----

| [ X ] | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|-------|--------------------------------------------------------------------------------------|

| [   ] | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|----------------------|------------------------------------------------------------------------------------------|

| Title of each class | Name of each exchange on which registered |
|---------------------|-------------------------------------------|
| None                | None                                      |

| UNITS OF LIMITED PARTNERSHIP INTEREST(Title of Class)  |
|-------------------------------------------------------------|

----

----

----

----

|                                                                                                                                                                                                                                                                                                                                   |                                                                                                                                         | Date                                                                                                                 |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------|
|                     Properties owned by                                                                                                                                                                                                 |                                                                                                                                         | Interest                                                                                                             |
| Local Limited Partnerships                                                   | Location                       | Acquired                   |
|                                                                                                                                                                                                                                                                                                                                   |                                                                                                                                         |                                                                                                                 |
| West Dade (1)                                                                                                                                                                                                                                                                                                                          | Miami, FL                                                                                                                                    | 12/31/88                                                                                                             |
| West Dade II (1)                                                                                                                                                                                                                                                                                                                       | Miami, FL                                                                                                                                    | 12/31/88                                                                                                             |
| Regency Square (1)                                                                                                                                                                                                                                                                                                                     | Dayton, OH                                                                                                                                   | 03/13/89                                                                                                             |
| Westwood Manor (1)                                                                                                                                                                                                                                                                                                                     | Flint, MI                                                                                                                                    | 02/21/89                                                                                                             |
| Rolling Hills (1)                                                                                                                                                                                                                                                                                                                      | Dayton, OH                                                                                                                                   | 03/13/89                                                                                                             |
| Boulevard Commons II (1)                                                                                                                                                                                                                                                                                                               | Chicago, IL                                                                                                                                  | 04/04/89                                                                                                             |
| Boulevard Commons IIA (1)                                                                                                                                                                                                                                                                                                              | Chicago, IL                                                                                                                                  | 04/04/89                                                                                                             |
| Fox Run Housing  (1)                                                                                                                                                                                                                                                                                                         | Victoria, TX                                                                                                                                 | 04/07/89                                                                                                             |
| Waterfront                                                                                                                                                                                                                                                                                                                             | Buffalo, NY                                                                                                                                  | 04/28/89                                                                                                             |
| Shoreline (1)                                                                                                                                                                                                                                                                                                                          | Buffalo, NY                                                                                                                                  | 04/28/89                                                                                                             |
| Colony Apartments (1)                                                                                                                                                                                                                                                                                                                  | Columbia, SC                                                                                                                                 | 05/19/89                                                                                                             |
| Admiral Court (1)                                                                                                                                                                                                                                                                                                                      | Philadelphia, PA                                                                                                                             | 06/07/89                                                                                                             |
| Crestwood (1)                                                                                                                                                                                                                                                                                                                          | Bridgeport, TX                                                                                                                               | 06/05/89                                                                                                             |
| Elmwood Delmar (1)                                                                                                                                                                                                                                                                                                                     | Aurora, CO                                                                                                                                   | 05/16/89                                                                                                             |
| El Jardin (1)                                                                                                                                                                                                                                                                                                                          | Davie, FL                                                                                                                                    | 06/14/89                                                                                                             |
| Ashley Place (1)                                                                                                                                                                                                                                                                                                                       | Orlando, FL                                                                                                                                  | 06/23/89                                                                                                             |
| Willowick (1)                                                                                                                                                                                                                                                                                                                          | Gainesville, TX                                                                                                                              | 06/30/89                                                                                                             |
| Kirkendall Heights (1)                                                                                                                                                                                                                                                                                                                 | Ellsworth, KS                                                                                                                                | 07/19/89                                                                                                             |
| Bentley Hill (1)                                                                                                                                                                                                                                                                                                                       | Syracuse, KS                                                                                                                                 | 06/30/89                                                                                                             |
| Columbia Townhouses (1)                                                                                                                                                                                                                                                                                                                | Burlington, IA                                                                                                                               | 07/28/89                                                                                                             |
| Quartermill (1)                                                                                                                                                                                                                                                                                                                        | Richmond, VA                                                                                                                                 | 08/02/89                                                                                                             |
| Ponca Manor (1)                                                                                                                                                                                                                                                                                                                        | Satanta, KS                                                                                                                                  | 07/28/89                                                                                                             |
| Pearl Place (1)                                                                                                                                                                                                                                                                                                                        | Rossville, KS                                                                                                                                | 07/28/89                                                                                                             |
| Crown Point (1)                                                                                                                                                                                                                                                                                                                        | Venus, TX                                                                                                                                    | 08/22/89                                                                                                             |
| Godley Arms (1)                                                                                                                                                                                                                                                                                                                        | Godley, TX                                                                                                                                   | 08/25/89                                                                                                             |
| Pilot Point (1)                                                                                                                                                                                                                                                                                                                        | Pilot Point, TX                                                                                                                              | 08/22/89                                                                                                             |
| Sherwood Arms (1)                                                                                                                                                                                                                                                                                                                      | Keene, TX                                                                                                                                    | 08/22/89                                                                                                             |
| South Holyoke (1)                                                                                                                                                                                                                                                                                                                      | Holyoke, MA                                                                                                                                  | 08/29/89                                                                                                             |
| Walker Woods (1)                                                                                                                                                                                                                                                                                                                       | Dover, DE                                                                                                                                    | 08/30/89                                                                                                             |
| Lakeway Colony (1)                                                                                                                                                                                                                                                                                                                     | Lake Dallas, TX                                                                                                                              | 08/30/89                                                                                                             |
| One Main Place (1)                                                                                                                                                                                                                                                                                                                     | Little Elm, TX                                                                                                                               | 08/22/89                                                                                                             |
| Eaglewood (1)                                                                                                                                                                                                                                                                                                                          | Covington, TN                                                                                                                                | 09/06/89                                                                                                             |
| Harbour View (1)                                                                                                                                                                                                                                                                                                                       | Staten Island, NY                                                                                                                            | 09/29/89                                                                                                             |
| Georgetown II (1)                                                                                                                                                                                                                                                                                                                      | Georgetown, DE                                                                                                                               | 09/28/89                                                                                                             |
| Granite V (1)                                                                                                                                                                                                                                                                                                                          | Boston, MA                                                                                                                                   | 09/29/89                                                                                                             |
| Garden Plain (1)                                                                                                                                                                                                                                                                                                                       | Garden Plain, KS                                                                                                                             | 08/09/89                                                                                                             |
| Fulton (1)                                                                                                                                                                                                                                                                                                                             | Fulton, KY                                                                                                                                   | 10/05/89                                                                                                             |
| Lone Oak (1)                                                                                                                                                                                                                                                                                                                           | Graham, TX                                                                                                                                   | 10/06/89                                                                                                             |
| Hallet West (1)                                                                                                                                                                                                                                                                                                                        | Hallettsville, TX                                                                                                                            | 11/20/89                                                                                                             |
| Glenbrook (1)                                                                                                                                                                                                                                                                                                                          | St. Jo, TX                                                                                                                                   | 10/06/89                                                                                                             |
| Eagles Nest (1)                                                                                                                                                                                                                                                                                                                        | Decatur, TN                                                                                                                                  | 10/06/89                                                                                                             |
| Billings Family (1)                                                                                                                                                                                                                                                                                                                    | Billings, MO                                                                                                                                 | 08/09/89                                                                                                             |

----

|                                                                                                                                                                                                                                                                                                                                   |                                                                                                                                                     | Date                                                                                                                 |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------|
| Properties owned by                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                     | Interest                                                                                                             |
| Local Limited Partnerships                                                   | Location                         | Acquired                   |
|                                                                                                                                                                                                                                                                                                                                   |                                                                                                                                                     |                                                                                                                 |
| Brownsville (1)                                                                                                                                                                                                                                                                                                                        | Brownsville, TN                                                                                                                                          | 08/09/89                                                                                                             |
| Sunnyhill Villa (1)                                                                                                                                                                                                                                                                                                                    | Wayne, NE                                                                                                                                                | 08/09/89                                                                                                             |
| Longview (1)                                                                                                                                                                                                                                                                                                                           | Humboldt, KS                                                                                                                                             | 10/13/89                                                                                                             |
| Horseshoe Bend (1)                                                                                                                                                                                                                                                                                                                     | Horseshoe Bend, AR                                                                                                                                       | 08/09/89                                                                                                             |
| Briarwood II (1)                                                                                                                                                                                                                                                                                                                       | Lake Havasua, AZ                                                                                                                                         | 10/04/89                                                                                                             |
| Quail Run (1)                                                                                                                                                                                                                                                                                                                          | Iowa Park, TX                                                                                                                                            | 10/06/89                                                                                                             |
| Smithville (1)                                                                                                                                                                                                                                                                                                                         | Smithville, MO                                                                                                                                           | 08/09/89                                                                                                             |
| Aurora East Apartments (1)                                                                                                                                                                                                                                                                                                             | Denver, CO                                                                                                                                               | 11/06/89                                                                                                             |
| Elver Park II (1)                                                                                                                                                                                                                                                                                                                      | Madison, WI                                                                                                                                              | 11/09/89                                                                                                             |
| Elver Park III (1)                                                                                                                                                                                                                                                                                                                     | Madison, WI                                                                                                                                              | 11/09/89                                                                                                             |
| Tucson Trails I (1)                                                                                                                                                                                                                                                                                                                    | Madison, WI                                                                                                                                              | 11/22/89                                                                                                             |
| Tucson Trails II (1)                                                                                                                                                                                                                                                                                                                   | Madison, WI                                                                                                                                              | 11/23/89                                                                                                             |
| Pleasant Plaza (1)                                                                                                                                                                                                                                                                                                                     | Malden, MA                                                                                                                                               | 12/01/89                                                                                                             |
| 241 Pine Street (1)                                                                                                                                                                                                                                                                                                                    | Manchester, NH                                                                                                                                           | 12/04/89                                                                                                             |
| Heather Oaks (1)                                                                                                                                                                                                                                                                                                                       | Oak Grove, MO                                                                                                                                            | 11/24/89                                                                                                             |
| Riverfront (1)                                                                                                                                                                                                                                                                                                                         | Sunbury, PA                                                                                                                                              | 12/26/89                                                                                                             |
| Susquehanna View (1)                                                                                                                                                                                                                                                                                                                   | Camp Hill, PA                                                                                                                                            | 12/26/89                                                                                                             |
| Breckenridge (1)                                                                                                                                                                                                                                                                                                                       | Duluth, GA                                                                                                                                               | 12/19/89                                                                                                             |
| Wood Creek (1)                                                                                                                                                                                                                                                                                                                         | Calcium, NY                                                                                                                                              | 12/15/89                                                                                                             |
| Willow Lake (1)                                                                                                                                                                                                                                                                                                                        | Kansas City, MO                                                                                                                                          | 12/20/89                                                                                                             |
| Ashton Heights (1)                                                                                                                                                                                                                                                                                                                     | Bolivar, MO                                                                                                                                              | 12/15/89                                                                                                             |
| Fouche Valley (1)                                                                                                                                                                                                                                                                                                                      | Perryville, AR                                                                                                                                           | 05/01/90                                                                                                             |
| Altheimer (1)                                                                                                                                                                                                                                                                                                                          | Altheimer, AR                                                                                                                                            | 04/18/90                                                                                                             |
| Kyle Hotel (1)                                                                                                                                                                                                                                                                                                                         | Temple, TX                                                                                                                                               | 06/12/90                                                                                                             |
| Diversey Square (1)                                                                                                                                                                                                                                                                                                                    | Chicago, IL                                                                                                                                              | 12/01/90                                                                                                             |
| Poplar Village (1)                                                                                                                                                                                                                                                                                                                     | Cumberland, KY                                                                                                                                           | 12/30/90                                                                                                             |
| Lexington (1)                                                                                                                                                                                                                                                                                                                          | Lexington, TN                                                                                                                                            | 12/29/90                                                                                                             |
|                                                                                                                                                                                                                                                                                                                                   |                                                                                                                                                     |                                                                                                                 |

| (1) | The Partnership no longer has an interest in the Local Limited Partnership which owns this Property. |
|-----|------------------------------------------------------------------------------------------------------|

----

----

|                           |   |                                |               Capital Contributions |   |                      |   |      |
|--------------------------------|--------|-------------------------------------|------------------------------------------------------------------------------------------------------|--------|---------------------------|--------|-----------|
| Local Limited Partnership      |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |
| Property Name                  |   |                                |                                                                                                 |   |    Total        |   |      | Paid |   |   |       Mtge. Loans |   |   |   |  Occupancy at |   |
| Property Location              |   |      Number of  |                                                                                                 |   |    Committed at |   |      | Through |   |   |  Payable at |   |           Type of |   | March 31, |   |
| Local General Partner          |   |      Apt. Units |                                                                                                 |   | March 31, 2011            |   |      | March 31, 2011 |   |   | December 31, 2010 |   |            Subsidy               |   | 2011 |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |
| Waterfront Limited Partnership |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |
| Waterfront                     |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |
| Buffalo, NY                    |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |
| Norstar                        |   |                                | 472                                                                                                  |   |                      | $      | 3,597,307 |   |   | $ | 3,597,307 |   |   | $ | 32,950,984 |   | None |   |   | 60 | % |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                           |   |                                |                                                                                                 |   |                      |   |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

| ·   | On November 29, 2007, QH4 and its general partners were sued in Superior Court for the County of Los Angeles, California by a Limited Partner named Danford Baker and companies named Everest Housing Investors 2, LP and Everest Management, LLC with which Mr. Baker is affiliated (collectively, “Everest”).  Everest dismissed this lawsuit without prejudice on April 17, 2008. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On or about, May 6, 2008, the same Everest parties referenced above in the 1st California lawsuit filed a nearly identical Complaint against QH4 and its general partners in the same Superior Court for the County of Los Angeles, California.  Everest dismissed this 2nd California lawsuit without prejudice on November 11, 2008. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On January 22, 2008, QH4 and its general partners were sued in the District Court of Johnson County, Kansas by a Limited Partner named McDowell Investments, L.P. (“McDowell”). |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On January 29, 2008, QH4 and its general partners filed suit against McDowell in the Superior Court for Suffolk County, Massachusetts. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------|

| ·   | On April 22, 2008, QH4 and its general partners filed suit in the Superior Court for Suffolk County, Massachusetts against the following defendants:  Everest Housing Investors 2, L.P.; Everest Management LLC; Everest Properties, Inc.; Everest Properties, LLC; McDowell Investments, L.P.; MGM Holdings, LLC; Park G.P., Inc., Bond Purchase, L.L.C.; Anise L.L.C.; Paco Development, L.L.C.; Maxus Realty Trust, Inc.; David L. Johnson; W. Robert Kohorst; Danford M. Baker; Monte G. McDowell; and Kevan D. Acord. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

----

----

----

|                                                                                            |                                                                                                                                                                                                                                                       |    Amount                                                                                   |                                                                                                                                                              |
|-------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|  Title of                                                                                  |     Name and Address of                                                                                                                                                                                                                     |       Beneficially                                                           |                                                                                                                                                              |
|  Class               |  Beneficial Owner                                       | Owned                 |                          Percent of Class |
|                                                                                            |                                                                                                                                                                                                                                                       |                                                                                                  |                                                                                                                                                              |
|        Limited                                                    | Paco Development, LLC                                                                                                                                                                                                                                      | 5,315.5 Units                                                                                         | 5.32%                                                                                                                                                             |
|        Partner                                                    | P.O. Box 34729                                                                                                                                                                                                                                             |                                                                                                  |                                                                                                                                                              |
|                                                                                            | N. Kansas City                                                                                                                                                                                                                                             |                                                                                                  |                                                                                                                                                              |
|                                                                                            |             MO 64116                                                                                                                                                                                |                                                                                                  |                                                                                                                                                              |
|                                                                                            |                                                                                                                                                                                                                                                       |                                                                                                  |                                                                                                                                                              |
|       Limited                                                          | Everest Management, LLC                                                                                                                                                                                                                                    | 10,005 Units                                                                                          | 10.01%                                                                                                                                                            |
|       Partner                                                          | 155 North Lake Avenue                                                                                                                                                                                                                                      |                                                                                                  |                                                                                                                                                              |
|                                                                                            |            Suite 1000                                                                                                                                                                                    |                                                                                                  |                                                                                                                                                              |
|                                                                                            | Pasadena, CA  91101                                                                                                                                                                                                                              |                                                                                                  |                                                                                                                                                              |

----

----

|                  |   | 2011   |   |   | 2010   |   |
|-----------------------|--------|--------|--------|--------|--------|--------|
|                  |   |   |   |   |   |   |
| Asset management fees |   | $      | 9,330  |   |   | $      | 29,477 |   |

|                                         |   | 2011   |   |   | 2010   |   |
|----------------------------------------------|--------|--------|--------|--------|--------|--------|
|                                         |   |   |   |   |   |   |
| Salaries and benefits expense reimbursements |   | $      | 20,637 |   |   | $      | 24,682 |   |

|       |   | 2011   |   |   | 2010   |   |
|------------|--------|--------|--------|--------|--------|--------|
|       |   |   |   |   |   |   |
| Audit fees |   | $      | 42,500 |   |   | $      | 50,131 |   |
| Tax fees   |   | $      | 2,500  |   |   | $      | 2,500 |   |

----

| 3.1   | Amended and Restated Agreement of Limited Partnership, dated as of November 23, 1988 – incorporated by reference from Exhibit A to Prospectus contained in Form S-11 Registration Statement, File no. 33-24175. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 31.1   | Certification of Principal Executive Officer and Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| 31.2   | Certification of Principal Executive Officer and Principal Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| 32.1   | Certification of Principal Executive Officer and Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| 32.2   | Certification of Principal Executive Officer and Principal Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

|                                                         |   |      2011 |          |   |       2010 |   |
|--------------------------------------------------------------|--------|-------------------------------|---------------|--------|-------------------------------------|--------|
| Assets                                                       |   |                          |          |   |                                |   |
|                                                         |   |                          |          |   |                                |   |
| Cash and cash equivalents                                    |   | $                             | 237,917       |   |                                | $      | 381,970 |   |
| Investment in Local Limited Partnership (Note 4)             |   |                          | -             |   |                                |   | - |   |
| Other assets                                                 |   |                          |  95      |   |                                |   | 38 |   |
| Total Assets                                                 |   | $                             | 238,012       |   |                                | $      | 382,008 |   |
|                                                         |   |                          |          |   |                                |   |   |   |
| Liabilities and Partners' Equity                             |   |                          |          |   |                                |   |   |   |
|                                                         |   |                          |          |   |                                |   |   |   |
| Due to affiliate (Note 5)                                    |   | $                             | 6,682         |   |                                | $      | 2,325 |   |
| Accrued expenses                                             |   |                          | 29,088        |   |                                |   | 43,785 |   |
| Total Liabilities                                            |   |                          | 35,770        |   |                                |   | 46,110 |   |
|                                                         |   |                          |          |   |                                |   |   |   |
| General, Initial and Investor Limited Partners’ Equity |   |                          | 202,242       |   |                                |   | 335,898 |   |
| Total Liabilities and Partners' Equity                       |   | $                             |  238,012 |   |                                | $      |  382,008 |   |
|                                                         |   |                          |          |   |                                |   |   |   |
|                                                         |   |                          |          |   |                                |   |   |   |

----

|                                                                       |   | 2011   |     |   | 2010   |   |
|----------------------------------------------------------------------------|--------|--------|----------|--------|--------|--------|
| Revenue:                                                                   |   |   |     |   |   |   |
| Investment                                                                 |   | $      | 1,220    |   |   | $      | 10,218 |   |
| Cash distribution income                                                   |   |   | -        |   |   |   | 4 |   |
| Total Revenue                                                              |   |   | 1,220    |   |   |   | 10,222 |   |
|                                                                       |   |   |     |   |   |   |   |   |
| Expense:                                                                   |   |   |     |   |   |   |   |   |
| Asset management fees, affiliate  (Note 5)                       |   |   | 9,330    |   |   |   | 29,477 |   |
| General and administrative (includes reimbursements                        |   |   |     |   |   |   |   |   |
| to an affiliate in the amount of  $20,637                        |   |   |     |   |   |   |   |   |
| and  $24,682  in 2011 and 2010, respectively) (Note 5) |   |   | 125,546  |   |   |   | 149,465 |   |
| Total Expenses                                                             |   |   | 134,876  |   |   |   | 178,942 |   |
|                                                                       |   |   |     |   |   |   |   |   |
| Loss before equity in losses of Local Limited Partnerships                 |   |   |     |   |   |   |   |   |
|     and gain on disposition of investments in Local    |   |   |     |   |   |   |   |   |
| Limited Partnerships                                                       |   |   | (133,656 | )      |   |   | (168,720 | ) |
|                                                                       |   |   |     |   |   |   |   |   |
| Equity in losses of Local Limited Partnerships (Note 4)                    |   |   | -        |   |   |   | - |   |
|                                                                       |   |   |     |   |   |   |   |   |
| Gain on disposition of investments in                                      |   |   |     |   |   |   |   |   |
|    Local Limited Partnerships (Note 4)                      |   |   | -        |   |   |   | 200,000 |   |
|                                                                       |   |   |     |   |   |   |   |   |
| Net Income (Loss)                                                          |   | $      | (133,656 | )      |   | $      | 31,280 |   |
|                                                                       |   |   |     |   |   |   |   |   |
| Net Income (Loss) allocated:                                               |   |   |     |   |   |   |   |   |
| General Partners                                                           |   | $      | (1,337   | )      |   | $      | 313 |   |
| Limited Partners                                                           |   |   | (132,319 | )      |   |   | 30,967 |   |
|                                                                       |   | $      | (133,656 | )      |   | $      | 31,280 |   |
| Net Income (Loss)  per Limited Partner Unit                      |   |   |     |   |   |   |   |   |
| (100,000 Units)                                                            |   | $      | (1.32    | )      |   | $      | 0.31 |   |
|                                                                       |   |   |     |   |   |   |   |   |
|                                                                       |   |   |     |   |   |   |   |   |
|                                                                       |   |   |     |   |   |   |   |   |

----

|                      |   |     |    |   | Initial  |   |   | Investor |   |   |       |   |
|---------------------------|--------|----------|---------|--------|----------|--------|--------|----------|--------|--------|------------|--------|
|                      |   | General  |    |   | Limited  |   |   | Limited  |   |   |       |   |
|                      |   | Partners |    |   | Partners |   |   | Partners |   |   | Total      |   |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |
| Balance at March 31, 2009 |   | $        | 29,246  |   |     | $      | 5,000  |     |   | $      | 2,896,995  |   |   | $ | 2,931,241 |   |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |
| Cash distributions        |   |     | (26,273 | )      |     |   | -      |     |   |   | (2,600,350 | )      |   |   | (2,626,623 | ) |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |
| Net Income                |   |     | 313     |   |     |   | -      |     |   |   | 30,967     |   |   |   | 31,280 |   |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |
| Balance at March 31, 2010 |   |     | 3,286   |   |     |   | 5,000  |     |   |   | 327,612    |   |   |   | 335,898 |   |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |
| Net Loss                  |   |     | (1,337  | )      |     |   | -      |     |   |   | (132,319   | )      |   |   | (133,656 | ) |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |
| Balance at March 31, 2011 |   | $        | 1,949   |   |     | $      | 5,000  |     |   | $      | 195,293    |   |   | $ | 202,242 |   |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |
|                      |   |     |    |   |     |   |   |     |   |   |       |   |   |   |   |   |

----

|                                                         |   | 2011   |     |   | 2010   |   |
|--------------------------------------------------------------|--------|--------|----------|--------|--------|--------|
| Cash flows from operating activities:                        |   |   |     |   |   |   |
| Net Income (Loss)                                            |   | $      | (133,656 | )      |   | $      | 31,280 |   |
| Adjustments to reconcile net income (loss) to net cash       |   |   |     |   |   |   |   |   |
| used for operating activities:                               |   |   |     |   |   |   |   |   |
| Gain on disposition of investments in Local Limited          |   |   |     |   |   |   |   |   |
|         Partnerships |   |   | -        |   |   |   | (200,000 | ) |
| Increase (decrease) in cash arising from changes             |   |   |     |   |   |   |   |   |
| in operating assets and liabilities:                         |   |   |     |   |   |   |   |   |
| Other assets                                                 |   |   | (57      | )      |   |   | (38 | ) |
| Due to affiliate                                             |   |   | 4,357    |   |   |   | (31,923 | ) |
| Accrued expenses                                             |   |   | (14,697  | )      |   |   | (5,234 | ) |
| Net cash used for operating activities                       |   |   | (144,053 | )      |   |   | (205,915 | ) |
|                                                         |   |   |     |   |   |   |   |   |
| Cash flows from investing activities:                        |   |   |     |   |   |   |   |   |
| Proceeds received from disposition of investments in         |   |   |     |   |   |   |   |   |
| Local Limited Partnerships                                   |   |   | -        |   |   |   | 200,000 |   |
| Net cash provided by investing activities                    |   |   | -        |   |   |   | 200,000 |   |
|                                                         |   |   |     |   |   |   |   |   |
| Cash flows from financing activities:                        |   |   |     |   |   |   |   |   |
| Cash distribution                                            |   |   | -        |   |   |   | (2,626,623 | ) |
| Net cash used for financing activities                       |   |   | -        |   |   |   | (2,626,623 | ) |
|                                                         |   |   |     |   |   |   |   |   |
| Net decrease in cash and cash equivalents                    |   |   | (144,053 | )      |   |   | (2,632,538 | ) |
|                                                         |   |   |     |   |   |   |   |   |
| Cash and cash equivalents, beginning                         |   |   | 381,970  |   |   |   | 3,014,508 |   |
|                                                         |   |   |     |   |   |   |   |   |
| Cash and cash equivalents, ending                            |   | $      | 237,917  |   |   | $      | 381,970 |   |
|                                                         |   |   |     |   |   |   |   |   |
|                                                         |   |   |     |   |   |   |   |   |
|                                                         |   |   |     |   |   |   |   |   |
|                                                         |   |   |     |   |   |   |   |   |
|                                                         |   |   |     |   |   |   |   |   |

----

----

----

----

----

|                                                                  |   | 2011   |       |   | 2010   |   |
|-----------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|
| Capital contributions paid to Local Limited Partnership and purchase  |   |   |       |   |   |   |
| price paid to withdrawing partners of Local Limited Partnership       |   | $      | 3,597,307  |   |   | $      | 3,597,307 |   |
|                                                                  |   |   |       |   |   |   |   |   |
| Cumulative equity in losses of Local Limited Partnership              |   |   |       |   |   |   |   |   |
|   (excluding cumulative unrecognized losses of $45,180,634  |   |   |       |   |   |   |   |   |
|   and $43,275,556 at March 31, 2011 and 2010, respectively) |   |   | (3,664,427 | )      |   |   | (3,664,427 | ) |
|                                                                  |   |   |       |   |   |   |   |   |
| Cumulative cash distributions received from Local Limited Partnership |   |   | -          |   |   |   | - |   |
|                                                                  |   |   |       |   |   |   |   |   |
| Investment in Local Limited Partnership before adjustments            |   |   | (67,120    | )      |   |   | (67,120 | ) |
|                                                                  |   |   |       |   |   |   |   |   |
| Excess investment costs over the underlying assets acquired:          |   |   |       |   |   |   |   |   |
|                                                                  |   |   |       |   |   |   |   |   |
| Acquisition fees and expenses                                         |   |   | 75,142     |   |   |   | 75,142 |   |
|                                                                  |   |   |       |   |   |   |   |   |
| Cumulative amortization of acquisition fees and expenses              |   |   | (8,022     | )      |   |   | (8,022 | ) |
|                                                                  |   |   |       |   |   |   |   |   |
| Investment in Local Limited Partnership                               |   | $      | -          |   |   | $      | - |   |

|                                       |   | 2010   |        |   | 2009   |   |
|--------------------------------------------|--------|--------|-------------|--------|--------|--------|
| Assets:                                    |   |   |        |   |   |   |
| Investment property, net                   |   | $      | 545,525     |   |   | $      | 202,452 |   |
| Other assets                               |   |   | 170,327     |   |   |   | 184,860 |   |
| Total Assets                               |   | $      | 715,852     |   |   | $      | 387,312 |   |
|                                       |   |   |        |   |   |   |   |   |
| Liabilities and Partners' Deficiency:      |   |   |        |   |   |   |   |   |
| Mortgage notes payable                     |   | $      | 32,950,984  |   |   | $      | 32,950,984 |   |
| Other liabilities                          |   |   | 13,108,209  |   |   |   | 10,855,348 |   |
| Total Liabilities                          |   |   | 46,059,193  |   |   |   | 43,806,332 |   |
|                                       |   |   |        |   |   |   |   |   |
| Partnership's deficiency                   |   |   | (45,299,955 | )      |   |   | (43,394,877 | ) |
| Other partners' deficiency                 |   |   | (43,386     | )      |   |   | (24,143 | ) |
| Total Partners' Deficiency                 |   |   | (45,343,341 | )      |   |   | (43,419,020 | ) |
| Total Liabilities and Partners' Deficiency |   | $      | 715,852     |   |   | $      | 387,312 |   |

----

|                                       |   | 2010   |       |   | 2009   |   |
|--------------------------------------------|--------|--------|------------|--------|--------|--------|
|                                       |   |   |       |   |   |   |
| Rental and other income                    |   | $      | 1,679,467  |   |   | $      | 15,722,263 |   |
|                                       |   |   |       |   |   |   |   |   |
| Expenses:                                  |   |   |       |   |   |   |   |   |
| Operating                                  |   |   | 1,929,438  |   |   |   | 2,076,890 |   |
| Interest                                   |   |   | 1,674,350  |   |   |   | 2,919,395 |   |
| Depreciation and amortization              |   |   | -          |   |   |   | 902,663 |   |
| Total Expenses                             |   |   | 3,603,788  |   |   |   | 5,898,948 |   |
|                                       |   |   |       |   |   |   |   |   |
| Net Income (Loss)                          |   | $      | (1,924,321 | )      |   | $      | 9,823,315 |   |
|                                       |   |   |       |   |   |   |   |   |
| Partnership's share of Net Income (Loss)   |   | $      | (1,905,078 | )      |   | $      | 9,842,590 |   |
| Other partners' share of Net Income (Loss) |   | $      | (19,243    | )      |   | $      | (19,275 | ) |

----

|                                                                     |   |     2011 |       |   |        2010 |   |
|--------------------------------------------------------------------------|--------|-------------------------|------------|--------|-------------------------------------------|--------|
|                                                                     |   |                    |       |   |                                      |   |
| Net Income (Loss) per financial statements                               |   | $                       | (133,656   | )      |                                      | $      | 31,280 |   |
|                                                                     |   |                    |       |   |                                      |   |   |   |
| Equity in income (losses) of Local Limited Partnerships for              |   |                    |       |   |                                      |   |   |   |
| financial reporting purposes in excess of equity in losses               |   |                    |       |   |                                      |   |   |   |
|    for tax purposes                                       |   |                    | 1,079,502  |   |                                      |   | (12,071,244 | ) |
|                                                                     |   |                    |       |   |                                      |   |   |   |
| Recognition of previously unrecognized equity in losses of Local Limited |   |                    |       |   |                                      |   |   |   |
| Partnerships recognized for financial reporting purposes,                |   |                    |       |   |                                      |   |   |   |
|     net of current year unrecognized losses          |   |                    | -          |   |                                      |   | 9,842,590 |   |
|                                                                     |   |                    |       |   |                                      |   |   |   |
| Equity in losses of Local Limited Partnerships not recognized            |   |                    |       |   |                                      |   |   |   |
| for financial reporting purposes                                         |   |                    | (1,905,078 | )      |                                      |   | - |   |
|                                                                     |   |                    |       |   |                                      |   |   |   |
| Adjustment to reflect March 31 fiscal year end to December 31            |   |                    |       |   |                                      |   |   |   |
| taxable year end                                                         |   |                    | 16,328     |   |                                      |   | (12,001 | ) |
|                                                                     |   |                    |       |   |                                      |   |   |   |
| Gain on disposition of investments in Local Limited Partnerships for     |   |                    |       |   |                                      |   |   |   |
| tax purposes in excess of gain on disposition for financial              |   |                    |       |   |                                      |   |   |   |
| reporting purposes                                                       |   |                    | -          |   |                                      |   | 15,331,118 |   |
|                                                                     |   |                    |       |   |                                      |   |   |   |
| Net Income (Loss) per tax return                                         |   | $                       | (942,904   | )      |                                      | $      | 13,121,743 |   |

|                                    |   | Financial |    |   |     |   |        |        |   |
|-----------------------------------------|--------|-----------|---------|--------|----------|--------|-------------|-------------|--------|
|                                    |   | Reporting |    |   | Tax      |   |        |        |   |
|                                    |   | Purposes  |    |   | Purposes |   |        | Differences |   |
|                                    |   |      |    |   |     |   |        |        |   |
| Investment in Local Limited Partnership |   | $         | -       |   |     | $      | (39,949,107 | )           |   | $ | 39,949,107 |   |
| Other assets                            |   | $         | 238,012 |   |     | $      | 12,112,245  |        |   | $ | (11,874,233 | ) |
| Liabilities                             |   | $         | 35,770  |   |     | $      | 28,510      |        |   | $ | 7,260 |   |

----

|                                    |   | Financial |    |   |     |   |        |        |   |
|-----------------------------------------|--------|-----------|---------|--------|----------|--------|-------------|-------------|--------|
|                                    |   | Reporting |    |   | Tax      |   |        |        |   |
|                                    |   | Purposes  |    |   | Purposes |   |        | Differences |   |
|                                    |   |      |    |   |     |   |        |        |   |
| Investment in Local Limited Partnership |   | $         | -       |   |     | $      | (39,123,531 | )           |   | $ | 39,123,531 |   |
| Other assets                            |   | $         | 382,008 |   |     | $      | 12,278,081  |        |   | $ | (11,896,073 | ) |
| Liabilities                             |   | $         | 46,110  |   |     | $      | 50,745      |        |   | $ | (4,635 | ) |