UNITED STATES
               SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C.  20549

                           FORM 10-QSB

           Quarterly Report Under Section 13 or 15(d)
             of The Securities Exchange Act of 1934

             For the Quarter Ended:  March 31, 2002

                Commission file number:  0-18289


            AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP
(Exact Name of Small Business Issuer as Specified in its Charter)


      State of Minnesota                   41-1622463
(State or other Jurisdiction of         (I.R.S. Employer
Incorporation or Organization)        Identification No.)


  1300 Minnesota World Trade Center, St. Paul, Minnesota 55101
            (Address of Principal Executive Offices)

                          (651) 227-7333
                   (Issuer's telephone number)


                         Not Applicable
 (Former name, former address and former fiscal year, if changed
                       since last report)

Check  whether  the issuer (1) 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

         Transitional Small Business Disclosure Format:

                         Yes        No [X]




         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP


                              INDEX




PART I.Financial Information

 Item 1. Balance Sheet as of March 31, 2002 and December 31, 2001

         Statements for the Periods ended March 31, 2002 and 2001:

           Income

           Cash Flows

           Changes in Partners' Capital

         Notes to Financial Statements

 Item 2. Management's Discussion and Analysis

PART II.Other Information

 Item 1. Legal Proceedings

 Item 2. Changes in Securities

 Item 3. Defaults Upon Senior Securities

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

 Item 5. Other Information

 Item 6. Exhibits and Reports on Form 8-K

<PAGE>
         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                          BALANCE SHEET

              MARCH 31, 2002 AND DECEMBER 31, 2001

                           (Unaudited)

                             ASSETS

                                                     2002           2001

CURRENT ASSETS:
  Cash and Cash Equivalents                     $   942,726     $   938,698

INVESTMENTS IN REAL ESTATE:
  Land                                            5,095,552       5,095,552
  Buildings and Equipment                        10,303,310      10,303,310
  Accumulated Depreciation                       (2,849,560)     (2,764,686)
                                                 -----------     -----------
      Net Investments in Real Estate             12,549,302      12,634,176
                                                 -----------     -----------
           Total  Assets                        $13,492,028     $13,572,874
                                                 ===========     ===========


                        LIABILITIES AND PARTNERS' CAPITAL

CURRENT LIABILITIES:
  Payable to AEI Fund Management, Inc.          $    39,097     $    24,142
  Distributions Payable                             363,334         365,266
  Unearned Rent                                      26,003               0
                                                 -----------     -----------
      Total Current Liabilities                     428,434         389,408
                                                 -----------     -----------
PARTNERS' CAPITAL (DEFICIT):
  General Partners                                   (1,198)              0
  Limited Partners, $1,000 Unit Value;
   30,000 Units authorized; 22,783 Issued;
   19,784 and 19,850 Units outstanding in
   2002 and 2001, respectively                   13,064,792      13,183,466
                                                 -----------     -----------
     Total Partners' Capital                     13,063,594      13,183,466
                                                 -----------     -----------
       Total Liabilities and Partners' Capital  $13,492,028     $13,572,874
                                                 ===========     ===========


 The accompanying Notes to Financial Statements are an integral
                     part of this statement.
</PAGE>
<PAGE>
         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                       STATEMENT OF INCOME

                 FOR THE PERIODS ENDED MARCH 31

                           (Unaudited)


                                                    2002           2001

INCOME:
   Rent                                         $   481,737    $   462,909
   Investment Income                                  3,097         18,164
                                                 -----------    -----------
        Total Income                                484,834        481,073
                                                 -----------    -----------

EXPENSES:
   Partnership Administration - Affiliates           75,015         70,317
   Partnership Administration and Property
      Management - Unrelated Parties                  9,687         17,284
   Depreciation                                      84,874         82,652
                                                 -----------    -----------
        Total Expenses                              169,576        170,253
                                                 -----------    -----------

NET INCOME                                      $   315,258    $   310,820
                                                 ===========    ===========

NET INCOME ALLOCATED:
   General Partners                             $     3,153    $     3,108
   Limited Partners                                 312,105        307,712
                                                 -----------    -----------
                                                $   315,258    $   310,820
                                                 ===========    ===========

NET INCOME PER LIMITED PARTNERSHIP UNIT
 (19,784 and 20,111 weighted average Units
 outstanding in 2002 and 2001, respectively)    $     15.78    $     15.30
                                                 ===========    ===========


 The accompanying Notes to Financial Statements are an integral
                     part of this statement.
</PAGE>
<PAGE>

         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                     STATEMENT OF CASH FLOWS

                 FOR THE PERIODS ENDED MARCH 31

                           (Unaudited)

                                                       2002           2001

CASH FLOWS FROM OPERATING ACTIVITIES:
   Net  Income                                     $   315,258   $   310,820

   Adjustments to Reconcile Net Income to Net Cash
   Provided by Operating Activities:
     Depreciation                                       84,874        82,652
     (Increase) Decrease in Receivables                      0         1,797
     Increase (Decrease) in Payable to
        AEI Fund Management, Inc.                       14,955        (4,380)
     Increase in Unearned Rent                          26,003        72,461
                                                    -----------   -----------
        Total Adjustments                              125,832       152,530
                                                    -----------   -----------
        Net Cash Provided By
        Operating Activities                           441,090       463,350
                                                    -----------   -----------

CASH FLOWS FROM INVESTING ACTIVITIES:
   Investments in Real Estate                                0       (80,280)
                                                    -----------   -----------

CASH FLOWS FROM FINANCING ACTIVITIES:
   Decrease in Distributions Payable                    (1,932)         (913)
   Distributions to Partners                          (375,097)     (379,463)
   Redemption Payments                                 (60,033)      (99,903)
                                                    -----------   -----------
        Net Cash Used For
        Financing Activities                          (437,062)     (480,279)
                                                    -----------   -----------
NET INCREASE (DECREASE) IN CASH
   AND CASH EQUIVALENTS                                  4,028       (97,209)

CASH AND CASH EQUIVALENTS, beginning of period         938,698     1,026,027
                                                    -----------   -----------
CASH AND CASH EQUIVALENTS, end of period           $   942,726   $   928,818
                                                    ===========   ===========


 The accompanying Notes to Financial Statements are an integral
                     part of this statement.
</PAGE>
<PAGE>

         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

            STATEMENT OF CHANGES IN PARTNERS' CAPITAL

                 FOR THE PERIODS ENDED MARCH 31

                           (Unaudited)



                                                                    Limited
                                                                  Partnership
                             General     Limited                     Units
                             Partners    Partners      Total      Outstanding


BALANCE, December 31, 2000  $(58,139)  $13,790,636  $13,732,497    20,221.57

  Distributions               (3,795)     (375,668)    (379,463)

  Redemption Payments           (999)      (98,904)     (99,903)     (110.87)

  Net Income                   3,108       307,712      310,820
                             --------   -----------  -----------  -----------
BALANCE, March 31, 2001     $(59,825)  $13,623,776  $13,563,951    20,110.70
                             ========   ===========  ===========  ===========


BALANCE, December 31, 2001  $      0   $13,183,466  $13,183,466    19,849.85

  Distributions               (3,751)     (371,346)    (375,097)

  Redemption Payments           (600)      (59,433)     (60,033)      (65.50)

  Net Income                   3,153       312,105      315,258
                             --------   -----------  -----------  -----------
BALANCE, March 31, 2002     $ (1,198)  $13,064,792  $13,063,594    19,784.35
                             ========   ===========  ===========  ===========


 The accompanying Notes to Financial Statements are an integral
                     part of this statement.
</PAGE>
<PAGE>
         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                  NOTES TO FINANCIAL STATEMENTS

                         MARCH 31, 2002

                           (Unaudited)

(1)  The  condensed  statements included herein have been  prepared
     by  the Partnership, without audit, pursuant to the rules  and
     regulations  of  the Securities and Exchange  Commission,  and
     reflect   all  adjustments  which  are,  in  the  opinion   of
     management,  necessary to a fair statement of the  results  of
     operations for the interim period, on a basis consistent  with
     the  annual audited statements.  The adjustments made to these
     condensed   statements  consist  only  of   normal   recurring
     adjustments.   Certain information, accounting  policies,  and
     footnote    disclosures   normally   included   in   financial
     statements  prepared  in  accordance with  generally  accepted
     accounting principles have been condensed or omitted  pursuant
     to  such  rules  and  regulations,  although  the  Partnership
     believes  that  the  disclosures  are  adequate  to  make  the
     information  presented not misleading.  It is  suggested  that
     these  condensed financial statements be read  in  conjunction
     with  the  financial statements and the summary of significant
     accounting  policies  and  notes  thereto  included   in   the
     Partnership's latest annual report on Form 10-KSB.

(2)  Organization -

     AEI Real Estate Fund XVIII Limited Partnership (Partnership)
     was  formed  to  acquire and lease commercial properties  to
     operating tenants.  The Partnership's operations are managed
     by  AEI  Fund  Management XVIII, Inc.  (AFM),  the  Managing
     General Partner.  Robert P. Johnson, the President and  sole
     shareholder of AFM, serves as the Individual General Partner
     and  an  affiliate of AFM, AEI Fund Management, Inc.  (AEI),
     performs the administrative and operating functions for  the
     Partnership.

     The   terms   of  the  Partnership  offering  call   for   a
     subscription  price of $1,000 per Limited Partnership  Unit,
     payable   on  acceptance  of  the  offer.   The  Partnership
     commenced  operations  on February  15,  1989  when  minimum
     subscriptions    of   1,500   Limited   Partnership    Units
     ($1,500,000)   were   accepted.   The  offering   terminated
     December  4, 1990 when the extended offering period expired.
     The Partnership received subscriptions for 22,783.05 Limited
     Partnership   Units.   Under  the  terms  of   the   Limited
     Partnership  Agreement,  the Limited  Partners  and  General
     Partners  contributed  funds  of  $22,783,050,  and  $1,000,
     respectively.

     During operations, any Net Cash Flow, as defined, which  the
     General Partners determine to distribute will be distributed
     90% to the Limited Partners and 10% to the General Partners;
     provided,  however, that such distributions to  the  General
     Partners will be subordinated to the Limited Partners  first
     receiving an annual, noncumulative distribution of Net  Cash
     Flow equal to 10% of their Adjusted Capital Contribution, as
     defined,  and, provided further, that in no event  will  the
     General Partners receive less than 1% of such Net Cash  Flow
     per  annum.  Distributions to Limited Partners will be  made
     pro rata by Units.


         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                  NOTES TO FINANCIAL STATEMENTS
                           (Continued)

(2)  Organization - (Continued)

     Any  Net  Proceeds  of Sale, as defined, from  the  sale  or
     financing of properties which the General Partners determine
     to distribute will, after provisions for debts and reserves,
     be  paid  in  the following manner: (i) first,  99%  to  the
     Limited  Partners and 1% to the General Partners  until  the
     Limited  Partners  receive an amount  equal  to:  (a)  their
     Adjusted Capital Contribution plus (b) an amount equal to 6%
     of their Adjusted Capital Contribution per annum, cumulative
     but not compounded, to the extent not previously distributed
     from  Net  Cash Flow; (ii) next, 99% to the Limited Partners
     and  1%  to the General Partners until the Limited  Partners
     receive  an  amount equal to 14% of their  Adjusted  Capital
     Contribution  per annum, cumulative but not  compounded,  to
     the  extent not previously distributed; (iii) next,  to  the
     General  Partners  until  cumulative  distributions  to  the
     General  Partners under Items (ii) and (iii)  equal  15%  of
     cumulative  distributions to all Partners under  Items  (ii)
     and (iii).  Any remaining balance will be distributed 85% to
     the  Limited  Partners  and  15% to  the  General  Partners.
     Distributions to the Limited Partners will be made pro  rata
     by Units.

     For  tax  purposes,  profits  from  operations,  other  than
     profits  attributable  to  the  sale,  exchange,  financing,
     refinancing  or  other  disposition  of  property,  will  be
     allocated  first  in the same ratio in  which,  and  to  the
     extent,  Net  Cash Flow is distributed to the  Partners  for
     such year.  Any additional profits will be allocated 90%  to
     the  Limited  Partners and 10% to the General Partners.   In
     the  event  no Net Cash Flow is distributed to  the  Limited
     Partners,  90%  of each item of income, gain or  credit  for
     each  respective  year  shall be allocated  to  the  Limited
     Partners,  and 10% of each such item shall be  allocated  to
     the  General Partners.  Net losses from operations  will  be
     allocated 98% to the Limited Partners and 2% to the  General
     Partners.

     For  tax purposes, profits arising from the sale, financing,
     or  other  disposition  of property  will  be  allocated  in
     accordance  with the Partnership Agreement as  follows:  (i)
     first,  to  those  Partners with deficit balances  in  their
     capital  accounts  in an amount equal to  the  sum  of  such
     deficit  balances; (ii) second, 99% to the Limited  Partners
     and  1%  to the General Partners until the aggregate balance
     in  the Limited Partners' capital accounts equals the sum of
     the Limited Partners' Adjusted Capital Contributions plus an
     amount  equal to 14% of their Adjusted Capital Contributions
     per  annum, cumulative but not compounded, to the extent not
     previously  allocated; (iii) third, to the General  Partners
     until  cumulative allocations to the General Partners  equal
     15%  of cumulative allocations.  Any remaining balance  will
     be  allocated  85% to the Limited Partners and  15%  to  the
     General  Partners.   Losses will be  allocated  98%  to  the
     Limited Partners and 2% to the General Partners.

     The  General Partners are not required to currently  fund  a
     deficit   capital   balance.   Upon   liquidation   of   the
     Partnership or withdrawal by a General Partner, the  General
     Partners will contribute to the Partnership an amount  equal
     to  the  lesser  of  the deficit balances in  their  capital
     accounts  or  1%  of  total Limited  Partners'  and  General
     Partners' capital contributions.


         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                  NOTES TO FINANCIAL STATEMENTS
                           (Continued)

(3)  Investments in Real Estate -

     In   November  2000,  the  Lease  on  the  Taco  Fiesta   in
     Brownsville,  Texas  expired and  was  not  renewed  by  the
     tenant.   The  restaurant was closed and  listed  for  sale.
     While   the   property  was  vacant,  the  Partnership   was
     responsible  for  the  real estate  taxes  and  other  costs
     required  to  maintain the property.   In  March  2001,  the
     Partnership  entered into an agreement to sell the  property
     to  an  unrelated third party.  On June 7,  2001,  the  sale
     closed  with the Partnership receiving net sale proceeds  of
     $463,323, which resulted in a net gain of $18,628.   At  the
     time  of sale, the cost and related accumulated depreciation
     was $560,338 and $115,643.

     On May 24, 2001, the Partnership sold 1.1556% of the Champps
     Americana restaurant in Columbus, Ohio to an unrelated third
     party.   The  Partnership  received  net  sale  proceeds  of
     $38,778,  which resulted in a net gain of $12,410.   At  the
     time  of sale, the cost and related accumulated depreciation
     of the interest sold was $29,646 and $3,278, respectively.

     On  August  17,  2001, the Partnership sold 1.0366%  of  the
     Tumbleweed  restaurant in Chillicothe, Ohio to an  unrelated
     third party.  The Partnership received net sale proceeds  of
     $15,788,  which  resulted in a net gain of $3,335.   At  the
     time  of sale, the cost and related accumulated depreciation
     of the interest sold was $13,219 and $766, respectively.

     During  the three months ended March 31, 2002 and 2001,  the
     Partnership distributed $34,998 and $85,893 of the net  sale
     proceeds  to  the Limited and General Partners  as  part  of
     their  regular  quarterly distributions which represented  a
     return of capital of $1.75 and $4.23 per Limited Partnership
     Unit,  respectively.  The remaining net sale  proceeds  will
     either  be re-invested in additional property or distributed
     to the Partners in the future.

     On  June  30, 2000, the Partnership purchased a 24% interest
     in  a  parcel  of land in Alpharetta, Georgia for  $385,920.
     The  land  is  leased to Razzoo's, Inc. (RI) under  a  Lease
     Agreement with a primary term of 15 years and annual  rental
     payments  of  $32,803.   Effective November  26,  2000,  the
     annual  rent was increased to $37,627.  Simultaneously  with
     the  purchase  of the land, the Partnership entered  into  a
     Development  Financing Agreement under which the Partnership
     advanced  funds  to RI for the construction  of  a  Razzoo's
     restaurant on the site.  Initially, the Partnership  charged
     interest  on  the  advances at a rate  of  8.5%.   Effective
     November  26,  2000 and January 31, 2001, the interest  rate
     was increased to 9.75% and 15.0%, respectively.  On July 11,
     2001,   after  the  development  was  completed,  the  Lease
     Agreement  was amended to require annual rental payments  of
     $88,735.   The Partnership's share of the total  acquisition
     costs,  including the cost of the land, was  $895,503.   The
     remaining  interests in the property are owned  by  AEI  Net
     Lease  Income  &  Growth Fund XIX Limited  Partnership,  AEI
     Income  &  Growth  Fund  23 LLC and AEI  Private  Net  Lease
     Millennium  Fund  Limited  Partnership,  affiliates  of  the
     Partnership.


         AEI REAL ESTATE FUND XVIII LIMITED PARTNERSHIP

                  NOTES TO FINANCIAL STATEMENTS
                           (Continued)

(4)  Payable to AEI Fund Management -

     AEI  Fund  Management, Inc. performs the administrative  and
     operating functions for the Partnership.  The payable to AEI
     Fund   Management  represents  the  balance  due  for  those
     services.    This  balance  is  non-interest   bearing   and
     unsecured  and  is  to  be  paid in  the  normal  course  of
     business.


ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS

Results of Operations

        For  the three months ended March 31, 2002 and 2001,  the
Partnership  recognized rental income of $481,737  and  $462,909,
respectively.   During the same periods, the  Partnership  earned
investment income of $3,097 and $18,164, respectively.  In  2002,
rental  income increased as a result of additional rent  received
from  one  property  acquisition in 2001 and  rent  increases  on
twelve  properties.  The increase in rental income was  partially
offset  by  a  decrease in investment income earned on  net  sale
proceeds prior to the purchase of property.

        In  November  2000,  the Lease  on  the  Taco  Fiesta  in
Brownsville,  Texas expired and was not renewed  by  the  tenant.
The  restaurant  was  closed  and listed  for  sale.   While  the
property was vacant, the Partnership was responsible for the real
estate  taxes and other costs required to maintain the  property.
In  March 2001, the Partnership entered into an agreement to sell
the  property to an unrelated third party.  On June 7, 2001,  the
sale  closed with the Partnership receiving net sale proceeds  of
$463,323, which resulted in a net gain of $18,628.  At  the  time
of  sale,  the  cost  and  related accumulated  depreciation  was
$560,338 and $115,643.

       During the three months ended March 31, 2002 and 2001, the
Partnership   paid   Partnership   administration   expenses   to
affiliated  parties of $75,015 and $70,317, respectively.   These
administration  expenses  include  costs  associated   with   the
management of the properties, processing distributions, reporting
requirements and correspondence to the Limited Partners.   During
the   same   periods,   the  Partnership   incurred   Partnership
administration  and property management expenses  from  unrelated
parties  of  $9,687  and $17,284, respectively.   These  expenses
represent  direct payments to third parties for legal and  filing
fees,  direct administrative costs, outside audit and  accounting
costs, taxes, insurance and other property costs.

        As  of March 31, 2002, the Partnership's annualized  cash
distribution  rate  was  7.0%,  based  on  the  Adjusted  Capital
Contribution.   Distributions of Net Cash  Flow  to  the  General
Partners were subordinated to the Limited Partners as required in
the  Partnership  Agreement.  As a result, 99%  of  distributions
were  allocated  to  Limited  Partners  and  1%  to  the  General
Partners.


ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS  (Continued)


        Inflation  has  had  a  minimal  effect  on  income  from
operations.   Leases  may contain rent increases,  based  on  the
increase  in  the  Consumer Price Index over a specified  period,
which  will result in an increase in rental income over the  term
of  the  leases.   In addition, leases may contain  rent  clauses
which  entitle  the  Partnership to receive  additional  rent  in
future  years  if gross receipts for the property exceed  certain
specified  amounts.  Increases in sales volumes of  the  tenants,
due to inflation and real sales growth, may result in an increase
in rental income over the term of the leases.  Inflation also may
cause the real estate to appreciate in value.  However, inflation
and  changing prices may have an adverse impact on the  operating
margins  of  the  properties' tenants, which could  impair  their
ability  to  pay rent and subsequently reduce the Net  Cash  Flow
available for distributions.

Liquidity and Capital Resources

        During  the  three  months  ended  March  31,  2002,  the
Partnership's  cash balances increased $4,028 as the  Partnership
distributed  less  cash to the Partners than  it  generated  from
operating  activities.  Net cash provided by operating activities
decreased from $463,350 in 2001 to $441,090 in 2002 mainly  as  a
result  of  net timing differences in the collection of  payments
from the lessees and the payment of expenses.

        The  major components of the Partnership's cash flow from
investing activities are investments in real estate and  proceeds
from  the  sale  of real estate.  During the three  months  ended
March  31,  2001, the Partnership expended $80,280 to  invest  in
real  properties  (inclusive  of  acquisition  expenses)  as  the
Partnership reinvested cash generated from property sales.

        On  May  24,  2001, the Partnership sold 1.1556%  of  the
Champps  Americana restaurant in Columbus, Ohio to  an  unrelated
third  party.   The  Partnership received net  sale  proceeds  of
$38,778, which resulted in a net gain of $12,410.  At the time of
sale,  the  cost  and  related accumulated  depreciation  of  the
interest sold was $29,646 and $3,278, respectively.

        On  August 17, 2001, the Partnership sold 1.0366% of  the
Tumbleweed restaurant in Chillicothe, Ohio to an unrelated  third
party.   The  Partnership received net sale proceeds of  $15,788,
which resulted in a net gain of $3,335.  At the time of sale, the
cost  and  related accumulated depreciation of the interest  sold
was $13,219 and $766, respectively.

       During the three months ended March 31, 2002 and 2001, the
Partnership  distributed  $34,998 and $85,893  of  the  net  sale
proceeds  to  the Limited and General Partners as part  of  their
regular  quarterly distributions which represented  a  return  of
capital  of  $1.75  and  $4.23  per  Limited  Partnership   Unit,
respectively.  The remaining net sale proceeds will either be re-
invested in additional property or distributed to the Partners in
the future.


ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS  (Continued)


       On June 30, 2000, the Partnership purchased a 24% interest
in  a  parcel  of land in Alpharetta, Georgia for $385,920.   The
land  is  leased  to Razzoo's, Inc. (RI) under a Lease  Agreement
with  a  primary term of 15 years and annual rental  payments  of
$32,803.   Effective  November 26,  2000,  the  annual  rent  was
increased  to $37,627.  Simultaneously with the purchase  of  the
land,  the  Partnership  entered  into  a  Development  Financing
Agreement  under which the Partnership advanced funds to  RI  for
the   construction  of  a  Razzoo's  restaurant  on   the   site.
Initially, the Partnership charged interest on the advances at  a
rate  of 8.5%.  Effective November 26, 2000 and January 31, 2001,
the interest rate was increased to 9.75% and 15.0%, respectively.
On  July 11, 2001, after the development was completed, the Lease
Agreement  was  amended  to  require annual  rental  payments  of
$88,735.  The Partnership's share of the total acquisition costs,
including  the  cost  of the land, was $895,503.   The  remaining
interests  in  the property are owned by AEI Net Lease  Income  &
Growth Fund XIX Limited Partnership, AEI Income & Growth Fund  23
LLC   and   AEI   Private  Net  Lease  Millennium  Fund   Limited
Partnership, affiliates of the Partnership.

       The Partnership's primary use of cash flow is distribution
and  redemption  payments to Partners.  The Partnership  declares
its  regular  quarterly  distributions before  the  end  of  each
quarter and pays the distribution in the first week after the end
of  each quarter.  The Partnership attempts to maintain a  stable
distribution rate from quarter to quarter.   Redemption  payments
are paid to redeeming Partners on a quarterly basis.

        The  Partnership may acquire Units from Limited  Partners
who have tendered their Units to the Partnership.  Such Units may
be  acquired at a discount.  The Partnership is not obligated  to
purchase  in  any  year  more than 5%  of  the  number  of  Units
outstanding at the beginning of the year.  In no event shall  the
Partnership  be  obligated to purchase  Units  if,  in  the  sole
discretion  of the Managing General Partner, such purchase  would
impair the capital or operation of the Partnership.

        On  January 1, 2002, twelve Limited Partners  redeemed  a
total  of  65.5 Partnership Units for $59,433 in accordance  with
the  Partnership Agreement.  The Partnership acquired these Units
using Net Cash Flow from operations.  In prior years, a total  of
201  Limited  Partners  redeemed 2,933.20 Partnership  Units  for
$2,404,447  in  accordance with the Partnership  Agreement.   The
redemptions  increase the remaining Limited  Partners'  ownership
interest in the Partnership.

       The continuing rent payments from the properties, together
with  cash  generated from property sales, should be adequate  to
fund   continuing   distributions  and  meet  other   Partnership
obligations on both a short-term and long-term basis.


ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS  (Continued)


Cautionary Statement for Purposes of the "Safe Harbor" Provisions
of the Private Securities Litigation Reform Act of 1995

         The   foregoing  Management's  Discussion  and  Analysis
contains various "forward looking statements" within the  meaning
of   federal   securities   laws  which  represent   management's
expectations  or  beliefs  concerning  future  events,  including
statements  regarding anticipated application of  cash,  expected
returns  from rental income, growth in revenue, taxation  levels,
the  sufficiency  of  cash to meet operating expenses,  rates  of
distribution,  and  other  matters.   These,  and  other  forward
looking statements made by the Partnership, must be evaluated  in
the   context  of  a  number  of  factors  that  may  affect  the
Partnership's  financial  condition and  results  of  operations,
including the following:

    Market  and  economic conditions which affect the  value
    of  the  properties the Partnership owns and  the  cash
    from rental income such properties generate;

    the  federal  income tax consequences of rental  income,
    deductions,  gain  on  sales and other  items  and  the
    affects of these consequences for investors;

    resolution  by  the General Partners of  conflicts  with
    which they may be confronted;

    the   success  of  the  General  Partners  of   locating
    properties with favorable risk return characteristics;

    the effect of tenant defaults; and

    the  condition of the industries in which the tenants of
    properties owned by the Partnership operate.


                   PART II - OTHER INFORMATION

ITEM 1.LEGAL PROCEEDINGS

       There  are no material pending legal proceedings to  which
  the  Partnership  is  a  party or of  which  the  Partnership's
  property is subject.

ITEM 2.CHANGES IN SECURITIES

      None.

ITEM 3.DEFAULTS UPON SENIOR SECURITIES

      None.

ITEM 4.SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

      None.

ITEM 5.OTHER INFORMATION

      None.

                   PART II - OTHER INFORMATION
                           (Continued)

ITEM 6.EXHIBITS AND REPORTS ON FORM 8-K

       a. Exhibits - None.

       b.   Reports filed on Form 8-K - None.


                           SIGNATURES

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


Dated:  April 30, 2002        AEI Real Estate Fund XVIII
                              Limited Partnership
                              By:  AEI Fund Management  XVIII, Inc.
                              Its: Managing General Partner



                              By: /s/ Robert P. Johnson
                                      Robert P. Johnson
                                      President
                                      (Principal Executive Officer)



                              By: /s/ Mark E. Larson
                                      Mark E. Larson
                                      Chief Financial Officer
                                      (Principal Accounting Officer)