UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

 

FORM N-Q

 

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED
MANAGEMENT INVESTMENT COMPANY

 

Investment Company Act file number:

811-21616

 

 

RMR F.I.R.E FUND

(Exact name of registrant as specified in charter)

 

400 CENTRE STREET

NEWTON, MASSACHUSETTS

 

02458

(Address of principal executive offices)

 

(Zip code)

 

Thomas M. O’Brien, President

RMR F.I.R.E. Fund

400 Centre Street

Newton, Massachusetts 02458

(Name and address of agent for service)

 

Copy to:

 

Brian D. O’Sullivan

State Street Bank and Trust Company

2 Avenue De Lafayette, 6th Floor

Boston, Massachusetts 02111

 

Thomas Reyes, Esq.

State Street Bank and Trust Company

 2 Avenue De Lafayette, 6th Floor 

Boston, Massachusetts 02111

 

Registrant's telephone number, including area code:

(617) 332-9530

 

 

Date of fiscal year end:

December 31

 

 

 

 

Date of reporting period:

March 31, 2007

 

 


 

Item 1. Schedule of Investments.

RMR F.I.R.E. Fund

Portfolio of Investments  –  March 31, 2007 (unaudited)

 

Company

 

Shares

 

Value

 

Common Stocks – 85.9%

 

 

 

 

 

Financial Services – 28.2%

 

 

 

 

 

Banks – 11.9%

 

 

 

 

 

Bank of America Corp.

 

4,000

 

$

204,080

 

Citigroup, Inc.

 

6,000

 

308,040

 

Comerica, Inc.

 

4,000

 

236,480

 

Countrywide Financial Corp.

 

6,000

 

201,840

 

Farmers Capital Bank Corp.

 

3,035

 

89,168

 

Fifth Third Bancorp

 

12,000

 

464,280

 

First Commonwealth Financial Corp.

 

28,000

 

329,000

 

First Horizon National Corp.

 

11,400

 

473,442

 

Firstmerit Corp.

 

12,800

 

270,208

 

FNB Corp.

 

28,500

 

480,225

 

Marshall & Ilsley Corp.

 

3,000

 

138,930

 

National City Corp.

 

12,400

 

461,900

 

Regions Financial Corp.

 

7,000

 

247,590

 

Trustco Bank Corp. NY

 

23,400

 

224,172

 

 

 

 

 

4,129,355

 

Thrifts – 7.2%

 

 

 

 

 

Beverly Hills Bancorp, Inc.

 

58

 

441

 

Capitol Federal Financial

 

9,605

 

363,165

 

Flagstar Bancorp, Inc.

 

25,000

 

298,750

 

IndyMac Bancorp, Inc.

 

8,500

 

272,425

 

New York Community Bancorp, Inc.

 

72,200

 

1,269,998

 

Washington Mutual, Inc.

 

7,000

 

282,660

 

 

 

 

 

2,487,439

 

Other Financial Services – 9.1%

 

 

 

 

 

American Capital Strategies, Ltd.

 

15,500

 

686,805

 

Centerline Holding Co.

 

44,200

 

855,270

 

Fannie Mae

 

13,000

 

709,540

 

Friedman Billings Ramsey Group, Inc. *

 

54,000

 

298,080

 

MCG Capital Corp.

 

18,000

 

337,680

 

SLM Corp.

 

7,000

 

286,300

 

 

 

 

 

3,173,675

 

Total Financial Services (Cost $11,580,681)

 

 

 

9,790,469

 

Insurance – 0.4%

 

 

 

 

 

Diversified – 0.4%

 

 

 

 

 

The Allstate Corp.

 

2,000

 

120,120

 

Total Insurance (Cost $119,930)

 

 

 

120,120

 

Real Estate – 55.1%

 

 

 

 

 

Apartments – 3.1%

 

 

 

 

 

Apartment Investment & Management Co. *

 

14,000

 

807,660

 

Home Properties, Inc. *

 

300

 

15,843

 

UDR, Inc. *

 

8,000

 

244,960

 

 

 

 

 

1,068,463

 

Diversified – 13.5%

 

 

 

 

 

Cousins Properties, Inc. *

 

6,900

 

226,734

 

Crescent Real Estate Equities Co. *

 

76,900

 

1,542,614

 

iStar Financial, Inc. *

 

17,000

 

796,110

 

Lexington Corporate Properties Trust *

 

51,400

 

1,086,082

 

Meruelo Maddux Properties, Inc. (a)

 

3,100

 

27,125

 

National Retail Properties, Inc. *

 

41,350

 

1,000,256

 

 

 

 

 

4,678,921

 

 

See notes to portfolio of investments.

 

 


 

Company

 

Shares

 

Value

 

Common Stocks – continued

 

 

 

 

 

Real Estate – continued

 

 

 

 

 

Health Care – 10.1%

 

 

 

 

 

Health Care Property Investors, Inc. *

 

16,850

 

$

607,105

 

Health Care REIT, Inc. *

 

34,904

 

1,532,286

 

Healthcare Realty Trust, Inc. *

 

13,500

 

503,550

 

Nationwide Health Properties, Inc. *

 

26,400

 

825,264

 

OMEGA Healthcare Investors, Inc. *

 

2,000

 

34,300

 

 

 

 

 

3,502,505

 

Hospitality – 1.6%

 

 

 

 

 

Eagle Hospitality Properties Trust, Inc. *

 

36,500

 

406,975

 

LaSalle Hotel Properties *

 

3,300

 

152,988

 

 

 

 

 

559,963

 

Industrial – 5.0%

 

 

 

 

 

AMB Property Corp. *

 

3,000

 

176,370

 

DCT Industrial Trust, Inc. *

 

2,200

 

26,026

 

First Industrial Realty Trust, Inc. *

 

33,700

 

1,526,610

 

 

 

 

 

1,729,006

 

Manufactured Homes – 2.4%

 

 

 

 

 

Sun Communities, Inc. *

 

27,000

 

837,540

 

Mortgage – 9.3%

 

 

 

 

 

Abingdon Investment, Ltd. (b)

 

100,000

 

950,000

 

Alesco Financial, Inc. *

 

142,400

 

1,240,304

 

American Mortgage Acceptance Co. *

 

7,400

 

66,156

 

HomeBanc Corp. *

 

7,500

 

26,175

 

New Century Financial Corp. *

 

13,000

 

13,780

 

Newcastle Investment Corp. *

 

26,500

 

734,845

 

NovaStar Financial, Inc. *

 

37,500

 

187,500

 

 

 

 

 

3,218,760

 

Office – 0.6%

 

 

 

 

 

American Financial Realty Trust *

 

21,000

 

211,680

 

Parkway Properties, Inc. *

 

300

 

15,675

 

 

 

 

 

227,355

 

Retail – 9.1%

 

 

 

 

 

Developers Diversified Realty Corp. *

 

5,000

 

314,500

 

Equity One, Inc. *

 

3,000

 

79,500

 

Glimcher Realty Trust *

 

59,300

 

1,602,286

 

New Plan Excel Realty Trust *

 

35,650

 

1,177,520

 

Realty Income Corp. *

 

200

 

5,640

 

 

 

 

 

3,179,446

 

Specialty – 0.4%

 

 

 

 

 

Getty Realty Corp. *

 

4,000

 

114,960

 

Resource Capital Corp. *

 

2,000

 

32,280

 

 

 

 

 

147,240

 

Total Real Estate (Cost $18,835,063)

 

 

 

19,149,199

 

Other – 2.2%

 

 

 

 

 

Iowa Telecommunication Services, Inc.

 

37,500

 

750,000

 

Total Other (Cost $631,150)

 

 

 

750,000

 

Total Common Stocks (Cost $31,166,824)

 

 

 

29,809,788

 

Preferred Stocks – 59.3%

 

 

 

 

 

Real Estate – 56.4%

 

 

 

 

 

Apartments – 9.4%

 

 

 

 

 

Apartment Investment & Management Co., Series U *

 

32,500

 

829,725

 

Apartment Investment & Management Co., Series V *

 

27,700

 

728,233

 

Apartment Investment & Management Co., Series Y *

 

65,000

 

1,692,275

 

 

 

 

 

3,250,233

 

 

See notes to portfolio of investments.

 

 


 

 

Company

 

Shares

 

Value

 

Preferred Stocks – continued

 

 

 

 

 

Real Estate – continued

 

 

 

 

 

Diversified – 5.6%

 

 

 

 

 

Cousins Properties, Inc., Series B *

 

20,000

 

$

514,600

 

Digital Realty Trust, Inc., Series A *

 

20,000

 

516,400

 

LBA Realty LLC, Series B *

 

45,000

 

911,250

 

 

 

 

 

1,942,250

 

Health Care – 3.4%

 

 

 

 

 

Health Care REIT, Inc., Series F *

 

26,900

 

692,675

 

OMEGA Healthcare Investors Inc., Series D *

 

19,000

 

490,200

 

 

 

 

 

1,182,875

 

Hospitality – 14.8%

 

 

 

 

 

Eagle Hospitality Properties Trust, Inc., Series A *

 

14,000

 

343,000

 

Entertainment Properties Trust, Series B *

 

40,000

 

1,024,400

 

Equity Inns, Inc., Series B *

 

50,000

 

1,289,000

 

FelCor Lodging Trust, Inc., Series C *

 

64,000

 

1,628,160

 

Host Marriott Corp., Series E *

 

10,000

 

270,000

 

Strategic Hotels & Resorts, Inc., Series B *

 

13,700

 

348,734

 

Winston Hotels, Inc., Series B *

 

10,900

 

255,060

 

 

 

 

 

5,158,354

 

Manufactured Homes – 0.5%

 

 

 

 

 

Affordable Residential Communities, Series A *

 

6,900

 

175,260

 

Mortgage – 9.2%

 

 

 

 

 

Anthracite Capital, Inc., Series D *

 

6,000

 

142,200

 

HomeBanc Corp., Series A *

 

10,000

 

234,000

 

MFA Mortgage Investments, Inc., Series A *

 

13,800

 

345,552

 

RAIT Investment Trust, Series B *

 

59,000

 

1,475,000

 

Thornburg Mortgage, Inc., Series C *

 

40,000

 

1,000,000

 

 

 

 

 

3,196,752

 

Office – 2.5%

 

 

 

 

 

Alexandria Real Estate Equities, Inc., Series C *

 

31,600

 

856,676

 

Retail – 11.0%

 

 

 

 

 

CBL & Associates Properties, Inc., Series D *

 

10,000

 

257,000

 

Glimcher Realty Trust, Series F *

 

26,500

 

677,605

 

Glimcher Realty Trust, Series G *

 

41,000

 

1,037,300

 

Ramco-Gershenson Properties Trust, Series B *

 

36,000

 

915,120

 

Taubman Centers, Inc., Series G *

 

15,000

 

387,450

 

The Mills Corp., Series E *

 

9,500

 

248,995

 

The Mills Corp., Series G *

 

11,500

 

300,725

 

 

 

 

 

3,824,195

 

Total Real Estate (Cost $19,741,463)

 

 

 

19,586,595

 

Financial Services – 2.9%

 

 

 

 

 

Corts-UNUM Provident Financial Trust

 

38,000

 

1,016,880

 

Total Financial Services (Cost $982,300)

 

 

 

1,016,880

 

Total Preferred Stocks (Cost $20,723,763)

 

 

 

20,603,475

 

Short-Term Investments – 10.6%

 

 

 

 

 

Other Investment Companies – 10.6%

 

 

 

 

 

SSgA Money Market Fund, 4.98% (c) (Cost $3,684,918)

 

3,684,918

 

3,684,918

 

Total Investments – 155.8% (Cost $55,575,505) (d)

 

 

 

54,098,181

 

Other assets less liabilities – 1.8%

 

 

 

628,647

 

Preferred Shares, at liquidation preference – (57.6)%

 

 

 

(20,000,000

)

Net Assets applicable to common shareholders – 100%

 

 

 

$

34,726,828

 

 

Notes to Portfolio of Investments

*

 

Real Estate Investment Trust, or REIT

(a)

 

As of March 31, 2007, this security had not paid a distribution.

(b)

 

144A securities. Securities restricted for resale to Qualified Institutional Buyers (2.7% of net assets).

(c)

 

Rate reflects 7 day yield as of March 31, 2007.

 

See notes to portfolio of investments.


 

(d)

 

Although subject to adjustments to the extent 2007 distributions by the issuers of the Fund’s investments are characterized as return of capital, the cost, gross unrealized appreciation and gross unrealized depreciation of the Fund’s investments for federal income tax purposes, as of March 31, 2007, are as follows:

 

Cost

 

$

55,575,505

 

 

 

 

 

Gross unrealized appreciation

 

$

2,511,297

 

Gross unrealized depreciation

 

(3,988,621

)

Net unrealized depreciation

 

$

(1,477,324

)

 

Reference should be made to the Fund’s financial statements for the year ended December 31, 2006, for further

information concerning the income tax characterization of the Fund’s investment income and distributions.

 

 


 

Item 2. Controls and Procedures.

 

(a)  The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)), are effective, as of a date within 90 days of the filing date of this report, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended.

 

(b)  There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 3. Exhibits

 

(a)(1) Certification of Principal Executive Officer, as required by Rule 30a-2(a) under the 1940 Act.

(a)(2) Certification of Principal Financial Officer, as required by Rule 30a-2(a) under the 1940 Act.

 

 


 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

RMR F.I.R.E. FUND

 

 

By:

/s/ Thomas M. O’Brien

 

 

Thomas M. O’Brien

 

President

 

 

Date:

May 8, 2007

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

 

By:

/s/ Thomas M. O’Brien

 

 

Thomas M. O’Brien

 

President

 

 

Date:

May 8, 2007

 

 

 

 

By:

/s/ Mark L. Kleifges

 

 

Mark L. Kleifges

 

Treasurer

 

 

Date:

May 8, 2007