[cover]
abrams
industries
1997
annual
report
[inside front cover]
Percentage of revenues by segment:
Construction   Manufacturing   Real Estate
    72%             12%           16%

BUSINESS DESCRIPTION

Abrams Industries, Inc. (the "Company") consists of three industry
segments (Construction, Manufacturing, and Real Estate) which work
individually for the betterment of the whole.  The business of the
Company, therefore, is the business of its segments.


contents

Summary financial Data                       IFC
Letter to Shareholders                        1-4
Form 10-K                                     5-35
Directors, Officers and Directory             36
Abrams Philosophy,
   Annual Meeting and
   Other Information                          IBC


SUMMARY FINANCIAL DATA  *
<TABLE>
<CAPTION>
                                                                               %                                         %
                                               1997             1996        CHANGE        1996               1995     CHANGE
<S>                                        <C>              <C>               <C>     <C>               <C>             <C>
Revenues                                   $136,123,601     $134,299,240      +1      $134,299,240      $122,608,682    +10
Net Earnings (Loss)                        $  2,391,398     $   (304,188)     N/A     $   (304,188)     $   (331,019)   +8
Net Earnings (Loss) per Share              $        .81     $       (.10)     N/A     $       (.10)     $       (.11)   +9
Cash Dividends per Share                   $        .07     $       .105      -33     $       .105      $        .12    -13
Shareholders' Equity                       $ 22,125,214     $ 20,152,376      +10     $ 20,152,376      $ 20,872,035    -3
Return on Average
   Shareholders' Equity                           11.3%          (1.5%)       N/A           (1.5%)            (1.6%)    +6
Return on total Assets                            2.6%           (.3%)       N/A     $     ( .3%)            ( .4%)    +25
</TABLE>

*For complete 11 year review, see Selected Financial Data, pages 12 and 13.
[end inside front cover]

1997 ANNUAL REPORT

DEAR SHAREHOLDERS:  OUR 72nd YEAR WAS A VERY SUCCESSFUL AND GRATIFYING
ONE.  ABRAMS CONSTRUCTION, INC. ONCE AGAIN POSTED SOLID RESULTS FOR THE
YEAR AS THEY CONTINUE TO SERVE MANY RETAILERS.  ABRAMS FIXTURE
CORPORATION DEMONSTRATED THROUGH "RE-ENGINEERING" THEIR ABILITY TO BOUNCE
BACK FROM A COUPLE OF UNPROFITABLE YEARS.  ABRAMS PROPERTIES, INC. BEGAN
THE IMPLEMENTATION OF ITS LONG-TERM STRATEGY OF DIVERSIFYING ITS REAL
ESTATE PORTFOLIO.


FINANCIAL

For the year ended April 30, 1997, revenues increased to $136,123,601
from $134,299,240 in the prior year.  While revenues increased only
modestly, we made tremendous improvements in our operating results.  This
year we are extremely happy to report to you net earnings of $2,391,398
or $.81 per share compared to last year's net loss of $304,188 or $.10
per share.  The per share figures are based on weighted average shares
outstanding of 2,965,800 during 1997 and 2,977,163 during 1996.  All
segments contributed significantly to this year's profitability as is
shown by the following:

     --   continued improvement in operations of the Construction Segment
     --   the turn-around in operations of the Manufacturing Segment
     --   sale of three "freestanding" Kmarts by the Real Estate Segment

     On May 30, 1997, your Board of Directors increased the regular
quarterly dividend to $.04 per share from $.02 per share, the Company's
72nd consecutive quarterly dividend.  The record date was June 16, 1997,
and the payment date was June 27, 1997.  In addition, because of the
exceptional year we enjoyed, your Board declared an additional one-time
dividend of $.03 per share having the same record and payment dates as
the regular dividend.<PAGE>
SEGMENT REPORTS

CONSTRUCTION BEGAN IN 1925.  ABRAMS CONSTRUCTION, INC.'S PROJECTS INCLUDE
RETAIL STORES, SHOPPING CENTERS, FINANCIAL INSTITUTIONS, DISTRIBUTION
CENTERS, MANUFACTURING FACILITIES, OFFICE BUILDINGS AND OTHER TYPES OF
COMMERCIAL CONSTRUCTION.

     Many times it has been said "the fewer words, the better" or "let
actions speak for themselves."  This is exactly what Abrams Construction,
Inc. has done during 1997.  They completed 203 construction projects for
major retailers in 29 different states.  While revenues decreased this
year to $98,460,046 from $108,437,335 in the prior year, operating
earnings increased by 10% to $3,088,094 from $2,806,030.  Our focus on
improving job-level profits is a continuous one.  By controlling overhead
and job-level costs and also through the outstanding efforts of
management, project managers and job superintendents, we feel we were
fairly successful this past year.  This is the Company's twelfth
consecutive year of producing operating earnings in an arena that
continually becomes more competitive.

                                                   TOTAL        OPERATING
                                                 REVENUES        EARNINGS

     1997                                       $ 98,460,046   $ 3,088,094
     1996                                        108,437,335     2,806,030
     1995                                         94,128,795     2,550,806
     1994                                         87,879,601     2,535,597
     1993                                         65,040,184     2,012,578

NOTE:  TOTAL REVENUES AND OPERATING EARNINGS INCLUDE REVENUES
GENERATED FROM INTERCOMPANY SOURCES OF $345,000, $792,000 AND
$-0- IN 1997, 1996 AND 1995, RESPECTIVELY.  IN COMPUTING
OPERATING EARNINGS, ALLOCATED PARENT EXPENSES AND INCOME TAXES
HAVE NOT BEEN CONSIDERED.  (FOR ADDITIONAL INFORMATION, SEE NOTE
11 TO CONSOLIDATED FINANCIAL STATEMENTS HEREIN.)

MANUFACTURING BEGAN IN 1946.  ABRAMS FIXTURE CORPORATION PRODUCES
STORE FIXTURES FOR SOME OF THE NATION'S LEADING RETAILERS AND ALSO
DESIGNS, PRODUCES AND MARKETS A WIDE VARIETY OF DISPLAYS FOR
HOME-DECORATIVE PRODUCTS.

We are extremely pleased with the progress of Abrams Fixture
Corporation has made during the past year.  The seeds that were
sown last year through our re-engineering efforts have truly
borne fruit this year.  Several examples of the results of our
re-engineering are as follows:

     --   Gross profit margin increased to 38% in 1997, from 23%
          in 1996.

     --   Total revenues increased 11% to $16,703,258 in 1997,
          from $15,008,358 in 1996.

     --   The purchase of a new computer numerically controlled
          panel saw gives us greater quality, speed, efficiency
          and accuracy. As a result of taking advantage of the
          saw's optimizing feature, we were able to increase
          productivity by 15% and material yield by 10%.

     --   We have completed the installation of our Production
          Data Management (PDM) software system.  This network
          ties all of our key processes together.  The increase
          in communication ability has helped us to significantly
          reduce our costs in both pre-production and production. 
          We are currently entering product information into PDM<PAGE>
          which will allow us to improve our scheduling.  The
          addition of PDM has given us a powerful tool to help us
          manage and control our business.

     Our marketing efforts have also brought positive results. 
New Accounts acquired in 1997 were:

The John Ryan Company (in-store bank fixtures), Athlete's Foot,
Pricellular and Stiffel Lamps.  In addition, to help us better
serve our customers, we have entered into the fixture
installation business.

     In conclusion, we have made the single most important
decision that might possibly impact the future of our business. 
After nearly 50 years at the same location in Atlanta, Georgia,
we have decided to move our manufacturing facility to a single
building that will include both our wood and metal operations. 
The proposed new building of approximately 200,000+ square feet
will help us to:  (1) reduce costs associated with material
handling; (2) reduce indirect labor costs; (3) increase quality;
(4) reduce overall operating costs and (5) improve communication.


                                                                     OPERATING
                                                      TOTAL           EARNINGS
                                                     REVENUES          (LOSS)

     1997                                       $16,703,258         $1,749,033
     1996                                        15,088,358           (160,226)
     1995                                        16,356,539           (478,235)
     1994                                        19,554,858          1,680,087
     1993                                        16,530,893          1,297,374

NOTE:  IN COMPUTING OPERATING EARNINGS (LOSS), ALLOCATED PARENT
EXPENSES AND INCOME TAXES HAVE NOT BEEN CONSIDERED (FOR
ADDITIONAL INFORMATION, SEE NOTE 11 TO CONSOLIDATED FINANCIAL
STATEMENTS HEREIN.)

REAL ESTATE BEGAN IN 1960.  ABRAMS PROPERTIES, INC. DEVELOPS,
OWNS AND MANAGES INCOME-PRODUCING COMMERCIAL PROPERTIES.  THE
COMPANY CURRENTLY MANAGES EIGHTEEN COMPANY-DEVELOPED RETAIL
PROPERTIES IN NINE STATES.

We continued the implementation of our long-term strategic plan
and ended the year with a satisfying level of profitability.

     A cornerstone of our strategy is to diversify our real
estate investment portfolio through tax-deferred sales and re-
investments in selected income-producing properties.  In April
1997, we sold our free-standing Kmarts in Niles, Michigan;
Shawnee, Oklahoma; and Warner Robins, Georgia for $8.4 million,
resulting in a pre-tax gain of $5 million.  We plan to reinvest
the proceeds from these sales through tax-deferred, like-kind
exchanges into a more diverse mix of income-producing properties. 
We entered into a contract in June 1997 to purchase an office
building in northwest metropolitan Atlanta, part of which will
become our new corporate headquarters.  The balance of the
proceeds will be used to purchase other income-producing
property.  In continuing our diversification efforts, on March
26, 1997, we executed a contract to sell our freestanding Kmart
property in Newark, Ohio.  The sale is expected to close in
fiscal 1998.
<PAGE>
     A second component of our plan is to increase our return on
assets and improve liquidity by reducing our investment in non-
income-producing assets.  We anticipate accomplishing this
through land sales or development.  Early in the year, we closed
on the sale of a 1.56 acre parcel at Merchants Crossing of
Oakwood, Georgia to Jameson Inns for $256,000.  In November 1996,
we sold our last outparcel at Merchants Crossing of Englewood,
Florida to World Savings Bank for $510,000.  In May 1997, we
closed on a sale to First Union National Bank of Florida of a
1.21 acre outparcel at Merchants Crossing of North Fort Myers,
Florida for $770,000.

     As part of our focus on asset management, the third part of
our plan is to intensify our efforts to maximize occupancy
through effective leasing and property management, and by
selective expansions and redevelopment of our real estate assets. 
At Merchants Crossing of Jackson, Michigan, we opened a new
63,024 square foot Kroger Superstore, entered into a new ten year
lease agreement with Consolidated Stores (Big Lots) and expanded
that existing store from 21,022 square feet to 26,022 square
feet.  At Merchants Crossing of Englewood, Florida, for the first
time we are now 100% leased.  Our Merchants Crossing shopping
center in Newnan, Georgia remains 100% leased.  At Merchants
Crossing of North Fort Myers, Florida, we completed construction
and have already leased over 50% of the square footage of the new
shops located adjacent to the AMC 16 screen movie theater which
opened in May, 1996.  At April 30, 1997, our total portfolio of
1,992,000 square feet of income-producing property was 98%
leased.

     An additional part of our real estate plan is to seek
strategic opportunities to create synergies with our sister
companies.  The pending purchase of our corporate office building
will provide new home offices for Abrams Industries, Inc. and
Abrams Construction, Inc.  We are also in the planning process of
developing a new manufacturing facility that will become the
headquarters for Abrams Fixture Corporation.

     Our asset management plan requires the periodic examination
or our real estate to formulate potential property sales or
disposal strategies and to identify any possible asset
impairment.  Through such an examination this spring, it was
determined that it was necessary to reduce the carrying value of
Merchants Crossing Shopping Center of North Fort Myers, Florida,
by $2.75 million.  Also during the year, we transferred the
leaseback Kmart property in Rock Island, Illinois to the lessor
of the property, resulting in a non-cash charge of $98,000.

     For the year, we had operating earnings of $1,003,370 on
revenues of $21.1 million, compared to an operating loss of
$1,261,552 on revenues of $11.5 million last year.

                                                 OPERATING
                               TOTAL              EARNINGS
                             REVENUES              (LOSS)

    1997                   $21,132,159          $1,003,370
    1996                    11,473,415          (1,261,552)
    1995                    11,982,530            (900,864)
    1994                    17,123,553             (66,350)
    1993                    11,449,654             236,279

NOTE:  IN COMPUTING OPERATING EARNINGS (LOSS), ALLOCATED PARENT
EXPENSES AND INCOME TAXES HAVE NOT BEEN CONSIDERED. (FOR
ADDITIONAL INFORMATION, SEE NOTE 11 TO CONSOLIDATED FINANCIAL
STATEMENTS HEREIN.)


CONCLUSION AND OUTLOOK<PAGE>
Richard H. Danielson is retiring after serving nineteen years on
our Board of Directors.  Dick has been a source of wisdom and
knowledge.  We wish him the best of luck in his future endeavors.

     While we have closed out a very successful year, we believe
there is much more to be accomplished.  We feel we have the right
people in place to take us along a path of continued success,
which, in turn, will bring value to you, our shareholders.


Sincerely,

/s/ Edward M. Abrams                  Edward M. Abrams
                                      CHAIRMAN OF THE BOARD AND
                                      CHIEF EXECUTIVE OFFICER

/s/ Joseph H. Rubin                   Joseph H. Rubin
                                      PRESIDENT AND CHIEF
                                      OPERATING OFFICER

/s/ Bernard W. Abrams                 Bernard W. Abrams
                                      CHAIRMAN OF THE EXECUTIVE
                                      COMMITTEE<PAGE>
FOUNDER
    Alfred R. Abrams
    (1899-1979)
BOARD OF DIRECTORS
* Edward M. Abrams (E)
  Chairman of the Board and Chief
   Executive Officer
  Abrams Industries, Inc.

* Bernard W. Abrams (E)
  Chairman of the Executive Committee
  Abrams Industries, Inc.

  Alan R. Abrams (E)
  President
  Abrams Properties, Inc.

  J. Andrew Abrams (E)
  Vice President
  Abrams Fixture Corporation

  Paula Lawton Bevington (A)(C)
  Chairman
  Servidyne Systems, Inc.

  Richard H. Danielson (A)(C)
  Retired Regional Vice President
  Amoco Oil Company

  Donald W. MacLeod (A)(C)
  Chairman of the Board 
  IRT Property Company

  L. Anthony Montag (A)(C)
  Chief Executive Officer
  A. Montag & Associates, Inc.

* Joseph H. Rubin (E)
  President and Chief Operating Officer
  Abrams Industries, Inc.

  Felker W. Ward, Jr. (A)(C)
  Chairman
  Pinnacle Investment Advisors, Inc.

  Committees:
  E-Executive
  A-Audit
  C-Compensation

  *Executive Officer


OFFICERS OF ABRAMS INDUSTRIES, INC.
AND SUBSIDIARIES

Alan R. Abrams
Bernard W. Abrams
Edward M. Abrams
J. Andrew Abrams
Gerald T. Anderson II
Jack T. Cothran
Steven J. Curvino
Timothy D. Farrell
Janis H. Fowler
Melinda S. Garrett<PAGE>
George W. Hodges
Joyce L. Hubbard
Douglas S. McKenzie
B. Michael Merritt
Richard V. Priegel
Joseph H. Rubin
Wyona L. Stephens
Thomas F. Stock


CONSTRUCTION SEGMENT

ABRAMS CONSTRUCTION, INC.
        5775-A Glenridge Dr., NE
        Suite 200
        Atlanta, Georgia 30328
        (404) 256-4150

MANUFACTURING SEGMENT

ABRAMS FIXTURE CORPORATION
        362 Jones Avenue, NW
        Atlanta, Georgia 30314
        (404) 681-1820

REAL ESTATE SEGMENT

ABRAMS PROPERTIES, INC.
        5775-A Glenridge Dr., NE
        Suite 203
        Atlanta, Georgia 30328
        (404) 252-8220<PAGE>
[inside back cover]

ABRAMS PHILOSOPHY

   Make a profit so that the Company will remain financially
sound.
   Help to develop the people in our organization to achieve
their maximum potential in a climate that creates good working
conditions, mutual trust and happiness.
   Encourage our people to practice thrift, to take an active
interest in their church or synagogue, community projects and
government and to be good citizens.
   Manufacture products and provide services of the highest
quality, so that we may merit the respect, confidence and loyalty
of our customers.
   Be a source of strength to our customers and suppliers,
conducting all of our transactions with them with fairness.
   Plan and carry out all of our activities so that the Company
can expand its leadership and be regarded as a model in industry.

ANNUAL MEETING
INFORMATION

The Annual Meeting of Shareholders of Abrams Industries, Inc.
will be held at 4:00 p.m. on Wednesday, August 20, 1997, in the
Ascot Room of the Renaissance Waverly Hotel, 2450 Galleria
Parkway, Atlanta, Georgia.

Transfer Agent:
SunTrust Bank, Atlanta
Post Office Box 4625
Atlanta, Georgia  30302<PAGE>
[back cover]

ABRAMS INDUSTRIES, INC.

CORPORATE HEADQUARTERS
5775-A GLENRIDGE DRIVE, N.E.
SUITE 202
ATLANTA, GEORGIA  30328
(404) 256-9785
FAX (404) 252-7481