UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                          WASHINGTON, D.C. 20549
[X]            ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)
                  OF THE SECURITIES EXCHANGE ACT OF 1934
                For the fiscal year ended December 31, 1998
                                    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 33-20345
                     FIRST CHURCH FINANCING CORPORATION         
          (Exact name of registrant as specified in its charter)
          Wisconsin                                         39-1670677     
(State or other jurisdiction of                        (I.R.S. Employer    
 incorporation or organization)                         Identification No.)
             215 North Main Street, West Bend, Wisconsin 53095    
          (Address of principal executive offices)     (Zip Code)
    Registrant's telephone number, including area code:  (414) 334-5521
     Securities registered pursuant to Section 12(b) of the Act:  None
     Securities registered pursuant to Section 12(g) of the Act:  None
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 by check mark if disclosure of delinquent filers pursuant to Item
405 of Regulation S-K is not contained herein, and will not be contained, to
the best of registrant's knowledge, in definitive proxy or information
statements incorporated by reference in Part III of this Form 10-K or any
amendment to this Form 10-K.  (X)
Aggregate market value of voting stock held by nonaffiliates of the
registrant:  None
The number of shares outstanding of the registrant's Common stock, par value
$1.00 per share, at February 28, 1999 was 1,000 shares.
REGISTRANT MEETS THE CONDITIONS SET FORTH IN GENERAL INSTRUCTIONS I(1)(a) AND
(b) OF FORM 10-K AND IS THEREFORE FILING THIS FORM WITH THE REDUCED
DISCLOSURE FORMAT.
                DOCUMENTS INCORPORATED BY REFERENCE:  NONE
<PAGE>
                                  FORM 10-K
                    FIRST CHURCH FINANCING CORPORATION
                                  PART I
Item 1  -   Business 
      (Pursuant to General Instruction I)
      First Church Financing Corporation (the "Company") was incorporated in
the state of Wisconsin on May 3, 1990 and is a wholly-owned subsidiary of The
Ziegler Companies, Inc. (the "Parent").  The Company was organized to
facilitate the financing of mortgage loans and does not intend to engage in
any other business activities.  The Company began doing business on March 24,
1993, when it issued its first series of bonds.  The Parent is a Wisconsin
corporation whose shares trade on the American Stock Exchange.
      The Company was organized to securitize mortgages on church properties
for offerings to the public and is not permitted and does not intend to
engage in any business or investment activities other than those described in
its Articles of Incorporation.  Article 3 of the Issuer's Articles of
Incorporation provides that the purposes for which the Issuer is formed are
(i) to issue bonds secured by promissory notes secured by first liens on real
estate, (ii) to purchase or otherwise acquire, own, hold, transfer, convey,
assign, pledge, mortgage, finance, refinance and otherwise deal with such
mortgage collateral, (iii) to invest and reinvest the payments received with
respect to the mortgage collateral and from any disposition or liquidation of
the mortgage collateral, and (iv) to engage in any activities incidental and
necessary for such purposes.
      As of December 31, 1998, the Company has issued three series of
mortgage-backed bonds totaling $13,265,000.  One series was issued in 1993
for $4,586,000, a second series was issued in 1994 for $4,456,000, and a
third series was issued in 1995 for $4,223,000.  The mortgage-backed bonds
are collateralized by pools of loans secured by first mortgages on church
buildings and properties.  The loans and mortgages in the pools typically
originate from church financings which are too small in principal amount to
support a separate public offering of bonds.
      B. C. Ziegler and Company, also a wholly-owned subsidiary of the
Parent, acts as underwriter of the mortgage-backed bonds, for which it
receives a fee.
      Ziegler Financing Corporation, also a wholly-owned subsidiary of the
Parent, sold the mortgage loans to the Company and acts as servicer of the
mortgage loans.  The mortgage loans were purchased from Ziegler Financing
Corporation by the Company at cost less loan fees charged to the borrower. 
The monthly servicing fee paid to Ziegler Financing Corporation by the
Company is equal to .0292% of the average outstanding principal balance of
the mortgage loans during the preceding month.
      There are no employees of the Company.
Item 2  -   Properties
      The Company headquarters is located in West Bend, Wisconsin, at the
offices owned by the Parent.  The Company owns no real estate and leases no
office space.
Item 3  -   Legal Proceedings
      The Company is not a party to any pending legal proceedings.
Item 4  -   Submission of Matters to a Vote of Security Holders
      (Omitted pursuant to General Instruction I)
<PAGE>
                                   PART II
Item 5  -   Market for the Company's Common Equity and Related Stockholder
            Matters
      There is no market for the common stock of the Company.  The Parent
owns 100% of the issued and outstanding shares of the Company.
Item 6  -   Selected Financial Data
      (Omitted pursuant to General Instruction I)
Item 7  -   Management's Narrative Analysis of Results of Operations
      (Pursuant to General Instruction I)
      The Company began doing business during the first quarter of 1993.  In
March, 1993, the Company issued its first series of mortgage-backed bonds
(the "Bonds") totaling $4,586,000.  The second series of Bonds was issued in
August, 1994, totaling $4,456,000.  The third series of Bonds was issued in
December, 1995, totaling $4,223,000.  The Company does not expect to issue
mortgage-backed bonds in the future.
      Total revenues, consisting primarily of interest income, were $863,000
in 1998 compared to $1,013,000 in 1997, a decrease of $150,000 or 15%.  Total
expenses, consisting primarily of interest expense, were $810,000 in 1998
compared to $948,000 in 1997, a decrease of $138,000 or 15%.  The decrease in
both total revenues and total expenses is due to a reduction in outstanding
notes and bonds.  Net income was $32,000 in 1998 compared to $39,000 in 1997.
      Total revenues, consisting primarily of interest income, were
$1,013,000 in 1997 compared to $1,113,000 in 1996, a decrease of $100,000 or
9%.  Total expenses, consisting primarily of interest expense, were $948,000
in 1997 compared to $1,048,000 in 1996, a decrease of $100,000 or 9%.  The
decrease in both total revenues and total expenses is due to a reduction in
outstanding notes and bonds.  Net income was $39,000 in 1997 compared to
$40,000 in 1996.
      Each series of bonds is structured in a manner such that funds received
from the mortgage loans are sufficient to fund interest and principal
payments on the Bonds as well as other expenses of the Company.  All payments
of principal and interest due on the church mortgage loans securing the Bonds
have been received by the Company.  Principal payments received on mortgage
loans were $4,034,000 in 1998; $1,214,000 in 1997; and $1,581,000 in 1996. 
Bond redemptions totaled $4,040,000 in 1998; $1,219,000 in 1997; and
$1,592,000 in 1996.
      Ziegler Financing Corporation, a related corporation, acts as servicer
for the mortgage loans for which it receives a fee.  The monthly fee is equal
to .0292% of the average outstanding principal balance of the mortgage loans
during the preceding month.  Servicing fees paid Ziegler Financing
Corporation were $28,000 in 1998; $36,000 in 1997; and $38,000 in 1996.  At
December 31, 1998, there were $5,046,000 of Bonds outstanding collateralized
by approximately $5,330,000 of mortgage loans.
      The Company expects to have its primary computer system Year 2000
compliant by the second quarter of 1999.  The trustee of the issuer has 
indicated that its systems were either Year 2000 compliant when designed and
programmed or have been reprogrammed to be Year 2000 compliant.
Item 7a -  Quantitative and Qualitative Disclosure about Market Risk
      Market risk arises from exposure to changes in interest rates, exchange
rates, commodity prices and other relevant market rate or price risk which
impact an instrument's financial value.  The Company would be exposed to
market risk from changes in interest rates, except that the structured nature
of the Company's activities minimizes this risk.  The cash flows from
principal payments on the Mortgage Loans are used to retire the principal of
the Mortgage-Backed Bonds Payable (see Note 4 of the Notes to Financial
Statements).
      The table below provides information about the Company's financial
instruments that are sensitive to changes in interest rates, which include
mortgage loans and bonds payable.  The table presents principal cash flows
and related weighted average interest rates by expected maturity dates.  The
principal payments on the Mortgage Loans are the result of normal
amortization (see Note 3 of the Notes to Financial Statements).  The table
assumes that an equal amount of Mortgage-Backed Bonds Payable will be
redeemed, as required by the indenture.  Fair value is derived in accordance
with the procedures described in Note 7 of the Company's Notes to Financial
Statements.
<TABLE>
<CAPTION>
                                  Expected Maturity Dates
                                      (In US dollars)    
ASSETS                       1999-2003    Thereafter      Total      Fair Value
<S>                         <C>           <C>           <C>           <C>
Mortgage Loans (1)          $2,258,753    $3,071,565    $5,330,318    $5,180,944
  Weighted average
    interest rate                                             9.20%
LIABILITIES
Mortgage-Backed Bonds
  Payable (1)                2,258,000     2,788,000     5,046,000     5,046,000
    Weighted average
      interest rate                                           8.26%
(1) Assumes no prepayments.
</TABLE>
Item 8  -   Financial Statements and Supplementary Data
      The Financial Statements of the Company, together with the related
Notes to Financial Statements and Report of Independent Public Accountants,
are contained in the Financial Statements section included herein for the
years ended December 31, 1998 and 1997.
<PAGE>
                                  PART III
Item 9  -   Disagreements with Accountants on Accounting and Financial
            Disclosure
      There were no reports on Form 8-K reporting a change of accountants or
a disagreement with accountants on any matter of accounting principles or
practices on financial statement disclosure filed during the fiscal years
1998 and 1997.
Item 10 -   Directors and Executive Officers of the Company
      (Omitted pursuant to General Instruction I)
Item 11 -   Executive Compensation
      (Omitted pursuant to General Instruction I)
Item 12 -   Security Ownership of Certain Beneficial Owners and Management
      (Omitted pursuant to General Instruction I)
Item 13 -   Certain Relationships and Related Transactions
      (Omitted pursuant to General Instruction I)
<PAGE>
                                   PART IV
Item 14 -   Exhibits, Financial Statement Schedules, and Reports on Form 8-K
      (a)   Documents list
            1.    Financial Statements:
                  -     Report of Independent Public Accountants (Page 10)
                  -     Balance Sheets as of December 31, 1998 and 1997
                        (Page 11)
                  -     Statements of Income for the Years Ended
                        December 31, 1998, 1997 and 1996 (Page 12)
                  -     Statements of Stockholder's Equity for the Years
                        Ended December 31, 1998, 1997 and 1996 (Page 13)
                  -     Statements of Cash Flows for the Years Ended
                        December 31, 1998, 1997 and 1996 (Page 14)
                  -     Notes to Financial Statements, dated as of
                        December 31, 1998 and 1997 (Page 15)
            2.    Financial Statement Schedules - None
            3.    Exhibits
                  (3)   Articles of Incorporation and Bylaws of the Company
                        (incorporated herein by reference to exhibits 3.1
                        and 3.2, respectively, to the Company's Registration
                        Statement on Form S-11).
                  (4)   (A)   Indenture dated as of March 1, 1993, between
                              the Company and M&I First National Bank, West
                              Bend (incorporated by reference to Exhibit 4.1
                              to Form 8-K dated March 24, 1993).
                        (B)   First Supplemental Indenture dated as of March
                              1, 1993, between the Company and M&I First
                              National Bank, West Bend (incorporated herein
                              by reference to Exhibit 4.2 to Form 8-K dated
                              March 24, 1993).
                        (C)   Second Supplemental Indenture dated as of
                              August 1, 1994, between the Company and M&I
                              First National Bank, West Bend (incorporated
                              herein by reference to Exhibit 4.1 to Form 8-K
                              dated July 20, 1994).
                        (D)   Supplemental Indenture 1-A, dated as of
                              November 1, 1994, between the Company and M&I
                              First National Bank, West Bend (incorporated
                              herein by reference to Exhibit 4.4 to Form
                              10-Q dated September 30, 1994).
                         (E)   Third Supplemental Indenture dated as of
                              December 1, 1995, between the Company and M&I
                              First National Bank, West Bend (incorporated
                              herein by reference to Exhibit 4.1 to Form 8-K
                              dated December 1, 1995).
                  (10)  Form of Underwriting Agreement dated March 1, 1993,
                        between the Company and B. C. Ziegler and Company
                        (incorporated by reference to Exhibit 1.1 to the
                        Company's Registration Statement on Form S-11).
      (b)   Reports on Form 8-K
            None
      (c)   Exhibits Required by Item 601 of Regulation S-K
            Included in Item (a)(3) above.
      (d)   Financial Statement Schedules required by Regulation S-X
            None
                                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.
                                    FIRST CHURCH FINANCING CORPORATION
March 29, 1999                      By /s/ Scott D. Rolfs                 
                                          Scott D. Rolfs
                                          President
      Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following persons in the capacities
and on the dates indicated.
     Signature                         Title                   Date
/s/ Scott D. Rolfs            President and Director       March 29, 1999
Scott D. Rolfs                (Chief Executive Officer)
/s/ Jeffrey C. Vredenbregt    Acting Treasurer             March 29, 1999
Jeffrey C. Vredenbregt        (Chief Accounting Officer)
<PAGE>
INDEX TO FINANCIAL STATEMENTS
The following financial statements are referenced in Item 8:
                                                                  Page
      Report of Independent Public Accountants                     10
      Balance Sheets as of December 31, 1998 and 1997              11
      Statements of Income for the Years Ended
       December 31, 1998, 1997 and 1996                            12
      Statements of Stockholder's Equity for the Years Ended
       December 31, 1998, 1997 and 1996                            13
      Statements of Cash Flows for the Years Ended
       December 31, 1998, 1997 and 1996                            14
      Notes to Financial Statements, dated as of
       December 31, 1998 and 1997                                  15
      Exhibit 27 Financial Data Schedule                           20
<PAGE>
                 REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Stockholder and Board of Directors of
  First Church Financing Corporation:
      We have audited the accompanying balance sheets of FIRST CHURCH
FINANCING CORPORATION (a Wisconsin corporation and a wholly owned subsidiary
of The Ziegler Companies, Inc.) as of December 31, 1998 and 1997, and the
related statements of income, stockholder's equity and cash flows for each of
the three years in the period ended December 31, 1998.  These financial
statements are the responsibility of the Company's management.  Our
responsibility is to express an opinion on these financial statements based
on our audits.
      We conducted our audits in accordance with generally accepted auditing
standards.  Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement.  An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. 
An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation.  We believe that our audits provide a
reasonable basis for our opinion.
      In our opinion, the financial statements referred to above present
fairly, in all material respects, the financial position of First Church
Financing Corporation as of December 31, 1998 and 1997, and the results of
its operations and its cash flows for each of the three years in the period
ended December 31, 1998, in conformity with generally accepted accounting
principles.
                                    /s/ Arthur Andersen LLP
                                    ARTHUR ANDERSEN LLP
Milwaukee, Wisconsin,
February 26, 1999.
<PAGE>
                          FIRST CHURCH FINANCING CORPORATION
                                  BALANCE SHEETS
                          AS OF DECEMBER 31, 1998 and 1997
<TABLE>
<CAPTION>
                                                               1998           1997
ASSETS
<S>                                                         <C>           <C>  
Cash                                                        $    5,523    $    4,607
Assets held by trustee                                         224,603       270,679
Accrued interest receivable                                     40,864        71,867
Mortgage loans held by trustee (net of purchase
 discounts of $149,374 and $286,608, respectively)           5,180,944     9,077,790
Deferred issuance costs                                        144,851       284,540
Tax refund due from Parent                                           -        16,670
Other assets                                                         -         1,256
      Total assets                                          $5,596,785    $9,727,409
LIABILITIES AND STOCKHOLDER'S EQUITY
Accrued interest payable                                    $  102,955    $  190,368
Mortgage-Backed bonds payable                                5,046,000     9,086,000
Due to affiliate                                                     -           585
Note payable to affiliate                                            -        35,000
Accrued income tax                                                 329             -
      Total liabilities                                      5,149,284     9,311,953
Stockholder's Equity:
Common Stock, $1 par value; 50,000 shares authorized;
 1,000 shares issued and outstanding                             1,000         1,000
Additional paid-in capital                                     269,631       269,631
Retained earnings                                              176,870       144,825
      Total stockholder's equity                               447,501       415,456
      Total liabilities and stockholder's equity            $5,596,785    $9,727,409
</TABLE>
                   The accompanying notes to financial statements
                    are an integral part of these balance sheets.
<PAGE>
                      FIRST CHURCH FINANCING CORPORATION
                             STATEMENTS OF INCOME
             FOR THE YEARS ENDED DECEMBER 31, 1998, 1997 and 1996
<TABLE>
<CAPTION>
                                              1998       1997         1996
<S>                                         <C>       <C>           <C>
Revenues:
Interest income                             $718,518  $  949,208    $1,031,239
Gain on liquidation of mortgage loans        117,371      38,391        53,308
Other income                                  26,851      25,575        28,554
    Total revenues                           862,740   1,013,174     1,113,101
Expenses:
Interest expense                             617,605     822,344       897,553
Amortization of deferred issuance costs      139,841      64,854        83,413
Servicing fees                                27,867      35,697        38,831
Other                                         24,382      25,006        27,941
    Total expenses                           809,695     947,901     1,047,738
Income before income taxes                    53,045      65,273        65,363
Provision for income taxes                    21,000      25,800        25,800
    Net income                              $ 32,045  $   39,473    $   39,563
</TABLE>
                The accompanying notes to financial statements
                   are an integral part of these statements.
<PAGE>
                      FIRST CHURCH FINANCING CORPORATION
                      STATEMENTS OF STOCKHOLDER'S EQUITY
             FOR THE YEARS ENDED DECEMBER 31, 1998, 1997 and 1996
<TABLE>
<CAPTION>
                                              Additional
                                    Common     Paid-In     Retained
                                    Stock      Capital     Earnings     Total 
<S>                                <C>         <C>         <C>        <C>
BALANCE, December 31, 1995         $  1,000    $269,631    $ 65,789   $336,420
  Net income                              -           -      39,563     39,563
BALANCE, December 31, 1996            1,000     269,631     105,352    375,983
  Net income                              -           -      39,473     39,473
BALANCE, December 31, 1997            1,000     269,631     144,825    415,456
  Net income                              -           -      32,045     32,045
BALANCE, December 31, 1998         $  1,000    $269,631    $176,870   $447,501
</TABLE>
                The accompanying notes to financial statements
                   are an integral part of these statements.
<PAGE>
                            FIRST CHURCH FINANCING CORPORATION
                                 STATEMENTS OF CASH FLOWS
                   FOR THE YEARS ENDED DECEMBER 31, 1998, 1997 and 1996
<TABLE>
<CAPTION>
                                                         1998        1997        1996
<S>                                                 <C>           <C>         <C>
Cash flows from operating activities:
 Net income                                         $    32,045   $   39,473  $   39,563
 Adjustments to reconcile net income to
  net cash provided by operating activities:
   Gain on liquidation of mortgage loans               (117,371)     (38,391)    (53,308)
   Amortization of discount on mortgage loans           (20,015)     (25,573)    (28,554)
   Amortization of deferred issuance costs              139,841       64,854      83,413
   Amortization of other deferred costs                   1,256        7,536       7,536
   Change in assets and liabilities:
    Decrease (Increase) in -
     Assets held by trustee                              46,076       36,367      53,378
     Accrued interest receivable                         31,003        9,508     (10,330)
     Tax refund due from Parent                          16,670         (915)    (15,756)
    Increase (Decrease) in -
     Accrued interest payable                           (87,413)     (38,048)    (48,352)
     Due to affiliate                                      (585)          (1)        386
     Accrued income taxes payable                           329            -     (17,207)
  Net cash provided by operating activities              41,836       54,810      10,769
Cash flows from investing activities:
 Proceeds from -
  Principal payments on mortgage loans                4,034,080    1,214,174   1,581,488
  Net cash provided by investing activities           4,034,080    1,214,174   1,581,488
Cash flows from financing activities:
 Payments for -
  Repayment of note payable to affiliate                (35,000)     (50,000)     (5,000)
  Redemption of mortgage-backed bonds                (4,040,000)  (1,219,000) (1,592,000)
  Net cash used in financing activities              (4,075,000)  (1,269,000) (1,597,000)
Net increase (decrease) in cash                             916          (16)     (4,743)
Cash at beginning of period                               4,607        4,623       9,366
Cash at end of period                                $    5,523   $    4,607  $    4,623
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
 Interest paid during the period                       $705,000     $860,000    $946,000
 Income taxes paid during the period                   $  4,000     $ 27,000    $ 59,000
</TABLE>
                      The accompanying notes to financial statements
                         are an integral part of these statements.
<PAGE>
                     FIRST CHURCH FINANCING CORPORATION
                       NOTES TO FINANCIAL STATEMENTS
                        DECEMBER 31, 1998 and 1997
(1)   Organization
      First Church Financing Corporation (the "Company") is a limited purpose
      finance company.  The Company was organized to facilitate the financing
      of mortgage loans on church properties.  The Company is a wholly-owned
      subsidiary of The Ziegler Companies, Inc. (the "Parent").
(2)   Summary of Significant Accounting Policies
      Mortgage loans (the "Loans") are carried at face value less unamortized
      purchase discount.  The purchase discount on the loans is amortized
      over the life of the mortgage-backed bonds (the "Bonds") using the
      bonds outstanding method which approximates the effective interest rate
      method.  Deferred bond issuance costs consist of underwriting
      discounts.  Such costs are amortized over the life of the Bonds using
      the bonds outstanding method which approximates the effective interest
      rate method.  To the extent that the Loans are prepaid and the Bonds
      are called earlier than their maturity dates, gains are recognized and
      amortization of deferred issuance costs is accelerated, respectively.
      Cash equivalents are defined as unrestricted short-term investments
      maturing within three months of the date of purchase.
      Use of Estimates
      The preparation of financial statements in conformity with generally
      accepted accounting principles requires management to make estimates
      and assumptions that affect the reported amounts of assets and
      liabilities and disclosure of contingent assets and liabilities at the
      dates of the financial statements and the reported amounts of revenues
      and expenses during the reporting periods.  Actual results could differ
      from those estimates.
      Income Taxes
      The Company is included in a consolidated Federal income tax return
      filed by its Parent.  The consolidated tax provision is allocated among
      the Parent and its subsidiaries based on their respective contributions
      to consolidated taxable income.
      Certain income and expense items may be accounted for in different
      periods for financial reporting purposes than for income tax purposes. 
      If necessary, appropriate provisions are made in the Company's
      financial statements for deferred income taxes in recognition of these
      temporary differences.
(3)   Mortgage Loans
      The Loans consist of fixed-interest rate, full recourse real estate
      loans evidenced by promissory notes secured by mortgages.  The Loans
      are generally fully amortized over a 15-year period.  Prepayments may
      be made under specified conditions.  Principal and interest payments
      received from the Loans are received by the servicer (see Note 5) and
      deposited with the trustee.  These funds are used to meet semiannual
      interest payments on the Bonds, to reduce the outstanding principal
      balance of the Bonds, and to pay operating expenses of the Company.
(4)   Mortgage-Backed Bonds
<TABLE>
<CAPTION>
      The Bonds originally issued and outstanding at December 31, 1998, consist of
      the following:
                                                                Outstanding
                                                   Original      Principal
                         Date of      Stated       Principal       Amount
      Series   Rate       Bonds      Maturity       Amounts     at 12/31/98
         <C>   <C>        <C>         <C>        <C>             <C>
         1     8.25%      3/1/93      3/10/08    $ 4,586,000     $1,491,000
         2     8.75%      8/1/94      8/10/09      4,456,000      1,284,000
         3     8.00%     12/1/95     12/10/10      4,223,000      2,271,000
                                                 $13,265,000     $5,046,000
</TABLE>
      The stated maturity is the date by which all Bonds will be fully paid. 
      Mandatory redemptions will be made from principal payments on the Loans
      which serve as collateral for the Bonds.  The Loans generally require
      regular installments of principal and interest based upon a 15-year
      amortization schedule.  The receipt of scheduled principal payments
      will cause a substantial portion of the Bonds to have shorter
      maturities.
      The Bonds will be redeemed, without premium or penalty, to the extent
      funds are available in the interest and principal payment accounts
      maintained by the trustee.  Redemptions from such available funds
      (other than funds from prepayments of Loans) commence six months from
      the date of issue of a Bond series and continue on a semiannual basis
      thereafter.
      All interest and principal collected on the Loans, less a servicing fee
      paid to Ziegler Financing Corporation, a related entity, is to be
      deposited with the trustee of the Bonds.  Any amounts deposited with
      the trustee in excess of amounts required for payment of interest on
      and principal of the Bonds and an amount to be maintained in an
      interest reserve fund will be returned to the Company.
      The Bonds of any series may be redeemed in whole by the Company at such
      time as the aggregate principal amount of the outstanding Bonds for
      that series is 20% or less of the aggregate principal amount of the
      Bonds originally issued for that series.  Redemptions will also be made
      from unscheduled prepayments on the Loans, if such prepayments should
      occur.  Prepayments over and above the regular principal installments
      may be made by the mortgagor from borrowed funds on a monthly or
      quarterly basis commencing one year after the issue of a Bond series
      and from unborrowed funds on a monthly or quarterly basis after the
      issue of a Bond series.  Redemptions from such prepayments may be made
      after the same periods of time.
      In the event of default on the Loans, the Series 1 Bonds are
      nonrecourse to the Company.  The holders of the Series 1 Bonds may only
      look to the assets securing the Bonds.  The Series 2 and 3 Bonds allow
      recourse against any assets of the Company that are not pledged to
      secure other series of Bonds.
(5)   Related Parties
      B. C. Ziegler and Company, also a wholly owned subsidiary of the
      Parent, is the sole underwriter for the Bonds issued by the Company. 
      In its capacity as underwriter, B. C. Ziegler and Company received a
      fee for its services equal to four percent of the aggregate principal
      amount of the Bonds offered by the Company.
      Ziegler Financing Corporation, also a wholly owned subsidiary of the
      Parent, is the servicer for the Loans.  In its capacity as servicer,
      Ziegler Financing Corporation is entitled to a monthly fee equal to
      .0292% of the average outstanding principal balance of the Loans during
      the preceding month.
      The Parent has extended a note to the Company which allows the Company
      to borrow up to $120,000 to fund its operations.  Interest on such
      borrowings is at a fixed rate of 8%.  All amounts are due on demand. 
      Interest expense incurred for the year was not significant.  At
      December 31, 1998, 1997 and 1996, the balance of the note was
      $-0-, $35,000 and $85,000, respectively.
(6)   Provision for Income Taxes-
      The provision for income taxes for the years ended December 31, 1998,
      1997 and 1996, consisted of the following:
<TABLE>
<CAPTION>
                                               1998      1997      1996
        <S>                                   <C>       <C>       <C>
        Current Federal                       $16,693   $20,360   $20,800
        Current state                           4,307     5,440     5,000
                 Total                        $21,000   $25,800   $25,800
      The following is a reconciliation of the statutory Federal income tax
      rate to the effective income tax rates:

                                                 1998      1997      1996 
        Statutory Federal income tax rate        34.0%     34.0%     34.0%
        State taxes on income, net of related
         Federal income tax effect                5.6       5.5       5.5

                                                 39.6%     39.5%     39.5%
</TABLE>
(7)   Fair Value of Financial Instruments
      Financial Accounting Standard No. 107, "Disclosure about Fair Value of
      Financial Instruments" requires that the Company disclose the fair
      value of financial instruments for both assets and liabilities for
      which it is practicable to estimate that value.  Where readily
      available, quoted market prices were utilized by the Company.  If
      quoted market prices were not available, fair values were based on
      estimates using present value or other valuation techniques.  These
      techniques were significantly affected by the assumptions used,
      including the discount rate and estimates of future cash flows.  The
      calculated fair value estimates, therefore, cannot be substantiated by
      comparison to independent markets and, in many cases, could not be
      realized in immediate settlement of the instrument.  Statement No. 107
      excludes certain financial instruments and all nonfinancial instruments
      from its disclosure requirements.  Accordingly, the aggregate fair
      value amounts presented do not represent the underlying value of the
      Company.
      The book values, estimated fair values and the methods and assumptions
      used to estimate the fair value of the financial instruments of the
      Company are reflected below as of December 31, 1998 and 1997.
      Cash and Cash Equivalents
      The carrying amounts reported for cash and cash equivalents approximate
      the fair values for those amounts.  For purposes of Statement No. 107,
      funds held by trustee are considered cash and cash equivalents.
      Loans
      The carrying value of the loan balances approximates the fair value
      which was determined based on current market rates offered on notes
      with similar terms and maturities.
      Bonds Payable
      The carrying value of bonds payable approximates the fair value which
      was determined based on current market rates offered on notes with
      similar terms and maturities.
<PAGE>
                              INDEX TO EXHIBITS
Exhibit
Number                            Description                          Page
  3         Articles of Incorporation and Bylaws of the Company         N/A
            (incorporated herein by reference to exhibits 3.1 and 3.2,
            respectively, to the Company's Registration Statement
            on Form S-11).
  4(A)      Indenture dated as of March 1, 1993, between the Company    N/A
            and M&I First National Bank, West Bend (incorporated
            herein by reference to Exhibit 4.1 to Form 8-K dated
            March 24, 1993).
  4(B)      First Supplemental Indenture dated as of March 1,           N/A
            1993, between the Company and M&I First National
            Bank, West Bend (incorporated herein by reference
            to Exhibit 4.2 to Form 8-K dated March 24, 1993).
  4(C)      Second Supplemental Indenture dated as of August 1,         N/A
            1994 (incorporated herein by reference to Exhibit 4.1
            to Form 8-K dated July 20, 1994).
  4(D)      Supplemental Indenture 1-A, dated as of November 1,         N/A
            1994, between the Company and M&I First National
            Bank, West Bend (incorporated herein by reference to
            Exhibit 4.4 to Form 10-Q dated September 30, 1994).
  4(E)      Third Supplemental Indenture dated as of December 1,        N/A
            1995, between the Company and M&I First National
            Bank, West Bend (incorporated herein by reference to
            Exhibit 4.1 to Form 8-K dated December 1, 1995).
 10         Form of Underwriting Agreement dated March 1, 1993,         N/A
            between the Company and B. C. Ziegler and Company
            (incorporated herein by reference to Exhibit 1.1 to
            the Company's Registration Statement on Form S-11).
 27         Financial Data Schedule                                      20
<PAGE>
                                                               EXHIBIT 27
                          FINANCIAL DATA SCHEDULE