FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549
     (Mark One)
     [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
         OF THE SECURITIES EXCHANGE ACT OF 1934

               For the quarterly period ended  SEPTEMBER 30, 1998

                                       OR

     [ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
          OF THE SECURITIES EXCHANGE ACT OF 1934

           For the transition period from            to

                         Commission file number 0-24594

                        WEST COAST REALTY INVESTORS INC.
             (Exact name of registrant as specified in its charter)

                   CALIFORNIA                      95-4246740
         (State or other Jurisdiction of         (I.R.S. Employer
          incorporation or organization)          Identification No.)

                       5933 W. CENTURY BLVD., 9TH, FLOOR
                         LOS ANGELES, CALIFORNIA 90045
                    (Address of principal executive offices)
                                   (Zip Code)

                                 (310) 670-0800
              (Registrant's telephone number, including area code)

   (Former name, former address and former fiscal year, if changed since last
                                    report)

     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to 
such filing requirements for the past 90 days.
Yes      X          No _______

                     APPLICABLE ONLY TO CORPORATE ISSUERS:
     INDICATE THE NUMBER OF SHARES OUTSTANDING OF EACH OF THE ISSUER'S CLASSES
OF COMMON STOCK, AS OF THE LATEST PRACTICABLE DATE.  2,932,762 SHARES
OUTSTANDING AS OF NOVEMBER 11, 1998.

<PAGE>

ITEM 1.  FINANCIAL STATEMENTS

     In the opinion of the Management of West Coast Realty Investors, Inc. 
(the "Company"), all adjustments necessary for a fair presentation of the 
Company's results for the three and nine months ended September 30, 1998 and 
1997, have been made in the following financial statements which are normal 
and recurring in nature.  However, such financial statements are unaudited 
and are subject to any year-end adjustments that may be necessary.

<TABLE>
                       WEST COAST REALTY INVESTORS, INC.
                                 BALANCE SHEETS
              SEPTEMBER 30, 1998 (UNAUDITED) AND DECEMBER 31, 1997
<CAPTION>

                                        SEPTEMBER 30, 1998  December 31, 1997
<S>                                               <C>              <C>
ASSETS
Rental real estate, less accumulated
   depreciation (Note 2)                     $33,538,636        $27,322,612
Cash and cash equivalents                      6,619,637          2,099,857
Deferred rent                                    388,857            288,411
Loan origination fees, net of accumulated
amortization of $64,428 and $51,603              192,066             89,260
Other assets (Note 3)                            202,943             38,951

TOTAL ASSETS                                 $40,942,139        $29,839,091

LIABILITIES AND STOCKHOLDERS' EQUITY
LIABILITIES
   Accounts payable                          $    24,531           $130,076
   Due to related party (Note 5(e))              266,635            187,267
   Dividends payable (Note 8)                    439,914                ---
   Security deposits and prepaid rent            330,510            366,921
   Other liabilities                             122,337            107,032
   Notes payable (Note 6)                     15,370,342         11,194,832

TOTAL LIABILITIES                             16,554,269         11,986,128
COMMITMENTS
STOCKHOLDERS' EQUITY
 Common stock, $.01 par-shares authorized,
 5,000,000 shares issued, 2,932,762 and
 2,163,561 outstanding in 1998 and 1997           29,328             21,635
 Additional paid-in capital                   26,651,976         19,313,678
 Deficit                                     (2,293,434)        (1,482,350)

TOTAL STOCKHOLDERS' EQUITY                    24,387,870         17,852,963

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY   $40,942,139        $29,839,091

</TABLE>
[FN]
                See accompanying notes to financial statements.

<PAGE>
<TABLE>
    
                        WEST COAST REALTY INVESTORS, INC.

                       STATEMENTS OF STOCKHOLDERS' EQUITY
                      NINE MONTHS ENDED SEPTEMBER 30, 1998
                                  (UNAUDITED)
<CAPTION>
                                     COMMON STOCK     ADDITIONAL PAID-IN
                                   SHARES    AMOUNT        CAPITAL     DEFICIT
<S>                                  <C>       <C>           <C>          <C>
BALANCE AT DECEMBER 31, 1997      2,163,561   $21,635    $19,313,678 $(1,482,350)

Treasury stock                       16,678       167            ---          ---

Issuance of stock, net              752,523     7,526      7,156,623          ---

Equity contribution by Affiliates
through expense reimbursements          ---       ---        181,675          ---

Net income                              ---       ---            ---      521,038

Dividends declared (Note 8)             ---       ---            ---  (1,332,122)

BALANCE AT SEPTEMBER 30, 1998     2,932,762   $29,328    $26,651,976 $(2,293,434)

</TABLE>
<TABLE>

                      NINE MONTHS ENDED SEPTEMBER 30, 1997
                                  (UNAUDITED)
<CAPTION>
                                     COMMON STOCK     ADDITIONAL PAID-IN
                                   SHARES    AMOUNT        CAPITAL        DEFICIT
<S>                                 <C>         <C>          <C>            <C>
BALANCE AT DECEMBER 31, 1996      1,550,607   $15,506    $13,861,763   $(972,378)

Issuance of stock, net              417,537     4,175      3,659,200          ---

Equity contribution by Affiliates
through expense reimbursements          ---       ---         88,742          ---

Net income                              ---       ---            ---      567,017

Dividends declared (Note 8)             ---       ---            ---  (1,071,820)

BALANCE AT SEPTEMBER 30, 1997     1,968,144   $19,681    $17,609,705 $(1,477,181)

</TABLE>
[FN]
                See accompanying notes to financial statements.
<PAGE>
<TABLE>
                       WEST COAST REALTY INVESTORS, INC.

                              STATEMENTS OF INCOME
            THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997
                                  (UNAUDITED)
<CAPTION>
                          THREE MONTHS  THREE MONTHS NINE MONTHS  NINE MONTHS
                              ENDED        ENDED        ENDED        ENDED
                          SEPTEMBER 30, SEPTEMBER 30,  SEPTEMBER    SEPTEMBER
                               1998         1997       30, 1998     30, 1997
<S>                            <C>           <C>          <C>          <C>
REVENUES:
  Rental                     $920,421     $735,057   $2,583,683   $2,182,869
  Interest                     67,371       37,605      129,445       70,558

                              987,792      772,662    2,713,128    2,253,427

COSTS AND EXPENSES:
Operating                      45,968       43,076      113,728      110,772
Property taxes                 28,201       27,722       79,827       83,167
Property management fees
-related party (Note 5 (d))    32,627       27,581       91,911       83,384
Interest                      312,311      282,835      783,082      802,547
General and administrative    146,575       86,767      583,395      247,656
Depreciation and amortization 188,414      119,954      540,147      358,884

                              754,096      587,935    2,192,090    1,686,410

NET INCOME                   $233,696     $184,727     $521,038     $567,017

NET INCOME PER SHARE (NOTE 8)    $.08         $.10         $.20         $.32

</TABLE>
[FN]
                See accompanying notes to financial statements.

<PAGE>
<TABLE>
                       WEST COAST REALTY INVESTORS, INC.
                            STATEMENTS OF CASH FLOWS
           NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)

<CAPTION>
                                                       NINE MONTHS NINE MONTHS
                                                           ENDED      ENDED
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS         SEPTEMBER  SEPTEMBER
                                                          30, 1998    30, 1997
<S>                                                          <C>        <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net income                                                $521,038   $567,017
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization                              527,322    349,260
Interest expense on amortization of loan origination fees   12,825      9,624
Increase (decrease) from changes in:
    Accounts receivable                                  (100,446)  (156,255)
    Other assets                                         (163,992)     41,002
    Accounts payable                                     (105,545)    (2,600)
    Due to related party                                    79,368     34,272
    Security deposits and prepaid rents                   (36,411)     12,658
    Other liabilities                                       15,305     37,031

NET CASH PROVIDED BY OPERATING ACTIVITIES                  749,464    892,009

CASH FLOWS FROM INVESTING ACTIVITIES
    Additions to rental real estate                    (6,743,346)(4,907,441)
NET CASH (USED IN) INVESTING ACTIVITIES                (6,743,346)(4,907,441)

CASH FLOWS FROM FINANCING ACTIVITIES
 Proceeds from issuance of common stock, net             7,164,296  3,544,372
 Equity contribution by Affiliates through expense
 reimbursements                                            181,675     88,742
   Dividends declared and paid                           (892,208)  (931,344)
   Proceeds from notes payable                           4,375,000  2,312,500
   Payments on notes payable                             (199,470)  (163,154)
   Increase in loan origination fees                     (115,631)     29,337
NET CASH PROVIDED BY FINANCING ACTIVITIES               10,513,662  4,880,453

NET INCREASE IN CASH AND CASH EQUIVALENTS                4,519,780    865,021

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD           2,099,857  2,017,194

CASH AND CASH EQUIVALENTS,  END OF PERIOD               $6,619,637 $2,882,215

</TABLE>
[FN]
                See accompanying notes to financial statements.

<PAGE>
                       WEST COAST REALTY INVESTORS, INC.

                         SUMMARY OF ACCOUNTING POLICIES
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)
                              AND DECEMBER 31, 1997

BASIS OF PRESENTATION
The accompanying balance sheet as of September 30, 1998, the income statements
and statements of cash flow for the nine months periods ended September 30,
1998, and 1997 are unaudited, but in the opinion of management include all
adjustments, consisting only of normal recurring accruals, necessary for a 
fair presentation of the financial position and results of operations for the 
periods presented.  The results of operations for the nine month period ended 
September 30, 1998, are not necessarily indicative of results to be expected 
for the year ended December 31, 1998.


BUSINESS
West Coast Realty Investors, Inc. (the "Company"), is a corporation formed on
October 26, 1989 under the laws of the State of Delaware.  The Company exists 
as a Real Estate Investment Trust ("REIT") under Sections 856 to 860 of the
Internal Revenue Code.  The Company has complied with all requirements imposed
on REIT's for 1997 and 1996 tax years; however, qualification as a REIT for
future years is dependent upon future operations of the Company.  The Company
was organized to acquire interests in income-producing residential, 
industrial, retail or commercial properties located primarily in California 
and the west coast of the United States.  The Company intends to acquire 
property for cash on a moderately leveraged basis with aggregate mortgage 
indebtedness not to exceed fifty percent of the purchase price of all 
properties on a combined basis, or eighty percent individually and intends to 
own and operate such properties for investment over an anticipated holding 
period of five to ten years.


RENTAL PROPERTIES AND DEPRECIATION
Assets are stated at lower of cost or net realizable value.  Depreciation is
computed using the straight-line method over their estimated useful lives of
31.5 to 39 years for financial and income tax reporting purposes.

In the event that facts and circumstances indicate that the cost of an asset 
may be impaired, an evaluation of recoverability would be performed.  If an
evaluation is required, the estimated future undiscounted cash flows 
associated with the asset would be compared to the carrying amount to 
determine if a write-down to market value is required.

LOAN ORIGINATION FEES
Loan origination fees are capitalized and amortized over the life of the loan.

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                         SUMMARY OF ACCOUNTING POLICIES
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)
                        AND DECEMBER 31, 1997 (CONTINUED)

LEASE COMMISSIONS
Lease commissions which are paid to real estate brokers for locating tenants 
are capitalized and amortized over the life of the lease.

RENTAL INCOME
Rental income is recognized on a straight-line basis to the extent that rental
income is deemed collectable.  Where there is uncertainty of collecting higher
scheduled rental amounts, due to the tendency of tenants to renegotiate their
leases for lower amounts, rental income is recognized as the amounts are
collected.

CASH AND CASH EQUIVALENTS
The Company considers cash in the bank, liquid money market funds, and all
highly liquid certificates of deposits, with original maturities of three 
months or less, to be cash and cash equivalents.

USE OF ESTIMATES
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions 
that affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of revenues and expenses during the reporting period.
Actual results could differ from those estimates.

RECLASSIFICATIONS
For comparative purposes, certain prior year amounts have been reclassified 
to conform to the current year presentation.

NEW ACCOUNTING PRONOUCEMENTS
Statement of Financial Accounting Standards No. 130  (SFAS No. 130) "Reporting
Comprehensive Income," issued by the Financial Accounting Standards Board is
effective for financial statements with fiscal years beginning after December
15, 1997.  Earlier application is permitted.  SFAS No. 130 establishes 
standards for reporting and display of comprehensive income and its 
components in a full set of general-purpose financial statements.  The 
Company has not determined the effect on its financial position or results of
operations, if any, from the adoption of this statement.

<PAGE>
                       WEST COAST REALTY INVESTORS, INC.

                         SUMMARY OF ACCOUNTING POLICIES
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)
                        AND DECEMBER 31, 1997 (CONTINUED)

NEW ACCOUNTING PRONOUCEMENTS (CONT.)
Statement of Financial Accounting Standards No. 131 (SFAS No. 131), 
"Disclosure about Segments of an Enterprise and Related Information," issued 
by the Financial Accounting Standards Board is effective for financial 
statements with fiscal years beginning after December 15, 1997.  The new 
standard requires that public business enterprises report certain information 
about operating segments in complete sets of financial statements of the 
enterprises and in condensed financial statements of interim periods issued 
to shareholders.  It also requires that public business enterprises report 
certain information about their products and services, the geographic areas 
in which they operate and their major customers.  The Company has not 
determined the effect on its financial position or results of operations, if 
any, from the adoption of this statement. 

EARNINGS (LOSS) PER SHARE
On March 3, 1997, the FASB issued Statement of Financial Accounting Standards
No. 128, "Earnings Per Share" (SFAS 128).  This pronouncement provides a
different method of calculating earnings per share than is currently used in
accordance with APB 15, "Earnings Per Share".  SFAS 128 provides for the
calculation of Basic and Diluted earnings per share.  Basic earnings per share
includes no dilution and is computed by dividing income available to common
shareholders by the weighted average number of common shares outstanding for 
the period.  Diluted earnings per share reflects the potential dilution of
securities that could share in the earnings of the entity, similar to fully
diluted earnings per share.  Except where the provisions of the Securities and
Exchange Commission's Staff Accounting Bulletin No. 98 are applicable, common
share equivalents have been excluded in all years presented in the Statements 
of Operations when the effect of their inclusion would be anti-dillutive. 
SFAS 128 is effective for fiscal years and interim periods after December 15,
1997.  The Company has adopted this pronouncement during the fiscal year ended
December 31, 1997.  The adoption of SFAS 128 did not effect earnings per share
for the fiscal year ended December 31, 1997 and prior years.

<PAGE>
                       WEST COAST REALTY INVESTORS, INC.

                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)
                              AND DECEMBER 31, 1997

NOTE 1 - GENERAL

On October 30, 1989, West Coast Realty Advisors, Inc. (the "Advisor"), 
purchased 1,000 shares of the Company's common stock for $10,000.  On August 
30, 1990, the Company reached its minimum initial offering funding level of 
$1,000,000.  As of September 30, 1998 the Company has raised $29,270,486 in 
capital.

Sales commissions and wholesaling fees, representing 8% of the gross proceeds
from the sale of common shares, were paid to Associated Securities Corp.
("ASC"), a member of the National Association of Securities Dealers, Inc.
("NASD") and an affiliate of the Advisor.

Dividends are declared and accrued based approximately upon the previous
quarter's income from operations before depreciation and amortization.

NOTE 2 - RENTAL PROPERTIES

The Company owns the following income-producing properties

                                                         ORIGINAL
LOCATION (PROPERTY NAME)         DATE PURCHASED      ACQUISITION COST

Huntington Beach, California
(Blockbuster)                  February 26, 1991             $ 1,676,210
Fresno, California                May 14, 1993                 1,414,893
Huntington Beach, California   September 15, 1993              2,500,001
Riverside, California          November 29, 1994               3,655,500
Tustin, California (Safeguard)    May 22, 1995                 4,862,094
Fremont, California
(Technology Drive)              October 31, 1995               3,747,611
Sacramento, California           August 2, 1996                1,828,500
(Java City)
Irvine, California (Tycom)      January 17, 1997               4,907,441
Roseville, California           October 31, 1997               1,976,484
Corona, California             December 31, 1997               1,904,452
Sacramento, California          January 15, 1998               2,141,200
(Laufen Tile International)
Chino, California                April 9, 1998                 1,859,338
Vacaville, California             May 20, 1998                 2,735,307

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.
                         NOTES TO FINANCIAL STATEMENTS

      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)
                       AND DECEMBER 31, 1997 (Continued)

NOTE 2 - RENTAL PROPERTIES (CONTINUED)

The major categories of property are:

                               SEPTEMBER 30, 1998      DECEMBER 31, 1997

Land                                $  11,564,090           $  9,449,150
Buildings and improvements             23,644,941             19,016,532

                                       35,209,031             28,465,682
Less accumulated depreciation           1,670,395              1,143,070

Net rental properties               $  33,538,636          $  27,322,612


A significant portion of the Company's rental revenue was earned from tenants
whose individual rents represented more than 10% of total rental revenue.
Specifically:

Four tenants accounted for 19%, 16%, 13% and 13% of total rental revenue in
1998;
Four tenants accounted for 20%, 16%, 16% and 15% of total rental revenue in
1997;
Five tenants accounted for 23%, 19%, 18%, 12% and 10% of total rental revenue 
in 1996;

NOTE 3 - OTHER ASSETS

     Other assets consists of the following:

                                     SEPTEMBER 30, 1998    DECEMBER 31, 1997

Deposits and prepaid expenses            $202,943            $38,951
Organization costs                         14,330             14,330
                                          217,273             53,281
Less accumulated amortization              14,330             14,330
Net other assets                         $202,943            $38,951

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998 AND 1997 (UNAUDITED)
                        AND DECEMBER 31, 1997 (Continued)

NOTE 4 - FUTURE MINIMUM RENTAL INCOME

As of September 30, 1998 and December 31, 1997, future minimum rental income
under the existing leases that have remaining noncancelable terms in excess 
of one year are as follows:

                                 SEPTEMBER 30, 1998    DECEMBER 31,1997

     1998 ........................... $1,037,596            $2,822,600
     1999 ...........................  3,379,171             2,864,178
     2000 ...........................  3,391,476             2,906,830
     2001 ...........................  3,288,737             2,834,342
     2002 ...........................  3,159,822             2,704,149
     Thereafter ..................... 13,213,555            11,772,647

     Total                           $27,470,357           $25,904,746


Future minimum rental income does not include lease renewals or new leases 
that may result after a noncancelable-lease expires.

NOTE 5 - RELATED PARTY TRANSACTIONS

The Advisor has an agreement with the Company to provide advice on investments
and to administer the day-to-day operations of the Company.  Property 
management services for the Company's properties are provided by West Coast 
Realty Management, Inc. ("WCRM"), an affiliate of the Advisor.

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.
                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998, AND 1997 (UNAUDITED)
                        AND DECEMBER 31, 1997 (Continued)

During the periods presented, the Company had the following related party
transactions:

     (a) In accordance with the advisory agreement, compensation earned by, or
       services reimbursed or reimbursable to the advisor, consisted of the
       following:

                                    NINE MONTHS ENDED   FOR THE YEAR ENDED
                                   SEPTEMBER 30, 1998    DECEMBER 31, 1997

Syndication fees                             $658,001          $262,833
Acquisition fees and financing fees           501,157           384,719
Overhead expenses                              18,000            24,000
                                           $1,177,158          $671,552

     (b) At September 30, 1998 and December 31, 1997, the Advisor owned 22,556
         shares of the issued and outstanding shares of the Company.

     (c) Sales commissions paid in accordance with the selling agreement to 
         ASC totaled $422,510 for the nine months ended September 30, 1998 
         and $310,421 for the nine months ended September 30, 1997.

     (d) Property management fees earned by WCRM totaled $32,627 and $27,581 
         for the three months ended September 30, 1998 and 1997, 
         respectively.  For the nine months ended September 30, 1998 and 
         1997, WCRM earned $91,911 and $83,384, respectively in property 
         management fees.

     (e) The Corporation had related party accounts payable as follows:

                                    SEPTEMBER 30, 1998     DECEMBER 31, 1997

 Associated Securities Corp.                 $  11,019           $     6,152
 West Coast Realty Management                   32,627                23,192
 West Coast Realty Advisors                    222,989               157,923
                                              $266,635              $187,267

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998, AND 1997 (UNAUDITED)
                        AND DECEMBER 31, 1997 (Continued)


NOTE 6 - NOTES PAYABLE

Notes payable is made up of the following:

                                              SEPTEMBER 30,     DECEMBER 31,
                                                   1998             1997

8.25% promissory note secured by a Deed of
Trust on the Fresno Property, monthly
principal and interest payments are $5,244 due
August 1, 2003 _____                               $606,789         $616,219

Variable rate promissory note secured by a
Deed of Trust on the Huntington Beach
property, interest rate adjustments are
monthly and are based on the 11th District
cost of funds rate plus 3% (7.911% at
September 30, 1998), and may never go below
6.5% or above 11.0%, monthly principal and
interest payments are $12,723 due October 1,
2003 ______                                       1,673,820        1,688,870

8.25% promissory note secured by a Deed of
Trust on the Blockbuster property, interest
rate adjusts to the 5-year Treasury rate plus
350 basis points on February 1, 1999, monthly
principal and interest payments are $4,934,
due February 1, 2004 _________                      546,146          556,403

9.25% promissory note secured by a Deed of
Trust on the Riverside property, monthly
principal and interest payments are $9,988 due
November 8, 2004 ____                             1,159,154        1,167,149

9.625% promissory note secured by a Deed of
Trust on the Safeguard property, monthly
principal and interest payments are $24,191,
due February 1, 2005 ____                         1,998,407        2,069,004

8.24% promissory note secured by a Deed of
Trust on the Fremont property, interest rate
equaled the 20-year Treasury rate plus 1.65%
at loan closing, monthly principal and
interest payments are currently $18,898 due
August 1, 2015 _____________                      2,050,358        2,090,456

10% promissory note secured by a Deed of Trust
on the Java City property, monthly principal
and interest payments are $3,413, due November
1, 2001____                                         323,210          329,083


<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998, AND 1997 (UNAUDITED)
                       AND DECEMBER 31, 1997 (Continued)


NOTE 6 - NOTES PAYABLE (CONT.)

Notes payable is made up of the following: (cont.)


                                                SEPTEMBER 30,    DECEMBER 31,
                                                    1998             1997

8% promissory note secured by a Deed of Trust
on the Java City property, monthly principal
and interest payments are $3,126 due June 1,
2018 ______                                        $369,460         $375,540

Variable rate promissory note secured by a
Deed of Trust on the Tycom property, interest
rate margin is 1.9% over the 3 month LIBOR
with right of conversion after the first year
(7.23% at September 30, 1998), monthly
principal and interest payments are $17,469
due June 30, 2007_____________                    2,276,465        2,302,108

7.375% promissory note secured by a Deed of
Trust on the Sacramento (Laufen Tile)
property, monthly principal and interest
payments are $7,309, due June 1, 2011 _____         996,489              ---

7.375% promissory note secured by a Deed of
Trust on the Corona property, monthly
principal and interest payments are $7,309,
due June 1, 2011 ______                             996,489              ---

8.33% promissory note secured by a Deed of
Trust on the Roseville property, monthly
principal and interest payments are $11,510,
due July 1, 2008 _____                            1,448,555              ---

Variable rate promissory note secured by a
Deed of Trust on the Chino property, interest
rate may be adjusted as of the 4th and 8th
anniversary dates to the weekly average of the
5-year Treasury Note for the seventh week
prior to the anniversary date. Interest rate
is 7.50% as of September 30, 1998 and current
monthly principal and interest payments are
$6,836, due October 1, 2010 ______________          925,000              ---

Total Notes Payable                             $15,370,342      $11,194,832

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998, AND 1997 (UNAUDITED)
                       AND DECEMBER 31, 1997 (Continued)

NOTE 6 - NOTES PAYABLE (CONT.)

The fair value of the notes are approximately $15,400,000 and $11,128,000 at
September 30, 1998 and December 31, 1997 respectively, calculated by 
discounting the expected future cash outflows on the notes to the present 
based on current lending rates which are the approximate industry lending 
rates on these type of properties and these locations.

The aggregate annual future maturities at September 30, 1998 and December 31,
1997 are as follows:

YEAR ENDING                     SEPTEMBER 30, 1998          DECEMBER 31, 1997
1998 _________                  $       82,321              $     257,341
1999 _________                         339,375                    277,629
2000 _________                         367,509                    300,845
2001 _________                         400,120                    328,143
2002 _________                         727,064                    649,352
Thereafter _______                  13,453,953                  9,381,522
Total                              $15,370,342                $11,194,832

NOTE 7 - DIVIDEND REINVESTMENT PLAN

The Company had a Dividend Reinvestment Plan (the "Plan") whereby cash 
dividends would, upon election of the shareholders, be used to purchase 
additional shares of the Company.  The shareholders' participation in the 
Plan was terminable at any time.  The Company eliminated the Dividend 
Reinvestment Plan effective April 22, 1998.

NOTE 8 - NET INCOME AND DIVIDENDS PER SHARE

Net Income Per Share for the nine months ended September 30, 1998 and 1997 
was computed using the weighted average number of outstanding shares of 
2,561,114 and 1,764,404, respectively.

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                         NOTES TO FINANCIAL STATEMENTS
      THREE AND NINE MONTHS ENDED SEPTEMBER 30, 1998, AND 1997 (UNAUDITED)
                        AND DECEMBER 31, 1997 (Continued)

NOTE 8 - NET INCOME AND DIVIDENDS PER SHARE (CONT.)

Dividends declared during the first nine months 1998 and 1997 were as follows:

                      OUTSTANDING           AMOUNT             TOTAL
RECORD DATE              SHARES           PER SHARE           DIVIDEND

January 1, 1998        2,149,404           $ 0.0666          $143,150
February 1, 1998       2,345,825             0.0666           156,232
March 1, 1998          2,345,825             0.0666           156,232
April 1, 1998          2,345,825             0.0558           130,897
May 1, 1998            2,590,131             0.0558           144,529
June 1, 1998           2,888,319             0.0558           161,168
September 30, 1998     2,932,762             0.1500           439,914

TOTAL                                                      $1,332,122


                      OUTSTANDING           AMOUNT             TOTAL
RECORD DATE              SHARES            PER UNIT           DIVIDEND

January 1, 1997        1,550,607           $ 0.0666          $103,270
February 1, 1997       1,671,442             0.0666           111,318
March 1, 1997          1,671,442             0.0666           111,318
April 1, 1997          1,810,916             0.0666           120,607
May 1, 1997            1,815,579             0.0666           120,917
June 1, 1997           1,815,579             0.0666           120,917
July 1, 1997           1,815,579             0.0666           120,917
August 1, 1997         1,974,144             0.0666           131,478
September 1, 1997      1,968,144             0.0666           131,078

TOTAL                                                      $1,071,820

NOTE 9 - SUBSEQUENT EVENTS

(a) In October 1998, the Company paid dividends totaling $439,914 ($0.150 per
share per period), payable to shareholders of record on September 30, 1998 
(Note 8).

(b) On October 2, 1998, the Company received proceeds of $1,410,093 in
connection with financing secured by the Vacaville, California property.

<PAGE>

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF
        FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Certain statements in the Management Discussion and Analysis constitute
"forward-looking statements" within the meaning of the Private Securities
Litigation Reform Act of 1995 (the "Reform Act").  Such forward-looking
statements involve known and unknown risks, uncertainties, and other factors
which may cause the actual results, performance or achievements of the 
Company to be materially different from any future results, performance or 
achievements, expressed or implied by such forward-looking statements.

INTRODUCTION

West Coast Realty Investors, Inc. is a Delaware corporation, formed on October
26, 1989. The Company began offering for sale shares of Common Stock on April
20, 1990.  On August 30, 1990, the Company reached its minimum initial 
offering funding level of $1,000,000.  A secondary offering of shares was 
begun on May 14, 1992.  On November 30, 1992 the Company reached its minimum 
secondary offering funding level of $250,000.  A third offering of shares was
begun on June 3, 1994.  On July 25, 1994, the Company reached its minimum 
third offering funding level of $250,000. A fourth offering of shares began 
on May 6, 1996.  As of September 30, 1998, the Company had raised $29,270,486 
in gross proceeds from all four offerings.

The Company was organized for the purpose of investing in, improving, holding,
and managing equity interests in a diversified portfolio of commercial
properties located in California and the West Coast, while qualifying as a 
Real Estate Investment Trust.  Properties will be acquired for cash or on a
moderately leveraged basis, with aggregate indebtedness not to exceed 50% of 
the purchase price of all properties on a combined basis.  The Company 
intends to hold each property for approximately seven to ten years.

The Company's principal investment objectives are to invest in rental real
estate properties which will:

  (1) Preserve and protect the Company's invested capital;
  (2) Provide shareholders with cash distributions; a portion of which will 
      not constitute taxable income.
  (3) Provide capital gains through potential appreciation; and
  (4) Provide market liquidity through transferable shares of stock.

The Company qualifies as a Real Estate Investment Trust (REIT) for federal 
and state income tax purposes.

The ownership and operation of any income-producing real estate is subject to
those risks inherent in all real estate investments, including national and
local economic conditions, the supply and demand for similar types of
properties, competitive marketing conditions, zoning changes, possible 
casualty losses, increases in real estate taxes, assessments, and operating 
expenses, as well as others.

<PAGE>

ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS OF
           FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

INTRODUCTION (CONT.)

The Company has engaged West Coast Realty Advisors, Inc. ("WCRA") to act as 
the Company's advisor.  Pursuant to the terms of the advisory agreement, WCRA
provides investment and financial advice and conducts the day-to-day 
operations of the Company. The Company, itself, has no employees.

LIQUIDITY AND CAPITAL RESOURCES

During the nine months ended September 30, 1998 the Company declared dividends
totaling $1,332,122, compared to the nine months ended September 30, 1997, 
when the Company declared dividends totaling $1,071,820.  Dividends are 
determined by management based on cash flows and the liquidity position of 
the Company.  It is the intention of management to declare dividends, subject 
to the maintenance of reasonable reserves.

During the nine months ended September 30, 1998 the Company raised an 
additional $7,164,296 in net proceeds as the result of the sale of shares 
from its fourth public offering.  The Company used the net proceeds from 
offerings to purchase additional income-producing properties and to add to 
the cash reserve balances of the Company as is prudent given the amount of 
property now under ownership.

Management uses cash as its primary measure of the Company's liquidity.  The
amount of cash that represents adequate liquidity for a real estate 
investment company, is dependent on several factors. Among them are:

  1.    Relative risk of the Company's operations;
  2.    Condition of the Company's properties;
  3.    Stage in the Company's operating cycle (e.g., money-raising,
        acquisition, operating or disposition phase); and
  4.    Shareholders dividends.

The Company is adequately liquid and management believes it has the ability 
to generate sufficient cash to meet both short-term and long-term liquidity 
needs, based upon the above four points.

<PAGE>

ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS OF
           FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

LIQUIDITY AND CAPITAL RESOURCES (CONT.)

The first point refers to the risk of the Company's investments. At September
30, 1998, the Company's excess funds were invested in short-term money market
funds.  The purchase of rental properties had been made either entirely with
cash or the use of moderate leverage.  During the nine months ended September
30, 1998, notes payable pertaining to property acquisitions by the Company
increased $4,375,000 due to the refinancing of purchased income-producing
properties, while cash used in principal repayments of notes totaled $181,675.
Although most of the notes are set up on an amortization schedule allowing for
the repayment of principal over time, most of the principal on the notes is 
due in balloon payments that come due in the years 2002 through 2011.  The 
Company is aware that prior to the time that these large payments come due, 
refinancing of the loans or the sale of the property(ies) will be necessary 
in order to protect the interests of the Company's shareholders. Furthermore, 
most of the properties' tenants are nationally known retailers or 
well-established business under long-term leases, which makes the properties 
easier to sell or refinance.

As to the second point, the Company's properties are in good condition without
significant deferred maintenance obligations and are leased through 
"triple-net" leases, which reduces the Company's risk pertaining to excessive
maintenance and operating costs.

As to the third point, the Company was liquid at September 30, 1998.  
Virtually all funds raised during the nine months ended September 30, 1998 
were invested in short-term money market funds.  As of September 30, 1998, 
the Company has allocated approximately $880,000 towards a "reserve" fund (3% 
of gross funds raised, as disclosed in the Company's latest prospectus),  
$439,914 of cash held pending distribution to investors, $150,000 of cash to 
be used for current mortgage and accounts payable commitments, $330,000 in 
tenant security deposits and prepaid rents, and the balance--$4,820,000-- 
expected to be invested in future property acquisitions.  The Company's 
operations generated $1,061,185 in net operating cash flow in the nine months
ending September 30, 1998 (net income plus depreciation and amortization 
expense).  Thus, the Company is generating significant amounts of cash flow 
currently and could choose to withhold payment of all or a portion of 
dividends, if necessary, in order to rebuild cash balances.

Fourth, the amount of dividends to shareholders was made at a level consistent
with the amount of net income available after application of expenses.  The
Company is careful not to make distributions in excess of the income 
available.

Inflation and changing prices have not had a material effect on the Company's
operations.

The Company currently has no external sources of liquidity, other than funds
that potentially could be received from the sale of additional shares.

The Company currently has no material capital commitments.

<PAGE>

ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS OF
           FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

LIQUIDITY AND CAPITAL RESOURCES (CONT.)

The Tax Reform Acts of 1986 and 1987 and the Revenue Reconciliation Acts of 
1990 and 1993 did not have a material impact on the Company's operations.

RESULTS OF OPERATIONS - 9 MONTHS ENDED SEPTEMBER 30, 1998 VS. 9 MONTHS ENDED
SEPTEMBER 30, 1997

Operations for the nine months ended September 30, 1998 represented a full 
nine months of rental operations for all properties except Sacramento 
property which was acquired on January 15, 1998, the Chino property which was
acquired on April 9, 1998 and the Vacaville property which was acquired on 
May 20, 1998.

Rental revenue increased $400,814 (18.4%) due to a full nine months ownership 
of the Irvine property and partial ownership of the Sacramento, Chino and 
Vacaville properties (as compared to no ownership of these properties during 
the nine months ended September 30, 1997).   Interest income increased $58,887
(83.5%) due to higher cash balances maintained in money market accounts 
during the nine months ended September 30, 1998 compared to the nine months 
ended September 30, 1997.

Operating expenses increased $2,956 (2.7%).  This increase resulted primarily
due to increases in legal and property insurance expenses, offset by decreases
in utilities and miscellaneous office expenses.  Interest expense decreased
$19,465 (2.4%) as a reflection of the Company acquiring the Sacramento, Chino
and Vacaville properties for cash during 1998.  However, on June 1, 1998 the
Corona and Sacramento properties were refinanced and additional debt was taken
on in connection with these property acquisitions.  Additionally, on July 10,
1998 and on September 17, 1998, the Roseville and Chino properties,
respectively, were refinanced and additional debt was taken on in connection
with these property acquisitions.  Despite the large debt amounts, the Company
is still below the maximum 50% aggregate debt to equity ratio that is allowed 
by the Company's by-laws (debt was 44% of property cost (as defined in the 
by-laws) at September 30, 1998).  General and administrative costs increased 
$335,739 (136%) due primarily to acquisition and refinancing fees of 
$298,605 expended in connection with additional property acquisitions, which 
were previously capitalized as part of the cost of the property.  The Company 
was required to begin expensing acquisition fees in accordance with the 
Emerging Issues Task Force 97-11 "Accounting for Internal Costs Relating to 
Real Estate Property Acquisitions".  Depreciation and amortization expense 
increased $181,263 (50.5%) as the result of the ownership of additional 
properties during 1998 as compared to 1997.  Net income of $521,038 for the 
nine months ended September 30, 1998 was $45,979 (8.1%) lower than the nine 
months ended September 30, 1997.  This decrease in net income is primarily 
attributable to the $298,605 of acquisition and refinancing fees expensed 
in connection with the additional property acquisitions.

<PAGE>

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
         FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

RESULTS OF OPERATIONS - 9 MONTHS ENDED SEPTEMBER 30, 1998 VS. 9 MONTHS ENDED
SEPTEMBER 30, 1997 (CONT.)

The average number of shares outstanding during 1998 was 2,561,114 vs. 
1,764,404 in 1997.  Partly because of the greater number of shares 
outstanding, the net income per share decreased from $.32 in 1997 to $.20 in 
1998.  If this figure is analyzed using flow of funds - that is net income 
plus depreciation expense, plus adding acquisition and refinancing fees which
were incurred in 1998 and not 1997 - then the amount in 1998 was $.53 per 
share vs. $.60 per share in 1997.

During the nine months ended September 30, 1998, the Company declared 
dividends totaling $1,332,122 compared to dividends of $1,071,820 declared 
for the nine months ended September 30, 1997.  Cash basis income for the nine
months ended September 30, 1998 was $1,061,185.  This was derived by adding 
depreciation and amortization expense to net income.  Thus, dividends 
declared during the nine months ended September 30, 1998 were $270,937 
greater than cash basis net income.  In comparison, dividends declared in the 
first nine months of 1997 were $145,919 greater than cash basis income of 
$925,901.  In either event, the Company continued to qualify as a REIT in 
1998, and liquidity of the Company continues to be strong.

RESULTS OF OPERATIONS - 3 MONTHS ENDED SEPTEMBER 30, 1998 VS. 3 MONTHS ENDED
SEPTEMBER 30, 1997

Operations for the three months ended September 30, 1998 represented a full
quarter of rental operations for all properties.

Rental revenue increased $185,364 (25.2%) due to a full quarter ownership of 
the Roseville, Corona, Sacramento, Chino and Vacaville (as compared to no 
ownership of these properties during the quarter ended September 30, 1997).   
Interest income increased $29,766 (79.2%) due to higher cash balances 
maintained in money market accounts during the quarter ended September 30, 
1998 compared to the quarter ended September 30, 1997.

<PAGE>

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
         FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

RESULTS OF OPERATIONS - 3 MONTHS ENDED SEPTEMBER 30, 1998 VS. 3 MONTHS ENDED
SEPTEMBER 30, 1997 (CONT.)

Operating expenses increased $2,892 (6.7%).  This increase was primarily the
result of additional legal and property insurance expenses, offset by 
decreases in utilities and miscellaneous office expenses during the quarter 
ended September 30, 1998, compared to the quarter ended September 30, 1997.  
Interest expense increased $29,476 (10.4%) as a reflection of the Company 
refinancing the Roseville and Chino properties during the quarter ending 
September 30, 1998, compared to no additional financing of properties during 
the quarter ending September 30, 1997.  Despite the large debt amounts, the 
Company is still below the maximum 50% aggregate debt to equity ratio that is
allowed by the Company's by-laws (debt was 44% of property cost (as defined 
in the by-laws) at September 30, 1998).  General and administrative costs 
increased $59,808 (69%) from the quarter ended September 30, 1997 to 
September 30, 1998, due primarily to $43,750 of refinancing fees expended in 
connection with additional debt on property acquisitions, which were 
previously capitalized as part of the cost of the property.  The Company was
required to begin expensing acquisition and refinancing fees in accordance 
with the Emerging Issues Task Force 97-11 "Accounting for Internal Costs 
Relating to Real Estate Property Acquisitions".  Depreciation and 
amortization expense increased $68,460 (57.1%) from the quarter ending 
September 30, 1997 to September 30, 1998 as the result of the ownership of 
additional properties.

Net income of $233,696 for the quarter ended September 30, 1998 was $48,969
(26.7%) higher than the quarter ended September 30, 1997.  This increase in 
net income is attributable to increased revenue in connection with the 
acquisition of additional properties and a significant increase in interest 
income, offset by increased overall expenses relating to the operation of 
the Company.

The average number of shares outstanding during the quarter ending 
September 30, 1998 was 2,921,651 vs. 1,893,361 for the quarter ending 
September 30, 1997.  Partly because of the greater number of shares 
outstanding, the net income per share decreased from $.10 for the quarter 
ended September 30, 1997 to $.08 for the quarter ended September 30, 1998.  
If this figure is analyzed using flow of funds - that is net income plus 
depreciation expense, plus adding acquisition and refinancing fees which was 
incurred in 1998 and not 1997 - then the amount for the quarter ended 
September 30, 1998 would be $.16 per share vs. $.16 per share for the 
quarter ended September 30, 1997.

<PAGE>

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
         FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

RESULTS OF OPERATIONS - 3 MONTHS ENDED SEPTEMBER 30, 1998 VS. 3 MONTHS ENDED
SEPTEMBER 30, 1997 (CONT.)

During the quarter ended September 30, 1998, the Company declared dividends
totaling $439,914, compared to dividends of $383,473 declared for the quarter
ended September 30, 1997.  Cash basis income for the quarter ended 
September 30, 1998 was $422,110.  This was derived by adding depreciation 
and amortization expense to net income.  Thus, dividends declared during the 
quarter ended September 30, 1998 were $17,804 greater than cash basis net 
income.  In comparison, dividends declared for the quarter ended 
September 30, 1997 were $78,792 greater than cash basis income of $304,681.  
In either event, the Company continued to qualify as a REIT in 1998, and 
liquidity of the Company continues to be strong.

CASH FLOWS - FOR THE NINE MONTHS ENDED SEPTEMBER 30, 1998 VS. THE NINE MONTHS
ENDED SEPTEMBER 30, 1997

Cash resources increased $4,519,780 during the nine months ended September 30,
1998 compared to a $865,021 increase in cash resources for the nine months 
ended September 30, 1997.  Cash provided by operating activities increased by 
$749,464 with the largest contributor being $1,061,185 in cash basis net 
income for the nine months ended September 30, 1998.  Cash basis net income 
was offset by a $163,992 increase in other assets, due to increases in 
deposits for property acquisitions and leasing commissions.  In contrast, 
the nine months ended September 30, 1997 provided $892,009 in cash from 
operating activities due primarily to $925,901 in cash basis net income.  The
sole use of cash in investing activities for the nine months ended 
September 30, 1998 was $6,743,346 expended for the acquisition of three 
additional properties located in Sacramento (Laufen Tile International), 
Corona and Vacaville, California.  In contrast, cash used in investing 
activities totaled $4,907,441 for the nine months ended September 30, 1997, 
resulting from the acquisition of the Irvine, California property in 
January 1997.  For the nine months ended September 30, 1998, financing 
activities provided an additional $10,513,662 via the sale of additional 
shares in the Company ($7,164,296 in net proceeds), and $4,375,000 in 
financing obtained in connection with the acquisition of additional 
properties, less dividends paid of $892,208 and repayments on notes payable
of $199,470.  In contrast, the nine months ended September 30, 1997, 
financing activities provided an additional $4,880,453 via the sale of 
additional shares in the Company ($3,544,372 in net proceeds), and 
$2,312,500 in financing obtained in connection with the acquisition of 
additional properties, less dividends paid and payable of $931,344 and 
repayments of notes payable of $163,154.

In summary then, the operating performance of the Company continued to 
improve as additional properties are acquired, and all properties were 
operated profitably.

<PAGE>

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF
         FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

PENDING PROPERTY REFINANCING TRANSACTIONS

VACAVILLE PROPERTY

The Company negotiated the financing of the Vacaville property on October 2,
1998.  This property was purchased for cash on May 20, 1998.  The terms of 
the Note and the first deed of trust are as follows:

Lender:   Standard Mortgage Investors, LLC
Loan Amount:   $1,400,000
Interest Rate: 7.5% annum and may be adjusted as of the 4th and 8th 
          anniversary dates to the weekly average of the five-year Treasury 
          Note plus 200 basis points, but in no event less than 7.50%.
Loan Term:  Twelve year term
Current Monthly Debt Service:  $10,346

NEW ACCOUNTING PRONOUNCEMENTS

Statement of Financial Accounting Standards No. 130 (SFAS No. 130) "Reporting
Comprehensive Income," issued by the Financial Accounting Standards Board is
effective for financial statements with fiscal years beginning after December
15, 1997.  Earlier application is permitted.  SFAS No. 130 establishes 
standards for reporting and display of comprehensive income and its 
components in a full set of general-purpose financial statements.  The 
Company has not determined the effect on its financial position or results of 
operations, if any, from the adoption of this statement.

Statement of Financial Accounting Standards No. 131 (SFAS No. 131), 
"Disclosure about Segments of an Enterprise and Related Information," issued 
by the Financial Accounting Standards Board is effective for financial 
statements with fiscal years beginning after December 15, 1997.  The new 
standard requires that public business enterprises report certain information 
about operating segments in complete sets of financial statements of the 
enterprises and in condensed financial statements of interim periods issued 
to shareholders.  It also requires that public business enterprises report 
certain information about their products and services, the geographic areas 
in which they operate and their major customers.  The Company has not 
determined the effect on its financial position or results of operations, 
if any, from the adoption of this statement.

<PAGE>

ITEM 2.    MANAGEMENT'S DISCUSSION AND ANALYSIS OF
           FINANCIAL CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

IMPACT OF YEAR 2000

Many existing computer systems and applications, and other control devices, 
use only two digits to identify a year in the date field, without considering 
the impact of the upcoming change in the century. As a result, such systems 
and applications could fail or create erroneous results unless corrected so 
that they can process data related to the year 2000. The Company relies on 
its systems, applications and devices in operating and monitoring all major 
aspects of its business, including financial systems (such as general ledger, 
accounts receivable, accounts payable and shareholder servicing), and 
embedded computer chips, networks and telecommunications equipment and end 
products.  The Company also relies, directly and indirectly, on external 
systems of business enterprises such as its advisor, lessees, suppliers, 
creditors, financial organizations, and of governmental entities for accurate 
exchange of data.  The Company's current estimate is that the costs 
associated with the year 2000 issue will not have a material adverse effect 
on the results of operations or financial position of the Company.  However,
despite the Company's efforts to address the year 2000 impact on its 
internal systems, the Company may not have fully identified such impact or 
whether it can resolve it without disruption of its business and without 
incurring significant expense. In addition, even if the internal systems of 
the Company are not materially affected by the year 2000 issue, the Company 
could be affected through disruption in the operations of the enterprises 
with which the Company interacts.

<PAGE>

                       WEST COAST REALTY INVESTORS, INC.

                                    PART II

                       O T H E R    I N F O R M A T I O N

ITEM 1. LEGAL PROCEEDINGS
        The Company is a defendant in a lawsuit entitled JOHN LONBERG AND 
RUTHIE GOLDKORN V. SANBORN THEATERS, INC.; WEST COAST REALTY INVESTORS, INC.; 
AND SALTS, TROUTMAN AND KANESHIRO, INC.  The lawsuit was filed in the U.S. 
District Court for the Central District of California.
        The Company was added as a defendant in plaintiffs' First Amended
Complaint filed May 7, 1998, apparently due to the Company's status as 
landlord for a movie theater known as the Riverside Market Place Cinema.
        The plaintiffs alleged violations of the Federal Americans with
Disabilities Act and the California Unruh Civil Rights Act with respect to 
their movie-going experiences, including inadequate physical accommodations 
for wheelchair-bound quests and incompetent theater personnel to wait on them.
Sanborn is the tenant and theater operator.  Troutman is the architect who
designed the theater and its interiors.
        The plaintiffs seek actual damages of $1,000 for each violation of 
law; three times actual damages; and attorneys' fees, expenses and costs.  
The plaintiffs also seek mandatory injunctive relief requiring the defendants 
to make the theater accessible to and useable by disabled individuals.
        The Company believes it has complied with all applicable provisions of
law and intends to vigorously defend the allegations contained in the lawsuit.
The Company believes that the lawsuit will have no material impact on the
Company's continuing operations or overall financial condition.

ITEM 2. CHANGES IN SECURITIES
        None

ITEM 3. DEFAULTS UPON SENIOR SECURITIES
        None

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
        None

ITEM 5. OTHER INFORMATION
        None

ITEM 6. EXHIBIT AND REPORTS ON FORM 8-K
        (a) Information required under this section has been included in the
            financial statements.

        (b) Reports on Form 8-K
            -None

<PAGE>

                      WEST COAST REALTY INVESTORS, INC.


                              S I G N A T U R E S


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

                        WEST COAST REALTY INVESTORS, INC.
                                  (Registrant)





November 11, 1998                      By:  WEST COAST REALTY INVESTORS, INC.
                                                A California Corporation



                                                      
                                          W. Thomas Maudlin, Jr.
                                                President





November 11, 1998
                                            John R. Lindsey
                                        Vice President / Treasurer