDENTITY AND BACKGROUND. (a) This statement is filed by Prometheus Homebuilders LLC, a Delaware limited liability company ("Prometheus"), and LF Strategic Realty Investors II L.P. ("LFSRI II"), LFSRI II Alternative Partnership L.P. ("Alternative") and LFSRI II-CADIM Alternative Partnership L.P. ("Cadim"), each a Delaware limited partnership (together, the "Reporting Persons"). (b) The principal business offices of the Reporting Persons are c/o Lazard Freres Real Estate Investors LLC ("LFREI"), 30 Rockefeller Plaza, 63rd Floor, New York, New York, 10020. (c) Prometheus is a special purpose investment vehicle formed to acquire and hold the Common Stock of the Company and the Preferred Stock, Warrants and Supplemental Warrants as contemplated by the Stock Purchase Agreement, all as described in the Previous Statement. LFSRI II, Alternative and Cadim are investment partnerships formed to invest in companies active in the real estate industry. The sole owner of Prometheus prior to the sale of membership interest in Prometheus to Alternative and Cadim was LFSRI II, and the general partner of LFSRI II, Alternative and Cadim is LFREI. LFSRI II, Alternative and Cadim own a 86.1592%, 10.3806% and 3.4602% managing member interest in Prometheus, respectively. LFREI's activities consist principally of acting as general partner of several real estate investment partnerships that are affiliated with Lazard Freres & Co. LLC. ("Lazard"). Lazard disclaims beneficial ownership of any of the shares of Common Stock reported in this Statement. The name, business address and principal occupation or employment of the executive officers of LFREI are set forth on Schedule 1 hereto and incorporated by reference herein. (d) and (e) During the last five years, neither the Reporting Persons nor, to the best knowledge of the Reporting Persons, any of the persons listed in Schedule 1 hereto (i) has been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors) nor (ii) has been a party to any civil proceeding of a judicial or administrative body of competent jurisdiction, and is or was, as a result of such proceeding, subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws, or finding any violation with respect to such laws. (f) Each person listed on such Schedule 1 is a citizen of the United States. ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION. The consummation of the transactions will be pursuant to a Securities Purchase Agreement, dated as of August 1, 1998, between LFSRI II and Alternative, and a Securities Purchase Agreement, dated as of August 1, 1998, between LFSRI II and Cadim (together, "Securities Purchase Agreements"). PAGE 8 OF 11 The funds for both transactions are to be made available from capital commitments of the Limited Partners of Alternative and Cadim. ITEM 4. PURPOSE OF TRANSACTION. Alternative and Cadim are co-investors with LFSRI II. Alternative and Cadim are thus purchasing a portion of the investments owned by LFSRI II, including the investment in Prometheus, the holder of securities of the Issuer listed in Item 1 of the Previous Statement. The foregoing discussion of the Securities Purchase Agreements is qualified in its entirety by the full text of such agreements, a copy of which is attached hereto as Exhibits 1 and 2 and is incorporated herein by reference. ITEM 5. INTEREST IN SECURITIES OF THE ISSUER. (a) By virtue of Alternative and Cadim being members of Prometheus, each of Alternative and Cadim may beneficially own the interests of the Issuer attributed to LFSRI II in the Previous Statement. (b) No change. (c) Neither the Reporting Persons nor, to the knowledge of the Reporting Persons, any of the parties listed on Schedule 1 hereto have acquired any shares of Common Stock of the Company during the past sixty days, other than the purchases reported herein. (d) No change. (e) Not applicable. ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS, OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER. No change. ITEM 7. MATERIAL TO BE FILED AS EXHIBITS. Exhibit 1. Stock Purchase Agreement dated as of August 1, 1998 between LFSRI II and Alternative Exhibit 2. Stock Purchase Agreement, dated as of August 1, 1998, between LFSRI II and Cadim SIGNATURE After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. PROMETHEUS HOMEBUILDERS LLC By: LF Strategic Realty Investors II L.P., as managing member By: Lazard Freres Real Estate Investors L.L.C., as general partner By: /s/ Murry Gunty --------------- Name: Murry Gunty Title: Principal LF STRATEGIC REALTY INVESTORS II L.P. LFSRI II ALTERNATIVE PARTNERSHIP L.P. LFSRI II-CADIM ALTERNATIVE PARTNERSHIP L.P. By: Lazard Freres Real Estate Investors L.L.C., as general partner By: /s/ Murry Gunty --------------- Name: Murry Gunty Title: Principal Dated: August 27, 1998 EX-16 2 EXHIBIT 16 EXHIBIT 16 JOINT FILING AGREEMENT In accordance with Rule 13d-1(f) promulgated under the Securities Exchange Act of 1934, as amended, the undersigned hereby agree to the joint filing with all other Reporting Persons (as such term is defined in the Schedule 13D referred to below) on behalf of each of them of a statement on Schedule 13D (including amendments thereto) with respect to the Common Stock of beneficial interest, par value $0.01 per share, of The Fortress Group, Inc., a Delaware corporation, and that this Agreement may be included as an Exhibit to such joint filing. This Agreement may be executed in any number of counterparts, all of which taken together shall constitute one and the same instrument. IN WITNESS WHEREOF, the undersigned hereby execute this Agreement as of the 27th day of August 1998. PROMETHEUS HOMEBUILDERS LLC By: LF Strategic Realty Investors II L.P., as sole member By: Lazard Freres Real Estate Investors L.L.C., as general partner By: /s/ Murry Gunty --------------- Name: Murry Gunty Title: Principal LF STRATEGIC REALTY INVESTORS II L.P. LFSRI II ALTERNATIVE PARTNERSHIP L.P. LFSRI II-CADIM ALTERNATIVE PARTNERSHIP L.P. By: Lazard Freres Real Estate Investors L.L.C., as general partner By: /s/ Murry Gunty --------------- Name: Murry Gunty Title: Principal Page 11 of 11 SCHEDULE I EXECUTIVE OFFICERS OF PROMETHEUS AND LFREI The business address for each of the following persons is 30 Rockefeller Plaza, 63rd Floor, New York, NY 10020. NAME OF OFFICER PRESENT AND PRINCIPAL OCCUPATION - --------------- -------------------------------- Arthur P. Solomon Principal of LFREI Anthony E. Meyer Principal of LFREI Robert P. Freeman Principal of LFREI Klaus P. Kretschmann Principal of LFREI Murry N. Gunty Principal of LFREI Thomas M. Mulroy Senior Vice President of LFREI Lorenzo L. Lorenzotti Secretary of LFREI Henry C. Herms Comptroller of LFREI -----END PRIVACY-ENHANCED MESSAGE-----