EXHIBIT 99.1

                      THE ARBORS AT WINDSOR LAKE APARTMENTS

                            Columbia, South Carolina

     On January 14, 1997,  effective January 1, 1997,  Cornerstone Realty Income
Trust,  Inc.  ("Company")  purchased  The Arbors at Windsor Lake  Apartments,  a
228-unit  apartment  complex  having an address of 8720 Windsor Lake  Boulevard,
Columbia, South Carolina ("Property").

     The  Seller was  unaffiliated  with the  Company.  The  purchase  price was
$10,875,000.  At closing,  the entire  purchases  price was  borrowed  under the
Company's  unsecured line of credit.  The Company expects to repay such borrowed
amount  with  the  proceeds  from the sale of  additional  Shares.  Title to the
Property was conveyed to the Company by limited warranty deed.

     Location.  The  following  information  is based in part  upon  information
provided by the Columbia Chamber of Commerce.

     Columbia is the capital of South Carolina and the greater metropolitan area
has a population of approximately  500,000 people.  The largest employers in the
area included federal,  state and local governments,  various financial services
firms and the Army's Fort Jackson.

     Columbia is also the site of the  University of South  Carolina and various
other smaller colleges. As a result of the reputation of the engineering program
at the University of South  Carolina,  the city has recently  become home to new
businesses in various  technical  areas.  Also,  the medical school and teaching
hospital at the  University  make Columbia the state's leader in the health care
industry.

     The Property is in the  northeast  portion of the city and is located in an
established  residential area. The neighborhood also includes other multi-family
developments and commercial and retail developments.

     The  Property  is near  Interstate  77 and  Interstate  20,  which  provide
convenient  access to all  locations  in the  greater  Columbia  area.  Downtown
Columbia is an approximately  15-minute drive from the Property. The Property is
approximately one mile from Fort Jackson.

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     Description  of the  Property.  The Property  consists of 228  garden-style
apartments  located in 11 buildings  on  approximately  14.5 acres of land.  The
buildings  are a  combination  of two and three  stories,  and the  Property was
constructed in 1991.

     The Company believes the Property has generally been well maintained and is
generally in good  condition.  However,  the Company has budgeted  approximately
$50,000 for repairs and improvements including  landscaping,  carpet replacement
and clubhouse renovations.

     The Property offers six different unit types.  The unit mix and rents being
charged new tenants as of January, 1997 are as follows:

                                            Approximate
                                             Interior
Quantity               Type               Square Footage      Monthly Rental
--------               ----               --------------      --------------

   12            1 bedroom/1 bath               750               $510
   56            1 bedroom/1 bath               750                530
                      (front)

   22            2 bedrooms/2 baths             964                615
   88            2 bedrooms/2 baths             964                630
                       (front)

   10            3 bedrooms/2 baths            1184                725
   40            3 bedrooms/2 baths            1184                740
                       (front)

     The  apartments  provide a combined total of  approximately  216,000 square
feet of net rentable area.

     Leases at the  Property are for terms of one year or less.  Average  rental
rates for the past five years have generally increased gradually.  As an example
a three bedroom,  two bath apartment rented for $710 in 1992, $710 in 1993, $725
in 1994, $725 in 1995, and $735 in 1996. The average effective annual rental per
square  foot at the  Property  for 1992,  1993,  1994,  1995 and 1996 was $7.55,
$7.55, $7.71, $7.71, and $7.81, respectively.

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     The  buildings  are  wood  frame  construction  on  concrete  slabs  with a
combination  of brick  veneer  and vinyl  siding.  Roofs are  sloped  fiberglass
shingles on plywood.

     The  Property  features an outdoor  swimming  pool and hot tub, two lighted
tennis courts, a fitness center,  a car wash area and vacuum,  a playground,  20
covered  garages with  electronic  door openers,  40 extra storage  units, a dry
cleaning  service  and a resident  executive  center.  The  Property  also has a
clubhouse with a leasing office.

     Apartment units have  wall-to-wall  carpeting in the living areas and vinyl
floors in the kitchen and bath. Each unit has a cable television  hook-up and an
individually  controlled  heating and air conditioning  unit. Each kitchen has a
refrigerator/freezer,  electric  range  and  oven,  a  dishwasher  and a garbage
disposal.  Each unit also has a  full-sized  washer/dryer  and some  units  have
vaulted  ceilings,  lighted ceiling fans, mini blinds and large walk-in closets.
There are  natural  gas fire places in 187  apartments  units.  The owner of the
Property  pays for cold  water  and sewer  service.  The  tenants  pay for their
electricity and gas service, which includes heating, air conditioning,  cooking,
hot water and lights.

     There are at least four apartment properties in the area which compete with
the  Property.  All offer similar  amenities  and generally  have rents that are
comparable to those of the Property.  Based on a recent  telephone  survey,  the
Company  estimates  that  occupancy  in nearby  competing  projects now averages
approximately 92%.

     According to information provided by the seller,  physical occupancy at the
Property  averaged  approximately  85% in 1992, 88% in 1993, 90% in 1994, 94% in
1995 and 94% in 1996.  On January 1, 1997,  the Property was 78%  occupied.  The
tenants are a mix of  white-collar  workers,  military  personnel  and students.
Approximately 30% of the current residents are employed at Fort Jackson.

     The 1996 real estate taxes  applicable to the Property  were  calculated as
assessed  value times 6% times  0.3019,  and the real estate taxes for 1996 were
calculated to be $120,083.  The assessed value was $6,629,300.  The basis of the
depreciable  residential  real  property  portion  of  the  Property  (currently
estimated at about $6,050,100) will be depreciated over 27.5 years on a straight
line basis.  The basis of the personal  property  portion will be depreciated in
accordance  with the  modified  accelerated  cost  recovery  system of the Code.
Amounts to be spent by the Company on repairs and improvements will be

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treated  for tax  purposes as  permitted  by the Code based on the nature of the
expenditures.

     Before acquisition by the Company,  the Property had been in bankruptcy for
over one  year.  During  that  period  it had  been  managed  by three  separate
management companies.  The Company believes that inefficient management resulted
in a downturn in occupancy and rental income at the Property during such period.
The Company  does not believe that any factors  which led to the Property  being
placed into  bankruptcy  will apply to the Company's  ownership and operation of
the Property.

     The  Company  believes  that  the  Property  is  and  will  continue  to be
adequately covered by property and liability insurance.

     Material  Factors  Considered  in  Assessing  the  Property.   The  factors
considered  by the  Company  to be  relevant  in  evaluating  the  Property  for
acquisition by the Company included the following:

     1. The  Company  believes  that the  Columbia,  South  Carolina  area  will
experience continued strong economic development and steady population increase,
owing in part to its status as the capital of the state and the  presence of the
University  of South  Carolina,  and that such  development  and  increase  will
support  stable  occupancy  rates  and  reasonable  increases  in  rents  at the
Property.

     2. Based upon an engineering  report and its own  inspections,  the Company
believes that the Property is in good condition.

     3. The Property is conveniently located and proximate to area employers and
shopping.

     The Company is not aware of any material  adverse  factors  relating to the
Property not set forth in this report that would cause the financial information
contained in this report not to be  necessarily  indicative of future  operating
results.

                              WESTCHASE APARTMENTS

                           Charleston, South Carolina

     On January 15, 1997,  effective  the same date,  Cornerstone  Realty Income
Trust,  Inc. (the  "Company")  purchased the  Westchase  Apartments,  a 352-unit
apartment  complex having an address of One Westchase Drive,  Charleston,  South
Carolina (the "Property").

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     The  Seller was  unaffiliated  with the  Company.  The  purchase  price was
$11,000,000.  At  closing,  the entire  purchase  price was  borrowed  under the
Company's  unsecured line of credit.  The Company expects to repay such borrowed
amount  with  the  proceeds  from the sale of  additional  Shares.  Title to the
Property was conveyed to the Company by limited warranty deed.

     Location.  The  following  information  is based in part  upon  information
provided by the Charleston Chamber of Commerce.

     The  Charleston  Metropolitan  Statistical  Area  ("MSA") is  comprised  of
Charleston,  Berkeley and Dorchester Counties. The approximate population of the
MSA  is  570,000.   Charleston  County  has  approximately   330,000  residents,
approximately 85,000 of which are in the city limits.

     The  principal  economic  factors in the region are  distribution  and port
facilities, the tourist industry, the medical community and the military.

     The Port of Charleston is the leading container cargo port in the southeast
and on the entire east coast ranks second only to the combined ports of New York
and New Jersey.  BMW and NUCOR are two recent examples of companies that rely on
the Port of Charleston.

     Tourism is a major  factor in the area,  with  approximately  five  million
visitors  annually.   Tourist  attractions  include  the  historic  district  of
Charleston,  beaches,  golf courses,  and restaurants.  It is estimated that the
total  economic  impact of the tourist  industry  in the region is $1.5  billion
annually,  accounting for approximately 34,000 jobs and approximately 14% of the
total work force.

     Charleston is the home to the Medical  University of South Carolina,  which
accounts for approximately  7,500 jobs. A total of approximately  16,000 persons
are employed in the region's 10 hospitals.

     The United States Navy employs  approximately 7,800 people in the region in
installations such as Charleston Naval Weapons Station, Naval Hospital and Naval
Command,  Control and Ocean  Surveillance  Center in Service  Engineering,  East
Coast  Division.  In addition,  the Charleston Air Force Base employs over 5,400
people. From 1989 to 1996, Naval employment in the region dropped from 21% to 3%
of total jobs. However,  the region experienced a concurrent increase in jobs in
other sectors.

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     The overall unemployment rate in the region is currently approximately 5%.

     The  Property  is  located in the West  Ashley  region of  Charleston.  The
immediate  area consists of other  multi-family  housing,  commercial and retail
development  and  single-family  housing.  The  Property  is located  near major
shopping centers, schools and churches and is accessible from Interstate 26. The
Property  is  within  a  10-minute  drive of the  airport  and  approximately  a
15-minute from downtown Charleston. Charleston's largest mall, the Citadel Mall,
is located  less than two miles  from the  Property  and has four  major  anchor
stores and approximately one million square feet of space. The Roper Hospital is
located within one-half mile of the Property and the St. Francis Xavier Hospital
is expected to relocate less than one-half mile from the Property.

     Description  of the  Property.  The Property  consists of 352  garden-style
apartments located in 23 two-story  buildings on approximately 30 acres of land.
The Property was constructed in 1985.

     The Company  believes that the Property has generally been well  maintained
and  is  generally  in  good  condition.   However,  the  Company  has  budgeted
approximately $352,000 for repairs and improvements including siding replacement
and  repair,  painting,  carpet  replacement,  roof  replacement  and  clubhouse
renovations.

     The Property offers many different unit types. The unit mix and rents being
charged new tenants as of January, 1997 are as follows:

                                            Approximate
                                             Interior
Quantity               Type               Square Footage       Monthly Rental
--------               ----               --------------       --------------
   11               Efficiency                  407                 $425
   11            Efficiency LGLRUP              432                  425
   20                1/1 BWUP                   505                  445
   2               1/1 BWUPSLOC                 505                  445
   20                 1/1 WS                    505                  440
   2                1/1 WSSLOC                  505                  440
   20                1/1 BWUP                   617                  460
   2               1/1 BWUPSLOC                 617                  465


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                                          Approximate
                                            Interior
Quantity             Type                Square Footage    Monthly Rental
--------             ----                --------------    --------------
   25              1/1 BWFPUP                   617               475
   7               1/1 BWFPUP                   617               480
   1             1/1 BWFPSLOCUP                 617               480
   52                1/1 WS                     617               455
   3               1/1 WSSLOC                   617               455
   36              2/2 BWWDUP                   847               580
   8             2/2 BWWDUPSLOC                 847               580
   36             2/2 BWWDFPUP                  847               585
   8            2/2 BWWDFPUPSLOC                847               585
   72                2/2 WS                     847               565
   16              2/2 WSSLOC                   847               565

LGLR -- Large Living Room                       WS -- Window Seat
UP -- Upper Level                               FP -- Fireplace
BW -- Bay Window                                WD -- Washer/Dryer Connections
SLOC -- Special Location

     The  apartments  provide a combined total of  approximately  248,000 square
feet of net rental area.

     Leases at the  Property are for terms of one year or less.  Average  rental
rates for the past five years have both increased and decreased. As an example a
two bedroom,  two bath apartment  rented for $470 in 1992, $475 in 1993, $440 in
1994,  $480 in 1995, and $495 in 1996. The average  effective  annual rental per
square  foot at the  Property  for 1992,  1993,  1994,  1995 and 1996 was $7.28,
$7.36, $6.82, $7.44, and $7.67, respectively.

     The buildings are wood frame  construction on concrete slabs. The buildings
have pitched  composition  shingled roofs.  Exteriors are a combination of brick
and horizontal wood siding.

     The Property has an outdoor swimming pool with sun deck, whirlpool, lighted
tennis  court,  sand  volleyball  court,  basketball  court,  car wash area with
vacuum, three laundry facilities and a scenic lake with fountains.  The Property
also includes a clubhouse with a clubroom, entertainment bar,

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conversation  area and leasing office.  There is paved parking for approximately
616 vehicles.

     Apartments units have wall-to-wall  carpeting in the living areas and vinyl
floors in the  kitchen  and  baths,  as well as cable  television  hook-ups  and
individually  controlled  heating and air  conditioning  units.  Each unit has a
kitchen  passthrough/breakfast  bar, pantry, walk-in closets, a linen closet and
mini  blinds.  Some units also  include a bay window with window  seats,  a wood
burning fire place and washer/dryer connections. Each kitchen is equipped with a
refrigerator/freezer, electric range and oven, dish washer and garbage disposal.
The owner of the Property supplies cold water,  sewer service and trash removal.
The  tenants  pay  for  their  electricity   usage,  which  includes  heat,  air
conditioning, cooking, hot water and lights.

     There are at least six apartment  properties in the area which compete with
the  Property.  All offer similar  amenities  and generally  have rents that are
higher when  compared with those of the  Property.  Based on a recent  telephone
survey,  the Company  estimates that occupancy in nearby competing  projects now
averages approximately 94%.

     According to information provided by the seller,  physical occupancy at the
Property  averaged  approximately  97% in 1992, 93% in 1993, 95% in 1994, 95% in
1995 and 95% in 1996.  On January 1, 1997,  the Property was 97%  occupied.  The
tenants are a mix of white-collar and blue-collar workers,  students and retired
persons.  Most of the tenants are under the age of 35 and approximately half are
believed to be single.

     The 1996 real estate taxes  applicable to the Property  were  calculated as
assessed  value  times  6%  times  0.3219,  plus a  solid  waste  tax of $56 per
apartment  unit. The real estate taxes for 1996 were  calculated to be $178,384.
The assessed value was $9,236,000. The basis of the depreciable residential real
property portion of the Property (currently  estimated at about $7,581,000) will
be  depreciated  over 27.5  years on a  straight  line  basis.  The basis of the
personal  property  portion will be depreciated in accordance  with the modified
accelerated cost recovery system of the Code.

     The  Company  believes  that  the  Property  is  and  will  continue  to be
adequately covered by property and liability insurance.

     Material  Factors  Considered  in  Assessing  the  Property.   The  factors
considered by the Company to be relevant in evaluating

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the Property for acquisition by the Company included the following:

     1. The Company  believes  that the  Charleston,  South  Carolina  area will
experience continued strong economic development and steady population increase,
owing to a strong,  diversified  economy  characterized  by at least  four major
employment  factors  (port  facilities,  tourism,  medical  facilities  and  the
military),  and that such development and increase will support stable occupancy
rates and reasonable increases in rents at the Property.

     2. Based upon an engineering  report and its own  inspections,  the Company
believes that the Property is in good condition.

     3. The Property is conveniently located and proximate to area employers and
shopping.

     The Company is not aware of any material  adverse  factors  relating to the
Property not set forth in this report that would cause the financial information
contained in this report not to be  necessarily  indicative of future  operating
results.

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