UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                              Washington, DC 20549

                                    FORM 10-Q

[     X ] Quarterly  Report  Pursuant  to Section 13 or 15(d) of the  Securities
      Exchange Act of 1934 for the quarter ended June 30, 2000

                                       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 0-26215

                          PROPERTY CAPITAL TRUST, INC.

             (Exact name of Registrant as specified in its charter)

Maryland                                                             04-2452367

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

177 Milk St., Boston, Massachusetts                                       02109
-----------------------------------                                  ----------
(Address of principal executive offices)                             (Zip Code)

REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE:   (617) 451-2100

Former name, former address, and former fiscal year, if changes since last year.

Indicate  by check  mark  whether  the  Registrant:  (1) has filed  all  reports
required to be filed by Section 13 or 15 (d) of the  Securities  Exchange Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
Registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days. Yes [ X ] No [ ]

Indicate the number of shares  outstanding  of each of the  issuer's  classes of
common stock, as of the latest practicable date.

         Class                                 Outanding at August 4, 2000

---------------------                          ---------------------------
Common Stock, $.01 par value                             479,226



<PAGE>
<TABLE>


                          PROPERTY CAPITAL TRUST, INC.

                                      INDEX
<CAPTION>
                                                                   PAGE NUMBER
<S>     <C>                                                               <C>

PART I.  FINANCIAL INFORMATION

Item 1.  Financial Statements.

         Consolidated Balance Sheets
         June 30, 2000 (unaudited) and December 31, 1999                     3

         Consolidated Statements of Operations
         Three Months and Six Months ended June 30, 2000 and 1999
         (unaudited)                                                         4

         Consolidated Statements of Cash Flows
         Six Months ended June 30, 2000 and 1999 (unaudited)                 5

         Notes to Consolidated Financial Statements                      6 - 7

Item 2.  Management's Discussion and Analysis of the Consolidated
         Financial Condition and Results of Operations                  8 - 10

PART II. OTHER INFORMATION:

Item 4.  Submission of Matters to a Vote of Security Holders.               11

Item 6.  Exhibits and Reports on Form 8-K.                                  11

         Signatures                                                         12
</TABLE>


<PAGE>

<TABLE>


PART I.  FINANCIAL INFORMATION

ITEM 1.  Financial Statements

                          PROPERTY CAPITAL TRUST, INC.
                           Consolidated Balance Sheets
                 June 30, 2000 (Unaudited)and December 31, 1999
<CAPTION>
                                       June 30, 2000         December 31, 1999
                                      ---------------        ----------------
                                     Assets
<S>                                     <C>                     <C>

Rental Property, at cost

  Land                                   $    202,500            $  202,500
  Building & Fixtures                       1,243,600              1,243,600
  Tenant improvements                         402,114                402,114
                                         ------------            -----------
                                            1,848,214              1,848,214
  Less Accumulated depreciation               874,201                858,757
                                         ------------            -----------
                                              974,013                989,457

  Cash and Cash Equivalents                   131,993                180,931
  Prepaid Expense                               5,000                  5,000
  Deferred Charges, Net of
   Accumulated Amortization of
   $38,130 in 2000 and $35,195
   in 1999                                     50,442                 53,377
  Deferred Rent                               243,863                267,088
                                         ------------            -----------
                                         $  1,405,311            $ 1,495,853
                                         ============            ===========
                 Liabilities and Shareholders' Equity (Deficit)

Liabilities:
  Current portion of mortgage

     payable                             $     13,125            $    13,125
  Notes payable- other                        315,910                315,910
  Accounts payable
   and accrued expenses                        69,681                 74,101
  Tenant security deposits                     11,453                 11,453
                                         ------------            -----------
                                              410,169                414,589
Mortgage Payable, Net of current
   Portion                                    971,595                978,252

Commitments and Contingencies

Limited Partners' Interest
  in Operating Partnership                    412,798                412,798

Shareholders' Equity (Deficit)
 Common stock, $.01 par value
 Authorized - 30,000,000 shares
 Issued and outstanding - 479,226               4,792                  4,792
 Additional paid in capital                   995,208                995,208
 Accumulated deficit                       (1,389,251)            (1,309,786)
                                         ------------            -----------
                                             (389,251)              (309,786)
                                         ------------            -----------
                                         $  1,405,311            $ 1,495,853
                                         ============            ===========
                     The accompanying notes are an integral
                part of these consolidated financial statements.
</TABLE>


<PAGE>

<TABLE>
                          PROPERTY CAPITAL TRUST, INC.
                Consolidated Statements of Operations (Unaudited)
<CAPTION>
                               Three Months                   Six Months
                              Ended June 30                 Ended June 30,

                           2000             1999         2000            1999
                           ----             ----         ----            ----
<S>                    <C>             <C>           <C>            <C>

Revenues:

 Rental Income          $  77,638       $   77,638    $  155,275     $  155,275
 Interest Income              989            9,148         2,224          9,734
                        ---------       ----------    ----------     ----------
                           78,627           86,786       157,499        165,009
                        ---------       ----------    ----------     ----------
Expenses:

 Transaction Costs              -        1,252,710             -      1,252,710
 Administrative and
   Financial expenses      46,194            3,625        57,587          9,103
 Professional services
   expenses                19,195           12,500        32,969         12,500
 Interest expense          27,568           17,260        54,756         17,260
 Depreciation &
   amortization             9,188            8,251        18,379         16,024
                        ---------       ----------    ----------    -----------
                          102,145        1,294,346       163,691      1,307,597
                        ---------       ----------    ----------    -----------
Loss before
 limited partners'
 interest in operating
 partnership income       (23,518)      (1,207,560)       (6,192)    (1,142,588)
Limited partners'
 interest in operating
 partnership income       (36,637)         (35,555)      (73,273)       (90,726)
                        ---------       ----------    ----------    -----------

Net Loss                $ (60,155)     $(1,243,115)   $  (79,465)   $(1,233,314)
                        =========      ===========    ==========    ===========

Basic and diluted loss
 per common share       $    (.13)     $     (2.59)   $     (.17)   $     (2.57)
                        =========      ===========    ==========    ===========

Dividends per common
share                   $       -      $         -    $        -    $         -
                        =========      ===========    ==========    ===========

Weighted average common
 shares outstanding       479,226          479,226       479,226        479,226
                        =========      ===========    ==========    ===========

                   The accompanying notes are an integral part
                  of these consolidated financial statements.

</TABLE>

<PAGE>

<TABLE>


                          PROPERTY CAPITAL TRUST, INC.
                Consolidated Statements of Cash Flows (Unaudited)
                     Six Months ended June 30, 2000 and 1999
<CAPTION>

                                            2000                       1999
                                         -----------                -----------
Cash Flows from Operating Activities:
<S>                                    <C>                      <C>

 Net Loss                               $    (79,465)            $   (1,233,314)
 Limited partners' interest in
   operating partnership income               73,273                     90,726
 Adjustments to reconcile net
   loss to net cash
   provided by (used in)
   operating activities:
   Depreciation and amortization              18,379                     16,024
   Decrease in accounts receivable                 -                   (268,844)
   Decrease in deferred rent                  23,225                     23,225
   (Decrease) increase in
    accrued expenses                          (4,420)                    92,880
                                        ------------             --------------
     Total Adjustments                       110,457                    (45,989)
                                        ------------             --------------
     Net cash provided by (used in)
     operating activities                     30,992                 (1,279,303)
                                        ------------             --------------

Cash Flows From Investing Activities:
   Purchase of furniture and fixtures              -                     (8,000)
   Expenditures for deferred charges               -                    (28,602)
                                        ------------             --------------
   Net cash used in investing activities           -                    (36,602)
                                        ------------             --------------

Cash Flows From Financing Activities:
 Proceeds from notes payable                       -                    561,352
 Proceeds from issuance of common stock            -                  1,000,000
 Proceeds from mortgage payable                    -                  1,000,000
 Principal paid on mortgage payable           (6,657)                    (2,673)
 Distributions to partners                   (73,273)                (1,145,000)
                                        ------------             --------------
   Net cash (used in) provided by
   financing activities                      (79,930)                 1,413,679
                                        ------------             --------------

Net (decrease) increase in cash              (48,938)                    97,774

Cash, beginning of period                    180,931                    153,094
                                        ------------             --------------

Cash, end of period                     $    131,993             $      250,868
                                        ============             ==============


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


<PAGE>



                          PROPERTY CAPITAL TRUST, INC.
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(1)    BASIS OF PRESENTATION

The interim  consolidated  financial  statements presented have been prepared by
Property  Capital  Trust,  Inc.  ("PCT")  without  audit and,  in the opinion of
management, reflect all adjustments of a normal recurring nature necessary for a
fair  statement of its financial  position at June 30, 2000,  and the results of
its  operations  for the three and six months ended June 30, 2000 and 1999,  and
cash flows for the six months ended June 30, 2000 and 1999.  Interim results are
not  necessarily  indicative  of  results  for a  full  year.  The  consolidated
financial  statements  represent the activity of PCT and Property  Capital Trust
Limited Partnership ("PCT LP"), a Massachusetts limited partnership of which PCT
is the sole general partner.

The  consolidated  financial  statements and notes are presented as permitted by
Form  10-Q  and  do not  contain  certain  information  included  in the  annual
financial statements and notes of PCT. The consolidated financial statements and
notes  included  herein  should  be read in  conjunction  with the  consolidated
financial  statements  and notes included in PCT's Current Annual Report on form
10-K, filed with the Securities and Exchange Commission on March 29, 2000.

(2)      BUSINESS AND ORGANIZATION

PCT LP was formed pursuant to the provisions of the Uniform Limited  Partnership
Act of  Massachusetts  to  acquire,  hold,  develop,  operate,  and  lease  real
property. PCT LP owns and operates commercial real estate located at 51 New York
Avenue, Framingham, Massachusetts.

In May 1999,  Maryland  Property  Capital Trust,  Inc., a Maryland  corporation,
merged  with  Property   Capital  Trust  (the   "Trust"),   a  publicly   traded
Massachusetts  business trust. PCT changed its name to "Property  Capital Trust,
Inc." and  intends to  continue  to qualify as a Real  Estate  Investment  Trust
("REIT").  Immediately  following the merger, PCT LP purchased 319,489 shares of
common  stock of PCT for an  aggregate  price of  $1,000,000,  which  stock  was
distributed  to the partners of PCT LP. PCT LP borrowed  $1,000,000,  secured by
the property  located at 51 New York  Avenue,  Framingham,  Massachusetts,  as a
source of funding this  purchase.  In connection  with these  transactions,  the
partnership  agreement of PCT LP was amended and  restated  and PCT  contributed
$1,000,000  to the  capital  of PCT LP and  became  the  general  partner of the
partnership.

As a result of transactions  outlined above,  PCT LP's limited  partners control
approximately  67% of the voting stock of PCT. Because PCT LP's partners own the
larger  portion  of the  voting  rights of PCT,  PCT LP has been  treated as the
"accounting  acquirer" and  historical  information  of PCT solely  reflects the
financial  information of PCT LP for the periods prior to May 28, 1999, the date
on which the merger was consummated.

(3)      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The  significant   accounting   policies   followed  by  PCT  in  preparing  its
consolidated  financial  statements  are set forth in Note (1) to such financial
statements  included in Form 10-K for the year ended  December 31, 1999. PCT has
made no  significant  change in these  policies  during the three and six months
ended June 30, 2000.


<PAGE>




(4)    SEGMENT INFORMATION

Management of PCT has decided to operate the business  with only one  reportable
segment.  The  results of  operations  for the rental  real  estate  segment are
reflected in the accompanying consolidated financial statements.


<PAGE>



                          PROPERTY CAPITAL TRUST, INC.

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

FORWARD-LOOKING STATEMENTS

This  Management's   Discussion  and  Analysis  of  the  Consolidated  Financial
Condition  and  Results of  Operations,  and other  sections  of this  Quarterly
Report, contain forward-looking  statements within the meaning of Section 27A of
the  Securities  Act of 1933 and Section 21E of the  Securities  Exchange Act of
1934, including statements that are based on current expectations, estimates and
projections about the industries in which PCT operates, management's beliefs and
assumptions  made  by  management.  Words  such  as  "expects",   "anticipates",
"intends", "plans", "believes",  "seeks", "estimates",  variations of such words
and  similar   expressions   are  intended  to  identify  such   forward-looking
statements.  These  statements  are not  guarantees  of future  performance  and
involve  certain risks,  uncertainties  and  assumptions  which are difficult to
predict.  These risks, among others,  that could affect PCT's future performance
include:  (i) changes in business strategy and development  opportunities;  (ii)
the business  abilities  and judgment of PCT's  officers  and  directors;  (iii)
failure of PCT to qualify as a REIT; (iv) real estate investment considerations,
such as the effect of economic and other conditions in PCT's market area in cash
flows and values; and (v) PCT's ability to generate revenues  sufficient to meet
debt service  payments and other operating  expenses that are not otherwise paid
by the  existing  tenant.  Therefore,  actual  outcomes  and  results may differ
materially  from those in such  forward-looking  statements.  PCT  undertakes no
obligation  to update  publicly  any  forward-looking  statements,  whether as a
result of new information, future events or otherwise.

OVERVIEW

Maryland Property Capital Trust, Inc. ("PCT"), a Maryland corporation was formed
on June 15,  1998.  In May 1999,  PCT merged with  Property  Capital  Trust (the
"Trust"), a publicly traded  Massachusetts  business trust. PCT changed its name
to "Property  Capital Trust,  Inc." and intends to continue to qualify as a Real
Estate  Investment  Trust ("REIT")  under the Internal  Revenue Code of 1986, as
amended.

PCT does not own directly any real estate.  PCT's sole asset is its  approximate
1% general partnership interest and approximate 32.3% common limited partnership
interest in PCT LP.

PCT LP owns 17,250  square feet of real  estate  located at 51 New York  Avenue,
Framingham,  MA. This  property is comprised of 1.1 acres of land  improved by a
one-story  combined office and research  development  building.  Framingham York
Associates  Limited  Partnership,  the  predecessor  of PCT  LP,  acquired  this
property  in 1985.  Currently,  Genzyme  Corporation  is the sole  tenant of the
property.  The lease, as amended,  is for a term of twenty years that expires in
September  2005.  As of June 30,  2000,  PCT LP had an  outstanding  mortgage of
$984,720  that is secured by the real estate and  assignment  of rents under the
operating lease.

PCT relies on the  experience  and  knowledge of its  officers and  directors to
manage its  growth,  if any.  PCT  believes  that its  executive  officers  have
long-standing  relationships with  institutional  owners,  lenders,  bankers and
other real estate operators and developers which PCT anticipates may provide PCT
with access to transaction activity and investment opportunities. As part of its
strategy,  PCT  anticipates  that it may  position  itself to produce  portfolio
growth if and when the capital markets for REIT's recover from the downturn that
began in mid-1998  and as funding for real estate  activities  of publicly  held
entities  becomes  more  readily  available.  Until  PCT is  satisfied  that the
financial  markets are  sufficiently  stabilized  to allow growth of PCT, PCT LP
will be  operated  with the  existing  single  property  and with all  operating
expenses   maintained  at  the  lowest  levels,   consistent   with   regulatory
requirements and other needs. Given appropriate market conditions,  PCT believes
that its REIT  structure  will  allow  PCT to make  tax  efficient  acquisitions
through the  issuance of units of  partnership  interest of PCT LP. PCT also may
issue equity  securities of PCT that may be senior to the shares of common stock
of PCT.

RESULTS OF OPERATIONS

FOR THE THREE MONTHS ENDED JUNE 30, 2000 COMPARED WITH THE THREE MONTHS ENDED
JUNE 30, 1999

Revenues

Rental income for the three months ended June 30, 2000 and 1999 totaled $77,638.
Interest income decreased $8,159 from $9,148 for the three months ended June 30,
1999 to $989 for the three months ended June 30, 2000. In April 1999, $1,000,000
of mortgage  proceeds,  net of closing  costs,  were  invested in a money market
account until the transaction costs were paid in June 1999.  Interest income for
the three  months  ended  June 30,  2000 is the  result of the  working  capital
reserves being invested in similar accounts.

Expenses

Transaction  costs for the three months ended June 30, 1999 totaled  $1,252,710.
These costs  included  legal,  accounting,  printing,  insurance and other costs
related to the  issuance  of the  common  stock  certificates  to PCT LP and the
shareholders of the Trust.

These costs were expensed as of June 30, 1999.

Administrative  and Financial  expenses totaled $46,194 and $3,625 for the three
months ended June 30, 2000 and 1999,  respectively.  The  approximately  $42,600
increase in expenses  are a result of PCT having a full three months of expenses
for the three  months  ended June 30, 2000 as compared to the three months ended
June 30, 1999.  These  operating  costs  include  insurance,  investor  services
related to the proxy, annual shareholders  meeting and stock transfers,  storage
and printing.

Professional  Services  expenses  increased  $6,695  from  $12,500 for the three
months  ended June 30, 1999 to $19,195 for the three months ended June 30, 2000.
This increase is primarily due to the additional  work done in  preparation  for
the annual proxy statement and shareholders meeting held in May.

Interest expense  increased $10,308 from $17,260 for the three months ended June
30, 1999 to $27,568 for the three months  ended June 30,  2000.  The increase is
due to a full  three  months  of  interest  due on both  the  mortgage  and note
payable.

FOR THE SIX MONTHS ENDED JUNE 30, 2000  COMPARED  WITH THE SIX MONTHS ENDED JUNE
30, 1999.

Revenues

Rental  Income was  $155,275  for the six months  ended June 30,  2000 and 1999.
Interest Income  decreased  $7,510 from $9,734 for the six months ended June 30,
1999 to $2,224 for the six months ended June 30, 2000. In April 1999, $1,000,000
of mortgage  proceeds,  net of closing  costs were  invested  in a money  market
account until the transactions costs were paid in June 1999. Interest Income for
the six months ended June 30, 2000 is a result of the working  capital  reserves
being invested in similar accounts.

Transaction  Costs for the six months  ended June 30, 1999  totaled  $1,252,710.
These costs  included  legal,  accounting,  printing,  insurance and other costs
related to the  issuance  of the  common  stock  certificates  to PCT LP and the
shareholders  of the Trust.  These costs were  expensed as of June 30, 1999.  No
additional costs have been incurred for the six months ended June 30, 2000.

Administrative  and  Financial  Expenses  increased  approximately  $48,500 from
$9,103 for the six  months  ended  June 30,  1999 to $57,587  for the six months
ended June 30, 2000. The increase is a result of PCT having a full six months of
expenses for the period ended June 30, 2000.  These operating  expenses  include
insurance coverage,  investor services related to the proxy, annual shareholders
meeting and stock transfers, storage and printing.

Professional  Services expense increased $20,469 from $12,500 for the six months
ended June 30,  1999 to  $32,969  for the six months  ended June 30,  2000.  The
increase is primarily due to the additional  reporting and compliance  work done
in preparation for the annual report,  proxy statement and shareholders  meeting
held in May.

Interest  Expense  increased  $37,496 from $17,260 for the six months ended June
30, 1999 to $54,756 for the six months ended June 30, 2000.  The increase is due
to a full six months of interest due on both the mortgage and note payable.

FINANCIAL CONDITION, LIQUIDITY AND CAPITAL RESOURCES

Cash and cash equivalents were $131,993 at June 30, 2000 as compared to $180,931
at December 31, 1999.  Management has considered the liquidity  needs of PCT and
the adequacy of expected  liquidity  sources to meet these needs. As long as the
tenant continues to pay the rent obligation to PCT LP and  substantially  all of
the  operating  costs,  as  provided  for under the  existing  lease  agreement,
management   believes  the  level  of  working  capital  provided  by  operating
activities  will  be  sufficient  to pay the  monthly  debt  service,  operating
expenses not paid directly by the tenant, the minimum distributions  required to
maintain  PCT's  REIT  qualification  under the  Internal  Revenue  Code and the
quarterly distributions as required under the partnership agreement of PCT LP.

For the three months ended June 30, 2000,  cash from  operations  distributed to
the  partners  of PCT LP totaled  $36,636,  as compared to $72,500 for the three
months ended June 30, 1999. In July of 2000,  PCT LP  distributed  an additional
$36,636 to its limited partners.

PART II.  OTHER INFORMATION

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

     Property  Capital Trust,  Inc. (the  "Company")  held its annual meeting of
stockholders on May 25, 2000. The stockholders  voted to elect Robert L. Beal as
the Class II Director of the  Company to serve  until 2003.  416,482  votes were
cast for the election of Mr. Beal, and 512 votes were withheld. No other matters
were submitted to stockholders.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

(a)      Exhibits.

(3)      Articles of Incorporation and By-Laws

3.1                        The Articles of Amendment and Restatement of Property
                           Capital Trust, Inc., incorporated herein by reference
                           to Exhibit 3.1 to the Company's Annual Report on Form
                           10-K for the fiscal  year ended  December  31,  1999,
                           filed with the Securities and Exchange  Commission on
                           March 29, 2000 (file no. 000-26215).

3.2                        By-Laws of Property Capital Trust, Inc., incorporated
                           herein by reference  to Exhibit 3.2 to the  Company's
                           Annual  Report on Form 10-K for the fiscal year ended
                           December  31,  1999,  filed with the  Securities  and
                           Exchange  Commission  on March  29,  2000  (file  no.
                           000-26215).

(4)      Instruments Defining Rights of Shareholders

4.1                        Second  Amended  and  Restated  Agreement  of Limited
                           Partnership   of  Property   Capital   Trust  Limited
                           Partnership,  dated as of May 28,  1999 by and  among
                           Property  Capital  Trust,  Inc. and the persons whose
                           names  are  set  forth  on   Exhibit   A-1   therein,
                           incorporated  herein by  reference  to Exhibit 4.1 to
                           the Company's  Quarterly  Report on Form 10-Q for the
                           quarter   ended  March  31,  2000,   filed  with  the
                           Securities  and Exchange  Commission  on May 12, 2000
                           (file no. 000-26215).

(27)     Financial Data Schedule is filed herewith as Exhibit 27.

(b)      Reports on Form 8-K.

         No Current  Reports on Form 8-K were  filed by the  Company  during the
quarter ending June 30, 2000.


<PAGE>




                          PROPERTY CAPITAL TRUST, INC.
                                   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 AS OF THE 4TH day of August 2000.

                          PROPERTY CAPITAL TRUST, INC.

                                   /S/ BRUCE A. BEAL

                                   Bruce A. Beal, President

                                   /S/ MICHAEL A. MANZO

                                   Michael A. Manzo, Treasurer
                                   (Principal Financial Officer)


<PAGE>