I agree with @Anonymous_ comment that items that pass through from the partnership retain their character.
However, based on your facts, you are referring to your K-1 line 6c. If that is in fact correct, then that figure may not need to be reported on your 1120 Schedule C. See the commentary from the K-1 line 6c in the instructions:
Dividend equivalents are not reported on Form 1040. This information is provided for persons that are not U.S. persons, who generally are required to treat dividend equivalents as U.S. source dividends, and domestic partnerships with partners who may need this information. The ordinary dividends amount in line 6a does not include the amount of dividend equivalents.
So I am not sure we (and you) have sufficient information to know exactly how to report this amount. My gut tells me that you do not report this on form 1120 Schedule C.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
