SECURITIES AND EXCHANGE COMMISSION

                            Washington, D.C. 20549

                                   FORM 10-Q
(Mark One)

  X  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
-----
     EXCHANGE ACT OF 1934.

For the quarterly period ended September 30, 1997
                               ------------------
                                      OR
     TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
-----
     EXCHANGE ACT OF 1934.

For the transition period from              to             
                               ------------    ------------
Commission file number 0-15648
                       -------

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

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

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

Registrant's telephone number, including area code (847) 267-1600
                                                   --------------
Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
Registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

Yes   X    No    
    -----     -----
<PAGE>
                     BALCOR EQUITY PENSION INVESTORS - IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                                BALANCE SHEETS
                   September 30, 1997 and December 31, 1996
                                  (Unaudited)

                                    ASSETS

                                                  1997           1996
                                             -------------- --------------
Cash and cash equivalents                    $   2,522,557  $   5,184,704
Accounts and accrued interest receivable           185,307        139,281
Prepaid expenses                                                   38,439
Deferred expenses, net of accumulated
  amortization of $19,559 in 1997 and
  $15,367 in 1996.                                  36,325         40,517
                                             -------------- --------------
                                                 2,744,189      5,402,941
                                             -------------- --------------
Investment in real estate:
  Land                                           3,217,218      5,694,341
  Buildings and improvements                     8,949,270     20,730,600
                                             -------------- --------------
                                                12,166,488     26,424,941
  Less accumulated depreciation                  5,413,879      9,980,038
                                             -------------- --------------
Investment in real estate, net of
  accumulated depreciation                       6,752,609     16,444,903
                                             -------------- --------------
Investment in joint venture
  with affiliates                                                  76,101
                                             -------------- --------------
                                             $   9,496,798  $  21,923,945
                                             ============== ==============


                       LIABILITIES AND PARTNERS' CAPITAL

Accounts payable                             $      22,952  $      31,703
Due to affiliates                                   66,788         59,177
Accrued real estate taxes                          755,534        995,568
Security deposits                                    9,882         62,883
                                             -------------- --------------
    Total liabilities                              855,156      1,149,331
                                             -------------- --------------
<PAGE>
                     BALCOR EQUITY PENSION INVESTORS - IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                                BALANCE SHEETS
                   September 30, 1997 and December 31, 1996
                                  (Unaudited)
                                  (Continued)


                                                  1997           1996
                                               -------------- --------------
Commitments and contingencies

Limited Partners' capital (185,486 
  Interests issued and outstanding)              8,865,973     20,859,034
General Partner's deficit                         (224,331)       (84,420)
                                             -------------- --------------
    Total partners' capital                      8,641,642     20,774,614
                                             -------------- --------------
                                             $   9,496,798  $  21,923,945
                                             ============== ==============


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

                       STATEMENTS OF INCOME AND EXPENSES
             For the nine months ended September 30, 1997 and 1996
                                  (Unaudited)


                                                  1997           1996
                                             -------------- --------------
Income:
  Rental                                     $   1,987,682  $   2,931,726
  Service                                          657,917        774,154
  Interest on short-term investments               279,203        120,382
  Settlement income                                276,068
                                             -------------- --------------
    Total income                                 3,200,870      3,826,262
                                             -------------- --------------

Expenses:
  Depreciation                                     485,483        606,037
  Property operating                               597,530        886,842
  Real estate taxes                                854,779        933,928
  Property management fees                         128,511        179,718
  Administrative                                   352,806        350,476
  Provision for investment property writedown      650,000
                                             -------------- --------------
    Total expenses                               3,069,109      2,957,001
                                             -------------- --------------
Income before participation in income
  of joint venture with affiliates                           
  and gain on sale of property                     131,761        869,261
Participation in income of joint
  venture with affiliates                                          74,426
Gain on sale of property                         4,218,099
                                             -------------- --------------
Net income                                   $   4,349,860  $     943,687
                                             ============== ==============
Net income allocated to General Partner               None  $     149,289
                                             ============== ==============
Net income allocated to Limited Partners     $   4,349,860  $     794,398
                                             ============== ==============
Net income per Limited Partnership Interest
  (185,486 issued and outstanding)           $       23.45  $        4.28
                                             ============== ==============
Distributions to General Partner             $     139,911  $     139,909
                                             ============== ==============
Distributions to Limited Partners            $  16,342,921  $   1,259,199
                                             ============== ==============
<PAGE>
                     BALCOR EQUITY PENSION INVESTORS - IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                       STATEMENTS OF INCOME AND EXPENSES
             For the nine months ended September 30, 1997 and 1996
                                  (Unaudited)
                                  (Continued)


                                                  1997           1996
                                               -------------- --------------
Distributions per Limited Partnership
  Interest:

   Taxable                                   $       88.19  $        6.87
                                             ============== ==============
   Tax-exempt                                $       88.10  $        6.78
                                             ============== ==============


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

                       STATEMENTS OF INCOME AND EXPENSES
              For the quarters ended September 30, 1997 and 1996
                                  (Unaudited)


                                                   1997           1996
                                             -------------- --------------
Income:
  Rental                                     $     378,808  $     958,625
  Service                                          103,801        173,991
  Interest on short-term investments                80,876         37,871
                                             -------------- --------------
    Total income                                   563,485      1,170,487
                                             -------------- --------------

Expenses:
  Depreciation                                     124,407        202,013
  Property operating                                57,006        318,871
  Real estate taxes                                263,655        285,454
  Property management fees                          21,961         55,278
  Administrative                                   127,355        111,087
  Provision for investment property writedown      650,000
                                             -------------- --------------
    Total expenses                               1,244,384        972,703
                                             -------------- --------------
(Loss) income before participation in income
  of joint venture with affiliates                (680,899)       197,784
Participation in income of joint
  venture with affiliates                                          39,416
                                             -------------- --------------
Net (loss) income                            $    (680,899) $     237,200
                                             ============== ==============
Net (loss) income allocated to General 
  Partner                                    $    (156,195) $      42,026
                                             ============== ==============
Net (loss) income allocated to Limited 
  Partners                                   $    (524,704) $     195,174
                                             ============== ==============
Net (loss) income per Limited Partnership 
  Interest (185,486 issued and outstanding)  $       (2.83) $        1.05
                                             ============== ==============
Distribution to General Partner              $      46,637  $      46,636
                                             ============== ==============
Distribution to Limited Partners             $  13,867,468  $     419,733
                                             ============== ==============
<PAGE>
                     BALCOR EQUITY PENSION INVESTORS - IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                       STATEMENTS OF INCOME AND EXPENSES
              For the quarters ended September 30, 1997 and 1996
                                  (Unaudited)
                                  (Continued)


                                                 1997           1996
                                            -------------- --------------
Distribution per Limited Partnership
  Interest:

    Taxable                                  $       74.79  $        2.29
                                             ============== ==============
    Tax-exempt                               $       74.76  $        2.26
                                             ============== ==============


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

                           STATEMENTS OF CASH FLOWS
             For the nine months ended September 30, 1997 and 1996
                                  (Unaudited)

                                                 1997           1996
                                             -------------- --------------
Operating activities:
  Net income                                 $   4,349,860  $     943,687
  Adjustments to reconcile net income
    to net cash provided by 
    operating activities:
      Participation in (income) of joint 
        venture with affiliates                                   (74,426)
      Gain on sale of property                  (4,218,099)
      Depreciation of properties                   485,483        606,037
      Amortization of deferred expenses              4,192          4,191
      Provision for investment property
        writedown                                  650,000
      Net change in:
       Accounts and accrued                     
         interest receivable                       (46,026)        (9,974)
       Prepaid expenses                             38,439        (31,338)
       Accounts payable                             (8,751)       (61,159)
       Due to affiliates                             7,611         26,506
       Accrued liabilities                        (240,034)       (61,641)
       Security deposits                           (53,001)       (16,421)
                                             -------------- --------------
  Net cash provided by operating activities        969,674      1,325,462
                                             -------------- --------------
Investing activities:
  Proceeds from sale of property                13,300,000
  Payment of selling costs                        (525,090)
  Capital contribution to joint
    venture - affiliates                                          (15,934)
  Distributions from joint 
    venture - affiliates                            76,101        108,273
                                             -------------- --------------
  Net cash provided by investing activities     12,851,011         92,339
                                             -------------- --------------

Financing activities:
  Distributions to Limited Partners            (16,342,921)    (1,259,199)
  Distributions to General Partner                (139,911)      (139,909)
                                             -------------- --------------
  Cash used in financing activities            (16,482,832)    (1,399,108)
                                             -------------- --------------
<PAGE>
                     BALCOR EQUITY PENSION INVESTORS - IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                           STATEMENTS OF CASH FLOWS
             For the nine months ended September 30, 1997 and 1996
                                  (Unaudited)
                                  (Continued)
                              
                                                  1997           1996
                                             -------------- --------------
Net change in cash and cash equivalents         (2,662,147)        18,693

Cash and cash equivalents at beginning
  of period                                      5,184,704      3,389,826
                                             -------------- --------------

Cash and cash equivalents at end of period   $   2,522,557  $   3,408,519
                                             ============== ==============


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

                         NOTES TO FINANCIAL STATEMENTS

1. Accounting Policy:

In the opinion of management, all adjustments necessary for a fair presentation
have been made to the accompanying statements for the nine months and quarter
ended September 30, 1997, and all such adjustments are of a normal and
recurring nature.

2. Partnership Termination:

The Partnership Agreement provides for the dissolution of the Partnership upon
the occurrence of certain events, including the disposition of all interests in
real estate. During 1996, the Partnership sold its minority joint venture
interest in the 45 West 45th Street Office Building. During 1997, the
Partnership sold the Gleneagles Apartments. Currently, the Partnership is
actively marketing for sale its remaining property, the Evanston Plaza Shopping
Center. The timing of the termination of the Partnership and final distribution
of cash will depend upon the nature and extent of liabilities and contingencies
which exist or may arise. Such contingencies may include legal and other fees
and costs stemming from litigation involving the Partnership including, but not
limited to, the lawsuits discussed in Note 6 of Notes to the Financial
Statements. In the absence of any contingency, the reserves will be paid within
twelve months of the last property being sold. In the event a contingency
exists, reserves may be held by the Partnership for a longer period of time.

3. Transactions with Affiliates:

Fees and expenses paid and payable by the Partnership to affiliates during the
nine months and quarter ended September 30, 1997 are:

                                              Paid
                                    ----------------------
                                    Nine Months    Quarter      Payable
                                    -----------   --------     --------     

   Reimbursement of expenses to
    the General Partner, at cost   $     80,271  $  33,334    $   66,788

4. Property Sale:

In May 1997, the Partnership sold the Gleneagles Apartments in an all cash sale
for $13,300,000. From the proceeds of the sale, the Partnership paid $525,090
in selling costs. The basis of the property was $8,556,811, which is net of
accumulated depreciation of $5,051,642. For financial statement purposes, the
Partnership recognized a gain of $4,218,099 from the sale of this property.
<PAGE>
5. Provision for Investment Property Writedown:

During the quarter ended September 30, 1997, the General Partner determined
that an impairment of the asset value of the Evanston Plaza Shopping Center
located in Evanston, Illinois, had occurred. As a result, the property was
written down by $650,000 to an amount representing the Partnership's estimate
of the property's sales value less estimated closing costs. The decline in
value is attributable to a decline in occupancy at the property and an overall
softness in the retail market.

6. Investment in Joint Venture with Affiliates:

The 45 West 45th Street Office Building was owned by a joint venture consisting
of the Partnership and three affiliates. During November 1996, the joint
venture sold the property. Pursuant to the sale agreement, $500,000 of the sale
proceeds was retained by the joint venture and was unavailable for distribution
until April 1997, at which time the funds were released in full. The
Partnership's share of these proceeds was $76,101.

7. Contingencies:

(a) The Partnership is currently involved in a lawsuit whereby the Partnership,
the General Partner and certain third parties have been named as defendants
seeking damages relating to tender offers to purchase interests in the
Partnership and nine affiliated partnerships initiated by the third party
defendants in 1996. The defendants continue to vigorously contest this action.
The action has been dismissed with prejudice and plaintiffs have filed an
appeal. It is not determinable at this time whether or not an unfavorable
decision in this action would have a material adverse impact on the financial
position, operations and liquidity of the Partnership. The Partnership believes
it has meritorious defenses to contest the claims.

(b) The Partnership is currently involved in a lawsuit whereby the Partnership
and certain affiliates have been named as defendants alleging certain federal
securities law violations with regard to the adequacy and accuracy of
disclosures of information concerning, as well as the marketing efforts related
to, the offering of the Limited Partnership Interests of the Partnership. The
defendants continue to vigorously contest this action. A plaintiff class has
not yet been certified, and no determination of the merits have been made. It
is not determinable at this time whether or not an unfavorable decision in this
action would have a material adverse impact on the financial position,
operations and liquidity of the Partnership. The Partnership believes it has
meritorious defenses to contest the claims.
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       A REAL ESTATE LIMITED PARTNERSHIP
                       (An Illinois Limited Partnership)

                     MANAGEMENT'S DISCUSSION AND ANALYSIS

Balcor Equity Pension Investors-IV A Real Estate Limited Partnership (the
"Partnership") is a limited partnership formed in 1986 to make first mortgage
loans and to invest in and operate income-producing real property. The
Partnership raised $46,371,500 through the sale of Limited Partnership
Interests and utilized these proceeds to fund one acquisition loan and acquire
two real property investments. During 1996, the property in which the
Partnership held a minority joint venture interest was sold. In May 1997, the
Partnership sold the Gleneagles Apartments. Currently, the Partnership is
actively marketing for sale its remaining property, the Evanston Plaza Shopping
Center.

Inasmuch as the management's discussion and analysis below relates primarily to
the time period since the end of the last fiscal year, investors are encouraged
to review the financial statements and the management's discussion and analysis
contained in the annual report for 1996 for a more complete understanding of
the Partnership's financial position. 

Operations
----------

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

In May 1997, the Partnership sold the Gleneagles Apartments and recognized a
gain which resulted in an increase in net income during the nine months ended
September 30, 1997 as compared to the same period in 1996. The Partnership
recognized a provision for the decline in the fair value of the Evanston Plaza
Shopping Center during the third quarter of 1997, which resulted in a net loss
during the quarter ended September 30, 1997 as compared to net income during
the same period in 1996. Further discussion of the Partnership's operations is
summarized below.

1997 Compared to 1996
---------------------

Unless otherwise noted, discussions of fluctuations between 1997 and 1996 refer
to both the nine months and quarters ended September 30, 1997 and 1996.

The Partnership sold the Gleneagles Apartments in May 1997 and recognized a
gain of $4,218,099 for financial statement purposes. This sale also resulted in
decreases in rental and service income, depreciation, property operating
expense, real estate taxes and property management fees during 1997 as
compared to 1996.

Due to higher average cash balances as a result of the proceeds received in
connection with the sale of the Gleneagles Apartments prior to distribution to
Limited Partners in July 1997, interest income on short-term investments
increased during 1997 as compared to 1996.
<PAGE>
In April 1997, the Partnership entered into a settlement agreement with the
manufacturer of the roof at the Evanston Plaza Shopping Center relating to
alleged defects. The Partnership received $276,068 in satisfaction of its
claims. The amount received was recognized by the Partnership as settlement
income for financial statement purposes.

Provisions are charged to income when the General Partner believes an
impairment has occurred to the value of its properties. Determinations of fair
value are made periodically on the basis of assessments of property operations
and the property's estimated sales price less closing costs. Determinations of
fair value represent estimations based on many variables which affect the value
of real estate, including economic and demographic conditions. During September
1997, the Partnership recognized a provision for investment property writedown
of $650,000 to provide for a change in the estimate of the fair value of the
Evanston Plaza Shopping Center. The decline in value is attributable to a
decline in occupancy at the property and an overall softness in the retail
market.

The 45 West 45th Street Office Building, in which the Partnership held a
minority joint venture interest, was sold during November 1996. As a result,
participation in income of joint venture with affiliates ceased during 1997.

The Partnership incurred higher professional fees during the third quarter of
1997 which resulted in an increase in administrative expense during the quarter
ended September 30, 1997 when compared to the same period in 1996.

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

The cash position of the Partnership decreased by approximately $2,662,000 as
of September 30, 1997 as compared to December 31, 1996 primarily due to the
special distributions of proceeds to Limited Partners made in January 1997 from
the 1996 sale of the 45th West 45th Street Office Building and in July 1997
from the May 1997 sale of the Gleneagles Apartments, which was partially offset
by the net proceeds received from the sale of the Gleneagles Apartments. Cash
flow of approximately $970,000 was provided by operating activities during 1997
consisting of cash flow from the operations of properties, settlement income
related to Evanston Plaza Shopping Center and interest income on short-term
investments, which were partially offset by the payment of administrative
expenses. Cash from the Partnership's investing activities consisted of the net
proceeds received in connection with the sale of the Gleneagles Apartments of
approximately $12,775,000 and the release of the Partnership's share of the
holdback related to the sale of the 45 West 45th Street Office Building of
approximately $76,000. Financing activities consisted of the payment of
distributions to the Partners of approximately $16,483,000, which included
proceeds from the sales of the 45th West 45th Street Office Building and
Gleneagles Apartments. 

The Partnership classifies the cash flow performance of its properties as
either positive, a marginal deficit, or a significant deficit, each after
consideration of debt service payments unless otherwise indicated. The
partnership defines cash flow generated from its properties as an amount equal
to the property's revenue receipts less property related expenditures. The
Gleneagles Apartments generated positive cash flow prior to its sale in May
<PAGE>
1997 and during 1996. During 1997 and 1996, the Evanston Plaza Shopping Center
generated positive cash flow. The 45 West 45th Street Office Building, in which
the Partnership held a minority joint venture interest with affiliates,
generated positive cash flow prior to its sale in November 1996. As of
September 30, 1997, the Evanston Plaza Shopping Center had an occupancy rate of
79%.  

The Partnership sold the Gleneagles Apartments in May 1997 and is actively
marketing for sale its remaining property, the Evanston Plaza Shopping Center.
The timing of the termination of the Partnership and final distribution of cash
will depend upon the nature and extent of liabilities and contingencies which
exist or may arise. Such contingencies may include legal and other fees and
costs stemming from litigation involving the Partnership. In the absence of any
contingency, the reserves will be paid within twelve months of the last
property being sold. In the event a contingency exists, reserves may be held by
the Partnership for a longer period of time.

In May 1997, the Partnership sold the Gleneagles Apartments in an all cash sale
for $13,300,000. From the proceeds of the sale, the Partnership paid $525,090
in selling costs. The remainder of the available proceeds were distributed to
the Limited Partners in July 1997. See Note 4 of Notes to Financial Statements
for additional information.

The 45 West 45th Street Office Building was owned by a joint venture consisting
of the Partnership and three affiliates. During November 1996, the joint
venture sold the property. Pursuant to the sale agreement, $500,000 of the sale
proceeds was retained by the joint venture and was unavailable for distribution
until April 1997, at which time the funds were released in full. The
Partnership's share of these proceeds was $76,101.

To date, Limited Partners have received cumulative distributions of $179.28 per
$250 Taxable Interest, of which $97.71 represents Cash Flow from operations and
$81.57 represents a return of Original Capital, and $177.10 per $250 Tax-exempt
Interest, of which $95.53 represents Cash Flow from operations and $81.57
represents a return of Original Capital. Since only one property remains,
future quarterly distributions from Cash Flow are not expected to be made.
Future distributions will be made from available sales proceeds from the
Evanston Plaza Shopping Center, as to which there can be no assurances. In
light of results to date, the General Partner does not anticipate that
investors will recover all of their original investment.

In February 1997, the Partnership discontinued the repurchase of Interests from
Limited Partners.

Changing interest rates can impact real estate values in several ways.
Generally, declining interest rates may lower the cost of capital allowing
buyers to pay more for a property whereas rising interest rates may increase
the cost of capital and lower the price of real estate.

Inflation has several types of potentially conflicting impacts on real estate
investments. Short-term inflation can increase real estate operating costs
which may or may not be recovered through increased rents and/or sales prices
depending on general or local economic conditions. In the long-term, inflation
can be expected to increase operating costs and replacement costs and may lead
to increased rental revenues and real estate values.
<PAGE>
                      BALCOR EQUITY PENSION INVESTORS-IV
                       (An Illinois Limited Partnership)

                          PART II - OTHER INFORMATION

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

(a) Exhibits:

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

(10) Material Contracts:

(i) Agreement of Sale and attachment thereto relating to the sale of the
Gleneagles Apartments located in Dade County, Florida previously filed as
Exhibit 2 to the Registrant's Report on Form 8-K dated October 24, 1996 is
incorporated herein by reference.

(ii) Amendment to Agreement of Sale and Escrow Agreement dated November 10,
1996, relating to the sale of Gleneagles Apartments, Dade County, Florida, as
previously filed as Exhibit (10)(a)(ii) to the Registrant's Report on Form 10-K
for the year ended December 31, 1996 is incorporated herein by reference.

(iii) Second Amendment to Agreement of Sale and Escrow Agreement dated January
3, 1997, relating to the sale of Gleneagles Apartments, Dade County, Florida,
as previously filed as Exhibit (10)(a)(iii) to the Registrant's Report on Form
10-K for the year ended December 31, 1996 is incorporated herein by reference.

(iv) Third Amendment to Agreement of Sale and Escrow Agreement dated January
15, 1997, relating to the sale of Gleneagles Apartments, Dade County, Florida,
as previously filed as Exhibit (10)(a)(iv) to the Registrant's Report on Form
10-K for the year ended December 31, 1996 is incorporated herein by reference.

(v) Fourth Amendment to Agreement of Sale dated January 31, 1997, relating to
the sale of Gleneagles Apartments, Dade County, Florida, as previously filed as
Exhibit (10)(a)(v) to the Registrant's Report on Form 10-K for the year ended
December 31, 1996 is incorporated herein by reference.

(vi) Letter Agreement dated February 25, 1997, relating to the sale of the
Gleneagles Apartments, Dade County, Florida, as previously filed as Exhibit
(10)(vi) to the Registrant's Report on Form 10-K for the year ended December
31, 1996 is incorporated herein by reference.

(vii) Letter dated March 14, 1997, relating to the cancellation of
the Agreement of Sale of the Gleneagles Apartments, Dade County, Florida, as
previously filed as Exhibit (10)(a)(vii) to the Registrant's Report on Form
10-K for the year ended December 31, 1996 is incorporated herein by reference.
<PAGE>
(viii) Reinstatement and Fifth Amendment to Agreement of Sale and Escrow 
Agreement dated April 25, 1997, relating to the sale of Gleneagles Apartments,
Dade County, Florida, previously filed as Exhibit (10)(a)(viii) to the
Registrant's Report on Form 10-Q for the quarter ended March 31, 1997 is
incorporated herein by reference.

(27) Financial Data Schedule of the Registrant for the nine months ending
September 30, 1997 is attached hereto.

(b) Reports on Form 8-K: No reports were filed on Form 8-K during the quarter
ended September 30, 1997.
<PAGE>
SIGNATURES

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

                              BALCOR EQUITY PENSION INVESTORS-IV
                              A REAL ESTATE LIMITED PARTNERSHIP

                              By: /s/Thomas E. Meador
                                  ------------------------------              
                                  Thomas E. Meador
                                  President and Chief Executive Officer 
                                  (Principal Executive Officer) of Balcor 
                                  Equity Partners - IV, the General Partner

                              By: /s/Jayne A. Kosik
                                  ------------------------------              
                                  Jayne A. Kosik
                                  Managing Director and Chief Financial 
                                  Officer (Principal Accounting Officer) of 
                                  Balcor Equity Partners - IV, the General 
                                  Partner


Date: November 3, 1997
      -----------------
<PAGE>