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 September 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)

                                       ASSETS
<TABLE>
<CAPTION>
<S>                                 <C>                       <C>
                                    September 30,             December 31,
                                        1999                      1998

Cash                                $     417                  $    1,176

Due from affiliates                       -0-                      15,335

Distribution receivable             1,658,635                      32,335

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

       Total Assets                $1,659,052                  $   48,846


                           LIABILITIES AND PARTNERS' (DEFICIT)

Accounts payable                   $   12,520                  $   18,200

Management fee payable                830,833                     800,833

Payable to affiliates                 547,568                     558,586

Distribution payable                      641                         641

  Total Liabilities                 1,391,562                   1,378,260

Partners' (Deficit):
 General Partner - 5 Partnership
 units authorized, issued and
 outstanding                              241                      (1,142)

 Limited Partners - 5,830
 Partnership units authorized,
 issued and outstanding               267,249                  (1,328,272)
                                      267,490                  (1,329,414)

 Total Liabilities and
 Partners' (Deficit)               $1,659,052                  $   48,846
</TABLE>

Unaudited.  See accompanying notes.
<PAGE>

                      CAPITALIZATION AND PARTNERS' (DEFICIT)

                       URBAN IMPROVEMENT FUND LIMITED - 1972
                              (A Limited Partnership)


<TABLE>
<CAPTION>
<S>                                  <C>                       <C>
                                     September 30,             December 31,
                                         1999                      1998

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)

Gain for the nine-month period
  ended September 30, 1999             1,596,904                       -0-
                                      (4,654,804)               (6,251,708)

Partners' (deficit) at end
 of period                         $     267,490              $ (1,329,414)
</TABLE>



Unaudited.  See accompanying notes
<PAGE>

                                       STATEMENTS OF INCOME
                              URBAN IMPROVEMENT FUND LIMITED - 1972
                                       (A Limited Partnership)
<TABLE>
<CAPTION>
<S>                        <C>             <C>           <C>           <C>
                            For the Three-Month          For the Nine-month
                                Period Ended                 Period Ended
                                September 30,                September 30,
                            1999           1998          1999           1998

Revenues                $      -0-     $       13     $      417   $      13

Cost and expenses:

  Professional fees          5,000           3,175        15,000       9,525

  Management fee            10,000          10,000        30,000      30,000

  Other expenses               -0-              34           136         851
                            15,000          13,209        45,136      40,376

Loss before equity in
 loss of Local Limited
 Partnerships              (15,000)        (13,196)      (44,719)    (40,363)

Equity in loss of Local
  Limited Partnerships   1,658,635          (4,145)    1,641,623      11,839

Net income (loss)       $1,643,635      $  (17,341)   $1,596,904   $  28,524

Allocation of Net Loss:

 Net income (loss)
 allocated to General
 Partner                $    1,423      $      (15)   $    1,383   $     (25)

 Net income (loss)
 allocated to Limited
 Partners                1,642,212          (17,326)   1,595,521     (28,499)

                        $1.643,635      $   (17,341)  $1,596,904   $ (28,254)

Net loss allocated to
 Limited Partners per
 Limited  Partnership
 Unit (5,830 units out-
 standing at September 30,
 1999 and 1998)         $      282       $         2  $      274    $     (4)
</TABLE>

Unaudited.  See accompanying notes.
<PAGE>

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

<TABLE>
<CAPTION>
<S>                             <C>           <C>         <C>          <C>
                                For the Three-Month       For the Nine-month
                                    Period Ended             Period Ended
                                    September 30,            September 30,
                                1999           1998       1999          1998
CASH FLOWS FROM
 OPERATING ACTIVITIES:
  Net income (loss)         $ 1,643,635   $  (17,341)  $ 1,596,904  $  (28,524)
  Adjustments to reconcile
   net income (loss) to net
   cash used by operating
   activities:
  Equity in income of local
   limited partnerships      (1,658,635)       4,145    (1,641,623)    (11,839)
  Decrease (increase) in
   distribution receivable   (1,658,635)         -0-    (1,626,300)        -0-
  Decrease (increase) in
   receivable from affiliates       -0-        4,147        15,335      13,270
  Increase (decrease) in
   accounts payable, man-
   agement fees payable and
   payable to affiliates         14,850       13,175        13,302       9,524
       Total adjustments     (3,302,420)      21,467    (3,239,286)     10,955

         Net cash used
         by operating
         activities          (1,658,785)       4,126    (1,642,382)    (17,569)

CASH FLOWS FROM
INVESTING ACTIVITIES:
 Distributions                1,619,610          -0-     1,627,556      23,369
 Net advances paid to by
  local limited partnerships     39,025       (4,145)       14,067     (11,530)
         Net cash provided
         by investing
         activities           1,658,635       (4,145)    1,641,623      11,839

NET INCREASE (DECREASE)
  IN CASH AND CASH
  EQUIVALENTS                      (150)         (19)         (759)     (5,730)

CASH BALANCE AT
 BEGINNING OF PERIOD                567         1,536        1,176       7,247

CASH BALANCE AT
 END OF PERIOD              $       417    $    1,517  $       417  $    1,517
</TABLE>

Unaudited.  See accompanying notes.
<PAGE>

                NOTES TO SUMMARIZE FINANCIAL INFORMATION
                            September 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 $590,833 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>                                          <C>
                                                            Date PSI Became
               Local Limited Partnership                    General Partner

          (1) Alms Hill Apartments Limited                  December 1977

          (2) Angeles Apartments Associates, No. 1          December 1975

          (2) Angeles Apartments Associates, No. 2          December 1975
</TABLE>

(1)  This property was sold through a resyndication during August 1984.
(2) These properties were sold on August 28, 1999.

Note 4 - Investments in Local Limited Partnerships - As of September 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>
<CAPTIONS>
<S>                             <C>                        <C>
                                September 30, 1999         December 31, 1998

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

Distributions                        (2,200,240)                  (572,684)

Equity in loss                          972,519                   (763,019)

Advances                                    -0-                     14,067

Unamortized costs of acquisitions       173,434                    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 $30,000 for the nine-month period ended September 30,
1999 and 1998
<PAGE>

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

<TABLE>
<CAPTION>
<S>                         <C>             <C>          <C>           <C>
                             For the Three-Month          For the Nine-month
                                 Period Ended                Period Ended
                                 September 30,               September 30,
                             1999            1998        1999          1998
Distributions received from
 Partnership with zero
 investment:
  Lakewood Apartments    $      -0-     $     -0-     $     7,946  $     -0-
  Angeles I                1,075,794          -0-       1,075,794        -0-
  Angeles II                 543,817          -0-         543,817     23,369
                           1,619,611          -0-       1,627,557     23,369

Repayment from (advances
 to) Partnerships with
 zero investment:
  Angeles I                   23,570        (4,145)        10,492    (11,530)
  Angeles II                  15,454           -0-          3,574        -0-
                              39,024        (4,145)        14,066    (11,530)

                          $1,658,635     $  (4,145)    $1,641,623  $  11,839
</TABLE>

Angeles I and Angeles II sold their real property on August 28, 1999.  The
sale resulted in net proceeds to the Partnership of approximately $1,695,000
including the repayment of advances of $39,025.
<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 September 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  December 7, 1999                             Michael Fulbright
                                                      (Signature)
                                          By:  Michael Fulbright, Secretary



Date  December 7, 1999                            John M. Orehek
                                                   (Signature)
                                   By: John M. Orehek, Senior Vice President
<PAGE>