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 March 31, 1998

                                       OR

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

                       For the transition period from to


                             Commission file number
                                     0-19144


                            CNL Income Fund VI, Ltd.
             (Exact name of registrant as specified in its charter)


          Florida                           59-2922954
(State or other jurisdiction           (I.R.S. Employer
of incorporation or organiza-          Identification No.)
tion)


400 E. South Street
Orlando, Florida                              32801
----------------------------            -----------------
(Address of principal                       (Zip Code)
executive offices)


Registrant's telephone number
(including area code)                      (407) 422-1574


Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Sections 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


<PAGE>









                                    CONTENTS




Part I                                                         Page

  Item 1.  Financial Statements:

    Condensed Balance Sheets                                   1

    Condensed Statements of Income                             2

    Condensed Statements of Partners' Capital                  3

    Condensed Statements of Cash Flows                         4

    Notes to Condensed Financial Statements                    5-9

  Item 2.  Management's Discussion and Analysis
             of Financial Condition and
             Results of Operations                             10-15

Part II

  Other Information                                            16


<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
                            CONDENSED BALANCE SHEETS


                                        March 31,               December 31,
           ASSETS                         1998                      1997
                                       -----------              -----------

Land and buildings on operating
  leases, less accumulated
  depreciation of $3,244,566
  and $3,327,334                       $19,298,767             $20,785,684
Net investment in direct
  financing leases                       4,471,925               4,708,841
Investment in joint ventures             2,382,213               1,130,139
Cash and cash equivalents                1,695,158               1,614,759
Restricted cash                          1,240,838                 709,227
Receivables, less allowance for
  doubtful accounts of $361,710
  and $363,410                              64,049                 157,989
Prepaid expenses                             3,525                   4,235
Lease costs, less accumulated
  amortization of $6,053 and
  $5,581                                    11,647                  12,119
Accrued rental income, less
  allowance for doubtful
  accounts of $9,697 in 1998
  and 1997                                 865,092                 843,345
Other assets                                26,731                  26,731
                                       -----------             -----------

                                       $30,059,945             $29,993,069
                                       ===========             ===========

LIABILITIES AND PARTNERS' CAPITAL

Accounts payable                       $    11,647             $    14,138
Accrued construction costs payable              -                  125,000
Accrued and escrowed real estate
  taxes payable                             17,646                  38,025
Due to related parties                      16,751                  32,019
Distributions payable                      787,500                 787,500
Rents paid in advance                       35,184                  57,663
                                       -----------             -----------
    Total liabilities                      868,728               1,054,345

Minority interest                          147,555                 144,475

Partners' capital                       29,043,662              28,794,249
                                       -----------             -----------

                                       $30,059,945             $29,993,069
                                       ===========             ===========







            See accompanying notes to condensed financial statements.

                                        1

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
                         CONDENSED STATEMENTS OF INCOME


                                                        Quarter Ended
                                                           March 31,
                                                   1998               1997
                                                ----------         ----------

Revenues:
  Rental income from operating leases           $  632,051         $  639,561
  Earned income from direct financing
    leases                                         124,209            144,914
  Contingent rental income                          32,390             18,936
  Interest and other income                         36,676             15,283
                                                ----------         ----------
                                                   825,326            818,694
                                                ----------         ----------

Expenses:
  General operating and administrative              45,465             34,705
  Professional services                              5,870              5,978
  Real estate taxes                                     -               2,532
  State and other taxes                              9,905              8,614
  Depreciation and amortization                    115,910            119,363
                                                ----------         ----------
                                                   177,150            171,192
                                                ----------         ----------

Income Before Minority Interest in Loss
  (Income) of Consolidated Joint
  Venture, Equity in Earnings of
  Unconsolidated Joint Ventures and
  Gain on Sale of Land and Buildings               648,176            647,502

Minority Interest in Loss (Income) of
  Consolidated Joint Venture                       (12,881)             3,843

Equity in Earnings of Unconsolidated
  Joint Ventures                                    56,496            148,728

Gain on Sale of Land and Buildings                 345,122                 -
                                                ----------         ---------

Net Income                                      $1,036,913         $  800,073
                                                ==========         ==========

Allocation of Net Income:
  General partners                              $    8,488         $    8,001
  Limited partners                               1,028,425            792,072
                                                ----------         ----------

                                                $1,036,913         $  800,073
                                                ==========         ==========


Net Income Per Limited Partner Unit             $    14.69         $    11.32
                                                ==========         ==========

Weighted Average Number of Limited
  Partner Units Outstanding                         70,000             70,000
                                                ==========         ==========



            See accompanying notes to condensed financial statements.

                                        2

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
                    CONDENSED STATEMENTS OF PARTNERS' CAPITAL


                                       Quarter Ended               Year Ended
                                         March 31,                December 31,
                                           1998                       1997
                                       -------------              -----------

General partners:
  Beginning balance                    $   229,363               $   204,010
  Net income                                 8,488                    25,353
                                       -----------               -----------
                                           237,851                   229,363
                                       -----------               -----------

Limited partners:
  Beginning balance                     28,564,886                28,840,357
  Net income                             1,028,425                 2,874,529
  Distributions ($11.25 and
    $45.00 per limited partner
    unit, respectively)                   (787,500)               (3,150,000)
                                       -----------               -----------
                                        28,805,811                28,564,886
                                       -----------               -----------

Total partners' capital                $29,043,662               $28,794,249
                                       ===========               ===========



            See accompanying notes to condensed financial statements.

                                        3

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
                       CONDENSED STATEMENTS OF CASH FLOWS


                                                     Quarter Ended
                                                        March 31,
                                                1998                  1997
                                            -----------            -------

Increase (Decrease) in Cash and Cash
  Equivalents:

    Net Cash Provided by Operating
      Activities                            $   861,169            $   878,213
                                            -----------            -----------

    Cash Flows from Investing
      Activities:
        Proceeds from sale of land
          and buildings                       1,932,253                     -
        Additions to land and build-
          ings on operating leases             (125,000)            (1,112,647)
        Investment in joint ventures         (1,253,755)                    -
        Decrease (Increase) in
          restricted cash                      (536,967)               977,017
                                            -----------            -----------
            Net cash provided by
              (used in) investing
              activities                         16,531               (135,630)
                                            -----------            -----------

    Cash Flows from Financing
      Activities:
        Distributions to limited
          partners                             (787,500)              (857,500)
        Distributions to holder
          of minority interest                   (9,801)                   221
                                            -----------            -----------
            Net cash used in
              financing activities             (797,301)              (857,279)
                                            -----------            -----------

Net Increase (Decrease) in Cash
  and Cash Equivalents                           80,399               (114,696)

Cash and Cash Equivalents at
  Beginning of Quarter                        1,614,759              1,127,930
                                            -----------            -----------

Cash and Cash Equivalents at
  End of Quarter                            $ 1,695,158            $ 1,013,234
                                            ===========            ===========

Supplemental Schedule of Non-Cash
  Financing Activities:

    Distributions declared and
      unpaid at end of quarter              $   787,500            $   787,500
                                            ===========            ===========




            See accompanying notes to condensed financial statements.

                                        4

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
                     NOTES TO CONDENSED FINANCIAL STATEMENTS
                     Quarters Ended March 31, 1998 and 1997


1.       Basis of Presentation:

         The accompanying  unaudited  condensed  financial  statements have been
         prepared in accordance  with the  instructions  to Form 10-Q and do not
         include  all  of the  information  and  note  disclosures  required  by
         generally  accepted  accounting  principles.  The financial  statements
         reflect all adjustments,  consisting of normal  recurring  adjustments,
         which are, in the opinion of management,  necessary to a fair statement
         of the results for the interim periods presented. Operating results for
         the quarter ended March 31, 1998,  may not be indicative of the results
         that may be expected for the year ending December 31, 1998.  Amounts as
         of December 31, 1997, included in the financial  statements,  have been
         derived from audited financial statements as of that date.

         These unaudited financial statements should be read in conjunction with
         the financial statements and notes thereto included in Form 10-K of CNL
         Income Fund VI, Ltd. (the  "Partnership")  for the year ended  December
         31, 1997.

         The Partnership accounts for its 66 percent interest in the accounts of
         Caro Joint Venture using the  consolidation  method.  Minority interest
         represents the minority joint venture partner's  proportionate share of
         the  equity  in  the  Partnership's  consolidated  joint  venture.  All
         significant   intercompany   accounts   and   transactions   have  been
         eliminated.

2.       Land and Buildings:

         In January 1998, the Partnership sold its property in Deland,  Florida,
         to the  tenant,  for  $1,250,000  and  received  net sales  proceeds of
         $1,234,122,  resulting  in a gain of $345,122 for  financial  reporting
         purposes.  This property was originally  acquired by the Partnership in
         October  1989  and had a cost of  approximately  $1,000,000,  excluding
         acquisition fees and miscellaneous acquisition expenses; therefore, the
         Partnership sold the property for  approximately  $234,100 in excess of
         its original purchase price.

         In February  1998,  the  Partnership  sold its  property in  Melbourne,
         Florida, for $590,000 and received net sales proceeds of $552,910.  Due
         to the fact that during 1997, the Partnership recorded an allowance for
         loss of $158,239 for this property,  no gain or loss was recognized for
         financial reporting purposes in February 1998, relating to the sale.



                                        5

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
               NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
                     Quarters Ended March 31, 1998 and 1997


2.       Land and Buildings - Continued:

         In February 1998, the Partnership  sold its property in Liverpool,  New
         York, for $157,500 and received net sales proceeds of $145,221.  Due to
         the fact that in prior years the Partnership  recorded an allowance for
         loss of $181,970 for this property,  no gain or loss was recognized for
         financial reporting purposes in February 1998, relating to the sale.

3.       Net Investment in Direct Financing Leases:

         In February  1998,  the  Partnership  sold its  property in  Melbourne,
         Florida, for which the building portion had been classified as a direct
         financing lease. In connection therewith, the gross investment (minimum
         lease payments  receivable and estimated  residual values) and unearned
         income  relating to this property were removed from the accounts  (Note
         2).

4.       Investment in Joint Ventures:

         In January 1998, the Partnership acquired a 34.74% interest and a 46.2%
         interest  in a property  in Overland  Park,  Kansas,  and a property in
         Memphis, Tennessee,  respectively, as tenants-in-common with affiliates
         of the general partners.  The Partnership  accounts for its investments
         in these  properties  using the  equity  method  since the  Partnership
         shares control with affiliates, and amounts relating to its investments
         are included in investment in joint ventures.

         Auburn Joint Venture, Show Low Joint Venture,  Asheville Joint Venture,
         and  the  Partnership  and  affiliates  as  tenants-in-common  in  four
         separate  tenancy-in-common   arrangements,  each  own  and  lease  one
         property to an operator of national fast-






                                        6

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
               NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
                     Quarters Ended March 31, 1998 and 1997


4.       Investment in Joint Ventures - Continued:

         food and family-style restaurants. The following presents the combined,
         condensed  financial  information  for the joint  ventures and the four
         properties held as tenants-in-common with affiliates at:

                                                 March 31,     December 31,
                                                   1998            1997

                  Land and buildings on
                    operating leases, less
                    accumulated depreciation    $6,045,698      $4,568,842
                  Net investment in direct
                    financing leases             2,516,529         911,559
                  Cash                              18,444           7,991
                  Receivables                       11,112          22,230
                  Accrued rental income            182,725         160,197
                  Other assets                         396             414
                  Liabilities                       19,221           7,557
                  Partners' capital              8,755,683       5,663,676
                  Revenues                         238,798         471,627
                  Gain on sale of land
                    and building                        -          488,372
                  Net income                       206,148         889,883

         The Partnership  recognized  income totalling  $56,496 and $148,728 for
         the quarters  ended March 31, 1998 and 1997,  respectively,  from these
         joint ventures.

5.       Restricted Cash:

         As of March 31, 1998,  the net sales  proceeds of  $1,234,617  from the
         sale of the  property  in Deland,  Florida,  plus  accrued  interest of
         $6,221, were being held in an  interest-bearing  escrow account pending
         the  release  of funds by the escrow  agent to  acquire  an  additional
         property on behalf of the Partnership.

                                        7

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
               NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
                     Quarters Ended March 31, 1998 and 1997


6.       Concentration of Credit Risk:

         The  following  schedule  presents  total rental and earned income from
         individual  lessees,  each  representing  more than ten  percent of the
         Partnership's   total   rental  and  earned   income   (including   the
         Partnership's  share of total  rental  and  earned  income  from  joint
         ventures  and  the  four  properties  held  as  tenants-in-common  with
         affiliates), for at least one of the quarters ended March 31:

                                                  1998               1997
                                                --------           ------

                  Golden Corral Corporation     $169,905           $167,318
                  Mid-America Corporation        109,880            109,880
                  IHOP Properties, Inc.          107,698                 -
                  Restaurant Management
                    Services, Inc.               100,683            140,860

         The  following  schedule  presents  total rental and earned income from
         individual  restaurant chains,  each representing more than ten percent
         of the  Partnership's  total rental and earned  income  (including  the
         Partnership's  share of total  rental  and  earned  income  from  joint
         ventures  and  the  four  properties  held  as  tenants-in-common  with
         affiliates), for at least one of the quarters ended March 31:

                                                1998               1997
                                              --------           ------

                  Golden Corral Family
                    Steakhouse Restaurants    $169,905           $167,318
                  Burger King                  113,955            127,708
                  IHOP                         107,698                 -
                  Denny's                       52,949             91,206

         Although  the  Partnership's   properties  are  geographically  diverse
         throughout the United States and the  Partnership's  lessees  operate a
         variety of restaurant concepts,  default by any one of these lessees or
         restaurant chains could significantly  impact the results of operations
         of the Partnership. However, the general partners believe that the risk
         of such a default is reduced due to the  essential or important  nature
         of these properties for the on-going operations of the lessees.



                                        8

<PAGE>



                            CNL INCOME FUND VI, LTD.
                         (A Florida Limited Partnership)
               NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
                     Quarters Ended March 31, 1998 and 1997


7.       Subsequent Event:

         In  April  1998,   the   Partnership   entered  into  a  joint  venture
         arrangement,   Melbourne  Joint  Venture,  with  an  affiliate  of  the
         Partnership which has the same general partners,  to construct and hold
         one restaurant property, at a total cost of $1,052,552. The Partnership
         and its co-venture partner each have agreed to contribute approximately
         $526,276.  The  Partnership  and its co-venture  partner each expect to
         have a 50  percent  interest  in the  profits  and  losses of the joint
         venture.

                                        9

<PAGE>



ITEM 2.           MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                  CONDITION AND RESULTS OF OPERATIONS

         CNL Income  Fund VI,  Ltd.  (the  "Partnership")  is a Florida  limited
partnership  that was organized on August 17, 1988, to acquire for cash,  either
directly or through  joint  venture  arrangements,  both newly  constructed  and
existing restaurant  properties,  as well as land upon which restaurants were to
be constructed, which are leased primarily to operators of selected national and
regional  fast-food  and  family-style  restaurant  chains  (collectively,   the
"Properties").  The leases are  triple-net  leases,  with the lessees  generally
responsible  for all repairs and  maintenance,  property  taxes,  insurance  and
utilities. As of March 31, 1998, the Partnership owned 39 Properties,  including
four  Properties  owned  by  joint  ventures  in  which  the  Partnership  is  a
co-venturer and four Properties owned with affiliates as tenants-in-common.

Liquidity and Capital Resources

         The  Partnership's  primary  source of capital for the  quarters  ended
March 31, 1998 and 1997, was cash from operations  (which includes cash received
from tenants,  distributions from joint ventures,  and interest and other income
received,  less cash paid for expenses).  Cash from  operations was $861,169 and
$878,213  for the  quarters  ended  March 31, 1998 and 1997,  respectively.  The
decrease in cash from  operations  for the  quarter  ended  March 31,  1998,  is
primarily  a result of changes in income and  expenses,  as  described  below in
"Results of Operations" and changes in the Partnership's working capital.

         Other  sources and uses of capital  included the  following  during the
quarter ended March 31, 1998.

         In July 1997, the Partnership entered into a new lease for the Property
in Greensburg,  Indiana,  with a new tenant to operate the Property as an Arby's
restaurant. In connection therewith, the Partnership paid $125,000 in renovation
costs,  which had been  incurred and accrued as  construction  costs  payable at
December 31, 1997.

         In January 1998, the  Partnership  used the net sales proceeds from the
1997 sale of several  Properties to acquire a Property in Overland Park, Kansas,
and a Property in Memphis,  Tennessee,  as tenants-in-common  with affiliates of
the  general  partners.  In  connection  therewith,   the  Partnership  and  the
affiliates entered into separate  agreements whereby each co-venturer will share
in the  profits  and losses of each  Property in  proportion  to its  applicable
percentage  interest.  As of March 31, 1998, the Partnership  owned a 34.74% and
46.2%  interest  in the  Properties  in  Overland  Park,  Kansas,  and  Memphis,
Tennessee, respectively.



                                       10

<PAGE>



Liquidity and Capital Resources - Continued

         In January 1998, the Partnership sold its Property in Deland,  Florida,
to the tenant,  for  $1,250,000  and received net sales  proceeds of $1,234,122,
resulting in a gain of $345,122 for financial reporting purposes.  This Property
was  originally  acquired by the  Partnership  in October 1989 and had a cost of
approximately   $1,000,000,   excluding   acquisition  fees  and   miscellaneous
acquisition  expenses;   therefore,   the  Partnership  sold  the  Property  for
approximately $234,100 in excess of its original purchase price. As of March 31,
1998, the net sales proceeds of $1,234,617 plus accrued  interest of $6,221 were
being held in an interest-bearing escrow account pending the release of funds by
the escrow agent to acquire an additional Property. The general partners believe
that the transaction, or a portion thereof, relating to the sale of the Property
in Deland,  Florida,  and the reinvestment of the proceeds will be structured to
qualify as a like-kind exchange transaction for federal income tax purposes.

         In February  1998,  the  Partnership  sold its  Property in  Melbourne,
Florida,  for $590,000 and received net sales  proceeds of $552,910.  Due to the
fact that  during  1997,  the  Partnership  recorded  an  allowance  for loss of
$158,239  for  this  Property,  no gain or loss  was  recognized  for  financial
reporting  purposes in February  1998,  relating to the sale.  In  addition,  in
February 1998,  the  Partnership  sold its Property in Liverpool,  New York, for
$157,500 and received  net sales  proceeds of $145,221.  Due to the fact that in
prior years the Partnership  recorded an allowance for loss of $181,970 for this
Property,  no gain or loss was  recognized for financial  reporting  purposes in
February 1998, relating to the sale. The Partnership intends to reinvest the net
sales proceeds from the sale of both Properties in additional Properties.

         In  April  1998,   the   Partnership   entered  into  a  joint  venture
arrangement, Melbourne Joint Venture, with an affiliate of the Partnership which
has the same general partners, to construct and hold one restaurant Property, at
a total cost of $1,052,552. The Partnership and its co-venture partner each have
agreed to contribute  approximately $526,276. The Partnership and its co-venture
partner  each expect to have a 50 percent  interest in the profits and losses of
the joint venture.

         Currently,  rental income from the Partnership's Properties is invested
in money market accounts or other short-term,  highly liquid investments pending
the  Partnership's  use of such  funds to pay  Partnership  expenses  or to make
distributions to the partners. At March 31, 1998, the Partnership had $1,695,158
invested in such  short-term  investments  as compared to $1,614,759 at December
31, 1997. The funds remaining at March 31, 1998,  after payment of distributions
and other  liabilities,  will be used to meet the Partnership's  working capital
and other needs and to acquire additional Properties.



                                       11

<PAGE>



Liquidity and Capital Resources - Continued

         Total liabilities of the Partnership,  including distributions payable,
decreased to $868,728 at March 31, 1998,  from  $1,054,345 at December 31, 1997,
primarily as the result of a decrease in construction  costs payable as a result
of the payment  during the quarter  ended March 31, 1998 of  construction  costs
accrued  at  December  31,  1997,  relating  to the  Partnership's  Property  in
Greensburg,  Indiana,  as described  above. The decrease in liabilities was also
partially  due to a decrease  in rents paid in  advance  at March 31,  1998,  as
compared to December 31, 1997. The general  partners believe the Partnership has
sufficient cash on hand to meet the Partnership's current working capital needs.

         Based on cash from operations,  the Partnership declared  distributions
to the limited  partners of $787,500  for each of the  quarters  ended March 31,
1998 and 1997. This  represents  distributions  for each  applicable  quarter of
$11.25 per unit.  No  distributions  were made to the general  partners  for the
quarters  ended March 31, 1998 and 1997. No amounts  distributed  to the limited
partners for the quarters  ended March 31, 1998 and 1997,  are required to be or
have been  treated by the  Partnership  as a return of capital  for  purposes of
calculating   the   limited   partners'   return  on  their   adjusted   capital
contributions. The Partnership intends to continue to make distributions of cash
available to the limited partners on a quarterly basis.

         The Partnership's  investment strategy of acquiring Properties for cash
and  leasing  them under  triple-net  leases to  operators  who  generally  meet
specified financial  standards  minimizes the Partnership's  operating expenses.
The general partners believe that the leases will continue to generate cash flow
in excess of operating expenses.

         The general  partners have the right,  but not the obligation,  to make
additional capital  contributions if they deem it appropriate in connection with
the operations of the Partnership.

Results of Operations

         During the  quarter  ended  March 31,  1997,  the  Partnership  and its
consolidated joint venture, Caro Joint Venture, owned and leased 37 wholly owned
Properties,  and during the quarter ended March 31, 1998,  the  Partnership  and
Caro Joint Venture owned and leased 35 wholly owned  Properties  (including  two
Properties,  one in each of Melbourne,  Florida and Liverpool,  New York,  which
were sold in February 1998 and one Property in Deland,  Florida,  which was sold
in January 1998) to operators of fast-food and family-style  restaurant  chains.
In connection therewith,  the Partnership and Caro Joint Venture earned $756,260
and $784,475 during the quarters ended March 31, 1998 and 1997, respectively, in
rental  income from  operating  leases and earned  income from direct  financing
leases from these  Properties.  Rental and earned  income  decreased  during the
quarter  ended March 31, 1998,  as compared to the quarter ended March 31, 1997,
primarily as a result of the sales during 1997 of

                                       12

<PAGE>



Results of Operations - Continued

the Properties in Whitehall,  Michigan; Naples, Florida;  Plattsmouth,  Nebraska
and Venice,  Florida and the sales during 1998 of the  Properties  in Deland and
Melbourne,  Florida.  During the quarter  ended March 31, 1998,  the decrease in
rental income was partially  offset by an increase,  due to the  reinvestment of
the net sales proceeds from the 1996 sale of the Property in Dallas, Texas, in a
Property in Marietta,  Georgia, in February 1997 and the reinvestment of the net
sales  proceeds  from the 1997 sales of the  Properties  in Venice  and  Naples,
Florida  in two  Properties,  one in  each  of  Elgin,  Illinois  and  Manassas,
Virginia, in 1997.

         For the quarters  ended March 31, 1998 and 1997, the  Partnership  also
earned  $32,390 and $18,936,  respectively,  in contingent  rental  income.  The
increase in contingent rental income during the quarter ended March 31, 1998, is
primarily  attributable  to an  increase  in gross  sales of certain  restaurant
Properties, the leases of which require the payment of contingent rent.

         During the  quarters  ended  March 31, 1998 and 1997,  the  Partnership
earned  $36,676 and $15,283,  respectively,  in interest and other  income.  The
increase in interest and other income  during the quarter  ended March 31, 1998,
was partially attributable to interest earned on the net sales proceeds relating
to the sale of the Properties in Deland and Melbourne,  Florida,  and Liverpool,
New York,  pending the  reinvestment  of the net sales  proceeds  in  additional
Properties.  The increase was also partially  attributable  to the fact that the
Partnership's  consolidated  joint venture recognized  approximately  $13,300 in
other income, due to the fact that the tenant of the Property in Caro, Michigan,
paid past due real estate taxes  relating to the Property and the joint  venture
reversed  such  amounts  during 1998 that it had  previously  accrued as payable
during 1997.

         For the quarter ended March 31, 1997, the Partnership  owned and leased
three Properties  indirectly through joint venture  arrangements  (including one
Property  in Show Low Joint  Venture,  which was sold in  January  1997) and two
Properties as tenants-in-common  with an affiliate of the general partners.  For
the  quarter  ended  March 31,  1998,  the  Partnership  owned and leased  three
Properties  indirectly through joint venture arrangements and four Properties as
tenants-in-common  with  affiliates  of  the  general  partners.  In  connection
therewith,  during the quarters ended March 31, 1998 and 1997,  the  Partnership
earned $56,496 and $148,728, respectively,  attributable to net income earned by
these joint ventures. The decrease in net income earned by joint ventures during
the quarter  ended March 31,  1998,  as compared to the quarter  ended March 31,
1997, is primarily attributable to the fact that in January 1997, Show Low Joint
Venture, in which the Partnership owns a 36 percent interest,  recognized a gain
of approximately  $360,000 for financial  reporting  purposes as a result of the
sale of its Property in January  1997.  Show Low Joint  Venture  reinvested  the
majority of the net sales  proceeds in a replacement  Property in June 1997. The
decrease in net income earned by joint  ventures  during the quarter ended March
31, 1998,

                                       13

<PAGE>



Results of Operations - Continued

as compared to the quarter ended March 31, 1997, is partially offset by the fact
that in December  1997,  the  Partnership  reinvested  the net sales proceeds it
received  from the 1997 sale of the  Property in Yuma,  Arizona in a Property in
Vancouver,   Washington,   with   affiliates   of  the   general   partners   as
tenants-in-common.  In  addition,  the  decrease  in net income  earned by joint
ventures  during the quarter  ended March 31,  1998,  as compared to the quarter
ended March 31, 1997, is partially  offset by the fact that in January 1998, the
Partnership reinvested the net sales proceeds it received from the 1997 sales of
the Properties in Whitehall,  Michigan and Plattsmouth,  Nebraska, in Properties
in Overland Park, Kansas and Memphis,  Tennessee, with affiliates of the general
partners as tenants-in-common.

         During at least one of the quarters ended March 31, 1998 and 1997, four
of the Partnership's lessees,  Golden Corral Corporation,  Restaurant Management
Services,  Inc.,  Mid-America  Corporation  and  IHOP  Properties,   Inc.,  each
contributed  more than ten  percent of the  Partnership's  total  rental  income
(including rental income from the Partnership's  consolidated  joint venture and
the Partnership's  share of the rental income from the three Properties owned by
unconsolidated joint ventures in which the Partnership is a co-venturer and four
Properties  owned with affiliates as  tenants-in-common).  As of March 31, 1998,
Golden  Corral  Corporation  was  the  lessee  under  leases  relating  to  five
restaurants,  Restaurant  Management Services,  Inc. was the lessee under leases
relating to seven  restaurants,  Mid-America  Corporation  was the lessee  under
leases  relating to four  restaurants and IHOP  Properties,  Inc. was the lessee
under leases relating to four restaurants.  It is anticipated that, based on the
minimum annual rental payments  required by the leases,  these four lessees each
will continue to  contribute  more than ten percent of the  Partnership's  total
rental income during the remainder of 1998 and  subsequent  years.  In addition,
four  Restaurant  Chains,  Golden Corral,  Denny's,  IHOP and Burger King,  each
accounted  for more than ten percent of the  Partnership's  total rental  income
during at least one of the quarters ended March 31, 1998 and 1997 (including the
Partnership's  consolidated  joint  venture and the  Partnership's  share of the
rental income from the  Properties  owned by  unconsolidated  joint  ventures in
which the Partnership is a co-venturer  and Properties  owned with affiliates as
tenants-in-common).  During the remainder of 1998 and in subsequent years, it is
anticipated  that  Golden  Corral,  IHOP and Burger  King each will  continue to
account for more than ten percent of the  Partnership's  total rental  income to
which the Partnership is entitled under the terms of the leases.  Any failure of
these lessees or Restaurant  Chains could  materially  affect the  Partnership's
income.

         Operating expenses,  including  depreciation and amortization  expense,
were  $177,150  and  $171,192  for the  quarters  ended March 31, 1998 and 1997,
respectively.  The increase in operating expenses during the quarter ended March
31,  1998,  as compared  to the  quarter  ended  March 31,  1997,  is  primarily
attributable to an increase in accounting and administrative expenses associated
with

                                       14

<PAGE>



Results of Operations - Continued

operating the Partnership and its Properties. The increase in operating expenses
was partially  offset by a decrease in  depreciation  expense due to the sale of
several  Properties  during  1997 and the sale of the  Properties  in Deland and
Melbourne, Florida, and Liverpool, New York during 1998.

         As a  result  of the  sale  of the  Property  in  Deland,  Florida,  as
described above in "Liquidity and Capital Resources," the Partnership recognized
a gain of  $345,122  during the  quarter  ended March 31,  1998,  for  financial
reporting  purposes.  No Properties were sold during the quarter ended March 31,
1997.


                                       15

<PAGE>



                           PART II. OTHER INFORMATION


Item 1.           Legal Proceedings.  Inapplicable.

Item 2.           Changes in Securities.  Inapplicable.

Item 3.           Defaults upon Senior Securities.  Inapplicable.

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

                  Inapplicable.

Item 5.           Other Information.  Inapplicable.

Item 6.           Exhibits and Reports on Form 8-K.

                  (a)      Exhibits - None.

                  (b)      No reports on Form 8-K were filed  during the quarter
                           ended March 31, 1998.

                                       16

<PAGE>


                                   SIGNATURES


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

         DATED this 12th day of May, 1998.


                            CNL INCOME FUND VI, LTD.

                            By:      CNL REALTY CORPORATION
                                     General Partner


                                     By:      /s/ James M. Seneff, Jr.
                                              ------------------------------
                                              JAMES M. SENEFF, JR.
                                              Chief Executive Officer
                                              (Principal Executive Officer)


                                     By:      /s/ Robert A. Bourne
                                              ------------------------------
                                              ROBERT A. BOURNE
                                              President and Treasurer
                                              (Principal Financial and
                                              Accounting Officer)