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                                                                    Exhibit 3.7

                           LEXFORD RESIDENTIAL TRUST

                             ARTICLES OF AMENDMENT



        Lexford Residential Trust, a Maryland real estate investment trust (the
"Trust"), hereby certifies to the State Department of Assessments and Taxation
of Maryland that:

        FIRST: The Declaration of Trust of the Trust is hereby amended by
striking out the definitions of "Constructive Ownership Limit" and "Ownership
Limit" set forth in Section 6.1(A) thereof and inserting in lieu thereof the
following:

        "Constructive Ownership Limit" shall mean 9.2% of the outstanding Common
Equity Shares or 9.8% of the outstanding Equity Shares of any class of Preferred
Shares.

        "Ownership Limit," with respect to the Common Shares, shall mean 9.2% of
the outstanding Common Equity Shares of the Trust; provided, however, if there
is more than one Existing Holder on the Adoption Date, the Ownership Limit shall
be the lower of (i) the foregoing percentage and (ii) the highest percentage
(divided by five minus the number of the then-Existing Holders) of Common Equity
Shares that could be Beneficially Owned by Persons other than Existing Holders
without creating the possibility that five Beneficial Owners of Common Shares
(including all of the then-Existing Holders) could Beneficially Own in the
aggregate, more than 49.9% of the outstanding Common Equity Shares (taking into
account any potential forfeitures of Common Shares), and, with respect to any
class or series of Preferred Shares, shall mean 9.8% of the outstanding
Preferred Equity Shares of such class or series.

        SECOND: The amendment to the Declaration of Trust of the Trust as
hereinabove set forth has been duly resolved and adopted by the unanimous vote
of the board of trustees of the Trust pursuant to the authority conferred upon
the board of trustees by Sections 6.1(J) and 8.2 of the Declaration of Trust of
the Trust as well as Section 8-501 of the Corporations and Associations Article
of the Annotated Code of Maryland.

        IN WITNESS WHEREOF: Lexford Residential Trust has caused these Articles
of Amendment to be signed in its name and on its behalf by its Executive Vice
President and attested by its Secretary on March 14, 1998.



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        THE UNDERSIGNED, Executive Vice President of Lexford Residential Trust,
who executed on behalf of said Trust the foregoing Articles of Amendment of
which this certificate is made a part, hereby acknowledges, in the name and on
behalf of said Trust, the foregoing Articles of Amendment to be the act of said
Trust and further certifies that, to the best of his knowledge, information, and
belief, the matters and facts set forth therein with respect to the approval
thereof are true in all material respects, under the penalties of perjury.



ATTEST:                                    LEXFORD RESIDENTIAL TRUST:



/s/ Bradley A. Van Auken                   /s/ Mark D. Thompson
------------------------                   -------------------------------------
Bradley A. Van Auken                       Mark D. Thompson
Senior Vice President,                     Executive Vice President
General Counsel & Secretary










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