----

**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**Washington,      D.C. 20549**

**FORM      10-QSB**

|   | **MAXUS                REALTY TRUST, INC.**                                      |   |
|--------|----------------------------------------------------------------------------------|--------|
|   | (Exact                name of small business issuer as specified in its charter) |   |

|   | Missouri                                       |   | 43-1339136                            |   |
|--------|------------------------------------------------|--------|---------------------------------------|--------|
|   | (State                or other jurisdiction of |   | (I.R.S.                Employer       |   |
|   | incorporation                or organization)  |   | Identification                Number) |   |

|   | 104                Armour, North Kansas City, Missouri 64116 |   |
|--------|--------------------------------------------------------------|--------|
|   | (Address                of principal executive offices)      |   |

|   | (816)                303-4500                                   |   |
|--------|-----------------------------------------------------------------|--------|
|   | (Issuer's                telephone number, including area code) |   |

----

| INDEX                        |                                                                           |   |
|------------------------------|--------------------------------------------------------------------------------|--------|
|                         |                                                                           |   |
|                         |                                                                           | Page   |
| PART                I -      | FINANCIAL                INFORMATION                                           |   |
|                         |                                                                           |   |
| ITEM                1.       | FINANCIAL                STATEMENTS:                                           |   |
|                         | Consolidated                Balance Sheets                                     | 3      |
|                         | Consolidated                Statements of Operations                           | 4      |
|                         | Consolidated                Statements of Cash Flows                           | 5      |
|                         |                                                                           |   |
| ITEM                2.       | MANAGEMENT’S                DISCUSSION AND ANALYSIS OR PLAN OF OPERATION | 10     |
|                         |                                                                           |   |
| ITEM                3.       | CONTROLS                AND PROCEDURES                                         | 18     |
|                         |                                                                           |   |
| PART                II -     | OTHER                INFORMATION                                               |   |
|                         |                                                                           |   |
| ITEM                1.       | LEGAL                PROCEEDINGS                                               | 18     |
| ITEM                2.       | UNREGISTERED                SALES OF EQUITY SECURITIES AND USE OF PROCEEDS     | 19     |
| ITEM                3.       | DEFAULTS                UPON SENIOR SECURITIES                                 | 19     |
| ITEM                4.       | SUBMISSION                OF MATTERS TO A VOTE OF SECURITY HOLDERS             | 19     |
| ITEM                5.       | OTHER                INFORMATION                                               | 19     |
| ITEM                6.       | EXHIBITS                                                                       | 19     |
|                         |                                                                           |   |
| SIGNATURES                   | 20                                                                             |
| EXHIBIT                INDEX | 21                                                                             |

----

|                                                                           |   | June                30, |        | December                31, |   |
|--------------------------------------------------------------------------------|--------|-------------------------|-------------|-----------------------------|--------|
|                                                                           |   | 2006                    |        | 2005                        |   |
| Assets                                                                         |   | (Unaudited)             |        |                        |   |
| Investment                property:                                            |   |                    |        |                        |   |   |   |
| Land                                                                           |   | $                       | 1,420,000   |                        |   | 1,420,000 |   |
| Buildings                and improvements                                      |   |                    | 38,255,000  |                        |   | 38,200,000 |   |
| Personal                property                                               |   |                    | 3,090,000   |                        |   | 2,961,000 |   |
|                                                                           |   |                    | 42,765,000  |                        |   | 42,581,000 |   |
|                                                                           |   |                    |        |                        |   |   |   |
| Less                accumulated depreciation                                   |   |                    | (6,463,000  | )                           |   | (5,527,000 | ) |
|                                                                           |   |                    |        |                        |   |   |   |
| Total                investment property, net                                  |   |                    | 36,302,000  |                        |   | 37,054,000 |   |
|                                                                           |   |                    |        |                        |   |   |   |
| Cash                                                                           |   |                    | 2,939,000   |                        |   | 2,009,000 |   |
| Escrows                and reserves                                            |   |                    | 1,228,000   |                        |   | 936,000 |   |
| Note                receivable                                                 |   |                    | 4,068,000   |                        |   | 4,091,000 |   |
| Accounts                receivable                                             |   |                    | 5,000       |                        |   | 6,000 |   |
| Prepaid                expenses and other assets                               |   |                    | 333,000     |                        |   | 227,000 |   |
| Intangible                assets, net                                          |   |                    | ---         |                        |   | 98,000 |   |
| Deferred                expenses, less accumulated amortization                |   |                    | 281,000     |                        |   | 306,000 |   |
| Total                assets of continuing operations                           |   | $                       | 45,156,000  |                        |   | 44,727,000 |   |
| Assets                of discontinued operations - property held for sale      |   |                    | 6,128,000   |                        |   | 9,931,000 |   |
| Total                assets                                                    |   | $                       | 51,284,000  |                        |   | 54,658,000 |   |
|                                                                           |   |                    |        |                        |   |   |   |
| Liabilities                and Shareholders’ Equity                      |   |                    |        |                        |   |   |   |
| Liabilities:                                                                   |   |                    |        |                        |   |   |   |
| Mortgage                notes payable                                          |   | $                       | 29,131,000  |                        |   | 29,373,000 |   |
| Note                payable                                                    |   |                    | 4,068,000   |                        |   | 4,091,000 |   |
| Accounts                payable, prepaid rent and accrued expenses             |   |                    | 912,000     |                        |   | 894,000 |   |
| Real                estate taxes payable                                       |   |                    | 425,000     |                        |   | 256,000 |   |
| Refundable                tenant deposits                                      |   |                    | 209,000     |                        |   | 200,000 |   |
| Other                accrued liabilities                                       |   |                    | 526,000     |                        |   | 741,000 |   |
| Total                liabilities of continuing operations                      |   | $                       | 35,271,000  |                        |   | 35,555,000 |   |
| Liabilities                of discontinued operations - property held for sale |   |                    | 5,132,000   |                        |   | 8,163,000 |   |
| Total                liabilities                                               |   | $                       | 40,403,000  |                        |   | 43,718,000 |   |
|                                                                           |   |                    |        |                        |   |   |   |
| Minority                interest                                               |   | $                       | 627,000     |                        |   | 629,000 |   |
| Shareholders’                equity:                                     |   |                    |        |                        |   |   |   |
| Common                stock, $1 par value; Authorized 5,000,000 shares,        |   |                    |        |                        |   |   |   |
| issued                and outstanding 1,401,000 and 1,401,000 shares           |   |                    |        |                        |   |   |   |
| in                2006 and 2005, respectively                                  |   |                    | 1,401,000   |                        |   | 1,401,000 |   |
| Preferred                Stock, $0.01 par value; Authorized 5,000,000 shares,  |   |                    |        |                        |   |   |   |
| no                shares issued and outstanding                                |   |                    | ---         |                        |   | --- |   |
| Additional                paid-in capital                                      |   |                    | 19,130,000  |                        |   | 19,130,000 |   |
| Distributions                in excess of accumulated earnings                 |   |                    | (10,277,000 | )                           |   | (10,220,000 | ) |
| Total                shareholders’ equity                                |   |                    | 10,254,000  |                        |   | 10,311,000 |   |
|                                                                           |   | $                       | 51,284,000  |                        |   | 54,658,000 |   |

----

|                                                                     |   |                             Three Months Ended |      |                             Six Months Ended |   |
|--------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------|-----------|----------------------------------------------------------------------------------------------------------|--------|
|                                                                     |   |              June                30,      |      |             June                30,          |   |                            June 30, |   |             June                30, |   |
| Income                                                                   |   |                             2006                    |      |                             2005                  |   |                             2006 |   |                             2005 |   |
| Revenues:                                                                |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |
| Rental                                                                   |   |  $                                                                                                    | 1,768,000 |                                                                                                     |   | 1,223,000 |   |   | 3,569,000 |   |   | 2,437,000 |   |
| Other                                                                    |   |                                                                                                       | 214,000   |                                                                                                     |   | 164,000 |   |   | 414,000 |   |   | 334,000 |   |
| Total                revenues                                            |   |                                                                                                       | 1,982,000 |                                                                                                     |   | 1,387,000 |   |   | 3,983,000 |   |   | 2,771,000 |   |
| Expenses:                                                                |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Depreciation                and amortization                             |   |                                                                                                       | 521,000   |                                                                                                     |   | 346,000 |   |   | 1,066,000 |   |   | 695,000 |   |
| Repairs                and maintenance                                   |   |                                                                                                       | 296,000   |                                                                                                     |   | 204,000 |   |   | 483,000 |   |   | 377,000 |   |
| Turn                costs and leasing                                    |   |                                                                                                       | 113,000   |                                                                                                     |   | 99,000 |   |   | 208,000 |   |   | 168,000 |   |
| Utilities                                                                |   |                                                                                                       | 122,000   |                                                                                                     |   | 90,000 |   |   | 261,000 |   |   | 191,000 |   |
| Real                estate taxes                                         |   |                                                                                                       | 135,000   |                                                                                                     |   | 98,000 |   |   | 278,000 |   |   | 195,000 |   |
| Insurance                                                                |   |                                                                                                       | 78,000    |                                                                                                     |   | 59,000 |   |   | 153,000 |   |   | 119,000 |   |
| Property                management fees - related parties                |   |                                                                                                       | 97,000    |                                                                                                     |   | 70,000 |   |   | 196,000 |   |   | 137,000 |   |
| Other                operating expenses                                  |   |                                                                                                       | 310,000   |                                                                                                     |   | 194,000 |   |   | 531,000 |   |   | 375,000 |   |
| General                and administrative                                |   |                                                                                                       | 114,000   |                                                                                                     |   | 121,000 |   |   | 180,000 |   |   | 231,000 |   |
| Total                operating expenses                                  |   |                                                                                                       | 1,786,000 |                                                                                                     |   | 1,281,000 |   |   | 3,356,000 |   |   | 2,488,000 |   |
|                                                                     |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Net                operating income                                      |   |                                                                                                       | 196,000   |                                                                                                     |   | 106,000 |   |   | 627,000 |   |   | 283,000 |   |
| Interest                income                                           |   |                                                                                                       | (160,000  | )                                                                                                        |   | (163,000 | ) |   | (297,000 | ) |   | (308,000 | ) |
| Interest                expense                                          |   |                                                                                                       | 581,000   |                                                                                                     |   | 457,000 |   |   | 1,159,000 |   |   | 909,000 |   |
| Loss                before minority interest and                         |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| discontinued                operations                                   |   |                                                                                                       | (225,000  | )                                                                                                        |   | (188,000 | ) |   | (235,000 | ) |   | (318,000 | ) |
| Less                minority interest in continuing operations           |   |                                                                                                       | 7,000     |                                                                                                     |   | 2,000 |   |   | 8,000 |   |   | 3,000 |   |
| Loss                from continuing operations                           |   |                                                                                                       | (218,000  | )                                                                                                        |   | (186,000 | ) |   | (227,000 | ) |   | (315,000 | ) |
| Income                (loss) from discontinued operations                |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| before                minority interest                                  |   |                                                                                                       | 130,000   |                                                                                                     |   | (93,000 | ) |   | 176,000 |   |   | 4,000 |   |
| Less                minority interest in discontinued operations         |   |                                                                                                       | (4,000    | )                                                                                                        |   | 1,000 |   |   | (6,000 | ) |   | --- |   |
| Income                from discontinued operations                       |   |                                                                                                       | 126,000   |                                                                                                     |   | (92,000 | ) |   | 170,000 |   |   | 4,000 |   |
|                                                                     |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Net                loss                                                  |   |  $                                                                                                    | (92,000   | )                                                                                                        |   | (278,000 | ) |   | (57,000 | ) |   | (311,000 | ) |
|                                                                     |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Per                share data (basic and diluted):                       |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Loss                from continuing operations                           |   |  $                                                                                                    | (0.16     | )                                                                                                        |   | (0.14 | ) |   | (0.16 | ) |   | (0.24 | ) |
| Income                (loss) from discontinued                operations |   |                                                                                                       | (0.09     | )                                                                                                        |   | (0.07 | ) |   | 0.12 |   |   | --- |   |
| Net                income (loss) per                share                |   |  $                                                                                                    | (0.07     | )                                                                                                        |   | (0.21 | ) |   | (0.04 | ) |   | (0.24 | ) |
|                                                                     |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Distributions                paid in current                year         |   |  $                                                                                                    | ---       |                                                                                                     |   | 0.25 |   |   | --- |   |   | 0.50 |   |
|                                                                     |   |                                                                                                       |      |                                                                                                     |   |   |   |   |   |   |   |   |   |
| Weighted                average shares outstanding                       |   |                                                                                                       | 1,401,000 |                                                                                                     |   | 1,297,000 |   |   | 1,401,000 |   |   | 1,296,000 |   |

----

|                                                                                                       |   |                         Six Months Ended |      |
|------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------|-----------|
|                                                                                                       |   |          June                30,    |      |                         June 30, |   |
| Cash                flows from operating activities:                                                       |   |                         2006             |      |                         2005 |   |
| Net                income (loss)                                                                           |   | $                                                                                | (57,000   | ) |   | (311,000 | ) |
| Adjustments                to reconcile net income (loss) to net cash provided by                operating |   |                                                                             |      |   |   |   |   |
| activities                of continuing operations:                                                        |   |                                                                             |      |   |   |   |   |
| Income                from discontinued operations                                                         |   |                                                                             | (176,000  | ) |   | (4,000 | ) |
| Minority                interest                                                                           |   |                                                                             | (2,000    | ) |   | (3,000 | ) |
| Depreciation                and amortization                                                               |   |                                                                             | 1,066,000 |   |   | 696,000 |   |
| Amortization                of loan premium                                                                |   |                                                                             | (63,000   | ) |   | --- |   |
| Changes                in accounts affecting operations:                                                   |   |                                                                             |      |   |   |   |   |
| Accounts                receivable                                                                         |   |                                                                             | 1,000     |   |   | (53,000 | ) |
| Prepaid                expenses and other assets                                                           |   |                                                                             | (106,000  | ) |   | (101,000 | ) |
| Escrows                and reserves                                                                        |   |                                                                             | (292,000  | ) |   | (104,000 | ) |
| Accounts                payable and other liabilities                                                      |   |                                                                             | 195,000   |   |   | 120,000 |   |
| Net                cash provided by operating activities of continuing                operations           |   |                                                                             | 566,000   |   |   | 240,000 |   |
| Net                cash provided by discontinued operations                                                |   |                                                                             | 740,000   |   |   | 181,000 |   |
| Net                cash provided by operating activities                                                   |   |                                                                             | 1,306,000 |   |   | 421,000 |   |
|                                                                                                       |   |                                                                             |      |   |   |   |   |
| Cash                flows from investing activities:                                                       |   |                                                                             |      |   |   |   |   |
| Purchase                of available for sale securities                                                   |   |                                                                             | ---       |   |   | (21,000 | ) |
| Capital                expenditures                                                                        |   |                                                                             | (184,000  | ) |   | (148,000 | ) |
| Net                cash used in investing activities of continuing operations                              |   |                                                                             | (184,000  | ) |   | (169,000 | ) |
| Net                cash used by investing activities of discontinued                operations             |   |                                                                             | (6,000    | ) |   | (21,000 | ) |
| Net                cash (used in) provided by investing activities                                         |   |                                                                             | (190,000  | ) |   | (190,000 | ) |
|                                                                                                       |   |                                                                             |      |   |   |   |   |
| Cash                flows from financing activities:                                                       |   |                                                                             |      |   |   |   |   |
| Principal                payments on mortgage notes payable                                                |   |                                                                             | (179,000  | ) |   | (195,000 | ) |
| Proceeds                from mortgage notes                                                                |   |                                                                             | ---       |   |   | 21,000 |   |
| Loan                fees                                                                                   |   |                                                                             | (7,000    | ) |   | --- |   |
| Issuance                of common stock                                                                    |   |                                                                             | ---       |   |   | 59,000 |   |
| Distributions                paid to shareholders                                                          |   |                                                                             | ---       |   |   | (653,000 | ) |
| Net                cash provided by (used in) financing activities of continuing                operations |   |                                                                             | (186,000  | ) |   | (768,000 | ) |
| Net                cash used in activities of discontinued operations                                      |   |                                                                             | ---       |   |   | (55,000 | ) |
| Net                cash provided by (used in) financing activities                                         |   |                                                                             | (186,000  | ) |   | (823,000 | ) |
| Net                increase (decrease) in cash                                                             |   |                                                                             | 930,000   |   |   | (592,000 | ) |
| Cash,                beginning of period                                                                   |   |                                                                             | 2,009,000 |   |   | 3,860,000 |   |
| Cash,                end of period                                                                         |   | $                                                                                | 2,939,000 |   |   | 3,268,000 |   |
|                                                                                                       |   |                                                                             |      |   |   |   |   |
| Supplemental                disclosure of cash flow information:                                           |   |                                                                             |      |   |   |   |   |
|   Cash                paid during                the six month period for interest               |   | $                                                                                | 1,278,000 |   |   | 1,083,000 |   |
|                                                                                                       |   |                                                                             |      |   |   |   |   |
| Supplemental                disclosure of non-cash investing and financing activities:                     |   |                                                                             |      |   |   |   |   |
| Arbor                Gate renovations financed with accounts payable                                       |   | $                                                                                | 1,302,000 |   |   | --- |   |
| Arbor                Gate renovations paid from insurance escrow account                                   |   | $                                                                                | 863,000   |   |   | --- |   |
| Arbor                Gate insurance proceeds received in escrow                                            |   | $                                                                                | 900,000   |   |   | --- |   |
| Waverly                insurance proceeds received in escrow                                               |   | $                                                                                | 186,000   |   |   | --- |   |
| Waverly                mortgage paid from insurance escrow account                                         |   | $                                                                                | 4,187,000 |   |   | --- |   |

----

** **

----

----

|                                                                                         |   |                       June 30, |      | December                31,      |   |
|----------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------|-----------|----------------------------------|--------|
|                                                                                         |   |                       2006     |      |                   2005 |   |
|                                                                                         |   |    (Unaudited)                                |      |                             |   |
| Assets                                                                                       |   |                                                         |      |                             |   |
| Investment                property                                                           |   |                                                         |      |                             |   |
|   Land                                                                             |   | $                                                            | 248,000   |                             |   | 248,000 |   |
|   Buildings                and                improvements                         |   |                                                         | 4,363,000 |                             |   | 2,573,000 |   |
|   Personal                property                                                 |   |                                                         | 293,000   |                             |   | 164,000 |   |
|   Construction                in                progress                           |   |                                                         | ---       |                             |   | 611,000 |   |
|                                                                                         |   |                                                         | 4,904,000 |                             |   | 3,596,000 |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
| Less                accumulated depreciation                                                 |   |                                                         | (255,000  | )                                |   | (214,000 | ) |
|     Total                investment property, net                        |   |                                                         | 4,649,000 |                             |   | 3,382,000 |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
| Escrows                and reserves                                                          |   |                                                         | 1,090,000 |                             |   | 5,844,000 |   |
| Insurance                claims receivable                                                   |   |                                                         | 265,000   |                             |   | 560,000 |   |
| Prepaid                expenses and other assets                                             |   |                                                         | 94,000    |                             |   | 75,000 |   |
| Deferred                expenses, less accumulated amortization                              |   |                                                         | 30,000    |                             |   | 70,000 |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
| Assets                of discontinued operations - property held for sale                    |   | $                                                            | 6,128,000 |                             |   | 9,931,000 |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
| Liabilities:                                                                                 |   |                                                         |      |                             |   |   |   |
|   Mortgage                notes                payable                             |   | $                                                            | 3,034,000 |                             |   | 7,220,000 |   |
|   Account                payable,                prepaid rent and accrued expenses |   |                                                         | 1,222,000 |                             |   | 762,000 |   |
|   Deferred                Gain                                                     |   |                                                         | 791,000   |                             |   | --- |   |
|   Real                estate taxes                payable                          |   |                                                         | 69,000    |                             |   | 172,000 |   |
|   Refundable                tenant                deposits                         |   |                                                         | 16,000    |                             |   | 9,000 |   |
|                                                                                         |   |                                                         |      |                             |   |   |   |
| Liabilities                of discontinued operations - property held for sale               |   | $                                                            | 5,132,000 |                             |   | 8,163,000 |   |

----

|                                                                                 |   |                                Three Months Ended |    |                          Six Months Ended |   |
|--------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------|---------|----------------------------------------------------------------------------------------|--------|
|                                                                                 |   |            June                30,                                    |    |                           June 30,   |   |                          June 30, |   |                          June 30, |   |
|                                                                                 |   |                           2006                                                  |    |            2005                 |   |                           2006 |   |                          2005 |   |
| Revenue:                                                                             |   |                                                                                                                         |    |                                                                                   |   |   |   |   |   |
|   Rental                                                                   |   |                                                                                                                         | 194,000 |                                                                                   |   | 365,000 |   |   | 343,000 |   |   | 713,000 |   |
|   Other                                                                    |   |                                                                                                                         | 10,000  |                                                                                   |   | 53,000 |   |   | 15,000 |   |   | 97,000 |   |
|     Total                revenues                                |   |                                                                                                                         | 204,000 |                                                                                   |   | 418,000 |   |   | 358,000 |   |   | 810,000 |   |
|                                                                                 |   |                                                                                                                         |    |                                                                                   |   |   |   |   |   |   |   |   |   |
| Expenses:                                                                            |   |                                                                                                                         |    |                                                                                   |   |   |   |   |   |   |   |   |   |
|   Depreciation                and                amortization              |   |                                                                                                                         | 11,000  |                                                                                   |   | 129,000 |   |   | 81,000 |   |   | 283,000 |   |
|   Repairs                and                maintenance                    |   |                                                                                                                         | 14,000  |                                                                                   |   | 46,000 |   |   | 30,000 |   |   | 95,000 |   |
|   Turn                costs and                leasing                     |   |                                                                                                                         | 3,000   |                                                                                   |   | 17,000 |   |   | 4,000 |   |   | 46,000 |   |
|   Utilities                                                                |   |                                                                                                                         | 10,000  |                                                                                   |   | 36,000 |   |   | 20,000 |   |   | 68,000 |   |
|   Real                estate                taxes                          |   |                                                                                                                         | 35,000  |                                                                                   |   | 35,000 |   |   | 37,000 |   |   | 62,000 |   |
|   Insurance                                                                |   |                                                                                                                         | 23,000  |                                                                                   |   | 24,000 |   |   | 47,000 |   |   | 54,000 |   |
|   Property                management                fees - related parties |   |                                                                                                                         | 10,000  |                                                                                   |   | 21,000 |   |   | 18,000 |   |   | 41,000 |   |
|   Other                operating                expenses                   |   |                                                                                                                         | 24,000  |                                                                                   |   | 47,000 |   |   | 48,000 |   |   | 95,000 |   |
|                                                                                 |   |                                                                                                                         |    |                                                                                   |   |   |   |   |   |   |   |   |   |
|     Total                operating expenses                      |   |                                                                                                                         | 130,000 |                                                                                   |   | 355,000 |   |   | 285,000 |   |   | 744,000 |   |
|                                                                                 |   |                                                                                                                         |    |                                                                                   |   |   |   |   |   |   |   |   |   |
| Net                operating income (loss)                                           |   |                                                                                                                         | 74,000  |                                                                                   |   | 63,000 |   |   | 73,000 |   |   | 66,000 |   |
|                                                                                 |   |                                                                                                                         |    |                                                                                   |   |   |   |   |   |   |   |   |   |
| Interest                income                                                       |   |                                                                                                                         | (5,000  | )                                                                                      |   | --- |   |   | (26,000 | ) |   | --- |   |
| Interest                expenses                                                     |   |                                                                                                                         | 48,000  |                                                                                   |   | 92,000 |   |   | 137,000 |   |   | 174,000 |   |
| Income                (loss) from discontinued operations -ACI                       |   |                                                                                                                         | 99,000  |                                                                                   |   | (64,000 | ) |   | 214,000 |   |   | 112,000 |   |
| Income                (loss) from discontinued operations                            |   | $                                                                                                                            | 130,000 |                                                                                   |   | (93,000 | ) |   | 176,000 |   |   | 4,000 |   |

----

** **

----

** **

----

** **
** **

** **

----

| PROPERTY                                                                                                          |   | #                UNITS |   | TYPE       |   | LOCATION                             |   | PURCHASE                DATE   |
|-------------------------------------------------------------------------------------------------------------------|--------|------------------------|--------|------------|--------|--------------------------------------|--------|--------------------------------|
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Arbor                Gate Apartments(“Arbor                Gate”)                                     |   | 120                    |   | Apartments |   | Picayune,                MS          |   | September,                2004 |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Barrington                Hills Apartments(“Barrington                Hills”)                         |   | 232                    |   | Apartments |   | Little                Rock, AR       |   | November,                2001  |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Bicycle                Club Apartments(“Bicycle                Club”)                                 |   | 312                    |   | Apartments |   | North                Kansas City, MO |   | July,                2005      |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Chalet                Apartments - I and II(“Chalet”)                                                 |   | 234                    |   | Apartments |   | Topeka,                KS            |   | September,                2001 |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Forest                Park Apartments(“Forest                Park”)(f.k.a.                North Winn) |   | 110                    |   | Apartments |   | Kansas                City, MO       |   | August,                2000    |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| King’s                Court Apartments (1)(“King’s                Court”)                 |   | 82                     |   | Apartments |   | Olathe,                KS            |   | August,                2001    |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Terrace                Apartments (1)(“Terrace”)                                                      |   | 84                     |   | Apartments |   | Olathe,                KS            |   | April,                2004     |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| The                Landings Apartments(the                “Landings”)                                 |   | 154                    |   | Apartments |   | Little                Rock, AR       |   | September,                2001 |
|                                                                                                              |   |                   |   |       |   |                                 |   |                           |
| Waverly                Apartments(“Waverly”)                                                          |   | 128                    |   | Apartments |   | Bay                Saint Louis, MS   |   | September,                2004 |

*UPREIT      Structure*

----

** **
**.      **

----

|                               |   |                   Balance at   |       | Interest |   | Fixed                        |   | Due    |       |
|------------------------------------|--------|------------------------------------------|------------|----------|--------|------------------------------|--------|--------|------------|
|                               |   |   June                30, 2006 |       | Rate     |   | or                (variable) |   | Date   |       |
|                               |   |                                     |       |     |   |                         |   |   |       |
| ACI                                |   |                                     | 4,068,000  |     |   | 12.63%                       |   |   |       |   |   | August                1, 2010 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Forest                Park         |   |                                     | 2,376,000  |     |   | 5.29%                        |   |   |       |   |   | September                1, 2015 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Kings                Court/Terrace |   |                                     | 2,277,000  |     |   | 5.91%                        |   |   | (variable) |   |   | May                1, 2009 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Terrace                            |   |                                     | 1,582,000  |     |   | 6.87%                        |   |   |       |   |   | February                1, 2009 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Chalet                I            |   |                                     | 3,829,000  |     |   | 6.59%                        |   |   |       |   |   | October                1, 2008 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Chalet                II           |   |                                     | 1,444,000  |     |   | 6.54%                        |   |   |       |   |   | October                1, 2008 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| The                Landings        |   |                                     | 3,572,000  |     |   | 7.66%                        |   |   |       |   |   | September                1, 2007 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Barrington                Hills    |   |                                     | 5,481,000  |     |   | 6.04%                        |   |   |       |   |   | July                1, 2029 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Arbor                Gate          |   |                                     | 3,034,000  |     |   | 6.25%                        |   |   | (variable) |   |   | September                1, 2011 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Bicycle                Club        |   |                                     | 8,350,000  |     |   | 6.91%                        |   |   |       |   |   | March                1, 2008 |   |
|                               |   |                                     |       |     |   |                         |   |   |       |   |   |   |   |
| Total                              |   | $                                        | 36,013,000 |     |   |                         |   |   |       |   |   |   |   |

----

** **

|                                                                  |   | Three                    Months Ended               |    | Six                    Months Ended                 |   |
|-----------------------------------------------------------------------|--------|-----------------------------------------------------|---------|-----------------------------------------------------|--------|
|                                                                  |   |     June                    31, |    |     June                    31, |   |    June                    31, |   |   June                    31, |   |
|                                                                  |   |                        2006          |    |                        2005          |   |                        2006 |   |                        2005 |   |
| Net                    loss                                           |   |                                                | (92,000 | )                                                   |   | (278,000 | ) |   | (57,000 | ) |   | (311,000 | ) |
|                                                                  |   |                                                |    |                                                |   |   |   |   |   |   |   |   |   |
| Property                    related depreciation and amortization (1) |   |                                                | 532,000 |                                                |   | 475,000 |   |   | 1,147,000 |   |   | 978,000 |   |
| Funds                    from operations                              |   | $                                                   | 440,000 |                                                |   | 197,000 |   |   | 1,090,000 |   |   | 667,000 |   |

|                                      | OCCUPANCY                LEVELS AT JUNE 30, |
|-------------------------------------------|---------------------------------------------|
|                                      | 2006                                        |   | 2005 |
| Arbor                Gate                 | 97%                                         |   | 99% |
| Barrington                Hills           | 86%                                         |   | 92% |
| Bicycle                Club               | 91%                                         |   | n/a |
| Chalet                                    | 95%                                         |   | 98% |
| Forest                Park                | 94%                                         |   | 88% |
| King’s                Court/Terrace | 93%                                         |   | 90% |
| The                Landings               | 95%                                         |   | 96% |
| Waverly                                   |                  0%                    |   | 95% |

----

|   | (a) | Evaluation                of disclosure controls and                procedures. |
|--------|-----|---------------------------------------------------------------------------------|

----

|   | (b) | Changes                in internal controls |
|--------|-----|---------------------------------------------|

| PART                II | OTHER                INFORMATION |
|------------------------|----------------------------------|

| ITEM                1. | LEGAL                PROCEEDINGS: |
|------------------------|-----------------------------------|

----

| ITEM                2. | UNREGISTERED                SALES OF EQUITY SECURTIES AND USE OF                PROCEEDS |
|------------------------|------------------------------------------------------------------------------------------|

| ITEM                3. | DEFAULTS                UPON SENIOR SECURITIES |
|------------------------|------------------------------------------------|

| ITEM                5. | OTHER                INFORMATION |
|------------------------|----------------------------------|

| ITEM                6. | EXHIBITS |
|------------------------|----------|

----

|   |                           |   | MAXUS                REALTY TRUST, INC.                              |
|--------|--------------------------------|--------|----------------------------------------------------------------------|
|   |                           |   |                                                                 |
| Date:  | August                11, 2006 | By:    | /s/                David L. Johnson                                  |
|   |                           |   | David                L. Johnson                                      |
|   |                           |   | Chairman                of the Board,                                |
|   |                           |   | President                and Chief Executive Officer                 |
|   |                           |   | Trustee                                                              |
|   |                           |   |                                                                 |
| Date:  | August                11, 2006 | By:    | /s/                John W. Alvey                                     |
|   |                           |   | John                W. Alvey                                         |
|   |                           |   | Vice                President                                        |
|   |                           |   | Chief                Financial and Accounting                Officer |

----

| Exhibit |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
|---------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Number  |   | Description                                                                                                                                                                                                                                                                                                                                                                                                             |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
| 3.1     |   | Articles                of Incorporation of the Registrant, as amended, are incorporated                by                reference to Exhibit 3.1 to the Registrant's Quarterly Report on                Form                10-QSB for the quarter ended June 30, 2005, as filed pursuant to                Rule                13a-13 under the Securities Exchange Act of 1934 (File No.                000-13754). |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
| 3.2     |   | Bylaws                of the Registrant, as amended, are incorporated by reference to Exhibit                3.2, to the Registrant's Quarterly Report on Form 10-QSB for the                quarter                ended March 31, 2005, as filed pursuant to Rule 13a-13 under the                Securities Exchange Act of 1934 (File No. 0000-13754).                                                              |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
| 31.1    |   | Certification                of the Chief Executive Officer Pursuant to Section 302 of the                Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                    |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
| 31.2    |   | Certification                of the Chief Financial Officer Pursuant to Section 302 of the                Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                    |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
| 32.1    |   | Certification                of the Chief Executive Officer Pursuant to Section 906 of the                Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                                   |
|    |   |                                                                                                                                                                                                                                                                                                                                                                                                                    |
| 32.2    |   | Certification                of the Chief Financial Officer Pursuant to Section 906 of the                Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                                   |