SECURITIES AND EXCHANGE COMMISSION
     Washington, DC  20549
     
     FORM 10-K
     
     Annual Report Pursuant to Section 13 or 15(d) of
     The Securities Exchange Act of 1934
     
     For the Fiscal Year Ended December 31, 1995         
     Commission file: #0-14453
     
     National Real Estate Limited Partnership 
     Income Properties          
     (Exact name of registrant as specified in its charter)
     
     Wisconsin
     39-1503893
     (State or other jurisdiction of incorporation or
     organization)
     (I.R.S. Employer Identification No.)
     
     9800 West Bluemound Road, Milwaukee, Wisconsin
     53226-4353      
     (Address of principal executive offices)
     (Zip Code)
     
     Registrant's telephone number, including area code:
     (414) 453-3498
     
     Securities registered pursuant to Section 12(b) of the
     Act:
     
     Names of Each Exchange on Which Registered  
     None
     
     Title of Each Class
     None                                                   
     Securities registered pursuant to Section 12(g) of the
     Act:
     
     Limited Partnership Interests
     (Title of Class)
     
     Indicate by check mark whether the registrant (1) has
     filed all reports required to be filed by Sections 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. (X)  Yes    (  )  No
     
     State the aggregate market value of the securities held
     by non-affiliates of the Registrant as of February 28,
     1996: indeterminate value as there is no market.*
     *For purposes of this disclosure only.
     
     The number of Limited Partnership interests outstanding
     as of February 28, 1996: 9004.15
     
     DOCUMENTS INCORPORATED BY REFERENCE
     
     Portions of the annual report to the Partners for the
     year ended December 31, 1995 are incorporated by
     reference into Parts I, II, III, and IV.
     
     Definitive Prospectus dated January 31, 1985, as
     amended to date, is incorporated by reference into Part
     IV.
     
          <PAGE>
TABLE OF CONTENTS
     
     
     Item No.            Page No.
     
     PART I
     1.   Business   3
     
     2.   Properties      3
     
     3.   Legal Proceedings    3
     
     4.   Submission of Matters to a Vote of Security
               Holders    3
     
     
     PART II
     
     5.   Market for Partnership's Securities and Related
          Security Holder Matters   4
     
     6.   Selected Financial Data   5
     
     7.   Management's Discussion and Analysis of Financial
          Condition and Results of Operations      5
     
     8.   Financial Statements and Supplementary Data   5
     
     9.   Disagreements on Accounting and Financial
               Disclosure      5
     
     PART III
     
     10.  Directors and Executive Officers of the
               Partnership     6
     
     11.  Executive Compensation    9
     
     12.  Security Ownership of Certain Beneficial Owners
               and
          Management     10
     
     13.  Certain Relationships and Related Transactions    10
     
     
     PART IV
     
     14.  Exhibits, Financial Statements, Schedules, and
               Reports
          on Form 8-K    11
     
     
     
          <PAGE>
PART I
     
     
     Item 1. Business
     
     "Business" on pages 1 and 2 of the Partnership's annual
     report to Partners for the year ended December 31, 1995
     is incorporated herein by reference.
     
     
     Item 2. Properties
     
     "Properties" on pages 2 through 3 of the Partnership's
     annual report to Partners for the year ended December
     31, 1995 is incorporated herein by reference.
     
     
     Item 3. Legal Proceedings
     
     "Legal Proceedings" on page 3 of the Partnership's
     annual report to Partners for the year ended December
     31, 1995 is incorporated herein by reference.
     
     
     Item 4. Submission of Matters to a Vote of Security
     Holders for the Quarter
     Ended December 31, 1995
     
     No matters have been submitted to a vote of security
     holders during the fourth quarter ended December 31,
     1995.
     
     By virtue of its organization as a limited partnership,
     the Limited Partnership Interests do not possess
     traditional voting rights. However, as provided in
     Article 15 of the Limited Partnership Agreement,
     Limited Partners have voting rights for, among other
     things, the removal of the General Partners, the
     approval of the sale of substantially all of the assets
     under certain circumstances, and the initiation of the
     dissolution of the Partnership.
     
     
     
     
          <PAGE>
PART II
     
     
     Item 5. Market for the Partnership's Securities and
     Related Security Holder
     Matters
     
     a) Market Information
     
     The Partnership's only authorized equity securities are
     Limited Partnership Interests ("Interests"). As of
     December 18, 1986, the Partnership concluded its
     offering of Interests and 9,034.01 Interests had been
     sold to the public at a price of $1,000 per Interest.
     Management is not aware of a public trading market
     having been developed for the Interests. The
     Partnership does provide a repurchase pool whereby the
     limited partners may tender their limited partnership
     interests back to the Partnership at a specified price.
     Tenders are accepted semi-annually if they meet the
     criteria established by the General Partners. As of
     December 31, 1995, 29.86 Interests have been
     repurchased and are held in Treasury.
     
     b) Security Holders
     
     Title of Class      
     Limited Partnership Interests
     
     Number of Record Holders (as of Februery 28, 1996)
     1,143
     
     Number of Interests (as of February 28, 1996)
     9,004.15
     
     c) Dividends or Similar Distributions
     
     Cash distributions to Limited Partners depend upon
     attaining and thereafter maintaining operating income
     and expenses of the Partnership at levels permitting
     distributions. Distributions of cash, if any, will be
     made from: (i) Cash Available for Distribution; (ii)
     cash from property sales; and (iii) cash from
     Partnership reserve accounts.
     
     "Cash Available for Distribution" is defined in the
     Partnership Agreement to include Cash Flow from the
     Partnership less amounts set aside for Reserves plus,
     through 1987, the amount of any General Partner Loan
     for such period. "Cash Flow" is defined as the
     Partnership's cash funds provided from operations and
     Reserves, including lease payments on net leases from
     builders and sellers, without deductions for
     depreciation, but after deducting cash funds used to
     pay all Operating Expenses, deferred fees, other
     expenses, debt payments, capital improvements and
     replacements. Mr. Vishnevsky, as Individual General
     Partner was required to loan funds to the Partnership
     quarterly to the extent necessary to make Cash
     Available for Distribution to Limited Partners equal to
     8% in 1985, 8.25% in 1986, and 8.5% in 1987, up to a
     maximum loan of 3% of the gross proceeds of the
     offering. Through December 31, 1995, the Individual
     General Partner loaned $271,020 to the Partnership
     under this commitment, which is the maximum amount
     under the commitment. This commitment expired December
     31, 1987. The Individual General Partner shall be
     repaid with interest equal to 12% or the prime rate
     plus two percentage points, whichever is lower, solely
     from sale proceeds. The Partnership continued cash
     distributions in 1995 with an aggregate of $139,566 and
     $4,315 to its Limited Partners and General Partners,
     respectively. Distributions for 1995 were at a rate
     that equaled 1.55% on the Limited Partners' capital
     investment. The General Partners anticipate that the
     Partnership will continue to make cash distributions to
     its Limited Partners in 1996, though the level of such
     cash distributions will be dependent upon the results
     of property operations and there can be no assurance as
     to the amount, if any, that may be distributed.
     
     
          <PAGE>
Cash available for distribution, as defined in the
     Agreement, will be distributed 97% to the Limited
     Partners and 3% to the General Partners. After the
     repayment of any General Partner loans, sales proceeds
     will be distributed as follows: (1) 97% to the Limited
     Partners and 3% to the General Partners until the
     Limited Partners have received (A) 100% of their
     initial capital investment and (B) cumulative,
     non-compounded distributions of sales proceeds, in
     excess of the amount required in (A), and cash
     available for distribution equal to 6% per annum on
     their initial capital investment, with the 3% to the
     General Partners subordinated to payment of the amounts
     in (A) and (B) to the Limited Partners; (2) to an
     affiliate of the General Partners, an amount equal to
     its subordinated real estate commission (up to 3% of
     the aggregate selling price of all properties); (3) 88%
     to the Limited Partners and 12% to the General
     Partners, with such payments to the General Partners
     subordinated to a total return to the Limited Partners
     of (A) 100% of their initial capital investment plus
     (B) a cumulative preference of 10% per annum on their
     initial capital investment.
     
     If the General Partners should at any time determine
     that the Reserves of the Partnership are in excess of
     the amount reasonably necessary under the
     circumstances, such Reserves may be reduced and the
     amount of such reduction may, in the sole discretion of
     the General Partners, be used for payment of expenses,
     distributions to the Limited Partners, or investment in
     additional properties.
     
     
     Item 6. Selected Financial Data
     
     "Selected Financial Data" on page 4 of the
     Partnership's annual report to Partners for the year
     ended December 31, 1995 is incorporated herein by
     reference.
     
     
     Item 7. Management's Discussion and Analysis of
     Financial Condition and Results of Operations
     
     "Management's Discussion and Analysis of Financial
     Condition and Results of Operations" on pages 5 through
     7 of the Partnership's annual report to Partners for
     the year ended December 31, 1995 is incorporated herein
     by reference.
     
     Item 8. Financial Statements and Supplementary Data
     
     The financial statements included on pages 8 through 19
     of the Partnership's annual report to Partners for the
     year ended December 31, 1995 are incorporated herein by
     reference. The Partnership is not required to report
     quarterly results of operations or supplementary
     information on the effects of changing prices.
     
     
     Item 9. Disagreements on Accounting and Financial
     Disclosure
     
     There were no disagreements with Ernst and Young LLP on
     any matter of accounting principles or practices,
     financial statement disclosure, or auditing scope or
     procedure.
     
     
     
     
     
          <PAGE>
PART III
     
     
     Item 10. Directors and Executive Officers of the
     Partnership
     
     (a-b) Identification of Directors and Executive
     Officers
     
     The Partnership has no directors or officers. The
     General Partners of the Partnership are John
     Vishnevsky; National Development and Investment, Inc.
     ("NDII"), a Wisconsin corporation of which Mr.
     Vishnevsky is the majority stockholder; and EC Corp., a
     Wisconsin corporation of which Stephen P. Kotecki is
     the majority stockholder. The address of Mr. Vishnevsky
     and NDII is 9800 West Bluemound Road, Milwaukee,
     Wisconsin, 53226-4353, telephone (414) 453-3498. The
     address of EC Corp. is 9800 West Bluemound Road,
     Milwaukee, Wisconsin, 53226-4353, telephone (414)
     453-5117.
     
     The General Partners manage and control the affairs of
     the Partnership and have responsibility and ultimate
     authority in all matters affecting its business. The
     names of the directors and executive officers of NDII
     and EC Corp. are as follows:
     
     Name
     Office
     Term Held Office (since)
     
     
     NDII:
     
     John Vishnevsky
     President, Director
     09/30/74
     
     Stephen P. Kotecki
     Vice President, Secretary, Treasurer, and Director
     04/12/91
     
     
     
     EC Corp.:
     
     Stephen P. Kotecki
     President, Treasurer, Director
     10/30/92
     
     
     Thomas Rielly
     Vice President, Secretary, Director
     12/17/92
     
     Officers of the corporations are elected by their
     respective Boards of Directors annually. There is no
     arrangement or understanding between or among any of
     said directors or officers and any other person
     pursuant to which such individual was selected as a
     director or officer.
     
     (c) Identification of Certain Significant Persons
     
     The General Partners, in conjunction with their
     affiliates, believe that they have sufficient personnel
     to fully discharge their responsibilities to the
     Partnership. The Partnership employs various
     individuals to oversee the Partnership's affairs and
     report to the General Partners, but, the Partnership
     relies directly on the General Partners for the
     management and control of the Partnership's affairs.
     See Item 10, Subsection (e), for a description of the
     business experience of officers, directors, and
     personnel of the General Partners and affiliates.
     
     There are four other organizations which are or were
     affiliated with the Individual or Corporate General
     Partners whose services are utilized by the
     Partnership: National Realty Management, Inc. ("NRMI"),
     which provides property and partnership management,
     real estate acquisition and real estate brokerage
     through delegation of duties agreements with NDII;
     Victor Construction, Inc., which has and may in the
     future serve as general contractor and perform other
     services in connection with renovation and remodeling
     work of the Partnership's properties; National Selected
     Securities Corp. (formerly NDII Securities Corp.),
     which acted as the Managing Dealer for the offering of
     Interests in the Partnership; and The John Vishnevsky
     Company ("JVCO"), which has provided consulting
     services in the areas of real estate investments, joint
     ventures, financing, systems, accounting, and internal
     controls.
     
     
          <PAGE>
RELATIONSHIP OF GENERAL PARTNERS
     AND THEIR AFFILIATES
     
     
     The following diagram shows the relationship of the
     Partnership to various prior or current affiliates:
     
     
     
     NATIONAL REAL ESTATE LIMITED
     PARTNERSHIP INCOME PROPERTIES 
     
     
     (1)
     EC CORP
     Corporate General Partner
     
     JOHN VISHNEVSKY
     Individual General Partner    100%
     
     NATIONAL DEVELOPMENT AND INVESTMENT, INC.
     Corporate General Partner
     
     
     
     100%
     JOHN VISHNEVSKY COMPANY
     Financial and Real Estate Consulting and Services
     
     100%
     NATIONAL SELECTED SECURITIES CORP.
     Security Sales
     
     
     (2)
     NRMI
     Partnership and Property Management Acquisition &
     Brokerage
     
     (3)
     VICTOR CONSTRUCTION INC.
     Building Contractor
     
     
     
     (1)  The ownership of EC Corp. is held by Mr. Stephen
               P. Kotecki (100%).
     
     (2)  The ownership of NRMI is held by Mr. Edward Carow
               (51%), Ms. Stasia Vishnevsky (19%), and Mr.
               Anthony Van Stralen (30%). It is anticipated that
               the services of NRMI will continue to be available
               to the Partnership under the terms and conditions
               described in the Prospectus.
     
     (3)  The ownership of Victor Construction, Inc. is held
               by Mr. Edward J. Bushman (71%), Mr. Mark Clements
               (9%), Mr. Mark Bruechel (2%) and Ms. Cindy Bushman
               (18%). It is anticipated that the services of
               Victor will continue to be available to the
               Partnership under the terms and conditions
               described in the Prospectus.
     
     
     
          <PAGE>
(d) Family Relationships
     
     Ms. Stasia Vishnevsky, part owner and Vice President of
     NRMI, is the daughter of John Vishnevsky.
     
     (e) Business Experience
     
     The experience of the officers and directors of the
     Corporate General Partners includes the following:
     
     John Vishnevsky, President and Director of NDII, (age
     72) is a graduate of Marquette University. For over 37
     years he has been involved in real estate related
     activities such as land development, residential,
     apartment, and commercial construction, property
     management, and the structuring of limited
     partnerships. Mr. Vishnevsky has directed companies
     that have developed or constructed projects with a
     current market value of over $100 million. He,
     corporate entities he controls, or both, act as general
     partner for all NDII limited partnerships. These
     partnerships have sold in excess of $160 million of
     limited partnership interests. Mr. Vishnevsky is
     licensed as an insurance broker, a real estate broker,
     and a securities principal and he has lectured
     frequently and has taught courses in real estate at the
     University of Wisconsin-Milwaukee. He has appeared as a
     guest on television and radio programs related to real
     estate investments. Mr. Vishnevsky is author of the
     books: The Art of Financial Independence, The Phantom
     Yield of Real Estate Investment, The Great Real Estate
     Disaster... The Greatest Real Estate Opportunity,
     Getting to Know You, Releasing Your Creativity, and
     Principles.
     
     Stephen P. Kotecki, Vice President and Director of
     NDII, and President, Treasurer, and Director of EC
     Corp. (age 45) is a General Securities Registered
     Representative, multi-line licensed insurance agent and
     entrepreneur. He is the sole stockholder of EC Corp.
     Mr. Kotecki holds a Bachelor of Science Degree with a
     major in Political Science from the University of
     Wisconsin-Whitewater, and a Master of Science Degree in
     Urban Affairs from the University of
     Wisconsin-Milwaukee. Mr. Kotecki  directed research for
     the American Federation of State, County and Municipal
     Employees' District Council in Milwaukee County for
     over four years. Mr. Kotecki further has experience as
     a Regional Criminal Justice Planner and as a Housing
     Evaluation Specialist. As a college instructor Mr.
     Kotecki lectured courses in Business and Industrial
     Relations, Marketing and Investments for over three
     years.
     
     Thomas P. Rielly, Vice President, Secretary and
     Director of EC Corp., (age 48) is a licensed general
     securities principal and a financial and operations
     principal. Mr. Rielly has been an active participant in
     the financial services industry for 22 years. His
     diverse financial services experience includes
     professional assignments in the areas of venture
     capital, business planning and venture formation,
     investment banking, asset management and securities
     placement. Mr. Rielly has been associated with National
     Development and Investment, Inc., related companies,
     and Mr. Vishnevsky for over 9 years.
     
     Other personnel of the General Partners, affiliates, or
     other entities who were significantly involved in the
     Partnership's affairs include the following:
     
     Edward Carow, President of NRMI, (age 36) has over 17
     years experience and an extensive background in
     property management, acquisitions, partnership
     management, loan workouts, refinancing, and property
     sales. Mr. Carow is a licensed real estate broker and
     holds the CPM (Certified Property Manager) designation.
     Mr. Carow attended the University of Wisconsin for
     business, the Waukesha County Technical College for
     real estate and he continues to attend trade
     conferences and lectures. He has taught courses in
     property management and real estate investments for
     Milwaukee Area Technical College. He is a member of the
     Executive Council of the Institute of Real Estate
     Management and was the 1992 President. Some of his
     current other commitments include the International
     Affairs Committee of the Institute of Real Estate
     Management, the Publishing Committee of the Institute
     of Real Estate Management and the Advisory Board at the
     Waukesha County Technical College.
     
     
          <PAGE>
Stasia Vishnevsky, Vice President and Media Director of
     NRMI, (age 30) supervises marketing, public relations,
     and advertising for NRMI-managed properties. Ms.
     Vishnevsky also produces corporate training and
     operations manuals, newsletters, and training seminars.
     She attended Elmhurst College for English, and
     Marquette University for Broadcast Communications.
     
     Joan Jenstead, Director of Property Operations, (age
     61) has been involved in the management of over ten
     thousand apartment units in addition to commercial and
     condominium management nationwide. She is a Certified
     Property Manager and a Wisconsin licensed real estate
     broker. Ms. Jenstead attended the University of North
     Dakota, majoring in Business. In 1984, she was
     responsible for the recognition of NRMI as an
     Accredited Management Organization (AMO) by the
     National Institute of Real Estate Management, (IREM).
     In 1988, she served as President of  the Institute of
     Real Estate Management. She is also a member of the
     national faculty of IREM, a faculty member of the
     Milwaukee Area Technical College, and a past President
     of the Board of Directors for the state of Wisconsin
     Technical College Trustee Association. In 1990, Ms.
     Jenstead was recognized for her accomplishments in
     higher education in "Profiles in Success" published by
     the National Center for Higher Education. In 1994 she
     was elected to a three year term as a director on the 
     National Board of the Association of Community College
     Trustees.
     
     John Vishnevsky is or was the Individual General
     Partner of National Real Estate Limited Partnership-II
     (NRELP-II), National Real Estate Limited
     Partnership-III (NRELP-III), National Real Estate
     Limited Partnership-IV (NRELP-IV), National Real Estate
     Limited Partnership-V (NRELP-V), National Real Estate
     Limited Partnership-VI (NRELP-VI), National Real Estate
     Limited Partnership Income Properties-II (NRELP-IP-II)
     and the Partnership, among others. NDII is or was the
     corporate general partner of NRELP-IV, NRELP-V,
     NRELP-VI, NRELP-IP-II, and the Partnership, among
     others. EC Corp. is or was the corporate general
     partner of NRELP-VI, NRELP-IP-II and the Partnership,
     among others. The Boards of Directors of the
     Partnership's Corporate General Partners, NDII and EC
     Corp., may be deemed to be interlocking.
     
     Item 11. Executive Compensation
     
     As stated above, the Partnership has no officers or
     directors. The officers and directors of the Corporate
     General Partners receive no current or proposed direct
     remuneration in such capacities, pursuant to any
     standard arrangement or otherwise, from either the
     Corporate General Partners or from the Partnership,
     with the exception of those directors which are not
     employees of NDII, EC Corp. and affiliates, to whom an
     annual director's fee of $50 per director is paid by
     NDII.
     
     Pursuant to the terms of the Limited Partnership
     Agreement, net profits and losses from operations and
     Cash Available for Distribution are allocated 97% to
     the Limited Partners and 3% to the General Partners.
     For such 3% interest, the General Partners contributed
     $6,000 to the Partnership. For the fiscal period ended
     December 3l, 1995, this interest resulted in net
     taxable income to the Individual General Partner in the
     amount of approximately $3,075. Cash distributions of
     $4,315 were made to the Individual General Partner.
     
     Cash available for distribution, as defined in the
     Agreement, will be distributed 97% to the Limited
     Partners and 3% to the General Partners. After the
     repayment of any General Partner loans, sales proceeds
     will be distributed as follows: (1) 97% to the Limited
     Partners and 3% to the General Partners until the
     Limited Partners have received (A) 100% of their
     initial capital investment and (B) cumulative,
     non-compounded distributions of sales proceeds, in
     excess of the amount required in (A), and cash
     available for distribution equal to 6% per annum on
     their initial capital investment, with the 3% to the
     General Partners subordinated to payment of the amounts
     in (A) and (B) to the Limited Partners; (2) to an
     affiliate of the General Partners, an amount equal to
     its subordinated real estate commission (up to 3% of
     the aggregate selling price of all properties); (3) 88%
     to the Limited Partners and 12% to the General
     Partners, with such payments to the General Partners
     subordinated to a total return to the Limited Partners
     of (A) 100% of their initial capital investment plus
     (B) a cumulative preference of 10% per annum on their
     initial capital investment.
     
     The Partnership is engaged in various transactions
     involving affiliates of the General Partners, as
     described in the Prospectus. Notes 2, 6 and 7 of the
     Partnership's financial statements of  the annual
     report to Partners for the year ended December 31, 1995
     is incorporated herein by reference.
     
     The contracts between the Partnership and affiliates
     provide that the compensation, price, or fee must be
     comparable and competitive with the compensation,
     price, or fee of any other person whose services could
     reasonably be made available to the Partnership. The
     General Partners believe compensation to affiliates for
     services to the Partnership was on terms no less
     favorable to the Partnership than would have been
     available through arm's-length negotiations for similar
     services from unrelated parties.
     
     Item 12. Security Ownership of Certain Beneficial
     Owners and Management
     
     (a) Persons or groups known by the Partnership to own
     beneficially more than 5% of the outstanding Interests
     of the Partnership are indicated below:
     
     
     Title of Class
     Limited Partnership Interests
     
     Name of Beneficial Owner
     Thea J. Peterson
     
     Amount and Nature of Benefiial Ownership
     500 Interests
     Sole and Joint Investment Power
     
     Percent of Class
     5.55%
     
     (b) By virtue of its organization as a limited
     partnership, the Partnership has no officers or
     directors. The General Partners are responsible for
     management of the Partnership, subject to certain
     limited democracy rights of the Limited Partners
     described in the Limited Partnership Agreement. Persons
     or entities performing functions similar to those of
     officers and directors of the Partnership, beneficially
     own, in the aggregate, the following Interests of the
     Partnership as of February 28, 1996.
     
     
     Title of Class
     Limited Partnership Interests
     
     Name of Beneficial Owner
     John Vishnevsky
     
     
     Amount and Nature of Beneficial Ownership
     29.56 Interests 
     Sole Investment Power
     
     Percent of Class
     0.33%
     
     
     Title of Class
     Limited Partnership Interests
     
     Name of Beneficial Owner
     Stephen P. Kotecki
     
     Amount and Nature of Beneficial Ownership
     4 Interests
     Sole Investment Power
     
     Percent of Class
     0.04%
     
     
     (c) There is no arrangement known to the Partnership
     which may, at a subsequent date, result in a change in
     control of the Partnership.
     
     Item 13. Certain Relationships and Related Transactions
     
     Neither the General Partners nor their affiliates were
     indebted to the Partnership during the year ended
     December 31, 1995.
     
     There were no transactions with management other than
     the Partnership's transactions with the General
     Partners and affiliates, as described in this report at
     Items 10 and 11.
     
     
          <PAGE>
PART IV
     
     14. Exhibits, Financial Statements, Schedules, and
     Reports on Form 8-K
     
     
     (A)  1.   Financial Statements.
     
     a)   Financial Statements and Report of Independent
               Auditors (incorporated by reference from pages 8
               through 19 of the Partnership's annual report to
               Partners for the year ended December 31, 1995).
     
     (i)  Report of Independent Auditors
     
     (ii) Balance Sheets, December 31, 1995 and 1994
     
     (iii)     Statements of Operations, Years Ended
                    December 31, 1995, 1994, and 1993
     
     (iv) Statements of Changes in Partners' Capital, Years
               Ended December 31, 1995, 1994, and 1993
     
     (v)  Statements of Cash Flows, Years Ended December 31,
               1995, 1994, and 1993
     
     (vi) Notes to Financial Statements
     
     2.   Financial Statement Schedules
     
     All schedules for which provision is made in the
     applicable accounting regulation of the Securities and
     Exchange Commission are not required under the related
     instructions, are inapplicable, or the information is
     presented in the financial statements or related notes,
     and therefore such schedules have been omitted.
     
     3.   Exhibits
     
     See attached exhibit list which is incorporated by
     reference.
     
     
     (B)  Reports on Form 8-K for the Quarter ended December
     31, 1995
     
     There were no reports on Form 8-K filed during the
     fourth quarter ending December 31, 1995.
     
     
          <PAGE>
(C)  Exhibits
     3(a) Limited Partnership Agreement, incorporated by
               reference from Prospectus previously filed with
               Registration Statement 2-95072 on Form S-11
               effective January 31, 1985.
     3(b) Certificate of Limited Partnership incorporated by
               reference from Exhibit 3B Registration Statement
               2-95072 on Form S-11 filed December 20, 1984.
     4    Subscription Agreement Evidencing Ownership of a
               Partnership Interest, incorporated by reference
               from Prospectus previously filed with Registration
               Statement 2-95072 on Form S-11 effective January
               31, 1985.
     10(a)     Consulting Fee Agreement between the
                    Partnership and NDII dated January 31, 1985,
                    incorporated by reference from 1985 10-K
                    filed March 28, 1986.
     10(b)     Property Management Agreements between
                    Partnership and NRMI and between NRMI and
                    Equity Management Corporation Lock-It Lockers
                    Tucson, incorporated by reference from 1985
                    10-K filed March 28, 1986.
     10(c)     Acquisition Agreement between the Partnership
                    and NDII dated January 31, 1985, incorporated
                    by reference from 1985 10-K filed March 28,
                    1986.
     10(d)     Organization Expense Agreement between the
                    Partnership and NDII dated January 31, 1985,
                    incorporated by reference from 1985 10-K
                    filed March 28, 1986.
     10(e)     Contracts for Acquisition of Assets 
     (1)  With respect to Lock-It Lockers Mini-Warehouse,
     Tucson, Arizona: Incorporated by reference from Exhibit
     2-1 to periodic report on Form 8-K dated May 7, 1985;
     July 9, 1985; August 9, 1985; and September 13, 1985.
     (2)  With respect to Lock-It Lockers Mini-Warehouse,
     Phoenix, Arizona: Incorporated by reference from
     Exhibit 2-1 to periodic report on Form 8-K dated
     January 1, 1986; February 1, 1986; and April 2, 1986.
     (3)  With respect to Cave Creek Mini-Warehouses,
     Phoenix, Arizona: Incorporated by reference Exhibit 2-1
     to periodic report on Form 8-K dated April 30, 1987.
     (4)  With respect to Northridge Commons Shopping
     Center, Milwaukee, Wisconsin: Incorporated by reference
     Exhibit 2-1 to periodic report on Form 8-K dated May
     28, 1987.
     10(f)     Escrow Agreement dated January 31, 1985,
                    incorporated by reference from Exhibit 10 to
                    Amendment No. 1 to Registration Statement
                    2-95072 effective January 31, 1985.
     10(g)     Property Management Agreement between
                    Partnership and NRMI and between NRMI and
                    Equity Management Corporation, Lock It
                    Lockers, Phoenix, Arizona: Incorporated by
                    reference from 1986 10-K filed March 28,
                    1987.
     10(h)     Management Consulting Delegation of Duties
                    Agreement between General Partners and NRMI
                    dated May 28, 1991. Incorporated by reference
                    from the 1991 10-K filed March 27, 1992.
     10(i)     Co-General Partner Agreement incorporated by
                    reference from Exhibit 5-1 to periodic
                    reports on 8-K dated July 26, 1991.
     10(j)     Property Management Agreement between
                    Partnership and NRMI, dated July 1, 1991.
                    Incorporated by reference from the 1991 10-K
                    filed March 27, 1992.
     11   Not applicable, see Item 6 of this report.
     12   Not applicable
     *13  National Real Estate Limited Partnership Income
               Properties 1995 annual report to Partners is
               included as an exhibit hereto for those portions
               of such annual report specifically incorporated by
               reference elsewhere herein. Such annual report is
               deemed not to be filed as part of this Report.
     18   Not applicable
     19   Not applicable
     22   Not applicable
     23   Not applicable 
     *24  Consent of Independent Auditors filed with this
               report.
     25   Not applicable
     (D)  Financial Statement Schedules There are no
     schedules to be included herein.
     
     *    Filed with this Report.
     
     
          <PAGE>
Exhibit 24
     
     
     CONSENT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
     
     
     
     
     We consent to the incorporation by reference in this
     Annual Report (Form 10-K) of National Real Estate
     Limited Partnership Income Properties of our report
     dated January 19, 1996, included in the 1995 Annual
     Report to Partners of National Real Estate Limited
     Partnership Income Properties.
     
     
     
     
     
     
     ERNST & YOUNG LLP
     
     
     
     Milwaukee, Wisconsin
     March 27, 1996
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
     
          <PAGE>
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.
     
     NATIONAL REAL ESTATE LIMITED PARTNERSHIP
     INCOME PROPERTIES
     (Registrant)
     
     
     
     
     Dated: March 28, 1996
     
     By: /S/        John Vishnevsky              
     
     ________________________________
     John Vishnevsky
     President and Chief Operating and
     Executive Officer
     National Development and Investment, Inc.
     Corporate General Partner
     
     
     Dated: March 28, 1996
     
     By: /S/        John Vishnevsky 
     __________________________________
     John Vishnevsky
     Chief Financial and Accounting Officer
     National Development and Investment, Inc.
     Corporate General Partner
     
     
     Pursuant to the requirements of the Securities Exchange
     Act of 1934, this report is signed below by the
     following persons on behalf of the Registrant and in
     the capacities* and on the dates indicated:
     
     
     /S/ John Vishnevsky
                         
     John Vishnevsky
     President and Director
     National Development and Investment, Inc.
     
     March 28, 1996
     (dated)
     
     /S/ Stephen P. Kotecki
                         
     Stephen P. Kotecki
     Vice President, Secretary,Treasurer and Director
     National Development and Investment, Inc.
     
     March 28, 1996
     (dated)
     
     /S/ Stephen P. Kotecki
                            
     Stephen P. Kotecki
     President, Treasurer and Director
     EC Corp.
     
     March 28, 1996
     (dated)
     
     
     /S/ Thomas Rielly
                            
     Thomas Rielly
     Vice President, Secretary and Director
     EC Corp        
     
     March 28, 1996
     (dated)
     
     
     
     * The indicated positions are held in the Corporate
     General Partners of the Registrant.
     
     
     
     F:\WPDOCS\LETTERS\NIP-ANNL.ELE
     
     
          <PAGE>
NATIONAL REAL ESTATE LIMITED PARTNERSHIP
     INCOME PROPERTIES
     
     
     Business
     
     The Registrant, National Real Estate Limited
     Partnership Income Properties (the "Partnership"), is a
     limited partnership organized under the Wisconsin
     Revised Uniform Limited Partnership Act pursuant to a
     Certificate and an Agreement of Limited Partnership,
     each dated December 18, 1984. As of December 31, 1995,
     the Partnership consisted of an Individual and two
     Corporate General Partners and 1,143 Limited Partners
     owning 9,004.15 limited partnership interests (the
     "Interests") acquired at a public offering price of
     $1,000 per Interest ($9,024,556 net of affiliate
     discounts). The Interests were sold commencing
     January 31, 1985, pursuant to a Registration Statement
     on Form S-11 under the Securities Act of 1933
     (Registration #2-95072) as amended. The offering of
     interests was concluded on December 18, 1986. The
     Individual General Partner is John Vishnevsky and the
     Corporate General Partners are National Development and
     Investment, Inc. ("NDII"), a Wisconsin corporation and
     EC Corp., a Wisconsin corporation. All management
     decisions are the responsibility of the General
     Partners.
     
     The Partnership's primary objective was to acquire
     existing commercial space, such as office buildings,
     shopping centers, and mini-warehouses, though it was
     also permitted to acquire existing residential
     properties from non-affiliated sellers. Although the
     Partnership intended to acquire existing properties, it
     was permitted to acquire properties which were recently
     completed. The Partnership's principal investment
     objectives are to invest in real estate properties
     which will:
     
     1)   preserve and protect the Limited Partners' capital
               investment;
     
     2)   provide quarterly distributions of cash from
               operations, commencing December 31, 1985; and
     
     3)   provide capital appreciation through increases in
               the value of the Partnership's real estate assets.
     
     The Partnership will continue in existence until
     December 31, 2004, unless terminated earlier by
     disposition of all of its assets or certain other
     events. The Partnership will commence to liquidate its
     properties as soon as feasibly possible, depending
     upon, among other factors, whether the Partnership's
     objectives are met, potential capital appreciation,
     cash flow, and federal income tax consequences to its
     limited partners.
     
     The Partnership owns and operates four investment
     properties. During the fiscal year ended December 31,
     1985, the Partnership acquired Lock-It Lockers
     Mini-Warehouse, a self storage mini-warehouse rental
     complex located in Tucson, Arizona ("Tucson Lock-It
     Lockers"). Tucson Lock-It Lockers was acquired in four
     separate Parcels as follows: Parcel I (21,670 net
     rentable square feet) effective May 1, 1985; Parcel II
     (15,575 net rentable square feet) effective July 1,
     1985; Parcel III (6,845 net rentable square feet)
     effective August 1, 1985; and Parcel IV (5,795 net
     rentable square feet) effective September 1, 1985. In
     1986, the Partnership continued its investment in
     properties by acquiring an additional Lock-It Lockers
     Mini-Warehouse located in Phoenix, Arizona ("Phoenix
     Lock-It Lockers"), in three separate parcels, as
     follows: Parcel I (18,600 net rentable square feet)
     effective January 1, 1986; Parcel II (17,625 net
     rentable square feet) effective February 1, 1986; and
     Parcel III (22,541 net rentable square feet including
     8,000 net rentable square feet for recreational vehicle
     storage) effective April 1, 1986. The Partnership
     completed its investment in properties during the
     fiscal year ended December 31, 1987, when it purchased
     the two following investment properties, a parcel of
     land containing one building plus part of a second
     building out of a total of five buildings of Cave Creek
     Mini Warehouses in Phoenix, Arizona and Northridge
     Commons Shopping Center, a community shopping center
     located in Milwaukee, Wisconsin. These properties are
     described more fully in this report at Properties. Cave
     Creek was managed by Enterprise Growth Group ("EGG")
     from the time the property was purchased through
     October, 1991. As of November 1, 1991, National Realty
     Management, Inc. ("NRMI") took over management of the
     property. All other Partnership properties were managed
     by NRMI since their purchase.
     
     The real estate investment business is highly
     competitive. The Partnership's properties are in
     competition for tenants with numerous other alternative
     sources for storage or shopping center space.
     
     The Partnership is not dependent upon any single tenant
     for its operating success. The Partnership does not
     foresee any events or market trends which would have a
     materially adverse affect upon the Partnership's
     revenues, except for increased competition for tenants,
     which is discussed in the section entitled Results of
     Operations of this report.
     
     During 1995, the Partnership employed four full-time
     and six part-time on-site personnel in the following
     capacities: four managers, two rental agents and four
     cleaning/maintenance persons. In addition, due to the
     centralized nature of the Partnership's accounting and
     management systems, another 19 employees provided
     various accounting and management services to this and
     other partnerships. These persons worked an average of
     approximately 2.3 hours per week for this Partnership.
     Detailed time records of all personnel are maintained
     which form the basis for charges to the Partnership.
     All on-site and partnership employees are supervised by
     NRMI under its Management Consulting Delegation of
     Duties and Property Management Agreements with the
     Partnership.
     
     The Partnership is engaged solely in the business of
     investing in and managing real estate. Its business is
     believed by management to fall entirely within a single
     industry segment. The business of the Partnership is
     not seasonal, although the Partnership's properties may
     experience cyclical fluctuations in occupancy levels in
     the rental markets where they are located.
     
     Properties
     
     The properties in which the Partnership has invested
     are owned in fee simple, described more fully at Notes
     to Financial Statements (Note 3). The principal factors
     which the General Partners believe affect rental rates
     and occupancy levels include location, ease of access,
     amenities, and the quality of property management.
     
     Tucson Lock-It Lockers
     
     Tucson Lock-It Lockers is located on 2.057 fully
     improved acres at 6560 East Tanque Verde Road, Tucson,
     Arizona. Tucson Lock-It Lockers consists of seven
     single-story buildings which were constructed in 1976.
     Tucson Lock-It Lockers has an aggregate of 49,885 net
     rentable square feet (57,710 gross) with a unit mix
     that varies. Management has the ability to subdivide
     some of the larger units in accordance with market
     demand. Features of Tucson Lock-It Lockers include fire
     walls and exterior passage doors constructed of
     solid-core steel hinged in steel frames. Security at
     Tucson Lock-It Lockers is provided by a resident
     manager and a fenced perimeter with single-gate access.
     In addition to the seven warehouse buildings, there is
     an on-site office/apartment, and limited customer
     parking spaces are available.
     
     Phoenix Lock-It Lockers
     
     Phoenix Lock-It Lockers is located on 3.1 fully
     improved acres at 10250 North 19th Avenue, Phoenix,
     Arizona. The complex consists of three single-story
     buildings containing a total of 593 units and 30
     outside RV spaces which were constructed in 1976.
     Phoenix Lock-It Lockers has an aggregate of 62,016 net
     rentable square feet (66,200 gross) with a unit mix
     that varies. Management has the ability to subdivide
     some of the larger units according to market demand.
     Features of the complex include fire walls and exterior
     passage doors constructed of solid-core steel hinged in
     steel frames. Security in the complex is provided by
     electronic surveillance cameras with a motion detector
     that provides the resident manager with the ability to
     monitor the property during the day and night. There is
     also a fenced perimeter with a single-gate access to
     the property which provides additional security. In
     addition to the three warehouse buildings, there is an
     on-site office/apartment, and customer parking spaces
     are available.
     
     Cave Creek Mini-Warehouse
     
     Cave Creek Mini-Warehouse is located at 1201 East
     Cinnabar Avenue, Phoenix, Arizona, on approximately 1.7
     acres (the "Complex"). The 747 unit complex consists of
     three individual one story and two individual two story
     buildings. The Partnership's acquisition consists of
     one one-story building and part of one two-story
     building of the Project, of which construction was
     completed in 1985. The Partnership has an interest in
     the remaining portions of the Project for access and
     use of the business office facilities. Security in the
     Project is provided by a resident manager and a fenced
     perimeter with single-gate access.
     
     The Project has an aggregate of approximately 46,028
     net rentable square feet. The Partnership's property
     contains approximately 8,236 net rentable square feet,
     or approximately 18% of the total net rentable square
     feet of the Project. Units can be subdivided, if
     appropriate, in light of current demand; therefore, the
     total unit count may fluctuate. At the time of
     purchase, the Partnership's property was divided into
     91 units.
     
     Northridge Commons
     
     Northridge Commons is a community shopping center
     located at 8310-8360 West Brown Deer Road, Milwaukee,
     Wisconsin, on an outparcel at a major entrance to
     Northridge Mall, a 1,100,000 square foot regional mall,
     making Northridge Commons part of a shopping cluster.
     Constructed in 1981, Northridge Commons is a masonry
     building consisting of 7 retail service outlets. Most
     of the building is 100 feet deep, creating store
     dimensions of 20'x100' and 25'x100'. Northridge Commons
     has an aggregate of approximately 20,780 net rentable
     square feet. All current tenant leases are "triple net"
     agreements, one of which includes provisions for
     additional percentage rent, and all but one lease
     provides for increases in base rental rates during the
     lease terms. Northridge Commons' anchor tenant,
     Talbots, is a national women's clothing chain. Asking
     rents are $10.00 per square foot triple net leases,
     which is in line with the competition.
     
     The Tucson, Phoenix, and Milwaukee real estate rental
     markets are highly competitive. For a further
     discussion of occupancy rates, see Management's
     Discussion and Analysis of Financial Condition and
     Results of Operations contained in this report.
     Additional mini-warehouse projects and shopping malls
     may be built within the Tucson, Phoenix, and Milwaukee
     areas, which may compete directly with the
     Partnership's properties.
     
     
     Legal Proceedings
     
     The Partnership is not a party to any material pending
     legal proceedings other than ordinary routine
     litigation incidental to its business.
     
     
          <PAGE>
     Selected Financial Data
     
     As of and for the Year Ended December 31,
     Selected Operations
     Statement Data:           1995        1994           
     1993              1992         1991   
     
     Operating Revenues       $944,538       $812,522
     $790,615       $762,349       $742,926
     Operating Expenses       879,266        772,026
     771,343         761,310        735,501
     Income from Operation     65,272        40,496
     19,272         1,039          7,425
     Other Income              26,473        12,256
     6,958          5,058          9,581                    
                                         
     Net Income               $ 91,745       $ 52,752
     $ 26,230       $   6,097      $17,006
     
     General Partners' Share  
       of Net Income          $  2,752       $  1,583
     $787           $183           $510
     Limited Partners' Share
       of Net Income          88,993         $ 51,169
     25,443          5,914         16,496
     Net Income per Limited       
       Partnership Interest   9.88            5.66
     2.82      .66       1.83
     Distribution per Limited 
       Partnership Interest   15.50           14.00
     14.00          14.00           26.50
     
                                         
     Selected Balance                                        
     Sheet Data:
     
     Total Assets             $5,972,760     $5,968,526
     $5,999,173     $6,045,501     $6,136,427
      
     Long-Term Debt            -0-           -0-
     -0-            -0-            -0-
     Partners' Capital        $5,144,027     $5,196,163
     $5,273,368     $5,377,095     $5,500,955
     
                            
     
          <PAGE>
Management's Discussion and Analysis of Financial
     Condition and Results of Operations
     
     Liquidity and Capital Resources
     
     The Partnership commenced an offering to the public on
     January 31, 1985, of up to 15,000 Interests at $1,000
     per Interest pursuant to a Registration Statement on
     Form S-11 under the Securities Act of 1933. A total of
     3,767.26 Interests were sold in 1985 ($3,760,356). From
     January 1, 1986, to December 18, 1986, at which time
     the offering was concluded, an additional 5,266.75
     Interests were sold ($5,264,200). After deducting
     offering costs, the Partnership had $8,026,434 with
     which to purchase the investment properties, described
     in this report at Properties, to pay costs related to
     purchasing such properties and to meet capital
     requirements for operations.
     
     The Partnership does not have any permanent, long-term
     financing nor any other financing on its investment
     properties and does not intend to incur any during the
     Partnership's life. The Partnership plans continued
     capital expenditures for roof replacements and repairs
     for Lock-it-Lockers Tucson and Phoenix Lock-it-Lockers
     in 1996. The Partnership does not have any other
     present or planned material commitments for capital
     expenditures.
     
     The General Partners committed to make loans to the
     Partnership to the extent necessary for the Partnership
     to make cash distributions to the Limited Partners
     equal to 8% in 1985, 8.25% in 1986, and 8.5% in 1987.
     However, the maximum the General Partner was required
     to loan was equal to 3% of the gross offering proceeds.
     Through December 31, 1995, the Individual General
     Partner loaned $271,020 to the Partnership under this
     commitment, which is the maximum amount under the
     commitment. The General Partners' loan shall be repaid
     with interest equal to 12% or the prime rate plus two
     percentage points, whichever is lower, solely from sale
     proceeds of the investment properties. As of December
     31, 1995, $433,571 of interest had accrued on the
     General Partners' loan. During 1995, the Partnership
     continued distributions with a total of $139,566 to its
     Limited Partners and $4,315 to the General Partners.
     The distributions for 1995 equalled 1.55% of the
     Limited Partners investment. The pay rates prior to
     1988 were supplemented by the General Partner Loans, as
     described above, and the operating results of the
     properties have not advanced as originally projected.
     The Partnership's ability to maintain and or increase
     distributions during 1996 is dependent upon the results
     of property operations and therefore no assurance as to
     the distribution amount, if any, can be made.
     
     Cash generated by the Partnership's investment
     properties and the sale of such properties are expected
     to provide funds for the Partnership liquidity needs
     and any cash distributions to the Limited Partners.
     
     Results of Operations
     
     The Partnership operated four investment properties
     during 1995. The Partnership began operations in 1985
     and made additional property purchases in 1986 and
     1987.
     
     Rental rates at Tucson Lock-It Lockers ranged from $19
     to $150 in 1995, depending on the size of the unit,
     compared to $13 to $143 in 1994 and $12 to $143 in
     1993. Occupancy during December 1995 at Tucson Lock-It
     Lockers was 97.3%, which is comparable to December 1994
     at 97.9% and December 1993 at 97%. Average occupancy at
     Tucson Lock-It Lockers was 98.9% during 1995, compared
     to 98.7% in 1994 and 93% in 1993. It is necessary to
     upgrade the property to stay competitive. Renovations
     scheduled for 1996 include asphalt repair and exterior
     painting. Marketing efforts are directed primarily
     toward Yellow Pages advertising.
     
     Rental rates are based on unit size at Phoenix Lock-It
     Lockers and ranged from $11 to $225 in 1995, from $13
     to $235 in 1994, and $11 to $190 in 1993. December
     occupancy in 1995 was 98%, while in 1994 and 1993 it
     was 97% and 91% respectively. Average annual occupancy
     at the property has increased with rates of 99%, 98%
     and 90% in 1995, 1994 and 1993, respectively.
     Renovations planned for 1996 include asphalt work and
     landscaping.  Management uses the Yellow Pages for
     advertising. The staff also visits local businesses.
     
     Some monthly rental rates at Cave Creek Lock-It Lockers
     increased in April 1995. Asking rents as of
     December 31, 1995 ranged from $10 to $165, based on
     unit size compared to  $9 to $165 in 1994 and $9 to $98
     in 1993. December occupancy in 1995 was 96.2%, 98.5% in
     1994, and 98% in 1993. Average annual occupancy was
     98%, 99%, and 97% in 1995, 1994, and 1993 respectively.
     Marketing efforts are directed primarily through the
     use of Yellow Pages advertising. Renovations planned
     for 1996 include roof repairs, painting, and fence
     replacements.
     
     Northridge Commons experienced average annual occupancy
     of 86% during 1995, compared to 60% in 1994, and 81% in
     1993. Occupancy for December 1995 was 100%. This
     compares to the December rate of 64% in 1994 and 64% in
     1993. Northridge Commons is located in a high traffic
     area with excellent visibility, however there are
     concerns regarding the increase of crime in the area.
     Even though Northridge Commons is currently 100%
     occupied, the immediate area is still experiencing high
     vacancies. 
     
     Revenues for Tucson Lock-It-Lockers increased in 1995
     compared to 1994 because of higher rental rates and
     improved collection. Expenses increased due to higher
     personnel, administrative, and real estate taxes.
     Overall 1995 net operating income was higher than 1994.
     In 1994, revenues rose at Tucson Lock-It Lockers due to
     higher rental rates. Net operating income was higher in
     1994 than it was in 1993 because expenses remained in
     line with 1993 while revenues increased due to higher
     rental rates.
     
     In 1995, net operating income of Phoenix
     Lock-It-Lockers was higher in comparison to 1994 due to
     an increase in rental rates. In 1995, operating
     expenses rose compared to 1994 due to increased
     renovations and personnel expenses. 1994 net operating
     income at Phoenix Lock-It Lockers has increased
     significantly compared to 1993 as rents were raised and
     delinquencies greatly decreased. 1994 operating
     expenses rose compared to 1993 due to increased
     renovations and maintenance expenses. 
     
     In 1995, net operating income of Cave Creek
     Lock-It-Lockers increased over 1994 as rental rates
     increased. 1995 operating expenses increased compared
     to 1994 due to increased maintenance expense. 1994 net
     operating income at Cave Creek increased over 1993 as
     rental rates have increased significantly and vacancies
     and delinquencies have decreased. Overall operating
     expenses have increased compared to 1993 due to
     increases in taxes and administrative expense. 
     
     Northridge Commons' revenues increased in 1995 compared
     to 1994 due to increased occupancy. Expenses rose due
     to commissions paid to commercial real estate brokers
     and a general increase in personnel expense. Operating
     expenses in 1994 were lower than 1993 expenses due to a
     decrease in property taxes and maintenance costs.
     Revenues in 1994 declined significantly from 1993 due
     to increased vacancies and delinquent rent.
     
     Reference is made to Notes 2 and 6 of the Partnership's
     financial statements for a discussion of various fees
     charged to the Partnership and the amounts charged to
     the Partnership by affiliates in 1995.
     
     Inflation
     
     The General Partners believe the Partnership's ability
     to increase rental rates would offset any adverse
     effects from inflation on the Partnership's cost of
     operations. Inflation may also tend to cause capital
     appreciation of the Partnership's properties over a
     period of time as rental rates and replacement costs of
     properties continue to increase. However, the effects
     of inflation in real estate may be influenced by
     general or local economic conditions. Future results
     are subject to uncertainty and the ability of the
     Partnership to achieve certain results is largely
     beyond the control of the General Partners and their
     affiliates.
     
     Impact of Recently Issued Accounting Standards
     
     In March 1995, the Financial Accounting Standards Board
     issued Statement of Financial Accounting Standards
     (SFAS) No. 121. "Accounting for the Impairment of
     Long-Lived Assets and for Long-Lived Assets to Be
     Disposed Of." SFAS No. 121 addresses situations where
     information indicated that a company might be unable to
     recover, through future operations or sale, the
     carrying amount of long-lived assets. SFAS No. 121
     requires that long-lived assets that are used in
     operations be reviewed for impairment whenever events
     or changes in circumstances indicate that the carrying
     amount of the assets might not be recoverable. SFAS No.
     121 is effective for the Partnership in 1996. The
     impact to the Partnership's financial statements is not
     expected to be material.
     
     
     
          <PAGE>
     
     
     
     
     
     
     
     Report of Independent Auditors
     
     
     The Partners
     National Real Estate Limited Partnership Income
     Properties
     
     We have audited the accompanying balance sheets of
     National Real Estate Limited Partnership Income
     Properties (the Partnership) as of December 31, 1995
     and 1994, and the related statements of operations,
     changes in partners' capital and cash flows for each of
     the three years in the period ended December 31, 1995.
     These financial statements are the responsibility of
     the Partnership'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 the Partnership at December 31,
     1995 and 1994, and the results of its operations and
     its cash flows for each of the three years in the
     period ended December 31, 1995, in conformity with
     generally accepted accounting principles.
     
     
     
     ERNST & YOUNG LLP
     
     
     
     January 19, 1996
     
     
     
     
     Milwaukee, Wisconsin
     
     
     
          <PAGE>
Balance Sheets
  
  
  
  December 31
  
               1995           1994
  Assets       
  Cash         $ 599,315      $  409,508
  Escrow deposits and other assets 
              10,032          17,420
  Investment properties, at cost:
  Land          1,267,695       1,267,695
  Buildings and improvements
           6,018,410       5,992,076
                                    
           7,286,105       7,259,771
  Accumulated depreciation
           1,922,692       1,718,173
                                    
           5,363,413       5,541,598
                                   
          $5,972,760     $5,968,526
          
  Liabilities and partners' capital          
  Liabilities:      
  Tenant security deposits
          $    5,454     $     7,823
  Rents received in advance
              32,343          31,530
  Accrued interest payable to Individual General Partner            433,571
         361,303 
  Accrued expenses and other liabilities
              86,345         100,687
  Note payable to Individual General Partner
             271,020         271,020
             828,733        772,363
  Partners' capital:
  General Partners (deficit)
             (85,815)        (84,252)
  Limited Partners (authorized 10,000 interests;
  issued 9,034.01 interests)
                5,251,513  5,302,086
  Less cost of Limited Partner interests held in Treasury
  (29.86 interests)
                 (21,671)        (21,671)
                5,229,842       5,280,415
                5,144,027       5,196,163
               $5,972,760     $5,968,526
  
  
    <PAGE>
Statements of Operations
  
  Year ended December 31
  
               1995           1994           1993  
  Operating revenues:              
  Rentals      $892,562       $764,437       $758,643
  Other        51,976         48,085         31,972
               944,538        812,522        790,615
  Operating expenses:
  Operating         206,817        172,709        161,594
  Administrative    177,046        162,799        163,803
  Maintenance  79,903         46,138         40,284
  Depreciation 204,545        202,311        198,996
  Interest          72,217         54,558         44,286
  Property taxes    126,779        121,355        150,153
  Advertising  11,959         12,156         12,227
               879,266        772,026        771,343
  Income from operations
               65,272         40,496         19,272
  
  Interest income
               26,473         12,256         6,958
  Net income
               $  91,745      $52,752        $26,230
  
  Net income attributable to General Partners (3%)
               $    2,752     $1,583         $787
  Net income attributable to Limited Partners (97%)
               88,993         51,169         25,443
               $  91,745      $52,752        $26,230
  
  Net income per Limited Partnership Interest
               $9.88          $5.66          $2.82
  
  
    <PAGE>
Statements of Changes in Partners' Capital
  
  
  
  
  
  
  
  
  General
  Partners     
  
  Limited
  Partners
  
  Cost of Limited Partners' Interests Held in Treasury
  
  Total
  
  Balances at January 1, 1993 
  $(78,828)
  $5,477,594
  $(21,671)
  $5,377,095 
  
  Distributions to Partners
  (3,897)
  (126,060)
  -
  (129,957) 
  
  Net income for the year
  787
  25,443
  -
  26,230 
  
  Balances at December 31, 1993
  (81,938)
  5,376,977
  (21,671)
  5,273,368 
  
  Distributions to Partners
  (3,897)
  (126,060)
   
  (129,957)
  
  Net income for the year
  1,583
  51,169
   
  52,752 
  
  Balances at December 31, 1994
  (84,252)
  5,302,086
  ( 21,671)
  5,196,163
  
  Distributions to Partners
  (4,315)
  (139,566)
   
  (143,881)
  
  Net income for the year
  2,752
  88,993
   
  91,745 
  
  Balances at December 31, 1995
  $(85,815)
  $5,251,513
  $(21,671)
  $5,144,027
  
  
  
  ( ) Denotes deficit or deduction.
  
  
    <PAGE>
Statements of Cash Flows
  
  
  Year ended December 31
           1995           1994           1993
  
  Operating activities
  Net income for the year
          $  91,745      $  52,752      $  26,230 
  Adjustments to reconcile net income to net
  cash provided by operating activities:
  Depreciation
          204,519        202,311        198,996 
  Changes in operating assets and liabilities:
  Escrow deposits and other assets
          7,388          (1,860)        154 
  Tenant security deposits
          (2,369)        565            (919)
  Rents received in advance
          813            (4,388)        13,312
  Accrued expenses and other liabilities
          57,926         50,381         45,006 
  Net cash provided by operating activities
          360,022        299,761        282,779
  
  Investing
  Additions to investment properties
          (26,334)       (65,141)       (33,030)
  
  Financing activity
  Distributions to Partners
          (143,881)      (129,957)      (129,957)
  
  Increase in cash
          189,807        104,663        119,792
  Cash at beginning of year
          409,508        304,845        185,053 
  Cash at end of year
          $599,315       $409,508       $304,845
  
  
  
    <PAGE>
Notes to Financial Statements
  December 31, 1995
  
  
  1. Organization and Basis of Accounting
  
  Organization
  
  National Real Estate Limited Partnership Income
  Properties (the Partnership) was organized as a limited
  partnership under the laws of the State of Wisconsin
  pursuant to a Certificate and an Agreement of Limited
  Partnership (the Agreement) dated December 18, 1984,
  for the purpose of investing primarily in commercial
  real property and began operations in May 1985. The
  Partnership is to be dissolved on or before December
  31, 2004.
  
  The Partnership consists of three General Partners,
  National Development and Investment, Inc., John
  Vishnevsky, and EC Corp., and 1,143 Limited Partners at
  December 31, 1995. Mr. Vishnevsky is the president and
  majority stockholder of National Development and
  Investment, Inc. EC Corp. was admitted to the
  Partnership effective July 26, 1991, as approved by the
  Limited Partners. See also Note 7.
  
  Basis of Accounting
  
  The Partnership records are maintained on the basis of
  accounting utilized for federal income tax reporting
  purposes. The accompanying financial statements have
  been prepared from such records adjusted to the accrual
  basis of accounting, including adjustments for
  differences in depreciation methods. Certain accrual
  and tax basis amounts are summarized as follows:
  
  1995    
  Accrual Basis     Tax Basis
  
  1994    
  Accrual Basis     Tax Basis
  
  1993
  Accrual Basis     Tax Basis
  (In Thousands)
  
  
  Total assets
  $5,973  $5,943
  $5,969  $6,000
  $5,999  $6,105
  
  Partners' capital:
  General Partners (deficit)
  (86)         (102)
  (84)         (101)
  (82)         (98) 
  Limited Partners
  5,230   5,638
  5,280   5,678
  5,355   5,763
  Net income  (loss):
  General Partners
  3       3
  2       1
  1         
  Limited Partners
  89           99
  51      41
  25           (3)
  
  
    <PAGE>
Notes to Financial Statements (continued)
  
  2. Significant Accounting Policies
  
  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
  at the date of the financial statements. Estimates also
  affect the reported amounts of revenue and expenses
  during the reporting period. Although estimates are
  considered to be fairly stated at the time that the
  estimates are made, actual results could differ from
  those estimates.
  
  
  Depreciation
  
  Depreciation is computed by the straight-line method
  using estimated useful lives of 10 to 30 years for the
  buildings and improvements and 5 to 10 years for
  related equipment.
  
  For federal income tax purposes, the Partnership
  provides for depreciation of buildings and improvements
  over 15 to 39 years and related equipment over 5 to 7
  years using straight-line and accelerated methods.
  
  Fees to Affiliates
  
  Acquisition fees and property management fees are
  payable to the General Partners or affiliates of the
  General Partners. These amounts are charged to expense
  as follows:
  
  Acquisition Fees
  
  Real estate acquisition fees for selection,
  negotiation, and purchase of Partnership properties
  have been capitalized and allocated to land and
  buildings and improvements based on appraised values.
  The portions allocated to buildings and improvements
  are being depreciated over the respective useful lives
  of the buildings and improvements.
  
  Property Management Fees
  
  Fees for property management and rental services are
  being charged to expense over the period property
  management services are being performed.
  
  In addition, underwriting commissions, underwriting
  fees and reimbursed syndication costs paid to the
  General Partners or affiliates of the General Partners
  have been recorded as a charge to Limited Partners'
  capital.
  
  
    <PAGE>
Notes to Financial Statements (continued)
  
  2. Significant Accounting Policies (continued)
  
  Allocations and Distributions
  
  Pursuant to the Agreement, net income and loss from
  operations (exclusive of those from the sale or
  disposition of Partnership properties) are to be
  allocated 97% to the Limited Partners and 3% to the
  General Partners. Any gains from the sale or
  disposition of Partnership properties are to be
  allocated first to the General Partners and Limited
  Partners with deficit net capital accounts; then to the
  Limited Partners in an amount equal to their initial
  capital investment plus any amount remaining to be paid
  and paid under their cumulative preference; then to the
  General Partners in an amount equal to the proceeds of
  such sale distributed to them; and all remaining
  amounts are to be allocated to the Limited Partners
  provided that at least 3% of the gain from sale or
  disposition would be allocated to the General Partners.
  Losses from the sale or other disposition of
  Partnership properties are to be allocated 97% to the
  Limited Partners and 3% to the General Partners.
  
  Cash available for distribution, as defined in the
  Agreement, will be distributed 97% to the Limited
  Partners and 3% to the General Partners. After the
  repayment of any General Partner loans, sales proceeds
  will be distributed as follows: (1) 97% to the Limited
  Partners and 3% to the General Partners until the
  Limited Partners have received (A) 100% of their
  initial capital investment and (B) cumulative,
  non-compounded distributions of sales proceeds, in
  excess of the amount required in (A), and cash
  available for distribution equal to 6% per annum on
  their initial capital investment, with the 3% to the
  General Partners subordinated to payment of the amounts
  in (A) and (B) to the Limited Partners; (2) to an
  affiliate of the General Partners, an amount equal to
  its subordinated real estate commission (up to 3% of
  the aggregate selling price of all properties); (3) 88%
  to the Limited Partners and 12% to the General
  Partners, with such payments to the General Partners
  subordinated to a total return to the Limited Partners
  of (A) 100% of their initial capital investment plus
  (B) a cumulative preference of 10% per annum of their
  initial capital investment.
  
  Net Income Per Limited Partnership Interest
  
  Net income per Limited Partnership interest is based on
  97% of net income as allocated to the Limited Partners
  divided by the weighted average number of interests
  outstanding during the year.
  
  
  Pending Accounting Change
  
  In March 1995, the Financial Accounting Standards Board
  issued Statement of Financial Accounting Standards
  (SFAS) No. 121. "Accounting for the Impairment of
  Long-Lived Assets and for Long-Lived Assets to Be
  Disposed Of." SFAS No. 121 addresses situations where
  information indicates that a company might be unable to
  recover, through future operations or sale, the
  carrying amount of long-lived assets. SFAS No. 121
  requires that long-lived assets that are used in
  operations be reviewed for impairment whenever events
  or changes in circumstances indicate that the carrying
  amount of the assets might not be recoverable. SFAS No.
  121 is effective for the Partnership in 1996. The
  impact to the Partnership's financial statements is not
  expected to be material.
  
  
    <PAGE>
Notes to Financial Statements (continued)
  
  3. Investment Properties
  
  Investment properties consist of the following at
  December 31, 1995:
  
  
  Description
  Initial Cost to Partnership 
  Land         Building and Improvements
  Costs Capitalized Subsequent to Acquisition of
  Buildings and Improvements
  (In Thousands)
  
  
  Lock-It-Lockers Mini-Warehouses
  Tucson, Arizona   
  $  253   $            1,748
  $137
  
  Lock-It-Lockers Mini-Warehouses
  Phoenix, Arizona  
  222          1,999
  47
  
  Northridge Commons Shopping Center Milwaukee, Wisconsin
  699          1,747
  37
  
  Cave Creek Phase I Mini-Warehouses
  Phoenix, Arizona  
  94      301
  2
  
  $1,268  $5,795
  $223
  
  
  Gross Amount at Which Carried
  
  Description
  Land         Buildings and Improvements    Total
  AccumulatedDepreciation
  (In Thousands)
  
  
  Lock-It-Lockers Mini-Warehouses
  Tucson, Arizona   
  $253         $1,885                        $2,138
  $636
  
  Lock-It-Lockers Mini-Warehouses
  Phoenix, Arizona
  222          2,046                         2,268
  686
  
  Northridge Commons Shopping Center
  Milwaukee, Wisconsin
  699          1,784                         2,483
  513
  
  Cave Creek Phase I Mini-Warehouses
  Phoenix, Arizona
  94      303                           397
  88
  
  $1,268  $6,018                        $7,286
  $1,923
  
  
    <PAGE>
Notes to Financial Statements (continued)
  
  3. Investment Properties (continued)
  
  Description  
  Date of Construction   Date Acquired
  
  Lock-It-Lockers Mini-Warehouses Tucson, Arizona
  1976                        May 1985
  
  Lock-It-Lockers Mini-Warehouses Phoenix, Arizona
  1976                        January 1986
  
  Northridge Commons Shopping Center Milwaukee, Wisconsin
  1981                        May 1987
  
  Cave Creek Phase I Mini-Warehouses Phoenix, Arizona
  1985                        April 1987
  
  
  There were no encumbrances on the investment properties
  at December 31, 1995. The aggregate cost of the
  investment properties is the same for financial
  reporting and federal income tax purposes. The
  accumulated depreciation reported for federal income
  tax purposes is $2,950,846 at December 31, 1995.
  
  A reconciliation of the cost and accumulated
  depreciation of the investment properties for financial
  reporting purposes follows:
  
  Year ended December 31
  1995              1994           1993
  (In Thousands)
  
  
  Cost:
  Balance at beginning of year
  $7,260       $7,195         $7,162
  Additions to investment properties
  26           65             33
  Balance at end of year
  $7,286       $7,260         $7,195
  
  Accumulated depreciation:
  Balance at beginning of year
  $1,718       $1,516         $1,317
  Provision for the year
  205               202            199
  Balance at end of year
  $1,923       $1,718         $1,516
  
  4. Income Taxes
  
  The Partnership has received an opinion from legal
  counsel that it will be classified as a partnership for
  federal income tax purposes. Therefore, Partnership
  losses or income and taxes attributable thereto will be
  the responsibility of the various Partners and no
  provision for income taxes has been made in the
  Partnership's financial statements.
  
  
    <PAGE>
Notes to Financial Statements (continued)
  
  4. Income Taxes (continued)
  
  Differences between the net income as reported herein
  and the net income (loss) reported for federal income
  tax purposes arise primarily from timing differences
  related to depreciation and other accrual basis
  adjustments. The following is a reconciliation of the
  reported net income and the net income (loss) reported
  for federal income tax purposes:
  
  Year ended December 31
  1995              1994           1993
  
  Net income as reported in the financial statements
  $91,745           $52,752        $26,230
  
  Add (deduct):
  Depreciation
  (61,580)          (64,547)       (73,914)
  
  Accrual basis adjustments
  72,322       54,471         44,285
  
  Net income (loss) reported for federal income tax
  purposes
  $102,487          $42,676        $(3,399)
  
  
  5. Leases
  
  The Partnership is the lessor of a shopping center
  under operating leases expiring in various years to
  2000. Certain of the shopping center leases provide for
  contingent rentals based on specified percentages of
  gross sales of the tenants. Contingent rentals from
  operating leases amounted to $11,468 in 1995, $10,345
  in 1994 and $3,923 in 1993.
  
  At December 31, 1995, future minimum lease payments
  receivable under noncancellable operating leases with
  remaining terms of one year or more are as follows:
  
  
  1996         $64,000
  1997         42,000
  1998         36,000
  1999         36,000
  2000         14,000
          $192,000
  
  6. Transactions with Affiliated Parties
  
  The General Partners are general partners for other
  limited partnerships which have invested in real
  estate. The Partnership also shares certain management
  and accounting employees and other expenses with the
  Corporate General Partner and other entities that are
  controlled by the Individual General Partner and has
  executed contracts providing for the following fees
  payable to such entities:
  
  
    <PAGE>
Notes to Financial Statements (continued)
  
  
  6. Transactions with Affiliated Parties (continued)
  
  National Realty Management, Inc. (NRMI)
  
  NRMI charged the Partnership for property management
  fees ($50,026 1995; $45,220 1994; $39,820 1993).
  
  Individual General Partner
  
  The Individual General Partner charged the Partnership
  for interest ($72,217 1995; $54,471 1994;
  $44,286 1993).
  
  The note payable to Individual General Partner is
  payable from proceeds from sale or other disposition of
  investment properties, with interest payable monthly at
  a bank's prime rate plus 2% or 12%, whichever is lower
  (10.5% at December 31, 1995). No interest was paid in
  any year with respect to the note payable to Individual
  General Partner.
  
  Charges by affiliated parties in 1996 are estimated by
  management to approximate $50,000 for property
  management fees. Interest costs on the note payable to
  Individual General Partner are not presently estimable
  by management.
  
  7. Financial Difficulties of Individual General Partner
  
  The Individual General Partner had experienced
  financial difficulties in prior years. Due to actions
  taken by the Individual General Partner in 1995, his
  financial difficulties, if any, no longer appear to be
  a threat to the Partnership.
  
  
    <PAGE>
NATIONAL REAL ESTATE LIMITED PARTNERSHIP INCOME
  PROPERTIES
  
  
  
  
  John Vishnevsky
  Chief Operating and Executive Officer
  
  John Vishnevsky
  Chief Financial and Accounting Officer
  
  
  
  General Partners:
  
  
  John Vishnevsky
  
  National Development and Investment, Inc.
  
  John Vishnevsky
  President and Director
  
  Stephen P. Kotecki
  Vice President, Secretary, Treasurer
  and Director
  
  
  
  EC Corp.
  
  Stephen P. Kotecki
  President, Treasurer and Director
  
  Thomas Rielly
  Vice President, Secretary and Director
  
  
  Of the above officers and directors of the Corporate
  General Partner, Mr. Thomas Rielly is the only person
  not an employee of National Development and Investment,
  Inc., its affiliates, or EC Corp.
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  The Partnership Form 10-K for 1995 which is filed with
  the Securities and Exchange Commission, will be
  furnished at no charge to partners upon written request
  directed to: National Development and Investment, Inc.,
  Attn: Partnership Management, 9800 West Bluemound Road,
  Milwaukee, WI 53226-4353.
  
  
  B:\NIPELE
  
  
    <PAGE>