UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D. C. 20549

                        FORM 10-Q/A (Amendment Number 1)

(Mark one)

[x]                   QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d)
                      OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended              June 30, 1999
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                                       OR

[ ]                   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                      OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from                    to
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Commission File Number                        0-11176
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                            NTS-PROPERTIES III
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             (Exact name of registrant as specified in its charter)

 Georgia                                             61-1017240
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(State or other jurisdiction of                  (I.R.S. Employer
incorporation or organization)                   Identification No.)

10172 Linn Station Road
Louisville, Kentucky                                   40223
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(Address of principal executive                      (Zip Code)
offices)

Registrant's telephone number,
including area code                                (502) 426-4800
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                                Not Applicable
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               Former name, former address and former fiscal year,
                          if changed since last report

Indicate by check mark whether the registrant (l) 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,  and (2) has been subject to such filing  requirements
for the past 90 days.

                                                                YES  X   NO ____

Exhibit Index: See page 2
Total Pages: 3


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Introduction
------------

This  report  on form  10-Q/A  (Amendment  Number  1) is  being  filed  with the
Securities  and Exchange  Commission to amend Item 6 of the Quarterly  Report on
Form 10-Q of  NTS-Properties  III for the three months ended June 30, 1999.  The
above referenced item appears in its entirety in this report.

PART II.  OTHER INFORMATION


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

         (a)    Exhibits

                Exhibit 27. Financial Data Schedule

         (b)    Reports on Form 8-K

                None.










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                                   SIGNATURES
                                   ----------


Pursuant to the  requirements of Section 13 or 15(d) 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.


                                         NTS-PROPERTIES III
                                         ------------------
                                            (Registrant)

                                         BY:    NTS-Properties Associates,
                                                General Partner
                                                BY:   NTS Capital Corporation,
                                                General Partner


                                                /s/ Gregory A. Wells
                                                --------------------
                                                Gregory A. Wells
                                                Executive Vice President
                                                of NTS Capital Corporation

Date: August 16, 1999









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