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

                                   FORM 10-K
(Mark One)
[ X ] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 [FEE REQUIRED]
For the fiscal year ended December 31, 1995
                          -----------------
                                      OR

[   ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
For the transition period from               to 
                               -------------    -------------            

Commission file number 0-15648
                       -------

                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
            ------------------------------------------------------          
            (Exact name of registrant as specified in its charter)

           Illinois                                      36-3447130
-------------------------------                      ------------------- 
(State or other jurisdiction of                       (I.R.S. Employer
incorporation or organization)                       Identification No.)

2355 Waukegan Road
Bannockburn, Illinois                                       60015
----------------------------------------             -------------------     
(Address of principal executive offices)                 (Zip Code)

Registrant's telephone number, including area code (847) 267-1600
                                                   --------------
Securities registered pursuant to Section 12(b) of the Act:  None
                                                             ----
Securities registered pursuant to Section 12(g) of the Act:

                         Limited Partnership Interests
                         -----------------------------
                               (Title of class)

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 [   ]

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of Registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to
this Form 10-K. [ X ]
<PAGE>
                                    PART I

Item 1. Business
----------------

Balcor Equity Pension Investors-IV A Real Estate Limited Partnership (the
"Registrant") is a limited partnership formed in 1986 under the laws of the
State of Illinois. The Registrant raised $46,371,500 from sales of Limited
Partnership Interests. The Registrant's operations consist exclusively of
investment in and operation of income-producing real property, and all
information included in this report relates to this industry segment.

The Registrant originally funded one acquisition loan and acquired two real
property investments. The Registrant currently has two properties and an
investment in joint venture with affiliates in its portfolio as of December 31,
1995 as described under "Item 2. Properties." The Partnership Agreement
generally provides that the proceeds of any sale or refinancing of the
Registrant's properties will not be reinvested in new acquisitions, but will be
distributed to the extent not required to meet the Registrant's cash
requirements. 

Overall, the investment real estate market saw gradual improvement over the
last year.  This improvement has taken place in an environment of generally low
interest rates and little or no new supply, parameters which may not exist in
the next few years. Demand for real estate space, while projected to improve in
line with the overall economy, is also vulnerable to external forces. The major
challenges facing the real estate industry today include increased
international competition, corporate restructurings, new computer and
communications technologies, an aging  population and potential revisions of
the tax code. In addition, the increased flow of capital to real estate through
new vehicles such as commercial mortgage-backed securities and REITs could spur
new construction at unsupportable levels, as well as impact existing property
values.

Operationally, existing apartment properties continued to register occupancy
percentages in the 90s, with average rents rising at an annual rate of between
3 and 4 percent. Apartments are still considered one of the top real estate
asset classes in terms of performance. However, some markets are experiencing
new construction of rental units which, if unrestrained, could impact the
performance of existing properties. Most of the new construction is aimed at
the two segments of the rental market which are growing the fastest: low-income
households and upper-income households who prefer to rent rather than own. Of
all the major asset classes, apartments typically display the least volatility
in terms of property values.

With virtually no new construction over the past few years, the national office
market has experienced consistently rising occupancy rates and, recently,
rising rental rates. Investor interest has also returned, typically preferring
suburban buildings over their downtown counterparts. Except for properties
built for a specific tenant, the economic feasibility of new construction in
most markets is still several years away. Build-to-suit construction for large
companies currently in leased space could restrict office appreciation rates
over the next few years. In addition, increased vacancies could result from
companies who restructure their workforce in order to reduce their occupancy
costs.
<PAGE>
Shopping centers are the most troubled asset class in real estate currently.
Unlike other asset classes, construction of power shopping centers, those with
a preponderance of "big box" retailers, occurred at a brisk pace during the
early 1990s, and now a shake-out of retailers is taking place. Retailers posted
lackluster sales in 1995, particularly in the latter half of the year, and
similar results are expected for 1996. The slight rise in interest rates in
1995 also contributed to low sales growth in interest rate sensitive sectors
such as automobiles and home furnishings. Nevertheless, retail properties are
particularly unique, and those with strong tenant alignments should better
weather the current slowdown. In the long-term, however, retail real estate is
also vulnerable to technological changes (e.g. home shopping) which could
drastically alter the retail distribution system.

The General Partner believes that the market for multifamily housing properties
has become increasingly favorable to sellers of these properties. As a result,
the General Partner is exploring an acceleration of its strategy to sell the
Registrant's residential properties. Additionally, the General Partner will
explore the sale of its commercial properties over the next year if market
conditions are favorable.

Activity for the purchase of limited partnership interests ("tender offer") has
increased in real estate limited partnerships generally. Many of these tender
offers have been made by investors seeking to make a profit from the purchase
of the interests. In the event a tender offer is made for interests in the
Registrant, the General Partner will issue a response to limited partners
expressing the General Partner's opinion regarding the offer. Certain
administrative costs will be incurred to respond to a tender offer. The General
Partner cannot predict with any certainty what impact a tender offer will have
on the operations or management of the Registrant.

During 1995, the Registrant and three affiliates acquired title to the 45 West
45th Street Office Building through foreclosure. See "Item 7. Liquidity and
Capital Resources" for additional information.

The Registrant, by virtue of its ownership of real estate, is subject to
Federal and state laws and regulations covering various environmental issues.
Management of the Registrant utilizes the services of environmental consultants
to assess a wide range of environmental issues and to conduct tests for
environmental contamination as appropriate. The General Partner is not aware of
any potential liability due to environmental issues or conditions that would be
material to the Registrant.

The officers and employees of Balcor Equity Partners-IV, the General Partner of
the Registrant, and its affiliates perform services for the Registrant. The
Registrant currently has no employees engaged in its operations.

Item 2. Properties
------------------

As of December 31, 1995, the Registrant owns the two properties described
below:

Location                     Description of Property
--------                     -----------------------
<PAGE>
Evanston, Illinois           Evanston Plaza Shopping Center: a neighborhood
                             shopping center containing approximately 170,000
                             square feet located on approximately 13 acres.

Dade County, Florida         Gleneagles Apartments: a 292-unit apartment
                             complex located on approximately 14 acres.

The Registrant also holds a minority interest in a joint venture with
affiliates which owns the 45 West 45th Street Office Building in New York, New
York. See Note 5 of Notes to Financial Statements for additional information.

In the opinion of the General Partner, the Registrant has provided for adequate
insurance coverage for its real estate investment properties.

See Notes to Financial Statements for other information regarding real property
investments.

Item 3. Legal Proceedings
-------------------------

The Registrant is not subject to any material pending legal proceedings, nor
were any such proceedings terminated during the fourth quarter of 1995.

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

No matters were submitted to a vote of the Limited Partners of the Registrant
during 1995.
<PAGE>
                                    PART II

Item 5. Market for the Registrant's Common Equity and Related Stockholder
-------------------------------------------------------------------------
Matters
-------

There has not been an established public market for Limited Partnership
Interests and it is not anticipated that one will develop. For information
regarding distributions, see Management's Discussion and Analysis of Financial
Condition and Results of Operations-Liquidity and Capital Resources, below.

As of December 31, 1995, the number of record holders of Limited Partnership
Interests of the Registrant was 6,629.

Item 6. Selected Financial Data
-------------------------------

                                      Year ended December 31,                 
                    ----------------------------------------------------------
                       1995        1994         1993       1992        1991
                    ----------  ---------- -----------  ----------  ----------
Total income        $5,191,721  $5,088,403 $ 4,556,554  $4,728,736  $4,603,781
Net income (loss)      905,702   1,144,130     339,089     698,621  (1,923,708)
Net income (loss)         
  per Limited 
  Partnership 
  Interest                3.82        5.14         .81        2.67      (11.28)
Total assets        26,733,957  28,010,591  28,709,441  30,454,887  31,846,219
Distributions
  per taxable            
  Limited
  Partnership
  Interest (A)           11.37       11.28       10.08       10.83        9.87
Distributions
  per tax-exempt          
  Limited Partnership
  Interest (A)            9.76       10.09       10.53       10.00       10.00


(A) No distributions of original capital were made in any of the last five
years.

Item 7. Management's Discussion and Analysis of Financial Condition and Results
-------------------------------------------------------------------------------
of Operations
-------------

Operations
----------

Summary of Operations
---------------------

During 1995 and 1993, Balcor Equity Pension Investors - IV A Real Estate
Limited Partnership (the "Partnership") recognized its share of the decline in
the fair value of the 45 West 45th Street Office Building. As a result, net
<PAGE>
income decreased during 1995 as compared to 1994, and increased during 1994 as
compared to 1993. Further discussion of the Partnership's operations is
summarized below.

1995 Compared to 1994
---------------------
Interest income on short-term investments increased during 1995 compared to
1994 as a result of higher interest rates earned on short-term investments and
higher average cash balances available for investment.

Property management fees, which are earned as a percentage of rental and
service income collected, decreased during 1995 as compared to 1994 due to the
timing of the collection of real estate tax reimbursements at the Evanston
Plaza Shopping Center.

Participation in (loss) income of joint venture with affiliates represents the
Partnership's share of the operations of the 45 West 45th Street Office
Building. The Partnership recognized its share of a decline in the fair value
of the 45 West 45th Street Office Building during 1995. As a result, the
Partnership recognized participation in loss of joint venture with affiliates
during 1995 as compared to participation in income during 1994.

1994 Compared to 1993
---------------------

Due to increased rental rates at the Gleneagles Apartments and Evanston Plaza
Shopping Center, rental income increased during 1994 as compared to 1993.

Increased real estate tax and common area maintenance reimbursements from
tenants at the Evanston Plaza Shopping Center resulted in higher service income
during 1994 as compared to 1993. Property management fees, which are earned as
a percentage of rental and service income collected, also increased for this
period.

As a result of higher interest rates earned on short-term investments and
higher average cash balances available for investment, interest income on
short-term investments increased during 1994 as compared to 1993.  

Due to increased insurance and payroll costs at both the Gleneagles Apartments
and Evanston Plaza Shopping Center, and increased expenditures for roof
repairs, painting and appliances at the Gleneagles Apartments, property
operating expenses increased during 1994 as compared to 1993.

As a result of higher accounting, legal and portfolio management fees,
administrative expenses increased during 1994 as compared to 1993.

The Partnership recognized its share of a decline in the fair value of the 45
West 45th Street Office Building during 1993. As a result, the Partnership
recognized participation in income of joint venture with affiliates during 1994
as compared to participation in loss during 1993.

Liquidity and Capital Resources
-------------------------------

The cash position of the Partnership decreased as of December 31, 1995 as
compared to December 31, 1994. Operating activities include cash flow from the
operations of the Partnership's properties and short-term investments, which
<PAGE>
were partially offset by the payment of administrative expenses.  Investing
activities consisted of net capital contributions to the joint venture with
affiliates and financing activities consisted of distributions to the Partners.

The Partnership classifies the cash flow performance of its properties as
either positive, a marginal deficit, or a significant deficit, each after
consideration of debt service payments unless otherwise indicated. A deficit is
considered significant if it exceeds $250,000 annually or 20% of the property's
rental and service income. The Partnership defines cash flow generated from its
properties as an amount equal to the property's revenue receipts less property
related expenditures. During 1995 and 1994, the Gleneagles Apartments and
Evanston Plaza Shopping Center generated positive cash flow. During 1995 and
1994, The 45 West 45th Street Office Building, in which the Partnership holds a
minority joint venture interest with affiliates, also generated positive cash
flow.  Significant leasing costs were incurred in 1995 at the 45 West 45th 
Street Office Building to lease vacant space and renew existing tenant leases
which were scheduled to expire. Had these non-recurring expenditures been
included in classifying the cash flow performance, this property would have
generated a significant cash flow deficit during 1995.  

As of December 31, 1995, the Gleneagles Apartments and Evanston Plaza Shopping
Center had occupancy rates of 100% and 96%, respectively, while the 45 West
45th Street Office Building had an occupancy rate of 86%. Many rental markets
continue to remain extremely competitive; therefore, the General Partner's
goals are to maintain high occupancy levels while increasing rents where
possible and to monitor and control operating expenses and capital improvement
requirements at the properties. 

The General Partner believes that the market for multifamily housing properties
has become increasingly favorable to sellers of these properties. As a result,
the General Partner is exploring an acceleration of its strategy to sell the
Partnership's residential properties. Additionally, the General Partner will
explore the sale of its commercial properties over the next year if market
conditions are favorable.

The Partnership and three affiliates (the "Participants") previously funded a
$23,000,000 loan on the 45 West 45th Street Office Building. In February 1995,
the Participants received title to the property through foreclosure. The
Partnership owns a 15.22% joint venture interest in the property.

The Partnership made four distributions totaling $11.37 per Taxable Interest
and $9.76 per Tax-exempt Interest during 1995 as compared to $11.28 per Taxable
Interest and $10.09 per Tax-exempt Interest during 1994 and $10.08 per Taxable
Interest and $10.53 per Tax-exempt Interest in 1993.  See Statements of
Partners' Capital for additional information. Average quarterly distributions
to Limited Partners remained relatively unchanged during 1995 as compared to
1994 and 1993.

In January 1996, the Partnership paid a distribution of $419,733 ($2.29 per
Taxable Interest and $2.26 per Tax-Exempt Interest) to the holders of Limited
Partnership Interests representing the regular quarterly distribution of Cash
Flow for the fourth quarter of 1995. Including the January 1996 distribution,
Limited Partners have received cumulative distributions of $84.22 per $250
Taxable Interest, of which $83.97 represents Cash Flow from operations and $.25
represents a return of Original Capital, and $82.22 per $250 Tax-exempt
Interest, of which $81.97 represents Cash Flow from operations and $.25
represents a return of Original Capital. In January 1996, the Partnership also
<PAGE>
paid $34,978 to the General Partner as its distributive share of the fourth
quarter of 1995 distribution, and made a contribution to the Repurchase Fund in
the amount of $11,659. 

It should be noted that distributions to Taxable Limited Partners and
Tax-exempt Limited Partners are computed by different formulas as set forth in
the Prospectus; therefore, the amount of distributions to Taxable Limited
Partners when compared to the amount of distributions to Tax-exempt Limited
Partners will fluctuate from quarter to quarter. The General Partner expects
that the cash flow from property operations should enable the Partnership to
continue making quarterly distributions to Limited Partners. However, the level
of future distributions will be dependent on the amount of cash flow generated
from property operations, as to which there can be no assurances.

During 1995, the General Partner used amounts placed in the Repurchase Fund to
repurchase 414 Interests from Limited Partners at a cost of $70,752.

In 1995, the Financial Accounting Standards Board issued Statement No. 121
"Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets
to Be Disposed Of" which establishes accounting standards for impairment of
long-lived assets and long-lived assets to be disposed of. This statement has
been adopted by the Partnership as of January 1, 1995, and did not have a
material impact on the financial position or results of operations of the
Partnership.

Inflation has several types of potentially conflicting impacts on real estate
investments. Short-term inflation can increase real estate operating costs
which may or may not be recovered through increased rents and/or sales prices
depending on general or local economic conditions. In the long-term, inflation
can be expected to increase operating costs and replacement costs and may lead
to increased rental revenues and real estate values. 

Item 8. Financial Statements and Supplementary Data
---------------------------------------------------

See Index to Financial Statements and Financial Statement Schedule in this
Form 10-K.

The supplemental financial information specified by Item 302 of Regulation S-K
is not applicable.

The net effect of the differences between the financial statements and the tax
returns is summarized as follows:

                         December 31, 1995         December 31, 1994    
                      -----------------------  -------------------------
                      Financial       Tax        Financial        Tax
                      Statements    Returns     Statements      Returns 
                      ----------   -----------  ----------      -------

Total assets         $26,733,957   $38,950,316  $28,010,591  $42,181,782
Partners' capital
  accounts (deficit):
    General Partner     (116,554)      232,138     (109,380)     251,855
    Limited Partners  25,605,915    37,473,570   26,736,406   40,725,852
Net income (loss):
    General Partner      197,170       184,627      191,630      204,184
<PAGE>
    Limited Partners     708,532    (1,413,259)     952,500    1,125,994
    Per Limited Part-
      nership Interest       3.82           (A)        5.14           (A)

(A) The net loss is $6.90 per Tax-exempt Interest and $7.70 per Taxable
Interest for 1995, and the net income is $5.94 per Tax-exempt Interest and
$7.34 per Taxable Interest for 1994.

Item 9. Changes in and Disagreements with Accountants on Accounting and
-----------------------------------------------------------------------
Financial Disclosure
--------------------

On September 14, 1995, the Partnership approved the engagement of Coopers &
Lybrand L.L.P. as its independent auditors for the fiscal year ending December
31, 1995 to replace the firm of Ernst & Young LLP, who were dismissed as
auditors of the Partnership effective September 14, 1995. The General Partner
of the Partnership approved the change in auditors.

The reports of Ernst & Young LLP on the Partnership's financial statements for
the past two fiscal years did not contain an adverse opinion or a disclaimer of
opinion and were not qualified or modified as to uncertainty, audit scope, or
accounting principles.

In connection with the audits of the Partnership's financial statements for
each of the two fiscal years ended December 31, 1994, and in the subsequent
interim period, there were no disagreements with Ernst & Young LLP on any
matters of accounting principles or practices, financial statement disclosure,
or auditing scope and procedures which, if not resolved to the satisfaction of
Ernst & Young LLP would have caused Ernst & Young LLP to make reference to the
matter in their report.
<PAGE>
                                   PART III

Item 10. Directors and Executive Officers of the Registrant
-----------------------------------------------------------

(a) Neither the Registrant nor Balcor Equity Partners-IV, its General Partner,
has a Board of Directors.

(b, c & e) The names, ages and business experience of the executive officers
and significant employees of the General Partner of the Registrant are as
follows:     

              TITLE                             OFFICERS
              -----                             --------

Chairman, President and Chief           Thomas E. Meador
   Executive Officer
Senior Vice President                   Alexander J. Darragh
Senior Vice President                   Josette V. Goldberg
Senior Vice President                   Alan G. Lieberman
Senior Vice President, Chief            Brian D. Parker
   Financial Officer, Treasurer
   and Assistant Secretary                           
Senior Vice President                   John K. Powell, Jr.

Thomas E. Meador (July 1947) joined Balcor in July 1979. He is Chairman,
President and Chief Executive Officer and has responsibility for all ongoing
day-to-day activities at Balcor. He is a Director of The Balcor Company. He is
also Senior Vice President of American Express Company and is responsible for
its real estate operations worldwide. Prior to joining Balcor, Mr. Meador was
employed at the Harris Trust and Savings Bank in the commercial real estate
division where he was involved in various lending activities. Mr. Meador
received his M.B.A. degree from the Indiana University Graduate School of
Business.

Alexander J. Darragh (February 1955) joined Balcor in September 1988 and is
responsible for due diligence analysis and real estate advisory services for
Balcor and American Express Company. He also has supervisory responsibility for
Balcor's environmental matters.  Mr. Darragh received masters' degrees in Urban
Geography from Queen's University and in Urban Planning from Northwestern
University.

Josette V. Goldberg (April 1957) joined Balcor in January 1985 and has primary
responsibility for all human resources matters. In addition, she has
supervisory responsibility for Balcor's MIS functions. Ms. Goldberg has been
designated as a Senior Human Resources Professional (SHRP).

Alan G. Lieberman (June 1959) joined Balcor in May 1983 and is responsible for
Balcor's property sales and capital markets functions. Mr. Lieberman is a
Certified Public Accountant.

Brian D. Parker (June 1951) joined Balcor in March 1986 and, as Chief Financial
Officer and Chief Accounting Officer, is responsible for Balcor's financial,
legal and treasury functions. He is a Director of The Balcor Company.  Mr.
Parker is a Certified Public Accountant and holds an M.S. degree in Accountancy
from DePaul University.
<PAGE>
John K. Powell Jr. (June 1950) joined Balcor in September 1985 and is
responsible for portfolio and asset management matters relating to Balcor's
partnerships. Mr. Powell also has supervisory responsibility for Balcor's risk
management and investor services functions.  He received a Master of Planning
degree from the University of Virginia.  Mr. Powell has been designated a
Certified Real Estate Financier by the National Society for Real Estate Finance
and is a full member of the Urban Land Institute.

(d) There is no family relationship between any of the foregoing officers.

(f) None of the foregoing officers or employees are currently involved in any
material legal proceedings nor were any such proceedings terminated during the
fourth quarter of 1995.

Item 11. Executive Compensation
-------------------------------

The Registrant has not paid and does not propose to pay any remuneration to the
executive officers and directors of Balcor Equity Partners - IV, the General
Partner. Certain of these officers receive compensation from The Balcor Company
(but not from the Registrant) for services performed for various affiliated
entities, which may include services performed for the Registrant. However, the
General Partner believes that any such compensation attributable to services
performed for the Registrant is immaterial to the Registrant. See Note 7 of
Notes to Financial Statements for the information relating to transactions with
affiliates.

Item 12. Security Ownership of Certain Beneficial Owners and Management
-----------------------------------------------------------------------

(a) The following entity is the sole Limited Partner which owns beneficially
more than 5% of the outstanding Limited Partnership Interests of the
Registrant:

                               Name and        Amount and
                              Address of       Nature of     Percent
                              Beneficial       Beneficial      of
         Title of Class         Owner          Ownership      Class 
         --------------      -----------      -----------   ---------

         Limited           Engineers Joint       12,780       6.89%
         Partnership       Pension Fund        Interests
         Interests         Syracuse, New York

(b) Balcor Equity Partners-IV and its officers and partners own as a group the
following Limited Partnership Interests of the Registrant:

                                  Amount
                               Beneficially
         Title of Class            Owned       Percent of Class
         --------------       ---------------  ----------------
         Limited              2,556 Interests        1.38%
         Partnership
         Interests
<PAGE>
Relatives and affiliates of the officers and partners of the General Partner do
not own any Interests.

(c) The Registrant is not aware of any arrangements, the operation of which may
result in a change of control of the Registrant.

Item 13. Certain Relationships and Related Transactions
-------------------------------------------------------

(a & b) See Note 3 of Notes to Financial Statements for information relating to
the Partnership Agreement and the allocation of distributions and profits and
losses.

See Note 7 of Notes to Financial Statements for additional information relating
to transactions with affiliates.

(c) No management person is indebted to the Registrant.

(d) The Registrant has no outstanding agreements with any promoters.
<PAGE>
                                    PART IV

Item 14. Exhibits, Financial Statement Schedule and Reports on Form 8-K
------------------------------------------------------------------------

(a)
(1 & 2) See Index to Financial Statements and Financial Statement Schedule in
this Form 10-K.

(3) Exhibits:

(3) The Amended and Restated Agreement and Certificate of Limited Partnership
of Balcor Equity Pension Investors-IV A Real Estate Limited Partnership,
previously filed as Exhibit 3 to Amendment No. 1 dated November 28, 1986 to the
Registrant's Registration Statement on Form S-11 (Registration No. 33-7133), is
hereby incorporated herein by reference.

(4) Form of Subscription Agreement set forth as Exhibit 4.1 to Amendment No. 1
to Registrant's Registration Statement on Form S-11 dated November 28, 1986
(Registration No. 33-7133) and Form of Confirmation regarding Interests in the
Registrant set forth as Exhibit 4.2 to the Registrant's Report on Form 10-Q for
the quarter ended June 30, 1992 (Commission File No. 0-15648) are incorporated
herein by reference.

(16) Letter from Ernst & Young LLP dated September 19, 1995 regarding the
change in the Registrant's certifying accountant previously filed as Exhibit 16
to the Registrant's Report on Form 8-K/A dated October 27, 1995 (Commission
File No. 0-15648) is hereby incorporated herein by reference.  

(27) Financial Data Schedule of the Registrant for 1995 is attached hereto.

(b) Reports on Form 8-K: A Current Report on form 8-K/A dated October 27, 1995,
amending the Current Report on Form 8-K dated September 19, 1995 reporting a
change in the Registrant's certifying public accountants, was filed (Commission
File No. 0-15648).

(c) Exhibits: See Item 14(a)(3) above.

(d) Financial Statement Schedule: See Index to Financial Statements and
Financial Statement Schedule attached hereto in this Form 10-K.
<PAGE>
SIGNATURES


Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of l934, the Registrant has duly caused this Report to be signed on its
behalf by the undersigned, thereunto duly authorized.

                         BALCOR EQUITY PENSION INVESTORS-IV
                         A REAL ESTATE LIMITED PARTNERSHIP


                         By: /s/Brian D. Parker
                             ------------------------------
                             Brian D. Parker
                             Senior Vice President, and Chief
                             Accounting and Financial Officer (Principal
                             Accounting and Financial Officer) of Balcor 
                             Equity Partners-IV, the General Partner

Date: March 28, 1996
      ------------------

Pursuant to the requirements of the Securities Exchange Act of 1934, this
Report has been signed below by the following persons on behalf of the
Registrant and in the capacities and on the dates indicated.

       Signature                     Title                       Date    
----------------------   ------------------------------------------------

                         President and Chief Executive
                         Officer (Principal Executive
                         Officer) of Balcor Equity
/s/Thomas E. Meador      Partners-IV, the General Partner   March 28, 1996
--------------------                                        --------------
  Thomas E. Meador
                         Senior Vice President, and Chief
                         Accounting and Financial Officer 
                         (Principal Accounting and Financial
                         Officer) of Balcor Equity
/s/Brian D. Parker       Partners-IV, the General Partner   March 28, 1996
--------------------                                        --------------
  Brian D. Parker
<PAGE>
        INDEX TO FINANCIAL STATEMENTS AND FINANCIAL STATEMENT SCHEDULE



Report of Independent Accountants

Report of Independent Auditors

Financial Statements:

Balance Sheets, December 31, 1995 and 1994

Statements of Partners' Capital, for the years ended December 31, 1995, 1994
and 1993

Statements of Income and Expenses, for the years ended December 31, 1995, 1994
and 1993

Statements of Cash Flows, for the years ended December 31, 1995, 1994 and 1993

Notes to Financial Statements

Financial Statement Schedule:

III - Real Estate and Accumulated Depreciation, as of December 31, 1995

Financial Statement Schedules, other than that listed, are omitted for the
reason that they are inapplicable or equivalent information has been included
elsewhere herein.
<PAGE>
                       REPORT OF INDEPENDENT ACCOUNTANTS


To the Partners of
Balcor Equity Pension Investors-IV
A Real Estate Limited Partnership:

We have audited the accompanying balance sheet and the financial statement
schedule of Balcor Equity Pension Investors-IV A Real Estate Limited
Partnership (An Illinois Limited Partnership) as of December 31, 1995 and the
related statements of partners' capital (deficit), income and expenses and cash
flows for the year then ended. These financial statements and the financial
statement schedule are the responsibility of the Partnership's management. Our
responsibility is to express an opinion on these financial statements and the
financial statement schedule based on our audit.

We conducted our audit in accordance with generally accepted auditing
standards. 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 management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable basis
for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Balcor Equity Pension
Investors-IV A Real Estate Limited Partnership (An Illinois Limited
Partnership) at December 31, 1995 and the results of its operations and its
cash flows for the year then ended in conformity with generally accepted
accounting principles. In addition, in our opinion, the financial statement
schedule referred to above, when considered in relation to the basic financial
statements taken as a whole, presents fairly, in all material respects, the
information required to be included therein.







                                   COOPERS & LYBRAND L.L.P.


Chicago, Illinois
March 20, 1996
<PAGE>
                        REPORT OF INDEPENDENT AUDITORS


To the Partners of
Balcor Equity Pension Investors-IV
A Real Estate Limited Partnership

We have audited the accompanying balance sheet of Balcor Equity Pension
Investors-IV A Real Estate Limited Partnership (An Illinois Limited
Partnership) as of December 31, 1994 and the related statements of partners'
capital, income and expenses and cash flows for each of the two years in the
period ended December 31, 1994. 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 generally accepted auditing
standards. 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 management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.

In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Balcor Equity Pension
Investors-IV A Real Estate Limited Partnership at December 31, 1994 and the
results of its operations and its cash flows for each of the two years in the
period ended December 31, 1994, in conformity with generally accepted
accounting principles. 



                              ERNST & YOUNG LLP


Chicago, Illinois
March 20, 1995
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                                BALANCE SHEETS
                          December 31, 1995 and 1994

                                    ASSETS

                                                  1995            1994
                                             -------------   -------------
Cash and cash equivalents                    $  3,389,826    $  3,612,180
Accounts and accrued interest receivable           87,630          70,246
Prepaid expenses                                   35,931
Deferred expenses, net of accumulated
  amortization of $9,779 in 1995 and
  $4,191 in 1994                                   46,105          51,693
                                             -------------   -------------
                                                3,559,492       3,734,119
                                             -------------   -------------
Investment in real estate:
  Land                                          6,958,341       6,958,341
  Buildings and improvements                   24,248,600      24,248,600
                                             -------------   -------------
                                               31,206,941      31,206,941
  Less accumulated depreciation                 9,171,989       8,363,940
                                             -------------   -------------
Investment in real estate, net of
  accumulated depreciation                     22,034,952      22,843,001
                                             -------------   -------------
Investment in joint venture
  with affiliates                               1,139,513       1,433,471
                                             -------------   -------------
                                             $ 26,733,957    $ 28,010,591
                                             =============   =============

                       LIABILITIES AND PARTNERS' CAPITAL

Accounts payable                             $    105,783    $     44,724
Due to affiliates                                  16,286          54,646
Accrued liabilities, principally                
  real estate taxes                             1,034,351       1,176,087
Security deposits                                  88,176         108,108
                                             -------------   -------------
    Total liabilities                           1,244,596       1,383,565
                                             -------------   -------------
Limited Partners' capital (185,486
  Interests issued and
  outstanding)                                 25,605,915      26,736,406
General Partner's deficit                        (116,554)       (109,380)
                                             -------------   -------------
    Total partners' capital                    25,489,361      26,627,026
                                             -------------   -------------
                                             $ 26,733,957    $ 28,010,591
                                             =============   =============

The accompanying notes are an integral part of the financial statements.
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                        STATEMENTS OF PARTNERS' CAPITAL
             for the years ended December 31, 1995, 1994 and 1993

                                   Partners' Capital (Deficit) Accounts
                                 ------------- ------------- -------------
                                                   General       Limited
                                      Total        Partner      Partners
                                 ------------- ------------- -------------
Balance at December 31, 1992     $ 29,408,145  $    (63,076) $ 29,471,221
Cash distributions to:
  Limited Partners (A)             (1,945,152)                 (1,945,152)
  General Partner                    (216,128)     (216,128)
Net income for the year
  ended December 31, 1993             339,089       188,500       150,589
                                 ------------- ------------- -------------
Balance at December 31, 1993       27,585,954       (90,704)   27,676,658
Cash distributions to:
  Limited Partners (A)             (1,892,752)                 (1,892,752)
  General Partner                    (210,306)     (210,306)
Net income for the year
  ended December 31, 1994           1,144,130       191,630       952,500
                                 ------------- ------------- -------------
Balance at December 31, 1994       26,627,026      (109,380)   26,736,406
Cash distributions to:
  Limited Partners (A)             (1,839,023)                 (1,839,023)
  General Partner                    (204,344)     (204,344)
Net income for the year
  ended December 31, 1995             905,702       197,170       708,532
                                 ------------- ------------- -------------
Balance at December 31, 1995     $ 25,489,361  $   (116,554) $ 25,605,915
                                 ============= ============= =============

(A)  Summary of cash distributions paid per Interest:

                                      1995          1994          1993
                                 ------------- ------------- -------------
Taxable
-----------------
  First Quarter                  $       3.24  $       2.50  $       2.57
  Second Quarter                         2.98          2.94          2.45
  Third Quarter                          2.86          3.08          2.56
  Fourth Quarter                         2.29          2.76          2.50
                                    
Tax-exempt                          
-----------------
  First Quarter                          2.50          2.59          2.50
  Second Quarter                         2.50          2.50          2.50
  Third Quarter                          2.50          2.50          2.50
  Fourth Quarter                         2.26          2.50          3.03

The accompanying notes are an integral part of the financial statements.
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                       STATEMENTS OF INCOME AND EXPENSES
             for the years ended December 31, 1995, 1994 and 1993

                                      1995          1994          1993
                                 ------------- ------------- -------------
Income:
  Rental                         $  3,724,300  $  3,677,124  $  3,433,321
  Service                           1,288,507     1,278,641     1,034,957
  Interest on short-term
    investments                       178,914       132,638        88,276
                                 ------------- ------------- -------------
    Total income                    5,191,721     5,088,403     4,556,554
                                 ------------- ------------- -------------

Expenses:
  Depreciation                        808,049       808,049       808,049
  Property operating                1,204,793     1,217,820       994,022
  Real estate taxes                 1,324,473     1,290,821     1,255,764
  Property management fees            250,356       296,144       233,191
  Administrative                      326,279       350,877       292,533
                                 ------------- ------------- -------------
    Total expenses                  3,913,950     3,963,711     3,583,559
                                 ------------- ------------- -------------
Income before participation in
 (loss) income of joint venture
 with affiliates                    1,277,771     1,124,692       972,995

Participation in (loss) income 
 of joint venture with
 affiliates                          (372,069)       19,438      (633,906)
                                 ------------- ------------- -------------
Net income                       $    905,702  $  1,144,130  $    339,089
                                 ============= ============= =============
Net income allocated to General
  Partner                        $    197,170  $    191,630  $    188,500
                                 ============= ============= =============
Net income allocated to Limited
  Partners                       $    708,532  $    952,500  $    150,589
                                 ============= ============= =============
Net income per Limited
  Partnership Interest (185,486
  issued and outstanding)        $       3.82  $       5.14  $       0.81
                                 ============= ============= =============

The accompanying notes are an integral part of the financial statements.
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                           STATEMENTS OF CASH FLOWS
             for the years ended December 31, 1995, 1994 and 1993

                                     1995          1994          1993
                                 ------------- ------------- -------------
Operating activities:
  Net income                     $    905,702  $  1,144,130  $    339,089
  Adjustments to reconcile net 
   income to net cash provided
   by operating activities:
     Participation in loss
      (income) of joint venture
      with affiliates                 372,069       (19,438)      633,906
     Depreciation of properties       808,049       808,049       808,049
     Amortization of deferred
      expenses                          5,588         4,191
     Payment of deferred expenses                   (55,884)
     Net change in:
       Accounts and accrued
          interest receivable         (17,384)      841,031       (82,785)
       Prepaid expenses               (35,931)
       Accounts payable                61,059         5,580       (18,489)
       Due to affiliates              (38,360)       22,213         4,378
       Accrued liabilities           (141,736)      239,914        72,360
       Security deposits              (19,932)       (7,629)       18,496
                                 ------------- ------------- -------------
  Net cash provided by 
    operating activities            1,899,124     2,982,157     1,775,004
                                 ------------- ------------- -------------
Investing activities:
  Capital contribution to joint
   venture - affiliates               (95,901)
  Distributions from joint
   venture - affiliates                17,790                     275,720
                                 -------------               -------------
  Net cash used in or provided
   by investing activities            (78,111)                    275,720
                                 -------------               -------------
Financing activities:
  Distributions to Limited 
    Partners                       (1,839,023)   (1,892,752)   (1,945,152)
  Distributions to General 
    Partner                          (204,344)     (210,306)     (216,128)
                                 ------------- ------------- -------------
  Cash used in financing 
    activities                     (2,043,367)   (2,103,058)   (2,161,280)
                                 ------------- ------------- -------------
Net change in cash and cash
  equivalents                        (222,354)      879,099      (110,556)
Cash and cash equivalents at
  beginning of year                 3,612,180     2,733,081     2,843,637
                                 ------------- ------------- -------------
Cash and cash equivalents at 
  end of year                    $  3,389,826  $  3,612,180  $  2,733,081
                                 ============= ============= =============

The accompanying notes are an integral part of the financial statements.
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                         NOTES TO FINANCIAL STATEMENTS

1. Nature of the Partnership's Business:

Balcor Equity Pension Investors-IV A Real Estate Limited Partnership ("the
Partnership") is engaged principally in the operation of residential,
commercial and retail real estate located in various markets within the United
States. 

2. Accounting Policies:

(a) The preparation of the financial statements in conformity with generally
accepted accounting principles requires the General Partner 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 vary from those estimates.

(b) Depreciation expense is computed using the straight-line method. Rates used
in the determination of depreciation are based upon the following estimated
useful lives:


               Buildings and improvements       25 to 30 years
               Furniture and fixtures           5 years

Maintenance and repairs are charged to expense when incurred. Expenditures for
improvements are charged to the related asset account.

(c) Effective January 1, 1995, the Partnership adopted Statement of Financial
Accounting Standards No. 121 (SFAS 121), "Accounting for the Impairment of
Long-Lived Assets and Long-Lived Assets to Be Disposed Of". Under SFAS 121, the
Partnership records its investments in real estate at the lower of cost or fair
value, and periodically assesses, but not less than on an annual basis,
possible impairment to the value of its properties. The General Partner
estimates the fair value of its properties by dividing the property's expected
net operating income by a risk adjusted rate of return which considers economic
and demographic conditions in the market. In the event the General Partner
determines an impairment in value has occurred, and the carrying amount of the
real estate asset will not be recovered, a provision is recorded to reduce the
carrying basis of the property to its estimated fair value. The General Partner
considers  the method referred to above to result in a reasonable measurement
of a property's fair value, unless other factors affecting the property's value
indicate otherwise.

Loan losses on mortgage notes receivable were charged to income when the
General Partner believed the loan balance would not be recovered.  The General
Partner assesses the collectibility of each loan on a periodic basis through a
review of the collateral property operations, the property value and the
borrower's ability to repay the loan.  Upon foreclosure, the loan balance was
transferred to real estate, after the fair value of the property less costs of
disposal were assessed.  Upon the transfer to real estate, a new basis in the
property was established consistent with Partnerships investment objectives to
<PAGE>
own income producing real property to be held for long-term appreciation, real
estate acquired through foreclosure was recorded as investment in real estate.

(d) Investment in joint venture with affiliates represents the Partnership's
15.22% interest, under the equity method of accounting, in a joint venture with
affiliated partnerships. Under the equity method of accounting, the Partnership
records its initial investment at cost and adjusts its investment account for
additional capital contributions, distributions and its share of joint venture
income or loss.

(e) Deferred expenses consist of leasing commissions which are amortized over
the life of each respective lease.

(f) Revenue is recognized on an accrual basis in accordance with generally
accepted accounting principles. Income from operating leases with significant
abatements and/or scheduled rent increases is recognized on a straight line
basis over the respective lease term. Service income includes reimbursements
from operating costs such as real estate taxes, maintenance and insurance and
is recognized as revenue in the period the applicable costs are incurred.

(g) The Financial Accounting Standard Board's Statement No. 107, "Disclosures
About Fair Value of Financial Instruments", requires disclosure of fair value
information about financial instruments for which it is practicable to estimate
that value. Statement No. 107 does not apply to all balance sheet items and
excludes certain financial instruments and all non-financial instruments such
as real estate from its disclosure requirements. 

(h) Cash and cash equivalents include all unrestricted highly liquid investments
with an original maturity of three months or less. Cash and cash equivalents are
held or invested primarily in one type of commercial paper.

(i) The Partnership is not liable for Federal income taxes and each Partner
recognizes his proportionate share of the Partnership income or loss in his tax
return; therefore, no provision for income taxes is made in the financial
statements of the Partnership.

(j) Several reclassifications have been made to the previously reported 1994
and 1993 financial statements to conform with the classifications used in 1995.
These reclassifications have not changed the 1994 and 1993 results.

3. Partnership Agreement:

The Partnership was organized on June 20, 1986; however, operations did not
commence until 1987. The Partnership Agreement provides for Balcor Equity
Partners-IV to be the General Partner and for the admission of Limited Partners
through the sale of up to 1,000,000 Limited Partnership Interests at $250 per
Interest, 185,486 of which were sold through December 14, 1987, the termination
date of the offering.

Pursuant to the terms set forth in the Partnership Agreement, "Operating Income
from Real Properties" of the Partnership will be allocated 10% to the General
Partner and 90% to the Limited Partners; "Operating Losses from Real
Properties" and certain other components will be allocated 1% to the General
Partner and 99% to the Limited Partners; and "Other 'Operating Income' or
'Operating Losses'" will be allocated 10% to the General Partner and 90% to the
Limited Partners.
<PAGE>
The Partnership Agreement provides for different allocations of profits and
losses and cash distributions to Limited Partners depending on whether the
investor originally acquiring the Limited Partnership interest was a taxable or
tax-exempt entity.

Ninety percent of Net Cash Receipts available for distribution will be
distributed to Limited Partners. To the extent possible, Taxable Limited
Partners will receive an allocation of such available Net Cash Receipts
generated by the operation of the Partnership's two properties in the same
manner as if their investment in the Partnership had been attributable solely
to the properties. Taxable Limited Partners will commence sharing in such
available Net Cash Receipts generated by the Partnership's investment in the 45
West 45th Street Office Building at such time as the Taxable Limited Partners'
investment in the Partnership is not then solely attributable to the two
properties (which time is anticipated to be upon the sale of both properties).
The Tax-exempt Limited Partners will be allocated all other Net Cash Receipts
to be allocated to the Limited Partners, consisting of (i) 100% of such
available Net Cash Receipts generated by the investment in the 45 West 45th
Street Office Building (until such time as both of the properties are sold, as
described above) plus (ii) the Net Cash Receipts generated by the operation of
the two properties, to the extent not allocated to the Taxable Limited Partners
as described above. Of the remaining 10% of Net Cash Receipts, 7 1/2% will be
paid to the General Partner as its distributive share from Partnership
operations and an additional 2 1/2% will be paid to the General Partner for
allocation to the Repurchase Fund, which may be utilized to repurchase
Interests from Limited Partners pursuant to the terms set forth in the
Partnership Agreement.

At the sole discretion of the General Partner and subject to certain
limitations, amounts placed in the Repurchase Fund have become available to be
used to repurchase Interests from existing Limited Partners. During 1995, the
General Partner used amounts placed in the Repurchase Fund to repurchase 414
Interests from Limited Partners at a cost of $70,752. An amount not to exceed
that originally allocated to the Repurchase Fund will be returned to the
Partnership at liquidation if necessary to permit payment to the Limited
Partners of their "Original Capital" plus any deficiency in their "Liquidation
Preference," as defined in the Partnership Agreement.

Subject to the provisions of the Partnership Agreement, "Net Cash Proceeds"
which are available for distribution will be distributed only to the Limited
Partners until such time as the Limited Partners have received a return of
their "Original Capital" and their "Liquidation Preference"; thereafter, the
remaining "Net Cash Proceeds" will be distributed 90% to the Limited Partners
and 10% to the General Partner. The General Partner's share shall be returned
to the Partnership if necessary to permit payment to the Limited Partners of
any deficiency in the return of their Original Capital and their Preferential
Cumulative Distribution on Adjusted Original Capital of 10% per annum.

4. Management Agreements:

As of December 31, 1995, both of the properties owned by the Partnership are
under management agreements with a third-party management company. These
management agreements provide for annual fees ranging from 3% to 6% of gross
operating receipts for the commercial property and of 5% for the residential
property.
<PAGE>
5. Investment in Joint Venture with Affiliates:

In 1995, the Partnership and three affiliates (the "Participants") acquired
title to the 45 West 45th Street Office Building. The Partnership's investment
had been reclassified from loan in substantive foreclosure to an investment in
joint venture with affiliates, effective January 1993, because in the General
Partner's opinion the borrower had effectively surrendered control of the
property. Profits and losses, all capital contributions and distributions are
allocated in accordance with the Participants' original funding percentages.
The Partnership's sharing percentage is 15.22%. During 1995 and 1993, the
Partnership recognized losses of $376,391 and $900,000, respectively, as its
share of the reduction in the carrying value of the property.  These amounts
are included in the Partnership's participation in (loss) income of joint
venture with affiliates.  In addition, during 1995 and 1993, the Partnership
received distributions from the joint venture totaling $17,790 and $275,720,
respectively; and made contributions of $95,901 in 1995.

6. Tax Accounting:

The Partnership keeps its books in accordance with the Internal Revenue Code,
rules and regulations promulgated thereunder and existing interpretations
thereof. The accompanying financial statements, which are prepared in
accordance with generally accepted accounting principles, will differ from the
tax returns due to the different treatment of various items as specified in the
Internal Revenue Code. The net effect of these accounting differences is that
the net income for 1995 in the financial statements is $2,134,334 greater than
the tax loss the same period. 

7. Transactions with Affiliates:

Fees and expenses paid and payable by the Partnership to affiliates are:

                            Year Ended       Year Ended       Year Ended
                             12/31/95         12/31/94         12/31/93   
                          --------------   --------------   --------------
                           Paid  Payable    Paid  Payable    Paid  Payable
                          ------ -------   ------ -------   ------ -------

Mortgage servicing fees   $ 1,484    None $  8,750 $   729 $  8,750 $   729
Property management fees     None    None  281,422    None  234,845  16,670
Reimbursement of expenses
  to the General Partner,
  at cost:
    Accounting             41,297   3,023   48,642  20,809   40,999   3,391
    Data processing        14,275   1,034   26,543   5,752   29,295   6,725
    Investor communica-
      tions                 7,470    None   18,961   6,461   19,128   1,582
    Legal                  12,945   1,493    8,311   3,497    3,978     329
    Portfolio management   73,979  10,736   27,917  12,020   25,055   2,072
    Other                   6,121    None   11,434   5,378   11,302     935

The Partnership participates in an insurance deductible program with other
affiliated partnerships in which the program pays claims up to the amount of
the deductible under the master insurance policies for its properties. The
program is administered by an affiliate of the General Partner who receives no
fee for administering the program, however, the General Partner is reimbursed
<PAGE>
for expenses. The Partnership paid premiums to the deductible insurance program
of $19,410, $26,864 and $17,378 for 1995, 1994 and 1993, respectively.

Allegiance Realty Group, Inc., an affiliate of the General Partner, managed
both of the Partnership's properties until the affiliate was sold to a third
party in November 1994.

8. Rentals under Operating Leases:

The Partnership receives rental income from the leasing of space at the
Evanston Plaza Shopping Center under operating leases. The minimum future
rentals (excluding amounts representing executory costs such as taxes,
maintenance and insurance) based on operating leases held at December 31, 1995
are approximately as follows:

                         1996           $1,602,000
                         1997            1,526,000
                         1998            1,392,000
                         1999            1,442,000
                         2000            1,438,000
                         Thereafter      7,780,000
                                       -----------
                                       $15,180,000
                                       ===========

These rentals include amounts relating to land leases which the Partnership
entered into with certain tenants of the shopping center.

Minimum rentals do not include amounts which may be received from certain
tenants based upon a percentage of their gross sales in excess of stipulated
minimums. Percentage rentals were not significant during 1995, 1994 and 1993.
The Partnership is subject to the usual business risks regarding the collection
of the rentals.

Approximately 24% and 17% of the space at Evanston Plaza Shopping Center is
leased to Office Depot and Frank's Nursery, respectively. Of the Partnership's
total rental income recognized during 1995, 30% and 21% relates to Office Depot
and Frank's Nursery, respectively. Office Depot's lease runs through September
2002, while Frank's Nursery's lease runs through August 2007.

9. Fair Values of Financial Instruments:

As of December 31, 1995, the carrying amounts of cash and cash equivalents,
accounts and accrued interest receivable and accounts payable approximate fair
value.

10. Subsequent Event:

In January 1996, the Partnership paid $419,733 to Limited Partners,
representing the regular quarterly distribution of available Cash Flow of $2.29
per Taxable Interest and $2.26 per Tax-exempt Interest for the fourth quarter
of 1995.
<PAGE>
                                   BALCOR EQUITY PENSION INVESTORS-IV
                                   A REAL ESTATE LIMITED PARTNERSHIP
                                   (An Illinois Limited Partnership)
<TABLE>
                        SCHEDULE III - REAL ESTATE AND ACCUMULATED DEPRECIATION
                                          as of December 31, 1995
<CAPTION>
        Col. A                 Col. B          Col. C                        Col. D 
---------------------         --------  --------------------   ---------------------------------
                                            Initial Cost                Cost Adjustments
                                           to Partnership          Subsequent to Acquisition
                                        --------------------   ---------------------------------
                                                  Buildings               Carrying     Reduction
                               Encum-              and Im-     Improve-    Costs        of Basis
     Description              brances     Land    provements    ments       (a)            (b)
---------------------         -------   -------- ------------ ---------  ---------     --------- 
<S>                             <C>  <C>         <C>          <C>         <C>       <C>
Evanston Plaza Shopping
  Center, approx.
  170,000 sq. ft. in
  Evanston, IL                  None  $5,075,000  $13,425,000  $1,091,667  $389,461  $(2,382,640)

Gleneagles Apartments,
  292 units in Dade
  County, FL                    None   2,270,000   11,130,000               208,453
                                      ----------  -----------  ----------  --------  -----------
    Total                             $7,345,000  $24,555,000  $1,091,667  $597,914  $(2,382,640)
                                      ==========  ===========  ==========  ========  ===========
</TABLE>
<PAGE>
                                   BALCOR EQUITY PENSION INVESTORS-IV
                                   A REAL ESTATE LIMITED PARTNERSHIP
                                   (An Illinois Limited Partnership)
<TABLE>
                        SCHEDULE III - REAL ESTATE AND ACCUMULATED DEPRECIATION
                                        as of December 31, 1995
<CAPTION>
       Col. A                          Col. E                 Col. F      Col. G   Col. H     Col. I
-------------------       --------------------------------   --------    --------  ------ --------------
                               Gross Amounts at Which                                      Life Upon
                             Carried at Close of Period                                   Which Depre- 
                          --------------------------------                                 ciation in   
                                    Buildings               Accumulated    Date     Date  Latest Income
                                     and Im-       Total     Deprecia-   of Con-    Acq-    Statement
    Description             Land    provements     (c)(d)     tion(d)    struction uired  is Computed  
-------------------      --------- -----------  ----------- -----------  --------- -----  --------------
<S>                    <C>         <C>         <C>          <C>             <C>    <C>         <C>
Evanston Plaza Shopping
  Center, approx.
  170,000 sq. ft. in
  Evanston, IL          $4,653,029 $12,945,459  $17,598,488  $4,543,030     1987   11/87       (e)

Gleneagles Apartments,
  292 units in Dade
  County, FL             2,305,312  11,303,141   13,608,453   4,628,959     1987    6/87       (e)
                        ---------- -----------  -----------  ----------

    Total               $6,958,341 $24,248,600  $31,206,941  $9,171,989
                        ========== ===========  ===========  ==========

See Notes (a) through (e) following.

</TABLE>
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                             NOTES TO SCHEDULE III

(a) Consists of acquisition fees, legal fees, appraisal fees, title costs and
other related professional fees.

(b) The carrying basis of the Evanston Plaza Shopping Center was reduced due to
a permanent impairment in the value of the property. In addition, any payments
to and receipts from the seller under a master lease agreement were treated as
adjustments to the basis of the property.

(c) The aggregate cost of land for Federal income tax purposes is $7,487,141
and the aggregate cost of buildings and improvements for Federal income tax
purposes is $26,441,518. The total of these assets is $33,928,659.

(d)                          Reconciliation of Real Estate
                             -----------------------------

                                       1995         1994         1993   
                                    ----------   ----------   ----------

    Balance at beginning of year   $31,206,941  $31,206,941  $31,206,941

                                   -----------  -----------  -----------
    Balance at end of year         $31,206,941  $31,206,941  $31,206,941
                                   ===========  ===========  ===========


                      Reconciliation of Accumulated Depreciation
                      ------------------------------------------


                                       1995         1994         1993   
                                    ----------   ----------   ----------

    Balance at beginning of year    $8,363,940   $7,555,891   $6,747,842

    Depreciation expense for
      the year                         808,049      808,049      808,049
                                    ----------   ----------   ----------

    Balance at end of year          $9,171,989   $8,363,940   $7,555,891
                                    ==========   ==========   ==========



(e) Depreciation expense is computed based upon the following estimated useful
lives:


               Buildings and improvements       25 to 30 years
               Furniture and fixtures            5 years
<PAGE>