SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   Form 10-KSB
(Mark One)
[X]   ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
         1934

                   For the fiscal year ended December 31, 2002

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

                    For the transition period from _________to _________

                         Commission file number 0-10435

                           CENTURY PROPERTIES FUND XVI
                 (Name of small business issuer in its charter)

         California                                             94-2704651
(State or other jurisdiction of                               (I.R.S. Employer
 incorporation or organization)                             Identification No.)

                          55 Beattie Place, PO Box 1089
                        Greenville, South Carolina 29602
                    (Address of principal executive offices)

                    Issuer's telephone number (864) 239-1000

               Securities registered under Section 12(b) of the Exchange Act:

                                      None

               Securities registered under Section 12(g) of the Exchange Act:

                            Limited Partnership Units
                                (Title of class)

Check  whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the  Exchange  Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports),  and (2) has been
subject to such filing requirements for the past 90 days. Yes X No___

Check if there is no disclosure of delinquent  filers in response to Item 405 of
Regulation S-B contained in this form, and no disclosure  will be contained,  to
the best of the  registrant's  knowledge  in  definitive  proxy  or  information
statements  incorporated  by  reference  in Part III of this Form  10-KSB or any
amendment to this Form 10-KSB. [X]

State issuer's revenues for its most recent fiscal year.  $3,294,000

State the aggregate  market value of the voting  partnership  interests  held by
non-affiliates  computed  by  reference  to the price at which  the  partnership
interests  were sold,  or the average bid and asked  prices of such  partnership
interests, as of December 31, 2002. No market exists for the limited partnership
interests of the Registrant,  and,  therefore,  no aggregate market value can be
determined.

                       DOCUMENTS INCORPORATED BY REFERENCE
                                      None


The matters discussed in this report contain certain forward-looking statements,
including, without limitation, statements regarding future financial performance
and the effect of government  regulations.  The discussions of the  Registrant's
business  and  results  of  operations,   including  forward-looking  statements
pertaining to such matters,  do not take into account the effects of any changes
to the  Registrant's  business  and results of  operations.  Actual  results may
differ  materially  from those described in the  forward-looking  statements and
will  be  affected  by  a  variety  of  risks  and  factors  including,  without
limitation:  national and local economic  conditions;  the terms of governmental
regulations that affect the Registrant and interpretations of those regulations;
the competitive  environment in which the Registrant operates;  financing risks,
including the risk that cash flows from  operations may be  insufficient to meet
required  payments of  principal  and  interest;  real estate  risks,  including
variations  of real  estate  values and the  general  economic  climate in local
markets and competition for tenants in such markets; and possible  environmental
liabilities.   Readers  should  carefully  review  the  Registrant's   financial
statements and the notes thereto,  as well as the risk factors  described in the
documents  the  Registrant  files  from  time to time  with the  Securities  and
Exchange Commission.

                                     PART I

Item 1.  Description of Business

Century  Properties  Fund  XVI  (the  "Partnership"  or  the  "Registrant")  was
organized in December 1980 as a California limited partnership under the Uniform
Limited  Partnership  Act of  the  California  Corporations  Code.  Fox  Capital
Management  Corporation (the "Managing General Partner" or "FCMC"), a California
corporation,  and Fox Realty Investors ("FRI or "Non-Managing General Partner"),
a California  general  partnership,  are the general partners of the Registrant.
NPI Equity  Investments II Inc., a Florida  corporation  ("NPI Equity"),  is the
managing  partner of FRI. Both FCMC and NPI Equity are subsidiaries of Apartment
Investment  and  Management  Company  ("AIMCO")  a publicly  traded  real estate
investment trust. The partnership  agreement provides that the Partnership is to
terminate on December 31, 2025 unless terminated prior to such date.

Beginning in August 1981 through  April 1982,  the  Registrant  offered and sold
130,000  Limited  Partnership  Units for an  aggregate of  $65,000,000.  The net
proceeds of this offering were used to acquire ten income-producing  real estate
properties.  The Registrant's  original  property  portfolio was  geographically
diversified with properties acquired in six states. The Registrant's acquisition
activities were completed in 1983, and since then, the principal activity of the
Registrant has been managing its portfolio.  During the period from 1986 through
1991, eight  multi-family  residential  properties were either sold or otherwise
disposed.  The  Registrant  continues  to own and operate two of its  originally
acquired properties. See "Item 2. Description of Properties."

The  Partnership  has no full time  employees.  The Managing  General Partner is
vested with full authority as to the general  management and  supervision of the
business and affairs of the Partnership.  The  Non-Managing  General Partner and
the limited  partners have no right to  participate in the management or conduct
of such  business and affairs.  An  affiliate  of the Managing  General  Partner
provides day-to-day property management services to the Partnership's investment
properties.

Risk Factors

The  real  estate  business  in which  the  Partnership  is  engaged  is  highly
competitive.  There are other  residential  properties within the market area of
the Partnership's properties.  The number and quality of competitive properties,
including  those which may be managed by an affiliate  of the  Managing  General
Partner in such market area,  could have a material  effect on the rental market
for apartments at the Partnership's properties and the rents that may be charged
for such  apartments.  While the Managing General Partner and its affiliates own
and/or control a significant number of apartment units in the United States such
units  represent an  insignificant  percentage of total  apartment  units in the
United States and, competition for apartments is local.

Laws benefiting  disabled persons may result in the Partnership's  incurrence of
unanticipated  expenses.  Under the Americans with  Disabilities Act of 1990, or
ADA,  all places  intended to be used by the public are required to meet certain
Federal  requirements  related to access and use by disabled persons.  Likewise,
the Fair Housing Amendments Act of 1988, or FHAA, requires apartment  properties
first occupied after March 13, 1990 to be accessible to the  handicapped.  These
and other  Federal,  state  and  local  laws may  require  modifications  to the
Partnership's   properties,   or  restrict   renovations   of  the   properties.
Noncompliance  with  these laws could  result in the  imposition  of fines or an
award of  damages  to private  litigants  and also  could  result in an order to
correct any  non-complying  feature,  which could result in substantial  capital
expenditures.   Although  the  Managing   General  Partner   believes  that  the
Partnership's   properties  are   substantially   in  compliance   with  present
requirements,  the Partnership may incur  unanticipated  expenses to comply with
the ADA and the FHAA.

Both  the  income  and  expenses  of  operating  the  properties  owned  by  the
Partnership are subject to factors outside of the Partnership's control, such as
changes in the supply and demand for similar  properties  resulting from various
market  conditions,  increases/decreases  in unemployment or population  shifts,
changes in the availability of permanent mortgage  financing,  changes in zoning
laws,  or changes in patterns or needs of users.  In  addition,  there are risks
inherent in owning and operating residential  properties because such properties
are  susceptible to the impact of economic and other  conditions  outside of the
control of the Partnership.

There have been, and it is possible there may be other, Federal, state and local
legislation  and  regulations   enacted   relating  to  the  protection  of  the
environment.  The Partnership is unable to predict the extent,  if any, to which
such new  legislation  or  regulations  might occur and the degree to which such
existing or new legislation or regulations might adversely affect the properties
owned by the Partnership.

The Partnership  monitors its properties for evidence of pollutants,  toxins and
other dangerous substances, including the presence of asbestos. In certain cases
environmental testing has been performed,  which resulted in no material adverse
conditions or liabilities.  In no case has the Partnership  received notice that
it is a potentially  responsible party with respect to an environmental clean up
site.

Insurance  coverage is becoming  more  expensive  and  difficult to obtain.  The
current  insurance market is  characterized by rising premium rates,  increasing
deductibles,  and more restrictive  coverage language.  Recent developments have
resulted in  significant  increases in insurance  premiums and have made it more
difficult to obtain  certain types of insurance.  As an example,  many insurance
carriers are excluding  mold-related  risks from their policy coverages,  or are
adding  significant  restrictions to such coverage.  Continued  deterioration in
insurance   market  place   conditions  may  have  a  negative   effect  on  the
Partnership's operating results.

A further description of the Partnership's business is included in "Management's
Discussion and Analysis or Plan of Operations" included in "Item 6" of this Form
10-KSB.

Item 2.  Description of Properties:

The following table sets forth the Registrant's investment in properties:

                               Date of
Property                       Purchase      Type of Ownership           Use

Ralston Place                   06/82     Fee ownership subject      Apartments
  Tampa, Florida                          to first mortgage (1)       200 units

Woods of Inverness              07/82     Fee ownership subject      Apartments
 Apartments                               to first mortgage (2)       272 units
  Houston, Texas

(1)      Property is held by a limited partnership in which the Partnership owns
         a 99% interest. The remaining 1% interest is owned by AIMCO Properties,
         LP which is ultimately controlled by AIMCO.

   (2)   Property is held by a Limited  Partnership which is wholly-owned by the
         Registrant.

Schedule of Properties:

Set forth below for each of the  Registrant's  properties is the gross  carrying
value,  accumulated  depreciation,  depreciable life, method of depreciation and
Federal tax basis.

<TABLE>
<CAPTION>

                               Gross
                              Carrying   Accumulated                         Federal
Property                       Value    Depreciation     Rate     Method    Tax Basis
                                  (in thousands)                          (in thousands)

<S>                          <C>         <C>           <C>                 <C>
Ralston Place                $ 6,883     $ 4,113       5-30 yrs     S/L    $ 1,480
Woods of Inverness            10,514       6,236       5-30 yrs     S/L      2,222
 Apartments                  $17,397     $10,349                           $ 3,702
</TABLE>

See  "Item  7.  Financial  Statements  -  Note  A"  for  a  description  of  the
Partnership's capitalization and depreciation policies.

Schedule of Property Indebtedness:

The  following  table  sets  forth  certain  information  relating  to the loans
encumbering the Registrant's properties.

<TABLE>
<CAPTION>

                              Principal                                      Principal
                              Balance At                                      Balance
                             December 31,  Interest    Period    Maturity      Due At
         Property                2002        Rate    Amortized     Date       Maturity
                           (in thousands)                                 (in thousands)

<S>                          <C>             <C>      <C>         <C>        <C>
Ralston Place                $ 2,126         7.88%    30 years    1/2006     $ 2,016
Woods of Inverness
 Apartments                    4,854         7.88%    30 years    1/2006       4,602
                             $ 6,980                                         $ 6,618
</TABLE>

Each  mortgage  note  payable  is  non-recourse  and  secured by a pledge of the
applicable Partnership property and the rental revenues derived therefrom.

See "Item 7. Financial  Statements - Note B" for information with respect to the
Registrant's  ability to prepay these loans and other specific details as to the
terms of the loans.

Rental Rates and Occupancy:

Average annual rental rates and occupancy for 2002 and 2001 for each property:

                                        Average Annual           Average Annual
                                         Rental Rates               Occupancy
                                   (per unit)
 Property                            2002         2001         2002        2001

 Ralston Place                     $ 6,252       $ 6,164        96%         96%
 Woods of Inverness Apartments       7,768         7,738        91%         95%

The Managing  General Partner  attributes the decrease in occupancy and Woods of
Inverness Apartments to changing market conditions and a softening economy.

As noted under "Item 1.  Description of Business",  the real estate  industry is
highly  competitive.  Both of the properties of the  Partnership  are subject to
competition  from other  apartment  complexes in the area. The Managing  General
Partner  believes  that both of the  properties  are  adequately  insured.  Each
property is an apartment  complex which leases units for lease terms of one year
or less. No residential tenant leases 10% or more of the available rental space.
Both of the  properties  are in  good  physical  condition,  subject  to  normal
depreciation and deterioration as is typical for assets of this type and age.

Real Estate Taxes and Rates:

Real estate taxes and rates in 2002 for each property were:

                                           2002            2002
                                          Taxes            Rate
                                 (in thousands)

Ralston Place                              $ 96            2.30%
Woods of Inverness Apartments               214            2.88%

Capital Improvements:

Ralston Place Apartments:  During the year ended December 31, 2002, the property
spent approximately  $139,000 in capital  expenditures  consisting  primarily of
appliance and floor covering  replacements,  structural  improvements,  plumbing
fixture  replacements,  and laundry room and maintenance building  enhancements.
These  improvements  were funded from replacement  reserves and operations.  The
Partnership  is  currently  evaluating  the  capital  improvement  needs  of the
property  for the  upcoming  year and expects to budget  approximately  $60,000.
Additional  improvements  may be  considered  during 2003 and will depend on the
physical  condition  of  the  property  as  well  as  replacement  reserves  and
anticipated cash flow generated by the property.

Woods of Inverness  Apartments:  During the year ended  December  31, 2002,  the
property  spent  approximately  $199,000  in  capital  expenditures   consisting
primarily of appliance and floor covering  replacements,  plumbing fixtures, and
building and structural  improvements.  These improvements were funded primarily
from replacement reserves, insurance proceeds and operations. The Partnership is
currently  evaluating  the capital  improvement  needs of the  property  for the
upcoming  year  and  expects  to  budget   approximately   $82,000.   Additional
improvements  may be  considered  during  2003 and will  depend on the  physical
condition of the property as well as replacement  reserves and anticipated  cash
flow generated by the property.

Item 3.  Legal Proceedings

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the  Partnership,  its Managing  General Partner and
several of their  affiliated  partnerships  and corporate  entities.  The action
purports  to  assert  claims  on  behalf  of a class  of  limited  partners  and
derivatively  on behalf  of a number  of  limited  partnerships  (including  the
Partnership)  which are named as nominal  defendants,  challenging,  among other
things,  the  acquisition  of  interests  in certain  Managing  General  Partner
entities by Insignia Financial Group, Inc. ("Insignia") and entities which were,
at one  time,  affiliates  of  Insignia;  past  tender  offers  by the  Insignia
affiliates to acquire limited partnership units;  management of the partnerships
by the  Insignia  affiliates;  and the series of  transactions  which  closed on
October 1, 1998 and February 26, 1999 whereby  Insignia and Insignia  Properties
Trust,  respectively,  were merged  into AIMCO.  The  plaintiffs  seek  monetary
damages and equitable relief, including judicial dissolution of the Partnership.
On June 25, 1998, the Managing General Partner filed a motion seeking  dismissal
of the action.  In lieu of responding  to the motion,  the  plaintiffs  filed an
amended  complaint.  The Managing General Partner filed demurrers to the amended
complaint which were heard February 1999.

Pending the ruling on such  demurrers,  settlement  negotiations  commenced.  On
November 2, 1999,  the parties  executed and filed a Stipulation  of Settlement,
settling claims, subject to court approval, on behalf of the Partnership and all
limited partners who owned units as of November 3, 1999. Preliminary approval of
the  settlement  was obtained on November 3, 1999 from the Court,  at which time
the Court set a final  approval  hearing for  December  10,  1999.  Prior to the
December  10,  1999  hearing,  the  Court  received  various  objections  to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement.  On
December 14, 1999, the Managing  General  Partner and its affiliates  terminated
the  proposed  settlement.  In  February  2000,  counsel  for some of the  named
plaintiffs filed a motion to disqualify plaintiff's lead and liaison counsel who
negotiated  the  settlement.  On June  27,  2000,  the  Court  entered  an order
disqualifying  them  from the case and an  appeal  was  taken  from the order on
October 5, 2000. On December 4, 2000, the Court  appointed the law firm of Lieff
Cabraser  Heimann & Bernstein  LLP as new lead  counsel for  plaintiffs  and the
putative class.  Plaintiffs filed a third amended complaint on January 19, 2001.
On March 2, 2001,  the  Managing  General  Partner  and its  affiliates  filed a
demurrer to the third amended  complaint.  On May 14, 2001,  the Court heard the
demurrer to the third amended  complaint.  On July 10, 2001, the Court issued an
order  sustaining  defendants'  demurrer on certain  grounds.  On July 20, 2001,
Plaintiffs filed a motion for reconsideration of the Court's July 10, 2001 order
granting in part and denying in part defendants' demurrer. On September 7, 2001,
Plaintiffs  filed a fourth amended class and  derivative  action  complaint.  On
September 12, 2001, the Court denied Plaintiffs' motion for reconsideration.  On
October 5, 2001, the Managing General Partner and affiliated  defendants filed a
demurrer to the fourth amended complaint,  which was heard on December 11, 2001.
On February 2, 2002,  the Court served its order  granting in part the demurrer.
The  Court has  dismissed  without  leave to amend  certain  of the  plaintiffs'
claims.  On February 11, 2002,  plaintiffs  filed a motion  seeking to certify a
putative  class  comprised of all  non-affiliated  persons who own or have owned
units  in  the  partnerships.   The  Managing  General  Partner  and  affiliated
defendants  oppose the motion.  On April 29,  2002,  the Court held a hearing on
plaintiffs' motion for class  certification and took the matter under submission
after further  briefing,  as ordered by the court, was submitted by the parties.
On July 10, 2002,  the Court entered an order vacating the current trial date of
January 13, 2003 (as well as the  pre-trial  and  discovery  cut-off  dates) and
stayed the case in its  entirety  through  November  7, 2002 so that the parties
could have an opportunity to discuss settlement.  On October 30, 2002, the court
entered an order extending the stay in effect through January 10, 2003.

On January 8, 2003,  the parties filed a  Stipulation  of Settlement in proposed
settlement of the Nuanes action and the Heller action described below. The Court
has  scheduled  the hearing on  preliminary  approval  for April 4, 2003 and the
hearing on final approval for June 2, 2003.

In general  terms,  the  proposed  settlement  provides  for  certification  for
settlement  purposes of a settlement class consisting of all limited partners in
this  Partnership and others (the  "Partnerships")  as of December 20, 2002, the
dismissal  with  prejudice  and  release  of claims  in the  Nuanes  and  Heller
litigation,  payment by AIMCO of $9.9  million  (which shall be  distributed  to
settlement  class  members  after  deduction of attorney fees and costs of class
counsel and certain costs of  settlement)  and up to $ 1 million toward the cost
of independent  appraisals of the Partnerships'  properties by a Court appointed
appraiser.  An affiliate of the Managing General Partner has also agreed to make
a tender offer to purchase all of the partnership  interests in the Partnerships
within one year of final  approval,  if it is granted,  and to provide  partners
with the  independent  appraisals  at the time of these  tenders.  The  proposed
settlement  also provides for the  limitation  of the allowable  costs which the
Managing  General  Partner or its  affiliates  will charge the  Partnerships  in
connection with this litigation and imposes limits on the class counsel fees and
costs in this  litigation.  If the  Court  grants  preliminary  approval  of the
proposed settlement in April, a notice will be distributed to partners providing
detail on the terms of the proposed settlement.

During the third  quarter of 2001, a complaint  (the "Heller  action") was filed
against  the same  defendants  that are named in the  Nuanes  action,  captioned
Heller v. Insignia Financial Group. On or about August 6, 2001, plaintiffs filed
a first amended  complaint.  The first amended complaint in the Heller action is
brought as a purported  derivative  action,  and asserts  claims for among other
things  breach  of  fiduciary  duty;  unfair  competition;   conversion,  unjust
enrichment;  and judicial  dissolution.  Plaintiffs in the Nuanes action filed a
motion to  consolidate  the Heller action with the Nuanes action and stated that
the Heller action was filed in order to preserve the derivative claims that were
dismissed  without  leave to amend in the Nuanes action by the Court order dated
July 10, 2001. On October 5, 2001, the Managing  General  Partner and affiliated
defendants  moved to strike the first  amended  complaint  in its  entirety  for
violating  the Court's July 10, 2001 order  granting in part and denying in part
defendants'  demurrer in the Nuanes action, or alternatively,  to strike certain
portions of the complaint based on the statute of limitations.  Other defendants
in the action  demurred to the fourth  amended  complaint,  and,  alternatively,
moved to strike the complaint. On December 11, 2001, the court heard argument on
the motions  and took the matters  under  submission.  On February 4, 2002,  the
Court  served  notice of its order  granting  defendants'  motion to strike  the
Heller complaint as a violation of its July 10, 2001 order in the Nuanes action.
On March 27, 2002,  the plaintiffs  filed a notice  appealing the order striking
the  complaint.  Before  completing  briefing on the appeal,  the parties stayed
further proceedings in the appeal pending the Court's review of the terms of the
proposed settlement described above.

The  Managing  General  Partner  does  not  anticipate  that  any  costs  to the
Partnership, whether legal or settlement costs, associated with these cases will
be material to the Partnership's overall operations.

The  Partnership is unaware of any other pending or outstanding  litigation that
is not of a routine nature arising in the ordinary course of business.

Item 4.  Submission of Matters to a Vote of Security Holders

During the quarter ended  December 31, 2002, no matters were submitted to a vote
of security holders through the solicitation of proxies or otherwise.


                                     PART II

Item 5.  Market for the Partnership's Common Equity and Related Partner Matters

The Partnership,  a publicly-held limited partnership,  offered and sold in 1981
and  1982,   130,000  Limited   Partnership  Units  (the  "Units")   aggregating
$65,000,000.  The Partnership  currently has 130,000 Units  outstanding  held by
3,473 limited  partners of record.  Affiliates of the Managing  General  Partner
owned 80,028.69  Units or 61.56% of the outstanding  Units at December 31, 2002.
No public trading market has developed for the Units,  and it is not anticipated
that such a market will develop in the future.

The following table sets forth the distributions made by the Partnership for the
years ended December 31, 2002 and 2001.

                                                Distributions
                                                           Per Limited
                                        Aggregate        Partnership Unit

       01/01/01 - 12/31/01            $  149,000 (1)         $  1.05
       01/01/02 - 12/31/02               392,000 (1)            2.80

(1) Distributions were made from operations.

Future cash  distributions  will depend on the levels of net cash generated from
operations, the availability of cash reserves and the timing of debt maturities,
refinancings  and /or property  sales.  The  Partnership's  cash  available  for
distribution is reviewed on a monthly basis.  There can be no assurance that the
Partnership  will  generate  sufficient  funds from  operations  after  required
capital  expenditures,  to  permit  distributions  to its  partners  in  2003 or
subsequent   periods.   See  "Item  2.   Description  of  Properties  -  Capital
Improvements" for information  relating to anticipated  capital  expenditures at
the properties.

In addition to its indirect  ownership of the general  partner  interests in the
Partnership,  AIMCO and its affiliates owned 80,028.69 limited partnership units
in the Partnership  representing 61.56% of the outstanding Units at December 31,
2002. A number of these Units were  acquired  pursuant to tender  offers made by
AIMCO or its  affiliates.  It is  possible  that  AIMCO or its  affiliates  will
acquire additional units of limited  partnership  interest in the Partnership in
exchange  for  cash  or a  combination  of  cash  and  units  in  the  operating
partnership of AIMCO either through  private  purchases or tender offers.  Under
the  Partnership  Agreement,  unitholders  holding a  majority  of the Units are
entitled to take action with respect to a variety of matters which would include
voting on certain  amendments to the Partnership  Agreement and voting to remove
the  Managing  General  Partner.  As a result of its  ownership of 61.56% of the
outstanding Units, AIMCO is in a position to influence all voting decisions with
respect to the Registrant.  However,  with respect to 47,488.68 units,  owned by
Insignia  Properties  LP, an  affiliate of the Managing  General  Partner,  such
affiliate  is  required  to  vote  such  Units:  (i)  against  any  increase  in
compensation payable to the Managing General Partner or to affiliates;  and (ii)
on all other  matters  submitted by it or its  affiliates,  in proportion to the
votes cast by  non-tendering  unitholders.  Except for the  foregoing,  no other
limitations are imposed on AIMCO and its affiliates' ability to influence voting
decisions with respect to the Partnership. Although the Managing General Partner
owes fiduciary duties to the limited  partners of the Partnership,  the Managing
General Partner also owes fiduciary duties to AIMCO as its sole stockholder.  As
a result,  the duties of the  Managing  General  Partner,  as  managing  general
partner, to the Partnership and its limited partners may come into conflict with
the duties of the Managing General Partner to AIMCO, as its sole stockholder.

Item 6.  Management's Discussion and Analysis or Plan of Operation

This  item  should  be read  in  conjunction  with  the  consolidated  financial
statements and other items contained elsewhere in this report.

Results of Operations

The Registrant's  net income for year ended December 31, 2002 was  approximately
$153,000 compared to approximately $78,000 for the year ended December 31, 2001.
The  increase  in net income was due to a decrease in total  expenses  partially
offset by a decrease  in total  revenues.  The  decrease  in total  expenses  is
primarily attributable to a decrease in operating and general and administrative
expenses  partially  offset  by  increases  in  depreciation  and  property  tax
expenses.  Interest  expense remained  relatively  consistent for the comparable
periods.  Operating expenses  decreased  primarily due to a decrease in property
and maintenance expenses,  partially offset by an increase in insurance expense.
Property  expenses  decreased due to lower payroll and related benefit  expenses
and  reduced  utility  expenses  primarily  at  Woods of  Inverness  Apartments.
Maintenance  expenses  decreased due to expenses  incurred during 2001 to repair
windstorm damages.  Also contributing to the decrease in maintenance expenses is
an increase in the  capitalization of certain direct and indirect project costs,
primarily  payroll  related  costs,  at the  property  (See  "Item 7.  Financial
Statements,  Note  A  -  Organization  and  Significant  Accounting  Policies.")
Insurance  expenses increased due to increases in insurance premiums at Woods of
Inverness  Apartments,  partially offset by a decrease in insurance  premiums at
Ralston Place.  Depreciation expense increased due to an increase in depreciable
assets  put  into  service  in the  last  twelve  months  which  are  now  being
depreciated.  Property tax expense  increased due to an increase in the assessed
value of Woods of Inverness Apartments.

General and  administrative  expenses  decreased for the year ended December 31,
2002  due to a  decrease  in the cost of  services  included  in the  management
reimbursements  to the Managing General Partner as allowed under the Partnership
Agreement  and  reduced   professional  fees.  In  addition  to  the  management
reimbursements,  costs  associated with the quarterly and annual  communications
with  investors  and  regulatory  agencies and the annual audit  required by the
Partnership Agreement are also included in general and administrative expenses.

The decrease in total  revenues for the year ended December 31, 2002 is due to a
decrease in rental income  partially offset by an increase in other income and a
casualty  gain in 2002 at Woods of  Inverness  Apartments  as  discussed  below.
Rental  income  decreased  due to a decrease  in average  occupancy  at Woods of
Inverness  Apartments  and an  increase  in bad  debt  expense  at  both  of the
Partnership's  properties,  partially  offset by  reduced  concession  costs and
increased  rental rates at both of the  Partnership's  properties.  Other income
increased  due to an  increase  in  cleaning  and damage  fees and late  charges
primarily at Woods of Inverness and increased utility  reimbursements at both of
the Partnership's properties.

During 2002,  Woods of Inverness  recognized  a casualty  gain of  approximately
$15,000 resulting from a fire in December 2001. The casualty gain was the result
of insurance  proceeds  received of  approximately  $22,000 in excess of the net
book value of the damaged assets of approximately $7,000.

As part of the ongoing  business plan of the  Partnership,  the Managing General
Partner monitors the rental market  environment of its investment  properties to
assess the feasibility of increasing rents,  maintaining or increasing occupancy
levels and protecting  the  Partnership  from increases in expenses.  As part of
this plan, the Managing General Partner attempts to protect the Partnership from
the burden of  inflation-related  increases in expenses by increasing  rents and
maintaining a high overall  occupancy  level.  However,  due to changing  market
conditions,  which  can  result  in the use of  rental  concessions  and  rental
reductions to offset softening market conditions, there is no guarantee that the
Managing General Partner will be able to sustain such a plan.

Liquidity and Capital Resources

At  December  31,  2002,  the  Registrant  had  cash  and  cash  equivalents  of
approximately  $218,000 compared to approximately $272,000 at December 31, 2001,
a decrease of approximately  $54,000.  The decrease in cash and cash equivalents
is due to  approximately  $328,000 and  $494,000 of cash used in  investing  and
financing activities, respectively partially offset by approximately $768,000 of
cash  provided  by  operating  activities.  Cash  used in  investing  activities
consisted  of  capital   improvements  and  replacements  and  net  deposits  to
restricted escrow accounts  maintained by the mortgage lender,  partially offset
by the  receipt  of  insurance  proceeds.  Cash  used  in  financing  activities
consisted of distributions to partners, principal payments made on the mortgages
encumbering  the  Registrant's  properties  and payments  made on advances  from
affiliates partially offset by advances received from affiliates. The Registrant
invests its working capital reserves in interest bearing accounts.

An  affiliate  of  the  Managing  General  Partner  has  made  available  to the
Partnership  a  credit  line  of  up to  $150,000  per  property  owned  by  the
Partnership.  The Partnership has no outstanding  amounts due under this line of
credit as of December 31,  2002.  During the year ended  December  31, 2002,  an
affiliate of the Managing General Partner advanced the Partnership approximately
$47,000 to cover operating expenses.  This loan was repaid during the year ended
December  31,  2002.  Interest was charged at prime plus 2% and amounted to less
than $1,000 for the year ended December 31, 2002.  There were no advances to the
Partnership  during the year ended  December 31, 2001.  Other than cash and cash
equivalents,  the line of  credit is the  Partnership's  only  unused  source of
liquidity.

The sufficiency of existing  liquid assets to meet future  liquidity and capital
expenditure   requirements   is  directly   related  to  the  level  of  capital
expenditures  required at the  properties  to  adequately  maintain the physical
assets and other  operating needs of the Partnership and to comply with Federal,
state, and local legal and regulatory requirements. The Managing General Partner
monitors  developments  in the area of legal and  regulatory  compliance  and is
studying  new  federal  laws,  including  the  Sarbanes-Oxley  Act of 2002.  The
Sarbanes-Oxley Act of 2002 mandates or suggests  additional  compliance measures
with regard to governance,  disclosure, audit and other areas. In light of these
changes,  the Partnership  expects that it will incur higher expenses related to
compliance,  including  increased  legal  and audit  fees.  The  Partnership  is
currently  evaluating  the capital  improvement  needs of the properties for the
upcoming  year  and  expects  to  budget  approximately   $142,000.   Additional
improvements  may be  considered  during  2003 and will  depend on the  physical
condition of the properties as well as replacement reserves and anticipated cash
flow generated by the properties.

The additional  capital  expenditures will be incurred only if cash is available
from operations or from Partnership  reserves.  To the extent that such budgeted
capital improvements are completed, the Registrant's distributable cash flow, if
any, may be adversely affected at least in the short term.

The  Registrant's  assets are thought to be sufficient  for any near-term  needs
(exclusive of capital improvements) of the Registrant. The mortgage indebtedness
of approximately  $6,980,000 is amortized over 360 months with a balloon payment
of  approximately  $6,618,000 due January 1, 2006. The Managing  General Partner
will attempt to refinance such indebtedness  and/or sell the properties prior to
such  maturity  date.  If the  properties  cannot  be  refinanced  or sold for a
sufficient  amount,  the  Registrant  will risk losing such  properties  through
foreclosure.

The Partnership distributed the following amounts during the year ended December
31, 2002 and 2001 (in thousands, except per unit data):

<TABLE>
<CAPTION>

                                          Per                               Per
                      Year Ended        Limited         Year Ended        Limited
                     December 31,     Partnership      December 31,     Partnership
                         2002             Unit             2001             Unit

<S>                    <C>              <C>              <C>               <C>
Operations             $  392           $ 2.80           $  149            $ 1.05
</TABLE>

Future cash  distributions  will depend on the levels of net cash generated from
operations, the availability of cash reserves and the timing of debt maturities,
refinancings  and /or property  sales.  The  Partnership's  cash  available  for
distribution is reviewed on a monthly basis.  There can be no assurance that the
Partnership  will  generate  sufficient  funds from  operations  after  required
capital  expenditures,  to  permit  distributions  to its  partners  in  2003 or
subsequent   periods.   See  "Item  2.   Description  of  Properties  -  Capital
Improvements" for information  relating to anticipated  capital  expenditures at
the properties.

In addition to its indirect  ownership of the general  partner  interests in the
Partnership,  AIMCO and its affiliates owned 80,028.69 limited partnership units
(the "Units") in the Partnership representing 61.56% of the outstanding Units at
December  31,  2002.  A number of these Units were  acquired  pursuant to tender
offers  made by  AIMCO  or its  affiliates.  It is  possible  that  AIMCO or its
affiliates will acquire additional units of limited partnership  interest in the
Partnership  in  exchange  for cash or a  combination  of cash and  units in the
operating  partnership  of AIMCO  either  through  private  purchases  or tender
offers. Under the Partnership  Agreement,  unitholders holding a majority of the
Units are  entitled to take action  with  respect to a variety of matters  which
would  include  voting on certain  amendments to the  Partnership  Agreement and
voting to remove the Managing General  Partner.  As a result of its ownership of
61.56% of the outstanding  Units, AIMCO is in a position to influence all voting
decisions  with respect to the  Registrant.  However,  with respect to 47,488.68
units,  owned by Insignia  Properties  LP, an affiliate of the Managing  General
Partner, such affiliate is required to vote such Units: (i) against any increase
in compensation  payable to the Managing  General Partner or to affiliates;  and
(ii) on all other matters  submitted by it or its  affiliates,  in proportion to
the votes cast by non-tendering unitholders.  Except for the foregoing, no other
limitations are imposed on AIMCO and its affiliates' ability to influence voting
decisions with respect to the Partnership. Although the Managing General Partner
owes fiduciary duties to the limited  partners of the Partnership,  the Managing
General Partner also owes fiduciary duties to AIMCO as its sole stockholder.  As
a result,  the duties of the  Managing  General  Partner,  as  managing  general
partner, to the Partnership and its limited partners may come into conflict with
the duties of the Managing General Partner to AIMCO, as its sole stockholder.

Critical Accounting Policies and Estimates

A summary of the Partnership's  significant  accounting  policies is included in
"Note A - Organization and Significant Accounting Policies" which is included in
the consolidated  financial  statements in "Item 7. Financial  Statements".  The
Managing  General  Partner  believes that the  consistent  application  of these
policies enables the Partnership to provide readers of the financial  statements
with useful and reliable  information about the Partnership's  operating results
and financial condition. The preparation of consolidated financial statements in
conformity with accounting  principles  generally  accepted in the United States
requires the Partnership to make estimates and assumptions.  These estimates and
assumptions affect the reported amounts of assets and liabilities at the date of
the financial  statements  as well as reported  amounts of revenues and expenses
during the reporting  period.  Actual results could differ from these estimates.
Judgments  and  assessments  of  uncertainties  are  required  in  applying  the
Partnership's  accounting  policies in many areas.  The  following may involve a
higher degree of judgment and complexity.

Impairment of Long-Lived Assets

Investment  properties  are  recorded at cost,  less  accumulated  depreciation,
unless  considered  impaired.  If  events  or  circumstances  indicate  that the
carrying  amount of a property may be  impaired,  the  Partnership  will make an
assessment of its  recoverability  by estimating  the  undiscounted  future cash
flows,  excluding  interest  charges,  of the property.  If the carrying  amount
exceeds the aggregate  future cash flows,  the  Partnership  would  recognize an
impairment  loss to the extent the carrying amount exceeds the fair value of the
property.

Real  property  investments  are  subject  to varying  degrees of risk.  Several
factors  may  adversely  affect  the  economic  performance  and  value  of  the
Partnership's  investment  properties.  These  factors  include  changes  in the
national,  regional and local economic  climate;  local  conditions,  such as an
oversupply  of  multifamily   properties;   competition   from  other  available
multifamily  property  owners and changes in market  rental  rates.  Any adverse
changes in these factors could cause an impairment in the Partnership's assets.

Revenue Recognition

The Partnership generally leases apartment units for twelve-month terms or less.
Rental income  attributable to leases is recognized  monthly as it is earned and
the Partnership  fully reserves all balances  outstanding  over thirty days. The
Partnership will offer rental concessions during  particularly slow months or in
response  to  heavy  competition  from  other  similar  complexes  in the  area.
Concessions are charged to income as incurred.

Item 7.  Financial Statements


CENTURY PROPERTIES FUND XVI

LIST OF FINANCIAL STATEMENTS

      Report of Ernst & Young, LLP Independent Auditors

      Consolidated Balance Sheet - December 31, 2002

      Consolidated Statements of Operations - Years ended December 31, 2002 and
         2001

      Consolidated  Statements of Changes in Partners' (Deficit) Capital - Years
      ended December 31, 2002 and 2001

      Consolidated  Statements of Cash Flows - Years ended December 31, 2002 and
        2001

      Notes to Consolidated Financial Statements

                     Report of Ernst & Young LLP, Independent Auditors



The Partners
Century Properties Fund XVI


We  have  audited  the  accompanying   consolidated  balance  sheet  of  Century
Properties  Fund XVI as of  December  31,  2002,  and the  related  consolidated
statements of operations, changes in partners' (deficit) capital, and cash flows
for each of the two years in the period ended December 31, 2002. These financial
statements  are  the  responsibility  of  the  Partnership's   management.   Our
responsibility  is to express an opinion on these financial  statements based on
our audits.

We conducted our audits in accordance with auditing standards generally accepted
in the United States. Those standards require that we plan and perform the audit
to obtain reasonable  assurance about whether the financial  statements are free
of material misstatement. An audit includes examining, on a test basis, evidence
supporting  the amounts and  disclosures in the financial  statements.  An audit
also includes assessing the accounting principles used and significant estimates
made  by the  Partnership's  management,  as  well  as  evaluating  the  overall
financial  statement  presentation.   We  believe  that  our  audits  provide  a
reasonable basis for our opinion.

In our opinion,  the financial  statements  referred to above present fairly, in
all material respects, the consolidated financial position of Century Properties
Fund XVI at December 31, 2002,  and the  consolidated  results of its operations
and its cash flows for each of the two years in the period  ended  December  31,
2002, in conformity with accounting  principles generally accepted in the United
States.

                                                           /s/ ERNST & YOUNG LLP


Greenville, South Carolina
February 14, 2003
                           CENTURY PROPERTIES FUND XVI
                           CONSOLIDATED BALANCE SHEET
                        (in thousands, except unit data)

                                December 31, 2002

<TABLE>
<CAPTION>



Assets
<S>                                                                       <C>
   Cash and cash equivalents                                              $    218
   Receivables and deposits                                                    388
   Restricted escrows                                                           89
   Other assets                                                                136
   Investment properties (Notes B and E):
      Land                                                  $  1,409
      Buildings and related personal property                 15,988
                                                              17,397
      Less accumulated depreciation                          (10,349)        7,048
                                                                           $ 7,879

Liabilities and Partners' (Deficit) Capital
Liabilities
   Accounts payable                                                       $      3
   Accrued property taxes                                                      214
   Tenant security deposit liabilities                                          54
   Other liabilities                                                           102
   Mortgage notes payable (Notes B and E)                                    6,980

Partners' (Deficit) Capital
   General partners                                        $  (3,871)
   Limited partners (130,000 units
      issued and outstanding)                                  4,397           526
                                                                            $7,879

                See Accompanying Notes to Consolidated Financial Statements
</TABLE>

                           CENTURY PROPERTIES FUND XVI
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                      (in thousands, except per unit data)




<TABLE>
<CAPTION>


                                                           Years Ended December 31,
                                                              2002         2001
Revenues:
<S>                                                           <C>         <C>
   Rental income                                              $2,987      $3,057
   Other income                                                  292         269
   Casualty gain                                                  15          --
      Total revenues                                           3,294       3,326

Expenses:
   Operating                                                   1,303       1,417
   General and administrative                                    233         280
   Depreciation                                                  708         683
   Interest                                                      586         593
   Property tax                                                  311         275

      Total expenses                                           3,141       3,248

Net income                                                    $  153      $   78

Net income allocated to general partners (6.9%)               $   11      $    5

Net income allocated to limited partners (93.1%)                 142          73

                                                              $  153      $   78

Net income per limited partnership unit                       $ 1.09      $ 0.56

Distributions per limited partnership unit                    $ 2.80      $ 1.05

                See Accompanying Notes to Consolidated Financial Statements
</TABLE>

                                CENTURY PROPERTIES FUND XVI
             CONSOLIDATED STATEMENTS OF CHANGES IN PARTNERS' (DEFICIT) CAPITAL
                        (in thousands, except unit data)


<TABLE>
<CAPTION>

                                    Limited
                                  Partnership    General     Limited
                                     Units      Partners    Partners      Total

<S>                                <C>         <C>           <C>       <C>
Original capital contributions     130,000     $    --       $65,000   $ 65,000

Partners' (deficit) capital
   at December 31, 2000            130,000     $(3,847)      $ 4,683   $    836

Distributions to partners               --         (12)         (137)      (149)
Net income for the year
   ended December 31, 2001              --           5            73         78

Partners' (deficit) capital at
   December 31, 2001               130,000      (3,854)        4,619        765

Distributions to partners               --         (28)         (364)      (392)

Net income for the year
   ended December 31, 2002              --          11           142         153

Partners' (deficit) capital
   at December 31, 2002            130,000     $(3,871)      $ 4,397   $    526

                See Accompanying Notes to Consolidated Financial Statements
</TABLE>

                           CENTURY PROPERTIES FUND XVI

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                 (in thousands)

<TABLE>
<CAPTION>

                                                              Year Ended December 31,
                                                                  2002        2001
Cash flows from operating activities:
<S>                                                              <C>          <C>
  Net income                                                     $ 153        $ 78
  Adjustments to reconcile net income to net
   cash provided by operating activities:
   Depreciation                                                     708          683
   Amortization of loan costs                                        32           31
   Casualty gain                                                    (15)          --
   Change in accounts:
      Receivables and deposits                                     (101)         (42)
      Other assets                                                   (3)          (3)
      Accounts payable                                              (27)         (54)
      Accrued property taxes                                         27           15
      Tenant security deposit liabilities                            (2)          15
      Other liabilities                                              (4)         (24)

      Net cash provided by operating activities                     768          699

Cash flows from investing activities:
  Property improvements and replacements                           (338)        (423)
  Insurance proceeds received                                        22           --
  Net deposits to restricted escrows                                (12)         (22)

       Net cash used in investing activities                       (328)        (445)

Cash flows from financing activities:
  Distributions to partners                                        (392)        (149)
  Advances from affiliates                                           47           --
  Payments on advances from affiliates                              (47)          --
  Payments on mortgage notes payable                               (102)         (95)

       Net cash used in financing activities                       (494)        (244)

Net (decrease) increase in cash and cash equivalents                (54)          10

Cash and cash equivalents at beginning of year                      272          262

Cash and cash equivalents at end of year                         $ 218        $ 272

Supplemental disclosure of cash flow information:
  Cash paid for interest                                         $ 555        $ 515

                See Accompanying Notes to Consolidated Financial Statements
</TABLE>

                           CENTURY PROPERTIES FUND XVI
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                December 31, 2002

Note A - Organization and Significant Accounting Policies

Organization: Century Properties Fund XVI (the "Partnership" or "Registrant") is
a  California  limited  partnership  organized  in December  1980 to acquire and
operate residential apartment properties. The Partnership's general partners are
Fox Capital  Management  Corporation  ("FCMC" or the "Managing General Partner")
and Fox Realty  Investors  ("FRI").  As of December  31, 2002,  the  Partnership
operates  two  residential  apartment  complexes,  one each located in Texas and
Florida.  The Managing  General Partner is a subsidiary of Apartment  Investment
and  Management  Company  ("AIMCO"),  a publicly  traded real estate  investment
trust. The Partnership  Agreement  provides that the Partnership is to terminate
on December 31, 2025 unless  terminated  prior to such date.  The  directors and
officers of the Managing  General  Partner  also serve as executive  officers of
AIMCO.

Principles of Consolidation: The Partnership's consolidated financial statements
include the accounts of the Partnership and one wholly owned partnership and one
99% owned  partnership.  The general partner of the 99% owned partnership can be
removed  by the  Registrant;  therefore,  this  partnership  is  controlled  and
consolidated by the Registrant.  All significant  interpartnership  transactions
have been eliminated.

Use of Estimates:  The  preparation of financial  statements in conformity  with
accounting   principles   generally  accepted  in  the  United  States  requires
management to make estimates and assumptions that affect the amounts reported in
the financial  statements and  accompanying  notes.  Actual results could differ
from those estimates.

Allocation to Partners:  Net income and losses (excluding those arising from the
occurrence of sales or  dispositions) of the Partnership will be allocated 5% to
the general partners with the remaining 95% allocated 2% to the general partners
and 98% to the limited partners.

Distributions of available cash,  except as discussed below, are allocated 5% to
the general partners with the remaining 95% allocated 2% to the general partners
and 98% to the limited partners.

In accordance  with the Partnership  Agreement,  any gain from the sale or other
disposition of  Partnership  properties  shall be allocated:  (i) to the general
partners to the extent they are entitled to receive  distributions of cash; (ii)
7% to the general  partners and 93% to the limited  partners,  to the extent the
general  partners  have a deficit  capital  balance;  and  (iii) to the  limited
partners.

Cash  from  sales or other  disposition,  or  refinancing  and  working  capital
reserves must be distributed  in the following  order:  (i) first,  an aggregate
amount as  discussed  above to each  Limited  Partner  which equals the total of
their original  invested capital  contributed plus 8% per year,  determined on a
cumulative,  noncompounded  basis,  on adjusted  invested  capital,  adjusted as
needed,  of such Limited  Partnership Unit Holder;  (ii) second,  to the general
partners  15% of any  additional  cash from  sales or  refinancing  and  working
capital  reserve  available for  distribution,  and (iii) the remainder shall be
allocated 98% to the limited partners and 2% to the general partners.  Upon sale
of all properties and termination of the  Partnership,  the general partners may
be required to contribute  certain funds to the  Partnership in accordance  with
the Partnership Agreement.

Cash and Cash Equivalents: Cash and cash equivalents include cash on hand and in
banks.  At certain times,  the amount of cash deposited at a bank may exceed the
limit on insured  deposits.  Cash balances  included  approximately  $203,000 at
December 31, 2002 that are  maintained  by an affiliated  management  company on
behalf of affiliated entities in cash concentration accounts.

Depreciation:  Depreciation is calculated by the  straight-line  method over the
estimated lives of the rental properties and related personal property.

Leases: The Partnership  generally leases apartment units for twelve-month terms
or less.  The  Partnership  recognizes  income as earned on its leases and fully
reserves all balances  outstanding  over thirty days. In addition,  the Managing
General Partner's policy is to offer rental concessions during particularly slow
months or in response to heavy  competition from other similar  complexes in the
area. Concessions are charged against rental income as incurred.

Tenant  Security  Deposits:  The  Partnership  requires  security  deposits from
lessees for the duration of the lease.  The security  deposits are refunded when
the tenant vacates, provided the tenant has not damaged its space and is current
on its rental payments.

Loan Costs: Loan costs of approximately $319,000 are included in other assets in
the  accompanying  consolidated  balance  sheet and are being  amortized  by the
straight-line  method  over  the  life  of the  loans.  At  December  31,  2002,
accumulated  amortization is approximately  $221,000 and includes  approximately
$32,000 of amortization expense for 2002. Amortization of loan costs is included
in  interest  expense.  Amortization  expense is  expected  to be  approximately
$32,000 for each of the years 2003  through  2005 and  approximately  $2,000 for
2006 at which time they will be fully amortized.

Investment Properties:  Investment properties consist of two apartment complexes
and are  stated  at cost.  Acquisition  fees are  capitalized  as a cost of real
estate. Expenditures in excess of $250 that maintain an existing asset which has
a useful  life of more  than one year are  capitalized  as  capital  replacement
expenditures  and  depreciated  over the  estimated  useful  life of the  asset.
Expenditures for ordinary repairs,  maintenance and apartment turnover costs are
expensed as incurred.  In  accordance  with  Statement  of Financial  Accounting
Standards  ("SFAS")  No.  144,  "Accounting  for the  Impairment  or Disposal of
Long-Lived  Assets",  the Partnership  records  impairment  losses on long-lived
assets used in operations when events and circumstances indicate that the assets
might be impaired and the  undiscounted  cash flows estimated to be generated by
those  assets  are less than the  carrying  amounts  of these  assets.  Costs of
apartment  properties that have been permanently impaired have been written down
to appraised  value. No adjustments for impairment of value were recorded in the
years ended  December 31, 2002 or 2001. See "Recent  Accounting  Pronouncements"
below.

During 2001, AIMCO, an affiliate of the Managing General Partner, commissioned a
project to study process improvement ideas to reduce operating costs. The result
of  the  study  led to a  re-engineering  of  business  processes  and  eventual
redeployment of personnel and related capital  spending.  The  implementation of
these plans  during  2002,  accounted  for as a change in  accounting  estimate,
resulted in a refinement of the Partnership's  process for capitalizing  certain
direct and  indirect  project  costs  (principally  payroll  related  costs) and
increased capitalization of such costs by approximately $25,000 in 2002 compared
to 2001.

Fair  Value:  SFAS  No.  107,   "Disclosures   about  Fair  Value  of  Financial
Instruments",  as  amended  by  SFAS  No.  119,  "Disclosures  about  Derivative
Financial  Instruments  and  Fair  Value  of  Financial   Instruments"  requires
disclosure of fair value information about financial instruments, whether or not
recognized in the balance  sheet,  for which it is  practicable to estimate fair
value.  Fair value is defined in the SFAS as the amount at which the instruments
could be exchanged in a current transaction between willing parties,  other than
in a forced or  liquidation  sale.  The  Partnership  believes that the carrying
amounts of its  financial  instruments  (except for long term debt)  approximate
their fair values due to the short term maturity of these instruments.  The fair
value of the Partnership's debt, at the Partnership's incremental borrowing rate
is approximately $7,312,000.

Advertising  Costs:  The  Partnership  expenses  the  costs  of  advertising  as
incurred.  Advertising costs of approximately  $60,000 and $56,000 for the years
ended  December  31,  2002 and 2001,  respectively,  were  charged to  operating
expenses.

Segment Reporting: SFAS No. 131, "Disclosure about Segments of an Enterprise and
Related  Information"  established  standards  for the way that public  business
enterprises  report  information  about operating  segments in annual  financial
statements and requires that those enterprises report selected information about
operating segments in interim financial reports.  It also established  standards
for related disclosures about products and services, geographic areas, and major
customers.  As defined in SFAS No. 131, the  Partnership has only one reportable
segment.

Recent  Accounting  Pronouncements:  In August 2001,  the  Financial  Accounting
Standards Board issued SFAS No. 144,  "Accounting for the Impairment or Disposal
of Long-Lived  Assets".  SFAS No. 144 provides accounting guidance for financial
accounting  and reporting for the  impairment or disposal of long-lived  assets.
SFAS No.  144  supersedes  SFAS  No.  121,  "Accounting  for the  Impairment  of
Long-Lived  Assets and for Long-Lived Assets to be Disposed Of". SFAS No. 144 is
effective for fiscal years  beginning  after December 15, 2001. The  Partnership
adopted  SFAS No. 144  effective  January 1, 2002.  Its adoption did not have an
effect on the financial position or results of operations of the Partnership.

In April 2002,  the Financial  Accounting  Standards  Board issued SFAS No. 145,
"Recission of FASB Statements No. 4, 44 and 64". SFAS No. 4 "Reporting Gains and
Losses from  Extinguishment  of Debt,"  required  that all gains and losses from
extinguishment  of  debt  be  aggregated  and,  if  material,  classified  as an
extraordinary item. SFAS No. 145 rescinds SFAS No. 4, and accordingly, gains and
losses from extinguishment of debt should only be classified as extraordinary if
they are unusual in nature and occur  infrequently.  SFAS 145 is  effective  for
fiscal  years  beginning  after May 15,  2002 with  early  adoption  acceptable.
Effective April 1, 2002, the Partnership  adopted SFAS 145. Its adoption did not
have an effect  on the  financial  position  or  results  of  operations  of the
Partnership.

Note B - Mortgage Notes Payable

The principle terms of mortgage notes payable are as follows:

<TABLE>
<CAPTION>

                       Principal    Monthly                                    Principal
                       Balance At   Payment                                     Balance
                      December 31, Including Interest    Period    Maturity     Due At
       Property           2002      Interest   Rate    Amortized     Date      Maturity
                          (in thousands)                                     (in thousands)
<S>                      <C>        <C>        <C>      <C>         <C>          <C>
 Ralston Place           $ 2,126    $    17    7.88%    30 years    1/2006       $ 2,016
 Woods of Inverness
  Apartments               4,854         38    7.88%    30 years    1/2006         4,602
                         $ 6,980    $    55                                      $ 6,618
</TABLE>

The mortgage  notes payable are  nonrecourse  and are secured by a pledge of the
respective  apartment properties and by a pledge of revenues from the respective
apartment  properties.  Prepayment  penalties  are  required if repaid  prior to
maturity.   Further,  the  properties  may  not  be  sold  subject  to  existing
indebtedness.

Scheduled  principal  payments of mortgage notes payable  subsequent to December
31, 2002 are as follows (in thousands):

                             2003             $   111
                             2004                 121
                             2005                 130
                             2006               6,618
                                              $ 6,980

Note C - Income Taxes

Taxable income or loss of the  Partnership is reported in the income tax returns
of its  partners.  Accordingly,  no  provision  for income  taxes is made in the
financial statements of the Partnership.

Differences between the net income as reported and Federal taxable income result
primarily from  depreciation  over different  methods and lives and on differing
cost basis. The following is a reconciliation of reported net income and Federal
taxable income (in thousands except per unit data):

                                                     2002          2001

Net income as reported                              $  153        $    78
Add (deduct):
  Unearned revenue                                      (5)           (41)
  Depreciation differences                             393            361
  Miscellaneous                                        (15)           (10)
   Casualty                                            (15)            --
Federal taxable income                              $  511         $  388

Federal taxable income per limited
  partnership unit                                  $ 3.66         $ 2.78

Note C - Income Taxes
The following is a reconciliation between the Partnership's reported amounts and
Federal tax basis of net assets and liabilities (in thousands):

                                                 2002

Net assets as reported                         $    526
Land and buildings                                  923
Accumulated depreciation                         (4,269)
Syndication and distribution costs                8,258
Other                                          $     64
Net assets - Federal tax basis                 $  5,502

Note D - Transactions with Affiliated Parties

The  Partnership  has no employees  and is dependent  upon the Managing  General
Partner  and  its  affiliates  for  the  management  and  administration  of all
Partnership  activities.  The Partnership Agreement provides for (i) payments to
affiliates for services and (ii)  reimbursement of certain expenses  incurred by
affiliates on behalf of the Partnership.

Affiliates of the Managing  General  Partner are entitled to receive 5% of gross
receipts  from  both  of the  Registrant's  properties  for  providing  property
management  services.  The  Registrant  paid  to such  affiliates  approximately
$162,000  and  $169,000  for  the  years  ended  December  31,  2002  and  2001,
respectively which is included in operating expenses.

An  affiliate  of  the  Managing  General  Partner  received   reimbursement  of
accountable  administrative  expenses  amounting to  approximately  $128,000 and
$162,000 for the years ended December 31, 2002 and 2001,  respectively  which is
included in general and administrative expenses.

Pursuant  to  the  Partnership  Agreement,  for  managing  the  affairs  of  the
Partnership, the general partner is entitled to receive a Partnership management
fee  equal  to  10%  of the  Partnership's  adjusted  cash  from  operations  as
distributed.  Approximately  $20,000 and $7,000 of Partnership  management  fees
were paid along with the  distributions  from  operations  made during the years
ended  December  31,  2002 and 2001,  respectively.  These fees are  included in
general partner distributions for both periods.

An  affiliate  of  the  Managing  General  Partner  has  made  available  to the
Partnership  a  credit  line  of  up to  $150,000  per  property  owned  by  the
Partnership.  The Partnership has no outstanding  amounts due under this line of
credit as of December 31,  2002.  During the year ended  December  31, 2002,  an
affiliate of the Managing General Partner advanced the Partnership approximately
$47,000 to cover operating expenses.  This loan was repaid during the year ended
December  31,  2002.  Interest was charged at prime plus 2% and amounted to less
than $1,000 for the year ended December 31, 2002.  There were no advances to the
Partnership during the year ended December 31, 2001.

Beginning in 2001, the  Partnership  began insuring its properties up to certain
limits through coverage provided by AIMCO which is generally  self-insured for a
portion of losses and  liabilities  related  to workers  compensation,  property
casualty and vehicle liability. The Partnership insures its properties above the
AIMCO  limits  through  insurance  policies  obtained  by  AIMCO  from  insurers
unaffiliated with the Managing General Partner.  During the years ended December
31, 2002 and 2001, the Partnership  paid AIMCO and its affiliates  approximately
$52,000 and $42,000,  respectively  for insurance  coverage and fees  associated
with policy claims administration.

In addition to its indirect  ownership of the general  partner  interests in the
Partnership,  AIMCO and its affiliates owned 80,028.69 limited partnership units
(the "Units") in the Partnership representing 61.56% of the outstanding Units at
December  31,  2002.  A number of these Units were  acquired  pursuant to tender
offers  made by  AIMCO  or its  affiliates.  It is  possible  that  AIMCO or its
affiliates will acquire additional units of limited partnership  interest in the
Partnership  in  exchange  for cash or a  combination  of cash and  units in the
operating  partnership  of AIMCO  either  through  private  purchases  or tender
offers. Under the Partnership  Agreement,  unitholders holding a majority of the
Units are  entitled to take action  with  respect to a variety of matters  which
would  include  voting on certain  amendments to the  Partnership  Agreement and
voting to remove the Managing General  Partner.  As a result of its ownership of
61.56% of the outstanding  Units, AIMCO is in a position to influence all voting
decisions with respect to the  Partnership.  However,  with respect to 47,488.68
units,  owned by Insignia  Properties  LP, an affiliate of the Managing  General
Partner, such affiliate is required to vote such Units: (i) against any increase
in compensation  payable to the Managing  General Partner or to affiliates;  and
(ii) on all other matters  submitted by it or its  affiliates,  in proportion to
the votes cast by non-tendering unitholders.  Except for the foregoing, no other
limitations are imposed on AIMCO and its affiliates' ability to influence voting
decisions with respect to the Partnership. Although the Managing General Partner
owes fiduciary duties to the limited  partners of the Partnership,  the Managing
General Partner also owes fiduciary duties to AIMCO as its sole stockholder.  As
a result,  the duties of the  Managing  General  Partner,  as  managing  general
partner, to the Partnership and its limited partners may come into conflict with
the duties of the Managing General Partner to AIMCO, as its sole stockholder.

Note E - Investment Properties and Accumulated Depreciation

                                                    Initial Cost
                                                   To Partnership
                                                   (in thousands)
<TABLE>
<CAPTION>

                                                                             Costs
                                                          Buildings       Capitalized
                                                         and Related       (Removed)
                                                           Personal      Subsequent to
         Description           Encumbrances     Land       Property       Acquisition
                              (in thousands)                             (in thousands)

<S>                              <C>          <C>          <C>            <C>
Ralston Place                    $ 2,126      $  504       $ 4,702        $ 1,677
Woods of Inverness                 4,854       1,292        10,305         (1,083)

Total                            $ 6,980      $1,796       $15,007        $   594
</TABLE>

                          Gross Amount At Which Carried
                              At December 31, 2002
                                 (in thousands)

<TABLE>
<CAPTION>

                                      Buildings
                                     And Related
                                      Personal             Accumulated     Date    Depreciable
        Description           Land    Property    Total    Depreciation  Acquired   Life-Years
                                                          (in thousands)

<S>                          <C>     <C>         <C>         <C>           <C>      <C>
Ralston Place                $  504  $ 6,379     $ 6,883     $ 4,113       06/82    5-30 years
Woods of Inverness              905    9,609      10,514       6,236       07/82    5-30 years

Total                        $1,409  $15,988     $17,397     $10,349
</TABLE>

Reconciliation of investment properties and accumulated depreciation:

                                                Years Ended December 31,
                                                  2002            2001
                                                     (in thousands)

Balance at beginning of year                   $17,079          $16,749
    Property improvements                          338              330
    Disposition of assets                          (20)              --

Balance at end of year                         $17,397          $17,079

Accumulated Depreciation

Balance at beginning of year                   $ 9,654          $ 8,971
    Additions charged to expense                   708              683
    Disposition of assets                          (13)              --
Balance at end of year                         $10,349          $ 9,654

The aggregate cost of the investment  properties for Federal income tax purposes
at December  31, 2002 and 2001 is  approximately  $18,320,000  and  $18,005,000,
respectively. The accumulated depreciation taken for Federal income tax purposes
at December  31, 2002 and 2001 is  approximately  $14,618,000  and  $14,303,000,
respectively.

Note F - Casualty Gain

During 2002,  Woods of Inverness  recognized  a casualty  gain of  approximately
$15,000 resulting from a fire in December 2001. The casualty gain was the result
of insurance  proceeds  received of  approximately  $22,000 in excess of the net
book value of the damaged assets of approximately $7,000.

Note G - Legal Proceedings

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the  Partnership,  its Managing  General Partner and
several of their  affiliated  partnerships  and corporate  entities.  The action
purports  to  assert  claims  on  behalf  of a class  of  limited  partners  and
derivatively  on behalf  of a number  of  limited  partnerships  (including  the
Partnership)  which are named as nominal  defendants,  challenging,  among other
things,  the  acquisition  of  interests  in certain  Managing  General  Partner
entities by Insignia Financial Group, Inc. ("Insignia") and entities which were,
at one  time,  affiliates  of  Insignia;  past  tender  offers  by the  Insignia
affiliates to acquire limited partnership units;  management of the partnerships
by the  Insignia  affiliates;  and the series of  transactions  which  closed on
October 1, 1998 and February 26, 1999 whereby  Insignia and Insignia  Properties
Trust,  respectively,  were merged  into AIMCO.  The  plaintiffs  seek  monetary
damages and equitable relief, including judicial dissolution of the Partnership.
On June 25, 1998, the Managing General Partner filed a motion seeking  dismissal
of the action.  In lieu of responding  to the motion,  the  plaintiffs  filed an
amended  complaint.  The Managing General Partner filed demurrers to the amended
complaint which were heard February 1999.

Pending the ruling on such  demurrers,  settlement  negotiations  commenced.  On
November 2, 1999,  the parties  executed and filed a Stipulation  of Settlement,
settling claims, subject to court approval, on behalf of the Partnership and all
limited partners who owned units as of November 3, 1999. Preliminary approval of
the  settlement  was obtained on November 3, 1999 from the Court,  at which time
the Court set a final  approval  hearing for  December  10,  1999.  Prior to the
December  10,  1999  hearing,  the  Court  received  various  objections  to the
settlement, including a challenge to the Court's preliminary approval based upon
the alleged lack of authority of prior lead counsel to enter the settlement.  On
December 14, 1999, the Managing  General  Partner and its affiliates  terminated
the  proposed  settlement.  In  February  2000,  counsel  for some of the  named
plaintiffs filed a motion to disqualify plaintiff's lead and liaison counsel who
negotiated  the  settlement.  On June  27,  2000,  the  Court  entered  an order
disqualifying  them  from the case and an  appeal  was  taken  from the order on
October 5, 2000. On December 4, 2000, the Court  appointed the law firm of Lieff
Cabraser  Heimann & Bernstein  LLP as new lead  counsel for  plaintiffs  and the
putative class.  Plaintiffs filed a third amended complaint on January 19, 2001.
On March 2, 2001,  the  Managing  General  Partner  and its  affiliates  filed a
demurrer to the third amended  complaint.  On May 14, 2001,  the Court heard the
demurrer to the third amended  complaint.  On July 10, 2001, the Court issued an
order  sustaining  defendants'  demurrer on certain  grounds.  On July 20, 2001,
Plaintiffs filed a motion for reconsideration of the Court's July 10, 2001 order
granting in part and denying in part defendants' demurrer. On September 7, 2001,
Plaintiffs  filed a fourth amended class and  derivative  action  complaint.  On
September 12, 2001, the Court denied Plaintiffs' motion for reconsideration.  On
October 5, 2001, the Managing General Partner and affiliated  defendants filed a
demurrer to the fourth amended complaint,  which was heard on December 11, 2001.
On February 2, 2002,  the Court served its order  granting in part the demurrer.
The  Court has  dismissed  without  leave to amend  certain  of the  plaintiffs'
claims.  On February 11, 2002,  plaintiffs  filed a motion  seeking to certify a
putative  class  comprised of all  non-affiliated  persons who own or have owned
units  in  the  partnerships.   The  Managing  General  Partner  and  affiliated
defendants  oppose the motion.  On April 29,  2002,  the Court held a hearing on
plaintiffs' motion for class  certification and took the matter under submission
after further  briefing,  as ordered by the court, was submitted by the parties.
On July 10, 2002,  the Court entered an order vacating the current trial date of
January 13, 2003 (as well as the  pre-trial  and  discovery  cut-off  dates) and
stayed the case in its  entirety  through  November  7, 2002 so that the parties
could have an opportunity to discuss settlement.  On October 30, 2002, the court
entered an order extending the stay in effect through January 10, 2003.

On January 8, 2003,  the parties filed a  Stipulation  of Settlement in proposed
settlement of the Nuanes action and the Heller action described below. The Court
has  scheduled  the hearing on  preliminary  approval  for April 4, 2003 and the
hearing on final approval for June 2, 2003.

In general  terms,  the  proposed  settlement  provides  for  certification  for
settlement  purposes of a settlement class consisting of all limited partners in
this  Partnership and others (the  "Partnerships")  as of December 20, 2002, the
dismissal  with  prejudice  and  release  of claims  in the  Nuanes  and  Heller
litigation,  payment by AIMCO of $9.9  million  (which shall be  distributed  to
settlement  class  members  after  deduction of attorney fees and costs of class
counsel and certain costs of  settlement)  and up to $ 1 million toward the cost
of independent  appraisals of the Partnerships'  properties by a Court appointed
appraiser.  An affiliate of the Managing General Partner has also agreed to make
a tender offer to purchase all of the partnership  interests in the Partnerships
within one year of final  approval,  if it is granted,  and to provide  partners
with the  independent  appraisals  at the time of these  tenders.  The  proposed
settlement  also provides for the  limitation  of the allowable  costs which the
Managing  General  Partner or its  affiliates  will charge the  Partnerships  in
connection with this litigation and imposes limits on the class counsel fees and
costs in this  litigation.  If the  Court  grants  preliminary  approval  of the
proposed settlement in April, a notice will be distributed to partners providing
detail on the terms of the proposed settlement.

During the third  quarter of 2001, a complaint  (the "Heller  action") was filed
against  the same  defendants  that are named in the  Nuanes  action,  captioned
Heller v. Insignia Financial Group. On or about August 6, 2001, plaintiffs filed
a first amended  complaint.  The first amended complaint in the Heller action is
brought as a purported  derivative  action,  and asserts  claims for among other
things  breach  of  fiduciary  duty;  unfair  competition;   conversion,  unjust
enrichment;  and judicial  dissolution.  Plaintiffs in the Nuanes action filed a
motion to  consolidate  the Heller action with the Nuanes action and stated that
the Heller action was filed in order to preserve the derivative claims that were
dismissed  without  leave to amend in the Nuanes action by the Court order dated
July 10, 2001. On October 5, 2001, the Managing  General  Partner and affiliated
defendants  moved to strike the first  amended  complaint  in its  entirety  for
violating  the Court's July 10, 2001 order  granting in part and denying in part
defendants'  demurrer in the Nuanes action, or alternatively,  to strike certain
portions of the complaint based on the statute of limitations.  Other defendants
in the action  demurred to the fourth  amended  complaint,  and,  alternatively,
moved to strike the complaint. On December 11, 2001, the court heard argument on
the motions  and took the matters  under  submission.  On February 4, 2002,  the
Court  served  notice of its order  granting  defendants'  motion to strike  the
Heller complaint as a violation of its July 10, 2001 order in the Nuanes action.
On March 27, 2002,  the plaintiffs  filed a notice  appealing the order striking
the  complaint.  Before  completing  briefing on the appeal,  the parties stayed
further proceedings in the appeal pending the Court's review of the terms of the
proposed settlement described above.

The  Managing  General  Partner  does  not  anticipate  that  any  costs  to the
Partnership, whether legal or settlement costs, associated with these cases will
be material to the Partnership's overall operations.

The  Partnership is unaware of any other pending or outstanding  litigation that
is not of a routine nature arising in the ordinary course of business.

Item 8. Changes in and Disagreements with Accountant on Accounting and Financial
Disclosures

         None.

                                    PART III


Item 9. Directors, Executive Officers, Promoters and Control Persons; Compliance
with Section 16(a) of the Exchange Act

Century  Properties  Fund XVI (the  "Partnership"  or the  "Registrant")  has no
officers  or  directors.  Fox  Capital  Management  Corporation  ("FCMC"  or the
"Managing  General  Partner"),  manages and  controls  substantially  all of the
Partnership's  affairs and has general  responsibility  in all matters affecting
its business.

The names and ages of, as well as the positions and offices held by, the present
executive  officers and director of the Managing  General  Partner are set forth
below.  There are no family  relationships  between or among any officers or the
director.

Name                        Age    Position

Patrick J. Foye              45    Executive Vice President and Director
Paul J. McAuliffe            46    Executive Vice President and Chief
                                Financial Officer
Thomas C. Novosel            44    Senior Vice President and Chief Accounting
                                     Officer

Patrick J. Foye has been  Executive  Vice President and Director of the Managing
General  Partner  since October 1, 1998.  Mr. Foye has served as Executive  Vice
President  of AIMCO  since  May 1998,  where he is  responsible  for  continuous
improvement,  acquisitions of partnership securities,  consolidation of minority
interests,  and corporate and other  acquisitions.  Prior to joining AIMCO,  Mr.
Foye was a Merger and  Acquisitions  Partner in the law firm of  Skadden,  Arps,
Slate, Meagher & Flom LLP from 1989 to 1998.

Paul J. McAuliffe has been Executive Vice President and Chief Financial  Officer
of the Managing General Partner since April 1, 2002. Mr. McAuliffe has served as
Executive  Vice  President  of AIMCO  since  February  1999 and Chief  Financial
Officer of AIMCO since  October 1999.  From May 1996 until he joined AIMCO,  Mr.
McAuliffe was Senior Managing Director of Secured Capital Corp.

Thomas C. Novosel has been Senior Vice President and Chief Accounting Officer of
the Managing  General  Partner  since April 1, 2002.  Mr.  Novosel has served as
Senior Vice  President and Chief  Accounting  Officer of AIMCO since April 2000.
From October 1993 until he joined  AIMCO,  Mr.  Novosel was a partner at Ernst &
Young LLP, where he served as the director of real estate advisory  services for
the  southern  Ohio  Valley  area  offices  but did not work on any  assignments
related to AIMCO or the Partnership.

One or more of the above persons are also directors and/or officers of a general
partner (or general partner of a general partner) of limited  partnerships which
either have a class of  securities  registered  pursuant to Section 12(g) of the
Securities Exchange Act of 1934, or are subject to the reporting requirements of
Section  15(d) of such Act.  Further,  one or more of the above persons are also
directors and/or officers of Apartment Investment and Management Company and the
general  partner  of  AIMCO  Properties,  L.P.,  entities  that  have a class of
securities  registered  pursuant to Section 12(g) of the Securities Exchange Act
of 1934, or are subject to the reporting  requirements of Section 15 (d) of such
Act.

The executive  officers and director of the Managing General Partner fulfill the
obligations  of the Audit  Committee  and  oversee the  Partnership's  financial
reporting process on behalf of the Managing General Partner.  Management has the
primary  responsibility  for the financial  statements and the reporting process
including  the  systems  of  internal  controls.  In  fulfilling  its  oversight
responsibilities,  the executive  officers and director of the Managing  General
Partner reviewed the audited  financial  statements with management  including a
discussion  of the  quality,  not  just  the  acceptability,  of the  accounting
principles,  the  reasonableness  of significant  judgments,  and the clarity of
disclosures in the consolidated financial statements.

The executive  officers and director of the Managing  General  Partner  reviewed
with the independent auditors,  who are responsible for expressing an opinion on
the conformity of those audited financial statements with accounting  principles
generally accepted in the United States,  their judgments as to the quality, not
just the  acceptability,  of the  Partnership's  accounting  principles and such
other  matters as are required to be discussed  with the Audit  Committee or its
equivalent under auditing standards  generally accepted in the United States. In
addition,  the  Partnership  has  discussed  with the  independent  auditors the
auditors' independence from management and the Partnership including the matters
in the written  disclosures  required by the  Independence  Standards  Board and
considered  the   compatibility   of  non-audit   services  with  the  auditors'
independence.

The executive  officers and director of the Managing  General Partner  discussed
with the  Partnership's  independent  auditors  the overall  scope and plans for
their audit. In reliance on the reviews and discussions  referred to above,  the
executive  officers and director of the Managing  General  Partner have approved
the  inclusion of the audited  financial  statements  in the Form 10-KSB for the
year  ended  December  31,  2002 for filing  with the  Securities  and  Exchange
Commission.

The Managing  General Partner has  reappointed  Ernst & Young LLP as independent
auditors to audit the financial statements of the Partnership for 2003. Fees for
2002 were  audit  services  of  approximately  $33,000  and  non-audit  services
(principally tax-related) of approximately $18,000.

Item 10. Executive Compensation

No direct form of compensation  or  remuneration  was paid by the Partnership to
any officer or director of Fox Capital Management Corporation. However, fees and
other payments have been made to the Partnership's  Managing General Partner and
its  affiliates,  as described in "Item 12.  Certain  Relationships  and Related
Transactions."

Item 11. Security Ownership of Certain Beneficial Owners and Management

Except as noted below, no person or entity was known by the Registrant to be the
beneficial  owner  of  more  than 5% of the  Limited  Partnership  Units  of the
Registrant as of December 31, 2002.

    Name of                                                    Percentage
Beneficial Owner                          Number of Units       of Class

Insignia Properties, LP
  (an affiliate of AIMCO)                    47,488.68           36.53%
AIMCO Properties, LP
  (an affiliate of AIMCO)                    32,340.01           24.88%
Fox Capital Management Corp
  (an affiliate of AIMCO)`                      200.00            0.15%

Insignia   Properties  LP  and  Fox  Capital  Management  Corp.  are  indirectly
ultimately  owned by AIMCO.  Their  business  addresses  are 55  Beattie  Place,
Greenville, SC 29602.

AIMCO Properties LP is indirectly  ultimately  controlled by AIMCO. Its business
address is 4582 S. Ulster St. Parkway, Suite 1100, Denver, Colorado 80237.

No director or officer of the Managing General Partner owns any units.

Item 12. Certain Relationships and Related Transactions

The  Partnership  has no employees  and is dependent  upon the Managing  General
Partner  and  its  affiliates  for  the  management  and  administration  of all
Partnership  activities.  The Partnership Agreement provides for (i) payments to
affiliates for services and (ii)  reimbursement of certain expenses  incurred by
affiliates on behalf of the Partnership.

Affiliates of the Managing  General  Partner are entitled to receive 5% of gross
receipts  from  both  of the  Registrant's  properties  for  providing  property
management  services.  The  Registrant  paid  to such  affiliates  approximately
$162,000  and  $169,000  for  the  years  ended  December  31,  2002  and  2001,
respectively which is included in operating expenses.

An  affiliate  of  the  Managing  General  Partner  received   reimbursement  of
accountable  administrative  expenses  amounting to  approximately  $128,000 and
$162,000 for the years ended December 31, 2002 and 2001,  respectively  which is
included in general and administrative expenses.

Pursuant  to  the  Partnership  Agreement,  for  managing  the  affairs  of  the
Partnership, the general partner is entitled to receive a Partnership management
fee  equal  to  10%  of the  Partnership's  adjusted  cash  from  operations  as
distributed.  Approximately  $20,000 and $7,000 of Partnership  management  fees
were paid along with the  distributions  from  operations  made during the years
ended  December  31,  2002 and 2001,  respectively.  These fees are  included in
general partner distributions for both periods.

An  affiliate  of  the  Managing  General  Partner  has  made  available  to the
Partnership  a  credit  line  of  up to  $150,000  per  property  owned  by  the
Partnership.  The Partnership has no outstanding  amounts due under this line of
credit as of December 31,  2002.  During the year ended  December  31, 2002,  an
affiliate of the Managing General Partner advanced the Partnership approximately
$47,000 to cover operating expenses.  This loan was repaid during the year ended
December  31,  2002.  Interest was charged at prime plus 2% and amounted to less
than $1,000 for the year ended December 31, 2002.  There were no advances to the
Partnership during the year ended December 31, 2001.

Beginning in 2001, the  Partnership  began insuring its properties up to certain
limits through coverage provided by AIMCO which is generally  self-insured for a
portion of losses and  liabilities  related  to workers  compensation,  property
casualty and vehicle liability. The Partnership insures its properties above the
AIMCO  limits  through  insurance  policies  obtained  by  AIMCO  from  insurers
unaffiliated with the Managing General Partner.  During the years ended December
31, 2002 and 2001, the Partnership  paid AIMCO and its affiliates  approximately
$52,000 and $42,000,  respectively,  for insurance  coverage and fees associated
with policy claims administration.

In addition to its indirect  ownership of the general  partner  interests in the
Partnership,  AIMCO and its affiliates owned 80,028.69 limited partnership units
(the "Units") in the Partnership representing 61.56% of the outstanding Units at
December  31,  2002.  A number of these Units were  acquired  pursuant to tender
offers  made by  AIMCO  or its  affiliates.  It is  possible  that  AIMCO or its
affiliates will acquire additional units of limited partnership  interest in the
Partnership  in  exchange  for cash or a  combination  of cash and  units in the
operating  partnership  of AIMCO  either  through  private  purchases  or tender
offers. Under the Partnership  Agreement,  unitholders holding a majority of the
Units are  entitled to take action  with  respect to a variety of matters  which
would  include  voting on certain  amendments to the  Partnership  Agreement and
voting to remove the Managing General  Partner.  As a result of its ownership of
61.56% of the outstanding  Units, AIMCO is in a position to influence all voting
decisions with respect to the  Partnership.  However,  with respect to 47,488.68
units,  owned by Insignia  Properties  LP, an affiliate of the Managing  General
Partner, such affiliate is required to vote such Units: (i) against any increase
in compensation  payable to the Managing  General Partner or to affiliates;  and
(ii) on all other matters  submitted by it or its  affiliates,  in proportion to
the votes cast by non-tendering unitholders.  Except for the foregoing, no other
limitations are imposed on AIMCO and its affiliates' ability to influence voting
decisions with respect to the Partnership. Although the Managing General Partner
owes fiduciary duties to the limited  partners of the Partnership,  the Managing
General Partner also owes fiduciary duties to AIMCO as its sole stockholder.  As
a result,  the duties of the  Managing  General  Partner,  as  managing  general
partner, to the Partnership and its limited partners may come into conflict with
the duties of the Managing General Partner to AIMCO, as its sole stockholder.

Item 13. Exhibits and Reports on Form 8-K

(a) Exhibits:

               See Exhibit Index attached.

         (b) Reports on Form 8-K filed  during the quarter  ended  December  31,
                2002.

               None.

Item 14.    Controls and Procedures

The principal  executive officer and principal financial officer of the Managing
General Partner, who are the equivalent of the Partnership's principal executive
officer and principal financial officer,  respectively,  have, within 90 days of
the filing  date of this  annual  report,  evaluated  the  effectiveness  of the
Partnership's  disclosure  controls and  procedures  (as defined in Exchange Act
Rules 13a-14(c) and 15d-14(c)) and have determined that such disclosure controls
and  procedures  are  adequate.  There have been no  significant  changes in the
Partnership's  internal  controls or in other  factors that could  significantly
affect the  Partnership's  internal  controls since the date of evaluation.  The
Partnership does not believe any significant deficiencies or material weaknesses
exist in the Partnership's internal controls. Accordingly, no corrective actions
have been taken.


                                   SIGNATURES



In  accordance  with  section 13 or 15(d) of the Exchange  Act,  the  registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.



                           CENTURY PROPERTIES FUND XVI



                                     By: Fox Capital Management Corporation
                                         Managing General Partner

                                     By: /s/Patrick J. Foye
                                         Patrick J. Foye
                                         Executive Vice President

                                     By: /s/Thomas C. Novosel
                                         Senior Vice President and
                                         Chief Accounting Officer

                                   Date: March 31, 2003

In  accordance  with the Exchange  Act, this report has been signed below by the
following  persons on behalf by the  registrant and in the capacities and on the
date indicated.

/s/Patrick J. Foye               Date: March 31, 2003
Patrick J. Foye
Executive Vice President
and Director

/s/Thomas C. Novosel             Date: March 31, 2003
Thomas C. Novosel
Senior Vice President and
Chief Accounting Officer

                                  CERTIFICATION


I, Patrick J. Foye, certify that:


1. I have reviewed this annual report on Form 10-KSB of Century  Properties Fund
XVI;


2.  Based on my  knowledge,  this  annual  report  does not  contain  any untrue
statement of a material fact or omit to state a material fact  necessary to make
the statements made, in light of the  circumstances  under which such statements
were made,  not  misleading  with  respect to the period  covered by this annual
report;


3.  Based  on my  knowledge,  the  financial  statements,  and  other  financial
information  included  in this annual  report,  fairly  present in all  material
respects the financial  condition,  results of operations  and cash flows of the
registrant as of, and for, the periods presented in this annual report;


4.  The  registrant's  other  certifying  officers  and  I are  responsible  for
establishing and maintaining  disclosure  controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:


      a)  Designed  such  disclosure  controls  and  procedures  to ensure  that
      material   information   relating  to  the   registrant,   including   its
      consolidated  subsidiaries,  is made  known to us by others  within  those
      entities,  particularly  during the period in which this annual  report is
      being prepared;


      b) Evaluated the effectiveness of the registrant's disclosure controls and
      procedures  as of a date  within 90 days prior to the filing  date of this
      annual report (the "Evaluation Date"); and


      c) Presented in this annual report our conclusions about the effectiveness
      of the disclosure  controls and  procedures  based on our evaluation as of
      the Evaluation Date;


5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation,  to the registrant's auditors and the audit committee of
registrant's   board  of  directors  (or  persons   performing   the  equivalent
functions):


      a) All  significant  deficiencies  in the design or  operation of internal
      controls which could adversely affect the registrant's  ability to record,
      process,  summarize and report  financial data and have identified for the
      registrant's auditors any material weaknesses in internal controls; and


      b) Any fraud,  whether or not material,  that involves management or other
      employees  who  have  a  significant  role  in the  registrant's  internal
      controls; and


6. The  registrant's  other  certifying  officers  and I have  indicated in this
annual report whether or not there were significant changes in internal controls
or in other factors that could significantly affect internal controls subsequent
to the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.


Date: March 31, 2003

                                    /s/Patrick J. Foye
                                    Patrick J. Foye
                                    Executive  Vice  President  of  Fox  Capital
                                    Management  Corporation,  equivalent  of the
                                    chief executive officer of the Partnership

                                  CERTIFICATION


I, Paul J. McAuliffe, certify that:


1. I have reviewed this annual report on Form 10-KSB of Century  Properties Fund
XVI;


2.  Based on my  knowledge,  this  annual  report  does not  contain  any untrue
statement of a material fact or omit to state a material fact  necessary to make
the statements made, in light of the  circumstances  under which such statements
were made,  not  misleading  with  respect to the period  covered by this annual
report;


3.  Based  on my  knowledge,  the  financial  statements,  and  other  financial
information  included  in this annual  report,  fairly  present in all  material
respects the financial  condition,  results of operations  and cash flows of the
registrant as of, and for, the periods presented in this annual report;


4.  The  registrant's  other  certifying  officers  and  I are  responsible  for
establishing and maintaining  disclosure  controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:


      a)  Designed  such  disclosure  controls  and  procedures  to ensure  that
      material   information   relating  to  the   registrant,   including   its
      consolidated  subsidiaries,  is made  known to us by others  within  those
      entities,  particularly  during the period in which this annual  report is
      being prepared;


      b) Evaluated the effectiveness of the registrant's disclosure controls and
      procedures  as of a date  within 90 days prior to the filing  date of this
      annual report (the "Evaluation Date"); and


      c) Presented in this annual report our conclusions about the effectiveness
      of the disclosure  controls and  procedures  based on our evaluation as of
      the Evaluation Date;


5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation,  to the registrant's auditors and the audit committee of
registrant's   board  of  directors  (or  persons   performing   the  equivalent
functions):


      a) All  significant  deficiencies  in the design or  operation of internal
      controls which could adversely affect the registrant's  ability to record,
      process,  summarize and report  financial data and have identified for the
      registrant's auditors any material weaknesses in internal controls; and


      b) Any fraud,  whether or not material,  that involves management or other
      employees  who  have  a  significant  role  in the  registrant's  internal
      controls; and


6. The  registrant's  other  certifying  officers  and I have  indicated in this
annual report whether or not there were significant changes in internal controls
or in other factors that could significantly affect internal controls subsequent
to the date of our most recent evaluation, including any corrective actions with
regard to significant deficiencies and material weaknesses.


Date: March 31, 2003

                                    /s/Paul J. McAuliffe
                                    Paul J. McAuliffe
                                    Executive Vice President and Chief Financial
                                    Officer of Fox Capital  Management
                                    Corporation, equivalent of the chief
                                    financial officer of the Partnership

                           CENTURY PROPERTIES FUND XVI

                                  EXHIBIT INDEX


Exhibit Number    Description of Exhibit

2.1  Agreement  and Plan of Merger,  dated as of October 1, 2000, by and between
AIMCO and IPT  (incorporated by reference to Exhibit 2.1 of IPT's Current Report
or Form 8-K, file No. 1-4179, dated October 1, 2000. (Page 1)

2.5 Master Indemnity Agreement  incorporated by reference to Exhibit 2.5 to Form
8-K filed by Insignia  Financial  Group,  Inc. with the  Securities and Exchange
Commission on September 1, 1995. (Page 2)

3.4 Agreement of Limited  Partnership  incorporated by reference to Exhibit A to
the  Prospectus  of  the  Registrant   dated  August  17,  1981  and  thereafter
supplemented  June  25,  1979  and  thereafter  supplemented,  included  in  the
Registrant's Registration Statement on Form S-11 (Reg. No. 2-71473). (Page 3)

      10.1        Form of First Mortgage Note dated as of December 29, 1995 from
                  the  Registrant  to Secore  Financial  Corporation  ("Secore")
                  relating  to the  refinancing  of the  Landings  and  Woods of
                  Inverness  incorporated  by  reference  to Exhibit 10.1 to the
                  Registrant's  Annual  Report of Form 10-KSB for the year ended
                  December 31, 1995.
                  (Page 4)

      10.2        Form of First Mortgage Note dated as of December 29, 1995 from
                  the  Registrant to Secore  relating to the  refinancing of the
                  Landings and Woods of Inverness  incorporated  by reference to
                  Exhibit 10.2 to the Registrant's  Annual Report of Form 10-KSB
                  for the year ended December 31, 1995. (Page 4)

99   Certification of Chief Executive Officer and Chief Financial Officer.

Exhibit 99


                          Certification of CEO and CFO
                       Pursuant to 18 U.S.C. Section 1350,
                             As Adopted Pursuant to
                  Section 906 of the Sarbanes-Oxley Act of 2002



In connection  with the Annual Report on Form 10-KSB of Century  Properties Fund
XVI (the "Partnership"),  for the year ended December 31, 2002 as filed with the
Securities and Exchange Commission on the date hereof (the "Report"), Patrick J.
Foye, as the equivalent of the chief executive  officer of the Partnership,  and
Paul J.  McAuliffe,  as the  equivalent  of the chief  financial  officer of the
Partnership,  each hereby  certifies,  pursuant to 18 U.S.C.  Section  1350,  as
adopted pursuant to Section 906 of the  Sarbanes-Oxley Act of 2002, that, to the
best of his knowledge:

(1)  The Report fully complies with the  requirements  of Section 13(a) or 15(d)
     of the Securities Exchange Act of 1934; and

(2)  The information  contained in the Report fairly  presents,  in all material
     respects,  the  financial  condition  and  results  of  operations  of  the
     Partnership.


                                    /s/Patrick J. Foye
                              Name: Patrick J. Foye
                              Date: March 31, 2003

                                    /s/Paul J. McAuliffe
                              Name: Paul J. McAuliffe
                              Date: March 31, 2003

This  certification  accompanies  the  Report  pursuant  to  Section  906 of the
Sarbanes-Oxley  Act of 2002 and shall not,  except to the extent required by the
Sarbanes-Oxley  Act of 2002, be deemed filed by the  Partnership for purposes of
Section 18 of the Securities Exchange Act of 1934, as amended.