SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 10-Q

                QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D)
                     OF THE SECURITIES EXCHANGE ACT OF 1934


For Quarterly Period Ended April 30, 2000

                         Commission File No. 2-27018


                FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY
              ----------------------------------------------------
             (exact name of registrant as specified in its charter)

         New Jersey                                           22-1697095
-------------------------------                           -----------------
(State or other Jurisdiction of                           (I.R.S. Employer
Incorporation or Organization)                            Identification No.)


505 Main Street, P.O. Box 667, Hackensack, New Jersey              07602
-----------------------------------------------------         -----------------
        (Address of principal executive offices)                (Zip Code)


Registrant's telephone number, including area code   201-488-6400
                                                     ------------

--------------------------------------------------------------------------------
Former  name,  former  address and former  fiscal  year,  if changed  since last
report.

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.

                 There were 1,559,788 shares of beneficial interest  outstanding
at June 12, 1999.


<PAGE>

                FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY

                                      INDEX

Part I:  Financial Information

       Item 1: Consolidated Financial Statements


               a.)  Balance Sheets as at April 30, 2000  (unaudited) and October
                    31, 1999;

               b.)  Statements of Income, Comprehensive Income and
                    Undistributed Earnings for the Six Months and
                    Three Months Ended April 30, 2000 and 1999 (unaudited);

               c.)  Statements of Cash Flows for the Six  Months Ended
                    April 30, 2000 and 1999 (unaudited);

               d.)  Notes to Financial Statements (unaudited).

               e.)  Report of Independent Public Accountants

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

       Item 3: Quantitative and Qualitative Disclosures of Market Risk.

Part II:  Other Information

       Item 1. Legal Proceedings

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

       Item 5. Other Events.

       Item 6. Exhibits and Reports on Form 8-K

<PAGE>

Item 1: Financial Statements
<TABLE>
<CAPTION>
         FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY AND SUBSIDIARY

                           CONSOLIDATED BALANCE SHEETS
                                                                                     April 30,          October 31,
                                                                                       2000                1999
                                                                                       ----                ----
                                                                                    (Unaudited)         (See Note 1)
                                                                                    -----------         -----------
                                                                                        (In Thousands of Dollars)
                                                                                        -------------------------
<S>                                                                                     <C>                   <C>
                                     ASSETS
                                     ------
Real estate and equipment, at cost, net of accumulated
      depreciation                                                                      $ 78,680              $ 63,441
Investments in marketable securities                                                       9,331                14,453
Cash and cash equivalents                                                                  1,682                 2,083
Note receivable - related party                                                            1,023
Tenants' security accounts                                                                   751                   771
Sundry receivables                                                                         1,734                 1,326
Prepaid expenses and other assets                                                          1,090                 1,004
Deferred charges, net                                                                      1,398                 1,350

                                                                                  ---------------    ------------------
                                     Totals                                             $ 95,689              $ 84,428
                                                                                  ===============    ==================

                      LIABILITIES AND SHAREHOLDERS' EQUITY
                      ------------------------------------
Liabilities:
      Mortgages payable                                                                 $ 70,600              $ 60,071
      Accounts payable and accrued expenses                                                  843                   503
      Cash distributions in excess of earnings and investment in affiliate                   355                   294
      Dividends payable                                                                      779                 1,638
      Tenants' security deposits                                                           1,021                 1,000
      Deferred revenue                                                                       221                   402
                                                                                  ---------------    ------------------
                                     Total liabilities                                    73,819                63,908
                                                                                  ---------------    ------------------
Minority interest                                                                          1,022
                                                                                  ---------------
Commitments and contingencies

Shareholders' equity:
      Shares of beneficial interest without par value; 1,790,000
        shares authorized; 1,559,788 shares issued and outstanding                        19,314                19,314
      Undistributed earnings                                                               1,703                 1,253
      Accumulated other comprehensive income (loss)                                         (169)                  (47)
                                                                                  ---------------    ------------------
                                     Total shareholders' equity                           20,848                20,520
                                                                                  ---------------    ------------------

                                     Totals                                             $ 95,689              $ 84,428
                                                                                  ===============    ==================
</TABLE>
See Notes to Consolidated Financial Statements

<PAGE>
<TABLE>
<CAPTION>
         FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY AND SUBSIDIARY
 CONSOLIDATED STATEMENTS OF INCOME, COMPREHENSIVE INCOME AND UNDISTRIBUTED EARNINGS
               SIX AND THREE MONTHS ENDED APRIL 30, 2000 AND 1999
                                   (Unaudited)

                                                                    Six Months                         Three Months
                                                                  Ended April 30,                     Ended April 30,
                                                         ---------------------------------   ----------------------------------
                                                             2000                1999               2000                1999
                                                             ----                ----               ----                ----
                                                                             (In Thousands of Dollars,
                                                                             Except Per Share Amounts)
                                 INCOME
                                 ------
<S>                                                    <C>                 <C>                 <C>                 <C>
Revenue:
      Rental income                                    $     6,830         $     6,433         $     3,496         $     3,219
      Reimbursements                                           994                 877                 518                 482
      Equity in income (loss) of affiliate                      72                (136)                 48                   6
      Net investment income                                    416                 306                 162                 162
      Sundry income                                            106                  95                  56                  51
                                                       -----------         -----------         -----------         -----------
                                 Totals                      8,418               7,575               4,280               3,920
                                                       -----------         -----------         -----------         -----------

Expenses:
      Operating expenses                                     1,760               1,660                 826                 866
      Management fees                                          319                 306                 166                 153
      Real estate taxes                                      1,038                 899                 527                 454
      Financing costs                                        2,379               2,309               1,229               1,160
      Depreciation                                             900                 845                 468                 424
      Minority interest                                          6                                       6
                                                       -----------         -----------         -----------         -----------
                                 Totals                      6,402               6,019               3,222               3,057
                                                       -----------         -----------         -----------         -----------

Income before state income taxes                             2,016               1,556               1,058                 863
Provision for state income taxes                                 7                   5                   4                   2
                                                       -----------         -----------         -----------         -----------
Net income                                             $     2,009         $     1,551         $     1,054         $       861
                                                       ===========         ===========         ===========         ===========
Basic earnings per share                               $      1.29         $      0.99         $      0.68         $      0.55
                                                       ===========         ===========         ===========         ===========

Basic weighted average shares outstanding                1,559,788           1,559,788           1,559,788           1,559,788
                                                       ===========         ===========         ===========         ===========

                          COMPREHENSIVE INCOME
                          --------------------
Net income                                             $     2,009         $     1,551         $     1,054         $       861
Other comprehensive income -
      unrealized (loss) gain on marketable securities         (122)                                     17

                                                       -----------         -----------         -----------         -----------
Comprehensive income                                   $     1,887         $     1,551         $     1,071         $       861
                                                       ===========         ===========         ===========         ===========
</TABLE>
<PAGE>
<TABLE>
                                                                 Six Months                             Three Months
                                                               Ended April 30,                         Ended April 30,
                                                      ---------------------------------       ----------------------------------
                                                           2000                1999                2000                1999
                                                           ----                ----                ----                ----
                                                                             (In Thousands of Dollars,
                                                                             Except Per Share Amounts)
<S>                                                    <C>                 <C>                 <C>                 <C>
                         UNDISTRIBUTED EARNINGS
                         ----------------------
Balance, beginning of period                           $     1,253         $     1,048         $     1,428         $     1,114
Net income                                                   2,009               1,551               1,054                 861
Less dividends                                              (1,559)             (1,248)               (779)               (624)

                                                       -----------         -----------         -----------         -----------
Balance, end of period                                 $     1,703         $     1,351         $     1,703         $     1,351
                                                       ===========         ===========         ===========         ===========

Dividends per share                                    $      1.00         $      0.80         $      0.50         $      0.40
                                                       ===========         ===========         ===========         ===========
</TABLE>

See Notes to Consolidated Financial Statements


<PAGE>
<TABLE>
<CAPTION>
         FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                    SIX MONTHS ENDED APRIL 30, 2000 AND 1999
                              (Unaudited)                                          2000           1999
                                                                                   ----           ----
                                                                                 (In Thousands of Dollars)
                                                                                 -------------------------
<S>                                                                             <C>              <C>
Operating activities:
      Net income                                                                $  2,009         $  1,551
      Adjustments to reconcile net income to net cash provided by
      operating activities:
          Depreciation and amortization                                              985              918
          Equity in (income) loss of affiliate                                       (72)             136
          Deferred revenue                                                          (181)             (20)
          Minority interest                                                            6
          Changes in operating assets and liabilities:
              Tenants' security accounts                                              20              (51)
              Sundry receivables, prepaid expenses and other assets                 (501)             (34)
              Deferred charges                                                       (71)            (106)
              Accounts payable and accrued expenses                                  340              (23)
              Tenants' security deposits                                              21               41
                                                                                --------         --------
                            Net cash provided by operating activities              2,556            2,412
                                                                                --------         --------

Investing activities:
      Capital expenditures                                                          (491)            (240)
      Distributions from affiliate                                                   132            2,120
      Repayment from affiliate                                                        --              100
      Sale of marketable securities                                                5,000
      Acquisition of partnership interest                                         (4,728)
                                                                                --------         --------
                          Net cash provided by (used in) investing activities        (87)           1,980
                                                                                --------         --------

Financing activities:
      Dividends paid                                                              (2,417)          (2,059)
      Net proceeds from mortgage refinancing                                          --            3,671
      Proceeds from mortgage borrowings                                               --            9,275
      Repayment of mortgages                                                        (391)            (351)
      Deferred mortgage costs                                                        (62)            (185)
                                                                                --------         --------
                            Net cash provided by (used in) financing activities   (2,870)          10,351
                                                                                --------         --------

Net increase (decrease) in cash and cash equivalents                                (401)          14,743
Cash and cash equivalents, beginning of period                                     2,083              793

                                                                                --------         --------
Cash and cash equivalents, end of period                                        $  1,682         $ 15,536
                                                                                ========         ========
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
                                                                                  2000            1999
                                                                                  ----            ----
                                                                                (In Thousands of Dollars)
                                                                                -------------------------
<S>                                                                             <C>              <C>
Supplemental disclosure of cash flow data:

      Interest paid                                                             $  2,331         $  2,309
                                                                                ========         ========
      Income taxes paid                                                         $      7         $      3
                                                                                ========         ========

</TABLE>

Supplemental disclosure of noncash investing and financing activities:

          During the six months  ended April 30,  2000,  the Trust  completed an
          acquisition of a 98,800 square foot retail  property in Olney,  MD for
          approximately $15,648,000, in part, with the proceeds of a $10,920,000
          mortgage (see Note 2).

          During the six months  ended  April 30,  2000 and 1999,  the Trust had
          dividends   declared   but  not  paid  of   $779,000   and   $624,000,
          respectively.

See Notes to Consolidated Financial Statements


<PAGE>

         FIRST REAL ESTATE INVESTMENT TRUST OF NEW JERSEY AND SUBSIDIARY
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                  (UNAUDITED)

Note 1 - Organization and significant accounting policies:

Organization:
First Real Estate  Investment  Trust of New Jersey (the  "Trust") was  organized
November 1, 1961 as a New Jersey Business Trust.  The Trust is engaged in owning
residential and commercial income producing  properties located primarily in New
Jersey,  Maryland  and New York.  The Trust  has  elected  to be taxed as a Real
Estate Investment Trust under the provisions of Sections 856-860 of the Internal
Revenue Code, as amended. Accordingly, the Trust does not pay Federal income tax
on income whenever  income  distributed to shareholders is equal to at least 95%
of real estate  investment  trust  taxable  income.  Further,  the Trust pays no
Federal income tax on capital gains distributed to shareholders.

The Trust is subject to Federal income tax on  undistributed  taxable income and
capital  gains.  The Trust may make an annual  election under Section 858 of the
Internal  Revenue  Code to  apply  part of the  regular  dividends  paid in each
respective subsequent year as a distribution for the immediately preceding year.

Basis of presentation:
The financial  information  included herein as at April 30, 2000 and for the six
and three months ended April 30, 2000 and 1999 is unaudited  and, in the opinion
of the Trust,  reflects all  adjustments  (which  include only normal  recurring
accruals) necessary for a fair presentation of the financial position as of that
date and the results of operations  for those  periods.  The  information in the
balance sheet as of October 31, 1999 was derived from the Trust's audited annual
report for 1999.

The results of the Trust's  operations  for the six and three months ended April
30, 2000 are not  necessarily  indicative  of the results of operations for the
full year ending October 31, 2000.

Principles of consolidation:  The consolidated  financial statements include the
accounts of the Trust and subsequent to March 29, 2000 its 75%-owned subsidiary,
S and A Commercial Associates Limited Partnership ("S and A") a Maryland limited
partnership.  The consolidated  financial  statements  include 100% of S and A's
assets,  liabilities,  operations and cash flows with the 25% interest not owned
by the Trust  reflected as "minority  interest."  All  significant  intercompany
accounts and transactions have been eliminated in consolidation (see Note 2).

Investment in affiliate:

The Trust's 40%  investment  in Westwood  Hills,  LLC ("WHLLC") is accounted for
using the equity method.

Use of estimates:
The preparation of financial  statements in conformity  with generally  accepted
accounting principles requires management to make estimates and assumptions that
affect certain  reported amounts and  disclosures.  Accordingly,  actual results
could differ from those estimates.

Investments in marketable securities:

Investments in marketable debt securities classified as "available for sale" are
recorded  at fair  value  and  unrealized  gains  and  losses  are  reported  as
accumulated other comprehensive income (loss) within shareholders' equity.


<PAGE>


Cash and cash equivalents:
Financial instruments which potentially subject the Trust to concentrations of
credit risk consist primarily of cash and cash equivalents. The Trust considers
all highly liquid investments  purchased with a maturity of three months or less
to be cash  equivalents.  The Trust  maintains its cash and cash  equivalents in
bank and other accounts,  the balances of which, at times,  may exceed Federally
insured  limits.  At April  30,  2000,  such cash and cash  equivalent  balances
exceeded  Federally  insured  limits by  approximately  $1,582,000.  Exposure to
credit  risk is  reduced by  placing  such  deposits  with high  credit  quality
financial institutions.

Depreciation:
Real estate and equipment are depreciated on the straight-line  method by annual
charges to operations  calculated to absorb costs of assets over their estimated
useful lives.

Deferred charges:
Deferred  charges  consist of mortgage costs and leasing  commissions.  Deferred
mortgage  costs are amortized on the  straight-line  method by annual charges to
operations  over  the  terms of the  mortgages.  Amortization  of such  costs is
included in  financing  costs and  approximated  $48,000 and $44,000 for the six
months ended April 30, 2000 and 1999,  respectively,  and approximately  $25,000
and $23,000 for the three  months  ended April 30, 2000 and 1999,  respectively.
Deferred leasing commissions are amortized on the straight-line  method over the
terms of the applicable leases.

Revenue recognition:
Income from leases is recognized  on a  straight-line  basis  regardless of when
payment  is due.  Lease  agreements  between  the Trust and  commercial  tenants
generally provide for additional  rentals based on such factors as percentage of
tenants' sales in excess of specified  volumes,  increases in real estate taxes,
Consumer Price Indices and common area  maintenance  charges.  These  additional
rentals are generally included in income when reported to the Trust, when billed
to tenants or ratably over the appropriate period.

Advertising:  The Trust  expenses  the cost of  advertising  and  promotions  as
incurred.  Advertising  costs  charged to operations  amounted to  approximately
$32,000  for  each  of the six  months  ended  April  30,  2000  and  1999,  and
approximately  $19,000 and $23,000 for the three months ended April 30, 2000 and
1999, respectively.

Earnings  per  share:  The Trust  presented  "basic"  earnings  per share in the
accompanying consolidated statements of income in accordance with the provisions
of Statement  of  Financial  Accounting  Standards  No. 128,  Earnings Per Share
("SFAS 128"). SFAS 128 also requires the presentation of "diluted"  earnings per
share if the amount  differs from basic  earnings per share.  Basic earnings per
share is  calculated  by dividing net income by the weighted  average  number of
common shares outstanding during each period.


<PAGE>

The  calculation  of  diluted  earnings  per share is  similar  to that of basic
earnings  per share,  except that the  denominator  is  increased to include the
number of  additional  common  shares  that would have been  outstanding  if all
potentially  dilutive common shares, such as those issuable upon the exercise of
stock options and warrants, were issued during the period. For the six and three
months ended April 30, 2000,  diluted earnings per share have not been presented
because prices of all of the outstanding stock options  approximated the average
fair market value and there were no additional  shares  derived from the assumed
exercise of stock options and the application of the treasury stock method.  For
the six and three  months  ended April 30,  1999,  the Trust had no  potentially
dilutive common shares.

Note 2 - Investment in affiliates:

The Trust is a 40% member of WHLLC, a limited  liability company that is managed
by Hekemian & Co., Inc. ("Hekemian"), a company which manages all of the Trust's
properties  and in which one of the trustees of the Trust is the chairman of the
board.  Certain other members of WHLLC are either trustees of the Trust or their
families or officers of Hekemian.  WHLLC owns a  residential  apartment  complex
located in Westwood, New Jersey.

Summarized  financial  information of WHLLC as of April 30, 2000 and October 31,
1999  and for the six and  three  months  ended  April  30,  2000 and 1999 is as
follows:

<TABLE>
<CAPTION>
                                                                       April 30,            October 31,
                                                                         2000                  1999
                                                                         ----                  ----
                                                                           (In thousands of dollars)
          <S>                                                                    <C>               <C>
          Balance sheet data:
          Assets:
          Real estate and equipment, net                                   $ 14,086        $ 14,190
          Other                                                                 673             812
                                                                     ---------------    ----------------
                    Total assets                                           $ 14,759        $ 15,002
                                                                     ===============    ================

          Liabilities and equity:
          Liabilities:
          Mortgage payable                                                 $ 15,275        $ 15,362
          Other                                                                 371             378
                                                                     ---------------    ----------------
                    Total liabilities                                        15,646          15,740
                                                                     ---------------    ----------------

          Members' deficiency:
          Trust                                                                (355)           (294)
          Others                                                               (532)           (444)
                                                                     ---------------    ----------------
                    Total members' deficiency                                  (887)           (738)
                                                                     ---------------    ----------------

                    Total liabilities and members' deficiency              $ 14,759        $ 15,002
                                                                     ===============    ================
        </TABLE>



<PAGE>

<TABLE>
<CAPTION>
                                                         Six Months Ended                 Three Months Ended
                                                             April 30,                        April 30,
                                                 -------------------------------   --------------------------
                                                        2000              1999          2000          1999
                                                        ----              ----          ----          ----
<S>                                                    <C>              <C>                <C>         <C>
                                                                       (In thousands of dollars)
Income statement data:
Rental revenue                                         $ 1,407          $ 1,334            711         $ 675
Expenses                                                 1,227            1,233            591           662
                                                 --------------    -------------   ------------   -----------
Income from rental operations                              180              101            120            13
Prepayment penalty on mortgage refinancing                                 (442)
                                                 --------------    -------------   ------------   -----------

              Net income (loss)                          $ 180           $ (341)         $ 120          $ 13
                                                 ==============    =============   ============   ===========
</TABLE>

On March 29,  2000,  the Trust  acquired  100% of S and A, whose only asset is a
neighborhood  shopping center in Olney,  MD. The shopping center contains 98,848
square feet of gross leaseable area situated on  approximately 13 acres of land.
Approximately  11 acres of the land are  subject to a ground  lease  expiring in
2078, and approximately 2 acres are owned in Fee simple.

The purchase price of S and A was approximately  $15,648,000 of which $4,728,000
was paid in cash and $10,920,000 was financed by the proceeds of a mortgage. The
Trust agreed to sell a 25% interest in S and A, as of March 29, 2000, to a group
consisting  of  shareholders  of the Trust and employees of Hekemian on the same
basis and cost as to the Trust.  The unpaid  purchase  price of the 25% interest
accrues interest at the Trust's prevailing borrowing rate and the receivable and
interest is anticipated to be repaid within the next quarter.

The accompanying consolidated financial statements reflect the operations of the
shopping center since acquisition.

The following  unaudited pro forma information (in thousands of dollars,  except
per share  amounts) shows the results of operations for the six and three months
ended  April  30,  2000 and 1999 as  through  S and A had been  acquired  at the
beginning of fiscal 1999:

<TABLE>
<CAPTION>
                                              Six Months Ended               Three Months Ended
                                                  April 30,                       April 30,
                                       ------------------------------   ----------------------------
                                          2000              1999           2000            1999
                                          ----              ----           ----            ----
                                                         (In thousands of dollars)
<S>                                         <C>              <C>             <C>            <C>
Rental revenue                              $ 9,176          $ 8,588         4,588          $ 4,442
Expenses                                      7,220            7,002         3,574            3,541
                                       -------------    -------------   -----------    -------------
Income before minority interest               1,956            1,586         1,014              901
Minority interest                                12               24             3               18
                                       -------------    -------------   -----------    -------------

              Net income                    $ 1,944          $ 1,562       $ 1,011            $ 883
                                       =============    =============   ===========    =============

              Earnings per share             $ 1.25           $ 1.00        $ 0.65           $ 0.57
                                       =============    =============   ===========    =============
</TABLE>

<PAGE>

The unaudited pro forma results include  adjustments for  depreciation  based on
the purchase  price,  increased  interest  expense,  and reduced net  investment
income  related to assets  utilized  to make the  acquisition,  and  obligations
incurred to complete the transaction.

The  unaudited  pro  forma  results  of  operations  set  forth  above  are  not
necessarily  indicative  of  the  results  that  would  have  occurred  had  the
acquisition  been made at the  beginning of fiscal 1999 or of future  results of
operations of the Trust's combined properties.

Note 3 - Investments in marketable securities:

At April 30, 2000, the Trust's investment in marketable debt securities,  all of
which were  classified  as available for sale,  consisted of  government  agency
bonds. The maturities for all securities held at April 30, 2000 are as follows:
<TABLE>
<CAPTION>


                                      Amortized
                                        Cost               Fair Value
                                  -----------------    ------------------
                                        (In Thousands of Dollars)
<S>                                    <C>                   <C>
              One to five years        $ 9,000              $ 8,876
              Five to ten years            500                  455
                                  -----------------    ------------------
                      Totals           $ 9,500              $ 9,331
                                  =================    ==================
</TABLE>

Note 4 - Real estate and equipment:

     Real estate and equipment consists of the following:
<TABLE>
<CAPTION>
                                                    Range of
                                                   Estimated       April 30,          October 31,
                                                  Useful Lives       2000                1999
                                                  -------------      ----                ----
                                                                    (In Thousands of Dollars)
<S>                                                <C>              <C>               <C>
              Land                                                  $ 23,830          $ 22,773
              Unimproved land                                          2,356             2,354
              Apartment buildings                  7-40 years         10,847            10,764
              Commercial buildings and
                 shopping centers                  15-50 years        56,139            40,723
              Construction in progress                                   973             1,426
              Equipment                            3-15 years            553               522
                                                                 --------------    --------------
                                                                      94,698            78,562
              Less accumulated deprecition                            16,018            15,121
                                                                 --------------    --------------
                       Totals                                       $ 78,680          $ 63,441
                                                                 ==============    ==============
</TABLE>

<PAGE>

Note 5 - Mortgages payable:
     Mortgages payable consist of the following:
<TABLE>
<CAPTION>
                                                                             April 30,           October 31,
                                                                               2000                 1999
                                                                               ----                 ----
                                                                              (In thousands of Dollars)

<S>                                                                          <C>                 <C>
              Nothern Life Insurance Cos. - Frederick, MD (A)                $ 18,467            $ 18,609
              National Realty Funding L.C. - Westwood, NJ (B)                  10,364              10,420
              Larson Financial Resources, Inc. - Spring Lake, NJ (C)            3,643               3,664
              Summit Bank - Patchogue, NY (D)                                   7,234               7,295
              Larson Financial Resources, Inc. - Wayne, NJ (E)                 10,839              10,898
              Larson Financial Resources, Inc. - River Edge, NJ (F)             5,293               5,323
              Larson financial Resources, Inc. - Maywood, NJ (G)                3,840               3,862
              Summit Bank - Olney, MD (H)                                      10,920
                                                                      ----------------    ----------------
                            Totals                                           $ 70,600            $ 60,071
                                                                      ================    ================
</TABLE>

(A)  Payable in monthly  installments  of $152,153  including  interest at 8.31%
     through  June  2007 at  which  time the  outstanding  balance  is due.  The
     mortgage is secured by a retail  building in Frederick,  Maryland  having a
     net book value of approximately $23,627,000.

(B)  Payable in monthly  installments  of $73,248  including  interest  at 7.38%
     through  February  2013 at which time the  outstanding  balance is due. The
     mortgage is secured by a retail  building in Westwood,  New Jersey having a
     net book value of approximately $11,266,000.

(C)  Payable in monthly  installments  of $23,875  including  interest  at 6.70%
     through  December  2013 at which time the  outstanding  balance is due. The
     mortgage is secured by an  apartment  building in Spring  Lake,  New Jersey
     having a net book value of approximately $502,000.

(D)  Payable in monthly  installments  of $54,816  including  interest at 7.375%
     through  January  2005 at which time the  outstanding  balance is due.  The
     mortgage is secured by a retail  building in  Patchogue,  New York having a
     net book value of approximately $10,373,000.

(E)  Payable  in monthly  instalments  of $76,023  including  interest  at 7.29%
     through  July  2010 at  which  time the  outstanding  balance  is due.  The
     mortgage is secured by an apartment  building in Wayne, New Jersey having a
     net book value of approximately $1,613,000.

(F)  Payable in monthly  installments  of $34,862  including  interest  at 6.75%
     through  December  2013 at which time the  outstanding  balance is due. The
     mortgage is secured by an  apartment  building  in River  Edge,  New Jersey
     having a net book value of approximately $1,271,000.

<PAGE>

(G)  Payable in monthly  installments  of $25,295  including  interest  at 6.75%
     through  December  2013 at which time the  outstanding  balance is due. The
     mortgage is secured by an apartment building in Maywood,  New Jersey having
     a net book value of approximately $916,000.

(H)  Interest only is payable  monthly at 175 basis points over the 90 day LIBOR
     rate,  and resets every 90 days.  The current rate is 8.03%.  The mortgage,
     which is due on March 28, 2002,  is secured by a shopping  center in Olney,
     MD having a net book value of approximately $15,632,000.

Principal  amounts (in thousands of dollars) due under the above  obligations in
each of the five years subsequent to April 30, 2000 are as follows:

       Year Ending
        April 30,           Amount
       -----------         --------
         2001              $    779
         2002                11,761
         2003                   907
         2004                   979
         2005                 7,557

Based on borrowing rates currently available to the Trust, the fair value of the
mortgage debt approximates carrying value at April 30, 2000.

Note 6 - Line of credit agreement:

The Trust had an $8,000,000  revolving  line of credit agreement that expired in
May 2000. The Trust is currently  negotiating to extend the credit  agreement to
May 2001.


<PAGE>

Note 7 - Commitments and contingencies:

Leases:
Retail tenants:
The  Trust  leases  retail  space  having  a net  book  value  of  approximately
$71,093,000 at April 30, 2000 to tenants for periods of up to twenty-five years.
Most of the leases  contain  clauses for  reimbursement  of real  estate  taxes,
maintenance,  insurance and certain other operating  expenses of the properties.
Minimum   rental   income  (in   thousands  of  dollars)  to  be  received  from
non-cancelable  operating  leases in years  subsequent  to April 30, 2000 are as
follows:

       Year Ending
        April 30,              Amount
       -----------            --------
         2001                 $  7,900
         2002                    7,677
         2003                    7,449
         2004                    6,698
         2005                    6,066
         Thereafter             49,597
                              --------
                  Total       $ 85,387
                              ========

The above  amounts  assume that all leases  which  expire are not  renewed  and,
accordingly,  neither minimal rentals nor rentals from  replacement  tenants are
included. Minimum future rentals do not include contingent rentals, which may be
received  under certain  leases on the basis of percentage of reported  tenants'
sales volume or increases in Consumer Price Indices. Contingent rentals included
in income for the six and three  months  ended  April 30, 2000 and 1999 were not
material.

Residential tenants:
Lease terms for residential tenants are usually one year or less.

Environmental concerns:
In accordance with applicable regulations,  the Trust reported to the New Jersey
Department of Environmental  Protection ("NJDEP") that a historical discharge of
hazardous  material  was  discovered  in 1997 at the  renovated  Franklin  Lakes
shopping  center (the  "Center").  In  November  1999,  the Trust  received a no
further action letter from the NJDEP concerning the historical  discharge at the
Center.  However,  the Trust is required to continue  monitoring such discharge,
the cost of which will not be material.

Ground lease:
The Trust's  shopping center in Olney, MD is on  approximately 13 acres of land.
Two acres are owned  by the Trust in Fee Simple, and the balance of the land (11
acres) is subject to a ground  lease  expiring  in 2078.  Under the terms of the
ground  lease,  the Trust is obligated  to pay a fixed annual  rental of $79,956
plus 2-1/2% of annual net rental  collections.  The Trust is also  obligated for
the payment of real estate taxes and insurance.

<PAGE>


Note 8 - Management agreement and related party transactions:

Hekemian  manages the properties  owned by the Trust.  The management  agreement
requires  fees  equal  to a  percentage  of  rents  collected.  Such  fees  were
approximately  $319,000 and $306,000 for the six months ended April 30, 2000 and
1999; and  approximately  $167,000 and $153,000 for the three months ended April
30, 2000 and 1999,  respectively.  In addition,  Hekemian charged the Trust fees
and  commissions  in  connection  with the  acquisition  of the retail center in
Olney, MD and various mortgage refinancing and lease acquisition fees. Such fees
and  commissions  amounted to  approximately  $499,000  and $121,000 for the six
months  ended April 30, 2000 and 1999;  and  $485,000  and $55,000 for the three
months ended April 30, 2000 and 1999, respectively.

Note 9 - Basic earnings per share:

Basic  earnings  per  share,  based on the  weighted  average  number  of shares
outstanding during each period, are comprised of ordinary income.

Note 10- Equity incentive plan:

On  September  10,  1998,  the Board of Trustees  approved  the  Trust's  Equity
Incentive  Plan (the "Plan") which was ratified by the Trust's  shareholders  on
April 7,  1999,  whereby  up to  230,000  of the  Trust's  shares of  beneficial
interest  may be  granted  to  key  personnel  in the  form  of  stock  options,
restricted share awards and other share-based  awards. In connection  therewith,
the Board of Trustees  approved  an  increase  of 230,000  shares in the Trust's
number of authorized shares of beneficial  interest.  Key personnel eligible for
these awards include trustees,  executive officers and other persons or entities
including,   without  limitation,   employees,   consultants  and  employees  of
consultants,  who are in a position  to make  significant  contributions  to the
success of the Trust.  Under the Plan, the exercise price of all options will be
the fair market value of the shares on the date of grant.

The consideration to be paid for restricted share and other  share-based  awards
shall be determined by the Board of Trustees,  with the amount not to exceed the
fair market  value of the shares on the date of grant.  The maximum  term of any
award granted may not exceed ten years. The Board of Trustees will determine the
actual terms of each award. Upon  ratification of the Plan on April 7,1999,  the
Trust  issued  188,500  stock  options  which it had  previously  granted to key
personnel  on September  10, 1998.  The fair value of the options on the date of
grant was $30 per share.  The options,  all of which are  outstanding at October
31, 1999, are exercisable through September 2008.

In accordance with the provisions of Accounting Principles Board Opinion No. 25,
"Accounting for Stock Issued to Employees"  ("APB 25"), the Trust will recognize
compensation  costs as a result of the  issuance of  restricted  share and other
share-based  awards  based  on the  excess,  if any,  of the  fair  value of the
underlying stock at the date of grant or award (or at an appropriate  subsequent
measurement  date) over the amount the recipient  must pay to acquire the stock.
Therefore, the Trust will not be required to recognize compensation expense as a
result of any grants of stock options,  restricted  share and other  share-based
awards at an exercise  price that is  equivalent  to or greater than fair value.
The Trust will also make pro forma  disclosures,  as  required by  Statement  of
Financial   Accounting   Standards   No.  123,   "Accounting   for   Stock-Based
Compensation"  ("SFAS  123"),  of net  income or loss as if a fair  value  based
method of accounting for stock options had been applied  instead if such amounts
differ materially from the historical amounts.

<PAGE>

In the opinion of management, if compensation cost for the stock options granted
in 1999 had been determined  based on the fair value of the options at the grant
date under the  provisions of SFAS 123 using the  Black-Scholes  option  pricing
model and assuming a risk-free interest rate of 5.25%,  expected option lives of
ten years,  expected  volatility  of 1% and  expected  dividends  of 7.13%,  the
Company's  pro forma net income and pro forma basic net income per share arising
from such computation would not have differed  materially from the corresponding
historical amounts.

                                      * * *

<PAGE>


                    REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
                    ----------------------------------------

To the Trustees and Shareholders
First Real Estate Investment Trust of
 New Jersey


We have  reviewed  the  accompanying  consolidated  balance  sheet of FIRST REAL
ESTATE  INVESTMENT  TRUST OF NEW JERSEY AND SUBSIDIARY as of April 30, 2000, and
the  related  consolidated  statements  of  income,   comprehensive  income  and
undistributed earnings for the six and three months ended April 30, 2000 and the
consolidated  statement  of cash funds for the six months  ended April 30, 2000.
These  consolidated  financial  statements are the responsibility of the Trust's
management.

We conducted our review in accordance with standards established by the American
Institute  of  Certified  Public  Accountants.  A review of  interim  financial
information consists principally of applying analytical  procedures to financial
data and making  inquiries of persons  responsible  for financial and accounting
matters. It is substantially less in scope than an audit conducted in accordance
with  generally  accepted  auditing  standards,  the  objective  of which is the
expression of an opinion  regarding the financial  statements  taken as a whole.
Accordingly, we do not express such an opinion.

Based on our review of the consolidated  financial statements referred to above,
we are  not  aware  of  any  material  modifications  that  should  be  made  to
accompanying consolidated financial statements for them to be in conformity with
generally accepted accounting principles.

We have  previously  audited,  In accordance  with generally  accepted  auditing
standards,  the  balance  sheet of the Trust as of  October  31,  1999,  and the
related statements of income,  comprehensive  income and undistributed  earnings
and cash flows for the year then ended which are not  presented  herein,  and in
our report dated November 22, 1999, we expressed an unqualified opinion on those
financial  statements.  In  our  opinion,  the  information  set  forth  in  the
accompanying  balance  sheet as of October  31,  1999 is fairly  stated,  in all
material  respects,  in  relation  to the  balance  sheet from which it has been
derived.

The accompanying  statements of income,  comprehensive  income and undistributed
earnings for the six and three months ended April 30, 1999 and the  statement of
cash flows for the six months  ended April 30, 1999 were not audited or reviewed
by us and  accordingly,  we do not  express  an  opinion  or any  other  form of
assurance of them.

                                        J. H. Cohn LLP

Roseland, New Jersey
May 16, 2000

<PAGE>

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

Overview

The Registrant is an equity REIT that owns a portfolio of residential  apartment
and retail properties,  and undeveloped land. The Registrant's  revenues consist
primarily of fixed rental income and  additional  rent in the form of percentage
rents and  expense  reimbursements  derived  from its  income  producing  retail
properties.  The registrant also receives  income form its 40% owned  affiliate,
Westwood Hill LLC, which owns a residential apartment property. The Registrant's
policy has been to acquire real property for long-term investment.

The following  discussion  should b read in  conjunction  with the  Registrant's
financial  statements  and related notes  included  elsewhere in this Form 10-Q.
Certain  statements in this  "Management's  Discussion and Analysis of Financial
Condition and Results of Operations" may constitute  forward-looking  statements
within the meaning of Section 27A of the  Securities  Act and Section 21E of the
Exchange Act. Although the Registrant  believes that the expectations  reflected
in such  forward-looking  statements are based on reasonable  assumptions,  such
statements are subject to risks and  uncertainties,  including  those  discussed
elsewhere  in this  Form  10-Q,  which  could  cause  actual  results  to differ
materially from those projected.

Results of Operations
Six months ended April 30, 2000 vs. 1999
Acquisition

On March 29, 2000,  the Registrant  completed the  acquisition of the Olney Town
Center ("Olney"),  in Olney, MD. Olney is a 98,848 sq. ft. neighborhood shopping
center with expansion potential to 131,000 sq. ft. The center is 91.5% occupied.
The  shopping  center  is  situated  on   approximately   12.9  acres  of  land.
Approximately  10.9 areas are subject to a ground  lease  expiring in 2078,  and
approximately 2 acres are owned in Fee simple.

The center was acquired by purchasing 100% of the  partnership  units of S and A
Commercial  Associates Limited  Partnership ("S and A"). S and A's only asset at
the purchase  closing date was the shopping  center.  The purchase  price of the
center, approximately $15,648,000, was financed, in part, with the proceeds of a
$10,920,000 mortgage, with the balance of the purchase price being supplied from
the  proceeds  from  liquidating  a  portion  of  the  Registrant's   marketable
securities.

The Registrant has agreed to sell, as of March 29, 2000, a 25% interest in S and
A to a group  consisting  of  shareholders  of the  Registrant  and employees of
Hekemian  & Co.,  Inc.  on the same  basis  and cost as to the  Registrant.  The
accompanying  consolidated  financial statements include the operations of Olney
since the acquisition date which are summarized as follows:

<PAGE>
<TABLE>
<CAPTION>
                                   Six and Three Months        % Of Consolidated
                                           Ended              Period Ended 4/30/00
                                          4/30/00          Six Months      Three Months
                                          -------          ----------      ------------
<S>                                     <C>                   <C>            <C>
Selected Income Statement Data:
Revenues                                $ 185,000               2.2%               4.3%
                                    --------------
Expenses                                   49,000               1.6%               3.2%
Depreciation                               31,000               3.4%               6.6%
Financing Costs                            83,000               3.5%               6.8%
Minority Interest                           6,000             100.0%             100.0%
                                    --------------
              Total Expenses              169,000               2.6%               5.2%
                                    --------------

Net Earnings                             $ 16,000               0.8%               1.5%
                                    ==============       ============    ===============

Earnings Per Share                       $   0.01               0.8%               1.5%
                                    ==============       ============    ===============
</TABLE>


                                               As At                As At
                                              4/30/00              4/30/00
                                              -------              -------
Selected Balance Sheet Data:
Real Estate                               $ 15,632,000              19.9%
Other Assets                                   194,000               1.1%
Mortgages Payable                           10,920,000              15.5%
Other Liabilities                              555,000              17.2%

<PAGE>

Revenues

For the six months  ended  April 30, 2000  ("Current  Period"),  total  revenues
increased 11.1% to $8,418,000 from $7,575,000 for the six months ended April 30,
1999 ("Prior Period").  The revenue increase  results,  in part, from a $525,000
increase in revenues  from the  Registrant's  operating  properties,  a $110,000
increase  in  net  investment   income  from  investing  the  Registrant's  cash
equivalents and marketable securities,  and a positive swing in the Registrant's
share of operations at the Registrant's 40% owned affiliate of $208,000.

Real Estate  Operations:  Revenues from real estate  operations  for the Current
Period  increased 7.1% to $7,930,000 from  $7,405,000 for the Prior Period.  The
increase came, in part,  from higher  revenues at the  Registrant's  residential
properties  from  higher  per unit net  rental  collections  off-setting  a 2.2%
decline  to  92.9%  in  overall   occupancy;   and  increased  revenues  at  the
Registrant's  retail  properties.   The  increase  at  the  Registrant's  retail
properties   resulted   primarily  from   increased   fixed  rents  and  expense
reimbursements. These increases resulted, primarily, from increased occupancy at
the  Registrant's  Franklin  Crossing  (Franklin  Lakes, NJ) shopping center and
Olney.

Net  Investment  Income:  The  increase in net  investment  income  results from
earning higher  interest rates from the  redeployment  (during the quarter ended
October  31,  1999) of funds  from  institutional  money  market  pools to fixed
income,  short-to-intermediate  term  Government  Agency bonds.  The increase of
$110,000 for the Current  Period is net of a $68,000 loss from the sale of bonds
used for the cash portion of the purchase price of Olney.

Earnings From 40% Owned Affiliate:  During the Prior Period the Registrant's 40%
owned  affiliate,  Westwood  Hills LLC,  refinanced  its mortgage loan incurring
one-time  refinancing  costs of $440,000.  The  Registrant's  40% share of these
costs  ($176,000) was charged  against  income during the Prior Period.  No such
comparable  costs were incurred  during the Current Period  contributing  to the
positive earnings swing of $208,000.

Expenses:
For the Current Period, overall expenses increased $383,000 (6.4%) to $6,402,000
from  $6,019,000  for the Prior  Period.  The  major  increases  and  percentage
increases came in the following areas: Real estate operations  $162,000 (11.6%);
real estate taxes $139,000  (15.4%) and depreciation  $55,000 (6.5%).  Corporate
administrative expenses fell $61,000 (23.8%).

The majority of expense  increases came from the acquisition of Olney during the
Current  Period,  and the  consolidation  of its  operations.  Overall  expenses
excluding Olney increased 3.6%.

<PAGE>
Net Income

For the  Current  Period Net Income  increased  $458,000  (29.5%) to  $2,009,000
($1.29 per share) from $1,551,000 ($.99 per share) for the Prior Period.

The earning component  increases during the Current Period over the Prior Period
are as follows:

                                                       Current Period
                                                          Changes

          Real Estate Operations                         $ 204,000
          Net Investment Income                            110,000
          Equity In Income of Affiliate                    208,000
          Financing Costs                                  (70,000)
          Depreciation                                     (55,000)
          Administrative Costs                              61,000

                                                 ------------------
            Increase In Net Income                       $ 458,000
                                                 ==================

 The Registrant  believes that in fiscal 2000 the continued economic strength in
the  employment  markets in which its  properties  are located  should allow the
Registrant to realize or increase its current  occupancy rates for its apartment
properties with a sound support base for its retail properties.

Funds From Operations ("FFO")

FFO is considered by many as a standard measurement of a REIT's performance. The
Registrant computes FFO as follows:
<TABLE>
<CAPTION>
                                                      Six Months Ended                 Three Months Ended
                                                -----------------------------     ----------------------------
                                                     4/30/00         4/30/99            4/30/00       4/30/99
                                                     -------         -------            -------       -------
<S>                                                  <C>             <C>                <C>             <C>
Net Income                                           $ 2,009         $ 1,551            $ 1,054         $ 861
Depreciation - Real Estate                               900             845                468           424
Amortization of Deferred Mortgage Costs                   48              44                 25            23
Deferred Rents                                          (196)           (207)              (103)         (103)
Capital Improvement - Apartments                        (115)            (84)               (82)          (35)
Other                                                     45             225                 22            26
                                                -------------  --------------     --------------  ------------
             Funds From Operations                   $ 2,691         $ 2,374            $ 1,384        $1,196
                                                =============  ==============     ==============  ============
</TABLE>
FFO does not represent cash  generated  from operating  activities in accordance
with generally accepted accounting principles ("GAAP"), and therefore should not
be considered a substitute  for net income as a measure of results of operations
or for cash flow from  operations as a measure of liquidity.  Additionally,  the
application  and  calculation of FFO by certain other REIT's may vary materially
from that of the Registrant,  and therefore the  Registrant's FFO and the FFO of
other REIT's may not be directly comparable.

Liquidity and Capital Resources

At April 30, 2000,  the  Registrant's  cash,  cash  equivalents  and  marketable

<PAGE>

securities totaled $11,013,000  compared to $16,536,000 at October 31, 1999. The
principal reason for the reduction was the liquidation of marketable  securities
to be used for the cash  purchase  price of  Olney.  These  funds  and the funds
available from the Registrant's revolving credit line are available for property
acquisitions. At April 30, 2000, the Registrant's aggregate outstanding mortgage
debt was approximately  $70.6 million.  Approximately  $59.7 million has a fixed
weighted  average  interest rate of 7.513%,  and an average life of 10.73 years.
Approximately $10.9 million of mortgage debt bears an interest rate equal to 175
basis points over LIBOR and resets every 90 days. This mortgage is due March 28,
2002 and can be extended for one additional  year.  The  Registrant  anticipates
that the cash flow from  operations  will be more  than  sufficient  to meet the
Registrant's  operational  needs and the  increased  mortgage  obligations.  The
Registrant  believes  that its exposure to market risk relating to interest rate
risk is not  material  since most of its  mortgage  debt is long term with fixed
rate financing.  However, to the extent the proceeds from the various financings
cannot be redeployed to earn more than the stated interest costs,  there will be
a negative  impact on earnings  and cash flow  available  to pay  dividends.  To
offset the  Registrant's  increased  debt-carrying  costs,  the  Registrant  has
invested  approximately  $9.5  million  in   short-to-intermediate   fixed  rate
Government Agency Bonds. These bonds yield a weighted average interest of 6.483%
and have a weighted  maturity of 25.9  months.  Since the market  value of these
bonds are  interest  rate  sensitive,  a sale of all or a portion of these bonds
prior to maturity in a high interest rate  environment,  may result in a loss to
the Registrant (See Net Investment Income above).

The Registrant  makes capital  improvements to its properties when it deems such
improvements  to be  necessary  or  appropriate.  The short term  impact of such
capital  outlays  will be to depress the  Registrant's  current  cash flow.  The
Registrant is now experiencing the benefits of these  expenditures by preserving
the physical integrity of its properties and securing  increased rentals.  Other
than the apartment  rehabilitation  program  described above, the Registrant has
made  no  commitments  and  has  no  understandings  for  any  material  capital
expenditure during fiscal 2000 other than in the ordinary course of business.

Results of Operations
Three months ended April 30, 2000 vs. 1999
Revenues

For the three months ended April 30, 2000  ("Current  Quarter")  total  revenues
increased  9.2% to $4,280,000  from  $3,920,000 for the three months ended April
30, 1999 ("Prior  Quarter").  The revenue increase  results,  for the most part,
from $318,000 of increased  revenues at the Registrant's  operating  properties,
which include  $185,000 at Olney. The balance of the revenue increase of $42,000
comes from the Registrant's share of its equity in improved operating results at
its 40% owned affiliate, Westwood Hills LLC.

To fund the cash purchase price of the Olney shopping center the Registrant sold
fixed income marketable securities prior to their maturity dates. As a result of
the current  higher  interest rate  environment  than when the  securities  were
purchased, the sale resulted in a loss of $68,000, which was charged against Net
Investment Income.

Expenses

Expenses for the Current  Quarter  increased  $165,000 (5.4%) to $3,222,000 from
$3,057,000 for the Prior Quarter.  Almost the entire increase is attributable to
the  consolidation  of Olney's  operations.  (See  Acquisition).  Without Olney,
expenses would have been flat, with reductions in real estate operating expenses
offsetting slight increases in the other categories.
<PAGE>

Net Income

Net Income for the  Current  Quarter  increased  22.4% to $1,054,000  ($.68 per
share) from $861,000  ($.55 per share) for the Prior  Quarter.  The increase was
attributable  to higher  earnings  at the  operating  properties  and  increased
earnings from the Registrant's 40% owned affiliate.

Distributions to Shareholders

Since its inception in 1961,  the Registrant has elected to be treated as a REIT
for Federal  income tax purposes.  In order to qualify as a REIT, the Registrant
must satisfy a number of highly technical and complex  operational  requirements
including that it must  distribute to its  shareholders at least 95% of its REIT
taxable income. The Registrant  anticipates making distributions to shareholders
from operating cash flows,  which are expected to increase from future growth in
rental  revenues.  Although  cash  used to make  distributions  reduces  amounts
available for capital investment, the Registrant generally intends to distribute
not less than 95% of REIT taxable income in order to satisfy the applicable REIT
requirement as set forth in the Internal Revenue Code.

It has been the  Registrant's  policy to pay fixed  quarterly  dividends for the
first three quarters of each fiscal year,  and a final fourth  quarter  dividend
based on the fiscal year's net income and taxable income.  For the  Registrant's
preceding  fiscal  years ended  October 31, 1999 and 1998,  the fourth  quarter
dividend was $1.05 and $.92 per share respectively.

Cash dividends declared through the six months ended April 30, 2000 and 1999 are
as follows:

-----------------------------------------------------------------------
                                FISCAL 2000                FISCAL 1999
                                -----------                -----------
 First Quarter                    $ .50                      $ .40
 Second Quarter                   $ .50                      $ .40
                                --------                    --------
     Year To Date                 $1.00                      $ .80
                                --------                    --------
----------------------------------------------------------------------

Inflation

The Registrant  anticipates that the U.S.  Mid-Atlantic  States will continue to
experience moderate growth with limited inflation.  Any sustained inflation may,
however,  negatively  impact  the  Registrant  in at least  two  areas:  (i) the
interest costs of any new mortgage  financing or the use of the Summit Bank line
of credit may be higher  than rates  currently  in effect;  and (ii) higher real
estate  operating  costs,  especially  in those  areas  where such costs are not
chargeable to commercial tenants.

Item 3: QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

         See  "Liquidity and Capital Resources" above.



<PAGE>

Part II: Other Information

Item 1. Legal Proceedings
         None.

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

                  The  following  maters  were  submitted  to a vote of security
                  holders at the  Registrant's  Annual  Meeting of  Shareholders
                  held on April 12, 2000.

                  Election of Trustees

                  The Shareholders re-elected Mr. Herbert C. Klein to serve as
                  Trustees for an additional three (3) term. The balloting for
                  election was as follows:

         NOMINEE                    FOR             AGAINST         ABSTAINED
--------------------------- ------------------- ---------------  ---------------
     Herbert C. Klein            1,405,155             0             154,633
--------------------------- ------------------- ---------------  ---------------

Item 5. Other Events

         None

Item 6. Exhibits and Reports of Form 8-K

                  No reports  on Form 8-K have been filed  during the six months
ended April 30, 2000.

        Exhibit Numbers
        ---------------

               27.              Financial Data Schedule
<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.


                                               FIRST REAL ESTATE INVESTMENT
                                                  TRUST  OF  NEW  JERSEY
                                               ----------------------------
                                                      (Registrant)

Date June 12, 2000

                                               /s/ William R. DeLorenzo, Jr.
                                               ----------------------------
                                               William R. DeLorenzo, Jr.
                                               Executive Secretary and Treasurer


*Print name and title of the signing officer under his signature.