SECURITIES AND EXCHANGE COMMISSION
                        Washington D.C.   20549



                               FORM 10-Q



              Quarterly Report Under Section 13 or 15(d)
                of the Securities Exchange Act of 1934




For the quarter ended 
March 31, 1998                              Commission file #0-16976  




                       ARVIDA/JMB PARTNERS, L.P.
        (Exact name of registrant as specified in its charter)



                Delaware                    36-3507015                
      (State of organization)      (IRS Employer Identification No.)  



  900 N. Michigan Avenue., Chicago, IL        60611                   
 (Address of principal executive office)     (Zip Code)               




Registrant's telephone number, including area code 312/440-4800




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 a shorter period that
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.  Yes [ X ]   No [   ]



<PAGE>


                           TABLE OF CONTENTS




PART I     FINANCIAL INFORMATION


Item 1.    Financial Statements . . . . . . . . . . . . . .      3


Item 2.    Management's Discussion and Analysis of 
           Financial Condition and Results of 
           Operations . . . . . . . . . . . . . . . . . . .     20




PART II    OTHER INFORMATION


Item 1.    Legal Proceedings. . . . . . . . . . . . . . . .     23

Item 6.    Exhibits and Reports on Form 8-K . . . . . . . .     26



<PAGE>


<TABLE>
PART I.  FINANCIAL INFORMATION

     ITEM 1.  FINANCIAL STATEMENTS

                                         ARVIDA/JMB PARTNERS, L.P.
                                          (A LIMITED PARTNERSHIP)
                                         AND CONSOLIDATED VENTURES

                                        CONSOLIDATED BALANCE SHEETS

                                   MARCH 31, 1998 AND DECEMBER 31, 1997

                                                (UNAUDITED)

                                                  ASSETS
                                                  ------

<CAPTION>
                                                                             MARCH 31,     DECEMBER 31,
                                                                               1998           1997     
                                                                          -------------    ----------- 
<S>                                                                       <C>             <C>          
Cash and cash equivalents . . . . . . . . . . . . . . . . . . . . . .      $ 41,093,890     79,411,195 
Restricted cash . . . . . . . . . . . . . . . . . . . . . . . . . . .        13,999,885     12,444,016 
Trade and other accounts receivable (net of allowance for doubtful 
  accounts of $846,330 at March 31, 1998 and $692,940 at 
  December 31, 1997). . . . . . . . . . . . . . . . . . . . . . . . .        29,942,614     14,062,505 
Mortgages receivable, net . . . . . . . . . . . . . . . . . . . . . .           194,181        384,445 
Real estate inventories . . . . . . . . . . . . . . . . . . . . . . .       163,179,694    163,423,873 
Property and equipment held for disposition or sale . . . . . . . . .         6,953,465      6,484,713 
Property and equipment, net . . . . . . . . . . . . . . . . . . . . .        34,793,051     35,279,528 
Investments in and advances to joint ventures, net. . . . . . . . . .         1,095,294      2,151,694 
Equity memberships. . . . . . . . . . . . . . . . . . . . . . . . . .         2,719,375      4,180,733 
Amounts due from affiliates, net. . . . . . . . . . . . . . . . . . .           911,959        665,134 
Prepaid expenses and other assets . . . . . . . . . . . . . . . . . .         8,015,481      8,135,020 
                                                                           ------------   ------------ 

          Total assets. . . . . . . . . . . . . . . . . . . . . . . .      $302,898,889    326,622,856 
                                                                           ============   ============ 



<PAGE>


                                         ARVIDA/JMB PARTNERS, L.P.
                                          (A LIMITED PARTNERSHIP)
                                         AND CONSOLIDATED VENTURES

                                  CONSOLIDATED BALANCE SHEETS (CONTINUED)

(UNAUDITED)

                                LIABILITIES AND PARTNERS' CAPITAL ACCOUNTS
                                ------------------------------------------

                                                                            MARCH 31,      DECEMBER 31,
                                                                              1998            1997     
                                                                          -------------    ----------- 
Liabilities:
  Accounts payable. . . . . . . . . . . . . . . . . . . . . . . . . .     $  18,414,707     16,260,574 
  Deposits. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        27,954,311     21,930,275 
  Accrued expenses and other liabilities. . . . . . . . . . . . . . .        11,536,616     13,057,290 
  Notes and mortgages payable, net. . . . . . . . . . . . . . . . . .        69,561,326     78,136,007 
                                                                           ------------   ------------ 
  Commitments and contingencies 

          Total liabilities . . . . . . . . . . . . . . . . . . . . .       127,466,960    129,384,146 
                                                                           ------------   ------------ 

Partners' capital accounts:
  General Partner and Associate Limited Partners:
    Capital contributions . . . . . . . . . . . . . . . . . . . . . .            20,000         20,000 
    Cumulative net income . . . . . . . . . . . . . . . . . . . . . .        41,232,400     39,766,027 
    Cumulative cash distributions . . . . . . . . . . . . . . . . . .       (40,193,765)   (38,508,251)
                                                                           ------------   ------------ 
                                                                              1,058,635      1,277,776 
                                                                           ------------   ------------ 
  Limited Partners:
    Capital contributions, net of offering costs. . . . . . . . . . .       364,841,815    364,841,815 
    Cumulative net income . . . . . . . . . . . . . . . . . . . . . .        87,349,050     78,613,984 
    Cumulative cash distributions . . . . . . . . . . . . . . . . . .      (277,817,571)  (247,494,865)
                                                                           ------------   ------------ 
                                                                            174,373,294    195,960,934 
                                                                           ------------   ------------ 
          Total partners' capital accounts. . . . . . . . . . . . . .       175,431,929    197,238,710 
                                                                           ------------   ------------ 

          Total liabilities and partners' capital . . . . . . . . . .      $302,898,889    326,622,856 
                                                                           ============   ============ 


<FN>
                                The accompanying notes are an integral part
                                of these consolidated financial statements.
</TABLE>


<PAGE>


<TABLE>
                                         ARVIDA/JMB PARTNERS, L.P.
                                   CONSOLIDATED STATEMENTS OF OPERATIONS

                                THREE MONTHS ENDED MARCH 31, 1998 AND 1997

                                                (UNAUDITED)

<CAPTION>

                                                                                1998            1997    
                                                                            ------------    ----------- 
<S>                                                                        <C>             <C>          
Revenues:
  Housing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $54,458,407     32,769,964 
  Homesites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    1,997,337      2,175,179 
  Land and property . . . . . . . . . . . . . . . . . . . . . . . . . . . .    2,186,100        458,560 
  Operating properties. . . . . . . . . . . . . . . . . . . . . . . . . . .    5,301,122      9,201,038 
  Brokerage and other operations. . . . . . . . . . . . . . . . . . . . . .    5,544,433      5,460,779 
                                                                             -----------     ---------- 
        Total revenues. . . . . . . . . . . . . . . . . . . . . . . . . . .   69,487,399     50,065,520 
                                                                             -----------     ---------- 
Cost of revenues:
  Housing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   42,550,998     28,576,922 
  Homesites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .    1,287,031      1,276,919 
  Land and property . . . . . . . . . . . . . . . . . . . . . . . . . . . .    1,729,319        243,013 
  Operating properties. . . . . . . . . . . . . . . . . . . . . . . . . . .    4,577,996      7,400,630 
  Brokerage and other operations. . . . . . . . . . . . . . . . . . . . . .    5,001,468      5,331,916 
                                                                             -----------     ---------- 
        Total cost of revenues. . . . . . . . . . . . . . . . . . . . . . .   55,146,812     42,829,400 
                                                                             -----------     ---------- 
Gross operating profit. . . . . . . . . . . . . . . . . . . . . . . . . . .   14,340,587      7,236,120 
Selling, general and administrative expenses. . . . . . . . . . . . . . . .   (4,361,317)    (7,100,669)
                                                                             -----------     ---------- 
        Net operating income. . . . . . . . . . . . . . . . . . . . . . . .    9,979,270        135,451 

Interest income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      980,740        827,917 
Equity in earnings of unconsolidated ventures . . . . . . . . . . . . . . .       77,122         47,141 
Interest and real estate taxes, net . . . . . . . . . . . . . . . . . . . .     (835,693)      (932,567)
                                                                             -----------     ---------- 


<PAGE>


                                         ARVIDA/JMB PARTNERS, L.P.

                             CONSOLIDATED STATEMENTS OF OPERATIONS - CONTINUED



                                                                                1998            1997    
                                                                            ------------    ----------- 

        Net income. . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $10,201,439         77,942 
                                                                             ===========     ========== 

        Net income per Limited 
          Partnership Interest. . . . . . . . . . . . . . . . . . . . . . .  $     21.62          (2.51)
                                                                             ===========     ========== 

        Cash distributions per 
          Limited Partnership 
          Interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $     75.06          60.04 
                                                                             ===========     ========== 




























<FN>
          The accompanying notes are an integral part of these consolidated financial statements.
</TABLE>


<PAGE>


<TABLE>
                                         ARVIDA/JMB PARTNERS, L.P.
                                          (A LIMITED PARTNERSHIP)
                                         AND CONSOLIDATED VENTURES

                                   CONSOLIDATED STATEMENTS OF CASH FLOWS

                                THREE MONTHS ENDED MARCH 31, 1998 AND 1997

                                                (UNAUDITED)

<CAPTION>
                                                                                1998            1997    
                                                                            ------------    ----------- 
<S>                                                                        <C>             <C>          
Net income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  $10,201,439         77,942 
Charges (credits) to net income not requiring (providing) cash:
  Depreciation and amortization . . . . . . . . . . . . . . . . . . . . . .      796,466      1,129,407 
  Equity in earnings of unconsolidated ventures . . . . . . . . . . . . . .      (77,122)       (47,140)
  Provision for doubtful accounts . . . . . . . . . . . . . . . . . . . . .      (21,632)           301 
  Gain on sale of joint venture interest. . . . . . . . . . . . . . . . . .     (450,546)         --    
Changes in:
  Restricted cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   (1,555,869)      (545,994)
  Trade and other accounts receivable . . . . . . . . . . . . . . . . . . .  (15,858,477)    (1,266,127)
  Real estate inventories:
    Additions to real estate inventories. . . . . . . . . . . . . . . . . .  (39,099,103)   (39,623,100)
    Cost of sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   41,624,332     28,111,121 
    Capitalized interest. . . . . . . . . . . . . . . . . . . . . . . . . .   (1,610,999)      (634,529)
    Capitalized real estate taxes . . . . . . . . . . . . . . . . . . . . .     (819,865)    (1,027,557)
  Equity memberships. . . . . . . . . . . . . . . . . . . . . . . . . . . .    1,461,358        183,148 
  Amounts due from affiliates, net. . . . . . . . . . . . . . . . . . . . .     (246,825)       (53,577)
  Prepaid expenses and other assets . . . . . . . . . . . . . . . . . . . .       57,038       (778,374)
  Accounts payable, accrued expenses and other liabilities. . . . . . . . .      626,238     (3,873,132)
  Deposits and unearned income. . . . . . . . . . . . . . . . . . . . . . .    6,024,036      2,184,148 
                                                                            ------------    ----------- 

          Net cash provided by (used in) operating activities . . . . . . .    1,050,469    (12,191,997)
                                                                            ------------    ----------- 


<PAGE>


                                         ARVIDA/JMB PARTNERS, L.P.
                                          (A LIMITED PARTNERSHIP)
                                         AND CONSOLIDATED VENTURES

                             CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)



                                                                                1998            1997    
                                                                            ------------    ----------- 
Cash flows from investing activities:
  Mortgages receivable. . . . . . . . . . . . . . . . . . . . . . . . . . .      190,264        372,686 
  Acquisitions of property and equipment. . . . . . . . . . . . . . . . . .     (716,241)    (1,019,248)
  Joint venture distributions . . . . . . . . . . . . . . . . . . . . . . .       70,128          --    
  Proceeds from sale of joint venture interest. . . . . . . . . . . . . . .    1,670,976          --    
                                                                            ------------    ----------- 
          Net cash provided by (used in) investing activities . . . . . . .    1,215,127       (646,562)
                                                                            ------------    ----------- 
Cash flows from financing activities:
  Proceeds from notes and mortgages payable . . . . . . . . . . . . . . . .    4,612,751        133,211 
  Payments of notes and mortgages payable . . . . . . . . . . . . . . . . .  (13,187,432)    (6,237,658)
  Distributions to General Partner and Associate Limited Partners . . . . .   (1,685,514)    (1,347,117)
  Distributions to Limited Partners . . . . . . . . . . . . . . . . . . . .  (30,322,706)   (24,255,372)
                                                                            ------------    ----------- 
          Net cash used in financing activities . . . . . . . . . . . . . .  (40,582,901)   (31,706,936)
                                                                            ------------    ----------- 
Decrease in Cash and cash equivalents . . . . . . . . . . . . . . . . . . .  (38,317,305)   (44,545,495)

Cash and cash equivalents, beginning of year. . . . . . . . . . . . . . . .   79,411,195     53,635,737 
                                                                            ------------    ----------- 
Cash and cash equivalents, end of period. . . . . . . . . . . . . . . . . . $ 41,093,890      9,090,242 
                                                                            ============    =========== 
Supplemental disclosure of cash flow information:
  Cash paid for mortgage and other interest, net of amounts capitalized . . $    248,482          --    
                                                                            ============    =========== 
  Non-cash investing and financing activities . . . . . . . . . . . . . . . $      --             --    
                                                                            ============    =========== 











<FN>
          The accompanying notes are an integral part of these consolidated financial statements.
</TABLE>


<PAGE>


                       ARVIDA/JMB PARTNERS, L.P.
                        (A LIMITED PARTNERSHIP)
                       AND CONSOLIDATED VENTURES

              NOTES TO CONSOLIDATED FINANCIAL STATEMENTS 

                        MARCH 31, 1998 AND 1997

                              (UNAUDITED)


     Readers of this quarterly report should refer to the Partnership's
audited financial statements for the fiscal year ended December 31, 1997,
which are included in the Partnership's 1997 Annual Report on Form 10-K
(File No. 0-16976) filed on March 31, 1998, as certain footnote disclosures
which would substantially duplicate those contained in such audited
financial statements have been omitted from this report.  Capitalized terms
used but not defined in this quarterly report have the same meanings as in
the Partnership's 1997 Annual Report.

GENERAL

     Capitalized Interest and Real Estate Taxes

     Interest, including the amortization of loan fees, of $1,610,999 and
$634,529 was incurred for the three months ended March 31, 1998 and 1997,
respectively, all of which was capitalized.  Interest payments, including
amounts capitalized, of $1,859,481 and $560,626 were made during the three
months ended March 31, 1998 and 1997, respectively.  The increase in
interest incurred and paid during the three months ended March 31, 1998 as
compared to the same period in 1997 is due to the Partnership obtaining a
new credit facility on July 31, 1997, as discussed in detail in the "Notes
and Mortgages Payable" section of the Notes.

     Real estate taxes of $1,655,558 and $1,958,124 were incurred for the
three months ended March 31, 1998 and 1997, respectively, of which $819,865
and $1,025,557 were capitalized, respectively.  The decrease in real estate
taxes incurred during the three months ended March 31, 1998 as compared to
the same period in 1997 is due to the sale of several of the Partnership's
operating properties during the fourth quarter of 1997.  Real estate tax
payments of $66,386 and $112,643 were made during the three months ended
March 31, 1998 and 1997, respectively.  In addition, real estate tax
reimbursements totaling $256,774 and $244,706 were received from the
Partnership's escrow agent during the three months ended March 31, 1998 and
1997, respectively.  The preceding analysis of real estate taxes does not
include real estate taxes incurred or paid with respect to the Partner-
ship's club facilities and other operating properties as these taxes are
included in cost of revenues for operating properties.

     Property and Equipment and Other Assets

     Depreciation expense of $733,966 and $1,072,628 was incurred for the
three months ended March 31, 1998 and 1997, respectively.  Amortization of
other assets, excluding loan fees, of $0 and $20,199 was incurred for the
three months ended March 31, 1998 and 1997, respectively.  Amortization of
loan fees, which is included in interest expense, of $62,500 and $36,580
was incurred for the three months ended March 31, 1998 and 1997,
respectively.  The decrease in depreciation expense for the three months
ended March 31, 1998 as compared to the same period in 1997 is due
primarily to the sale of several of the Partnership's operating properties
during the fourth quarter of 1997.



<PAGE>


     Partnership Distributions

     During February 1998, the Partnership made a distribution for 1997 of
$30,300,000 to its Holders of Interests ($75.00 per Interest) and
$1,683,313 to the General Partner and Associate Limited Partners,
collectively.  These distributions are the primary cause for the decrease
in Cash and cash equivalents at March 31, 1998 as compared to December 31,
1997.  In addition, during 1998 distributions totaling $22,706
(approximately $.06 per Interest) were deemed to be paid to the Holders of
Interests, as they were remitted to North Carolina tax authorities on their
behalf for the 1997 non-resident withholding tax.  Distributions totaling
$2,201 were also deemed to be made during 1998 to the General Partner and
Associate Limited Partners, collectively, as such amount was remitted to
the North Carolina tax authorities on their behalf.

     Reclassifications

     Certain reclassifications have been made to the 1997 financial
statements to conform to the 1998 presentation.

NOTES AND MORTGAGES PAYABLE

     The Partnership's credit facility consists of a $75 million term loan,
a $20 million revolving line of credit and a $5 million letter of credit
facility.  This credit facility matures on July 31, 2001.  The term loan
has annual scheduled principal repayments of $12.5 million, as well as
additional annual principal repayments based upon a specified percentage or
amount of the Partnership's available cash.  The maximum required principal
repayments, including the scheduled repayments, generally will not exceed
$18.75 million per annum.  The remaining outstanding balance on the
facility is due upon maturity.  In February 1998, the Partnership prepaid
the $12.5 million principal repayment scheduled for July 1998.  Interest on
the facility is based, at the Partnership's option, on the relevant LIBOR
plus 2.25% per annum or Barnett's prime rate (8.5% at March 31, 1998).  The
Partnership has obtained interest rate swaps covering two-thirds of the
outstanding balance of the term loan.  The interest rate swap agreements
terminate July 31, 2001.  The Partnership paid loan fees totaling 1% of the
total facility upon the closing of the loan.  Such fees have been
capitalized and are being amortized over the life of the loan.  The term
loan, revolving line of credit and letter of credit facility are secured by
recorded mortgages on real property of the Partnership (including certain
of its consolidated ventures) and pledges of certain other assets.  All of
the loans under this facility are cross-collateralized and cross-defaulted.

At March 31, 1998, the balances outstanding on the term loan, the revolving
line of credit and the letter of credit facility were approximately
$56,250,000, $0 and $1,327,000, respectively.  For the three month period
ended March 31, 1998, the combined effective interest rate for the
Partnership's credit facilities, including the amortization of loan
origination fees, was approximately 8.8% per annum.

     Due to the replacement of the Partnership's previous letter of credit
facility by the new credit facility, which is discussed above, the
Partnership was required to post approximately $4.2 million in cash as
collateral with its previous lender for the letters of credit which
continue to be obligations of that lender.  Such letters of credit are
expected to be replaced by either letters of credit issued under the new
credit facility or by bonds.  Once the letters of credit are replaced, the
cash collateral will be released to the Partnership.  As of March 31, 1998,
approximately $1.4 million of such cash collateral had been released to the
Partnership due to the replacement of the letters of credit issued by the
previous lender, leaving a balance outstanding under this previous letter
of credit facility of approximately $2.8 million.



<PAGE>


     Construction of one of the two remaining buildings to be completed at
Arvida's Grand Bay commenced in 1997.  Revenues recognized for this
building under the percentage of completion method of accounting are the
primary cause for the increase in housing revenues for the three month
period ended March 31, 1998 as compared to the same period in 1997, as well
as the increase in Trade and other accounts receivable on the accompanying
consolidated balance sheets at March 31, 1998 as compared to December 31,
1997.  During 1998, the Partnership continued to borrow against its $21
million revolving construction line of credit to fund the construction of
this building.  This line of credit bears interest at the lender's prime
rate (8.5% at March 31, 1998) plus 1/2% per annum and matures in August
1999.  At March 31, 1998, there was approximately $8,592,000 outstanding
under this line of credit, which is expected to be repaid with future
proceeds from sales of units within this building.  The Partnership
anticipates it will borrow additional funds under this line of credit
during 1998 for the remaining building to be constructed within Arvida's
Grand Bay.

INVESTMENTS IN AND ADVANCES TO JOINT VENTURES

     During July 1997, the Partnership entered into a joint venture
agreement with an unaffiliated third party to form A&D Title, L.P.  The
joint venture was formed to act as an agent in connection with the issuance
of title insurance, primarily related to closings in the Partnership's
Weston community.  The Partnership obtained a 50% ownership interest in the
joint venture, and is accounting for its investment in accordance with the
equity method of accounting.

     During August 1997, the remaining properties owned by the Tampa 301
Associates and Ocala 202 joint ventures were sold.  The net profit
generated by the sales of these properties resulted in approximately
$91,000 of earnings for the Partnership.

     In January 1998, the Partnership sold its approximate 33% interest in
the H.A.E. Joint Venture to one of its venture partners.  This sale is
reflected in land and property revenues and cost of revenues on the
accompanying consolidated statements of operations, and is the primary
cause for the increase in land and property operations for the period ended
March 31, 1998 as compared to the same period in 1997.  This sale is also
the primary cause for the decrease in Investments in and advances to joint
ventures on the accompanying consolidated balance sheets at March 31, 1998
as compared to December 31, 1997.

     In April 1998, the Metrodrama Joint Venture closed on the sale of
approximately 29 acres of undeveloped commercial property to an
unaffiliated third party.  This transaction generated a profit for
financial reporting and Federal income tax purposes.

TRANSACTIONS WITH AFFILIATES

     The Partnership, subject to certain limitations, may engage affiliates
of the General Partner for property management, insurance and certain other
administrative services to be performed in connection with the
administration of the Partnership and its assets.  The total of such costs
for the three months ended March 31, 1998 was approximately $26,200, all of
which was paid as of March 31, 1998.  The total of such costs for the three
months ended March 31, 1997 was approximately $37,600.  In addition, the
General Partner and its affiliates are entitled to reimbursements for
salaries and salary-related costs relating to the administration of the
Partnership and the operation of the Partnership's properties.  Such costs
were approximately $66,100 and $131,700 for the three months ended
March 31, 1998 and 1997, respectively, all of which were paid as of
March 31, 1998.



<PAGE>


     The Partnership receives reimbursements from or reimburses other
affiliates of the General Partner engaged in real estate activities for
certain general and administrative costs including, and without limitation,
salary and salary-related costs relating to work performed by employees of
the Partnership and certain out-of-pocket expenditures incurred on behalf
of such affiliates.  For the three month period ended March 31, 1998, the
amount of such costs incurred by the Partnership on behalf of these
affiliates totaled approximately $470,400.  At March 31, 1998, approxi-
mately $282,900 was owed to the Partnership, of which approximately
$138,000 was received as of May 12, 1998.  For the three month period ended
March 31, 1997, the Partnership was entitled to reimbursements of
approximately $242,000.

     Prior to June 1996, the Partnership and Arvida/JMB Partners, L.P.-II
(a publicly-held limited partnership affiliated with the General Partner)
each employed project related and administrative personnel who performed
services on behalf of both partnerships.  In addition, certain out-of-
pocket expenditures related to such services and other general and
administrative costs were incurred and charged to each partnership as
appropriate.  The Partnership receives reimbursements from Arvida/JMB
Partners, L.P.-II for these costs (including salary and salary-related
costs).  Subsequent to June 1996, Arvida/JMB Partners, L.P.-II no longer
employed any project-related or administrative personnel and incurred no
costs on behalf of the Partnership.  For the three month periods ended
March 31, 1998 and 1997, the Partnership was entitled to receive
approximately $45,000 and $31,000, respectively, from Arvida/JMB Partners,
L.P.-II.  At March 31, 1998, approximately $28,200 was owed to the
Partnership, all of which was received as of May 12, 1998.

     Through December 31, 1997, Arvida Company ("Arvida"), pursuant to an
agreement with the Partnership, provided development and management
supervisory and advisory services and personnel therefore to the
Partnership for all of its projects and operations.  Pursuant to such
agreement, the Partnership reimbursed Arvida for all of its out-of-pocket
expenditures (including salary and salary-related costs), subject to
certain limitations.  The total of such costs for the three month period
ended March 31, 1997 was approximately $1,149,000, all of which was paid as
of March 31, 1998.  In addition, the Partnership was owed approximately
$47,100 from Arvida at March 31, 1998, for overpayments of certain salary
and salary related costs from 1997, none of which was paid as of May 12,
1998.

     In November 1997, St. Joe Corporation, an unaffiliated third party,
completed its acquisition of a majority interest in St. Joe/Arvida Company,
L.P. ("St. Joe/Arvida"), which acquired the major assets of Arvida.  In
connection with this transaction, Arvida entered into a sub-management
agreement with St. Joe/Arvida, effective January 1, 1998, whereby St.
Joe/Arvida provides (and is reimbursed for) a substantial portion of the
development and management supervisory and advisory services (and personnel
with respect thereto) to the Partnership that Arvida would otherwise
provide pursuant to its management agreement with the Partnership. 
Effective January 1, 1998, St. Joe/Arvida employs most of the same
personnel previously employed by Arvida, and the services provided to the
Partnership pursuant to this sub-management agreement are provided by the
same personnel.  Affiliates of JMB Realty Corporation own a minority
interest in St. Joe/Arvida.  The transaction did not involve the sale of
any assets of the Partnership, nor the sale of the General Partner's
interest in the Partnership.

     For the three month period ended March 31, 1998, the Partnership was
obligated to reimburse St. Joe/Arvida approximately $1,106,400.  Of this
amount, approximately $136,700 was unpaid at March 31, 1998, all of which
was paid as of May 12, 1998.  In addition, the Partnership receives
reimbursement from St. Joe/Arvida for certain general and administrative
costs including, and without limitation, salary and salary-related costs


<PAGE>


relating to work performed by employees of the Partnership on behalf of St.
Joe/Arvida.  For the three month period ended March 31, 1998, the
Partnership was entitled to receive approximately $128,800 from St.
Joe/Arvida.  Of this amount, approximately $66,600 was owed to the
Partnership at March 31, 1998, of which approximately $57,800 was received
as of May 12, 1998.

     The Partnership pays for certain general and administrative costs on
behalf of its equity clubs, homeowners associations and maintenance
associations (including salary and salary-related costs and legal fees). 
The Partnership receives reimbursements from these entities for such costs.

For the three month periods ended March 31, 1998 and 1997, the Partnership
was entitled to receive approximately $279,000 and $268,500, respectively,
from these entities.  At March 31, 1998, approximately $48,000 was owed to
the Partnership, of which approximately $34,800 was received as of May 12,
1998.  In addition, the Partnership owes its equity clubs for certain costs
incurred by the clubs which are obligations of the Partnership.  For the
three month periods ended March 31, 1998 and 1997, the Partnership was
obligated to reimburse its equity clubs approximately $32,300 and $6,200,
respectively.  At March 31, 1998, approximately $25,800 was unpaid, all of
which was paid as of May 12, 1998.

     The Partnership, pursuant to certain agreements, provides management
and other personnel and services to certain of its equity clubs.  Pursuant
to these agreements, the Partnership is entitled to receive management fees
for the services provided to these clubs.  For the three months ended
March 31, 1998 and 1997, the Partnership was entitled to receive
approximately $143,000 and $129,300, respectively.  At March 31, 1998,
approximately $499,600 was unpaid (including amounts owed from the previous
year), none of which was received as of May 12, 1998.

     The Partnership funds working capital advances and operating deficits
of its equity clubs, as well as operating deficits of its homeowners
associations as required or deemed necessary.  The working capital advances
are non-interest bearing, short-term in nature, and are expected to be
reimbursed from future cash flows of the equity clubs.  The funding of
operating deficits is expensed by the Partnership.  The Partnership also
funds, at its option, certain capital expenditures of its equity clubs.  At
March 31, 1998, the Partnership owed one of its equity clubs approximately
$242,400 for capital expenditures made by the club (net of working capital
advances made to the club) which the Partnership agreed to fund, none of
which was paid as of May 12, 1998.  In addition, the Partnership owed one
of its homeowner associations approximately $38,300 for prior year amounts
funded by the association which were the Partnership's obligation, none of
which was paid as of May 12, 1998.

     The Partnership periodically incurs salary and salary-related costs on
behalf of an affiliate of the General Partner of the Partnership.  The
Partnership was entitled to receive approximately $342,200 and $239,700 for
such costs for the three months ended March 31, 1998 and 1997,
respectively, of which approximately $382,800 was owed to the Partnership
at March 31, 1998 (including amounts owed from the previous year), none of
which was received as of May 12, 1998.

     In accordance with the Partnership Agreement, the General Partner and
Associate Limited Partners have deferred a portion of their distributions
of net cash flow from the Partnership totaling approximately $7,994,000 as
of March 31, 1998.  This amount does not bear interest and is expected to
be paid in future periods subject to certain restrictions contained in the
partnership agreement of the Partnership.  In addition, in connection with
the settlement of certain litigation, the General Partner and the Associate
Limited Partners deferred approximately $1,259,000 of their share of the
August 1997 distribution which was otherwise distributable to them, and
such deferred distribution amount was used by the Partnership to pay a
portion of the legal fees and expenses in such litigation.  The General
Partner and Associate Limited Partners will be entitled to receive such
deferred amount after the Holders of Interests have received a specified
amount of distributions from the Partnership after July 1, 1996.



<PAGE>


     All amounts receivable from or payable to the General Partner or its
affiliates do not bear interest and are expected to be paid in future
periods.

COMMITMENTS AND CONTINGENCIES

     As security for performance of certain development obligations, the
Partnership is contingently liable under standby letters of credit and
performance bonds for approximately $1,327,000 and $9,717,000, respec-
tively, at March 31, 1998.  In addition, certain joint ventures in which
the Partnership holds an interest are also contingently liable under
performance bonds for approximately $1,050,000 at March 31, 1998.

     On or about September 27, 1996, a lawsuit entitled Vanderbilt Income
and Growth Associates, L.L.C. and Raleigh Capital Associates L.P.,
individually and derivatively on behalf of Arvida/JMB Partners, L.P. v.
Arvida/JMB Managers, Inc., Judd D. Malkin, Neil G. Bluhm, Burton E. Glazov,
Stuart C. Nathan, A. Lee Sacks, John G. Schreiber, BSS Capital II, L.L.C.,
Starwood Capital Group I, L.P., Starwood/Florida Funding, L.L.C., Starwood
Opportunity Fund, IV, L.P. and Barry Sternlicht, Defendants, and Arvida/JMB
Partners, L.P., nominal defendant, was filed in the Court of Chancery of
the State of Delaware in and for New Castle County, Civil Action No. 15238
("Raleigh action").  The Raleigh action was filed as a verified complaint
for declaratory and injunctive relief.  Plaintiffs claimed that the
defendants, in entering into a financing commitment letter for a proposed
$160 million term loan from Starwood/Florida Funding L.L.C. (the "Starwood
financing"), violated, or aided and abetted, or participated in the
violation of, fiduciary duties owed to the Partnership and the Holders of
Interests, and put their personal interests ahead of the interests of the
Partnership and the Holders of Interests.  In the first claim for relief,
plaintiffs sought a declaratory judgment that the terms of the Starwood
financing be declared null, void and unenforceable.  In the second claim
for relief, plaintiffs asserted a claim derivatively on behalf of the
Partnership alleging, among other things, that the financing commitment
letter for the Starwood financing was not the product of a valid exercise
of business judgment.  In addition to relief described above, plaintiffs
sought to preliminarily and permanently enjoin any actions in furtherance
of the financing commitment letter, an award of compensatory damages,
interest, costs and disbursements, including reasonable attorneys' and
experts' fees and such other relief as the Court might deem just and
proper.  The General Partner and the Partnership filed a motion to dismiss
the Raleigh action, which motion was granted on November 7, 1996.  In
granting the motion, the Court held that Raleigh was not a Limited Partner
and did not have standing to file the derivative claims.  The Court further
determined that Raleigh did not have the right to vote.  Plaintiffs asked
the Court to reconsider its ruling, but the Court denied the request to
change its ruling.

     Plaintiffs appealed the November 7, 1996 dismissal order.  On
December 12, 1996, the Delaware Supreme Court reversed the trial court
order on a procedural ground.  The Delaware Supreme Court concluded that
the trial court should not have considered matters outside of the pleadings
in dismissing the Raleigh action without providing the plaintiffs some
limited discovery.  Accordingly, the Delaware Supreme Court remanded the
case back to the trial court for further proceedings.

     On December 16, 1996, the Partnership filed a counterclaim against
Vanderbilt Income and Growth Associates, L.L.C. and Raleigh Capital
Associates L.P. ("Raleigh"), seeking a declaratory judgment that Raleigh
had no right to vote on Partnership matters.  On January 28, 1997, the
trial court granted plaintiffs leave to dismiss their own complaint
concerning the Starwood financing, leaving the Partnership's counterclaim
pending.



<PAGE>


     By letter dated January 10, 1997, Raleigh requested admission as a
Substituted Limited Partner of the Partnership.  The Partnership referred
the request to a special committee (the "Special Committee") consisting of
certain directors of the General Partners.  On February 11, 1997, the
Special Committee denied the request.  Thereafter, the Partnership
supplemented its counterclaim, as amended, to seek a court declaration that
Raleigh is not entitled to be admitted as a Substituted Limited Partner. 
On February 20, 1997, Raleigh filed a reply and counterclaim against the
Partnership, the General Partner, and the Special Committee.  The reply
counterclaim sought, among other things, a declaration that Raleigh has
voting rights in the Partnership and that defendants' breached their
fiduciary duties by failing to admit Raleigh as a Substituted Limited
Partner.  The reply counterclaim also sought to enjoin the Partnership, the
General Partner, and the Special Committee from refusing to admit Raleigh
as a Substituted Limited Partner, an award of damages, interest, fees, and
costs.

     On or about February 28, 1997, Gladys Beasley, individually and as a
representative of a class of persons similarly situated, filed an
intervenor complaint for declaratory relief against the Partnership.  In
the intervenor complaint, plaintiff sought a declaration that purchasers
who obtained Interests in the Partnership in the public offering and
subsequent Holders of Interests in the Partnership by assignment from
original Holders have the same voting rights in the Partnership, among
other things, to remove and replace the General Partner.  In addition,
plaintiff Gladys Beasley sought an order adjudging and decreeing that the
intervenor action was properly maintained as a class, an award of her costs
and expenses of the litigation, and such other relief as the Court deemed
appropriate.

     The trial of all claims in the Raleigh action was held on April 7,
1997 through April 9, 1997.  In a memorandum opinion dated May 23, 1997,
the Court concluded that, while neither the partnership agreement nor the
assignment agreement of the Partnership expressly states whether subsequent
Holders of Interests have voting rights, a reasonable investor could have
read the operative agreements as providing that subsequent Holders of
Interests, such as Raleigh, have voting rights.  The Partnership believes,
among other things, that the Court erred in its application of the law to
the facts on this issue and is appealing the Court's decision on this
aspect of the case.  On the issue of whether the Special Committee properly
denied Raleigh's request for admission as a Substituted Limited Partner,
the Court upheld the denial of Raleigh's request.

     The Partnership was named a defendant in a number of homeowner
lawsuits, certain of which purported to be class actions, that allegedly in
part arose out of or related to Hurricane Andrew, which on August 24, 1992
resulted in damage to a former community development known as Country Walk.

The homeowner lawsuits alleged, among other things, that the damage
suffered by the plaintiffs' homes and/or condominiums within Country Walk
was beyond what could have been reasonably expected from the hurricane
and/or was a result of the defendants' alleged defective design,
construction, inspection and/or other improper conduct in connection with
the development, construction and sales of such homes and condominiums,
including alleged building code violations.  The various plaintiffs sought
varying and, in some cases, unspecified amounts of compensatory damages and
other relief.  

     Several of these lawsuits alleged that the Partnership was liable,
among other reasons, as a result of its own alleged acts of misconduct or
as a result of the Partnership's alleged assumption of Arvida Corporation's
liabilities in connection with the Partnership's purchase of Arvida
Corporation's assets from Disney in 1987, which included certain assets
related to the Country Walk development.  Pursuant to the agreement to
purchase such assets, the Partnership obtained indemnification by Disney
for certain liabilities relating to facts or circumstances arising or
occurring prior to the closing of the Partnership's purchase of the assets.

Over 80% of the Arvida-built homes in Country Walk were built prior to the


<PAGE>


Partnership's ownership of the Community.  The Partnership has tendered
each of the above-described lawsuits to Disney for defense and
indemnification in whole or in part pursuant to the Partnership's
indemnification rights.  Where appropriate, the Partnership has also
tendered these lawsuits to its various insurance carriers for defense and
coverage.  The Partnership is unable to determine at this time to what
extent damages in these lawsuits, if any, against the Partnership, as well
as the Partnership's cost of investigating and defending the lawsuits, will
ultimately be recoverable by the Partnership either pursuant to its rights
of indemnification by Disney or under contracts of insurance.

     One of the Partnership's insurance carriers has been funding
settlements of various litigation related to Hurricane Andrew.  In some,
but not all, instances, the insurance carrier has provided the Partnership
with written reservation of rights letters.  The aggregate amount of the
settlements funded to date by this carrier is approximately $8.0 million. 
The insurance carrier that funded these settlements pursuant to certain
reservations of rights has stated its position that it has done so pursuant
to various non-waiver agreements.  The carrier's position was that these
non-waiver agreements permitted the carrier to fund settlements without
preventing the carrier from raising insurance coverage issues or waiving
such coverage issues.  On May 23, 1995, the insurance carrier rescinded the
various non-waiver agreements currently in effect regarding the remainder
of the Hurricane Andrew litigation, allegedly without waiving any future
coverage defenses, conditions, limitations, or rights.  For this and other
reasons, the extent to which the insurance carrier may recover any of these
proceeds from the Partnership is uncertain.  Therefore, the accompanying
consolidated financial statements do not reflect any accruals related to
this matter.

     Currently, the Partnership is involved in three subrogation lawsuits. 
On April 19, 1993, a subrogation claim entitled Village Homes at Country
Walk Master Maintenance Association, Inc. v. Arvida Corporation et al., was
filed in the 11th Judicial Circuit for Dade County.  Plaintiffs filed this
suit for the use and benefit of American Reliance Insurance Company
("American Reliance").  In this suit, as amended, plaintiffs seek to
recover damages and pre- and post-judgment interest in connection with
$10,873,000 American Reliance has allegedly paid, plus amounts it may have
to pay in the future, to the condominium association at Country Walk in the
wake of Hurricane Andrew.  Disney is also a defendant in this suit.  The
Partnership believes that the amount of this claim that allegedly relates
to units it built and sold is approximately $3,600,000.  Plaintiffs also
seek a declaratory judgment seeking to hold the Partnership and other
defendants responsible for amounts American Reliance must pay in the future
to its insured as additional damages beyond the $10,873,000 previously
paid.  The Partnership has filed motions directed to the complaint, as
amended, and the litigation is in the discovery stage.  The Partnership
intends to vigorously defend itself.  On or about May 10, 1996, a
subrogation claim entitled Juarez et al. v. Arvida Corporation et al. was
filed in the Circuit Court of the Eleventh Judicial Circuit in and for Dade
County.  Plaintiffs filed this suit for the use and benefit of American
Reliance.  In this suit, plaintiffs seek to recover damages, pre-and post-
judgment interest, costs and any other relief the Court may deem just and
proper in connection with $3,200,000 American Reliance allegedly paid on
specified claims at Country Walk in the wake of Hurricane Andrew.  Disney
is also a defendant in this suit.  The Partnership is advised that the
amount of this claim that allegedly relates to units it sold is
approximately $350,000.  The Partnership intends to defend itself
vigorously in this matter.  On April 24, 1997, the Metropolitan Property
and Casualty Company ("Metropolitan") filed a lawsuit entitled Metropolitan
Property and Casualty Company v. Arvida/JMB Partners in the Circuit Court
of the 11th Judicial Circuit in and for Dade County for subrogation in
which it seeks compensatory damages, costs, interest and any other relief
the court may deem just in connection with money Metropolitan allegedly
paid to its homeowner insureds in the wake of Hurricane Andrew. 
Metropolitan has advised the Partnership that in connection with this suit


<PAGE>


there are three claims, totaling approximately $505,000.  The Partnership
could be named in other subrogation actions, and in such event, the
Partnership intends to vigorously defend itself in such actions.  Due to
the uncertainty of the outcome of these subrogation actions, the
accompanying consolidated financial statements do not reflect any accruals
related to these matters.

     The Partnership has been advised by Merrill Lynch, Pierce, Fenner &
Smith Incorporated ("Merrill Lynch") that various investors have sought to
compel Merrill Lynch to arbitrate claims brought by certain investors of
the Partnership representing approximately 5% of the total of approximately
404,000 Interests outstanding.  Merrill Lynch has asked the Partnership and
its General Partner to confirm an obligation of the Partnership and its
General Partner to indemnify Merrill Lynch in these claims against all
loss, liability, claim, damage and expense, including without limitation
attorneys' fees and expenses, under the terms of a certain Agency Agreement
dated September 15, 1987 ("Agency Agreement") with the Partnership relating
to the sale of Interests through Merrill Lynch on behalf of the
Partnership.  These claimants have sought and are seeking to arbitrate
claims involving unspecified damages against Merrill Lynch based on Merrill
Lynch's alleged violation of applicable state and/or federal securities
laws and alleged violations of the rules of the National Association of
Securities Dealers, Inc., together with pendent state law claims.  The
Partnership believes that Merrill Lynch has resolved some of these claims
through litigation and otherwise, and that Merrill Lynch is defending other
claims.  The Agency Agreement generally provides that the Partnership and
its General Partner shall indemnify Merrill Lynch against losses occasioned
by any actual or alleged misstatements or omissions of material facts in
the Partnership's offering materials used in connection with the sale of
Interests and suffered by Merrill Lynch in performing its duties under the
Agency Agreement, under certain specified conditions.  The Agency Agreement
also generally provides, under certain conditions, that Merrill Lynch shall
indemnify the Partnership and its General Partner for losses suffered by
the Partnership and occasioned by certain specified conduct by Merrill
Lynch in the course of Merrill Lynch's solicitation of subscriptions for,
and sale of, Interests.  The Partnership is unable to determine the
ultimate investment of investors who have filed arbitration claims as to
which Merrill Lynch might seek indemnification in the future.  At this
time, and based upon the information presently available about the
arbitration statements of claims filed by some of these investors, the
Partnership and its General Partner believe that they have meritorious
defenses to demands for indemnification made by Merrill Lynch and intend to
vigorously pursue such defenses.  Although there can be no assurance
regarding the outcome of the claims for indemnification, at this time,
based on information presently available about such arbitration statements
of claims, the Partnership and its General Partner do not believe that the
demands for indemnification by Merrill Lynch will have a material adverse
effect on the financial condition of the Partnership.

     On or about October 16, 1995, a lawsuit was filed against the
Partnership and others in the Circuit Court of the 15th Judicial Circuit,
in and for Palm Beach County, Florida, entitled Council of Villages, Inc.
et al v. Arvida/JMB Partners, Arvida/JMB Managers, Inc., Arvida/JMB
Partners, Ltd., Broken Sound Club, Inc., and Country Club Maintenance
Association, Inc.  The multi-count complaint, as amended, is brought as a
class action, and individually, on behalf of various residents of the
Broken Sound Community, and alleges that defendants engaged in various acts
of misconduct in, among other things, the establishment, operation,
management and marketing of the Broken Sound golf course and recreational
facilities, as well as the alleged improper failure to turn over such
facilities to the Broken Sound homeowners on a timely basis.  Plaintiffs
seek, through various theories, including but not limited to breach of
ordinance, fiduciary duty, fraud and civil theft, damages in excess of $45
million, the appointment of a receiver for the Broken Sound Club, other
unspecified compensatory damages, the right to seek punitive damages,
treble damages, prejudgment interest, attorneys' fees and costs.  The
Partnership believes that the lawsuit is without merit and intends to
vigorously defend itself in this matter.


<PAGE>


     On or about July 30, 1996, Savoy v. Arvida/JMB Partners, Arvida/JMB
Managers, Inc., Arvida/JMB Partners, Ltd., and Broken Sound Club, Inc. was
filed against the Partnership and others in the Circuit Court of the 15th
Judicial Circuit, in and for Palm Beach County, Florida.  The lawsuit is
filed as a three-count complaint for dissolution of the Broken Sound Club,
Inc. ("Club"), and seeks, among other things, the appointment of a
custodian or receiver for the Club, a determination that certain acts be
deemed wrongful, the return to the Club of in excess of $2.5 million in
alleged "operating profits", an injunction against the charging of certain
dues, an injunction requiring the Club to produce certain financial
statements, and such other relief as the Court deems just, fair and proper.

This action has been consolidated with the Council of Villages case.  The
Partnership believes the lawsuit is without merit and intends to vigorously
defend itself.

     In April 1997, the Court issued an order certifying as a class action
claims respecting the alleged violation of the Boca Raton ordinances.  Both
plaintiffs and defendants have appealed the certification order. 
Plaintiffs in the Savoy action moved for an appointment to a receiver over
the Club.  The Partnership moved to strike the motion and the Court granted
the Partnership's motion.  The Partnership has filed a third-party
complaint for indemnification and contribution against Disney in these
consolidated actions in the event the Partnership is held liable for acts
taken by a subsidiary of Disney prior to the Partnership's involvement in
the Club and property.

     The Partnership owns a 50% joint venture interest in 31 commercial/
industrial acres in Pompano Beach, Florida, which is encumbered by a
mortgage loan in the principal amount of approximately $3.4 million at
March 31, 1998.  During April 1992, as a result of the Partnership's
previous determination that the development of the land was no longer
economically profitable, the Partnership and its joint venture partner each
tendered payment in the amount of approximately $3.1 million to the lender
for their respective shares of the guarantee payment required under the
loan agreement and certain other holding costs, the majority of which
reduced the outstanding mortgage loan to its current balance.  The venture
also intended at that time to convey title to the property to the lender;
however, such conveyance was deferred until resolution of certain general
development obligations of the venture as well as certain environmental
issues.  The joint venture had been negotiating with the lender regarding
the scope of the development work required to be done.   Negotiations with
the lender were unsuccessful, and the lender filed a lawsuit entitled
Bankers' Trust Company v. Arvida/JMB Partners, L.P., et al., Case No. 95-
2780 in the Broward County Circuit Court in which the lender asserted,
among other things, that the mortgage loan was with recourse to the joint
venture partners as a result of the partners' failure to perform in
accordance with the terms of the loan agreement.  The lender demanded
payment of the outstanding loan balance plus interest thereon.  The lawsuit
has been resolved.  On or about July 18, 1997, the parties entered into an
agreement for the settlement of the lawsuit which provided for, among other
things, the payment of $300,000 by the Partnership, $300,000 on behalf of
the joint venture partner, the payment of back taxes on the property by the
joint venture in the amount of $302,398, a commitment by the joint venture
to remediate the property on or before June 30, 2000 in accordance with the
settlement agreement, issuance of a new non-recourse note, a mortgage
modification and dismissal of the lawsuit with prejudice and without costs.

With respect to the environmental issues, the previous owner remains
obligated to undertake the clean-up.  The clean-up began in July 1994, and
the first phase of the remedial action plan was completed in October 1994. 
Further action plans are now being discussed with state environmental
officials.  If the previous owner is unable to fulfill all its obligations
as they relate to this environmental issue, the joint venture and
ultimately the Partnership may be obligated for such costs.  Should this
occur, the Partnership does not anticipate the cost of this clean-up to be
material to its operations.



<PAGE>


     The Partnership is also a defendant in several actions brought against
it arising in the normal course of business.  It is the belief of the
General Partner, based on knowledge of facts and advice of counsel, that
the claims made against the Partnership in such actions will not result in
any material adverse effect on the Partnership's consolidated financial
position or results of operations.

     The Partnership may be responsible for funding certain other ancillary
activities for related entities in the ordinary course of business which
the Partnership does not currently believe will have any material adverse
effect on its consolidated financial position or results of operations.

IMPACT OF RECENTLY ISSUED ACCOUNTING STANDARDS

     The Partnership adopted the Financial Accounting Standard's Board's
Statement No. 121, "Accounting for the Impairment of Long-Lived Assets and
for Long-Lived Assets to Be Disposed Of", effective January 1, 1995.  In
accordance with Statement No. 121, the Partnership discontinued recording
depreciation on its assets held for disposal in the first quarter of 1997. 
The combined results of operations for the Partnership's assets held for
disposal totaled approximately $0.3 million and $1.8 million for the three
months ended March 31, 1998 and 1997, respectively, and are included in
operating properties revenues and cost of revenues on the accompanying
consolidated statements of operations.  The Partnership requires no
impairment losses or other adjustments to be recorded as of March 31, 1998.


ADJUSTMENTS

     In the opinion of the General Partner, all adjustments (consisting
solely of normal recurring adjustments) necessary for a fair presentation
have been made to the accompanying consolidated financial statements as of
March 31, 1998 and December 31, 1997 and for the three months ended
March 31, 1998 and 1997.



<PAGE>


PART I.  FINANCIAL INFORMATION

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

     Reference is made to the notes to the accompanying consolidated
financial statements ("Notes") contained in this report for additional
information concerning the Partnership and its operations.

     At March 31, 1998 and December 31, 1997, the Partnership had cash and
cash equivalents of approximately $41,094,000 and $79,411,000,
respectively.  The decrease in Cash and cash equivalents at March 31, 1998
as compared to December 31, 1997 is due primarily to distributions to
partners and Holders of Interests made during February 1998 totaling
approximately $32 million.

     Pursuant to Section 5.5 J of the Partnership Agreement, on October 23,
1997, the Board of Directors of the General Partner met and approved a
resolution selecting the option set forth in Section 5.5 J.(i)(c) of the
Partnership Agreement for the Partnership to commence an orderly
disposition of its remaining assets that is to be completed within the next
five years.

     The Partnership's credit facility consists of a $75 million term loan,
a $20 million revolving line of credit and a $5 million letter of credit
facility.  This credit facility matures on July 31, 2001.  The term loan
has annual scheduled principal repayments of $12.5 million, as well as
additional annual principal repayments based upon a specified percentage or
amount of the Partnership's available cash.  The maximum principal
repayments, including the scheduled repayments, generally will not exceed
$18.75 million per annum.  The remaining outstanding balance on the new
facility is due upon maturity.  In February 1998, the Partnership prepaid
the $12.5 million principal repayment scheduled for July 1998.  Interest on
the facility is based, at the Partnership's option, on the relevant LIBOR
plus 2.25% per annum or Barnett's prime rate.  The Partnership has obtained
interest rate swaps covering two-thirds of the outstanding balance of the
term loan.  The interest rate swap agreements terminate July 31, 2001.  The
Partnership paid loan fees totaling 1% of the total facility upon the
closing of the loan.  Such fees have been capitalized and are being
amortized over the life of the loan.  In addition, due to the replacement
of the Partnership's previous letter of credit facility by the existing
credit facility, the Partnership was required to post approximately $4.2
million cash as collateral with its previous lender for letters of credit
which continue to be obligations of that lender.  The letters of credit are
expected to be replaced by either letters of credit issued under the
Barnett facility or by bonds, at which time the cash collateral will be
released to the Partnership.  As of March 31, 1998, approximately $1.4 of
such cash collateral had been released to the Partnership due to the
replacement of the letters of credit issued by the previous lender, leaving
a balance outstanding under this previous letter of credit facility of
approximately $2.8 million.  The term loan, revolving line of credit and
letter of credit facility are secured by recorded mortgages on real
property of the Partnership (including certain of its consolidated
ventures) and pledges of certain other assets.  All of the loans under this
facility are cross-collateralized and cross-defaulted.  At March 31, 1998,
the balances outstanding under the term loan, the revolving line of credit
and the letter of credit facility were approximately $56,250,000, $0 and
$1,327,000, respectively.

     During 1998, the Partnership borrowed against its $21 million
revolving construction line of credit to fund the construction of one of
the two remaining buildings within Arvida's Grand Bay.  This line of credit
bears interest at the lender's prime rate (8.5% at March 31, 1998) plus
1/2% per annum and matures in August 1999.  At March 31, 1998, there was
approximately $8.6 million outstanding under this line of credit, which is
expected to be repaid with future proceeds from sales of units within this
building.  The Partnership anticipates it will borrow additional funds
under this line of credit during 1998 for the remaining building to be
constructed within Arvida's Grand Bay.


<PAGE>


     In accordance with the Partnership Agreement, the General Partner and
Associate Limited Partners have deferred a portion of their distributions
of net cash flow from the Partnership totaling approximately $7,994,000 as
of March 31, 1998.  This amount does not bear interest and is expected to
be paid in future periods subject to certain restrictions contained in the
partnership agreement of the Partnership.  In addition, in connection with
the settlement of certain litigation, the General Partner and the Associate
Limited Partners deferred approximately $1,259,000 of their share of the
August 1997 distribution which was otherwise distributable to them, and
such deferred distribution amount was used by the Partnership to pay a
portion of the legal fees and expenses in such litigation.  The General
Partner and Associate Limited Partners will be entitled to receive such
deferred amount after the Holders of Interests have received a specified
amount of distributions from the Partnership after July 1, 1996.

RESULTS OF OPERATIONS

     The results of operations for the three months ended March 31, 1998
are primarily attributable to the development and sale or operation of the
Partnership's assets.

     For the three months ended March 31, 1998, the Partnership (including
its consolidated ventures and its unconsolidated ventures accounted for
under the equity method) closed on the sale of 202 housing units and 18
homesite lots.  This compares to closings in the first quarter of 1997 of
174 housing units, 24 homesite lots and approximately one acre of developed
land.  Outstanding contracts ("backlog") as of March 31, 1998, were for 668
housing units, 53 homesites and approximately 80 acres of developed and
undeveloped land tracts.  This compares to a backlog as of March 31, 1997
of 650 housing units, 31 homesites and approximately six acres of developed
and undeveloped land tracts.

     The Partnership's Communities are in various stages of development,
with estimated remaining build-outs ranging from one to eight years. 
Notwithstanding the estimated duration of the build-outs, the Partnership
currently expects to complete its orderly liquidation by October 2002.  The
Weston Community, located in Broward County, Florida, is the Partnership's
largest Community and is in its mid-stage of development.  Also in their
mid-stages of development are the River Hills Country Club in Tampa,
Florida; the Water's Edge Community in Atlanta, Georgia; The Cullasaja
Club, near Highlands, North Carolina and the Partnership's condominium
project on Longboat Key, Florida known as Arvida's Grand Bay.  The
Partnership's Jacksonville Golf & Country Club Community in Florida is in
its late stage of development.  Future revenues will be impacted to the
extent that there are lower levels of inventories available for sale as the
Partnership's remaining Communities approach or undertake their final
phases.

     Construction of one of the two remaining buildings to be completed at
Arvida's Grand Bay commenced in 1997.  Revenues recognized for this
building under the percentage of completion method of accounting are the
primary cause for the increase in housing revenues for the three month
period ended March 31, 1998 as compared to the same period in 1997, as well
as the increase in Trade and other accounts receivable on the accompanying
consolidated balance sheets at March 31, 1998 as compared to December 31,
1997.  In addition, increased closings in the first quarter of 1998
resulted in increased housing revenues at the Partnership's Weston, River
Hills, Water's Edge and Jacksonville Golf & Country Club Communities as
compared to the same period in 1997.

     Homesite revenues decreased for the three month period ended March 31,
1998 as compared to the same period in 1997 due to fewer closings in the
Partnership's River Hills, Cullasaja and Water's Edge Communities.  This
unfavorable volume variance was partially offset by increased closings at
the Partnership's Jacksonville Golf & Country Club Community, as well as an
increase in the average price of lots closed in Weston and River Hills.



<PAGE>


     In January 1998, the Partnership sold its approximate 33% interest in
the H.A.E. Joint Venture to one of its venture partners.  This sale is
reflected in land and property revenues and cost of revenues on the
accompanying consolidated statements of operations, and is the primary
cause for the increase in land and property operations for the period ended
March 31, 1998 as compared to the same period in 1997.  This sale is also
the primary cause for the decrease in Investments in and advances to joint
ventures on the accompanying consolidated balance sheets at March 31, 1998
as compared to December 31, 1997.

     The decrease in revenues and the related cost of revenues from
operating properties for the three months ended March 31 ,1998 as compared
to the same period in 1997 is due primarily to the closings of several of
the Partnership's operating properties during the fourth quarter of 1997. 
These closings include the Partnership's mixed-use center in Boca Raton,
Florida (consisting of retail shops, an office building and a hotel), the
Cabana Club located within its Sawgrass Community, and the Partnership's
two retail shopping centers in Weston.

     Revenues from brokerage and other operations increased for the three
months ended March 31, 1998 as compared to the same period in 1997 due
primarily to increased commissions generated by the Partnership's resale
operations in Weston and Jacksonville.  In addition, the Partnership
received revenue in January 1998 associated with the 1996 sale of its
resale brokerage operation on Longboat Key near Sarasota, Florida.  Receipt
of such revenue was contingent upon future operations of the sales office,
and therefore, was not recognized upon the closing of the sale.  This
revenue also contributed to the increase in revenues during the first
quarter of 1998 as compared to the same quarter of 1997, and is the primary
cause for the improvement in the gross operating profit margin from
brokerage and other operations for 1998 as compared to 1997.

     The substantial decrease in selling, general and administrative
expenses for the three month period ended March 31, 1998 as compared to the
same period in 1997 is due primarily to the decrease in expenses incurred
in connection with certain litigation in which the Partnership was
previously involved.  The Partnership accrued approximately $1.8 million
during the three month period ended March 31, 1997 to reflect expenses
incurred for certain attorneys' fees and other expenses to be paid as a
result of the court-approved settlement in this litigation.  Also
contributing to the decrease in selling, general and administrative
expenses is a reduction in the amount of expenditures incurred by the
Partnership in connection with the various unsolicited tender offers made
for Partnership Interests, as well as the timing of project administrative
expenses at certain of the Partnership's Communities.

     The increase in interest income for the three month period ended March
31, 1998 as compared to the same period in 1997 is due primarily to an
increase in the average balances invested in interest bearing accounts
during 1998.

     Reduced real estate taxes resulting from the closings of certain of
the Partnership's operating properties in the fourth quarter of 1997 are
the primary cause for the decrease in interest and real estate taxes on the
accompanying consolidated statements of operations for the period ended
March 31, 1998 as compared to the same period in 1997.



<PAGE>


PART II - OTHER INFORMATION

     ITEM 1.  LEGAL PROCEEDINGS

     Reference is made to the Commitments and Contingencies Section of
Notes for a detailed discussion regarding certain lawsuits which allegedly
in part arose out of or related to Hurricane Andrew, which on August 24,
1992 resulted in damage to a former community development known as Country
Walk, which discussion is hereby incorporated herein by reference.

     On or about September 27, 1996, a lawsuit entitled Vanderbilt Income
and Growth Associates, L.L.C. and Raleigh Capital Associates L.P.,
individually and derivatively on behalf of Arvida/JMB Partners, L.P. v.
Arvida/JMB Managers, Inc., Judd D. Malkin, Neil G. Bluhm, Burton E. Glazov,
Stuart C. Nathan, A. Lee Sacks, John G. Schreiber, BSS Capital II, L.L.C.,
Starwood Capital Group I, L.P., Starwood/Florida Funding, L.L.C., Starwood
Opportunity Fund, IV, L.P. and Barry Sternlicht, defendants, and Arvida/JMB
Partners, L.P., nominal defendant, was filed in the Court of Chancery of
the State of Delaware in and for New Castle County, Civil Action No. 15238
("Raleigh action").  The Raleigh action was filed as a verified complaint
for declaratory and injunctive relief.  Plaintiffs claimed that the
defendants, in entering into a financing commitment letter for a proposed
$160 million term loan from Starwood/Florida Funding L.L.C. (the "Starwood
financing"), violated, or aided and abetted, or participated in the
violation of, fiduciary duties owed to the Partnership and the Holders of
Interests, and put their personal interests ahead of the interests of the
Partnership and the Holders of Interests.  In the first claim for relief,
plaintiffs sought a declaratory judgment that the terms of the Starwood
financing be declared null, void and unenforceable.  In the second claim
for relief, plaintiffs asserted a claim derivatively on behalf of the
Partnership alleging, among other things, that the financing commitment
letter for the Starwood financing was not the product of a valid exercise
of business judgment.  In addition to relief described above, plaintiffs
sought to preliminarily and permanently enjoin any actions in furtherance
of the financing commitment letter, an award of compensatory damages,
interest, costs and disbursements, including reasonable attorneys' and
experts' fees and such other relief as the Court might deem just and
proper.  The General Partner and the Partnership filed a motion to dismiss
the Raleigh action, which motion was granted on November 7, 1996.  In
granting the motion, the Court held that Raleigh was not a Limited Partner
and did not have standing to file the derivative claims.  The Court further
determined that Raleigh did not have the right to vote.  Plaintiffs asked
the Court to reconsider its ruling, but the Court denied the request to
change its ruling.

     Plaintiffs appealed the November 7, 1996 dismissal order.  On December
12, 1996, the Delaware Supreme Court reversed the trial court order on a
procedural ground.  The Delaware Supreme Court concluded that the trial
court should not have considered matters outside of the pleadings in
dismissing the Raleigh action without providing the plaintiffs some limited
discovery.  Accordingly, the Delaware Supreme Court remanded the case back
to the trial court for further proceedings.

     On December 16, 1996, the Partnership filed a counterclaim against
Vanderbilt Income and Growth Associates, L.L.C. and Raleigh Capital
Associates L.P. ("Raleigh"), seeking a declaratory judgment that Raleigh
had no right to vote on Partnership matters.  On January 28, 1997, the
trial court granted plaintiffs leave to dismiss their own complaint
concerning the Starwood financing, leaving the Partnership's counterclaim
pending.

     By letter dated January 10, 1997, Raleigh requested admission as a
Substituted Limited Partner of the Partnership.  The Partnership referred
the request to a special committee ("the Special Committee") consisting of
certain directors of the General Partners.  On February 11, 1997, the
Special Committee denied the request.  Thereafter, the Partnership
supplemented its counterclaim, as amended, to seek a court declaration that


<PAGE>


Raleigh is not entitled to be admitted as a Substituted Limited Partner. 
On February 20, 1997, Raleigh filed a reply and counterclaim against the
Partnership, the General Partner, and the Special Committee.  The reply
counterclaim, sought among other things, a declaration that Raleigh has
voting rights in the Partnership and that defendants' breached their
fiduciary duties by failing to admit Raleigh as a Substituted Limited
Partner.  The reply counterclaim also sought to enjoin the Partnership, the
General Partner, and the Special Committee from refusing to admit Raleigh
as a Substituted Limited Partner, an award of damages, interest, fees, and
costs.

     On or about February 28, 1997, Gladys Beasley, individually and as a
representative of a class of persons similarly situated, filed an
intervenor complaint for declaratory relief against the Partnership.  In
the intervenor complaint, plaintiff sought a declaration that purchasers
who obtained Interests in the Partnership in the public offering and
subsequent Holders of Interests in the Partnership by assignment from
original Holders have the same voting rights in the Partnership, among
other things, to remove and replace the General Partner.  In addition,
plaintiff Gladys Beasley sought an order adjudging and decreeing that the
intervenor action was properly maintained as a class, an award of her costs
and expenses of the litigation, and such other relief as the Court deemed
appropriate.

     The trial of all claims in the Raleigh action was held on April 7,
1997 through April 9, 1997.  In a memorandum opinion dated may 23, 1997,
the Court concluded that, while neither the partnership agreement nor the
assignment agreement of the Partnership expressly states whether subsequent
Holders of Interests have voting rights, a reasonable investor could have
read the operative agreements as providing that subsequent Holders of
Interests, such as Raleigh, have voting rights.  The Partnership believes,
among other things, that the Court erred in its application of the law to
the facts on this issue and is in the process of appealing the Court's
decision on this aspect of the case.  On the issue of whether the Special
Committee properly denied Raleigh's request for admission as a Substituted
Limited Partner, the Court upheld the denial of Raleigh's request.

     On or about October 16, 1995, a lawsuit was filed against the
Partnership and others in the Circuit Court of the 15th Judicial Circuit,
in and for Palm Beach County, Florida, entitled Council of Villages, Inc.
et al v. Arvida/JMB Partners, Arvida/JMB Managers, Inc., Arvida/JMB
Partners, Ltd., Broken Sound Club, Inc., and Country Club Maintenance
Association, Inc. The multi-count lawsuit, as amended, is brought as a
class action, and individually, on behalf of various residents of the
Broken Sound Community, and alleges that defendants engaged in various acts
of misconduct in, among other things, the establishment, operation,
management and marketing of the Broken Sound golf course and recreational
facilities, as well as the alleged improper failure to turn over said
facilities to the Broken Sound homeowners on a timely basis.  Plaintiffs
seek, through various theories, including but not limited to breach of
ordinance, fiduciary duty, fraud, and civil theft, damages in excess of $45
million, the appointment of a receiver for the Broken Sound Club, other
unspecified compensatory damages, the right to seek punitive damages,
treble damages, prejudgment interest, attorneys' fees and costs.  The
Partnership believes that the lawsuit is without merit and intends to
vigorously defend itself in this matter.

     On or about July 30, 1996, Savoy v. Arvida/JMB Partners, Arvida/JMB
Managers, Inc., Arvida/JMB Partners, Ltd., and Broken Sound Club, Inc. was
filed against the Partnership and others in the Circuit Court of the 15th
Judicial Circuit, in and for Palm Beach County, Florida.  The lawsuit is
filed as a three-count complaint for dissolution of the Broken Sound Club,
Inc. ("Club"), and seeks, among other things, the appointment of a
custodian or receiver for the Club, a determination that certain acts be
deemed wrongful, the return to the Club of in excess of $2.5 million in
alleged "operating profits", an injunction against the charging of certain
dues, an injunction requiring the Club to produce certain financial
statements, and such other relief as the Court deems just, fair and proper.


<PAGE>


This lawsuit has been consolidated with the Council of Village case.  The
Partnership believes the lawsuit is without merit and intends to vigorously
defend itself.

     In April 1997, the Court issued an order certifying as a class action
claims respecting the alleged violation of the Boca Raton ordinances.  Both
plaintiffs and defendants have appealed the certification order. 
Plaintiffs in the Savoy action moved for an appointment to a receiver over
the Club.  The Partnership moved to strike the motion and the Court granted
the Partnership's motion.  The Partnership has filed a third-party
complaint for indemnification and contribution against Disney in these
consolidated actions in the event the Partnership is held liable for acts
taken by a subsidiary of Disney prior to the Partnership's involvement in
the Club and property.

     Other than as described above, the Partnership is not subject to any
material pending legal proceedings, other than ordinary routine litigation
incidental to the business of the Partnership.  However, reference is made
to the Commitments and Contingencies Section of the Notes for a discussion
of certain claims asserted by Merrill Lynch for indemnification by the
Partnership and the General Partner in connection with claims for
arbitration filed by certain investors in the Partnership.



<PAGE>


     ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

     (a)  Exhibits

    3.1.   Amended and Restated Agreement of Limited Partnership.*

    3.2.   Assignment Agreement by and among the General Partner, the
Initial Limited Partner and the Partnership.*

    4.1.   Various mortgages and other security interests dated October
7, 1992 related to the assets of Arvida/JMB Partners, Center Office
Partners, Center Retail Partners, Center Hotel Limited Partnership, Weston
Hills Country Club Limited Partnership which secure loans under the Amended
and Restated Credit Agreement referred to in Exhibit 4.1 are herein
incorporated by reference to Exhibit No. 4.7 of the Partnership's Report on
Form 10-Q (File number 0-16976) dated November 11, 1992.

    4.2.   Second Amended and Restated Credit Agreement dated November
29, 1994, among Arvida/JMB Partners, L.P., Arvida/JMB Partners, Southeast
Florida Holdings, Inc., Center Office Partners, Center Retail Partners,
Center Hotel Limited Partnership, Weston Hills Country Club Limited
Partnership and Chemical Bank and Nationsbank of Florida, N.A. ***

    4.3.   Affirmation and Amendment of Security Documents dated November
29, 1994, among Arvida/JMB Partners, Arvida/JMB Partners, L.P., Southeast
Florida Holdings, Inc., Center Office Partners, Center Retail Partners,
Center Hotel Limited Partnership, Weston Hills Country Club Limited
Partnership and Chemical Bank. ***

    4.4.   Modification of Mortgage and Security Agreement and Other loan
Documents dated November 29, 1994, among Arvida/JMB Partners, Weston Hills
Country Club Limited Partnership and Chemical Bank. ***

    4.5.   Modification of First Mortgage and Security Agreement and
Other Loan Documents dated November 29, 1994, among Arvida/JMB Partners,
Center Office Partners, Center Retail Partners, Center Hotel Limited
Partnership and Chemical Bank. ***

    4.6.   Credit Agreement extension dated July 28, 1995 made by
Arvida/JMB Partners, L.P., Arvida/JMB Partners, Southeast Florida Holdings,
Inc., Center Office Partners, Center Retail Partners, Center Hotel Limited
Partnership, Weston Hills Country Club Limited Partnership and Chemical
Bank is incorporated by reference to the Partnership's Report for June 30,
1995 on Form 10-Q (File No. 0-16976) dated August 9, 1995.

    4.7.   Letter Agreement dated January 17, 1996, among Arvida/JMB
Partners, L.P., Arvida/JMB Partners, Southeast Florida Holdings, Inc.,
Center Office Partners, Center Retail Partners, Center Hotel Limited
Partnership, Weston Hills Country Club Limited Partnership and Chemical
Bank and Nationsbank of Florida, N.A. regarding the release of a certain
parcel from the lender's lien is herein incorporated by reference to
Exhibit 4.15 to the Partnership's report for December 31, 1995 on Form 10-K
(File No. 0-16976) dated March 25, 1996.

    4.8.   Letter Agreement dated March 1, 1996 regarding the sale of the
Partnership's interest in the Coto de Caza Joint Venture and the extension
of the maturity date of the revolving line of credit facility and the
income property term loan is incorporated herein by reference to Exhibit
4.16 to the Partnership's report for December 31, 1995 on Form 10-K (File
No. 0-16976) dated March 25, 1996.



<PAGE>


    4.9.   Commitment for a term loan by and between Starwood/Florida
Funding, L.L.C. and Arvida/JMB Partners, L.P. dated September 12, 1996 is
incorporated herein by reference to Exhibit 4.1 to the Partnership's Report
on Form 8-K (File No. 0-16976) dated September 12, 1996.

    4.10.  Commitment Letter dated March 12, 1997, from Barnett Bank of
Broward County, N.A. containing a term sheet for a $100 million financing
is incorporated herein by reference to Exhibit 4.10 of the Partnership's
Report for December 31, 1996, as amended, on Form 10-K (File No. 0-16976)
dated May 1, 1997.

    4.11.  Credit Agreement dated July 31, 1997 between Barnett Bank,
N.A. and The Other Lenders and Arvida/JMB Partners, L.P. is hereby
incorporated by reference to the Partnership's Report for June 30, 1997 on
Form 10-Q (File No. 0-16976) dated August 8, 1997, as amended.

    10.1.  Agreement between the Partnership and The Walt Disney Company
dated January 29, 1987 is hereby incorporated by reference to Exhibit 10.2
to the Partnership's Registration Statement on Form S-1 (File No. 33-14091)
under the Securities Act of 1933 filed on May 7, 1987.

    10.2.  Management, Advisory and Supervisory Agreement is hereby
incorporated by reference to Exhibit 10.2 to the Partnership's report for
December 31, 1990 on Form 10-K (File No. 0-16976) dated March 27, 1991.

    10.3.  Letter Agreement, dated as of September 10, 1987, between the
Partnership and The Walt Disney Company, together with exhibits and related
documents.**

    10.4.  Joint Venture Agreement dated as of September 10, 1987, of
Arvida/JMB Partners, a Florida general partnership. **

    10.5.  Stipulation of settlement dated April 1, 1997, filed in the
Circuit Court of Cook County, Illinois, Chancery Department is incorporated
herein by reference to Exhibit 16.5 of the Partnership's Report for
December 31, 1996, as amended, on Form 10-K (File No. 0-16976) dated May 1,
1997.

    10.6.  Agreement for Sale and Purchase of Real Property dated July
25, 1997 by and between Center Retail Partners, Center Office Partners,
Center Hotel Limited Partnership, and Arvida/JMB Partners, L.P. and
Stanford Hotels Corporation for the sale of Arvida Parkway Center is
incorporated herein by reference to Exhibit 2.1 to the Partnership's report
on Form 8-K (File No. 0-16976) dated July 25, 1997.

    10.7   Agreement for Purchase and Sale dated August 22, 1997 by and
between Arvida/Lakes Plaza L.P. and Principal Mutual Life Insurance Company
with respect to Weston Lakes Plaza.****

    10.8   Agreement for Purchase and Sale dated August 22, 1997 by and
between Country Isles Associates and Principal Mutual Life Insurance
Company with respect to Country Isles Plaza.****

    10.9   Agreement for Purchase and Sale dated October 21, 1997 by and
between Metrodrama Joint Venture and AutoNation USA Corporation.****

    10.10  Agreement for Purchase and Sale dated October 8, 1997 by and
between Arvida/JMB Partners and PV Resort, Inc. joined by Resort Holdings
I, Ltd. for the sale of the Cabana Club.****



<PAGE>


    10.11  Amendment dated August 22, 1997 to Agreement for Sale and
Purchase by and between Center Retail Partners, Center Hotel Limited
Partnership, Center Office Partners and Arvida/JMB Partners, L.P. and
Stanford Hotels Corporation.****

    10.12  Second Amendment dated October 17, 1997 to Agreement for Sale
and Purchase by and between Center Retail Partners, Center Hotel Limited
Partnership, Center Office Partners and Arvida/JMB Partners, L.P. and
Stanford Hotels Corporation.****

    10.13  First Amendment dated September 29, 1997 to Agreement for
Purchase and Sale by and between Country Isles Associates and Principal
Mutual Life Insurance Company.*****

    10.14  Second Amendment dated October 2, 1997 to Agreement for
Purchase and Sale by and between Country Isles Associates and Principal
Mutual Life Insurance Company.*****

    10.15  Information Systems Sharing Agreement dated November 6, 1997
between Arvida/JMB Partners, L.P. and Arvida Company.*****

    27.    Financial Data Schedule

           ------------------------------

           *  Previously filed with the Securities and Exchange
Commission as Exhibits 3. and 4.0, respectively, to the Partnership's Form
10-K Report (File No. 0-16976) filed on March 27, 1990 and incorporated
herein by reference.

           **   Previously filed with the Securities and Exchange
Commission as Exhibits 10.4 and 10.5, respectively, to the Partnership's
Registration Statement (as amended) on Form S-1 (File No. 33-14091) under
the Securities Act of 1933 filed on September 11, 1987 and incorporated
herein by reference.

           *** Previously filed with the Securities and Exchange
Commission as Exhibits 4.10, 4.11, 4.12 and 4.13, respectively, to the
Partnership's Form 10-K Report (File No. 0-16976) filed on March 27, 1995
and hereby incorporated herein by reference.

           **** Previously filed with the Securities and Exchange
Commission as Exhibits 10.7, 10.8, 10.9, 10.10, 10.11 and 10.12,
respectively, to the Partnership's Report on Form 10-Q (File No. 0-16976)
filed on November 12, 1997 and incorporated herein by reference.

           ***** Previously filed with the Securities and Exchange
Commission as Exhibits 10.13, 10.14 and 10.15, respectively, to the
Partnership's Report on Form 10-K (File No. 0-16976) filed on March 25,
1998 and incorporated herein by reference.

       (b)   No reports on Form 8-K have been filed since the beginning
of the last quarter of the period covered by this report.





<PAGE>


                              SIGNATURES



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


                ARVIDA/JMB PARTNERS, L.P.

                BY:   Arvida/JMB Managers, Inc.
                      (The General Partner)




                      By:   GAILEN J. HULL
                            Gailen J. Hull, Vice President
                      Date: May 13, 1998


     Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following person in the capacity
and on the date indicated.




                      By:   GAILEN J. HULL
                            Gailen J. Hull, Principal Accounting Officer
                      Date: May 13, 1998