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

                                   Form 10-QSB

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

                 For the quarterly period ended September 30, 2003


[ ] 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 0-10273


                       CONSOLIDATED CAPITAL PROPERTIES III
             (Exact Name of Registrant as Specified in Its Charter)



         California                                             94-2653686
(State or other jurisdiction of                              (I.R.S. Employer
 incorporation or organization)                             Identification No.)

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

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



                         PART I - FINANCIAL INFORMATION


ITEM 1.     FINANCIAL STATEMENTS



                       CONSOLIDATED CAPITAL PROPERTIES III

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

                               September 30, 2003

<TABLE>
<CAPTION>


Assets
<S>                                                                          <C>
   Cash and cash equivalents                                                 $ 658
   Receivables and deposits                                                      71
   Other assets                                                                 361
   Investment properties:
      Land                                                    $ 407
      Buildings and related personal property                  9,424
                                                               9,831
      Less accumulated depreciation                           (7,582)         2,249
                                                                            $ 3,339
Liabilities and Partners' Deficit
Liabilities
   Accounts payable                                                          $ 57
   Tenant security deposit liabilities                                           61
   Accrued property taxes                                                       132
   Other liabilities                                                            338
   Due to affiliates (Note B)                                                   145
   Mortgage notes payable                                                     7,413

Partners' Deficit
   General partners                                           $(1,873)
   Limited partners (158,582 units issued and
      outstanding)                                            (2,934)        (4,807)
                                                                            $ 3,339


            See Accompanying Notes to Consolidated Financial Statements
</TABLE>


<PAGE>



                       CONSOLIDATED CAPITAL PROPERTIES III

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

<TABLE>
<CAPTION>

                                                Three Months Ended     Nine Months Ended
                                                  September 30,          September 30,
                                                 2003       2002        2003       2002
                                                         (Restated)             (Restated)
Revenues:
<S>                                             <C>         <C>       <C>         <C>
  Rental income                                 $ 582       $ 538     $ 1,675     $ 1,647
  Other income                                      54          64        160         165
     Total revenues                                636         602      1,835       1,812

Expenses:
  Operating                                        360         365        903         848
  General and administrative                        50          66        172         199
  Depreciation                                     111         107        342         326
  Interest                                         147         155        446         455
  Property taxes                                    38          45        132         133
     Total expenses                                706         738      1,995       1,961

Loss from continuing operations                    (70)       (136)      (160)       (149)
(Loss) income from discontinued
  operations                                      (402)         (6)      (488)          1
Gain from sale of discontinued operations          988          --        988          --
Net income (loss)                               $ 516      $ (142)     $ 340      $ (148)

Net income (loss) allocated to general
  partners (4%)                                  $ 21       $ (6)       $ 14       $ (6)
Net income (loss) allocated to limited
  partners (96%)                                   495        (136)       326        (142)

                                                $ 516      $ (142)     $ 340      $ (148)
Per limited partnership unit:
Loss from continuing operations                $ (0.42)    $ (0.82)   $ (0.97)    $ (0.91)
(Loss) income from discontinued operations       (2.44)      (0.04)     (2.95)       0.01
Gain from sale of discontinued operations         5.98          --       5.98          --
Net income (loss)                               $ 3.12     $ (0.86)    $ 2.06     $ (0.90)
Distributions per limited partnership unit       $ --       $ --        $ --      $ 1.91


            See Accompanying Notes to Consolidated Financial Statements
</TABLE>



<PAGE>


                       CONSOLIDATED CAPITAL PROPERTIES III

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


<TABLE>
<CAPTION>

                                       Limited
                                     Partnership     General      Limited
                                        Units        Partners    Partners      Total


<S>                                    <C>             <C>      <C>           <C>
Original capital contributions         158,945         $ 1      $  79,473     $ 79,474

Partners' deficit
   at December 31, 2002                158,582       $(1,887)   $  (3,260)    $ (5,147)

Net income for the nine months
   ended September 30, 2003                --             14          326          340

Partners' deficit
   at September 30, 2003               158,582       $(1,873)   $  (2,934)    $ (4,807)



            See Accompanying Notes to Consolidated Financial Statements
</TABLE>


<PAGE>


                       CONSOLIDATED CAPITAL PROPERTIES III

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)
                                 (in thousands)

<TABLE>
<CAPTION>

                                                                  Nine Months Ended
                                                                    September 30,
                                                                  2003         2002
Cash flows from operating activities:
<S>                                                               <C>         <C>
  Net income (loss)                                               $ 340       $ (148)
  Adjustments to reconcile net income (loss) to net cash
   provided by operating activities:
   Gain from sale of discontinued operations                        (988)          --
   Depreciation                                                      478          465
   Loss on early extinguishment of debt                              332           --
   Amortization of loan costs                                         21           23
   Bad debt expense                                                  115          172
   Change in accounts:
      Due to affiliates                                               99           --
      Receivables and deposits                                       (67)        (179)
      Other assets                                                   (49)         (18)
      Accounts payable                                               (65)         (33)
      Tenant security deposit liabilities                             (8)          (6)
      Accrued property taxes                                         132          137
      Other liabilities                                               25          116
       Net cash provided by operating activities                     365          529
Cash flows from investing activities:
  Proceeds from sale of discontinued operations                    1,651           --
  Property improvements and replacements                            (245)        (198)
  Insurance proceeds received                                         --          173
  Net withdrawals from restricted escrows                             --          178
       Net cash provided by investing activities                   1,406          153
Cash flows from financing activities:
  Repayment of mortgage note payable                              (1,047)          --
  Payments on mortgage notes payable                                (166)        (154)
  Distributions to partners                                           --         (303)
  Advance from affiliate                                              70           --
  Payments on advances from affiliate                                (58)          --
       Net cash used in financing activities                      (1,201)        (457)
Net increase in cash and cash equivalents                            570          225
Cash and cash equivalents at beginning of period                      88          336
Cash and cash equivalents at end of period                        $ 658        $ 561
Supplemental disclosure of cash flow information:
  Cash paid for interest                                          $ 496        $ 498

At December 31,  2001,  receivables  and  deposits and cash flow from  investing
activities were adjusted by approximately $173,000 for non-cash activity related
to insurance  proceeds  which were held on deposit with the mortgage  lender and
received during the nine months ended September 30, 2002.

At September 30, 2003,  proceeds from sale of  discontinued  operations has been
adjusted by approximately  $299,000 in connection with prepayment penalties paid
by the buyer of West Chase Apartments.

            See Accompanying Notes to Consolidated Financial Statements
</TABLE>

<PAGE>


                       CONSOLIDATED CAPITAL PROPERTIES III

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (Unaudited)


Note A - Basis of Presentation

The accompanying  unaudited  consolidated  financial  statements of Consolidated
Capital Properties III (the "Partnership" or "Registrant") have been prepared in
accordance with generally accepted  accounting  principles for interim financial
information  and  with the  instructions  to Form  10-QSB  and  Item  310(b)  of
Regulation  S-B.  Accordingly,  they do not include all of the  information  and
footnotes  required by generally  accepted  accounting  principles  for complete
financial statements.  In the opinion of the general partner of the Partnership,
ConCap Equities,  Inc. (the "General Partner"),  all adjustments  (consisting of
normal recurring  accruals)  considered  necessary for a fair  presentation have
been  included.  Operating  results for the three and nine month  periods  ended
September  30, 2003 are not  necessarily  indicative  of the results that may be
expected for the fiscal year ending December 31, 2003. For further  information,
refer to the consolidated financial statements and footnotes thereto included in
the  Partnership's  Annual  Report on Form  10-KSB  for the  fiscal  year  ended
December 31, 2002. The General Partner is  wholly-owned by Apartment  Investment
and  Management  Company  ("AIMCO"),  a publicly  traded real estate  investment
trust.

Effective  January 1, 2002,  the  Partnership  adopted  Statement  of  Financial
Accounting  Standards  ("SFAS")  No.  144,  "Accounting  for the  Impairment  or
Disposal of Long-Lived  Assets",  which  established  standards for the way that
public business  enterprises report information about long-lived assets that are
either  being held for sale or have  already  been  disposed of by sale or other
means.  The standard  requires that results of operations for a long-lived asset
that is being held for sale or has  already  been  disposed  of be  reported  as
discontinued  operations  on the  statement  of  operations.  As a  result,  the
accompanying  statements of operations  have been restated as of January 1, 2002
to  reflect  the  operations  of West Chase  Apartments  as (loss)  income  from
discontinued  operations.  West Chase  Apartments was sold to an unrelated third
party on September 29, 2003.

Certain  reclassifications have been made to the 2002 balances to conform to the
2003 presentation.

Note B - Transactions with Affiliated Parties

The Partnership has no employees and is dependent on the General Partner and its
affiliates for the management and administration of all Partnership  activities.
The partnership agreement ("Partnership Agreement") provides for (i) payments to
affiliates for services and (ii)  reimbursements of certain expenses incurred by
affiliates of the General Partner on behalf of the Partnership.

Affiliates of the General  Partner are entitled to receive 5% of gross  receipts
from all of the Partnership's  properties as compensation for providing property
management  services.  The  Partnership  paid to such  affiliates  approximately
$118,000  for  each of the nine  months  ended  September  30,  2003  and  2002,
respectively,  which are included in operating  expenses and (loss)  income from
discontinued operations.

Affiliates  of the General  Partner are  entitled  to receive  reimbursement  of
accountable administrative expenses which amounted to approximately $129,000 and
$135,000 for the nine months ended  September  30, 2003 and 2002,  respectively.
Included in these amounts are fees related to construction  management  services
provided by an affiliate  of the General  Partner of  approximately  $18,000 and
$3,000 for the nine months ended September 30, 2003 and 2002, respectively.  The
construction  management  service  fees are  calculated  based on  additions  to
investment  properties.   These  reimbursements  of  accountable  administrative
expenses,  which  include  approximately  $98,000  payable to  affiliates of the
General  Partner at September 30, 2003,  are included in investment  properties,
general and  administrative  expenses,  due to affiliates and (loss) income from
discontinued  operations.  Subsequent to September 30, 2003, the  reimbursements
included in due to affiliates  were paid to  affiliates  of the General  Partner
from proceeds from the sale of West Chase Apartments.

The Partnership  Agreement  provides for a special management fee equal to 9% of
the  total  distributions  made to the  limited  partners  from  cash  flow from
operations to be paid to the General  Partner for  executive and  administrative
management  services.  During the nine months ended September 30, 2003 and 2002,
no special  management  fees were paid as no  distributions  from cash flow from
operations were made.

During the nine months ended  September  30,  2003,  an affiliate of the General
Partner  advanced the  Partnership  approximately  $70,000 to fund operations at
Ventura Landing Apartments. During the nine months ended September 30, 2003, the
Partnership made payments on advances of approximately $58,000.  Interest on the
advances  is accrued at the prime rate plus 2% (6.00% at  September  30,  2003).
Interest expense for the nine months ended September 30, 2003 was  approximately
$3,000. At September 30, 2003, the total amount of advances and accrued interest
was approximately $47,000, which includes advances made from an affiliate of the
General  Partner to the  Partnership  during the fourth  quarter of 2002.  These
advances  and  related  accrued  interest  are  included  in due to  affiliates.
Subsequent to September 30, 2003,  these advances were repaid from proceeds from
the sale of West Chase Apartments. There were no advances from affiliates of the
General  Partner to the  Partnership  during the nine months ended September 30,
2002.

The  Partnership  insures its properties up to certain  limits through  coverage
provided by AIMCO which is  generally  self-insured  for a portion of losses and
liabilities  related to workers  compensation,  property  casualty  and  vehicle
liability. The Partnership insures its properties above the AIMCO limits through
insurance policies obtained by AIMCO from insurers unaffiliated with the General
Partner.  During  the  nine  months  ended  September  30,  2003 and  2002,  the
Partnership  was charged by AIMCO and its affiliates  approximately  $39,000 and
$48,000,  respectively,  for insurance  coverage and fees associated with policy
claims administration.

Note C - Disposition of Investment Property

On  September  29,  2003,  the  Partnership  sold West  Chase  Apartments  to an
unrelated third party for a gross sale price of  approximately  $2,124,000.  The
net proceeds  realized by the Partnership  were  approximately  $1,651,000 after
payment of closing costs of approximately  $174,000 and a prepayment  penalty of
approximately  $299,000  owed by the  Partnership  and  paid by the  buyer.  The
Partnership  used  approximately  $1,047,000  of the net  proceeds  to repay the
mortgage  encumbering  the property.  As a result of the sale,  the  Partnership
realized a gain of  approximately  $988,000  for the three and nine months ended
September  30,  2003,  and  this  amount  is  included  in  gain  from  sale  of
discontinued   operations  on  the  accompanying   consolidated   statements  of
operations.  The  property's  operations,  loss of  approximately  $402,000  and
$488,000 for the three and nine months ended  September 30, 2003,  respectively,
and (loss)  income of  approximately  ($6,000) and $1,000 for the three and nine
months ended September 30, 2002,  respectively,  are shown as (loss) income from
discontinued operations.  Included in (loss) income from discontinued operations
are revenues of approximately $139,000 and $477,000, respectively, for the three
and nine months ended September 30, 2003 and approximately $185,000 and $551,000
for the three  and nine  months  ended  September  30,  2002,  respectively.  In
addition,  the Partnership  recorded a loss on early  extinguishment  of debt of
approximately  $332,000 for the three and nine months ended  September  30, 2003
due to the write off of unamortized loan costs and a prepayment  penalty,  which
is also  included  in loss  from  discontinued  operations  on the  accompanying
consolidated statements of operations.

Note D - Legal Proceedings

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the Partnership,  its General Partner and several of
their affiliated  partnerships and corporate  entities.  The action purported to
assert  claims on behalf of a class of  limited  partners  and  derivatively  on
behalf of a number of limited partnerships  (including the Partnership) that are
named as nominal defendants, challenging, among other things, the acquisition of
interests in certain General Partner entities by Insignia  Financial Group, Inc.
("Insignia") and entities that were, at one time,  affiliates of Insignia;  past
tender offers by the Insignia  affiliates to acquire limited  partnership units;
management of the  partnerships  by the Insignia  affiliates;  and the series of
transactions  which  closed on October 1, 1998 and  February  26,  1999  whereby
Insignia and Insignia  Properties Trust,  respectively,  were merged into AIMCO.
The plaintiffs sought monetary damages and equitable relief,  including judicial
dissolution of the Partnership. In addition, during the third quarter of 2001, a
complaint (the "Heller  action") was filed against the same  defendants that are
named in the Nuanes action,  captioned Heller v. Insignia Financial Group. On or
about August 6, 2001,  plaintiffs  filed a first amended  complaint.  The Heller
action was brought as a purported  derivative  action,  and asserted claims for,
among other things,  breach of fiduciary duty, unfair  competition,  conversion,
unjust enrichment, and judicial dissolution.

On January 8, 2003,  the parties filed a  Stipulation  of Settlement in proposed
settlement of the Nuanes action and the Heller action.

In general  terms,  the  proposed  settlement  provides  for  certification  for
settlement  purposes of a settlement class consisting of all limited partners in
this  Partnership and others (the  "Partnerships")  as of December 20, 2002, the
dismissal  with  prejudice  and  release  of claims  in the  Nuanes  and  Heller
litigation,  payment by AIMCO of $9.9  million  (which shall be  distributed  to
settlement  class  members  after  deduction of attorney fees and costs of class
counsel and certain costs of settlement) and up to $1 million toward the cost of
independent  appraisals of the  Partnerships'  properties  by a Court  appointed
appraiser.  An affiliate of the General Partner has also agreed to make at least
one round of tender offers to purchase all of the  partnership  interests in the
Partnerships within one year of final approval, if it is granted, and to provide
partners  with the  independent  appraisals  at the time of these  tenders.  The
proposed  settlement  also provided for the  limitation  of the allowable  costs
which the General  Partner or its  affiliates  will charge the  Partnerships  in
connection with this litigation and imposes limits on the class counsel fees and
costs in this litigation.  On April 11, 2003,  notice was distributed to limited
partners providing the details of the proposed settlement.

On June 13, 2003, the Court granted final approval of the settlement and entered
judgment in both the Nuanes and Heller actions.  On August 12, 2003, an objector
filed an appeal  seeking  to vacate  and/or  reverse  the  order  approving  the
settlement and entering judgment thereto.  The General Partner intends to file a
respondent's  brief in support of the order  approving  settlement  and entering
judgment thereto.

The  General  Partner  does not  anticipate  that any costs to the  Partnership,
whether legal or settlement costs,  associated with these cases will be material
to the Partnership's overall operations.

On August 8, 2003 AIMCO  Properties  L.P., an affiliate of the General  Partner,
was served with a Complaint in the United  States  District  Court,  District of
Columbia alleging that AIMCO Properties L.P.  willfully  violated the Fair Labor
Standards  Act (FLSA) by failing to pay  maintenance  workers  overtime  for all
hours  worked  in  excess  of forty  per  week.  The  Complaint  is  styled as a
Collective  Action  under  the FLSA and seeks to  certify  state  subclasses  in
California, Maryland, and the District of Columbia. Specifically, the plaintiffs
contend that AIMCO Properties L.P. failed to compensate  maintenance workers for
time  that they were  required  to be  "on-call".  Additionally,  the  Complaint
alleges AIMCO  Properties  L.P.  failed to comply with the FLSA in  compensating
maintenance  workers  for time that they  worked in  responding  to a call while
"on-call".  The  Complaint  also  attempts  to certify a subclass  for  salaried
service  directors who are challenging  their  classification as exempt from the
overtime  provisions of the FLSA.  AIMCO  Properties L.P. has filed an answer to
the Complaint denying the substantive  allegations.  Although the outcome of any
litigation is uncertain,  in the opinion of the General  Partner the claims will
not result in any material liability to the Partnership.

The  Partnership  is unaware  of any other  pending  or  outstanding  litigation
matters  involving  it or its  investment  properties  that are not of a routine
nature arising in the ordinary course of business.

Note E - Subsequent Event

Subsequent  to September 30, 2003,  the  Partnership  distributed  approximately
$303,000 to its partners from the West Chase Apartments sales proceeds.


<PAGE>


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

The matters discussed in this report contain certain forward-looking statements,
including, without limitation, statements regarding future financial performance
and the effect of government  regulations.  Actual results may differ materially
from those described in the forward-looking statements and will be affected by a
variety of risks and factors including,  without limitation:  national and local
economic  conditions;  the terms of  governmental  regulations  that  affect the
Registrant and interpretations of those regulations; the competitive environment
in which the Registrant operates;  financing risks, including the risk that cash
flows from operations may be insufficient to meet required payments of principal
and interest;  real estate risks, including variations of real estate values and
the general  economic  climate in local markets and  competition  for tenants in
such markets;  litigation,  including  costs  associated  with  prosecuting  and
defending  claims  and  any  adverse   outcomes,   and  possible   environmental
liabilities.   Readers  should  carefully  review  the  Registrant's   financial
statements and the notes thereto,  as well as the risk factors  described in the
documents  the  Registrant  files  from  time to time  with the  Securities  and
Exchange Commission.

The Partnership's  investment properties consist of two apartment complexes. The
following  table sets forth the average  occupancy of the properties for each of
the nine month periods ended September 30, 2003 and 2002:

                                                   Average Occupancy
      Property                                      2003       2002

      Ventura Landing Apartments                    95%        91%
        Orlando, Florida (1)

      Village Green Apartments                      95%        93%
        Altamonte Springs, Florida

(1)   The  General  Partner  attributes  the  increase in  occupancy  at Ventura
      Landing  Apartments  to  resident  retention  efforts  and  an  aggressive
      marketing campaign at the property.

Results of Operations

The  Partnership's  net income for the three and nine months ended September 30,
2003 was approximately $516,000 and $340,000,  respectively,  as compared to net
loss of  approximately  $142,000 and $148,000,  respectively,  for the three and
nine months ended  September  30, 2002.  The increase in net income for both the
three and nine  months  ended  September  30, 2003 is due to an increase in gain
from sale of  discontinued  operations.  On September 29, 2003, the  Partnership
sold West Chase Apartments to an unrelated third party for a gross sale price of
approximately  $2,124,000.  The net proceeds  realized by the  Partnership  were
approximately  $1,651,000  after  payment  of  closing  costs  of  approximately
$174,000  and a  prepayment  penalty  of  approximately  $299,000  owed  by  the
Partnership and paid by the buyer. The Partnership used approximately $1,047,000
of the net proceeds to repay the mortgage encumbering the property.  As a result
of the sale, the Partnership  realized a gain of approximately  $988,000 for the
three and nine months ended  September 30, 2003,  and this amount is included in
gain from  sale of  discontinued  operations  on the  accompanying  consolidated
statements of  operations.  The  property's  operations,  loss of  approximately
$402,000 and $488,000  for the three and nine months ended  September  30, 2003,
respectively,  and (loss)  income of  approximately  ($6,000) and $1,000 for the
three and nine months  ended  September  30,  2002,  respectively,  are shown as
(loss)  income from  discontinued  operations.  Included  in (loss)  income from
discontinued  operations  are revenues of  approximately  $139,000 and $477,000,
respectively,  for the  three  and nine  months  ended  September  30,  2003 and
approximately  $185,000  and  $551,000  for the  three  and  nine  months  ended
September 30, 2002,  respectively.  In addition, the Partnership recorded a loss
on early extinguishment of debt of approximately $332,000 for the three and nine
months ended  September 30, 2003 due to the write off of unamortized  loan costs
and a  prepayment  penalty,  which is also  included  in loss from  discontinued
operations on the accompanying consolidated statements of operations.

The Partnership's loss from continuing  operations for the three and nine months
ended September 30, 2003 was approximately  $70,000 and $160,000,  respectively,
compared  to loss from  continuing  operations  of  approximately  $136,000  and
$149,000,  respectively, for the three and nine months ended September 30, 2002.
The  decrease in loss from  continuing  operations  for the three  months  ended
September  30, 2003 is due to an increase  in total  revenues  and a decrease in
total  expenses.  The increase in loss from  continuing  operations for the nine
months  ended  September  30,  2003 is due to an  increase  in  total  expenses,
partially  offset  by an  increase  in total  revenues.  The  increase  in total
revenues for both the three and nine months ended  September  30, 2003 is due to
an increase in rental  income,  partially  offset by a decrease in other income.
The increase in rental  income is primarily  due to the increase in occupancy at
both of the  Partnership's  investment  properties,  and a decrease  in bad debt
expense at Ventura  Landing  Apartments,  partially  offset by a decrease in the
average  rental  rates at both  properties  and an  increase in  concessions  at
Village Green Apartments.  Other income decreased  primarily due to decreases in
late charges and lease cancellation fees at Ventura Landing Apartments.

The decrease in total expenses for the three months ended  September 30, 2003 is
due to  decreases  in general and  administrative,  interest,  and  property tax
expenses.  Both operating and depreciation  expense remained relatively constant
for the three months ended  September 30, 2003.  The increase in total  expenses
for the  nine  months  ended  September  30,  2003 is due to  increases  in both
operating  and  depreciation  expense,  partially  offset by  decreases  in both
general and administrative  and interest expense.  Property tax expense remained
relatively  constant for the nine months ended  September 30, 2003. The increase
in operating  expenses for the nine months ended September 30, 2003 is primarily
due to  increases  in  floor  covering  repair,  contract  maintenance  expense,
advertising expense, and payroll related expenses at Ventura Landing Apartments.
The increase in  depreciation  expense for the nine months ended  September  30,
2003 is due to property improvements and replacements placed into service during
the past twelve months.  The decrease in interest expense for both the three and
nine months ended September 30, 2003 is a result of scheduled principal payments
which   reduced  the  carrying   balance  of  the  mortgages   encumbering   the
Partnership's  properties.  The  decrease in property  tax expense for the three
months ended  September  30, 2003 is primarily  due to the timing and receipt of
the tax bill, which affected the accrual at Ventura Landing Apartments.

General and administrative expenses decreased for both the three and nine months
ended   September   30,  2003   primarily   due  to  a  decrease  in  management
reimbursements   to  the  General  Partner  as  allowed  under  the  Partnership
Agreement. Also included in general and administrative expense for the three and
nine months  ended  September  30, 2003 and 2002 are costs  associated  with the
quarterly and annual  communications  with investors and regulatory agencies and
the annual audit required by the Partnership Agreement.

As part of the ongoing  business plan of the  Partnership,  the General  Partner
monitors the rental market  environment of each of its investment  properties to
assess the feasibility of increasing rents,  maintaining or increasing occupancy
levels and protecting  the  Partnership  from increases in expenses.  As part of
this plan,  the General  Partner  attempts to protect the  Partnership  from the
burden of  inflation-related  increases  in  expenses  by  increasing  rents and
maintaining a high overall occupancy level. However, the General Partner may use
rental  concessions  and  rental  rate  reductions  to offset  softening  market
conditions,  accordingly, there is no guarantee that the General Partner will be
able to sustain such a plan.

<PAGE>

Liquidity and Capital Resources

At  September  30,  2003,  the  Partnership  had cash and  cash  equivalents  of
approximately  $658,000,  compared to  approximately  $561,000 at September  30,
2002. The increase in cash and cash  equivalents of  approximately  $570,000 for
the nine months ended  September  30, 2003,  from  December 31, 2002,  is due to
approximately   $1,406,000  of  cash  provided  by  investing   activities   and
approximately  $365,000 of cash  provided  by  operating  activities,  partially
offset by approximately  $1,201,000 of cash used in financing  activities.  Cash
provided by investing  activities  consisted of net proceeds  received  from the
sale of West Chase  Apartments,  partially  offset by property  improvements and
replacements.  Cash used in financing  activities  consisted of repayment of the
mortgage  encumbering West Chase  Apartments,  payments of principal made on the
mortgages  encumbering the  Partnership's  properties,  and payments on advances
from the  General  Partner,  partially  offset by an advance  received  from the
General  Partner.  The  Partnership  invests  its  working  capital  reserves in
interest bearing accounts.

The sufficiency of existing  liquid assets to meet future  liquidity and capital
expenditure   requirements   is  directly   related  to  the  level  of  capital
expenditures  required at the  properties  to  adequately  maintain the physical
assets and other  operating needs of the Partnership and to comply with Federal,
state, and local legal and regulatory requirements. The General Partner monitors
developments in the area of legal and regulatory  compliance and is studying new
federal laws,  including the  Sarbanes-Oxley Act of 2002. The Sarbanes-Oxley Act
of 2002  mandates  or suggests  additional  compliance  measures  with regard to
governance,  disclosure,  audit and other areas. In light of these changes,  the
Partnership  expects that it will incur higher  expenses  related to compliance,
including increased legal and audit fees. Capital  improvements planned for each
of the Partnership's properties are detailed below.

Village Green Apartments

During the nine months ended  September  30,  2003,  the  Partnership  completed
approximately  $70,000 of capital  improvements  at  Village  Green  Apartments,
consisting  primarily of structural  improvements,  swimming pool upgrades,  air
conditioning unit upgrades,  and floor covering replacement.  These improvements
were funded from operations.  The Partnership  evaluates the capital improvement
needs  of  the  property  during  the  year  and  expects  that  only  necessary
improvements  will be made  during the  remainder  of 2003 in order to  maintain
occupancy at the property. Additional capital improvements may be considered and
will depend on the physical condition of the property as well as the anticipated
cash flow generated by the property.

West Chase Apartments

During the nine months ended  September  30,  2003,  the  Partnership  completed
approximately   $73,000  of  capital  improvements  at  West  Chase  Apartments,
consisting  primarily of air conditioning unit upgrades,  roof replacement,  and
floor covering replacement.  These improvements were funded from operations. The
Partnership  sold West Chase  Apartments  on September  29, 2003 to an unrelated
third party.

Ventura Landing Apartments

During the nine months ended  September  30,  2003,  the  Partnership  completed
approximately  $102,000 of capital  improvements at Ventura Landing  Apartments,
consisting  primarily of parking area upgrades,  air conditioning unit upgrades,
interior improvements,  and floor covering replacement.  These improvements were
funded from operations.  The Partnership evaluates the capital improvement needs
of the  property  during the year and expects that only  necessary  improvements
will be made during the remainder of 2003 in order to maintain  occupancy at the
property.  Additional capital  improvements may be considered and will depend on
the  physical  condition of the  property as well as the  anticipated  cash flow
generated by the property.

The additional  capital  expenditures will be incurred only if cash is available
from operations or from  Partnership  reserves.  To the extent that such capital
improvements are completed,  the Partnership's  distributable cash flow, if any,
may be adversely affected at least in the short term.

The  Partnership's  assets are thought to be sufficient for any near-term  needs
(exclusive  of  capital   improvements)   of  the   Partnership.   The  mortgage
indebtedness    encumbering   the   Partnership's   investment   properties   of
approximately  $7,413,000  requires  monthly  payments of principal and interest
until the loans mature between July and August 2021, at which time the loans are
scheduled to be fully amortized.

The Partnership  distributed the following  amounts during the nine months ended
September 30, 2003 and 2002 (in thousands, except per unit data):

<TABLE>
<CAPTION>

                   Nine Months Ended   Per Limited   Nine Months Ended   Per Limited
                     September 30,     Partnership     September 30,     Partnership
                          2003             Unit             2002             Unit
Refinancing
<S>        <C>          <C>               <C>             <C>              <C>
  Proceeds (1)          $   --            $   --          $  303           $ 1.91
</TABLE>

(1)   From previously  undistributed  proceeds from the 2001  refinancing of the
      mortgage encumbering Village Green Apartments.

Future cash  distributions  will depend on the levels of net cash generated from
operations,  the availability of cash reserves, and the timing of property sales
and/or  refinancings.  The  Partnership's  cash  available for  distribution  is
reviewed on a monthly basis. There can be no assurance that the Partnership will
generate sufficient funds from operations after required capital expenditures to
permit  any  distributions  to its  partners  during  the  remainder  of 2003 or
subsequent periods.

Other

In addition to its indirect  ownership of the general  partner  interests in the
Partnership,  AIMCO and its affiliates owned 81,579.50 limited partnership units
(the "Units") in the Partnership representing 51.44% of the outstanding Units at
September  30,  2003. A number of these Units were  acquired  pursuant to tender
offers  made by  AIMCO  or its  affiliates.  It is  possible  that  AIMCO or its
affiliates will acquire  additional  Units in exchange for cash or a combination
of cash and units in AIMCO Properties, L.P., the operating partnership of AIMCO,
either through private  purchases or tender offers.  Pursuant to the Partnership
Agreement,  unitholders  holding a majority  of the Units are  entitled  to take
action with  respect to a variety of matters that  include,  but are not limited
to,  voting on certain  amendments  to the  Partnership  Agreement and voting to
remove  the  General  Partner.  As a result  of its  ownership  of 51.44% of the
outstanding  Units,  AIMCO and its  affiliates  are in a position to control all
voting decisions with respect to the  Partnership.  Although the General Partner
owes fiduciary duties to the limited  partners of the  Partnership,  the General
Partner  also  owes  fiduciary  duties  to AIMCO as its sole  stockholder.  As a
result,  the  duties  of  the  General  Partner,  as  general  partner,  to  the
Partnership  and its limited  partners may come into conflict with the duties of
the General Partner to AIMCO, as its sole stockholder.

<PAGE>

Critical Accounting Policies and Estimates

The consolidated financial statements are prepared in accordance with accounting
principles generally accepted in the United States which require the Partnership
to  make  estimates  and  assumptions.  The  Partnership  believes  that  of its
significant  accounting  policies,  the following may involve a higher degree of
judgment and complexity.

Impairment of Long-Lived Assets

Investment  properties  are  recorded at cost,  less  accumulated  depreciation,
unless  considered  impaired.  If  events  or  circumstances  indicate  that the
carrying  amount of a property may be  impaired,  the  Partnership  will make an
assessment of its  recoverability  by estimating  the  undiscounted  future cash
flows,  excluding  interest  charges,  of the property.  If the carrying  amount
exceeds the aggregate  future cash flows,  the  Partnership  would  recognize an
impairment  loss to the extent the carrying amount exceeds the fair value of the
property.

Real  property  investments  are  subject  to varying  degrees of risk.  Several
factors  may  adversely  affect  the  economic  performance  and  value  of  the
Partnership's investment properties.  These factors include, but are not limited
to,  changes  in the  national,  regional  and  local  economic  climate;  local
conditions,  such as an oversupply of multifamily  properties;  competition from
other available  multifamily property owners and changes in market rental rates.
Any adverse changes in these factors could cause impairment of the Partnership's
assets.

Revenue Recognition

The Partnership generally leases apartment units for twelve-month terms or less.
Rental income  attributable to leases is recognized  monthly as it is earned and
the Partnership  fully reserves all balances  outstanding  over thirty days. The
Partnership will offer rental concessions during  particularly slow months or in
response to heavy  competition  from other  similar  complexes in the area.  Any
concessions  given at the inception of the lease are amortized  over the life of
the lease.

Item 3.     Controls and Procedures

(a) Disclosure Controls and Procedures.  The Partnership's management,  with the
participation of the principal executive officer and principal financial officer
of the General Partner,  who are the equivalent of the  Partnership's  principal
executive officer and principal financial officer,  respectively,  has evaluated
the  effectiveness of the Partnership's  disclosure  controls and procedures (as
such term is defined  in Rules  13a-15(e)  and  15d-15(e)  under the  Securities
Exchange  Act of 1934,  as amended  (the  "Exchange  Act")) as of the end of the
period covered by this report. Based on such evaluation, the principal executive
officer and  principal  financial  officer of the General  Partner,  who are the
equivalent  of the  Partnership's  principal  executive  officer  and  principal
financial  officer,  respectively,  have  concluded  that, as of the end of such
period, the Partnership's disclosure controls and procedures are effective.

(b) Internal Control Over Financial  Reporting.  There have not been any changes
in the Partnership's  internal control over financial reporting (as such term is
defined in Rules  13a-15(f)  and  15d-15(f)  under the Exchange  Act) during the
fiscal quarter to which this report relates that have  materially  affected,  or
are reasonably likely to materially affect,  the Partnership's  internal control
over financial reporting.

<PAGE>

                           PART II - OTHER INFORMATION

ITEM 1.     LEGAL PROCEEDINGS

In March 1998, several putative unit holders of limited partnership units of the
Partnership  commenced an action  entitled  Rosalie  Nuanes,  et al. v. Insignia
Financial Group, Inc., et al. (the "Nuanes action") in the Superior Court of the
State of  California  for the  County  of San  Mateo.  The  plaintiffs  named as
defendants,  among others,  the Partnership,  its General Partner and several of
their affiliated  partnerships and corporate  entities.  The action purported to
assert  claims on behalf of a class of  limited  partners  and  derivatively  on
behalf of a number of limited partnerships  (including the Partnership) that are
named as nominal defendants, challenging, among other things, the acquisition of
interests in certain General Partner entities by Insignia  Financial Group, Inc.
("Insignia") and entities that were, at one time,  affiliates of Insignia;  past
tender offers by the Insignia  affiliates to acquire limited  partnership units;
management of the  partnerships  by the Insignia  affiliates;  and the series of
transactions  which  closed on October 1, 1998 and  February  26,  1999  whereby
Insignia and Insignia  Properties Trust,  respectively,  were merged into AIMCO.
The plaintiffs sought monetary damages and equitable relief,  including judicial
dissolution of the Partnership. In addition, during the third quarter of 2001, a
complaint (the "Heller  action") was filed against the same  defendants that are
named in the Nuanes action,  captioned Heller v. Insignia Financial Group. On or
about August 6, 2001,  plaintiffs  filed a first amended  complaint.  The Heller
action was brought as a purported  derivative  action,  and asserted claims for,
among other things,  breach of fiduciary duty, unfair  competition,  conversion,
unjust enrichment, and judicial dissolution.

On January 8, 2003,  the parties filed a  Stipulation  of Settlement in proposed
settlement of the Nuanes action and the Heller action.

In general  terms,  the  proposed  settlement  provides  for  certification  for
settlement  purposes of a settlement class consisting of all limited partners in
this  Partnership and others (the  "Partnerships")  as of December 20, 2002, the
dismissal  with  prejudice  and  release  of claims  in the  Nuanes  and  Heller
litigation,  payment by AIMCO of $9.9  million  (which shall be  distributed  to
settlement  class  members  after  deduction of attorney fees and costs of class
counsel and certain costs of settlement) and up to $1 million toward the cost of
independent  appraisals of the  Partnerships'  properties  by a Court  appointed
appraiser.  An affiliate of the General Partner has also agreed to make at least
one round of tender offers to purchase all of the  partnership  interests in the
Partnerships within one year of final approval, if it is granted, and to provide
partners  with the  independent  appraisals  at the time of these  tenders.  The
proposed  settlement  also provided for the  limitation  of the allowable  costs
which the General  Partner or its  affiliates  will charge the  Partnerships  in
connection with this litigation and imposes limits on the class counsel fees and
costs in this litigation.  On April 11, 2003,  notice was distributed to limited
partners providing the details of the proposed settlement.

On June 13, 2003, the Court granted final approval of the settlement and entered
judgment in both the Nuanes and Heller actions.  On August 12, 2003, an objector
filed an appeal  seeking  to vacate  and/or  reverse  the  order  approving  the
settlement and entering judgment thereto.  The General Partner intends to file a
respondent's  brief in support of the order  approving  settlement  and entering
judgment thereto.

The  General  Partner  does not  anticipate  that any costs to the  Partnership,
whether legal or settlement costs,  associated with these cases will be material
to the Partnership's overall operations.

On August 8, 2003 AIMCO  Properties  L.P., an affiliate of the General  Partner,
was served with a Complaint in the United  States  District  Court,  District of
Columbia alleging that AIMCO Properties L.P.  willfully  violated the Fair Labor
Standards  Act (FLSA) by failing to pay  maintenance  workers  overtime  for all
hours  worked  in  excess  of forty  per  week.  The  Complaint  is  styled as a
Collective  Action  under  the FLSA and seeks to  certify  state  subclasses  in
California, Maryland, and the District of Columbia. Specifically, the plaintiffs
contend that AIMCO Properties L.P. failed to compensate  maintenance workers for
time  that they were  required  to be  "on-call".  Additionally,  the  Complaint
alleges AIMCO  Properties  L.P.  failed to comply with the FLSA in  compensating
maintenance  workers  for time that they  worked in  responding  to a call while
"on-call".  The  Complaint  also  attempts  to certify a subclass  for  salaried
service  directors who are challenging  their  classification as exempt from the
overtime  provisions of the FLSA.  AIMCO  Properties L.P. has filed an answer to
the Complaint denying the substantive  allegations.  Although the outcome of any
litigation is uncertain,  in the opinion of the General  Partner the claims will
not result in any material liability to the Partnership.

ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

            (a)   Exhibits:

                  3.1   Certificate of Limited  Partnership,  as amended to date
                        (Exhibit  3 to the  Registrant's  Annual  Report on Form
                        10-K  for  the  year  ended   December  31,   1991,   is
                        incorporated herein by reference).

                  3.2   Partnership Agreement dated May 22, 1980 is incorporated
                        herein by  reference to Exhibit A to the  Prospectus  of
                        the  Registrant  dated August 17, 1981 as filed with the
                        Commission pursuant to Rule 424(b) under the Act.

                    31.1 Certification of equivalent of Chief Executive  Officer
                         pursuant    to    Securities    Exchange    Act   Rules
                         13a-14(a)/15d-14(a), as Adopted Pursuant to Section 302
                         of the Sarbanes-Oxley Act of 2002.

                    31.2 Certification of equivalent of Chief Financial  Officer
                         pursuant    to    Securities    Exchange    Act   Rules
                         13a-14(a)/15d-14(a), as Adopted Pursuant to Section 302
                         of the Sarbanes-Oxley Act of 2002.

                  32.1  Certification  Pursuant to 18 U.S.C.  Section  1350,  as
                        Adopted  Pursuant to Section  906 of the  Sarbanes-Oxley
                        Act of 2002.

            (b) Reports on Form 8-K:

                        None filed during the quarter ended September 30, 2003.


<PAGE>


                                   SIGNATURES



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


                                    CONSOLIDATED CAPITAL PROPERTIES III


                                    By:   CONCAP EQUITIES, INC.
                                          General Partner


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


                                    By:   /s/Paul J. McAuliffe
                                          Paul J. McAuliffe
                                          Executive Vice President
                                          and Chief Financial Officer

                                    Date: November 12, 2003


<PAGE>



Exhibit 31.1


                                  CERTIFICATION


I, Patrick J. Foye, certify that:


1.    I have  reviewed  this  quarterly  report on Form  10-QSB of  Consolidated
      Capital Properties III;

2.    Based on my knowledge,  this report does not contain any untrue  statement
      of a material fact or omit to state a material fact  necessary to make the
      statements made, in light of the circumstances under which such statements
      were made,  not  misleading  with  respect  to the period  covered by this
      report;

3.    Based on my  knowledge,  the  financial  statements,  and other  financial
      information  included  in this  report,  fairly  present  in all  material
      respects the financial condition,  results of operations and cash flows of
      the registrant as of, and for, the periods presented in this report;

4.    The  registrant's  other  certifying  officer(s) and I are responsible for
      establishing  and  maintaining  disclosure  controls  and  procedures  (as
      defined in Exchange Act Rules  13a-15(e) and 15d-15(e)) for the registrant
      and have:

      (a)   Designed such  disclosure  controls and  procedures,  or caused such
            disclosure   controls  and  procedures  to  be  designed  under  our
            supervision,  to ensure that  material  information  relating to the
            registrant,  including its consolidated subsidiaries,  is made known
            to us by others  within  those  entities,  particularly  during  the
            period in which this report is being prepared;

      (b)   Evaluated the effectiveness of the registrant's  disclosure controls
            and  procedures and presented in this report our  conclusions  about
            the effectiveness of the disclosure  controls and procedures,  as of
            the  end  of the  period  covered  by  this  report  based  on  such
            evaluation; and

      (c)   Disclosed  in this  report any change in the  registrant's  internal
            control  over   financial   reporting   that  occurred   during  the
            registrant's  most recent fiscal  quarter (the  registrant's  fourth
            fiscal  quarter in the case of an annual report) that has materially
            affected,   or  is  reasonably  likely  to  materially  affect,  the
            registrant's internal control over financial reporting; and

 5.   The registrant's other certifying  officer(s) and I have disclosed,  based
      on  our  most  recent   evaluation  of  internal  control  over  financial
      reporting,  to the  registrant's  auditors and the audit  committee of the
      registrant's  board of directors  (or persons  performing  the  equivalent
      functions):

      (a)   All significant  deficiencies and material  weaknesses in the design
            or operation of internal control over financial  reporting which are
            reasonably  likely to adversely affect the  registrant's  ability to
            record, process, summarize and report financial information; and


      (b)   Any fraud,  whether or not  material,  that  involves  management or
            other  employees  who have a  significant  role in the  registrant's
            internal control over financial reporting.


Date: November 12, 2003

                                /s/Patrick J. Foye
                                Patrick J. Foye
                                Executive  Vice  President  of ConCap  Equities,
                                Inc.,  equivalent of the chief executive officer
                                of the Partnership


<PAGE>



Exhibit 31.2


                                  CERTIFICATION


I, Paul J. McAuliffe, certify that:


1.    I have  reviewed  this  quarterly  report on Form  10-QSB of  Consolidated
      Capital Properties III;

2.    Based on my knowledge,  this report does not contain any untrue  statement
      of a material fact or omit to state a material fact  necessary to make the
      statements made, in light of the circumstances under which such statements
      were made,  not  misleading  with  respect  to the period  covered by this
      report;

3.    Based on my  knowledge,  the  financial  statements,  and other  financial
      information  included  in this  report,  fairly  present  in all  material
      respects the financial condition,  results of operations and cash flows of
      the registrant as of, and for, the periods presented in this report;

4.    The  registrant's  other  certifying  officer(s) and I are responsible for
      establishing  and  maintaining  disclosure  controls  and  procedures  (as
      defined in Exchange Act Rules  13a-15(e) and 15d-15(e)) for the registrant
      and have:

      (a)   Designed such  disclosure  controls and  procedures,  or caused such
            disclosure   controls  and  procedures  to  be  designed  under  our
            supervision,  to ensure that  material  information  relating to the
            registrant,  including its consolidated subsidiaries,  is made known
            to us by others  within  those  entities,  particularly  during  the
            period in which this report is being prepared;

      (b)   Evaluated the effectiveness of the registrant's  disclosure controls
            and  procedures and presented in this report our  conclusions  about
            the effectiveness of the disclosure  controls and procedures,  as of
            the  end  of the  period  covered  by  this  report  based  on  such
            evaluation; and

      (c)   Disclosed  in this  report any change in the  registrant's  internal
            control  over   financial   reporting   that  occurred   during  the
            registrant's  most recent fiscal  quarter (the  registrant's  fourth
            fiscal  quarter in the case of an annual report) that has materially
            affected,   or  is  reasonably  likely  to  materially  affect,  the
            registrant's internal control over financial reporting; and

5.    The registrant's other certifying  officer(s) and I have disclosed,  based
      on  our  most  recent   evaluation  of  internal  control  over  financial
      reporting,  to the  registrant's  auditors and the audit  committee of the
      registrant's  board of directors  (or persons  performing  the  equivalent
      functions):

      (a)   All significant  deficiencies and material  weaknesses in the design
            or operation of internal control over financial  reporting which are
            reasonably  likely to adversely affect the  registrant's  ability to
            record, process, summarize and report financial information; and

      (b)   Any fraud,  whether or not  material,  that  involves  management or
            other  employees  who have a  significant  role in the  registrant's
            internal control over financial reporting.

Date: November 12, 2003

                                /s/Paul J. McAuliffe
                                Paul J. McAuliffe
                                Executive  Vice  President  and Chief  Financial
                                Officer of ConCap Equities,  Inc., equivalent of
                                the chief financial officer of the Partnership


<PAGE>


Exhibit 32.1


                          Certification of CEO and CFO
                       Pursuant to 18 U.S.C. Section 1350,
                             As Adopted Pursuant to
                   Section 906 of the Sarbanes-Oxley Act of 2002



In connection with the Quarterly  Report on Form 10-QSB of Consolidated  Capital
Properties III (the "Partnership"), for the quarterly period ended September 30,
2003 as filed with the  Securities  and Exchange  Commission  on the date hereof
(the  "Report"),  Patrick  J. Foye,  as the  equivalent  of the chief  executive
officer of the  Partnership,  and Paul J.  McAuliffe,  as the  equivalent of the
chief financial officer of the Partnership,  each hereby certifies,  pursuant to
18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002, that, to the best of his knowledge:

      (1)   The Report fully complies with the  requirements of Section 13(a) or
            15(d) of the Securities Exchange Act of 1934; and

      (2)   The  information  contained in the Report  fairly  presents,  in all
            material respects, the financial condition and results of operations
            of the Partnership.


                                           /s/Patrick J. Foye
                                    Name:  Patrick J. Foye
                                    Date:  November 12, 2003


                                           /s/Paul J. McAuliffe
                                    Name:  Paul J. McAuliffe
                                    Date:  November 12, 2003

This  certification is furnished with this Report pursuant to Section 906 of the
Sarbanes-Oxley  Act of 2002 and shall not be deemed filed by the Partnership for
purposes of Section 18 of the Securities Exchange Act of 1934, as amended.