FORM 10-KSB--ANNUAL OR TRANSITIONAL REPORT UNDER
                                SECTION 13 OR 15(d)

                                   Form 10-KSB
(Mark One)
[X]   ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
      1934 [No Fee Required]

                    For the fiscal year ended December 31, 2001

[ ]   TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
      OF 1934 [No Fee Required]

                For the transition period from _________to _________

                         Commission file number 0-14283

                         ANGELES INCOME PROPERTIES, LTD. IV
                   (Name of small business issuer in its charter)

         California                                             95-3974194
(State or other jurisdiction of                              (I.R.S. Employer
 incorporation or organization)                             Identification No.)

                          55 Beattie Place, PO Box 1089
                        Greenville, South Carolina 29602
                      (Address of principal executive offices)

                    Issuer's telephone number (864) 239-1000

           Securities registered under Section 12(b) of the Exchange Act:

                                      None

           Securities registered under Section 12(g) of the Exchange Act:

                            Limited Partnership Units
                                (Title of class)

Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Exchange  Act during the past 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___

Check if there is no disclosure of delinquent  filers in response to Item 405 of
Regulation S-B contained in this form, and no disclosure  will be contained,  to
the best of the  registrant's  knowledge  in  definitive  proxy  or  information
statements  incorporated  by  reference  in Part III of this Form  10-KSB or any
amendment to this Form 10-KSB. [X]

State issuer's revenues for its most recent fiscal year.  N/A

State the aggregate  market value of the voting  partnership  interests  held by
non-affiliates  computed  by  reference  to the price at which  the  partnership
interests  were sold,  or the average bid and asked  prices of such  partnership
interests as of December 31, 2001. No market exists for the limited  partnership
interests of the Registrant,  and,  therefore,  no aggregate market value can be
determined.

                       DOCUMENTS INCORPORATED BY REFERENCE
                                      None

                                     PART I

Item 1.     Description of Business

Angeles Income  Properties,  Ltd. IV (the  "Partnership"  or  "Registrant") is a
publicly held limited partnership organized under the California Uniform Limited
Partnership Act on June 29, 1984. The  Partnership's  general partner is Angeles
Realty  Corporation II, a California  corporation (the "General Partner" or "ARC
II").  ARC II was  wholly-owned  by MAE GP  Corporation  ("MAE  GP").  Effective
February 25, 1998,  MAE GP was merged into Insignia  Properties  Trust  ("IPT").
Effective  February  26,  1999,  IPT was merged into  Apartment  Investment  and
Management  Company  ("AIMCO"),  a publicly traded real estate investment trust.
Thus,  the  General  Partner  is now  wholly-owned  by  AIMCO.  The  Partnership
Agreement  provides  that the  Partnership  is to terminate on December 31, 2035
unless terminated prior to such date.

The Registrant,  through its public offering of Limited  Partnership Units, sold
131,800 units aggregating  $65,900,000.  The General Partner contributed capital
in the amount of $1,000 for a 2% interest in the Partnership.  Since its initial
offering, the Partnership had not received, nor are limited partners required to
make,  additional  capital  contributions.  The  Partnership  is  engaged in the
business of operating and holding real estate  properties  for  investment  (see
"Item  2.  Description  of  Property").   The  Partnership  presently  owns  one
commercial property.  The Partnership owned a general partnership interest in an
additional property which was sold in 1999.

As of  August  22,  2001,  the  Partnership  adopted  the  liquidation  basis of
accounting due to the sale of its joint venture  interest in its sole investment
property.  Upon passing the one-year  right of rescission  under the sale of the
Partnership's  joint  venture  interest  entered  into on August 22,  2001,  the
Partnership plans to terminate.

The  Partnership and ARC II have entered into a contract with an unrelated third
party to sell their  ownership in the joint venture that indirectly owns Factory
Merchants Mall. The contract closed on August 22, 2001. The Partnership received
$49,750 for its 99.5%  ownership and ARC II received $250 for its 0.5% ownership
of the joint venture. For a period of one year after the transaction, should the
lender  declare a default  under  the  mortgage  debt  encumbering  the  Factory
Merchants Mall property as a result of this transfer or prior act or omission of
the lower tier partnership which owns the Factory  Merchants Mall property,  the
purchaser  has  the  right  to  transfer  the  ownership  interest  back  to the
Partnership and ARC II with the cash being paid back to the purchaser.  Assuming
that the  aforementioned  rescission  right does not occur, the Partnership will
then be terminated.

This  sale  transaction  will be  complete  upon  the  elapse  of the  right  of
rescission.  Until that time, the purchaser can transfer the ownership  interest
back to the Partnership and ARC II. Therefore, the consolidated statement of net
liabilities  in  liquidation  will include the  operations  of the joint venture
property.  The funds received by the Partnership for its joint venture  interest
are  currently  being  considered a deposit from the purchaser in advance of the
sales  transaction  being completed and are included in other liabilities on the
accompanying statement of net liabilities in liquidation.

The Partnership  has no employees.  Management and  administrative  services are
provided by an unrelated party.

The business in which the  Partnership is engaged is highly  competitive.  There
are other  commercial  properties  within  the market  area of the  Registrant's
property.  The number and quality of competitive  properties in such market area
could have a material  effect on the rental market for the  commercial  space at
the Registrant's property and the rents that may be charged for such space.

There have been, and it is possible there may be other, Federal, state and local
legislation  and  regulations   enacted   relating  to  the  protection  of  the
environment.  The Partnership is unable to predict the extent,  if any, to which
such new  legislation  or  regulations  might occur and the degree to which such
existing or new legislation or regulations  might adversely  affect the property
owned by the Partnership.

The  Partnership  monitors its property for evidence of  pollutants,  toxins and
other dangerous substances, including the presence of asbestos. In certain cases
environmental  testing has been performed which resulted in no material  adverse
conditions or liabilities.  In no case has the Partnership  received notice that
it is a potentially  responsible party with respect to an environmental clean up
site.

The  Partnership  receives  income  from its  property  and is  responsible  for
operating  expenses,  capital  improvements  and  debt  service  payments  under
mortgage  obligations  secured by the  property.  The  Partnership  financed its
property through  non-recourse  debt.  Therefore,  in the event of default,  the
lender can generally  look only to the subject  property for recovery of amounts
due.

Both the income and expenses of operating the property owned by the  Partnership
are subject to factors outside of the Partnership's  control, such as changes in
the supply and demand for  similar  properties  resulting  from  various  market
conditions, increases/decreases in unemployment or population shifts, changes in
the  availability of permanent  mortgage  financing,  changes in zoning laws, or
changes  inpatterns or needs of users. In addition,  there are risks inherent in
owning  and  operating   commercial   properties  because  such  properties  are
susceptible  to the  impact of  economic  and other  conditions  outside  of the
control of the Partnership.

A further description of the Partnership's business is included in "Management's
Discussion and Analysis or Plan of Operation"  included in "Item 6" of this Form
10-KSB.

Item 2.     Description of Property

The following table sets forth the Partnership's investment in property:

<TABLE>
<CAPTION>

                                 Date of
Property                        Purchase       Type of Ownership     Use

<S>                             <C>   <C>
Factory Merchants Mall          05/22/86    Fee ownership subject    Commercial
  Pigeon Forge, Tennessee                   to a first mortgage (1)  200,000 sq. ft.
</TABLE>

(1)   Owned by a  limited  partnership  of  which  the  Registrant  was the sole
      limited partner. See "Note A" for further discussion regarding the limited
      partnership.


<PAGE>



Schedule of Property

Set forth  below for the  Registrant's  property  is the gross  carrying  value,
accumulated  depreciation,  depreciable life, method of depreciation and Federal
tax basis.

<TABLE>
<CAPTION>

                           Gross
                          Carrying   Accumulated                         Federal
Property                   Value    Depreciation     Rate    Method     Tax Basis
                              (in thousands)                         (in thousands)

<S>                       <C>            <C>       <C>                    <C>
Factory Merchants Mall    $11,840        (1)       5-20 yrs    S/L        $ --
</TABLE>

(1)   As a result of the adopting the liquidation basis of accounting, the gross
      carrying  value of the property was adjusted to its net  realizable  value
      and will not be depreciated further.

See  "Note B" of the  consolidated  financial  statements  included  in "Item 7.
Financial Statements" for a description of the Partnership's depreciation policy
..

Schedule of Property Indebtedness

The  following  table  sets  forth  certain  information  relating  to the  loan
encumbering the Registrant's property.

                             Principal
                             Balance At
                            December 31,  Interest    Period    Maturity
         Property             2001 (1)      Rate    Amortized     Date
                           (in thousands)
Factory Merchants Mall
  1st mortgage                $14,408       9.75%     25 yrs    10/2006
Adjustment to settlement
  amount                       (1,851)
Estimated settlement
  amount                      $12,557

(1)   See "Item 6" for  discussion of liabilities  being  presented at estimated
      settlement  amounts  as a result  of  adopting  the  liquidation  basis of
      accounting.

See "Item 7. Financial  Statements - Note D" for information with respect to the
Registrant's  ability to prepay this loan and other  specific  details about the
loan.


<PAGE>



Rental Rates and Occupancy

Average  annual  rental rate and occupancy for 2001 and 2000 for the property is
as follows:

                                  Average Annual                   Average
                                   Rental Rates                   Occupancy
                                 (per square foot)
 Property                       2001            2000          2001         2000

 Factory Merchants Mall        $ 8.23          $ 9.30         88%           90%

As noted under "Item 1.  Description of Business",  the real estate  industry is
highly competitive. The property is subject to competition from other commercial
buildings  in the area.  The  General  Partner  believes  that the  property  is
adequately  insured.  The  property is in good  physical  condition,  subject to
normal  depreciation and deterioration as is typical for assets of this type and
age.

Capital Improvements

Factory Merchants Mall

During the year ended December 31, 2001, the Partnership completed approximately
$11,000 of capital  improvements  consisting  of parking area  improvements  and
tenant improvements. These improvements were funded from operating cash flow.

Schedule of Lease Expirations

The following is a schedule of the commercial  lease  expirations  for the years
2002-2011:

<TABLE>
<CAPTION>

                            Number of                      Annual       % of Gross
  Factory Merchants Mall   Expirations   Square Feet        Rent        Annual Rent
                                                       (in thousands)

<S>      <C>                     <C>        <C>             <C>           <C>
         2002                    6          22,343          $229          14.23%
         2003                    7          28,514           358          22.29%
         2004                    9          45,158           685          42.58%
         2005                    1           2,500            43           2.68%
         2006                    1          10,455           173          10.78%
         2007 - 2008            --              --            --             --
         2009                    1           5,435           120           7.44%
         2010 - 2011            --              --            --             --
</TABLE>


<PAGE>



Factory  Merchants  Mall has no tenants  occupying  10% or more of the  leasable
square  footage (See "Notes B and H" of the  consolidated  financial  statements
included in "Item 7.  Financial  Statements"  for a description of the principle
terms of the leases of the available space).

Real Estate Taxes and Rates

Real estate taxes and rates in 2001 for the property are as follows:

                                    2001             2001
                                  Billing            Rate
                               (in thousands)

Factory Merchants Mall              $138             1.57%

Item 3.     Legal Proceedings

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the Partnership,  its General Partner and several of
their  affiliated  partnerships and corporate  entities.  The action purports to
assert  claims on behalf of a class of  limited  partners  and  derivatively  on
behalf of a number of limited partnerships (including the Partnership) which are
named as nominal defendants, challenging, among other things, the acquisition of
interests in certain general partner entities by Insignia  Financial Group, Inc.
("Insignia") and entities which were, at one time, affiliates of Insignia;  past
tender offers by the Insignia  affiliates to acquire limited  partnership units;
management of the  partnerships  by the Insignia  affiliates;  and the series of
transactions  which  closed on October 1, 1998 and  February  26,  1999  whereby
Insignia and Insignia  Properties Trust,  respectively,  were merged into AIMCO.
The plaintiffs seek monetary damages and equitable  relief,  including  judicial
dissolution of the  Partnership.  On June 25, 1998, the General  Partner filed a
motion seeking dismissal of the action. In lieu of responding to the motion, the
plaintiffs  filed an amended  complaint.  The General Partner filed demurrers to
the amended complaint which were heard February 1999.

Pending the ruling on such  demurrers,  settlement  negotiations  commenced.  On
November 2, 1999,  the parties  executed and filed a Stipulation  of Settlement,
settling claims, subject to court approval, on behalf of the Partnership and all
limited partners who owned units as of November 3, 1999. Preliminary approval of
the  settlement  was obtained on November 3, 1999 from the Court,  at which time
the Court set a final  approval  hearing for  December  10,  1999.  Prior to the
December  10,  1999  hearing,  the  Court  received  various  objections  to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement.  On
December  14,  1999,  the General  Partner  and its  affiliates  terminated  the
proposed settlement.  In February 2000, counsel for some of the named plaintiffs
filed a motion to disqualify plaintiff's lead and liaison counsel who negotiated
the settlement.  On June 27, 2000, the Court entered an order disqualifying them
from the case and an appeal was taken  from the order on  October  5,  2000.  On
December 4, 2000, the Court  appointed the law firm of Lieff Cabraser  Heimann &
Bernstein  LLP as new  lead  counsel  for  plaintiffs  and the  putative  class.
Plaintiffs  filed a third  amended  complaint on January 19,  2001.  On March 2,
2001,  the  General  Partner  and its  affiliates  filed a demurrer to the third
amended  complaint.  On May 14, 2001,  the Court heard the demurrer to the third
amended  complaint.  On July 10,  2001,  the Court  issued  an order  sustaining
defendants'  demurrer on certain grounds.  On July 20, 2001,  Plaintiffs filed a
motion for  reconsideration  of the Court's July 10, 2001 order granting in part
and denying in part defendants' demurrer. On September 7, 2001, Plaintiffs filed
a fourth amended class and derivative action  complaint.  On September 12, 2001,
the Court denied Plaintiffs' motion for reconsideration. On October 5, 2001, the
General Partner and affiliated defendants filed a demurrer to the fourth amended
complaint,  which was heard on December 11, 2001. On February 2, 2002, the Court
served its order granting in part the demurrer.  The Court has dismissed without
leave  to amend  certain  of the  plaintiffs'  claims.  On  February  11,  2002,
plaintiffs  filed a motion seeking to certify a putative class  comprised of all
non-affiliated  persons  who own or have owned  units in the  partnerships.  The
General  Partner and affiliated  defendants  oppose the motion and a hearing has
been  scheduled  for April 29,  2002.  The Court has set the matter for trial in
January 2003.

During the third  quarter of 2001, a complaint  (the "Heller  action") was filed
against  the same  defendants  that are named in the  Nuanes  action,  captioned
Heller v. Insignia Financial Group. On or about August 6, 2001, plaintiffs filed
a first amended  complaint.  The first amended complaint in the Heller action is
brought as a purported  derivative  action,  and asserts  claims for among other
things  breach  of  fiduciary  duty;  unfair  competition;   conversion,  unjust
enrichment;  and judicial  dissolution.  Plaintiffs in the Nuanes action filed a
motion to  consolidate  the Heller action with the Nuanes action and stated that
the Heller action was filed in order to preserve the derivative claims that were
dismissed  without  leave to amend in the Nuanes action by the Court order dated
July 10, 2001. On October 5, 2001, the General Partner and affiliated defendants
moved to strike the first  amended  complaint in its entirety for  violating the
Court's  July 10, 2001 order  granting  in part and denying in part  defendants'
demurrer in the Nuanes action, or  alternatively,  to strike certain portions of
the  complaint  based on the statute of  limitations.  Other  defendants  in the
action demurred to the fourth amended complaint,  and,  alternatively,  moved to
strike the  complaint.  On December  11, 2001,  the court heard  argument on the
motions and took the matters under  submission.  On February 4, 2002,  the Court
served  notice of its order  granting  defendants'  motion to strike  the Heller
complaint as a violation of its July 10, 2001 order in the Nuanes action.

The  General  Partner  does not  anticipate  that any  costs,  whether  legal or
settlement  costs,   associated  with  these  cases  will  be  material  to  the
Partnership's overall operations.

The  Partnership is unaware of any other pending or outstanding  litigation that
is not of a routine nature arising in the ordinary course of business.

Item 4.     Submission of Matters to a Vote of Security Holders

The unit  holders  of the  Partnership  did not vote on any  matter  during  the
quarter ended December 31, 2001.


<PAGE>


                                     PART II

Item 5. Market for the  Partnership's  Common Equity and Related Security Holder
     Matters

The Partnership,  a publicly-held limited partnership,  offered and sold 131,800
Limited Partnership Units aggregating $65,900,000. The Partnership currently has
4,428 holders of record owning an aggregate of 131,535 units.  Affiliates of the
General  Partner  owned 28,945  units or 22.01% at December 31, 2001.  No public
trading market has developed for the Units,  and it is not anticipated that such
a market will develop in the future.

The following table sets forth the distributions made by the Partnership for the
years ended December 31, 2000 and 2001.

                                                Distributions
                                                           Per Limited
                                        Aggregate        Partnership Unit
                                      (in thousands)

       01/01/00 - 12/31/00              $1,039 (1)            $ 7.74
       01/01/01 - 12/31/01                  5 (2)                 --

(1)   Consists of  approximately  $1,039,000 of cash from  operations,  of which
      approximately $89,000 was declared at December 31, 2000 and paid in 2001.

(2)   In conjunction  with the transfer of funds from the  majority-owned  joint
      venture  to the  Partnership  during  the year ended  December  31,  2001,
      approximately  $5,000  was  distributed  to  the  general  partner  of the
      majority-owned joint venture.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership,  AIMCO and its affiliates owned 28,945 limited partnership units in
the Partnership  representing  22.01% of the  outstanding  units at December 31,
2001. A number of these units were  acquired  pursuant to tender  offers made by
AIMCO or its affiliates. Under the Partnership Agreement,  unitholders holding a
majority of the Units are  entitled to take action with  respect to a variety of
matters,  which would include  voting on certain  amendments to the  Partnership
Agreement  and voting to remove the  General  Partner.  When  voting on matters,
AIMCO would in all likelihood  vote the Units it acquired in a manner  favorable
to the  interest  of the General  Partner  because of its  affiliation  with the
General Partner.


<PAGE>


Item 6.     Management's Discussion and Analysis or Plan of Operation

The  matters  discussed  in this Form  10-KSB  contain  certain  forward-looking
statements  and  involve  risks and  uncertainties  (including  changing  market
conditions, competitive and regulatory matters, etc.) detailed in the disclosure
contained  in this Form 10-KSB and the other  filings  with the  Securities  and
Exchange  Commission made by the Registrant from time to time. The discussion of
the Registrant's business and results of operations,  including  forward-looking
statements  pertaining to such matter, does not take into account the effects of
any changes to the Registrant's business and results of operation.  Accordingly,
actual   results   could  differ   materially   from  those   projected  in  the
forward-looking  statements as a result of a number of factors,  including those
identified herein.

This item should be read in conjunction with "Item 7. Financial  Statements" and
other items contained elsewhere in this report.

As of  August  22,  2001,  the  Partnership  adopted  the  liquidation  basis of
accounting due to the sale of its joint venture  interest in its sole investment
property.  Upon passing the one-year  right of rescission  under the sale of the
Partnership's  joint  venture  interest  entered  into on August 22,  2001,  the
Partnership is expected to terminate.

The  Partnership and ARC II have entered into a contract with an unrelated third
party to sell their  ownership in the joint venture that indirectly owns Factory
Merchants Mall. The contract closed on August 22, 2001. The Partnership received
$49,750 for its 99.5%  ownership and ARC II received $250 for its 0.5% ownership
of the joint venture. For a period of one year after the transaction, should the
lender  declare a default  under  the  mortgage  debt  encumbering  the  Factory
Merchants Mall property as a result of this transfer or prior act or omission of
the lower tier partnership which owns the Factory  Merchants Mall property,  the
purchaser  has  the  right  to  transfer  the  ownership  interest  back  to the
Partnership and ARC II with the cash being paid back to the purchaser.  Assuming
that the  aforementioned  rescission  right does not occur, the Partnership will
then be terminated.

This  sale  transaction  will be  complete  upon  the  elapse  of the  right  of
rescission.  Until that time, the purchaser can transfer the ownership  interest
back to the Partnership and ARC II. Therefore, the consolidated statement of net
liabilities  in  liquidation  will include the  operations  of the joint venture
property.  The funds received by the Partnership for its joint venture  interest
are  currently  being  considered a deposit from the purchaser in advance of the
sales  transaction  being completed and are included in other liabilities on the
accompanying statement of net liabilities in liquidation.

As a result of the  decision  to  liquidate  the  Partnership,  the  Partnership
changed its basis of accounting  for its  consolidated  financial  statements at
August 22, 2001, to the liquidation  basis of accounting.  Consequently,  assets
have been valued at estimated net realizable value and liabilities are presented
at their estimated settlement amounts, including estimated costs associated with
carrying out the liquidation of the Partnership and estimated  operations of the
joint  venture  property.  The valuation of assets and  liabilities  necessarily
requires many estimates and assumptions and there are substantial  uncertainties
in carrying out the liquidation. The actual realization of assets and settlement
of liabilities could be higher or lower than amounts indicated and is based upon
estimates of the General  Partner as of the date of the  consolidated  financial
statements.

Included in the statement of net  liabilities  in liquidation as of December 31,
2001 is approximately  $124,000 of cost that the General Partner  estimates will
be incurred  during the period of liquidation  based on the assumption  that the
liquidation  process  will be  completed  by August 22,  2002.  If the  mortgage
encumbering the joint venture  property is refinanced  during the one year right
of rescission period without the current mortgage being called due as the result
of the change in ownership of the joint venture,  the liquidation period will be
shorter than currently projected.

At August 22, 2001,  in accordance  with the  liquidation  basis of  accounting,
assets were adjusted to their  estimated net  realizable  value and  liabilities
were adjusted to their settlement amount. The net adjustment required to convert
to the  liquidation  basis  of  accounting  was an  increase  in net  assets  of
approximately  $6,681,000  which is  included  in the  Statement  of  Changes in
Partners' Deficit/Net Liabilities In Liquidation. The adjustments are summarized
as follows:

                                                                  Increase in
                                                                   Net Assets
                                                                 (in thousands)
 Adjustment from book value of property and
   improvements to estimated net realizable value                   $ 5,190
 Adjustment of mortgage note payable to estimated
   settlement amount                                                  1,970
 Adjustment of other assets and liabilities, net                       (479)
 Net increase in net assets                                         $ 6,681

During the year ended December 31, 2000, the Partnership declared a distribution
of approximately $89,000 from operations,  of which approximately $87,000 ($0.66
per limited  partnership unit) was allocable to limited partners and was paid in
2001. During the year ended December 31, 2000, the Partnership declared and paid
a distribution of approximately $950,000 from operations, of which approximately
$931,000  ($7.08 per  limited  partnership  unit) is  allocable  to the  limited
partners.  In  conjunction  with the  transfer of funds from the  majority-owned
joint  venture  to the  Partnership  during the year ended  December  31,  2001,
approximately   $5,000  was   distributed   to  the   general   partner  of  the
majority-owned joint venture.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership,  AIMCO and its affiliates owned 28,945 limited partnership units in
the Partnership  representing  22.01% of the  outstanding  units at December 31,
2001. A number of these units were  acquired  pursuant to tender  offers made by
AIMCO or its affiliates. Under the Partnership Agreement,  unitholders holding a
majority of the Units are  entitled to take action with  respect to a variety of
matters,  which would include  voting on certain  amendments to the  Partnership
Agreement  and voting to remove the  General  Partner.  When  voting on matters,
AIMCO would in all likelihood  vote the Units it acquired in a manner  favorable
to the  interest  of the General  Partner  because of its  affiliation  with the
General Partner.


<PAGE>


Item 7.     Financial Statements

ANGELES INCOME PROPERTIES, LTD. IV

LIST OF FINANCIAL STATEMENTS


     Report of Ernst & Young LLP, Independent Auditors

     Consolidated  Statement of Net  Liabilities  in  Liquidation - December 31,
     2001

     Consolidated  Statement  of Changes in Net  Liabilities  in  Liquidation  -
     Period from August 23, 2001 to December 31, 2001.

     Consolidated  Statements  of  Operations  - Period from  January 1, 2001 to
     August 22, 2001 and year ended December 31, 2000

     Consolidated  Statements of Changes in Partners' Deficit/Net Liabilities in
     Liquidation - Period from January 1, 2001 to August 22, 2001 and year ended
     December 31, 2000

     Consolidated  Statements  of Cash  Flows - Period  from  January 1, 2001 to
     August 22, 2001 and year ended December 31, 2000

     Notes to Consolidated Financial Statements

<PAGE>


                 Report of Ernst & Young LLP, Independent Auditors



The Partners
Angeles Income Properties, Ltd. IV


We have audited the  accompanying  consolidated  statement of net liabilities in
liquidation  of Angeles Income  Properties,  Ltd. IV as of December 31, 2001 and
the related consolidated  statement of changes in net liabilities in liquidation
for the period from August 23, 2001 to December 31,  2001.  We have also audited
the  consolidated  statements of  operations,  changes in partners'  deficit/net
liabilities in  liquidation,  and cash flows for the period from January 1, 2001
to August 22, 2001. In addition, we have audited the consolidated  statements of
operations,  changes  in  partners'  deficit  and cash  flows for the year ended
December 31, 2000.  These  financial  statements are the  responsibility  of the
Partnership's  management.  Our responsibility is to express an opinion on these
financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted
in the United States. Those standards require that we plan and perform the audit
to obtain reasonable  assurance about whether the financial  statements are free
of material misstatement. An audit includes examining, on a test basis, evidence
supporting  the amounts and  disclosures in the financial  statements.  An audit
also includes assessing the accounting principles used and significant estimates
made  by the  Partnership's  management,  as  well  as  evaluating  the  overall
financial  statement  presentation.   We  believe  that  our  audits  provide  a
reasonable basis for our opinion.

As more fully  described  in Note A,  effective  August 22,  2001,  the  General
Partner  approved  a  plan  to  liquidate  the  Partnership.  As a  result,  the
Partnership  changed its basis of  accounting as of August 22, 2001 from a going
concern basis to a liquidation basis.

In our opinion,  the financial  statements  referred to above present fairly, in
all material  respects,  the  consolidated  net  liabilities  in  liquidation of
Angeles  Income  Properties,  Ltd. IV at December  31,  2001,  the  consolidated
changes in net liabilities in liquidation for the period from August 23, 2001 to
December 31, 2001, the consolidated results of its operations and its cash flows
for the period  from  January 1, 2001 to August 22,  2001 and for the year ended
December 31, 2000, in conformity with accounting  principles  generally accepted
in the United States applied on the bases described in the preceding paragraph.


                                                            /s/ERNST & YOUNG LLP


Greenville, South Carolina
March 25, 2002



<PAGE>




                         ANGELES INCOME PROPERTIES, LTD. IV

              CONSOLIDATED STATEMENT OF NET LIABILITIES IN LIQUIDATION
                                   (in thousands)

                                December 31, 2001



Assets
  Cash and cash equivalents                                       $  112
  Receivables and deposits                                           257
  Restricted escrows                                                 607
  Other assets                                                        19
  Investment property                                             11,840
                                                                  12,835
Liabilities
  Accounts payable                                                    87
  Tenant security deposit liabilities                                 10
  Accrued property taxes                                              98
  Other liabilities                                                   89
  Mortgage payable                                                12,557
  Estimated costs during the period of liquidation                   124
                                                                  12,965

Net liabilities in liquidation                                    $ (130)

            See Accompanying Notes to Consolidated Financial Statements


<PAGE>


                         ANGELES INCOME PROPERTIES, LTD. IV
       CONSOLIDATED STATEMENT OF CHANGES IN NET LIABILITIES IN LIQUIDATION
                                   (in thousands)
                Period From August 23, 2001 to December 31, 2001




     Net liabilities in liquidation at August 22, 2001                  $ (127)

     Changes in net liabilities in liquidation attributed to:
        Decrease in cash and cash equivalents                             (238)
        Increase in receivables and deposits                               133
        Decrease in restricted escrows                                      (7)
        Decrease in other assets                                            (3)
        Increase in accounts payable                                       (66)
        Increase in accrued property taxes                                 (11)
        Decrease in other liabilities                                      197
        Increase in mortgage note payable                                  (20)
        Decrease in estimated costs during the period of
          liquidation                                                       12

     Net liabilities in liquidation at December 31, 2001                $ (130)

            See Accompanying Notes to Consolidated Financial Statements

<PAGE>


                         ANGELES INCOME PROPERTIES, LTD. IV

                      CONSOLIDATED STATEMENTS OF OPERATIONS
                          (in thousands, except unit data)

<TABLE>
<CAPTION>


                                                            Period From
                                                            January 1,2001   Year Ended
                                                             to August 22,   December 31,
                                                                2001           2000
Revenues:
<S>                                                           <C>            <C>
   Rental income                                              $ 2,031        $ 3,545
   Other income                                                    69            245
      Total revenues                                            2,100          3,790

Expenses:
   Operating                                                      956          1,771
   General and administrative                                     137            178
   Depreciation                                                   627            940
   Interest                                                       959          1,469
   Property taxes                                                  81            108
   Bad debt expense net                                            67             58
      Total expenses                                            2,827          4,524

Net loss (Note E)                                              $ (727)       $ (734)

Net loss allocated to general partner (2%)                     $ (15)         $ (15)
Net loss allocated to limited partners (98%)                     (712)          (719)
                                                               $ (727)       $ (734)

Net loss per limited partnership unit                         $ (5.41)       $ (5.46)

Distributions per limited partnership unit                      $ --         $ 7.74

            See Accompanying Notes to Consolidated Financial Statements
</TABLE>


<PAGE>


                         ANGELES INCOME PROPERTIES, LTD. IV

     CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' DEFICIT/NET LIABILITIES IN
                                   LIQUIDATION
                          (in thousands, except unit data)


<TABLE>
<CAPTION>

                                        Limited
                                       Partnership    General     Limited
                                          Units       Partner    Partners     Total

<S>                                      <C>            <C>       <C>        <C>
Original capital contributions           131,800        $ 1       $65,900    $65,901

Partners' deficit at
   December 31, 1999                     131,585      $ (102)     $(4,201)   $(4,303)

Distributions to partners                     --          (21)     (1,018)    (1,039)

Net loss for the year ended
   December 31, 2000                          --          (15)       (719)      (734)

Partners' deficit at
   December 31, 2000                     131,585         (138)     (5,938)    (6,076)

Distributions to partners                     --           (5)         --         (5)

Net loss for the period ended
   August 22, 2001                            --          (15)       (712)      (727)

Partners' deficit at
   August 22, 2001                       131,585      $ (158)     $(6,650)   $(6,808)

Adjustment to liquidation basis
   (Note C)                                                                     6,681
Net liabilities in liquidation at
   August 22, 2001                                                            $ (127)

            See Accompanying Notes to Consolidated Financial Statements
</TABLE>


<PAGE>


                         ANGELES INCOME PROPERTIES, LTD. IV

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (in thousands)

<TABLE>
<CAPTION>

                                                              Period From
                                                              January 1,2001  Year Ended
                                                               to August 22,  December 31,
                                                                  2001          2000
Cash flows from operating activities:
<S>                                                              <C>          <C>
   Net loss                                                      $ (727)      $ (734)
   Adjustments to reconcile net loss to net
    cash provided by operating activities:
      Depreciation                                                  627           940
      Amortization of loan costs and leasing commissions             41           111
      Bad debt expense, net                                          67            58
      Change in accounts:
         Receivables and deposits                                   166           171
         Other assets                                               (32)            6
         Accounts payable                                           (79)           65
         Tenants security deposit liabilities                        (6)           10
         Accrued property taxes                                     (41)          (33)
         Other liabilities                                           43           (35)
            Net cash provided by operating activities                59           559

Cash flows from investing activities:
   Property improvements and replacements                           (11)          (90)
   Lease commissions paid                                            --           (21)
   Net (deposits to) withdrawals from restricted escrows           (129)          164
   Deposit on sale of investment in joint venture                    50            --
            Net cash (used in) provided by investing
               activities                                           (90)           53

Cash flows from financing activities:
   Payments on mortgage notes payable                              (150)         (207)
   Distributions to partners                                        (96)         (950)
            Net cash used in financing activities                  (244)       (1,157)

Net decrease in cash and cash equivalents                          (275)         (545)

Cash and cash equivalents at beginning of the period                625         1,170

Cash and cash equivalents at end of the period                   $ 350         $ 625

Supplemental disclosure of cash flow information:
   Cash paid for interest                                        $ 949        $ 1,440

Supplemental disclosure of non-cash activity:
   A distribution of approximately  $89,000 was declared and accrued at December
   31, 2000. This distribution was paid during the period ended August 22, 2001.

            See Accompanying Notes to Consolidated Financial Statements
</TABLE>

<PAGE>





                         ANGELES INCOME PROPERTIES, LTD. IV

                     NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

                                December 31, 2001


Note A - Basis of Presentation

As of August 22, 2001, Angeles Income Properties,  Ltd. IV (the "Partnership" or
"Registrant") adopted the liquidation basis of accounting due to the sale of its
joint  venture  interest  in its sole  investment  property.  Upon  passing  the
one-year right of rescission under the sale of the  Partnership's  joint venture
interest entered into on August 22, 2001, the Partnership plans to terminate.

The Partnership and Angeles Realty Corporation II ("ARC II") have entered into a
contract  with an  unrelated  third party to sell their  ownership  in the joint
venture that  indirectly  owns Factory  Merchants  Mall. The contract  closed on
August 22, 2001. The  Partnership  received  $49,750 for its 99.5% ownership and
ARC II received $250 for its 0.5% ownership of the joint  venture.  For a period
of one year after the transaction, should the lender declare a default under the
mortgage debt  encumbering  the Factory  Merchants  Mall property as a result of
this transfer or prior act or omission of the lower tier partnership  which owns
the Factory Merchants Mall property, the purchaser has the right to transfer the
ownership  interest back to the  Partnership and ARC II with the cash being paid
back to the purchaser.  Assuming that the  aforementioned  rescission right does
not occur, the Partnership will then be terminated.

This  sale  transaction  will be  complete  upon  the  elapse  of the  right  of
rescission.  Until that time, the purchaser can transfer the ownership  interest
back to the Partnership and ARC II. Therefore, the consolidated statement of net
liabilities  in  liquidation  will include the  operations  of the joint venture
property.  The funds received by the Partnership for its joint venture  interest
are  currently  being  considered a deposit from the purchaser in advance of the
sales  transaction  being completed and are included in other liabilities on the
accompanying statement of net liabilities in liquidation.

As a result of the  decision  to  liquidate  the  Partnership,  the  Partnership
changed its basis of accounting  for its  consolidated  financial  statements at
August 22, 2001, to the liquidation  basis of accounting.  Consequently,  assets
have been valued at estimated net realizable value and liabilities are presented
at their estimated settlement amounts, including estimated costs associated with
carrying out the liquidation of the Partnership and estimated  operations of the
joint  venture  property.  The valuation of assets and  liabilities  necessarily
requires many estimates and assumptions and there are substantial  uncertainties
in carrying out the liquidation. The actual realization of assets and settlement
of liabilities could be higher or lower than amounts indicated and is based upon
estimates  of  ARC  II  (or  the  "General  Partner")  as of  the  date  of  the
consolidated financial statements.

Included in liabilities in the statement of net liabilities in liquidation as of
December  31, 2001 is  approximately  $124,000 of cost that the General  Partner
estimates  will be  incurred  during  the  period  of  liquidation  based on the
assumption that the liquidation process will be completed by August 22, 2002. If
the mortgage encumbering the joint venture property is refinanced during the one
year right of rescission period without the current mortgage being called due as
the result of the change in  ownership  of the joint  venture,  the  liquidation
period will be shorter than currently projected.

<PAGE>
Note B - Organization and Significant Accounting Policies

Organization:  The Partnership is a publicly-held  limited partnership organized
under the Uniform Limited  Partnership  Laws of California on June 29, 1984. The
general  partner  responsible  for management of the  Partnership's  business is
Angeles Realty  Corporation II, a California  corporation (the "General Partner"
or  "ARC  II").  ARC II was  wholly-owned  by MAE  GP  Corporation  ("MAE  GP").
Effective  February 25, 1998, MAE GP was merged into Insignia  Properties  Trust
("IPT").  Effective February 26, 1999, IPT was merged into Apartment  Investment
and  Management  Company  ("AIMCO"),  a publicly  traded real estate  investment
trust.  Thus the General Partner is now wholly-owned by AIMCO. The directors and
officers of the General Partner also serve as executive  officers of AIMCO.  The
Partnership  Agreement provides that the Partnership is to terminate on December
31,  2035  unless  terminated  prior to such date.  The  Partnership  operates a
commercial retail center located in Tennessee.

Principles of Consolidation:  The consolidated  financial  statements  include a
joint venture which owns Factory  Merchants AIP IV, L.P., and AIP IV Factory GP,
LLC., which the Partnership held a majority interest in until its sale on August
22, 2001. Due to the right of rescission,  the consolidated financial statements
include  amounts for the joint venture  property.  All  significant  interentity
balances have been eliminated.  The General Partner is an affiliate of Apartment
Investment  and  Management  Company  ("AIMCO"),  a publicly  traded real estate
investment trust.

Allocation of Profits,  Gains, Losses and Distributions:  In accordance with the
Partnership  Agreement,   any  gain  from  the  sale  or  other  disposition  of
Partnership  assets will be allocated first to the General Partner to the extent
of the amount of any brokerage  compensation and incentive interest to which the
General  Partner is entitled.  Any gain remaining  after said allocation will be
allocated to the extent of any partners'  negative  capital  balance then to the
General  Partner and Limited  Partners in proportion  to their  interests in the
Partnership.

The Partnership will allocate other profits and losses 2% to the General Partner
and 98% to the Limited Partners.

Except as discussed below, the Partnership will allocate distributions 2% to the
General Partner and 98% to the Limited Partners.

Upon  the  sale or  other  disposition,  or  refinancing,  of any  asset  of the
Partnership,  the  distributable  net proceeds  shall be distributed as follows:
First, to the General Partner,  on account of the current and accrued management
fee  payable,  deferred as  contemplated  therein;  Second,  to the  partners in
proportion to their interests until the Limited Partners have received  proceeds
equal to their original capital investment applicable to the property;  Third to
the partners  until the Limited  Partners have received  distributions  from all
sources  equal to their  8%  cumulative  distribution;  Fourth,  to the  General
Partner until it has received its brokerage compensation and thereafter,  88% to
the Limited  Partners  in  proportion  to their  interests  and 12%  ("Incentive
Interest") to the General Partner.

Fair Value of Financial Instruments: Statement of Financial Accounting Standards
("SFAS") No. 107,  "Disclosures about Fair Value of Financial  Instruments",  as
amended by SFAS No. 119, "Disclosures about Derivative Financial Instruments and
Fair  Value  of  Financial  Instruments",  requires  disclosure  of  fair  value
information  about  financial  instruments,  whether  or not  recognized  in the
balance sheet, for which it is practicable to estimate fair value. Fair value is
defined in the SFAS as the amount at which the instruments could be exchanged in
a  current  transaction  between  willing  parties,  other  than in a forced  or
liquidation  sale.  The  Partnership  believes  that the carrying  amount of its
financial  instruments (except for long term debt) approximates their fair value
due to the short term maturity of these instruments. The Partnership's long term
debt  is  being  presented  at  its  estimated  settlement  amount  due  to  the
liquidation basis of accounting.

Cash and Cash  Equivalents:  Includes  cash on hand,  in banks and money  market
accounts.  At certain  times,  the amount of cash deposited at a bank may exceed
the  limit  on  insured  deposits.  The  Partnership  invest  its cash in a cash
concentration account.

Tenant  Security  Deposits:  The  Partnership  requires  security  deposits from
certain  commercial  space  lessees for the duration of the lease.  The security
deposits  are  refunded  when the tenant  vacates,  provided  the tenant has not
damaged its space and is current on rental payments.

Restricted  Escrows:  At  the  time  the  Partnership  refinanced  the  mortgage
encumbering  Factory  Merchants  Mall in October 1996, a portion of the proceeds
were  used to  establish  restricted  escrows.  These  escrows  are used to fund
capital  improvements  and  replacements.  At December 31, 2001,  these  escrows
equaled approximately $607,000 which includes interest.

Leases:  Commercial  building lease terms are generally for one to twenty years.
Several  tenants have  percentage rent clauses which provide for additional rent
upon the tenant  achieving  certain rental  objectives.  Percentage rent totaled
approximately $95,000 for the period from January 1, 2001 to August 22, 2001 and
approximately  $440,000  for the  year  ended  December  31,  2000.  For  leases
containing  fixed rental  increases during their term, rents are recognized on a
straight-line basis over the terms of the lease. For all other leases, rents are
recognized  over the terms of the leases as earned.  In  addition,  the  General
Partner's policy is to offer rental concessions during  particularly slow months
or in response to heavy  competition from other similar  commercial retail malls
in the area. Concessions are charged against rental income as incurred.

Investment  Property:  As a result of the  Partnership  adopting the liquidation
basis of accounting,  the investment  property was adjusted to its estimated net
realizable value at December 31, 2001.

Depreciation:  Depreciation  was provided by the  straight-line  method over the
estimated life of the investment  property and related  personal  property.  For
Federal income tax purposes,  the accelerated  cost recovery method was used for
real property over 18 years for additions after March 15, 1984 and before May 9,
1985, and 19 years for additions  after May 8, 1985, and before January 1, 1987.
As a result of the Tax Reform Act of 1986,  for  additions  after  December  31,
1986, the modified  accelerated cost recovery method is used for depreciation of
(1) real property over 27 1/2 years and (2) personal  property  additions over 5
years.

As a result of adopting the liquidation basis of accounting,  the gross carrying
value of the property was adjusted to its net  realizable  value and will not be
depreciated further.

Advertising:  The  Partnership  expenses  the cost of  advertising  as incurred.
Advertising costs of approximately $20,000 for the period from January 1,2001 to
August 22, 2001 and $9,000 for the year ended December 31, 2000 were included in
operating expense.

Note C - Adjustment to Liquidation Basis of Accounting

At August 22, 2001,  in accordance  with the  liquidation  basis of  accounting,
assets were adjusted to their  estimated net  realizable  value and  liabilities
were adjusted to their settlement amount. The net adjustment required to convert
to the  liquidation  basis  of  accounting  was an  increase  in net  assets  of
approximately  $6,681,000  which is  included  in the  Statement  of  Changes in
Partners' Deficit/Net Liabilities In Liquidation. The adjustments are summarized
as follows:
                                                                  Increase in
                                                                   Net Assets
                                                                 (in thousands)
 Adjustment from book value of property and
   improvements to estimated net realizable value                   $ 5,190
 Adjustment of mortgage note payable to estimated
   settlement amount                                                  1,970
 Adjustment of other assets and liabilities, net                       (479)
 Net increase in net assets                                         $ 6,681
<PAGE>



Note D - Mortgage Note Payable

The principle terms of the mortgage note payable are as follows:

                                Principal       Monthly
                                 Balance At     Payment    Stated
                                December 31,   Including  Interest   Maturity
Property                          2001 (1)     Interest     Rate       Date
                                     (in thousands)

Factory Merchants Mall
  1st mortgage                    $14,408        $ 137      9.75%    10/2006
Adjustment to settlement
  amount                           (1,851)
Estimated settlement
  amount                          $12,557

(1)   See "Note A" for  discussion of liabilities  being  presented at estimated
      settlement  amounts  as a result  of  adopting  the  liquidation  basis of
      accounting.

The  mortgage  note  payable  is  nonrecourse  and is  secured  by pledge of the
Partnership's  investment property and by pledge of revenues from the investment
property.  Prepayment penalties are imposed if the mortgage note is repaid prior
to  maturity.  Further,  the  property  may  not be  sold  subject  to  existing
indebtedness.

Scheduled principal payments of the mortgage note payable subsequent to December
31, 2001 are as follows (in thousands):

                                               2002                   $  251
                                               2003                      277
                                               2004                      305
                                               2005                      336
                                               2006                   13,239
                                                                      14,408
                                 Adjustment to settlement
                                  amount                              (1,851)
                                 Estimated settlement amount         $12,557

Note E - Income Taxes

The Partnership has received a ruling from the Internal  Revenue Service that it
will  be  classified  as  a  partnership   for  Federal   income  tax  purposes.
Accordingly, no provision for income taxes is made in the consolidated financial
statements of the  Partnership.  Taxable  income or loss of the  Partnership  is
reported in the income tax returns of its partners.  The taxable  income for the
Partnership is approximately  $4,575,000  ($34.09 per limited  partnership unit)
for the year ended December 31, 2001.

The following is a reconciliation  of reported net loss and Federal taxable loss
for the year ended December 31, 2000 (in thousands, except per unit data):


Net loss as reported                      $ (734)
Add (deduct):
   Depreciation differences                  100
   Gain on sale of property                   --
   Change in prepaid rental                  (21)
   Accrued expenses                           13
   Other                                      (9)

Federal taxable loss                     $ (651)

Federal taxable loss per
   limited partnership unit              $ (4.85)

The following is a reconciliation between the Partnership's reported amounts and
Federal tax basis of net assets (in thousands) at December 31, 2001:

                                                   2001

Net liabilities in liquidation as reported       $  (130)
Land and buildings                               (11,840)
Estimated costs to liquidate                         124
Syndication                                        8,848
Mortgage note payable                             12,557
Other                                               (587)

Net assets - tax basis                           $ 8,972

Note F - Transactions with Affiliated Parties

The Partnership has no employees and is dependent on the General Partner and its
affiliates for the management and administration of all Partnership  activities.
The  Partnership  Agreement  provides  for certain  payments to  affiliates  for
services and  reimbursement of certain expenses incurred by affiliates on behalf
of the Partnership.  The following  payments were paid or accrued to the General
Partner and affiliates in 2001 and 2000:

                                                               2001       2000
                                                               (in thousands)

Reimbursement for services of affiliates                       $ 84       $ 55

An  affiliate  of the General  Partner  received  reimbursement  of  accountable
administrative  expenses amounting to approximately  $84,000 and $55,000 in 2001
and 2000, respectively.

Beginning in 2001, the  Partnership  began insuring its properties up to certain
limits through coverage provided by AIMCO which is generally  self-insured for a
portion of losses and  liabilities  related  to workers  compensation,  property
casualty and vehicle liability. The Partnership insures its properties above the
AIMCO  limits  through  insurance  policies  obtained  by  AIMCO  from  insurers
unaffiliated  with the General Partner.  In 2001, the Partnership paid AIMCO and
its affiliates  approximately $21,000 for insurance coverage and fees associated
with policy claims administration.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership,  AIMCO and its affiliates owned 28,945 limited partnership units in
the Partnership  representing  22.01% of the  outstanding  units at December 31,
2001. A number of these units were  acquired  pursuant to tender  offers made by
AIMCO or its affiliates. Under the Partnership Agreement,  unitholders holding a
majority of the Units are  entitled to take action with  respect to a variety of
matters,  which would include  voting on certain  amendments to the  Partnership
Agreement  and voting to remove the  General  Partner.  When  voting on matters,
AIMCO would in all likelihood  vote the Units it acquired in a manner  favorable
to the  interest  of the General  Partner  because of its  affiliation  with the
General Partner.

Note G - Real Estate and Accumulated Depreciation

<TABLE>
<CAPTION>

                                            Initial Cost
                                           To Partnership
                                           (in thousands)

                                                  Buildings      Cost
                                                 and Related  Capitalized   Adjustment
                                                                                to
                                                  Personal   Subsequent to Liquidation
      Description         Encumbrance     Land    Property    Acquisition     Basis
                              (2)
                         (in thousands)                      (in thousands)
Factory Merchants Mall
<S>                         <C>         <C>        <C>          <C>          <C>
  Pigeon          Forge,    $12,557     $ 2,414    $16,155      $ 2,050      $(8,779)
Tennessee
</TABLE>

<TABLE>
<CAPTION>

                              Gross Amount At Which
                                     Carried
                              At December 31, 2001
                                 (in thousands)

                                    Buildings
                                   And Related
                                   Personal             Accumulated     Date   Depreciable
       Description         Land    Property    Total    Depreciation  Acquired Life-Years

Factory Merchants Mall
<S>                       <C>       <C>       <C>           <C>       <C>   <C>   <C>
  Pigeon Forge, Tennessee $ 2,414   $ 9,426   $11,840       (1)       05/22/86    5-20
</TABLE>

(1)   As a result of the adopting the liquidation basis of accounting, the gross
      carrying  value of the property was adjusted to its net  realizable  value
      and will not be depreciated further.

(2)   Amount represents estimated settlement amount.

Reconciliation of "Real Estate and Accumulated Depreciation":

                                                Years Ended December 31,
                                                  2001            2000
                                                     (in thousands)
Investment Property
Balance at beginning of year                    $ 20,608         $20,518
    Property improvements                             11              90
    Adjustment to liquidation basis               (8,779)             --
Balance at end of year                          $ 11,840         $20,608

Accumulated Depreciation
Balance at beginning of year                    $ 13,342         $12,402
    Additions charged to expense                     627             940
    Adjustment to liquidation basis              (13,969)             --
Balance at end of year                            $ --           $13,342

There was no aggregate cost for the real estate or accumulated  depreciation for
Federal income tax purposes at December 31, 2001 as the transaction discussed in
"Note A" was treated as a sale for tax purposes.

The  aggregate  cost of the real  estate  for  Federal  income tax  purposes  at
December 31, 2000, is approximately  $20,387,000.  The accumulated  depreciation
taken for Federal  income tax purposes at December 31,  2000,  is  approximately
$11,797,000.



<PAGE>


Note H - Operating Leases

Tenants of the commercial properties are responsible for their own utilities and
maintenance of their space, and payment of their  proportionate  share of common
area  maintenance,  utilities,  insurance  and real  estate  taxes.  Tenants are
generally not required to pay a security deposit.

As of December  31, 2001,  the  Partnership  had minimum  future  rentals  under
non-cancelable  leases with initial or remaining  terms in excess of one year as
follows (in thousands):
                              2002             $ 1,502
                              2003               1,237
                              2004                 586
                              2005                 346
                              2006                 162
                           Thereafter              271
                                               $ 4,104

Note I - Ground Lease

Factory  Merchants Mall is subject to three ground leases.  The aggregate annual
lease expense was approximately  $120,000 for the period from January 1, 2001 to
August 22, 2001 and approximately $176,000 for the year ended December 31, 2000.
Such  amounts are  included in the  consolidated  statements  of  operations  as
operating  expenses.  The terms of two of the leases provide for increases every
year,  based on the Consumer  Price Index.  The terms of the third lease provide
for increases every five years, based on the Consumer Price Index.

As of December 31, 2001, the aggregate  minimum  rental  payments under the land
leases were as follows (in thousands):

                              2002              $ 176
                              2003                 176
                              2004                 176
                              2005                 176
                              2006                 176
                           Thereafter            3,739
                                               $ 4,619

Note J - Distributions

During the year ended December 31, 2001, the Partnership  paid  distributions of
approximately $89,000 from operations, of which approximately $87,000 ($0.66 per
limited   partnership  unit)  is  allocable  to  the  limited   partners.   This
distribution  was declared and accrued as of December 31, 2000.  During the year
ended December 31, 2000, the Partnership  declared and paid a cash  distribution
from  operations of  approximately  $950,000,  of which  approximately  $931,000
($7.08  per  limited  partnership  unit) was paid to the  limited  partners.  In
conjunction with the transfer of funds from the majority-owned  joint venture to
the Partnership  during the year ended December 31, 2001,  approximately  $5,000
was distributed to the general partner of the majority-owned joint venture.


<PAGE>



Note K - Legal Proceedings

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the Partnership,  its General Partner and several of
their  affiliated  partnerships and corporate  entities.  The action purports to
assert  claims on behalf of a class of  limited  partners  and  derivatively  on
behalf of a number of limited partnerships (including the Partnership) which are
named as nominal defendants, challenging, among other things, the acquisition of
interests in certain general partner entities by Insignia  Financial Group, Inc.
("Insignia") and entities which were, at one time, affiliates of Insignia;  past
tender offers by the Insignia  affiliates to acquire limited  partnership units;
management of the  partnerships  by the Insignia  affiliates;  and the series of
transactions  which  closed on October 1, 1998 and  February  26,  1999  whereby
Insignia and Insignia  Properties Trust,  respectively,  were merged into AIMCO.
The plaintiffs seek monetary damages and equitable  relief,  including  judicial
dissolution of the  Partnership.  On June 25, 1998, the General  Partner filed a
motion seeking dismissal of the action. In lieu of responding to the motion, the
plaintiffs  filed an amended  complaint.  The General Partner filed demurrers to
the amended complaint which were heard February 1999.

Pending the ruling on such  demurrers,  settlement  negotiations  commenced.  On
November 2, 1999,  the parties  executed and filed a Stipulation  of Settlement,
settling claims, subject to court approval, on behalf of the Partnership and all
limited partners who owned units as of November 3, 1999. Preliminary approval of
the  settlement  was obtained on November 3, 1999 from the Court,  at which time
the Court set a final  approval  hearing for  December  10,  1999.  Prior to the
December  10,  1999  hearing,  the  Court  received  various  objections  to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement.  On
December  14,  1999,  the General  Partner  and its  affiliates  terminated  the
proposed settlement.  In February 2000, counsel for some of the named plaintiffs
filed a motion to disqualify plaintiff's lead and liaison counsel who negotiated
the settlement.  On June 27, 2000, the Court entered an order disqualifying them
from the case and an appeal was taken  from the order on  October  5,  2000.  On
December 4, 2000, the Court  appointed the law firm of Lieff Cabraser  Heimann &
Bernstein  LLP as new  lead  counsel  for  plaintiffs  and the  putative  class.
Plaintiffs  filed a third  amended  complaint on January 19,  2001.  On March 2,
2001,  the  General  Partner  and its  affiliates  filed a demurrer to the third
amended  complaint.  On May 14, 2001,  the Court heard the demurrer to the third
amended  complaint.  On July 10,  2001,  the Court  issued  an order  sustaining
defendants'  demurrer on certain grounds.  On July 20, 2001,  Plaintiffs filed a
motion for  reconsideration  of the Court's July 10, 2001 order granting in part
and denying in part defendants' demurrer. On September 7, 2001, Plaintiffs filed
a fourth amended class and derivative action  complaint.  On September 12, 2001,
the Court denied Plaintiffs' motion for reconsideration. On October 5, 2001, the
General Partner and affiliated defendants filed a demurrer to the fourth amended
complaint,  which was heard on December 11, 2001. On February 2, 2002, the Court
served its order granting in part the demurrer.  The Court has dismissed without
leave  to amend  certain  of the  plaintiffs'  claims.  On  February  11,  2002,
plaintiffs  filed a motion seeking to certify a putative class  comprised of all
non-affiliated  persons  who own or have owned  units in the  partnerships.  The
General  Partner and affiliated  defendants  oppose the motion and a hearing has
been  scheduled  for April 29,  2002.  The Court has set the matter for trial in
January 2003.

During the third  quarter of 2001, a complaint  (the "Heller  action") was filed
against  the same  defendants  that are named in the  Nuanes  action,  captioned
Heller v. Insignia Financial Group. On or about August 6, 2001, plaintiffs filed
a first amended  complaint.  The first amended complaint in the Heller action is
brought as a purported  derivative  action,  and asserts  claims for among other
things  breach  of  fiduciary  duty;  unfair  competition;   conversion,  unjust
enrichment;  and judicial  dissolution.  Plaintiffs in the Nuanes action filed a
motion to  consolidate  the Heller action with the Nuanes action and stated that
the Heller action was filed in order to preserve the derivative claims that were
dismissed  without  leave to amend in the Nuanes action by the Court order dated
July 10, 2001. On October 5, 2001, the General Partner and affiliated defendants
moved to strike the first  amended  complaint in its entirety for  violating the
Court's  July 10, 2001 order  granting  in part and denying in part  defendants'
demurrer in the Nuanes action, or  alternatively,  to strike certain portions of
the  complaint  based on the statute of  limitations.  Other  defendants  in the
action demurred to the fourth amended complaint,  and,  alternatively,  moved to
strike the  complaint.  On December  11, 2001,  the court heard  argument on the
motions and took the matters under  submission.  On February 4, 2002,  the Court
served  notice of its order  granting  defendants'  motion to strike  the Heller
complaint as a violation of its July 10, 2001 order in the Nuanes action.

The  General  Partner  does not  anticipate  that any  costs,  whether  legal or
settlement  costs,   associated  with  these  cases  will  be  material  to  the
Partnership's overall operations.

The  Partnership is unaware of any other pending or outstanding  litigation that
is not of a routine nature arising in the ordinary course of business.


<PAGE>



Item 8. Changes in and Disagreements with Accountant on Accounting and Financial
     Disclosures

            None.


<PAGE>


                                    PART III

Item 9. Directors, Executive Officers, Promoters and Control Persons; Compliance
     with Section 16(a) of the Exchange Act

The names of the directors and executive  officers of Angeles Realty Corporation
II  ("ARC  II" or the  "General  Partner"),  their  ages and the  nature  of all
positions presently held by them are as follows:

Name                        Age    Position

Patrick J. Foye              44    Executive Vice President and Director

Martha L. Long               42    Senior Vice President and Controller

Patrick J. Foye has been  Executive  Vice  President and Director of the General
Partner since October 1, 1998.  Mr. Foye has served as Executive  Vice President
of AIMCO since May 1998.  Prior to joining AIMCO,  Mr. Foye was a partner in the
law firm of Skadden,  Arps, Slate,  Meagher & Flom LLP from 1989 to 1998 and was
Managing Partner of the firm's  Brussels,  Budapest and Moscow offices from 1992
through  1994.  Mr.  Foye is also  Deputy  Chairman  of the  Long  Island  Power
Authority and serves as a member of the New York State Privatization Council. He
received a B.A.  from Fordham  College and a J.D.  from Fordham  University  Law
School.

Martha L. Long has been  Senior Vice  President  and  Controller  of the General
Partner since October 1998 as a result of the acquisition of Insignia  Financial
Group, Inc. As of February 2001, Ms. Long was also appointed head of the service
business for AIMCO.  From June 1994 until January 1997,  she was the  Controller
for Insignia, and was promoted to Senior Vice President - Finance and Controller
in January 1997,  retaining  that title until  October  1999.  From 1988 to June
1994,  Ms. Long was Senior Vice  President and  Controller for The First Savings
Bank, FSB in Greenville, South Carolina.

One or more of the above persons are also directors and/or officers of a general
partner (or general partner of a general partner) of limited  partnerships which
either have a class of  securities  registered  pursuant to Section 12(g) of the
Securities Exchange Act of 1934, or are subject to the reporting requirements of
Section  15(d) of such Act:  Further,  one or more of the above persons are also
directors and/or officers of Apartment Investment and Management Company and the
general  partner  of  AIMCO  Properties,  L.P.,  entities  that  have a class of
securities  registered  pursuant to Section 12(g) of the Securities Exchange Act
of 1934, or are subject to the reporting  requirements of Section 15 (d) of such
Act.

The  executive  officers  and  director  of  the  General  Partner  fulfill  the
obligations  of the Audit  Committee  and  oversee the  Partnership's  financial
reporting  process on behalf of the General Partner.  Management has the primary
responsibility for the financial  statements and the reporting process including
the systems of internal controls. In fulfilling its oversight  responsibilities,
the executive  officers and director of the General Partner reviewed the audited
financial  statements with management including a discussion of the quality, not
just the  acceptability,  of the accounting  principles,  the  reasonableness of
significant  judgments,   and  the  clarity  of  disclosures  in  the  financial
statements.

The  executive  officers and director of the General  Partner  reviewed with the
independent  auditors,  who are  responsible  for  expressing  an opinion on the
conformity of those audited  financial  statements  with  accounting  principles
generally accepted in the Unites States,  their judgments as to the quality, not
just the  acceptability,  of the  Partnership's  accounting  principles and such
other  matters as are required to be discussed  with the Audit  Committee or its
equivalent under auditing standards  generally accepted in the United States. In
addition,  the  Partnership  has  discussed  with the  independent  auditors the
auditors' independence from management and the Partnership including the matters
in the written  disclosures  required by the  Independence  Standards  Board and
considered  the   compatibility   of  non-audit   services  with  the  auditors'
independence.

The executive  officers and director of the General  Partner  discussed with the
Partnership's  independent auditors the overall scope and plans for their audit.
In  reliance on the reviews and  discussions  referred to above,  the  executive
officers and director of the General  Partner have approved the inclusion of the
audited financial  statements in the Form 10-KSB for the year ended December 31,
2001 for filing with the Securities and Exchange Commission.

The General Partner has reappointed Ernst & Young LLP as independent auditors to
audit the consolidated  financial  statements of the Partnership for the current
fiscal year. Fees for the last fiscal year were audit services of  approximately
$33,000  and  non-audit  services  (principally  tax-related)  of  approximately
$16,000.

Item 10.    Executive Compensation

None  of  the  directors  and  officers  of the  General  Partner  received  any
remuneration from the Registrant.

Item 11.    Security Ownership of Certain Beneficial Owners and Management

Except as noted below, no person or entity was known by the Registrant to be the
beneficial  owner  of  more  than 5% of the  Limited  Partnership  Units  of the
Registrant as of December 31, 2001.

Entity                                  Number of Units      Percentage

Cooper River Properties, LLC                 12,561             9.54%
  (an affiliate of AIMCO)
Insignia Properties LP                        8,668             6.59%
  (an affiliate of AIMCO)
AIMCO Properties, L.P.                        7,716             5.88%
  (an affiliate of AIMCO)

Cooper  River  Properties,   LLC  and  Insignia  Properties  LP  are  indirectly
ultimately  owned  by  AIMCO.  Their  business  address  is  55  Beattie  Place,
Greenville, South Carolina 29602.

AIMCO  Properties,  L.P.  is  indirectly  ultimately  controlled  by AIMCO.  Its
business address is 2000 South Colorado Boulevard, Denver, Colorado 80222.

No director or officer of the General Partner owns any Units.

The Partnership knows of no contractual arrangements, the operation of the terms
of  which  may at a  subsequent  date  result  in a  change  in  control  of the
Partnership,  except for: Article 12.1 of the Agreement, which provide that upon
a vote of the limited  partners  holding  more than 50% of the then  outstanding
limited  partnership  units  the  general  partner  may  be  expelled  from  the
Partnership  upon 90 days written  notice.  In the event that successor  general
partner have been elected by limited  partners holding more than 50% of the then
outstanding  limited  partnership  Units and if said limited  partners  elect to
continue the business of the Partnership,  the Partnership is required to pay in
cash to the expelled  general  partner an amount equal to the accrued and unpaid
management  fee  described  in Article 10 of the  Agreement  and to purchase the
general  partner's  interest in the  Partnership  on the  effective  date of the
expulsion,  which shall be an amount equal to the difference between the balance
of the general  partner's capital account and the fair market value of the share
of  distributable  net proceeds to which the general  partner would be entitled.
Such  determination of the fair market value of the share of  distributable  net
proceeds is defined in Article 12.2(b) of the Agreement.

Item 12.    Certain Relationships and Related Transactions

The Partnership has no employees and is dependent on the General Partner and its
affiliates for the management and administration of all Partnership  activities.
The  Partnership  Agreement  provides  for certain  payments to  affiliates  for
services and  reimbursement of certain expenses incurred by affiliates on behalf
of the Partnership.  The following  payments were paid or accrued to the General
Partner and affiliates in 2001 and 2000:

                                                               2001       2000
                                                               (in thousands)

Reimbursement for services of affiliates                       $ 84       $ 55

An  affiliate  of the General  Partner  received  reimbursement  of  accountable
administrative  expenses amounting to approximately  $84,000 and $55,000 in 2001
and 2000, respectively.

Beginning in 2001, the  Partnership  began insuring its properties up to certain
limits through coverage provided by AIMCO which is generally  self-insured for a
portion of losses and  liabilities  related  to workers  compensation,  property
casualty and vehicle liability. The Partnership insures its properties above the
AIMCO  limits  through  insurance  policies  obtained  by  AIMCO  from  insurers
unaffiliated  with the General Partner.  In 2001, the Partnership paid AIMCO and
its affiliates  approximately $21,000 for insurance coverage and fees associated
with policy claims administration.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership,  AIMCO and its affiliates owned 28,945 limited partnership units in
the Partnership  representing  22.01% of the  outstanding  units at December 31,
2001. A number of these units were  acquired  pursuant to tender  offers made by
AIMCO or its affiliates. Under the Partnership Agreement,  unitholders holding a
majority of the Units are  entitled to take action with  respect to a variety of
matters,  which would include  voting on certain  amendments to the  Partnership
Agreement  and voting to remove the  General  Partner.  When  voting on matters,
AIMCO would in all likelihood  vote the Units it acquired in a manner  favorable
to the  interest  of the General  Partner  because of its  affiliation  with the
General Partner.


<PAGE>


                                     PART IV

Item 13.    Exhibits and Reports on Form 8-K

      (a)   Exhibits:

            None.

      (b)   Reports on Form 8-K filed in the quarter ended December 31, 2001:

            None.



<PAGE>


                                   SIGNATURES



In accordance  with Section 13 or 15(d) of the Exchange Act, the  Registrant has
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.


                                    ANGELES INCOME PROPERTIES, LTD. IV


                                    By:   Angeles Realty Corporation II
                                          General Partner


                                    By:   /s/Patrick J. Foye
                                          Patrick J. Foye
                                          Executive Vice President


                                    By:   /s/Martha L. Long
                                          Martha L. Long
                                          Senior Vice President
                                          and Controller


                                    Date:


In  accordance  with the Exchange  Act, this report has been signed below by the
following  persons on behalf of the Registrant and in the capacities on the date
indicated.


/s/Patrick J. Foye            Executive Vice President      Date:
Patrick J. Foye               and Director


/s/Martha L. Long             Senior Vice President         Date:
Martha L. Long                and Controller




<PAGE>


                         ANGELES INCOME PROPERTIES, LTD. IV

                                  EXHIBIT INDEX


Exhibit Number                   Description of Exhibit

       2.1        Agreement and Plan of Merger,  dated as of October 1, 1998, by
                  and  between  AIMCO  and IPT  (incorporated  by  reference  to
                  Exhibit 2.1 of  Registrant's  Current Report on Form 8-K dated
                  October 1, 1998)

       3.1        Amended  Certificate and Agreement of the Limited  Partnership
                  filed in Amendment  Number 2 to Form S-11 dated April 25, 1985
                  which is incorporated herein by reference

      10.1        Agreement of Purchase  and of Real  Property  with  Exhibits -
                  Northtown  Mall filed in Form 8K dated July 15,  1985 which is
                  incorporated herein by reference

      10.2        Agreement of Purchase and Sale of Real  Property with Exhibits
                  - Burlington Mall Partners filed in Form 8K dated December 19,
                  1985 which is incorporated herein by reference

      10.3        Agreement of Purchase and Sale of Real  Property with Exhibits
                  -  Moraine  West  Carrollton  Partners  filed in Form 8K dated
                  December 20, 1985 which is incorporated herein by reference

               10.4 Agreement  of  Purchase  and  Sale  of  Real  Property  with
                    Exhibits - Factory Merchants Etc.  Mall-Phase I and Phase II
                    filed in Form 8K dated May 22,  1986  which is  incorporated
                    herein by reference

               10.5 Promissory  Note - Fort Worth  Center and the W.T.  Waggoner
                    Building  filed in Form 8-K  dated  July 16,  1986  which is
                    incorporated herein by reference

               10.6 Deed of Trust,  Assignment  of Leases and Rents and Security
                    Agreement - Fort Worth Center and the W.T. Waggoner Building
                    filed in Form 8-K dated July 16, 1986 which is  incorporated
                    herein by reference

               10.7 Deed of  Trust -  Option - Fort  Worth  Center  and the W.T.
                    Waggoner  Building  filed in Form 8-K  dated  July 16,  1986
                    which is incorporated herein by reference

               10.8 Security Agreement - Fort Worth Center and the W.T. Waggoner
                    Building  filed in Form 8-K  dated  July 16,  1986  which is
                    incorporated herein by reference

               10.9 Option  Agreement - Fort Worth center and the W.T.  Waggoner
                    Building  filed in Form 8-K  dated  July 16,  1986  which is
                    incorporated herein by reference

               10.10Covenant  not to  compete - Fort  Worth  center and the W.T.
                    Waggoner  Building filed in Form 8-K dated November 1, 1987,
                    which is incorporated herein by reference



<PAGE>


      10.12       Acquisition or Disposition of Assets - Fort Worth Option Joint
                  Venture - filed in Form 8K dated  November  1, 1997,  which is
                  incorporated herein by reference

               10.13Promissory Note - Northtown  Mall.  Filed in Form 10-K dated
                    December  31, 1990,  Exhibit  10.13,  which is  incorporated
                    herein by reference

      10.14       Stock Purchase  Agreement  dated November 24, 1992 showing the
                  purchase of 100% of the  outstanding  stock of Angeles  Realty
                  Corporation II, a subsidiary of MAE GP  Corporation,  filed in
                  Form 8-K dated December 31, 1992, which is incorporated herein
                  by reference

      10.15       Acquisition or Disposition of Assets - Moraine West Carrollton
                  - filed in Form 8-K dated July 21, 1994, which is incorporated
                  herein by reference

               10.16Promissory  note - dated  August 19, 1996,  between  Factory
                    Merchants AIP IV, L.P., and Union Capital Investments, LLC.

               10.17Purchase   and  Sale   Contract   between   Registrant   and
                    Pearce-Woodfield Development Co., LLC., a Washington limited
                    partnership, dated June 16, 1999.

      10.18       Purchase  and Sale  Contract  between  Registrant  and Angeles
                  Realty Corporation II, a California corporation, and The Cadle
                  Company, an Ohio Corporation, dated August 23, 2001.

               16   Letter from the Registrant's former accountant regarding its
                    concurrence  with the  statements  made by the registrant is
                    incorporated by reference to the Exhibit filed with Form 8-K
                    dated September 1, 1993