SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q


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

                  For the Quarterly Period Ended June 30, 1998

                                       OR

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


                         Commission file number 0-16467

                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP
             (Exact name of registrant as specified in its charter)



                     California                           33-0098488
           (State or other jurisdiction of             (I.R.S. Employer
            incorporation or organization)            Identification No.)


        400 South El Camino Real, Suite 1100
                San Mateo, California                        94402
                (Address of principal                     (Zip Code)
                 executive offices)

                                 (650) 343-9300
              (Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (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 ___


          Total number of units outstanding as of June 30, 1998: 96,513



                                  Page 1 of 14
<PAGE>


PART I.  FINANCIAL INFORMATION

Item 1.  Financial Statements

<TABLE>
<CAPTION>
                                 RANCON REALTY FUND V,
                            A CALIFORNIA LIMITED PARTNERSHIP

                              Consolidated Balance Sheets
                        (in thousands, except units outstanding)
                                      (Unaudited)

                                                               June 30,     December 31,
                                                                 1998           1997
<S>                                                         <C>             <C>
Assets
Investments in real estate:
  Rental property, net of accumulated depreciation
    of  $17,690 and $16,911 at June 30, 1998 and
    December 31, 1997, respectively                         $   32,796      $   33,486
  Land held for development                                      2,691           7,980
  Land held for sale                                             6,209             920
                                                            ----------      ----------

    Total real estate investments                               41,696          42,386

Cash and cash equivalents                                        3,978           4,361
Pledged cash                                                       353             353
Accounts receivable                                                102             141
Notes receivable                                                 1,186           1,208
Deferred financing costs and other fees, net of accumulated
  amortization of $2,109 and $1,953 at June 30, 1998
  and December 31, 1997, respectively                            1,001           1,097
Prepaid expenses and other assets                                  742             645
                                                            ----------      ----------

   Total assets                                             $   49,058      $   50,191
                                                            ==========      ==========
</TABLE>















                                  - continued -


                                  Page 2 of 14
<PAGE>

<TABLE>
<CAPTION>

                                 RANCON REALTY FUND V,
                            A CALIFORNIA LIMITED PARTNERSHIP

                        Consolidated Balance Sheets - continued
                        (in thousands, except units outstanding)
                                      (Unaudited)

                                                              June 30,     December 31,
                                                                 1998          1997

<S>                                                         <C>             <C>
Liabilities and Partners' Equity (Deficit)
Liabilities:
  Notes payable                                             $   13,598      $   13,684
  Accounts payable and accrued expenses                            385             693
  Interest payable                                                  73              74
                                                            ----------      ----------

    Total liabilities                                           14,056          14,451
                                                            ----------      ----------

Commitments and contingent liabilities
  (see Note 4)

Partners' equity (deficit):
  General partners                                                (961)          (954)
  Limited partners, 96,513 and 96,754 limited
    partnership units outstanding at June 30, 1998
    and December 31, 1997, respectively                         35,963         36,694
                                                            ----------      ---------

    Total partners' equity                                      35,002         35,740
                                                            ----------      ---------

    Total liabilities and partners' equity                  $   49,058      $  50,191
                                                            ==========      =========
</TABLE>
















                 See accompanying notes to financial statements.



                                  Page 3 of 14
<PAGE>

<TABLE>
<CAPTION>

                                    RANCON REALTY FUND V,
                               A CALIFORNIA LIMITED PARTNERSHIP

                            Consolidated Statements of Operations
                (in thousands, except per unit amounts and units outstanding)
                                         (Unaudited)

                                           Three months ended            Six months ended
                                                 June 30,                     June 30,
                                         ----------------------       ----------------------
                                            1998         1997            1998         1997
                                         ---------    ---------       ---------    ---------
<S>                                      <C>          <C>             <C>          <C>
Revenue:
  Rental income                          $   1,578    $   1,712       $   3,235    $   3,516
  Interest income                               82           67             179          130
                                         ---------    ---------       ---------    ---------

    Total revenue                            1,660        1,779           3,414        3,646
                                         ---------    ---------       ---------    ---------

Expenses:
  Operating                                    784          769           1,533        1,513
  Interest expense                             321          325             643          651
  Depreciation and amortization                424          518             908        1,004
  Expenses associated with
    undeveloped land                           159           89             315          247
  General and administrative expenses          348          325             667          627
                                         ---------    ---------       ---------    ---------

    Total expenses                           2,036        2,026           4,066        4,042
                                         ---------    ---------       ---------    ---------

Net loss                                 $    (376)   $    (247)      $    (652)   $    (396)
                                         =========    =========       =========    =========



Net loss per limited partnership unit    $   (3.85)   $   (2.45)      $   (6.67)   $   (3.93)
                                         =========    ==========      =========    =========

Weighted average number of limited
  partnership units outstanding during
  each period used to compute net loss
  per limited partnership unit              96,559       99,763          96,635       99,765
                                         =========    =========       =========    =========
</TABLE>












                 See accompanying notes to financial statements.



                                  Page 4 of 14
<PAGE>


                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

              Consolidated Statements of Partners' Equity (Deficit)
                 For the six months ended June 30, 1998 and 1997
                                 (in thousands)
                                   (Unaudited)



                                             General      Limited
                                            Partners     Partners         Total

Balance at December 31, 1997               $   (954)    $  36,694     $  35,740

Retirement of limited partnership units          --           (86)          (86)

Net loss                                         (7)         (645)         (652)
                                           --------     ---------     ---------

Balance at June 30, 1998                   $   (961)    $  35,963     $  35,002
                                           ========     =========     =========




Balance at December 31, 1996               $   (921)    $  40,918     $  39,997

Net loss                                         (4)         (392)         (396)
                                           --------     ---------     ---------

Balance at June 30, 1997                   $   (925)    $  40,526     $  39,601
                                           ========     =========     =========

















                 See accompanying notes to financial statements.



                                  Page 5 of 14
<PAGE>

<TABLE>
<CAPTION>

                                     RANCON REALTY FUND V,
                                A CALIFORNIA LIMITED PARTNERSHIP

                             Consolidated Statements of Cash Flows
                                         (in thousands)
                                          (Unaudited)

                                                                            Six months ended
                                                                                June 30,
                                                                          1998           1997
<S>                                                                  <C>            <C>
Cash flows from operating activities:
  Net loss                                                           $    (652)     $    (396)
    Adjustments to reconcile net loss to net cash
      provided by (used for) operating activities:
        Depreciation and amortization                                      908          1,004
        Amortization of loan fees, included in interest expense             27             27
        Changes in certain assets and liabilities:
          Accounts receivable                                               39             23
          Notes receivable                                                  22             --
          Deferred financing costs and other fees                          (60)           (99)
          Prepaid expenses and other assets                                (97)            13
          Accounts payable and accrued expenses                           (308)            32
          Interest payable                                                  (1)            --
                                                                     ---------      ---------

        Net cash provided by (used for) operating activities              (122)           604
                                                                     ---------      ---------

Cash flows from investing activities:
  Additions to real estate investments                                     (89)          (176)
                                                                     ---------      ---------

        Net cash used for investing activities:                            (89)          (176)
                                                                     ---------      ---------

Cash flows from financing activities:
  Notes payable principal payments                                         (86)           (79)
  Purchase and retirement of limited partnership units                     (86)            --
                                                                     ---------      ---------

        Net cash used for financing activities                            (172)           (79)
                                                                     ---------      ---------

Net increase (decrease) in cash and cash equivalents                      (383)           349

Cash and cash equivalents at beginning of period                         4,361          5,007
                                                                     ---------      ---------

Cash and cash equivalents at end of period                           $   3,978      $   5,356
                                                                     =========      =========

Supplemental disclosure of cash flow information:
  Cash paid for interest                                             $     617      $     624
                                                                     =========      =========
</TABLE>


                 See accompanying notes to financial statements.

                                  Page 6 of 14
<PAGE>


                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

                   Notes to Consolidated Financial Statements

                                  June 30, 1998
                                   (Unaudited)


Note 1.  THE PARTNERSHIP AND ITS SIGNIFICANT ACCOUNTING POLICIES

In the opinion of Rancon Financial Corporation ("RFC") and Daniel Lee Stephenson
(the  "Sponsors")  and  Glenborough   Corporation   (successor  by  merger  with
Glenborough  Inland  Realty  Corporation)   ("Glenborough"),   the  accompanying
unaudited  financial  statements  contain all  adjustments  (consisting  of only
normal  accruals)  necessary to present fairly the financial  position of Rancon
Realty Fund V, A California Limited  Partnership (the  "Partnership") as of June
30, 1998 and December 31, 1997,  the related  statements of  operations  for the
three and six months ended June 30, 1998 and 1997,  and the changes in partners'
equity (deficit) and cash flows for the six months ended June 30, 1998 and 1997.

Effective  January 1, 1995,  RFC  entered  into an  agreement  with  Glenborough
whereby  RFC  sold to  Glenborough  the  contract  to  perform  the  rights  and
responsibilities  under RFC's  agreement with the  Partnership and other related
Partnerships (collectively, the "Rancon Partnerships") to perform or contract on
the Partnership's behalf, for financial, accounting, data processing, marketing,
legal,  investor  relations,  asset and  development  management  and consulting
services for the  Partnership for a period of ten years or until the liquidation
of the  Partnership,  whichever  comes  first.  Effective  January 1, 1998,  the
agreement was amended to eliminate  Glenborough's  responsibility  for providing
investor relations services and Preferred Partnership Services,  Inc. ("PPS"), a
California Corporation  unaffiliated with the Partnership,  contracted to assume
these services.  According to the Glenborough contract, the Partnership will pay
Glenborough for its services as follows:  (i) a specified  asset  administration
fee which is fixed for five years subject to reduction in the year following the
sale of assets ($820,000 in 1998); (ii) sales fees of 2% for improved properties
and 4% for land;  (iii) a refinancing  fee of 1% and (iv) a management fee of 5%
of gross rental  receipts.  As part of this agreement,  Glenborough will perform
certain tasks for the General Partner of the Rancon  Partnerships and RFC agreed
to cooperate with Glenborough,  should Glenborough  attempt to obtain a majority
vote of the limited partners to substitute  itself as the General Partner of the
Rancon Partnerships. Glenborough is not an affiliate of RFC or the Partnership.

During the first half of 1998,  a total of 241  limited  partnership  units were
repurchased and retired as a result of the Partnership's offer to redeem limited
partnership  units. As of June 30, 1998,  there were 96,513 limited  partnership
units issued and outstanding.

Consolidation  - In  order  to  satisfy  certain  lender  requirements  for  the
Partnership's  1996 loan secured by Two Carnegie  Plaza,  Lakeside Tower and One
Parkside, Rancon Realty Fund V Tri-City Limited Partnership,  a Delaware limited
partnership  ("RRF V  Tri-City")  was formed in May 1996.  The three  properties
securing the loan were  contributed  to RRF V Tri-City by the  Partnership.  The
limited  partner of RRF V Tri-City is the Partnership and the general partner is
RRF  V,  Inc.,  a  corporation  wholly  owned  by  the  Partnership.  Since  the
Partnership



                                  Page 7 of 14
<PAGE>


                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

                   Notes to Consolidated Financial Statements

                                  June 30, 1998
                                   (Unaudited)


indirectly  owns  100% of RRF V  Tri-City,  the  financial  statements  of RRF V
Tri-City have been consolidated with those of the Partnership.  All intercompany
balances and transactions have been eliminated in consolidation.

Note 2.  REFERENCE TO 1997 AUDITED FINANCIAL STATEMENTS
         
These  unaudited  financial  statements  should be read in conjunction  with the
Notes  to  Financial  Statements  included  in the  December  31,  1997  audited
financial statements.

Note 3.  INVESTMENTS IN REAL ESTATE

During April 1998, the  Partnership  entered into a contract to sell 41 acres of
unimproved  land,  known as Rancon Centre Ontario land. The sale was expected to
close in June 1998. Accordingly,  the Partnership reclassified the Rancon Centre
Ontario  land from land held for  development  to land held for sale as of March
31, 1998.  However,  the contract was  terminated  due to  environmental  issues
dealing  with an  endangered  species,  the New Delhi  Sand Fly.  Management  is
currently  investigating  possible  resolutions  to the  wildlife  issues.  Once
resolved, management will resume marketing the unimproved land for sale.

Note 4.  COMMITMENTS AND CONTINGENT LIABILITIES

The Partnership is contingently  liable for subordinated real estate commissions
payable  to the  Sponsor  in the  amount  of  $102,000  at June  30,  1998.  The
subordinated real estate commissions are payable only after the Limited Partners
have received  distributions  equal to their  original  invested  capital plus a
cumulative  non-compounded  return of six  percent  per annum on their  adjusted
invested capital.





                                  Page 8 of 14
<PAGE>


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

LIQUIDITY AND CAPITAL RESOURCES

At June 30, 1998, the Partnership  had cash of $3,978,000  (exclusive of pledged
cash).  The  remainder  of the  Partnership's  assets  consist  primarily of its
investments in real estate,  totaling  approximately  $41,696,000 which includes
$32,796,000 in rental  properties,  $2,691,000 of land held for  development and
$6,209,000 of land held for sale.

Operationally,  the  Partnership's  primary  sources  of funds  consist  of cash
provided by its rental activities.  Other sources of funds may include permanent
financing,  property sales and interest  income on  certificates  of deposit and
other  deposits  of  funds  invested  temporarily,  pending  their  use  in  the
development of properties. Cash generated from property sales may be utilized in
the development of other properties or distributed to the partners.

All of the  Partnership's  assets  are  located  within  the  Inland  Empire,  a
submarket of Southern  California,  which,  despite recent economic growth,  has
been affected by the relocation of various  California State agencies into state
owned buildings and the recent bank and health care mergers. Management believes
that while the commercial real estate market  continues to improve in the Inland
Empire, new construction may soon begin to constrain rent and price increases.

Tri-City

The  Partnership  currently  owns  the  following  properties  in  the  Tri-City
Corporate  Center  area  within  the Inland  Empire  submarket  of the  Southern
California region:

    Property                               Type                      Square Feet
One Carnegie Plaza             Two, two story office buildings           107,276
Two Carnegie Plaza             Two story office building                  68,956
Carnegie Business Center II    Two R&D buildings                          50,867
Santa Fe                       One story office building                  36,288
Lakeside Tower                 Six story office building                 112,717
One Parkside                   Four story office building                 70,069
Bally's Health Club            Health club facility                       25,000
Outback Steakhouse             Restaurant                                  6,500

The  Partnership  also owns  approximately  14 acres of  unimproved  land in the
Tri-City area.

The Partnership's  general partner is currently in the process of evaluating the
fair market value of the Tri-City assets. The general partner and management are
evaluating  appraisals prepared by CB Commercial and other market information in
an effort to  determine  the  optimal  time to dispose of its assets and realize
their maximum value.


Rancon Center Ontario

Additionally,  the Partnership owns the Rancon Center Ontario property  (245,000
square  feet  of  leasable   industrial  space)  in  Ontario,   California  plus
approximately 41 acres of unimproved land in Ontario,  California. This land was
in contract to be sold by June 1998. However, the contract was terminated due to
wildlife issues.  Management is currently  investigating possible



                                  Page 9 of 14
<PAGE>

resolutions  to the  wildlife  issues.  Once  resolved,  management  will resume
marketing the unimproved land for sale. Management also anticipates offering the
245,000  square foot  industrial  space (the improved  property) for sale in the
latter part of 1998.

Perris-Ethanac and Nuevo

The  Partnership  also  owns  23.8  acres  of  unimproved  land  referred  to as
Perris-Ethanac   Road  and  78.1  acres  of  undeveloped  land  referred  to  as
Perris-Nuevo  Road.  There  has been no  development  to date at either of these
projects.  Both properties are  unencumbered  and are being marketed for sale by
the Partnership.

General Matters

Other than the aforementioned, the Partnership knows of no demands, commitments,
events or uncertainties which might effect its liquidity or capital resources in
any material  respect.  The effect of inflation  on the  Partnership's  business
should be no greater than its effect on the economy as a whole.

Management  believes that the  Partnership's  cash balances as of June 30, 1998,
together with the cash from operations,  sales and financing, will be sufficient
to finance  the  Partnership's  and the  properties'  continued  operations  and
development  plans.  However,  there can be no assurance that the  Partnership's
results of  operations  will not fluctuate in the future and at times affect its
ability to meet its operating requirements.

RESULTS OF OPERATIONS

Revenue

Rental  income  decreased  $281,000 or 8% and  $134,000 or 8% during the six and
three months ended June 30, 1998 compared to the six and three months ended June
30,  1997,  respectively,  due to the  relocation  of various  California  State
agencies  into  state  owned  buildings  and  the  office  suite  consolidations
resulting from recent bank and health care mergers.

Occupancy  rates at the  Partnership's  properties  as of June 30, 1998 and 1997
were as follows:

                                                 June 30,
                                             1998       1997

One Carnegie Plaza                            48%        88%
Two Carnegie Plaza                            82%        81%
Carnegie Business Center II                   72%        74%
Lakeside Tower                                84%        83%
Santa Fe                                     100%       100%
One Parkside                                  66%        66%
Rancon Centre Ontario                         78%        80%
Bally's Health Club                          100%       100%
Outback Steakhouse                           100%       100%

The 40 percentage point drop in occupancy from June 30, 1997 to June 30, 1998 at
One Carnegie  Plaza is a result of a tenant,  who  occupied an aggregate  35,306
square feet, relocating to a state owned building in February 1998.

The Atchison Topeka and Santa Fe Railway  Company,  Sterling  Software,  Chicago
Title and Holiday Spa Health Club, occupy  substantial  portions of leased space
at Tri-City with leases  expiring at various dates  between  September  1999 and
December  2010.  These four  tenants,  in



                                 Page 10 of 14
<PAGE>


the  aggregate,  occupy  approximately  116,821 square feet of the total 478,000
total leasable square feet at Tri-City and account for  approximately 34% of the
rental income  generated at Tri-City and  approximately  29% of the total rental
income for the Partnership.

During the six months ended June 30, 1998,  three leases totaling 151,850 square
feet at Rancon Centre Ontario expired. Two of these leases were with tenants who
vacated their suites,  totaling 77,000 square feet,  upon the lease  expiration.
The  third  lease  is with a  tenant  who  occupies  74,850  square  feet and is
currently  on holdover  status.  The three  tenants  account for 64% of the 1998
rental  income  generated  at  Ontario  and 9% of the total 1998  rental  income
generated by the Partnership.  Management has been marketing these spaces and is
currently  finalizing  terms for a 27,000 square foot lease.  Management is also
evaluating the property for potential sale later in 1998.

Interest  and other income  increased  $49,000 or 38% and $15,000 or 22% for the
six and three  months  ended June 30, 1998  compared to the six and three months
ended  June 30,  1997,  respectively,  due to  interest  earned on a new  tenant
improvement note receivable in 1997.

Expenses

Operating  expenses  remained  stable during the six and three months ended June
30, 1998 compared to the six and three months ended June 30, 1997.

Interest  expense remained stable during the six and three months ended June 30,
1998  compared  to the six and three  months  ended June 30, 1997 since no major
changes were made to the Partnership's outstanding debt.

Depreciation and amortization decreased $96,000 or 10% and $94,000 or 18% during
the six and three months ended June 30, 1998 from the six and three months ended
June 30,  1997 due to a large  amount  of  tenant  improvements  becoming  fully
depreciated in 1998.

Expenses  associated with undeveloped land increased  $68,000 or 28% and $70,000
or 79% during the six and three months ended June 30, 1998  compared the six and
three months ended June 30, 1997, respectively,  primarily due to the receipt of
real estate tax refunds in May 1997.

General and  administrative  expenses  increased $40,000 or 6% and $23,000 or 7%
during the six and three  months  ended June 30,  1998  compared  to the six and
three months ended June 30, 1997,  respectively,  due to the special appraisals,
analysis and forecast  services  obtained by management to assist in determining
the optimal time to sell the properties.





                                 Page 11 of 14
<PAGE>


Year 2000 Compliance

The Partnership  utilizes a number of computer  software  programs and operating
systems across its entire organization, including applications used in financial
business systems and various  administrative  functions.  To the extent that the
Partnership's  software  applications  contain  a source  code that is unable to
appropriately interpret the upcoming calendar year "2000" and beyond, some level
of  modification,  or replacement of such  applications  will be necessary.  The
Partnership has completed its  identification  of applications  that are not yet
"Year 2000"  compliant and has commenced  modification  or  replacement  of such
applications,  as necessary.  Given the information known at this time about the
Partnership's  systems that are  non-compliant,  coupled with the  Partnership's
ongoing,  normal  course-of-business  efforts to  upgrade  or  replace  critical
systems,  as necessary,  management does not expect "Year 2000" compliance costs
to have any material  adverse impact on the  Partnership's  liquidity or ongoing
results of  operations.  No  assurance  can be given,  however,  that all of the
Partnership's  systems will be "Year 2000" compliant or that compliance costs or
the  impact of the  Partnership's  failure to achieve  substantial  "Year  2000"
compliance will not have a material adverse effect on the  Partnership's  future
liquidity or results of operations.





                                 Page 12 of 14
<PAGE>


PART II. OTHER INFORMATION


Item 1.  Legal Proceedings

         None.

Item 2.  Changes in Securities

         Not applicable.

Item 3.  Defaults Upon Senior Securities

         Not applicable.

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

         None.

Item 5.  Other Information

         None.

Item 6.  Exhibits and Reports on Form 8-K

         (a)   Exhibits:

               #27 - Financial Data Schedule

         (b)   Reports on Form 8-K:

               None.




                                 Page 13 of 14
<PAGE>


                                    SIGNATURE



Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.


                          RANCON REALTY FUND V,
                          a California Limited Partnership
                          (Registrant)






Date: August 12, 1998     By:   /s/ Daniel L. Stephenson
                                ------------------------
                                Daniel L. Stephenson, General Partner
                                and Director, President, Chief Executive Officer
                                and Chief Financial Officer of
                                Rancon Financial Corporation,
                                General Partner of Rancon Realty Fund V,
                                a California Limited Partnership

                                 Page 14 of 14