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

                                    FORM 10-Q

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

                  For the quarterly period ended June 30, 1997

                                       OR

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

           For the transition period from __________ to ______________


                         Commission File Number: 0-19438


                           RANCON PACIFIC REALTY L.P.,
                         A DELAWARE LIMITED PARTNERSHIP
             (Exact name of registrant as specified in its charter)

                    Delaware                           33-0270528
         (State or other jurisdiction of            (I.R.S. Employer
         incorporation or organization)            Identification No.)

      400 South El Camino Real, Suite 1100
              San Mateo, California                      94402-1708
    (Address of principal executive offices)             (Zip Code)

                                 (415) 343-9300
                         (Registrant's telephone number)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.

                                   Yes X No __

        Total number of units outstanding as of June 30, 1997: 2,823,687





                                  Page 1 of 12
<PAGE>

Part I.    FINANCIAL INFORMATION


Item 1.    Financial Statements.

                           RANCON PACIFIC REALTY L.P.

                           Consolidated Balance Sheets
                    (in thousands, except units outstanding)
                                   (Unaudited)
<TABLE>
<CAPTION>
                                                                         June 30,                 December 31,
                                                                           1997                       1996
<S>                                                                  <C>                         <C>
Assets
Rental property:
    Land                                                             $       14,213              $       14,213
    Buildings and improvements                                               27,072                      28,487
                                                                     --------------              --------------
                                                                             41,285                      42,700
       Less accumulated depreciation                                        (10,929)                    (11,932)
                                                                     --------------              --------------
           Net rental property                                               30,356                      30,768

Cash and cash equivalents                                                     1,626                       1,407
Deferred financing costs, net of
    accumulated amortization of $170
    and $134 at June 30, 1997 and
    December 31, 1996, respectively                                             462                         498
Other assets                                                                    129                         170
                                                                     --------------              --------------

           Total assets                                              $       32,573              $       32,843
                                                                     ==============              ==============


</TABLE>




                                  - continued -




                                  Page 2 of 12
<PAGE>


                           RANCON PACIFIC REALTY L.P.

                     Consolidated Balance Sheets - continued
                    (in thousands, except units outstanding)
                                   (Unaudited)
<TABLE>
<CAPTION>
                                                                         June 30,                 December 31,
                                                                           1997                       1996
<S>                                                                    <C>                       <C>
Liabilities and Partners' Equity (Deficit)
Liabilities:
    Notes payable                                                      $      23,185             $      23,337
    Accounts payable and accrued expenses                                         75                        70
    Interest payable                                                             153                       155
    Other liabilities                                                            284                       251
                                                                       -------------             -------------

       Total liabilities                                                      23,697                    23,813
                                                                       -------------             -------------

Commitments and contingent liabilities (see Note 3)

Minority interest                                                                397                       423
                                                                       -------------             -------------

Partners' equity (deficit):
    General Partner                                                              (88)                      (90)
    Limited Partners, 2,823,687 and 2,825,584
      limited partnership units outstanding at
      June 30,  1997 and  December  31,  1996,
      respectively     (including    2,121,285
      preferred units  outstanding at June 30,
      1997 and December 31, 1996)                                              8,567                     8,697
                                                                       -------------             -------------

           Total partners' equity                                              8,479                     8,607
                                                                       -------------             -------------

              Total liabilities and partners' equity                   $      32,573             $      32,843
                                                                       =============             =============


</TABLE>







          See accompanying notes to consolidated financial statements.




                                  Page 3 of 12
<PAGE>


                           RANCON PACIFIC REALTY L.P.


                      Consolidated Statements of Operations
                     (in thousands, except per unit amounts)
                                   (Unaudited)
<TABLE>
<CAPTION>

                                                           Three months ended                        Six months ended
                                                      June 30,           June 30,              June 30,         June 30,
                                                       1997               1996                  1997               1996
                                                   -----------       ------------           -----------       -----------
<S>                                                <C>               <C>                    <C>               <C>
Revenues:
 Rental income                                     $     1,526       $      1,395           $     3,010       $     2,780
 Interest and other income                                  25                 20                    49                44
                                                   -----------       ------------           -----------       -----------

        Total revenue                                    1,551              1,415                 3,059             2,824
                                                   -----------       ------------           -----------       -----------

Expenses:
 Operating                                                 622                642                 1,252             1,234
 Interest                                                  479                490                   961               984
 Depreciation                                              229                227                   457               454
 General and administrative                                 82                 93                   161               179
                                                   -----------       ------------           -----------       -----------

        Total expenses                                   1,412              1,452                 2,831             2,851
                                                   -----------       ------------           -----------       -----------

Income (loss) before minority interest                     139                (37)                  228               (27)

Minority interest                                           (2)                 6                    (6)                2
                                                   -----------       ------------           -----------       -----------

Net income (loss)                                  $       137       $        (31)          $       222       $       (25)
                                                   ===========       ============           ===========       ===========

Net income (loss) per limited partnership unit     $      0.05       $        ---           $       0.08      $     (0.01)
                                                   ===========       ============           ============      ===========

Distributions per preferred unit:
 From net income                                   $      0.05       $        ---           $       0.08      $       ---
 Representing return of capital                           0.03               0.08                   0.08             0.16
                                                   -----------       ------------           ------------      -----------
    Total distributions per preferred unit         $      0.08       $       0.08           $       0.16      $      0.16
                                                   ===========       ============           ============      ===========

Weighted    average   number   of   limited
 partnership units  outstanding  during the
 period used to compute  net income  (loss)
 per limited partnership unit                        2,824,155          2,828,090              2,824,621        2,828,247
                                                   ===========       ============           ============      ===========

Weighted average number of preferred units
 outstanding during the period used to
 compute distributions per preferred unit            2,121,285          2,121,660              2,121,285        2,121,714
                                                   ===========       ============           ============      ===========
</TABLE>

          See accompanying notes to consolidated financial statements.




                                  Page 4 of 12
<PAGE>


                           RANCON PACIFIC REALTY L.P.


              Consolidated Statements of Partners' Equity (Deficit)
                 For the six months ended June 30, 1997 and 1996
                                 (in thousands)
                                   (Unaudited)


<TABLE>
<CAPTION>

                                                             General               Limited
                                                             Partner               Partners             Total

<S>                                                       <C>                   <C>                 <C>          
Balance at December 31, 1996                              $         (90)        $      8,697        $       8,607

Net income                                                            2                  220                  222

Distributions                                                       ---                 (350)                (350)
                                                          -------------         ------------        -------------

Balance at June 30, 1997                                  $         (88)        $      8,567        $       8,479
                                                          =============-        ============        =============



Balance at December 31, 1995                              $         (90)        $      9,381        $       9,291

Net loss                                                            ---                  (25)                 (25)

Distributions                                                       ---                 (350)                (350)

Adjustment to minority interest                                      (1)                 (62)                 (63)
                                                          --------------        -------------       --------------

Balance at June 30, 1996                                  $         (91)        $      8,944        $       8,853
                                                          =============         ============        =============


</TABLE>











          See accompanying notes to consolidated financial statements.




                                  Page 5 of 12
<PAGE>


                           RANCON PACIFIC REALTY L.P.
<TABLE>
<CAPTION>
                      Consolidated Statements of Cash Flows
                                 (in thousands)
                                   (Unaudited)
                                                                                         Six months ended
                                                                                             June 30,
                                                                                      1997               1996
<S>                                                                                <C>                <C>
Cash flows from operating activities:
  Net income (loss)                                                                $      222         $      (25)
Adjustments to reconcile net income (loss) to net cash
 provided by operating activities:
    Depreciation                                                                          457                454
    Amortization of loan fees, included in interest expense                                36                 36
    Minority interest in net income/loss and distributions                                (26)               (15)
Changes in certain assets and liabilities:
    Other assets                                                                           41                  8
    Accounts payable and accrued expenses                                                   5                (13)
    Interest payable                                                                       (2)                (3)
    Other liabilities                                                                      33                ---
                                                                                   ----------         ----------

       Net cash provided by operating activities                                          766                442
                                                                                   ----------         ----------

Cash flows from investing activities:
    Additions to real estate                                                              (45)               (26)
                                                                                   ----------         ----------

Cash flows from financing activities:
  Notes payable principal payments                                                       (152)              (116)
  Distributions to partners                                                              (350)              (350)
                                                                                   ----------         -----------

       Net cash used for financing activities                                            (502)              (466)
                                                                                   ----------         ----------

Net increase (decrease) in cash                                                           219                (50)

Cash and cash equivalents at beginning of period                                        1,407              1,331
                                                                                   ----------         ----------

Cash and cash equivalents at end of period                                         $    1,626         $    1,281
                                                                                   ==========         ==========

Supplemental disclosure of cash flow information:
  Cash paid for interest                                                           $      927         $      950
                                                                                   ==========         ==========


</TABLE>


          See accompanying notes to consolidated financial statements.




                                  Page 6 of 12
<PAGE>


                           RANCON PACIFIC REALTY L.P.


                   Notes to Consolidated Financial Statements

                                  June 30, 1997
                                   (Unaudited)


Note 1.           ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES

In the opinion of RC Pacific Realty Partners,  L.P. and Glenborough  Corporation
(successor  by  merger  with  Glenborough   Inland  Realty   Corporation),   the
accompanying unaudited consolidated financial statements contain all adjustments
(consisting   of  only  normal   accruals)   necessary  to  present  fairly  the
consolidated  financial  position of Rancon  Pacific  Realty,  L.P.,  a Delaware
limited  partnership,  (the  Partnership)  as of June 30, 1997 and  December 31,
1996,  and the related  consolidated  statements of operations for the three and
six months  ended  June 30,  1997 and 1996,  and  changes  in  partners'  equity
(defecit) and cash flows for the six months ended June 30, 1997 and 1996.

In December,  1994,  Rancon  Financial  Corporation  (RFC),  an affiliate of the
Partnership,   entered   into  an   agreement   with   Glenborough   Corporation
(Glenborough) whereby RFC sold to Glenborough the contract to perform the rights
and  responsibilities  under  RFC's  agreement  with the  Partnership  and other
related  Partnerships  (collectively,  the  Rancon  Partnerships)  to perform or
contract on the Partnership's behalf for financial, accounting, data processing,
marketing,  legal,  investor  relations,  asset and  development  management and
consulting  services for the  Partnership for a period of ten years or until the
liquidation  of  the  Partnership,  whichever  comes  first.  According  to  the
contract,  the Partnership will pay Glenborough for its services as follows: (i)
a specified asset  administration  fee of $215,000 per year,  which is fixed for
five years and subject to  reduction in the year  following  the sale of assets;
(ii) sales fees of 2% for improved properties; (iii) a refinancing fee of 1% and
(iv) a management fee of 5% of gross rental receipts. As part of this agreement,
Glenborough will perform certain responsibilities for the General Partner of the
Rancon  Partnerships  and RFC  agreed  to  cooperate  with  Glenborough,  should
Glenborough  attempt  to  obtain a  majority  vote of the  limited  partners  to
substitute itself as the Sponsor for the Rancon Partnerships. This agreement was
effective  January  1,  1995.  Glenborough  is  not an  affiliate  of RFC or the
Partnership.

During the six months ended June 30, 1997, a total of 1,897 units were abandoned
as a result of partners  desiring to no longer receive  Partnership K-1's and to
give them the  ability to write off  investments  for income tax  purposes.  The
equity  (deficit)  balance of the abandoned units was allocated to the remaining
outstanding units. As of June 30, 1997, there were 2,823,687 limited partnership
units issued and outstanding.

Consolidation - The  accompanying  consolidated  financial  statements of Rancon
Pacific Realty, L.P. include the accounts of Rancon Pacific Realty, L.P. and its
majority owned  partnership Villa La Jolla Partners.  All intercompany  balances
and transactions have been eliminated in the consolidation.

                                  Page 7 of 12
<PAGE>

                           RANCON PACIFIC REALTY, L.P.


                   Notes to Consolidated Financial Statements

                                 March 31, 1997
                                   (Unaudited)

Reclassification  - Certain 1996 balances have been  reclassified  to conform to
the current year presentation.

Note 2.           REFERENCE TO 1996 AUDITED FINANCIAL STATEMENTS
                  ----------------------------------------------

These  unaudited  financial  statements  should be read in conjunction  with the
Notes  to  Consolidated  Financial  Statements  included  in  the  1996  audited
financial statements.

Note 3.           RELATED PARTY TRANSACTIONS

Pursuant to a plan of exchange which was  consummated in 1988, the Sponsor is to
receive  a fee of up to 6% of the  aggregate  appraised  value  of the  property
interests  conveyed to the Partnership in consideration for  organizational  and
transitional  management  services.  One-sixth  of  this  fee  or  approximately
$350,000 was paid upon the exchange of the property for Partnership  Units.  The
remaining  five-sixths of the fee was due in 60 monthly installments of $29,000.
Ten monthly  installments  were paid for the period  from March 1, 1988  through
December  31,  1988.  The next 48 monthly  payments  related to the period  from
January 1, 1989 to December 31, 1992 will not be paid unless and until such time
as (i) the specified amount of cash distributions are made to the holders of the
preferred  units during any calendar  year or, (ii) the holders of the preferred
units have received a return of the full amount of their investment.  No monthly
installments  were paid  during  those 48 months.  Two monthly  installments  of
$29,000 were paid in January and February,  1993.  Payment of the balance of the
fee of approximately  $1,395,000 related to the 48 monthly installments will not
be paid unless and until one of the two criteria set forth above is met.

Note 4.           ADJUSTMENT TO MINORITY INTEREST

During the first quarter of 1996, it was determined  that a reallocation  in the
amount  of  $63,000  to  the  previous  years   allocations  of  losses  between
Transamerica La Jolla Partners  (TLJP) and the  Partnership was necessary.  This
amount appears as an adjustment to minority interest on the  Partnership's  June
30, 1996 consolidated statement of partners' equity (deficit).




                                  Page 8 of 12
<PAGE>


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

INTRODUCTION

The following discussion addresses the Partnership's financial condition at June
30, 1997 and its results of  operations  for the six months  ended June 30, 1997
and 1996. This information  should be read in conjunction with the Partnership's
audited December 31, 1996 Consolidated  Financial Statements,  notes thereto and
other information contained elsewhere in this report.

LIQUIDITY AND CAPITAL RESOURCES

As of June 23, 1989, the Partnership was fully funded from the sale of 2,122,500
Preferred  Units  in the  amount  of  $14,857,500.  As of  June  30,  1997,  the
Partnership  had cash and cash  equivalents of $1,626,000.  The remainder of the
Partnership's  assets consists primarily of its investments in three residential
properties, with a net book value totaling approximately $30,356,000 at June 30,
1997.

The Partnership currently owns three properties,  all apartment complexes in San
Diego  California:  Pacific Bay Club  Apartments  (159  units),  La Jolla Canyon
Apartments (157 units) and Villa La Jolla Condominiums (385 condominium units).

All of the Partnership's assets are located in San Diego County,  California and
have been directly affected by the economic  weakness of the region.  Management
believes,  however,  that while  prices have not  increased  significantly,  the
Southern  California  real estate  market  appears to be  improving.  Management
continues to evaluate the Southern California real estate market in an effort to
determine  the optimal time to dispose of the assets and realize  their  maximum
value.

The  increase in other  liabilities  of $33,000 or 13% is  primarily  due to the
increase in security  deposits  collected.  In 1997, the Partnership  raised the
amount of the  required  security  deposit  at the  Villa La Jolla  Condominiums
property.

Management believes that the Partnership's available cash together with the cash
generated by the operations of the Partnership's properties, as proven in recent
years,  will be sufficient to finance the  properties'  continued  operations as
well as meet future debt commitments. Management will continue to monitor market
conditions in order to sell its properties for the best  obtainable  price prior
to June 1999,  the date upon which the  Partnership  is due to terminate,  or as
soon as practicable.

RESULTS OF OPERATIONS

Rental  income  for the six  months  ended  June 30,  1997 as  compared  to 1996
increased 8% or $230,000  primarily due to increased  rental rates at all of the
Partnership's properties.  Occupancy rates as of June 30, 1997 were 98%, 97% and
96% for  Pacific  Bay Club,  La Jolla  Canyon and Villa La Jolla,  respectively,
compared to 98%, 95% and 96%, respectively, as of the same date in 1996.

                                 Page 19 of 12
<PAGE>

The $5,000 or 11% increase in interest and other income for the six months ended
June 30,  1997  compared  to the six  months  ended  June 30,  1996 is due to an
increase in the  Partnership's  invested cash  balances and other  miscellaneous
charges.

Operating  expenses  for the six months ended June 30, 1997  increased  slightly
over the same period in 1996.

Interest  expense  continues  to decline due to the  decreasing  balances of the
Partnership's outstanding debt.

General and  administrative  costs  decreased  $18,000 or 10% for the six months
ended June 30, 1997 compared to 1996 due to a one-time  payment for professional
services  in 1996  rendered  in  connection  with the  valuation  of the limited
partner  interests  and the  decrease  in tax  preparation  fees as a result  of
additional one-time services incurred in 1996.




                                 Page 10 of 12
<PAGE>

Part II. OTHER INFORMATION


Item 1.  Legal Proceedings

                  None.

Item 2.    Changes in Securities

                  Not applicable.

Item 3.    Defaults Upon Senior Securities

                  Not applicable.

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

                  None.

Item 5.    Other Information

                  None.

Item 6.    Exhibits and Reports on Form 8-K

                  (a) Exhibits:

                  #27 - Financial Data Schedule.

                  (b) Reports on Form 8-K:

                  None.




                                 Page 11 of 12
<PAGE>


                                   SIGNATURES



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


                           RANCON PACIFIC REALTY, L.P.
                           A DELAWARE LIMITED PARTNERSHIP
                           (Registrant)


                             By: RC PACIFIC REALTY PARTNERS, L.P.
                                 General Partner


Date: August 14, 1997                     By: /s/ Daniel L. Stephenson
                                             -------------------------
                                              Daniel L. Stephenson
                                              Director, President,
                                              Chief Executive Officer and
                                              Chief Financial Officer of
                                              RC Pacific Realty, Inc.,
                                              General Partner of
                                              RC Pacific Realty Partners, L.P.


                                 Page 12 of 12