U. S. SECURITIES AND EXCHANGE COMMISSION

                          WASHINGTON, DC 20549

                               FORM 10-QSB
(Mark One)

(  X )    QUARTERLY REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES
          EXCHANGE ACT OF 1934

     For the quarterly period ended March 31, 1998                       

(     )   TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE EXCHANGE ACT

     For the transition period from                     to               
          Commission File Number: 0-14453


                            National Real Estate Limited Partnership Income
Properties                                                               
    (Exact name of small business issuer as specified in its charter)

           Wisconsin                                                          
                    39-1503893                                            
(State or other jurisdiction of                                       (I.R.S.
Employer 
incorporation or organization)                                  
Identification Number)

                       1155 Quail Court, Pewaukee, Wisconsin  53072-3703 
                (Address of principal executive offices)

                             (414) 695-1400                              
                       (Issuer's telephone number)

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - N/A - - - - -
- - - - - - - - - - - - - - - - - - - - - - - - - - -
(Former name, former address and former fiscal year, 
if changed since last report)

Check whether the issuer (1) filed all reports required to be filed by
Sections 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        




       NATIONAL REAL ESTATE LIMITED PARTNERSHIP INCOME PROPERTIES




                                  INDEX




                                                                     PAGE

 PART I. FINANCIAL INFORMATION

     Balance Sheet (unaudited) - March 31, 1998
          and December 31, 1997. . . . . . . . . . . . . . . . . . . . .2

     Statement of Operations (unaudited) -
          Three months ended 
          March 31, 1998 and 1997. . . . . . . . . . . . . . . . . . . .3

     Statements of Cash Flows (unaudited) -
          Three months ended March 31, 1998  and 1997. . . . . . . . . .4

     Notes to Financial Statements (unaudited) . . . . . . . . . . . .5-6

     Management's Discussion and Analysis of
          Financial Condition and Results of Operation . . . . . . . . .7


PART II. OTHER INFORMATION AND SIGNATURES. . . . . . . . . . . . . . .8-9


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          PART I.  FINANCIAL INFORMATION                              

                                                                      

    NATIONAL REAL ESTATE LIMITED PARTNERSHIP - IP                     

    (A Wisconsin Limited Partnership)                                 

   Balance Sheet                                                      

     (Unaudited)                                                      

                                                                      

                                   March 31,                     December 31,
                                       1998                            1997
ASSETS                                                                

                                                                      

Current Assets                                                        

     Cash                    $     875526.38               $          790168

     Other assets                   20761.32                           14271

Other Assets                                                          

     Investment properties, at cost                                   

Land                                1047695.02                         1047695

Buildings and improvements          5649885.29                         5649885

                                                                      

                                    6697580.31                         6697580

                                                                      

Less accumulated depreciation       2395841.99                         2343748

                                                                      

                                    4301738.32                         4353832

                                                                      

                         $          5198025.02               $         5158271

                                                                      

LIABILITIES AND PARTNERS' CAPITAL                                     

                                                                      

Liabilities:                                                          

Tenantsecuritydeposits  $             5530.11               $            5530
                                                                      
                                                                      

Rents received in advance            31211.84                           29501

Accrued interest payable to Individual General Partner
                                     617914.85                          594982
                                                                      

Accrued expenses and other liabilities  95842.15                       80144

     Note payable to Individual General                               

Partner (Note 5)                      271020.3                          271020

                                                                      

                                     1021519.25                          981177

                                                                      

Partners' Capital (deficiency) (Note 5):                              

GeneralPartners$                  -114836.652               $         -114820
                                                                      

Limited Partners (authorized--10,000$                            

Interests; outstanding--9,034.01 Interests)    4313014.252              4313585
                                                                      

Less 29.86 Interests held in Treasury     -21671                       -21671

                                                                      

                                    4176505.6                         4177094

                                                                      

  $                                 5198024.85               $         5158271
                                                                      

     See notes to financial statements.                               

                                                                      
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NATIONAL REAL ESTATE LIMITEDPARTNERSHIP - IP THREE MONTHS ENDED          
                                                                         
                                              MARCH 31,
                                          1998                 1997 
                                                                   
INCOME                                                                
                                                                     
Operaing income                         231832                211716    
Other income                             26676.63               25069     
                                                                         
Total Income                             258500                236785         
                                                                        
OPERATING EXPENSES                                                        

Property operating expenses              98356.78              119293   
Depreciation                             52094.28               51471 
Interest expense                         22932.07               20171          
Administrative expense                   44748.72               62389  
                                                                         
        Total Expenses                  218131.85              253324  
                                                                      
                                                                       
Income(Loss) from operations             40368.27               16539  
                                                                        
Other Income (Expenses)                                                
     Interest income                      545                   12856       
                                             
                                 $       45824.74    $          -3683 
                     
Net Income(Loss)                                                     
Net Income (Loss) attributable to                                    
                                                                            
                                 $      1374.7422                -110 
General Partners (3%)
Net Income (Loss) attributable to                                    
                                 $     44449.9978        $       -3572.51       
                                                                      
Limited                                               
Partners(97%)                                                         
Per Limited Partnership Interest                                     
                                  $  4.93661231765        $ -0.39676260391     
                                                                   
Outstanding--9,004.15Interests                                          
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NATIONAL REAL ESTATE LIMITED PARTNERSHIP - IP                         

      (A Wisconsin Limited Partnership)                               

           Statement of Cash Flows                                    

(Unaudited)                                                           

                                       Three Months Ended             

                                        March 31,                   

                                        1998                            1997

Operating Activities                                                  

             $                      45824.74       $                   -3683
 Net                                                                  
income                                                                
(loss) forthe period                                                  
                                                                      

Adjustments to reconcile net income (loss) to               $ 

net cash used in operating activities:               $      
Depreciation                        52093.99                           51471

                                                                      

                                                                      

        Changes in operating assets and                               

          liabilities:                                                

Escrow deposits & other assets       -6490.32                           3435

Tenant security deposits                0.11                             -70

Rents received in advance            1710.84                            5363

Accrued expenses and other liabilities          38631                  23540

                                                                      

                                                                      

NET CASH PROVIDED BY          131771.36                           80056

               OPERATING ACTIVITIES                                   

                                                                      

                                                                      

     Investing activities:                                            

Additions to investment property  0.30999999959                         2453

                                                                      

     Financing activities:                                            

Distributions to partners          -46413.14                          -46413

                                                                      

     INCREASE IN CASH               85358.53                           36096

                                                                      

Cash at beginning of period          790168                      785086
                                                                      

                                                                      

              $                     875526.53       $                  821182
                                                                      
                                                                      
CASH AT                                                               
END OF                                                                
PERIOD                                                                

                                                                      

See notes to financial statements.                                    

                                                                      
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       NATIONAL REAL ESTATE LIMITED PARTNERSHIP INCOME PROPERTIES
                    (A WISCONSIN LIMITED PARTNERSHIP)
                      NOTES TO FINANCIAL STATEMENTS
                               (UNAUDITED)
                             MARCH 31, 1998


1.   In the opinion of the General Partners, the accompanying unaudited
financial statements contain all
     adjustments (consisting of normal recurring accruals) which are necessary
for a fair presentation. The
     statements, which do not include all of the information and footnotes
required by generally accepted
     accounting principles for complete financial statements, should be read
in conjunction with the
     National Real Estate Limited Partnership Income Properties annual report
for the year ended
     December 31, 1997. Refer to the footnotes of those statements for
additional details on the
     Partnership's financial condition. The operating results for the period
ended March 31, 1998, may not
     be indicative of the operating results for the entire year.

2.   National Real Estate Limited Partnership Income Properties (the
"Partnership") was organized under
     the Wisconsin Uniform Limited Partnership Act pursuant to a Certificate
of Limited Partnership dated
     December 18, 1984, for the purpose of investing in residential,
commercial, and industrial real
     properties. John Vishnevsky and National Development and Investment,
Inc., contributed the sum
     of $6,000 to the Partnership as General Partners. The Limited Partnership
Agreement authorizes the
     issuance of 10,000 Limited Partnership Interests (the "Interests") at
$1,000 per Interest with the
     offering period commencing January 31, 1985. Upon conclusion of the
offering in December 1986,
     the Partnership had raised $9,024,556 in capital representing 
9,034.01 Interests.

3.   National Realty Management, Inc. (NRMI): The Partnership incurred
property management fees of
     $14,092 under an agreement with NRMI for the period presented.

4.   Real estate taxes are charged to operations based on actual taxes paid
for the prior year and are
     adjusted for normal annual increases. Taxes for Tucson Lock-It Lockers,
Phoenix Lock-It Lockers,
     Cave Creek Lock-It Lockers, and Northridge Commons are being accrued
monthly at $5,274,
     $2,184, $434, and $2,429, respectively. 

5.   Changes in Partners' Equity:        Limited           General
                                            Partners      Partners    Total     
     Quarter Ended March 31, 1998
 Partner's Equity, beginning of quarter  $4,291,914     $(114,820) $4,177,094 
 Distributions                          (   45,021)      ( 1,392) (  46,413)
 Net Income (Loss)                  44,450     1,375     45,825 
 Partners' Equity, end of quarter       $4,291,343 $(114,837)$4,176,506 

     Limited Partner's equity is net of 29.86 interests held in
 treasury of ($21,671).

 Quarter Ended March 31, 1997
 Partner's Equity, beginning of quarter  $4,413,028 $(111,076)$4,301,952 
 Distributions            (   45,021)( 1,392)(  46,413)
 Net Income (Loss)              (     3,572)       111   ( 3,683)
 Partners' Equity, end of quarter       $4,364,435 $(112,579)$4,251,856 

     Limited Partner's equity is net of 29.86 interests held in
 treasury of ($21,671).

6.   As outlined in the prospectus, the General Partners agreed to make loans
to the Partnership up to an
     aggregate of 3% of the gross proceeds of the offering to the extent
necessary to provide distributions
     to the limited partners at annualized rates equal to 8% in 1985, 8.25% in
1986, and 8.5% in 1987.
     The loan will be repaid solely from sales proceeds, with compounding
interest equal to the cost of
     their funds or 12%, whichever is lower. As of March 31, 1998, interest
totaling $617,915 has
     accrued.

7.   Northridge Commons' tenants pay monthly fixed rent payments plus
estimated charges for taxes,
     costs of insurance premiums, administrative costs, and operating expenses
with respect to common
     areas.

8.   In accordance with FASB Statement No. 121, "Accounting for the Impairment
of Long-Lived Assets
     and for Long-Lived Assets to be Disposed Of," the Partnership records
impairment losses on
     long-lived assets used in operations when events and circumstances
indicate that the assets might be
     impaired and the undiscounted cash flows estimated to be generated by
those assets are less than the
     carrying amounts of those assets. During 1996, the Partnership determined
that an impairment to the
     asset value of a retail shopping center known as Northridge Commons had
occurred, resulting from
     the loss of a significant anchor tenant and deteriorating market
conditions caused by an economically
     depressed area where the property is located. Based on these factors, the
Partnership wrote down
     assets with a carrying value of approximately $1,880,000 by $785,000 to
their estimated fair value.
     Fair value was based on estimated future cash flows to be generated from
the property, discounted
     at a market rate of interest.



       NATIONAL REAL ESTATE LIMITED PARTNERSHIP INCOME PROPERTIES
                    (A WISCONSIN LIMITED PARTNERSHIP)
                 MANAGEMENT'S DISCUSSION AND ANALYSIS OF
              FINANCIAL CONDITION AND RESULTS OF OPERATIONS
                             MARCH 31, 1998 

The Partnership currently owns and operates four investment properties; Tucson
Lock-It Lockers, a 49,885
net rentable square foot mini warehouse complex in Tucson, Arizona; Phoenix
Lock-It Lockers, a 58,766
net rentable square foot mini warehouse complex in Phoenix, Arizona; a portion
of Cave Creek Lock-It
Lockers containing 8,236 of 46,028 net rentable square feet in Phoenix,
Arizona; and Northridge Commons,
a 20,700 net rentable square foot community shopping center in Milwaukee, 
Wisconsin.

National Real Estate Limited Partnership Income Properties-II ("NRELPIP-II")
owns the remaining portion
of Cave Creek Lock-It-Lockers. NRELPIP-II is a Wisconsin limited partnership,
affiliated with the General
partners.

Occupancy based upon net rentable square feet for the first quarter averaged
96.74% for Tucson Lock-It
Lockers; 96.02% for Phoenix Lock-It Lockers; 91.55% for Northridge Commons;
and 93.28% for Cave
Creek Lock-It Lockers. This compares to an average of 95.03% for Tucson
Lock-It Lockers; 96.03% for
Phoenix Lock-It Lockers; 67.19% for Northridge Commons; and 94.12% for Cave
Creek Lock-It Lockers
during the same period of 1997.

Partnership net income increased $49,508 for the quarter ended March 31, 1998,
as compared to the quarter
ended March 31, 1997. The increase in net income was due to an increase in
operating income of $20,107,
an increase in other income of $1,608, and a decrease in operating expenses of
$35,192. These increases to
net income were slightly offset by a decrease in interest income of $7,399.

Operating income increased $20,107 from $211,716 in the first quarter of 1997
to $231,823 for the first
quarter of 1998. This increase in operating income was primarily due to the
reduced vacancies at Northridge
Commons as a result of management's increased efforts to lease available space.

The decrease in operating expenses of $35,192 was primarily the result of
reduced property operating
expenses and reduced administrative expenses. Operating expenses decreased
primarily due to the reduced
pest control expenses at the Tucson Lock-It-Lockers facility and the timing of
yellow pages advertising at
the Cave Creek Lock-It-Lockers. Administrative expenses decreased primarily
due to the timing of audit fees
incurred.

Cash distributions for the quarter ended March 31, 1998, and March 31, 1997,
were $46,413 and $46,413,
respectively. These distributions were allocated, as required, 97% to the
Limited partners and 3% to the
General Partners.




PART II. OTHER INFORMATION



ITEM 6(B). REPORTS ON FORM 8-K

There were no reports on Form 8-K for the quarter ended March 31, 1998.

                               SIGNATURES



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



                National Real Estate Limited Partnership
                                 Income Properties                       
                              (Registrant)   




Date        /S/May 15, 1998                     /S/        John Vishnevsky
                         John Vishnevsky
                     President and Chief Operating and
                         Executive Officer
                     National Development and Investment, Inc.
                     Corporate General Partner


Date       /S/May 15, 1998                      /S/        John Vishnevsky 
                        John Vishnevsky
                          Chief Financial and Accounting Officer



Date       /S/May 15, 1998                                Stephen P. Kotecki
                      Stephen P. Kotecki
                    President 
                     EC Corp
                     Corporate General Partner

                               SIGNATURES



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



                National Real Estate Limited Partnership
                                   Income Properties                     
                     (Registrant)




Date        May 15, 1998                                                 
                                       John Vishnevsky
                          President and Chief Operating and
                                   Executive Officer
                         National Development and Investment, Inc.
                              Corporate General Partner



Date        May 15, 1998                                                 
                                    John Vishnevsky
                         Chief Financial and Accounting Officer



Date        May 15, 1998                                                 
                     Stephen P. Kotecki
                                    President 
                                    EC Corp
                              Corporate General Partner











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