FORM 10-QSB--QUARTERLY OR TRANSITIONAL REPORT UNDER SECTION 13 OR 15(d) OF
                        THE SECURITIES EXCHANGE ACT OF 1934
                        Quarterly or Transitional Report



                      U.S. SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   Form 10-QSB

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

                   For the quarterly period ended March 31, 2001


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


                For the transition period from _________to _________

                         Commission file number 0-14578


                  HCW PENSION REAL ESTATE FUND LIMITED  PARTNERSHIP
        (Exact name of small business issuer as specified in its charter)



         Massachusetts                                      04-2825863
(State or other jurisdiction of                          (I.R.S. Employer
 incorporation or organization)                         Identification No.)

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

                                 (864) 239-1000
                           (Issuer's telephone number)


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___



<PAGE>





                         PART I - FINANCIAL INFORMATION


ITEM 1.     FINANCIAL STATEMENTS

a)

                  HCW PENSION REAL ESTATE FUND LIMITED PARTNERSHIP

                                  BALANCE SHEET
                                   (Unaudited)
                          (in thousands, except unit data)

                                 March 31, 2001

<TABLE>
<CAPTION>


Assets
<S>                                                                          <C>
   Cash and cash equivalents                                                 $  369
   Receivables and deposits                                                     131
   Due from affiliate                                                            55
   Other assets                                                                 117
   Investment property:
     Land                                                     $ 621
     Buildings and related personal property                   9,838
                                                              10,459
     Less accumulated depreciation                            (5,442)         5,017
                                                                            $ 5,689
Liabilities and Partners' Deficit
Liabilities
   Accounts payable                                                           $ 7
   Tenant security deposit liabilities                                          114
   Accrued property taxes                                                       334
   Other liabilities                                                             98
   Mortgage note payable                                                      5,444

Partners' Deficit
   General partner                                            $ (140)
   Limited partners (15,698 units issued and
     outstanding)                                               (168)          (308)
                                                                            $ 5,689


                   See Accompanying Notes to Financial Statements

</TABLE>

<PAGE>

b)

                  HCW PENSION REAL ESTATE FUND LIMITED PARTNERSHIP

                            STATEMENTS OF OPERATIONS
                                   (Unaudited)
                          (in thousands, except unit data)

<TABLE>
<CAPTION>

                                                              Three Months Ended
                                                                  March 31,
                                                              2001          2000
Revenues:
<S>                                                          <C>             <C>
  Rental income                                              $  455          $ 462
  Other income                                                   40             36
     Total revenues                                             495            498

Expenses:
  Operating                                                     140            108
  General and administrative                                     65             66
  Depreciation                                                  136            138
  Property taxes                                                 66             67
  Interest expense                                              112             --
     Total expenses                                             519            379

Net (loss) income                                            $ (24)         $ 119

Net (loss) income allocated to general partner (2%)           $ --           $ 2
Net (loss) income allocated to limited partners (98%)           (24)           117

                                                             $ (24)         $ 119

Net (loss) income per limited partnership unit              $ (1.53)       $ 7.45

Distributions per limited partnership unit                  $ 36.25        $107.47

                   See Accompanying Notes to Financial Statements
</TABLE>

<PAGE>


c)

                  HCW PENSION REAL ESTATE FUND LIMITED PARTNERSHIP

                STATEMENT OF CHANGES IN PARTNERS' (DEFICIT) CAPITAL
                                   (Unaudited)
                          (in thousands, except unit data)


<TABLE>
<CAPTION>

                                     Limited
                                   Partnership    General      Limited
                                      Units       Partner      Partners      Total

<S>                                   <C>           <C>        <C>          <C>
Original capital contributions        15,698        $ --       $15,698      $15,698

Partners' (deficit) capital at
   December 31, 2000                  15,698       $ (139)      $ 425        $ 286

Distributions paid to partners            --           (1)        (569)        (570)

Net loss for the three months
   ended March 31, 2001                   --           --          (24)         (24)

Partners' deficit at
   March 31, 2001                     15,698       $ (140)      $ (168)      $ (308)


                   See Accompanying Notes to Financial Statements
</TABLE>

<PAGE>


d)

                  HCW PENSION REAL ESTATE FUND LIMITED PARTNERSHIP

                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)
                                   (in thousands)
<TABLE>
<CAPTION>


                                                                   Three Months Ended
                                                                       March 31,
                                                                    2001        2000
Cash flows from operating activities:
<S>                                                                <C>          <C>
  Net (loss) income                                                $ (24)       $ 119
  Adjustments to reconcile net (loss) income to net cash
   (used in) provided by operating activities:
     Depreciation                                                     136          138
     Amortization of loan costs                                         2           --
     Change in accounts:
      Receivables and deposits                                          8          293
      Due from affiliate                                                2           --
      Other assets                                                    (18)         (27)
      Accounts payable                                                  2          (72)
      Tenant security deposit liabilities                             (10)           7
      Accrued property taxes                                         (177)          67
      Other liabilities                                              (102)         (36)
        Net cash (used in) provided by operating activities          (181)         489

Cash flows used in investing activities:
  Property improvements and replacements                               (4)          (9)

Cash flows used in financing activities:
  Distributions to partners                                          (570)      (1,700)
  Payments on mortgage note payable                                   (28)          --
        Net cash used in financing activities                        (598)      (1,700)

Net decrease in cash and cash equivalents                            (783)      (1,220)

Cash and cash equivalents at beginning of period                    1,152        2,196

Cash and cash equivalents at end of period                         $ 369        $ 976

Supplemental disclosure of cash flow information:
  Cash paid for interest                                           $ 110        $ --

                 See Accompanying Notes to Financial Statements
</TABLE>

<PAGE>

e)

                  HCW PENSION REAL ESTATE FUND LIMITED PARTNERSHIP

                          NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)


Note A - Basis of Presentation

The accompanying  unaudited financial statements of HCW Pension Real Estate Fund
Limited  Partnership (the  "Partnership" or "Registrant")  have been prepared in
accordance with generally accepted  accounting  principles for interim financial
information  and  with the  instructions  to Form  10-QSB  and  Item  310(b)  of
Regulation  S-B.  Accordingly,  they do not include all of the  information  and
footnotes  required by generally  accepted  accounting  principles  for complete
financial  statements.  The General  Partner of the  Partnership  is HCW General
Partner  Ltd.,  whose sole general  partner is IH, Inc. (the  "Managing  General
Partner"),   an  affiliate  of  Apartment   Investment  and  Management  Company
("AIMCO"), a publicly traded real estate investment trust. In the opinion of the
Managing  General  Partner,  all  adjustments  (consisting  of normal  recurring
accruals)  considered  necessary  for a fair  presentation  have been  included.
Operating  results for the three month  period  ended  March 31,  2001,  are not
necessarily  indicative  of the results that may be expected for the fiscal year
ending  December  31,  2001.  For further  information,  refer to the  financial
statements and footnotes thereto included in the Partnership's  Annual Report on
Form 10-KSB for the fiscal year ended December 31, 2000.

Segment Reporting

Statement of Financial  Accounting Standards ("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 establishes  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.  The  Managing  General  Partner
believes that  segment-based  disclosures  will not result in a more  meaningful
presentation than the financial statements as currently presented.

Note B - Transactions with Affiliated Parties

The  Partnership  has no employees  and is  dependent  on the  Managing  General
Partner  and  its  affiliates  for  the  management  and  administration  of all
Partnership  activities.  The  Partnership  Agreement  provides  for (i) certain
payments to affiliates for services and (ii)  reimbursement  of certain expenses
incurred by affiliates on behalf of the Partnership.  The following transactions
with the Managing General Partner and/or its affiliates were incurred during the
three months ended March 31, 2001 and 2000:

                                                                  2001      2000
                                                                  (in thousands)

 Property management fees (included in operating expenses)        $ 26      $ 25
 Asset management fees (included in general and
   administrative expenses)                                         32        36
 Reimbursement for services of affiliates (included in
   general and administrative expenses)                             19        12

Affiliates of the Managing  General  Partner are entitled to receive 5% of gross
receipts  from the  Registrant's  residential  property for  providing  property
management  services.  The  Registrant  paid  to such  affiliates  approximately
$26,000 and $25,000 for each of the three  months ended March 31, 2001 and 2000,
respectively.

An affiliate of the Managing  General Partner  received  reimbursement  of asset
management  fees  amounting to  approximately  $32,000 and $36,000 for the three
months ended March 31, 2001 and 2000, respectively.

An  affiliate  of  the  Managing  General  Partner  received   reimbursement  of
accountable  administrative  expenses  amounting  to  approximately  $19,000 and
$12,000 for the three months ended March 31, 2001 and 2000, respectively.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership, AIMCO and its affiliates owned 5,028 limited partnership units (the
"Units") in the Partnership  representing  32.03% of the outstanding units as of
March 31, 2001. 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  make  one  or  more  additional  offers  to  acquire   additional  limited
partnership  interests in the  Partnership  for cash or in exchange for units in
the operating partnership of AIMCO. 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 without  limitation,  voting on certain
amendments  to the  Partnership  Agreement  and  voting to remove  the  Managing
General Partner. When voting on matters,  AIMCO would in all likelihood vote the
Units it acquired in a manner  favorable to the interest of the Managing General
Partner because of its affiliation with the Managing General Partner.

Note C - Distributions

During the three months ended March 31, 2001, the Partnership  declared and paid
a distribution of approximately $570,000  (approximately $569,000 to the limited
partners or $36.25 per limited  partnership  unit)  consisting of  approximately
$23,000 of cash from operations  (approximately  $22,000 to the limited partners
or $1.40 per limited partnership unit) and approximately $547,000 to the limited
partners from the remaining proceeds from the financing of Lewis Park Apartments
($34.85 per limited  partnership unit).  During the three months ended March 31,
2000,  the  Partnership  declared  and  paid  a  distribution  of  approximately
$1,700,000 ($107.47 per limited partnership unit) consisting of $627,000 of cash
from operations and $1,073,000 from the sale of Highland Professional Tower. The
limited  partners  received  approximately  $1,687,000  and the general  partner
received  approximately  $13,000.  Subsequent to March 31, 2001, the Partnership
declared  and  paid  distributions  of  approximately  $130,000   (approximately
$127,000  paid to the limited  partners or $8.09 per limited  partnership  unit)
from operations.

ITEM 2.     MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

The  matters  discussed  in this Form  10-QSB  contain  certain  forward-looking
statements  and  involve  risks and  uncertainties  (including  changing  market
conditions,   competitive  and  regulatory   matters,   etc.)  detailed  in  the
disclosures  contained  in this  Form  10-QSB  and the  other  filings  with the
Securities and Exchange Commission made by the Registrant from time to time. The
discussion of the  Registrant's  business and results of  operations,  including
forward-looking  statements  pertaining  to such  matters,  does not  take  into
account the effects of any changes to the  Registrant's  business and results of
operation.  Accordingly,  actual  results  could  differ  materially  from those
projected in the forward-looking  statements as a result of a number of factors,
including those identified herein.

The Partnership's  investment property consists of one apartment complex located
in  Carbondale,  Illinois.  The average  occupancy of the property for the three
months ended March 31, 2001 and 2000 was 86% and 89%, respectively. The Managing
General Partner attributes the decrease in occupancy to decreased  enrollment at
the local university.

Results of Operations

The  Partnership  realized  a net loss of  approximately  $24,000  for the three
months ended March 31, 2001 compared to net income of approximately $119,000 for
the three months  ended March 31, 2000.  The decrease in net income is primarily
attributable  to an increase in total  expenses  and a slight  decrease in total
revenue.

Total  revenue  decreased  due to a  decrease  in rental  revenue  at Lewis Park
Apartments.  Rental  revenue  decreased due to a decrease in occupancy  slightly
offset by an increase in average rental rates.

Total expenses increased  primarily due to an increase in interest and operating
expenses.  Interest  expense  increased  due to the issuance of a mortgage  note
payable  during  August  2000 on  Lewis  Park  Apartments  as  discussed  below.
Operating  expense increased due to an increase in salaries and related employee
benefits at the investment property.

Included in general and administrative  expenses at March 31, 2001 and 2000, are
management  reimbursements  to the Managing  General  Partner  allowed under the
Partnership  Agreement.  In addition,  cost  associated  with the  quarterly and
annual  communications  with  investors and  regulatory  agencies and the annual
audit required by the Partnership Agreement are also included.

As part of the ongoing  business plan of the  Partnership,  the Managing General
Partner  monitors the rental market  environment of its  investment  property to
assess the feasibility of increasing rents,  maintaining or increasing occupancy
levels and protecting the Registrant 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  March  31,  2001,  the  Partnership   had  cash  and  cash   equivalents  of
approximately  $369,000 as compared to approximately $976,000 at March 31, 2000.
Cash  and  cash   equivalents   decreased   approximately   $783,000   from  the
Partnership's  year ended  December 31, 2000, due to  approximately  $598,000 of
cash  used  in  financing  activities,  approximately  $4,000  of  cash  used in
investing  activities  and  approximately  $181,000  of cash  used in  operating
activities. Cash used in financing activities consisted of distributions paid to
the  partners  and,  to a lesser  extent,  principal  payments  on the  mortgage
encumbering Lewis Park Apartments.  Cash used in investing  activities consisted
of property  improvements and replacements.  The Partnership invests its working
capital reserves in interest bearing accounts.

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 property 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.  Capital  improvements planned for
the Partnership's property are detailed below.

Lewis Park Apartments

During  the  three  months  ended  March 31,  2001,  the  Partnership  completed
approximately $4,000 of capital improvements at Lewis Park, consisting primarily
of miscellaneous  improvements.  These  improvements  were funded from operating
cash flow.  The  Partnership  evaluated  the  capital  improvement  needs of the
property for the year. The amount budgeted is approximately $65,000,  consisting
primarily of air conditioning unit  replacements,  appliance  replacements,  and
carpet and vinyl replacement. Additional improvements may be considered and will
depend on the physical condition of the property as well as replacement reserves
and anticipated cash flow generated by the property.

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 Partnership's  distributable cash flow,
if any, may be adversely affected at least in the short term.

The Registrant's  current assets are thought to be sufficient for any short-term
needs  (exclusive  of capital  improvements)  of the  Partnership.  The mortgage
indebtedness  of  approximately  $5,444,000  is  amortized  over 20 years with a
maturity date of September 1, 2020. The Managing General Partner will attempt to
refinance this indebtedness and/or sell the property prior to its maturity date.
If the  property  cannot be  refinanced  or sold for a  sufficient  amount,  the
Registrant may risk losing the property through foreclosure.

During the three months ended March 31, 2001, the Partnership  declared and paid
a distribution of approximately $570,000  (approximately $569,000 to the limited
partners or $36.25 per limited  partnership  unit)  consisting of  approximately
$23,000 of cash from operations  (approximately  $22,000 to the limited partners
or $1.40 per limited partnership unit) and approximately $547,000 to the limited
partners from the remaining  proceeds  from  financing of Lewis Park  Apartments
($34.85 per limited  partnership unit).  During the three months ended March 31,
2000,  the  Partnership  declared  and  paid  a  distribution  of  approximately
$1,700,000 ($107.47 per limited partnership unit) consisting of $627,000 of cash
from operations and $1,073,000 from the sale of Highland Professional Tower. The
limited  partners  received  approximately  $1,687,000  and the general  partner
received  approximately  $13,000.  Subsequent to March 31, 2001, the Partnership
declared  and  paid  distributions  of  approximately  $130,000   (approximately
$127,000  paid to the limited  partners or $8.09 per limited  partnership  unit)
from  operations.  The  Partnership's  distribution  policy  is  reviewed  on  a
quarterly basis. Future cash distributions will depend on the levels of net cash
generated from operations,  the availability of cash reserves, and the timing of
debt  refinancing  and/or a property  sale.  There can be no assurance  that the
Partnership  will  generate  sufficient  funds from  operations,  after  planned
capital improvement expenditures,  to permit any additional distributions to its
partners during the remainder of 2001 or subsequent periods.

In addition to its  indirect  ownership of the general  partner  interest in the
Partnership, AIMCO and its affiliates owned 5,028 limited partnership units (the
"Units") in the Partnership  representing  32.03% of the outstanding units as of
March 31, 2001. 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  make  one  or  more  additional  offers  to  acquire   additional  limited
partnership  interests in the  Partnership  for cash or in exchange for units in
the operating partnership of AIMCO. 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 without  limitation,  voting on certain
amendments  to the  Partnership  Agreement  and  voting to remove  the  Managing
General Partner. When voting on matters,  AIMCO would in all likelihood vote the
Units it acquired in a manner  favorable to the interest of the Managing General
Partner because of its affiliation with the Managing General Partner.



<PAGE>


                           PART II - OTHER INFORMATION


ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

            a)    Exhibits:

                  None.

            b)    Reports on Form 8-K filed during the first quarter of 2001:

                  None.




<PAGE>


                                   SIGNATURES



In accordance with the  requirements of the Exchange Act, the Registrant  caused
this  report to be  signed on its  behalf  by the  undersigned,  thereunto  duly
authorized.



                                HCW PENSION REAL ESTATE FUND LIMITED PARTNERSHIP


                                    By:   HCW General Partner, Ltd.,
                                          General Partner


                                    By:   IH, Inc.,
                                          the Managing General Partner


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


                                    By:   /s/Martha L. Long
                                          Martha L. Long
                                          Senior Vice President
                                          and Controller


                                    Date: