FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


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

                For the quarterly period ended September 30, 2000

                                       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                          94402-1708
           ---------------------------                    -------------
              (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 November 14, 2000: 76,279


                                  Page 1 of 19
<PAGE>

PART I.             FINANCIAL INFORMATION

Item 1.             Financial Statements

                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

                           Consolidated Balance Sheets
                       (in thousands, except unit amounts)

<TABLE>
<CAPTION>
<S>                                                                          <C>                  <C>

                                                                               September 30,      December  31,
                                                                                   2000                 1999
                                                                               (Unaudited)           (Audited)
                                                                             -----------------    -------------
Assets
Investments in real estate:
   Rental property,  net of accumulated  depreciation
     of $19,432 and $18,199 at September 30, 2000 and
     December 31, 1999, respectively                                         $      27,784        $      28,465
   Land held for development                                                         3,332                2,757
                                                                             -------------        -------------

           Total real estate investments                                            31,116               31,222

   Cash and cash equivalents                                                        11,774                5,413
   Accounts receivable                                                               1,300                1,327
   Notes receivable                                                                     --                6,090
   Deferred financing costs and other fees, net of accumulated
     amortization of $2,573 and $2,342 at September 30, 2000
     and December 31, 1999, respectively                                               837                  928
   Prepaid expenses and other assets                                                   782                  651
                                                                             -------------        -------------

                   Total assets                                              $      45,809        $      45,631
                                                                             =============        =============

Liabilities and Partners' Equity (Deficit)
Liabilities:
   Notes payable                                                             $      13,131        $      13,315
   Accounts payable and other liabilities                                              720                  411
   Deferred income                                                                      --                4,034
                                                                             -------------        -------------

            Total liabilities                                                       13,851               17,760
                                                                             -------------        -------------

Commitments and contingent liabilities (see Note 4)                                     --                   --

Partners' Equity (Deficit):
   General partners                                                                   (257)                (465)
   Limited partners, 96,289 and 96,412 limited partnership units
     outstanding at September 30, 2000 and December 31, 1999,
     respectively                                                                   32,215              28,336
                                                                             --------------       -------------

            Total partners' equity                                                  31,958               27,871
                                                                             -------------        -------------

                    Total liabilities and partners' equity                   $      45,809        $      45,631
                                                                             =============        =============

          See accompanying notes to consolidated financial statements.
</TABLE>

                                  Page 2 of 19
<PAGE>

                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

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

<TABLE>
<CAPTION>
<S>                                                 <C>             <C>              <C>             <C>

                                                       Three months ended                 Nine months ended
                                                            September 30                    September 30,
                                                    -----------------------------    ----------------------------
                                                       2000             1999            2000            1999
                                                    ------------    -------------    ------------    ------------
 Revenues
    Rental income                                   $    1,844      $    1,643       $     5,421     $     4,707
    Gain on sales of real estate                           275              --             3,612              --
    Interest and other income                              177             273               969             760
                                                    ----------      ----------       -----------     -----------
            Total revenues                               2,296           1,916            10,002           5,467
                                                    ----------      ----------       -----------     -----------

 Expenses
    Operating                                              771             810             2,241           2,363
    Interest expense                                       297             316               905             951
    Depreciation and amortization                          476             470             1,425           1,338
    Loss on sale of real estate                             --              --                --               6
    Expenses  associated  with
       undeveloped land                                    180              95               283             243
    General and administrative                             359             298               981             901
    Proposed dissolution costs                               7             148                42             302
                                                    ----------      ----------       -----------     -----------
            Total expenses                               2,090           2,137             5,877           6,104
                                                    ----------      ----------       -----------     -----------

    Net income (loss)                               $      206      $     (221)      $     4,125     $      (637)
                                                    ==========      ===========      ===========     ============

 Net income (loss) per limited partnership unit
                                                    $     2.04      $    (2.27)      $     40.64     $     (6.54)
                                                    ==========      ===========      ===========     ============

 Distributions per limited partnership unit:
       From net income                              $        --     $        --      $        --     $        --
       Representing return of capital                        --              --               --              --
                                                    -----------     -----------      -----------     -----------

       Total distributions per limited
        partnership unit                            $        --     $        --      $        --     $        --
                                                    ===========     ===========      ===========     ===========

 Weighted average number of limited  partnership
    units outstanding during each period used to
    compute net income (loss) per limited
    partnership unit                                     96,342          96,442            96,382          96,442
                                                    ===========     ===========      ============    ============

</TABLE>




          See accompanying notes to consolidated financial statements.


                                  Page 3 of 19
<PAGE>


                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

              Consolidated Statement of Partners' Equity (Deficit)
                                  For the nine months ended September 30, 2000
                                 (in thousands)
                                   (Unaudited)

<TABLE>
<CAPTION>
<S>                                               <C>                  <C>                 <C>

                                                      General             Limited
                                                     Partners             Partners             Total
                                                  ----------------     ---------------     -------------

     Balance at December 31, 1999                 $        (465)       $      28,336       $      27,871

     Retirement of limited partnership units                 --                  (38)                (38)

     Net income                                             208                3,917               4,125
                                                  -------------        -------------       -------------

     Balance at September 30, 2000                $        (257)       $      32,215       $      31,958
                                                  ==============       =============       =============
</TABLE>



































          See accompanying notes to consolidated financial statements.


                                  Page 4 of 19
<PAGE>

                              RANCON REALTY FUND V,
                        A CALIFORNIA LIMITED PARTNERSHIP

                      Consolidated Statements of Cash Flows
                                 (in thousands)
                                   (Unaudited)
 <TABLE>
<CAPTION>
<S>                                                              <C>                     <C>
                                                                         Nine months ended
                                                                             September 30,
                                                                 ---------------------------------------
                                                                      2000                    1999
                                                                 ----------------        ---------------
Cash flows from operating activities:
    Net income (loss)                                            $       4,125           $        (637)
    Adjustments to reconcile net income (loss)
      to net cash provided by operating activities:
       (Gain) loss on sales of real estate                              (3,612)                      6
       Deferred interest income on note receivable                        (422)                     --
       Depreciation and amortization                                     1,425                   1,338
       Amortization of loan fees, included in
          interest expense                                                  39                      40
       Changes in certain assets and liabilities:
         Accounts receivable                                                27                     (86)
         Deferred financing costs and other fees                          (140)                   (213)
         Prepaid expenses and other assets                                (131)                  5,361
         Accounts payable and other liabilities                            309                     289
                                                                 -------------           -------------
         Net cash provided by operating activities                       1,620                   6,098
                                                                 -------------           -------------
Cash flows from investing activities:
    Net proceeds from sales of real estate                                  --                   2,088
    Additions to real estate investments                                (1,127)                 (1,209)
    Principal receipts on notes receivable                               6,090                      --
    Funds released from pledged cash                                        --                     353
                                                                 -------------           -------------
         Net cash provided by investing activities                       4,963                   1,232
                                                                 -------------           -------------
Cash flows from financing activities:
    Notes payable principal payments                                      (184)                   (143)
    Retirement of limited partnership units                                (38)                    (12)
                                                                 --------------          --------------

         Net cash used for financing activities                           (222)                   (155)
                                                                 --------------          --------------

Net increase in cash and cash equivalents                                6,361                   7,175

Cash and cash equivalents at beginning of period                         5,413                   3,073
                                                                 -------------           -------------

Cash and cash equivalents at end of period                       $      11,774           $      10,248
                                                                 =============           =============

Supplemental disclosure of cash flow information:
     Cash paid for interest                                      $         898           $         911
                                                                 =============           =============
     Interest capitalized                                        $          32           $          --
                                                                 =============           =============
</TABLE>



          See accompanying notes to consolidated financial statements.




                                  Page 5 of 19
<PAGE>

                              RANCON REALTY FUND V
                        A CALIFORNIA LIMITED PARTNERSHIP

                   Notes to Consolidated Financial Statements

                                  June 30, 2000
                                   (Unaudited)

Note 1.      THE PARTNERSHIP AND ITS SIGNIFICANT ACCOUNTING POLICIES
             -------------------------------------------------------

In the opinion of Rancon Financial Corporation ("RFC") and Daniel Lee Stephenson
(the  "Sponsors"  or  "General  Partner")  and  Glenborough   Corporation,   the
Partnership's  asset and  property  manager  ("Glenborough"),  the  accompanying
unaudited consolidated 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
September 30, 2000 and December 31, 1999, and the related unaudited consolidated
statements of operations and cash flows for the nine months ended  September 30,
2000 and 1999.

Asset Sale and Dissolution Proposal
-----------------------------------
At the beginning of 1999, the Partnership's  business strategy had been to focus
on the eventual disposition of its assets at the optimal time and sales price. A
Consent  Solicitation  Statement (the "Solicitation") was sent to the holders of
limited partnership units ("Unitholders" or "Limited Partners") on July 6, 1999.
The  Solicitation  (incorporated  by reference to the Schedule 14A - Preliminary
Proxy Statement filed with the United States Securities and Exchange  Commission
("Commission")  in the second quarter of 1999)  discussed the General  Partner's
proposal to sell all of the Partnership's  real estate assets ("Asset Sale") and
liquidate  the  Partnership  thereafter   ("Dissolution   Proposal").   A  final
tabulation of the results of the  Solicitation was made on August 25, 1999, with
67,498 Unitholders,  or 88%, of the Units Voted in favor, 7,271 Unitholders,  or
10%, against and 1,706 Unitholders, or 2%, abstaining.

A total of 75 and 32 Units in 2000 and 1999, respectively, were repurchased as a
result of Unitholders'  requests for the Partnership to take over such Units. As
of September 30, 2000, there were 96,289 Units outstanding.

After  extensive work on the potential sale of the Assets,  the General  Partner
has  determined  that,  at this time,  it is not  possible  to sell the Tri City
properties to the most qualified bidders.  The General Partner currently intends
to  retain  the Tri City  properties  and has  begun an  assessment  of  various
opportunities   to  develop   additional   parcels  of  undeveloped  land  on  a
build-to-suit basis.

Allocation of Net Income and Net Loss
-------------------------------------
Allocations  of net income and net losses are made  pursuant to the terms of the
Partnership Agreement.  Generally, net income and net losses from operations are
allocated 90% to the limited partners and 10% to the general partners,  however,
if the  limited  partners  and the  general  partners  have,  as a result  of an
allocation of net loss, a deficit  balance in their capital  accounts,  net loss
shall not be allocated to the limited partners and general partners in excess of
the  positive  balance  until the  balances of the limited  partners and general
partners  capital  accounts  are  reduced  to zero.  Capital  accounts  shall be
determined after taking into account the other allocations and distributions for
the fiscal year.

                                  Page 6 of 19
<PAGE>

Net income other than net income from operations  shall be allocated as follows:
(i) first, to the partners who have a deficit balance in their capital  account,
provided that, in no event shall the general  partners be allocated more than 5%
of the net income  other than net income  from  operations  until the earlier of
sale or disposition of  substantially  all of the assets or the  distribution of
cash  (other  than  cash from  operations)  equal to the  Unitholder's  original
invested  capital;  (ii) second, to the limited partners in proportion to and to
the extent of the  amounts  required to increase  their  capital  accounts to an
amount equal to the sum of the adjusted  invested capital of their units plus an
additional  cumulative  non-compounded  12%  return per annum  (plus  additional
amounts  depending  on the date  Units  were  purchased);  (iii)  third,  to the
partners in the minimum amount required to first equalize their capital accounts
in  proportion  to the number of units owned,  and then, to bring the sum of the
balances  of the  capital  accounts  of the  limited  partners  and the  general
partners  into the  ratio of 4 to 1; and (iv) the  balance,  if any,  80% to the
limited partners and 20% to the general partners.  In no event shall the general
partners be allocated  less than 1% of the net income other than net income from
operations for any period.

Net losses  other than net  losses  from  operations  are  allocated  99% to the
limited  partners  and 1% to the  general  partners.  Such  net  losses  will be
allocated among limited partners as necessary to equalize their capital accounts
in proportion to their Units,  and thereafter will be allocated in proportion to
their Units.

General Partners and Management Agreement
-----------------------------------------
Effective  January 1,  1995,  Glenborough  entered  into an  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., a California Corporation unaffiliated with
the  Partnership,  contracted  to assume these  services.  In August  1998,  the
management agreement was further amended to provide Glenborough with a guarantee
of a specified amount of asset  management and property  management fees through
December 31, 1999,  regardless of whether the Partnership sold any or all of its
properties  prior to such  date.  In  exchange,  Glenborough  waived any and all
claims  related to  liquidated  damages under the agreement to which it may have
otherwise been entitled.

The  Partnership  will  pay  Glenborough  for its  services  as  follows:  (i) a
specified  asset  administration  fee ($640,000 and $569,000 as of September 30,
2000 and 1999);  (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 duties for
the General  Partner of the Rancon  Partnerships.  RFC agreed to cooperate  with
Glenborough, should

                                  Page 7 of 19
<PAGE>

Glenborough  attempt  to  obtain a  majority  vote of the  limited  partners  to
substitute itself as the Sponsor for the Rancon Partnerships. Glenborough is not
an affiliate of RFC or the Partnership.

Basis of Accounting
-------------------
The accompanying  unaudited consolidated financial statements have been prepared
on the  accrual  basis of  accounting  in  accordance  with  generally  accepted
accounting  principles  under the presumption that the Partnership will continue
as a going concern.

Use of Estimates
----------------
The preparation of financial  statements in conformity  with generally  accepted
accounting principles requires management to make estimates and assumptions that
affect  the  reported  amounts  of assets  and  liabilities  and  disclosure  of
contingent  assets and  liabilities at the date of the financial  statements and
the results of operations  during the  reporting  period.  Actual  results could
differ from those estimates.

Consolidation
-------------
In May 1996,  the  Partnership  formed  Rancon  Realty  Fund V Tri-City  Limited
Partnership,  a Delaware limited partnership ("RRF V Tri-City").  As required by
the lender (Bear,  Stearns  Funding,  Inc.) of a $9,600,000 loan obtained by the
Partnership  in  1996,  the  Partnership  contributed  three  of  its  operating
properties  to RRF V Tri-City to provide a  bankruptcy  remote  borrower for the
lender. The loan,  secured by the properties in RRF V Tri-City,  has a principal
balance of $9,100,000 at September 30, 2000,  and matures on August 1, 2006 with
a 9.39% fixed interest rate and a 25-year amortization of principal. The limited
partner of RRF V Tri-City is the  Partnership  and the general partner is Rancon
Realty  Fund V,  Inc.  ("RRF  V,  Inc."),  a  corporation  wholly  owned  by the
Partnership.  Since the Partnership owns 100% of RRF V, Inc. and indirectly owns
100% of RRF V  Tri-City,  the  financial  statements  of RRF V,  Inc.  and RRF V
Tri-City have been consolidated with those of the Partnership.  All intercompany
balances and transactions have been eliminated in the consolidation.

Restatement of Equity
---------------------
Partners'  equity has been  restated  as of  December  31,  1999,  to reflect an
adjustment  to  correct  prior  years'  allocations  of net  income and net loss
between the general  partner and the  limited  partners in  accordance  with the
Partnership Agreement.

                                  Page 8 of 19
<PAGE>

Note 2.      REFERENCE TO 1999 AUDITED FINANCIAL STATEMENTS
             ----------------------------------------------
These unaudited  consolidated financial statements should be read in conjunction
with the Notes to Financial Statements included in the December 31, 1999 audited
consolidated financial statements.

Note 3.      SALES OF REAL ESTATE
             --------------------
Perris-Ethanac land
-------------------
On  January  20,  1999,  the  Partnership  sold  approximately  24 acres of land
(referred to as the Perris- Ethanac land) located in Perris,  Riverside  County,
California,  to an  unaffiliated  third  party  for  $502,200.  The  Partnership
realized a $6,000  loss on the sale,  and the sale  generated  net  proceeds  of
$446,000.

Perris-Nuevo land
-----------------
On  January  29,  1999,  the  Partnership  sold  approximately  60 acres of land
(referred to as the  Perris-Nuevo  land)  located in Perris,  Riverside  County,
California to an unaffiliated third party for $675,000.  As part of the terms of
the sale, the Partnership  loaned $475,000 to the buyer (the "Nuevo Note").  The
Nuevo Note was secured by a deed of trust  encumbering  the  Perris-Nuevo  land,
bears interest at 6% per annum and had an original maturity date of November 15,
1999.

In November  1999, the note was amended to extend the maturity date to April 15,
2000 with a partial principal  payment of $100,000.  In April 2000, the note was
further amended to extend the maturity date to September 15, 2000 with a partial
principal  payment of $75,000.  On September  15,  2000,  the buyer paid off the
entire  remaining  note amount of $300,000.  The proceeds have been added to the
Partnership's cash reserve.

As  the  sale  included  a  $475,000  promissory  note  from  the  buyer  to the
Partnership,  the Partnership  deferred recognition of the $443,000 gain on sale
until  collection  of the note.  During the year ended  December 31,  1999,  the
Partnership recognized a gain of $104,000 after receiving the $100,000 principal
payment  discussed  above. As of September 30, 2000, the Partnership  recognized
the  remaining  gain on sale of $339,000  after  receiving  the  $375,000  final
principal payment discussed above.

Rancon Centre Ontario
---------------------
Also  on  January  29,  1999,  the  Partnership  sold  five  distribution-center
buildings (referred to as Rancon Centre Ontario) located in Ontario,  California
to an unaffiliated third party for $7,650,000. The Partnership loaned $5,715,000
to the  buyer  (the "RCO  Note").  The RCO Note was  secured  by a deed of trust
encumbering the RCO Buildings,  bore interest at 8% and had an original maturity
date of March 1, 2000 with an option  to  extend  the  maturity  date to June 1,
2000. In March 2000,  the buyer  exercised  this option and extended the note to
June 1,  2000.  As the sale of  Rancon  Centre  Ontario  included  a  $5,715,000
promissory  note from the  Partnership to the buyer,  the  Partnership  deferred
recognition  of the  $3,273,000  gain on sale until  collection  of

                                  Page 9 of 19
<PAGE>

the note was received.  As of December 31, 1999, the  Partnership  had collected
interest income totaling  $422,000 from the RCO Note,  which was included in the
deferred gain in the accompanying  consolidated balance sheet as of December 31,
1999, to be recognized upon collection of the note.

On April 14, 2000, the buyer paid off the entire note amount of $5,715,000 prior
to the note  maturity  date of June 1, 2000.  In addition,  $132,000 of interest
income from the note was collected in 2000.  The proceeds have been added to the
Partnership's  cash  reserves.  The deferred gain on sale of $3,273,000  and the
interest income totaling $554,000 from the note was recognized during the second
quarter of 2000.

Note 4.      COMMITMENTS AND CONTINGENT LIABILITIES
             --------------------------------------
The Partnership is contingently  liable for subordinated real estate commissions
payable to the Sponsors in the  aggregate  amount of $102,000 at  September  30,
2000 for sales that were  completed in previous  years.  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.  Since the circumstances under which these commissions would be payable
are limited, the liability has not been recognized in the accompanying financial
statements; however, the amount will be recorded if and when it becomes payable.

Note 5.      NOTES PAYABLE
             -------------
<TABLE>
<CAPTION>
<S>                                                                                    <C>             <C>

The following notes payable were outstanding as of September 30, 2000 and December 31, 1999 (in thousands):
                                                                                          2000             1999
                                                                                       ------------    ----------
Note payable with a 9.39% fixed rate of interest, monthly principal and interest
payments (based on a 25-year  amortization) of $83 and a maturity date of August
1, 2006. The loan is secured by first deeds of trust on Lakeside Tower, One
Parkside and Two Carnegie Plaza.                                                       $    9,100      $    9,203

Note  payable  with an 8.25%  fixed  rate of  interest,  monthly  principal  and
interest  payments (based on a 25-year  amortization) of $34 and a maturity date
of  December  1,  2001.  The  loan is  secured  by a first  deed of trust on One
Carnegie Plaza.
                                                                                            4,031           4,112
                                                                                       ----------      ----------

        Total notes payable                                                            $   13,131      $   13,315
                                                                                       ==========      ==========
</TABLE>

                                 Page 10 of 19
<PAGE>

Note 6.      DEFERRED INCOME
             ---------------
The Partnership's deferred income of $4,034,000 as of December 31, 1999 consists
of the deferred  gains on sales of Rancon Centre Ontario  ($3,273,000,)  and the
Perris-Nuevo  land  ($339,000)  plus  the  interest  income  from  the RCO  note
($422,000).

Note 7.      PROPOSED DISSOLUTION COSTS
             --------------------------
The proposed  dissolution  costs consist of expenses related to the Solicitation
and the Asset Sale and Dissolution  Proposal as discussed in Note 1 of the Notes
to the Consolidated Financial Statements.

Note 8.      LEGAL PROCEEDINGS
             -----------------
On March 7, 2000, The Burlington Northern and Santa Fe Railway Company, the sole
tenant at the  Partnership's  Santa Fe  property,  filed a lawsuit  alleging the
Partnership  had  breached  a right of first  refusal  contained  in its  lease.
According to the filing,  the alleged  breach arose in connection  with a letter
dated  November 29, 1999,  whereby the tenant was notified of the  Partnership's
intention to sell the property. The Partnership intends to dispute the claims in
the complaint. It is the Partnership's position that the tenant has only a right
of first  refusal under its lease,  not an option to purchase the property,  and
the terms of the  possible  sale of the  premises  which are  referenced  in the
letter dated November 29, 1999 were never finalized,  and therefore,  the tenant
did not have the right to purchase the property.



                                 Page 11 of 19
<PAGE>

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

The following discussion of the Partnership's financial condition and results of
operations  should be read in conjunction  with the  Partnership's  December 31,
1999 audited  consolidated  financial  statements,  and the notes to the audited
consolidated financial statements.

Asset Sale and Dissolution Proposal
-----------------------------------
The   Partnership's   properties   consist  of  eight  rental   properties   and
approximately  14 acres of unimproved land  (approximately  6,000 square feet is
under  construction)  in  the  Tri-City  Corporate  Centre  in  San  Bernardino,
California (the "Tri-City  Properties").  Subsequent to obtaining the consent of
the majority of the Unitholders, the General Partner grouped the properties into
two or more  packages  of  properties  (such  as  separate  packages  of  retail
properties,  office  properties and unimproved land) and included  properties in
the Tri-City  Corporate  Centre which are owned by Rancon  Realty Fund IV ("Fund
IV"),  a  partnership  also  sponsored by the General  Partner.  Bidders for any
package of properties containing the Partnership's and Fund IV's properties were
required to specify how their  overall bid was  allocated  among the  individual
properties  in the package,  and the proceeds and expenses from the sales of any
such package were to be apportioned  between the  Partnership  and Fund IV based
upon such allocation.  The General Partner hired an independent real estate firm
to market the properties and to prepare  marketing  materials and  informational
brochures. The informational brochures were presented to a number of prospective
buyers and at the end of  September  1999,  the General  Partner had received 39
signed confidentiality  agreements requesting offering memorandums.  The General
Partner  closed the bidding  process with a request for "best and final  offers"
and received six final bids on the Tri-City  properties in early  November 1999.
In November 1999, the General Partner entered into a due diligence period with a
potential  buyer.  In January  2000,  this due diligence  period was  terminated
largely  due to the impact of rising  interest  rates on the  potential  buyer's
ability to fund the acquisition price. The General Partner subsequently received
three  written  offers from  prospective  buyers and selected one. In June 2000,
this  prospective  buyer  was  completing  its  due  diligence  on the  Tri-City
properties,  and the Partnership was preparing a Purchase and Sale Agreement for
signature.  Interest rates  continued to rise, and the buyer  determined that it
was unable to fund the acquisition due to the changing economic conditions.

After  extensive work on the potential sale of the Assets,  the General  Partner
has  determined  that,  at this time,  it is not  possible  to sell the Tri City
properties to the most qualified bidders.  The General Partner currently intends
to  retain  the Tri City  properties  and has  begun an  assessment  of  various
opportunities   to  develop   additional   parcels  of  undeveloped  land  on  a
build-to-suit  basis. This aligns with the General Partner's goals of increasing
revenues at the Tri-City Properties and increasing distributions to Unitholders.

The  discussion  above  contains   forward-looking   statements   regarding  the
Partnership's plans, goals and expectations,  including statements regarding the
Partnership's estimate of the timing of the sale of the Partnership's  remaining
properties, the distribution of proceeds and the liquidation of the Partnership.
Forward-looking  statements  are  necessarily  speculative,  there being certain
risks and  uncertainties  that could  cause  actual  events or results to differ
materially from those referred to in the forward-looking statements. The General
Partners'  current  plans are subject to change,  both as a result of changes in
general  business and economic  conditions  as well as changes in the local real
estate markets where the Partnership's  properties are located.  There can

                                 Page 12 of 19
<PAGE>

be no assurance that regulatory  approval will be obtained,  if and when consent
solicitation  materials will be mailed to Limited Partners,  that a proposal for
the sale of all of the Partnership's remaining properties and liquidation of the
Partnership  will be approved,  or if and when the properties will be sold, that
the proceeds will be distributed and the  Partnership of liquidated.  The timing
of any sale of the  Partnership's  remaining  properties,  the  distribution  of
proceeds,  and the  liquidation  of the  Partnership  are subject to various and
significant  uncertainties,  many of which are beyond the Partnership's  control
and  which  could  delay  any sale of the  Partnership's  remaining  properties,
liquidation  of the  Partnership,  and  distribution  of proceeds  significantly
beyond the time periods estimated above. Among such uncertainties are the demand
for the Partnership's  properties by potential  purchasers,  the availability of
capital for  potential  purchasers,  the actual dates when  properties  could be
sold, and the duration of any installment sales of any of the properties.

Liquidity and Capital Resources
-------------------------------
As of September 30, 2000, the Partnership had cash of $11,774,000. The remainder
of the  Partnership's  assets consist  primarily of its net  investments in real
estate, totaling approximately  $31,116,000 which includes $27,784,000 in rental
properties and $3,332,000 of land held for development within the Tri-City area.

The  Partnership's   primary   liabilities   include  notes  payable,   totaling
approximately  $13,131,000  at September 30, 2000,  which consist of two secured
fixed rate loans  encumbering  properties  with an  aggregate  net book value of
approximately  $21,111,000  and maturity dates of December 1, 2001 and August 1,
2006.  These notes require  monthly  principal and interest  payments,  and bear
interest rates of 8.25% and 9.39%, respectively.

Perris-Ethanac land
-------------------
On  January  20,  1999,  the  Partnership  sold  approximately  24 acres of land
(referred to as the Perris- Ethanac land) located in Perris,  Riverside  County,
California,  to an  unaffiliated  third  party  for  $502,200.  The  Partnership
realized a $6,000  loss on the sale,  and the sale  generated  net  proceeds  of
$446,000.

Perris-Nuevo land
-----------------
On  January  29,  1999,  the  Partnership  sold  approximately  60 acres of land
(referred to as the  Perris-Nuevo  land)  located in Perris,  Riverside  County,
California to an unaffiliated third party for $675,000.  As part of the terms of
the sale, the Partnership  loaned $475,000 to the buyer (the "Nuevo Note").  The
Nuevo Note is  secured by a deed of trust  encumbering  the  Perris-Nuevo  land,
bears interest at 6% per annum and had an original maturity date of November 15,
1999.

In November  1999, the note was amended to extend the maturity date to April 15,
2000 with a partial principal  payment of $100,000.  In April 2000, the note was
further amended to extend the maturity date to September 15, 2000 with a partial
principal  payment of $75,000.  On September  15,  2000,  the buyer paid off the
entire  remaining  note amount of $300,000.  The proceeds have been added to the
Partnership's cash reserve.

As  the  sale  included  a  $475,000  promissory  note  from  the  buyer  to the
Partnership,  the Partnership  deferred recognition of the $443,000 gain on sale
until  collection  of the note.  During the year ended  December 31,  1999,  the
Partnership recognized a gain of $104,000 after receiving the $100,000 principal
payment  discussed  above. As of September 30, 2000, the Partnership

                                 Page 13 of 19
<PAGE>

recognized the remaining  gain on sale of $339,000 after  receiving the $375,000
final principal payment discussed above.

The sale generated net proceeds of $113,000, prior to collections on the note.

Rancon Centre Ontario
---------------------
Also  on  January  29,  1999,  the  Partnership  sold  five  distribution-center
buildings (referred to as Rancon Centre Ontario) located in Ontario,  California
to an unaffiliated third party for $7,650,000. The Partnership loaned $5,715,000
to the  buyer  (the "RCO  Note").  The RCO Note was  secured  by a deed of trust
encumbering the RCO Buildings,  bore interest at 8% and had an original maturity
date of March 1, 2000 with an option  to  extend  the  maturity  date to June 1,
2000. In March 2000,  the buyer  exercised  this option and extended the note to
June 1, 2000.

As the sale of Rancon Centre Ontario included a $5,715,000  promissory note from
the  Partnership  to the buyer,  the  Partnership  deferred  recognition  of the
$3,273,000  gain on sale  until  collection  of the  note  was  received.  As of
December 31, 1999,  the  Partnership  had  collected  interest  income  totaling
$422,000  from the RCO Note,  which was  included  in the  deferred  gain in the
accompanying  consolidated  balance  sheet  as  of  December  31,  1999,  to  be
recognized upon collection of the note.

On April 14, 2000, the buyer paid off the entire note amount of $5,715,000 prior
to the note  maturity  date of June 1, 2000.  In addition,  $132,000 of interest
income from the note was collected in 2000.  The proceeds have been added to the
Partnership's  cash  reserves.  The deferred gain on sale of $3,273,000  and the
interest income totaling $554,000 from the note was recognized during the second
quarter  of 2000.  The sale  generated  net  proceeds  of  $1,529,000,  prior to
collections on the note.

The sale generated net proceeds of $1,529,000, prior to collections of the note.

Operationally,  the  Partnership's  primary  source  of funds  consists  of cash
provided by its rental activities.  Other sources of funds may include permanent
financing,  property sales and interest income from invested cash balances. Cash
generated  from  property  sales is generally  added to the  Partnership's  cash
reserves,  pending use in the  development of properties or  distribution to the
partners.

Management  believes that the Partnership's  cash balance at September 30, 2000,
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,  on a short-term  basis and for the  reasonably  foreseeable
future.  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.

The Partnership knows of no demands, commitments,  events or uncertainties might
effect  its  capital  resources  in  any  material  respect.  In  addition,  the
Partnership  is not subject to any  covenants  pursuant to its secured debt that
would constrain its ability to obtain additional capital.

                                 Page 14 of 19
<PAGE>

Operating Activities
--------------------
For the nine months ended September 30, 2000, the Partnership's cash provided by
operating activities totaled $1,620,000.

The $27,000 decrease in accounts  receivable at September 30, 2000,  compared to
December 31, 1999, was primarily due to collections of rental income.

The $140,000  increase in deferred  financing  costs and other fees at September
30, 2000,  compared to December 31, 1999, was primarily due to lease commissions
paid for new and renewal leases.

The $131,000  increase in prepaid  expenses  and other  assets at September  30,
2000,  compared  to  December  31,  1999,  was  primarily  due to an increase in
mortgage  impound  reserve  accounts,  and  prepayments  of the  fourth  quarter
investor services fee as well as association dues.

The $309,000 increase in accounts payable and other liabilities at September 30,
2000, compared to December 31, 1999, was primarily due to an increase in accrued
property taxes and  construction  costs for the development of a pad site at one
of the Partnership's land parcels.

Investing Activities
--------------------
During the period ended September 30, 2000, the  Partnership's  cash provided by
investing  activities  totaled  $4,963,000,  which  consisted of  $6,090,000  of
principal and interest  collected on the RCO and Nuevo note receivables,  offset
by $1,127,000 of cash used for capital additions to real estate.

Financing Activities
--------------------
During the period ended  September  30, 2000,  the  Partnership's  cash used for
financing activities totaled $222,000,  which consisted of principal payments on
its two notes  payable  of  $184,000  and  $38,000  paid to  redeem  75  limited
partnership units.

Results of Operations
---------------------
Revenues
--------
Rental income increased $201,000, or 12%, and $714,000, or 15%, during the three
and nine months ended September 30, 2000,  compared to the three and nine months
ended September 30, 1999, respectively,  due primarily to increased occupancy at
the One Carnegie Plaza property.

Occupancy  rates at the Tri-City  properties  as of September  30, 2000 and 1999
were as follows:

                                                   September 30,
                                        ------------------------------------
                                             2000                1999
                                        ---------------     ----------------
     One Carnegie Plaza                       85%                 64%
     Two Carnegie Plaza                       79%                 84%
     Carnegie Business Center II              67%                 70%
     Lakeside Tower                           95%                 97%
     Santa Fe                                100%                100%
     One Parkside                            100%                100%
     Bally's Health Club                     100%                100%
     Outback Steakhouse                      100%                100%

                                 Page 15 of 19
<PAGE>

As of September 30, 2000, tenants at the Tri-City occupying substantial portions
of leased  rental  space  included:  (i) The  Burlington  Northern  and Santa Fe
Railway  Company with a lease through  September 2004; (ii) Chicago Title with a
lease  through  February  2004;  (iii)  Sterling  Software  with a lease through
November 2000; (iv) Holiday Spa Health Club with a lease through  December 2010;
and (v) New York Life with a lease through May 2004. These five tenants,  in the
aggregate,  occupied  approximately  139,712  square feet of the  478,000  total
leasable  square feet at Tri-City and  accounted  for  approximately  33% of the
total rental income of the Partnership during the third quarter of 2000.

The 21% increase in occupancy  from  September 30, 1999 to September 30, 2000 at
One Carnegie  Plaza was the result of leasing  2,700  square feet of  previously
vacant office space to a new tenant,  and a 18,128 square foot  expansion for an
existing tenant.

The 5% decrease in occupancy  from  September  30, 1999 to September 30, 2000 at
Two Carnegie  Business  Plaza was due to a 5,212  square foot tenant  moving out
upon its lease expiration. Management is aggressively marketing the space.

The 3% decrease in occupancy  from  September  30, 1999 to September 30, 2000 at
Carnegie  Business  Center II was due to an  existing  tenant  downsizing  2,760
square feet of space upon  expiration  of their  lease,  and a 2,779 square foot
lease  expiration as well.  This decrease was slightly offset by an increase due
to the leasing of 4,183  square feet of  previously  vacant space to an existing
tenant.

The 2% decrease in occupancy  from  September  30, 1999 to September 30, 2000 at
Lakeside  Tower was due to a 1,812  square foot tenant  vacating  upon its lease
expiration.

The gain on sales of real estate of $275,000  and  $3,612,000  for the three and
nine months ended  September  30, 2000 consists of the  recognition  of deferred
gains on sales of Perris-Nuevo land and Rancon Centre Ontario.

Interest and other income  decreased  $96,000,  or 35%,  during the three months
ended September 30, 2000, compared to the three months ended September 30, 1999,
primarily  due to the  deferral of  interest  income on the RCO note which began
subsequent to September 30, 1999.  Interest and other income increased $209,000,
or 28%,  during the nine months ended  September 30, 2000,  compared to the nine
months ended  September 30, 1999,  primarily due to the  recognition of deferred
interest income on the payoff of the RCO note in the second quarter of 2000.

Expenses
--------
Operating expenses decreased $39,000, or 5%, and $122,000,  or 5%, for the three
and nine months ended September 30, 2000,  compared to the three and nine months
ended  September 30, 1999,  respectively,  primarily due to the  recognition  of
prior year bad debt in 1999,  and the  receipt  of a prior year real  estate tax
refund from the tax appeal for One Carnegie Plaza in 2000.

Interest expense decreased $19,000, or 6%, and $46,000, or 5%, for the three and
nine months  ended  September  30,  2000,  compared to the three and nine months
ended September 30, 1999,  respectively,  primarily due to the capitalization of
interest (beginning subsequent to September 30, 1999) related to the development
of a pad site at one of the Partnership's land parcels.

                                 Page 16 of 19
<PAGE>

Depreciation and amortization  increased $6,000, or 1%, and $87,000,  or 6%, for
the three and nine months ended  September  30, 2000,  compared to the three and
nine  months  ended   September  30,  1999,   respectively,   primarily  due  to
depreciation  of additions to rental  properties.  During the three months ended
September  30,  2000,  the  increase  was  slightly  offset by the  decrease  of
depreciation  of certain  assets  that had been fully  depreciated  prior to the
three months ended September 30, 2000.

The loss on sale of real  estate of $6,000 for the nine months  ended  September
30, 1999 resulted from the sale of the Perris-Ethanac land.

Expenses  associated  with  undeveloped  land  increased  $85,000,  or 89%,  and
$40,000,  or 16%,  for the three  and nine  months  ended  September  30,  2000,
compared to the three and nine months ended  September  30, 1999,  respectively,
primarily due to real estate tax refunds received in 1999.

General and administrative  expenses increased $61,000,  or 20%, and $80,000, or
9%, for the three and nine months  ended  September  30,  2000,  compared to the
three and nine months ended September 30, 1999,  respectively,  primarily due to
an increase in asset management fees resulting from a CPI increase adjustment to
the fee.

The proposed  dissolution  costs incurred during the three and nine months ended
September 30, 2000 and 1999,  respectively,  consist of expenses  related to the
Solicitation and the Asset Sale and Dissolution  Proposal as discussed in Note 1
of the Notes to the  Consolidated  Financial  Statements.  The decrease in these
costs in 2000 was primarily due to the  discontinuation  of the plan to sell the
properties.






                                 Page 17 of 19
<PAGE>


Part II.          OTHER INFORMATION


Item 1.           Legal Proceedings

                  On March 7, 2000, The Burlington Northern and Santa Fe Railway
                  Company,  the  sole  tenant  at  the  Partnership's  Santa  Fe
                  property,   filed  a  lawsuit  alleging  the  Partnership  had
                  breached  a right of first  refusal  contained  in its  lease.
                  According  to  the  filing,   the  alleged   breach  arose  in
                  connection with a letter dated November 29, 1999,  whereby the
                  tenant was notified of the Partnership's intention to sell the
                  property. The Partnership intends to dispute the claims in the
                  complaint.  It is the  Partnership's  position that the tenant
                  has only a right of first  refusal  under  its  lease,  not an
                  option to purchase the property, and the terms of the possible
                  sale of the premises  which are referenced in the letter dated
                  November 29, 1999 were never  finalized,  and  therefore,  the
                  tenant did not have the right to purchase the property.

Item 2.           Changes in Securities and Use of Proceeds

                  Not applicable.

Item 3.           Defaults Upon Senior Securities

                  Not applicable.

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

                  Incorporated  herein  by  reference  to  Note 1 of  the  Notes
                  to  Consolidated Financial Statements.

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 (incorporated herein by reference):

                  None.







                                 Page 18 of 19
<PAGE>


                                   SIGNATURES


Pursuant to the  requirements  of Section 13 or Section 15(d) of the  Securities
Exchange Act of 1934, the  Partnership  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

                                     By:      Rancon Financial Corporation
                                              a California corporation,
                                              its General Partner



Date:    November 14, 2000         By:       /s/  DANIEL L. STEPHENSON
                                            --------------------------
                                            Daniel L. Stephenson, President

Date:    November 14, 2000           By:  /s/  DANIEL L. STEPHENSON
                                          --------------------------
                                          Daniel L. Stephenson, General Partner




                                 Page 19 of 19