UNITED STATES

                  SECURITIES AND EXCHANGE COMMISSION

                        Washington, D.C. 20549

                              FORM 10-Q

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

             For the quarterly period ended June 30, 1999

                                  OR

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

         For the transition period from _________ to ________.

                    Commission File Number 2-43162

       URBAN IMPROVEMENT FUND LIMITED - 1972
       (Exact name of registrant as specified in its charter)

              California                                 95-6448384
    State or other jurisdiction of                    (I.R.S. Employer
    incorporation or organization                   Identification No.)

  1201 Third Avenue, Suite 5400, Seattle, Washington        98101 3076
    (Address of principal executive offices)                (ZIP code)

    Registrant's telephone number, including area code:  (206) 622-9900


Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months and (2) has been subject to such
filing requirements for the past 90 days.  Yes X       No

<PAGE>

                  PART I   FINANCIAL INFORMATION

                    Item 1   Financial Statements

                            BALANCE SHEETS

                URBAN IMPROVEMENT FUND LIMITED - 1972
                       (A Limited Partnership)

<TABLE>
<CAPTION>
                                 ASSETS

                                     June 30,               December 31,
                                       1999                     1998
<S>                                 <C>                       <C>

Cash                                $     567               $    1,176

Due from affiliates                       -0-                   15,335

Distribution receivable                   -0-                   32,335

Investments in and
 advances to Local
 Limited Partnerships
 accounted for on the
 equity method                            -0-                     -0-

       Total Assets                $      567              $   48,846


                     LIABILITIES AND PARTNERS' (DEFICIT)

Accounts payable                   $   10,000              $   18,200

Management fee payable                820,833                 800,833

Payable to affiliates                 545,238                 558,586

Distribution payable                      641                     641

 Total Liabilities                  1,376,712               1,378,260

Partners' (Deficit):
 General Partner -
5 Partnership units
 authorized, issued
 and outstanding                       (1,182)                (1,142)

 Limited Partners -
 5,830 Partnership units
 authorized, issued and
 outstanding                       (1,374,963)            (1,328,272)
                                   (1,376,145)            (1,329,414)

Total Liabilities and Partners'
(Deficit)                          $      567             $   48,846
</TABLE>

Unaudited.  See accompanying notes.
<PAGE>

                 CAPITALIZATION AND PARTNERS' (DEFICIT)

                 URBAN IMPROVEMENT FUND LIMITED - 1972
                        (A Limited Partnership)

<TABLE>
<CAPTION>
                                       June 30,                 December 31,
                                         1999                       1998
<S>                                     <C>                      <C>
General Partner Interest -
 5 Partnership units
 issued and outstanding              $     5,000              $     5,000

Limited Partners' Interest -
5,830 Partnership units
issued and outstanding                 5,830,000                5,830,000

 Total                                 5,835,000                5,835,000

 Offering Expenses                      (641,492)                (641,492)

 Distributions to partners              (271,214)                (271,214)

Accumulated loss through
  December 31, 1998                   (6,251,708)              (6,251,708)

Loss for the six-month
 period ended June 30, 1999              (46,731)                     -0-
                                      (6,298,439)              (6,251,708)

Partners' (deficit) at
 end of period                       $(1,376,145)             $(1,329,414)
</TABLE>

Unaudited.  See accompanying notes
<PAGE>


                          STATEMENTS OF INCOME
                   URBAN IMPROVEMENT FUND LIMITED - 1972
                         (A Limited Partnership)

<TABLE>
<CAPTION>
                              For the Three-Month      For the Six-month
                                 Period Ended             Period Ended
                                    June 30,                 June 30,
                              1999          1998       1999          1998
<S>                           <C>            <C>        <C>           <C>

Revenues                   $     274      $     -0-   $     417    $    -0-

Cost and expenses:

 Professional fees             5,000          3,175      10,000       6,350

 Management fee               10,000         10,000      20,000      20,000

 Other expenses                  136            817         136         817
                              15,136         13,992      30,136      27,167

Loss before equity
 in loss of Local
 Limited Partnerships        (14,862)       (13,992)    (29,719)    (27,167)

Equity in loss of
 Local Limited
 Partnerships                (17,012)        15,984     (17,012)     15,984

Net income (loss)          $ (31,874)     $   1,992   $ (46,731)  $ (11,183)

Allocation of Net Loss:

 Net income (loss)
 allocated to
 General Partner           $     (28)    $        1    $    (40)   $   (10)

Net income (loss)
 allocated to Limited
 Partners                    (31,846)         1,991     (46,691)   (11,173)

                           $ (31,874)     $   1,992   $ (46,731) $ (11,183)

Net loss allocated
 to Limited Partners
 per Limited  Partner-
 ship Unit (5,830 units
 outstanding at June 30,
 1999 and 1998)            $      (6)     $     -0-   $      (8) $     (2)
</TABLE>

Unaudited.  See accompanying notes.
<PAGE>

                         STATEMENTS OF CASH FLOWS
                   URBAN IMPROVEMENT FUND LIMITED - 1972
                          (A Limited Partnership)

<TABLE>
<CAPTION>
                               For the Three-Month      For the Six-month
                                  Period Ended            Period Ended
                                     June 30,                June 30,
                              1999          1998       1999          1998
<S>                           <C>            <C>        <C>           <C>

CASH FLOWS FROM
OPERATING ACTIVITIES:
 Net income (loss)        $ (31,874)       $1,992    $(46,731)     $(11,183)
 Adjustments to
 reconcile net
 income (loss) to
 net cash used by
 operating activities:
 Equity in income
 of local limited
 partnerships                 1,702       (15,983)     17,012      (15,984)
 Decrease in
 distribution
 receivable                     -0-           -0-      32,335          -0-
 Decrease (increase)
 in receivable from
 affiliates                     -0-         9,123         -0-        9,123
 Increase (decrease) in
 accounts payable, man-
 agement fees payable
 and payable to affiliates      -0-       (16,827)     13,787       (3,651)
   Total adjustments         17,012       (23,687)     63,134      (10,512)

 Net cash used by
 operating activities       (14,862)      (21,695)     16,403      (21,695)

CASH FLOWS FROM
INVESTING ACTIVITIES:
 Distributions                7,946        23,369       7,946       23,369
 Net advances paid
 to by local limited
 partnerships               (24,958)       (7,385)    (24,958)      (7,385)
 Net cash provided
 by investing
 activities                 (17,012)       15,984     (17,012)      15,984

NET INCREASE
 (DECREASE) IN
 CASH AND CASH
 EQUIVALENTS                (31,874)       (5,711)       (609)      (5,711)

CASH BALANCE
 AT BEGINNING
 OF PERIOD                   32,441         7,247        1,176       7,247

CASH BALANCE
 AT END OF PERIOD         $     567    $    1,536    $     567   $   1,536
</TABLE>

Unaudited.  See accompanying notes.
<PAGE>

                      NOTES TO SUMMARIZE FINANCIAL INFORMATION
                                      June 30, 1999

                       URBAN IMPROVEMENT FUND LIMITED - 1972
                                (A Limited Partnership)

Note 1 - Organization - Urban Improvement Fund Limited (the Partnership)
was formed under the California Uniform Limited Partnership Act on February
22, 1972, for the principal purpose of investing in other limited
partnerships (Local Limited Partnerships), which own federal and state-
assisted housing projects.  The Partnership issued 5,830 units of limited
partnership interest pursuant to a public offering of such units which
terminated on December 31, 1972.  The Partnership also issued five units
of general partnership interest to Interfinancial Real Estate Management
Company (the General Partner).  For income tax and financial reporting
purposes, profits and losses are allocated .08659 percent to the General
Partner and 99.91341 percent to the Limited Partners.

Note 2 - Method of Accounting - Initial rent-up fees paid by the
Partnership to the General Partner, deducted when paid for income tax
purposes, are capitalized as acquisition costs of the Local Limited
Partnerships for financial reporting purposes.  These costs and other costs
of acquisition are amortized using the straight-line method over the lives
(fifteen to forty years) of the Local Limited Partnership Properties.
Amortization is discontinued when the investment is reduced to zero.

Repayment of advances and cash distributions by the Local Limited
Partnerships, after the Partnership investment has been reduced to zero,
are recognized as income by the Partnership in the period received.
Additional advances to Local Limited Partnership, after an investment is
reduced to zero, are recognized as losses in the period paid.
<PAGE>

The unaudited interim financial statements furnished in this report reflect
all adjustments which are, in the opinion of management, necessary to a
fair statement of the results for the interim periods presented.  All such
adjustments are of a normal recurring nature.

Taxes on Income
No provision for taxes on income is required since all taxable income or
loss of the Partnership is allocated to the partners for inclusion in their
respective tax returns.

Cash Equivalents
Marketable securities that are highly liquid and have maturities of three
months or less at the date of purchase are classified as cash equivalents.

Note 3 - Management of Urban Improvement Fund Limited
Under the terms of the Limited Partnership Agreement (as amended), the
Partnership is required to pay the General Partner an annual management
fee equal to three tenths of one percent of invested assets or $64,325 (the
fee will not be more than fifty percent of the Partnership's annual net cash
flow as defined, subject to an annual minimum of $40,000).  This fee was
not payable during the first six years unless annual tax deductions plus
cash distributions aggregated $550 per unit on a cumulative basis.  The
required level of tax deductions was not achieved; and, accordingly, the
fee was not paid for those years.  However, fees of $240,000 were
recorded as a liability to the General Partner.  Management fees totaling
$580,833 for subsequent years have been accrued to the General Partner
because cash flow was not sufficient to pay the fees.  The Partnership will
also pay the General Partner a liquidation fee for the sale of projects.
<PAGE>

The General Partner of the partnership is a corporation in which Paul H.
Pfleger has a majority interest.  Partnership Services, Inc. (PSI), another
corporation in which Paul H. Pfleger is a majority shareholder, has
contracted with the General Partner and the Partnership to provide certain
management and other services in any projects in which the Partnership
has an interest.  In addition, as shown in the following table, PSI has
become the General Partner in three of the Local Limited Partnerships in
which the Partnership has investments.

<TABLE>
<CAPTION>
<S>                                                 <C>
         Date PSI Became
     Local Limited Partnership                     General Partner

 (1) Alms Hill Apartments Limited                   December 1977

     Angeles Apartments Associates, No. 1           December 1975

     Angeles Apartments Associates, No. 2           December 1975
<FN>
<F1>
(1)  This property was sold through a resyndication during August, 1984.
</FN>
</TABLE>

Note 4 - Investments in Local Limited Partnerships - As of June 30, 1999
and 1998, the Partnership has investments in four active real estate
Limited Partnerships (Local Limited Partnerships), which are accounted
for on the equity method.  The investment account represents the sum of
the capital investment, advances and unamortized costs of acquisition less
the Partnership's share of losses since the date of acquisition.  The
Partnership discontinues recognizing losses and amortizing cost of
acquisition under the equity method when the investment in a particular
Local Limited Partnership is reduced to zero unless the Partnership intends
to commit additional funds to the Local Limited Partnership.
<PAGE>

The Partnership has an investment in one Limited Partnership that sold its
real estate during 1984.  This Partnership (Alms Hill Apartments, Ltd.)
holds a note receivable for a portion of the sales proceeds.

The investment in Local Limited Partnerships is comprised of:
<TABLE>
<CAPTION>
                                   June 30, 1999          December 31, 1998
<S>                                <C>                       <C>

Capital contributions             $ 1,054,287             $   1,054,287

Distributions                        (580,810)                 (572,684)

Equity in loss                       (779,851)                 (763,019)

Advances                               39,025                    14,067

Unamortized costs
 of acquisitions                      267,349                   267,349

                                  $       -0-               $       -0-
</TABLE>

         Item 2 - Management's Discussion and Analysis of
          Financial Condition and Results of Operations.

The Partnership has followed the practice of investing available funds not
used in the purchase of properties or in operations into short-term
investments.  Revenues resulted from such short-term investments.  The
Partnership is dependent upon interest earned and the distributions and
repayment of advances from Local Limited Partners for cash flow.

Under the terms of the Limited Partnership Agreement (as amended), the
Partnership is required to pay the General Partner an annual management
fee equal to three tenths of one percent of invested assets or $64,325 (the
fee will not be more than fifty percent of the Partnership's annual net cash
flow as defined, subject to an annual minimum of $40,000).  The
Partnership recorded management fee expense of $20,000 for the
six-month period ended June 30, 1999 and 1998.
<PAGE>

The components of the Partnership's equity in net income (loss) of the
local limited partnership for June 30, 1999 and 1998 is summarized as
follows:

<TABLE>
<CAPTION>
                             For the Three-Month         For the Six-month
                                Period Ended                Period Ended
                                   June 30,                    June 30
                             1999          1998          1999         1998
<S>                          <C>           <C>            <C>          <C>

Distributions received
 from Partnership with
 zero  investment:
  Lakewood Apartments    $  7,946      $     -0-     $    7,946    $     -0-
  Angeles II                  -0-         23,369            -0-       23,369
                            7,946         23,369          7,946       23,369

Repayment from
 (advances to)
 Partnerships with
 zero investment:
  Angeles I               (13,078)        (7,385)       (13,078)     (7,385)
  Angeles II              (11,880)           -0-        (11,880)        -0-
                          (24,958)        (7,385)       (24,958)     (7,385)

                         $(17,012)       $15,984      $ (17,012)  $  15,984
</TABLE>

Note 5 - Subsequent Events

The Partnership is currently negotiating the sale of Angeles I and Angeles
II.  The sale is expected to occur during August 1999.
<PAGE>

                   PART II   OTHER INFORMATION

Items 1 through 5 not applicable
Item 6 Exhibits and Reports on Form 8-K
       a) None
       b) The registrant has not filed a report on Form 8-K during the quarter
          ending June 30, 1999.

<PAGE>

                            SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.




                         URBAN IMPROVEMENT FUND LIMITED - 1972
                                       (Registrant)
                         By:  Interfinancial Real Estate Management
                                  Company, General Partner



Date August 13, 1999                        Michael Fulbright
                                               (Signature)
                                  By:  Michael Fulbright, Secretary



Date August 13, 1999                          John M. Orehek
                                                (Signature)
                                  By: John M. Orehek, Senior Vice President

<PAGE>