<PAGE>
PAGE 1
Summary of Investments

The following is a table which sets forth all real estate related
investments presently made or committed to be made by the Account as
of the date of this prospectus.

Real Property Investments
                                                      Long-Term
                            Cash payments made       Indebtedness  
                             or to be made (a)    Amount      Rate 
Shopping Centers
Northridge Mall
Milwaukee, Wis. (b)........    $5,838,000          none       N/A

Southridge Mall
Greendale/Greenfield 
Milwaukee, Wis. (b)........     6,170,000       $2,072,000    8.35%

Office Building
1225 Connecticut Avenue 
Washington, D.C. (b)........    9,000,000        1,141,000    6.98%

Apartment Complex
West Springfield Terrace 
Fairfax County, VA..........    9,214,000        7,770,339    9.50%
                              $30,222,000      $10,983,339


Mortgage Loan and Land Sale-Leaseback Investments
                                                Cash payments made
                                                 or to be made (a) 
Shopping Centers
Monmouth Mall 
Eatontown, New Jersey (b)......................     $10,727,000

Riverpoint Center 
Chicago, Illinois (c)..........................       2,876,000    
                                                    $13,603,000

(a) Includes cash down payments, amounts funded or committed to be
funded for mortgage loans, prepayment premiums, special reserves and
other cash payments made or expected to be made out of the Account's
net assets but does not include acquisition and mortgage placement
fees, mortgage financing fees and other acquisition, placement or
financing costs.

(b) The interest of the Account in this investment is owned by the
Account through a joint venture.  The amount shown for the property
under "Cash payments made or to be made" includes only the cash
investment of the Account in the joint venture for this investment
and does not reflect any investment by any other joint venturers in
the investment owned by the joint venture.  For real property
investments in which the Account has an equity interest, the amount
shown for the investment under Long-Term Indebtedness reflects the
Account's proportionate share, based upon its percent interest in the
joint venture, of the amount of financing which is encumbering the
property held by the joint venture.<PAGE>
PAGE 2
(c) The interest of the Account in this investment is as a
participant in the funding of a mortgage loan secured by the
property.

The Account's investments in Northridge Mall and Southridge Mall and
in the land sale-leaseback investment and first leasehold mortgage
loan secured by Monmouth Mall have been made through two joint
venture partnerships, the other partners of which include
institutional investors.  The percent interest of each partner in
these two joint ventures is determined generally based on the timing
and amount of capital contributed by all partners.

The Account made a capital contribution of approximately $12,008,000
in return for an approximate 5.92 percent interest in N/S Associates,
which owns interests in Northridge Mall and Southridge Mall, and made
an initial capital contribution of $10,000,000 in return for an
approximate 6.97 percent interest in Monmouth Associates, which owns
the underlying land subject to a ground lease of, and holds a first
leasehold mortgage on, Monmouth Mall.  JMB Group Trust IV, which had
been advised by an affiliate of the Investment Adviser but is
currently advised by an unaffiliated third party, owns the majority
percent interest in each of N/S Associates and Monmouth Associates.

In May 1994, Monmouth Associates agreed to finance the cost of a
renovation of Monmouth Mall.  The maximum amount of the renovation
loan is $29,100,000 and as of December 31, 1995 fundings of
$21,476,000 have been made.  Certain of the fundings for the
renovation loan have been made out of cash reserves and the cash flow
of Monmouth Associates, as well as out of additional capital
contributions to Monmouth Associates made pro rata based upon the
respective interests of its joint venture partners.  The Account's
share of such additional capital contributions would be approximately
$727,000 based on its approximate 6.97 percent interest in Monmouth
Associates of which $685,000 had been contributed as of December 31,
1995.  The renovation of the shopping center includes, among other
things, the addition of a food court and cinema and the re-
merchandising of approximately 300,000 square feet of space and has
been substantially completed as of December 31, 1995.

In general, joint venture partnership agreements for N/S Associates
and Monmouth Associates provide that decisions concerning the joint
ventures and their real estate investments are to be made by the vote
or approval of the joint venture partner or partners holding a
majority of the percent interests in the respective joint ventures.

Under the respective joint venture partnership agreements, in the
event that one or more, but less than all, of the joint venture
partners propose to sell the joint venture's entire interest in a
real estate related investment during a specified period commencing
generally not earlier than the end of the fourth year after the
funding of the investment and ending 10 years after such funding,
each other joint venture partner not approving such sale will have a
right of first offer to purchase such investment on the terms set
forth in a notice of the proposed sale from the joint venture
partners desiring such sale.  If more than one joint venture partner
elects to exercise a right of first offer, each of the joint venture
partners making such election will have the right to purchase an<PAGE>
PAGE 3
interest in such investment based upon the proportion of its percent
interest in the respective joint venture to the aggregate percent
interests of all joint venture partners making such election.  If no
Joint venture partner elects to exercise the right of first offer,
the joint venture partners approving the sale may effect such sale on
behalf of the respective joint venture for a sales price of not less
than 90 percent of the proposed sales price and on other terms at
least as favorable to the respective joint venture as those set forth
in the notice of proposed sale.

In general, each joint venture partner may sell its interest in the
respective joint venture subject to each other joint venture
partner's right of first refusal to purchase the interest, and any
such sale may not be made without the consent of all other joint
venture partners unless it is to be made to an affiliate of the
selling joint venture partner or to certain institutional investors,
a "Fortune 500" corporation or an affiliate thereof, or to an entity
of similar financial standing or sophistication of the foregoing or
of the selling joint venture partner.

Northridge Mall 
Milwaukee, Wisconsin

Northridge Mall, located in Milwaukee, Wisconsin, was completed in
1972.  The mall shops and four adjacent department stores comprising
the shopping center contain approximately 1,053,000 square feet of
gross leasable area, of which N/S Associates owns approximately
399,000 square feet.  The remaining 654,000 square feet of gross
leasable area are occupied by four department stores, three of which
own their own stores and a portion of the parking area.  These four
stores are Younkers, which leases its store from an unaffiliated
third party (approximately 166,000 square feet), J.C. Penney
(approximately 168,000 square feet), Sears (approximately 169,000
square feet) and Boston Store (approximately 151,000 square feet). 
Existing operating covenants for occupancy of their stores by
Younkers extend through January 1999 and by Boston Store through
2000.  J.C. Penney and Sears, whose operating covenants expired in
August 1992, continue to operate their respective stores at the
shopping center.

The proposed acquisition of Younkers by Proffitt's, Inc. should
eliminate the need for a possible anchor replacement at both
Northridge and Southridge malls.  Carson, Pirie Scott & Co. had made
a bid to purchase the Younkers chain, which operates at both malls. 
Carson's already operates the Boston Store at Northridge and
Southridge, and had indicated that they would not continue operating
the Younkers store.  The acquisition by Proffitt's should eliminate
the need for an anchor replacement at both centers and should
continue to provide the malls with an anchor similar to the existing
Younkers in quality and type of merchandise.

The shopping center is located on an approximate 105-acre site, of
which N/S Associates owns approximately 32 acres, at the northwest
corner of West Brown Deer Road and North 76th Street on the north
side of Milwaukee.  The shopping center is a two-level center of 
masonry construction and contains a large center court atrium with
a fountain and skylights.  The entire parking lot contains parking
for approximately 7,800 automobiles.<PAGE>
PAGE 4
Real estate taxes on the portion of the shopping center owned by N/S
Associates were approximately $2,468,000 for the 1995 tax year and
are estimated to be approximately $2,569,000 for the 1996 tax year
due to a successful tax appeal filed by N/S Associates.

The shopping center is subject to competition from other retail
properties in the vicinity.  In the opinion of the Investment
Adviser, the portion of the shopping center owned by N/S Associates
is adequately insured.

The portion of the shopping center owned by N/S Associates consists
of approximately 388,000 square feet of mall space and 11,000 square
feet of storage space.  The mall space is currently approximately 86
percent leased and occupied by 125 tenants. Tenant leases for mall
space have minimum terms, not including renewal options, ranging from
one to 20 years, with current annual base rents ranging from
approximately $5 to $150 per square foot.  The current average annual
base rent for mall space is approximately $18.83 per square foot. 
The average annual occupancy rates (based upon occupancy at the end
of each month during the year) and approximate average annual base
rents per square foot for the mall space for the past five years are
as follows:

                            Average Annual 
          Average Annual       Base Rent
Year      Occupancy Rate    Per Square Foot
1991            93%             $21.50
1992            87               22.10
1993            87               22.30
1994            80               22.65
1995            83               18.83     

Substantially all of the leases contain provisions pursuant to which
N/S Associates is entitled to participate in tenant gross receipts
above certain minimum amounts, and most leases entitle N/S Associates
to receive tenants' contributions for operating expenses and real
estate taxes.  Certain of the more recent leases provide for N/S
Associates' participation in tenant gross receipts above certain
minimum amounts without receipt by N/S Associates of any specified
annual base rent or tenant contributions for operating expenses or
real estate taxes.

N/S Associates acquired its interest in the shopping center in April
1988 for a purchase price of approximately $89,653,000 paid in cash
at closing, subject to the existing mortgage loans with a then
outstanding aggregate balance of approximately $18,454,000.  At
closing, N/S Associates established a reserve of approximately $8.9
million that has been used to pay for certain capital  improvements
made at the shopping center, including certain asbestos removal,
construction of a food court and center and side court improvements.
It is expected that additional asbestos removal will be undertaken
from time to time.  For 1996 N/S Associates has currently budgeted
approximately $2,551,000 for completion of  tenant improvements and
asbestos abatement for certain tenant spaces at Northridge Mall. 
Such amount is expected to be paid out of proceeds from the
refinancing described below and cash flow from the property.
<PAGE>
PAGE 5
In February 1995, N/S Associates repaid the two mortgage loans
secured by Northridge Mall, as well as the mortgage loan secured by
Southridge Mall, out of the proceeds of a new loan in the principal
amount of $35,000,000 secured by a mortgage on Southridge Mall.  In
addition, approximately $2,900,000 of the net proceeds from the new
mortgage loan was used to pay tenant improvements, asbestos abatement
and other capital costs incurred for Northridge and Southridge Malls
during 1995.

The portion of the shopping center owned by N/S Associates is being
managed by an affiliate of the Investment Adviser under an agreement
pursuant to which it is obligated to manage the property and collect
all receipts from operations of the property.  The affiliate of the
Investment Adviser is paid an annual fee equal to 3.75 percent of the
gross receipts of the property plus reimbursement of certain direct
expenses in connection with the management of the property. 

Northridge Mall has been adversely affected by a perception that it
is an unsafe place to shop.  This perception has resulted in
declining sales and occupancy over the past several years. 
Compounding the problem of declining sales are the high operating
costs for tenants due to the high real estate taxes at the shopping
center.  By contesting the real estate taxes, the manager of the
property was able to achieve a reduction in taxes in 1995.  Occupancy
has also been affected by continuing tenant bankruptcies.  To counter
the negative image for Northridge Mall, N/S Associates made certain
capital improvements including parking lot lighting and improved
interior lighting, and implemented operational programs to improve
the shopping center's safety and appearance, as well as instituted
certain marketing efforts to enhance its image.  In addition, N/S
Associates continues to seek to increase occupancy by aggressively
marketing space for new and renewal tenants through leasing
incentives, as well as cooperating with existing tenants who need
short-term rent reductions in order to maintain occupancy of their
space.  Certain positive sales trends appear to indicate a modest
improvement, however, elimination of the negative perception is
expected to take some time.

The following is a schedule of expiration of leases (exclusive of
storage space and assuming no renewals or cancellations) and  current
annual base rents allocable thereto as of March 1996: 

Year of         Number              Current     Percentage of
Expiration        of     Square      Annual     Current Annual
of Leases       Tenants   Feet      Base Rent     Base Rent   
1996..........    27     58,409     $378,840         5.7%
1997..........    14     67,676      533,352         8.1
1998..........    19     45,216    1,312,896        19.8
1999..........    24     49,155    1,274,904        19.2
2000..........    12     20,966      617,496         9.3
2001..........     8     19,177      523,632         8.0
2002..........    10     26,401      646,812         9.7
2003..........     3     16,620      492,144         7.4
2004..........     4     12,899      299,088         4.5
2005..........     3      4,548      147,972         2.2
2006..........     3      7,369      199,836         3.0
2008..........     1      7,500      208,800         3.1      
<PAGE>
PAGE 6
Southridge Mall
Greendale/Greenfield (Milwaukee),
Wisconsin

Southridge Mall, completed in 1970, is located in the Village of
Greendale and City of Greenfield south of Milwaukee, Wisconsin.  The
mall shops and five adjacent department stores comprising the
shopping center contain approximately 1,295,000 square feet of gross
leasable area, of which N/S Associates owns approximately 435,000
square feet, including the space leased to Kohl's Department Store,
one of the anchor tenants, and approximately 2,000 square feet of
storage space.  The remaining approximately 860,000 square feet of
gross leasable area are occupied by four department stores, three of
which own their own stores and a portion of the parking area.  These
four stores are Younkers, which leases its store from an unaffiliated
third party (approximately 203,000 square feet), Boston Store
(approximately 221,000 square feet), Sears (approximately 251,000
square feet) and J.C. Penney (approximately 185,000 square feet). 
Existing operating covenants for occupancy of their stores by
Younkers extend through January 1999 and by Boston Store through
2000.  J.C. Penney and Sears, whose operating covenants have expired,
continue to operate their respective stores at Southridge Mall.  

The proposed acquisition of Younkers by Proffitt's, Inc. should
eliminate the need for a possible anchor replacement at both
Northridge and Southridge malls.  Carson, Pirie Scott & Co. had made
a bid to purchase the Younkers chain, which operates stores at both
malls.  Carson's already operates the Boston Store at Northridge and
Southridge, and had indicated that they would not continue operating
the Younkers store.  The acquisition by Proffitt's should eliminate
the need for an anchor replacement at both centers and should
continue to provide the malls with an anchor similar to the existing
Younkers in quality and type of merchandise.

The shopping center is located on an approximately 105-acre site, of
which N/S Associates owns approximately 34 acres, at the intersection
of West Grange Avenue and South 76th Street in Milwaukee County.  It
is a two-level center of masonry construction and contains a large
center court atrium with a fountain and skylights.  The entire
parking lot contains parking for approximately 6,900 automobiles.

Real estate taxes on the portion of the shopping center owned by N/S
Associates were approximately $4,048,000 for the 1995 tax year and
are estimated to be approximately $4,062,000 for the 1996 tax year.

The shopping center is subject to competition from other retail
properties in the vicinity.  In the opinion of the Investment
Adviser, the portion of the shopping center owned by N/S Associates
is adequately insured.

The portion of the shopping center owned by N/S is currently
approximately 97 percent leased and occupied by 138 tenants.  During
the third quarter of 1995 N/S Associates and Kohl's entered into an
amendment of its lease.  Pursuant to the lease amendment the term of
Kohl's lease has been extended from 2001 until 2015 and the tenant<PAGE>
PAGE 7
space has been increased by approximately 19,000 square feet to
approximately 85,000 square feet, exclusive of storage space.  Kohl's
is required to pay annual base rent of $9.25 per square foot, as well
as one-half of its pro rata share for real estate taxes and a fixed
amount for common area maintenance expense.  Kohl's is also obligated
to pay as additional rent a percentage of its gross receipts in
excess of a minimum amount of annual sales to be determined after the
tenant has occupancy of the entire leased space.  N/S Associates is
responsible for paying the costs of asbestos removal for the tenant
space, which is estimated to be approximately $1,250,000.  Kohl's is
obligated to pay other costs associated with the leased space,
including tenant improvements and lease buy-out and relocation costs,
if any, of other tenants (one of whose lease continues until 2001)
that currently occupy a portion of the expansion space.  The lease
amendment also contains an operating covenant pursuant to which
Kohl's is obligated to operate its retail store at Southridge Mall
until 2005, subject to earlier termination under certain
circumstances.  Although the lease amendment reduces Kohl's overall
rent, the expansion of its space and the extension of its lease term
is expected to stabilize the shopping center on a long-term basis by
ensuring Kohl's continued occupancy and therefore its continued
contribution to customer traffic.  Other tenant leases (exclusive of
storage space) have minimum terms, not including renewal options,
ranging from 3 to 15 years, with current annual base rents ranging
from $8.00 to $116.00 per square foot.  The current average annual
base rent (exclusive of storage space) is approximately $20.40 per
square foot.

The average annual occupancy rates (based upon occupancy at the end
of each month during the year) and approximate average annual base
rents per square foot for tenant space (inclusive of Kohl's
Department Store but exclusive of storage space) for the past five
years are as follows:

                            Average Annual 
          Average Annual       Base Rent
Year      Occupancy Rate    Per Square Foot
1991           94%              $19.30
1992           87                20.90
1993           90                21.20
1994           91                20.90
1995           95                20.40

Substantially all of the leases contain provisions pursuant to which
N/S Associates is entitled to participate in tenant gross  receipts
above certain minimum amounts and to receive tenants' contributions
for operating expenses and real estate taxes.  N/S Associates
acquired its interest in the shopping center in April 1988 for a
purchase price of approximately $96,865,000 paid in cash at closing,
subject to the existing first mortgage loan with a then outstanding
balance of approximately $18,536,000.  N/S Associates established a
reserve of approximately $7,250,000 which has been used for certain
capital improvements at the shopping center including, among other
things, asbestos abatement and center and side court improvements. 
For 1996, N/S Associates has currently budgeted approximately
$1,818,000 for tenant improvements, asbestos abatement and other<PAGE>
PAGE 8
capital costs at Southridge Mall.  Such amount is expected to be paid
out of proceeds from the refinancing of the mortgage loan secured by
the property and cash flow from the property.

In February 1995, N/S Associates repaid the mortgage loan secured by
Southridge Mall, as well as the two mortgage loans secured by
Northridge Mall, out of the proceeds of a new loan in the principal
amount of $35,000,000 secured by a mortgage on Southridge Mall.  In
addition, approximately $2,900,000 of net proceeds from the new
mortgage loan were used to pay for tenant improvements and other
capital costs incurred for Northridge and Southridge Malls.  The new
mortgage loan has a term of seven years, bears interest at 8.35
percent per annum and requires monthly payments of interest only
aggregating approximately $2,923,000 per annum prior to maturity in
February 2002, when the entire principal amount and any accrued and
unpaid interest will be due and payable.  The new mortgage loan
permits only a prepayment in full, subject to the payment of a
premium of the greater of 1 percent of the outstanding principal
balance of the loan and an amount calculated pursuant to a defined
yield maintenance formula.  The remedies under the new mortgage loan
are generally limited to the property securing the loan.

The portion of the shopping center owned by N/S Associates is being
managed by an affiliate of the Investment Adviser under an agreement
pursuant to which it is obligated to manage the property and collect
all receipts from operations of the property.  The affiliate of the
Investment Adviser is paid a fee equal to 3.75 percent of the gross
receipts of the property plus reimbursement of certain direct
expenses in connection with the management of the property.

The following is a schedule of expiration of leases (inclusive of
Kohl's Department Store but exclusive of storage space and assuming 
no renewals or cancellations) and current annual base rents allocable
thereto as of March 1996:

Year of         Number              Current     Percentage of
Expiration        of     Square      Annual     Current Annual
of Leases       Tenants   Feet      Base Rent     Base Rent   
1996..........    13     21,553      $526,488        6.1%
1997..........     7     20,016       462,600        5.4
1998..........    21     52,549     1,552,764       17.9
1999..........    14     24,361       568,764        6.6
2000..........    23     45,263     1,406,172       16.3
2001..........    18     41,032       993,204       11.5
2002..........     8     16,714       585,036        6.8
2003..........     8     32,651       810,444        9.4
2004..........     6     25,126       611,904        7.1
2005..........     9     21,072       652,764        7.6     
2006..........     2      9,105       249,984        2.9
2009..........     1      7,507       210,192        2.4     

Monmouth Mall
Eatontown, New Jersey

In October 1988 Monmouth Associates (i) acquired certain land
underlying a super regional shopping center in Eatontown, New Jersey
known as Monmouth Mall, (ii) leased the land to the owner of the
shopping center pursuant to a long-term ground lease, and (iii) made<PAGE>
PAGE 9
a first mortgage loan to the owner of the shopping center secured by
the leasehold estate and the improvements thereon.  The borrower
under the first leasehold mortgage loan and lessee under the ground
lease (hereinafter the "borrower/lessee") is a partnership whose
partners are not affiliated with Monmouth Associates or any of its
joint venture partners.

The shopping center is being reconfigured in connection with the
renovation discussed below.  Upon completion of the renovation, the
shopping center will contain approximately 1,503,000 square feet of
gross leasable area, of which approximately 614,000 square feet will
consist of mall shops (approximately 470,000 square feet), a fifteen
screen cinema (approximately 77,000 square feet), outparcel buildings
(approximately 17,000 square feet) and storage and basement area
(approximately 50,000 square feet).  The remaining gross leasable
area includes four department stores, which are Macy's (approximately
262,000 square feet), J.C. Penney (approximately 203,000 square
feet), Abraham & Straus (approximately  265,000 square feet) and Lord
& Taylor (approximately 159,000 square feet).  Existing operating
covenants of the anchor department stores for reimbursement of a
specified amount of common area maintenance expenses and operation of
a retail business at their stores (which may be different from the
current retail business), generally extend to 1998 for Abraham &
Straus, 2005 for Macy's and Lord & Taylor, and 2006 for J.C.  Penney,
with certain option or renewal rights thereafter in favor of Abraham
& Straus and Lord & Taylor.

Federated Department Stores, which owns Abraham & Straus, completed
its merger with Macy's, and in January 1995 Federated Department
Stores announced that it would close the entire Abraham & Straus
chain of stores and either convert them to other stores or sell them. 
Federated Department Stores converted the Abraham & Straus store at
Monmouth Mall to a Stern's store in the spring of 1995, as permitted
under the terms of its operating agreement.  Macy's covenant to
operate a department store (in addition its covenant to operate a
retail business)  expired in 1995.  Preliminary discussions with
Macy's continue regarding a possible extension of their operating
covenant, but there can be no assurance any such extension will be
finalized.  The Macy's store continues to operate at Monmouth Mall.

The shopping center is located on an approximately 104-acre site
located at the intersection of Routes 35 and 36 and Wyckoff Road in
Eatontown, New Jersey.  Macy's owns its own department store and
approximately 2 acres of underlying land, and J.C. Penney owns its
own store and approximately 12 acres of underlying land.  The
remaining approximately 90 acres of land underlying the shopping
center were acquired by Monmouth Associates subject to the right of
Stern's to acquire the land underlying its store.  Stern's, which
currently leases its store and the approximately 14 acres of
underlying land for nominal base rent, has the right to acquire the
underlying land at any time after 1998 and to acquire its store at
any time after 2028, in each case for nominal consideration.  The
shopping center is a multi-level super regional center constructed of
structural steel framing with concrete block facing.  The entire
parking lot (a portion of which is owned by certain of the department
stores) contains combined surface and deck parking for approximately
8,225 automobiles.<PAGE>
PAGE 10
The Lord & Taylor lease provides for annual base rent of
approximately $60,400 and an initial term of 16 years ending in 2006
with six 10-year renewal options at the same annual base rent.  Each
of Lord & Taylor and Stern's pays a percentage of its gross receipts
above a certain minimum amount as well as a pro rata share of the
real estate taxes as additional rent. Sony Theaters operates the
cinema under a lease that commenced in 1994 and provides for an
initial term of 21 years with a current annual base rent of
approximately $711,000 with specified periodic increases.  The lease
also requires the tenant to pay a specified amount of operating
expense reimbursements and a pro rata share of the real estate taxes,
as well as a percentage of its gross receipts above a certain minimum
amount as additional rent.  The lease also provides for five 5-year
renewal options with specified increases in annual base rent. In
addition to its own department store, Macy's also leases
approximately 36,400 square feet of space from the borrower/lessee
for its children's store at the shopping center.

Real estate taxes on the portion of the shopping center owned by the
borrower/lessee were approximately $1,882,000 for the 1995 tax year
and are budgeted to be approximately $1,965,000 for the 1996 tax
year.  The shopping center is subject to competition from other
retail properties in the area, including an approximately 1,300,000
square foot shopping center that opened in the general vicinity in
August 1990.  In the opinion of the Investment Adviser, the portion
of the shopping center owned by the borrower/lessee is adequately
insured.

The mall shops and outparcel space at the shopping center are
currently 86 percent leased by 167 tenants with current annual base
rents ranging from approximately $1.00 to $186.00 per square foot and
a current average annual base rent of approximately $22.34 per square
foot.  Leases for mall shops and outparcel space have minimum terms,
not including renewal options, ranging from 5 to 15 years.  Due to
the renovation of the shopping center discussed below, the current
occupancy of the mall shops and outparcel space is approximately 77
percent.  However, the mall shops and outparcel space are currently
approximately 90 percent leased including leases whose terms will
commence after renovation of tenant space permits occupancy.  The
average annual occupancy rates (based upon occupancy at the end of
each month during the year) and approximate average annual base rents
per square foot for the mall shops and outparcel space for the past
five years are as follows:

                            Average Annual
          Average Annual       Base Rent
Year      Occupancy Rate    Per Square Foot
1991           83%              $18.25
1992           82                19.85
1993           81                19.95
1994           67                21.40     
1995           69                24.76

Substantially all of the leases contain provisions pursuant to which
tenants are required to pay specified percentages of their gross
receipts above certain minimum amounts as additional rent and to pay
their pro rata share of the operating expenses and real estate taxes
of the shopping center.<PAGE>
PAGE 11
The Limited owns a number of apparel store tenants who have the
following leases of mall space at Monmouth Mall:

                                              Current
                                   Square      Annual     Original
    Tenant                          Feet     Base Rent      Term   
The Limited                         8,470     $99,522     12 years
The Limited Too                     3,952      92,872     12 years
Lerner New York                     7,045     140,900     12 years
Compagnie International Express    10,957     128,745     12 years
Structure                           5,849     137,451     12 years
Victoria's Secret                   6,908     162,338     12 years
Lane Bryant                         4,137      60,000     13 years 
Mozzarellas Cafe                    5,051     114,425     15 years 

In October 1988, Monmouth Associates (i) purchased approximately 88.5
acres of land underlying the shopping center (subject to the right of
Stern's to acquire the approximately 14 acres underlying its store)
for $13,000,000 paid in cash; (ii) leased the land back to the
borrower/lessee pursuant to a long-term ground lease; and (iii) made
a first mortgage loan in the principal amount of $128,920,000 to the
borrower/lessee secured by the leasehold estate and the improvements
thereon.  The ground lease, which has a term of 75 years commencing
in October 1988 (subject to earlier termination in the event of a
sale of the land as described below), provides for monthly base rent
aggregating $1,170,000 annually with minimum payments of $650,000. 
The ground lease also provides for contingent rent (payable quarterly
out of the excess, if any, of substantially all of the gross receipts
from the operations of the shopping center received by the
borrower/lessee over certain base amounts) equal to the sum of (x) a
specified annual amount (commencing in the fourth lease year at
$390,000 per annum and increasing in the sixth lease year to $520,000
per annum), increased until paid at the "applicable rate" of interest
payable under the first leasehold mortgage loan described below (such
amount as so increased herein called the "rent shortfall amount"),
plus (y) 15 percent of the balance of such excess gross receipts
remaining after deducting the aggregate amount paid at such time of
the rent shortfall amount under the ground lease and the "interest
shortfall amount" under the first leasehold mortgage loan as
described below.

The first leasehold mortgage loan has a term of 15 years to October
2003, which may be extended from time to time at the option of
Monmouth Associates for up to an additional 20 years, subject to
acceleration of the loan in the event of a joint sale of the property
or a purchase by either Monmouth Associates or the borrower/lessee of
the other party's entire interest in the property.

The first leasehold mortgage loan provides for monthly payments of
base interest at a base rate of 5.98 percent per annum for the first
two loan years, 7.97 percent per annum for the third loan year and 5
percent per annum for each loan year thereafter.  The first leasehold
mortgage loan also provides for quarterly payments of contingent
interest (payable out of the excess, if any, of substantially all of
the gross receipts from the operations of the shopping center
received by the borrower/lessee over certain base amounts) equal to
the sum of (x) the difference between the amount of interest payable<PAGE>
PAGE 12
on the loan at the "applicable rate" and that payable at the base
rate described above, increased until paid at the applicable rate
(such amount as so increased herein called the "interest shortfall
amount"), plus (y) 45 percent of the balance of such excess gross
receipts remaining after deducting the aggregate amount paid at such
time of the rent shortfall amount under the ground lease and the
interest shortfall amount under the first leasehold mortgage loan. 
The "applicable rate" under the loan is 5.98 percent per annum for
the first two loan years, 7.97 percent per annum for the next three
loan years and 8.97 percent per annum for each loan year thereafter. 


In May 1994, Monmouth Associates agreed to finance the cost of a
renovation of Monmouth Mall.  The maximum amount of the renovation
loan is $29,100,000 and as of December 31, 1995 fundings of
$21,476,000 have been made.  Certain of the fundings for the
renovation loan have been made out of cash reserves and the cash flow
of Monmouth Associates as well as out of additional capital
contributions to Monmouth Associates made pro rata based upon the
respective interests of its joint venture partners.  The Account's
share of such additional capital contributions would be approximately
$727,000 based on its approximate 6.97 percent interest in Monmouth
Associates of which $685,000 had been contributed as of December 31,
1995.  The renovation of the shopping center includes, among other
things, the addition of a food court and cinema and the re-
merchandising of approximately 300,000 square feet of space and has
been substantially completed as of December 31, 1995.

The renovation loan will mature contemporaneously with the first
leasehold mortgage loan in October 2003, subject to (i) acceleration
in the event of default or certain other events, including a joint
sale of the entire fee and leasehold interests in Monmouth Mall, or
(ii) extension of the loan maturity by Monmouth Associates under
certain circumstances for up to 20 years on the same loan terms prior
to the extension (other than the maturity date).  The renovation loan
is secured by a leasehold mortgage subordinated to the leasehold
mortgages securing the first leasehold mortgage loan and certain
other loans made for tenant improvements or other ordinary capital
expenditures and is cross-defaulted with those loans as well as the
ground lease.  The remedies under the renovation loan are generally
limited to the property securing the obligation.  Payment of
principal and accrued interest of the renovation loan is subordinated
to the payment of certain other amounts payable to Monmouth
Associates in connection with the ground lease and the first
leasehold mortgage loan.

Under the terms of the ground lease, as amended in connection with
the renovation loan, upon a joint sale or refinancing of the land and
the improvements thereon, Monmouth Associates generally will be
entitled to receive out of the proceeds of such sale or refinancing
the sum of (a) any accrued and unpaid rent shortfall amount plus
$13,000,000 (and any other amounts invested in the land), plus (b)
after payment of principal and any accrued and unpaid base interest
on the first leasehold mortgage loan and the renovation loan, the
return to the borrower/lessee of payments made to cover any cost
overruns in connection with the renovation, and payment of any
outstanding additional loans by Monmouth Associates and any advances<PAGE>
PAGE 13
by the borrower/lessee to pay the cost of certain capital or tenant
improvements described below, together with any accrued and unpaid
interest thereon, 17.5 percent of such remaining sale or refinancing
proceeds until Monmouth Associates has received aggregate payments
under the ground lease equal to an internal rate of return of  11
percent per annum on its investment in the land, plus (c) thereafter,
12.5 percent of any such remaining sale or refinancing proceeds.  In
general, the remedies under the ground lease are limited to the
property securing such obligation.

Under the terms of the first leasehold mortgage loan, as amended in
connection with the renovation loan, upon a joint sale or refinancing
of the land and the improvements thereon, Monmouth Associates will be
entitled to receive out of the proceeds of such sale or refinancing,
after deducting the accrued and unpaid rent shortfall amount plus
$13,000,000 (and any other amounts invested in the land) payable to
Monmouth Associates pursuant to the terms of the ground lease, the
sum of (a)(i) any accrued and unpaid interest shortfall amount, (ii)
the outstanding principal amount of the first leasehold mortgage loan
plus any accrued and unpaid base interest thereon, and (iii) after
repayment of the outstanding principal amount of the renovation loan,
and any accrued and unpaid interest thereon, the return to the
borrower/lessee of payments made to cover any cost overruns in
connection with the renovation, and repayment of any additional loans
by Monmouth Associates and any advances by the borrower/lessee to pay
the cost of certain capital or tenant improvements described below,
together with any accrued and unpaid interest thereon, 52.5 percent
of such remaining sale or refinancing proceeds until Monmouth
Associates has received aggregate payments under the first leasehold
mortgage loan equal to an internal rate of return of 11 percent per
annum on the principal amount of such loan, plus (b) thereafter, 37.5
percent of any such remaining sale or refinancing proceeds.  In the
event that the loan continues until its stated maturity date (as it
may be extended from time to time) without a joint sale of the
property or a sale of Monmouth Associates' entire interest in the
property, Monmouth Associates will be entitled to receive an amount
that would provide it the same consideration payable to it as the
first leasehold mortgage lender (but not as the ground lessor) under
a joint sale of the property described above, assuming that the
property were sold for its appraised fair market value.  Aggregate
interest payable may not exceed a specified simple interest rate per
annum.  In general, except for a prepayment in connection with a
joint sale of the property or a sale to the borrower/lessee of
Monmouth Associates' entire interest in the  property as described
below, no prepayment of the first leasehold mortgage loan may be
made.  In general, the remedies under the first leasehold mortgage
loan are limited to the property securing such obligation.  The
borrower/lessee is obligated, at its own expense, to remove any
asbestos from the portion of the shopping center owned by the
borrower/lessee under certain circumstances.

Monmouth Associates also is required to make other additional loans
to finance the cost of 60 percent of tenant improvements or other
ordinary capital expenditures that exceed the amounts reserved by the
borrower/lessee for such expenditures, provided that the
borrower/lessee advances the remaining 40 percent of such
expenditures. <PAGE>
PAGE 14
The interest payable on any such additional loans (as well as on any
advances made by the borrower/lessee) is to be at the greater of the
applicable rate under the first leasehold mortgage loan as in effect
from time to time or the market rate of interest charged by
institutional lenders for similar loans.  These additional loans
generally require payments of interest only until maturity of the
first leasehold mortgage loan (including any extension thereof
described above), at which time the outstanding principal and any
accrued and unpaid interest under the additional loans will be due 
and payable.  The additional loans may be prepaid prior to maturity
without a prepayment charge.  Pursuant to such requirements, 
Monmouth Associates has loaned the borrower/lessee an aggregate of
approximately $3,085,000 at fixed interest rates ranging from 8.25
percent to 10.5 percent per annum in connection with the cost of
tenant improvements and ordinary capital expenditures, including
tenant lease expenditures and termination payments.  In connection
with the termination of a previous department store lease, Monmouth
Associates has advanced an additional $1,250,000 as an
expansion/renovation loan, which together with accrued interest
through October 1991, bears interest at 13 percent per annum, and has
permitted the borrower/lessee to defer payment of approximately
$729,000 of base interest, which also bears interest at 13 percent
per annum on the deferred amount.  These loan amounts have been 
advanced out of interest and lease payments received under the
first leasehold mortgage loan and ground lease along with the
reserves of Monmouth Associates.

The mortgage loan and renovation loan, as well as the ground lease,
all discussed above, accrue interest at a higher rate than the actual
cash payments of interest.  In April 1992 Monmouth Associates put
these loans on non-accrual, based on the uncertainty as to the
collectibility of such contingent interest.  During 1995, accrued
interest, from the periods prior to April 1992, totaling $3,576,000
was written off due to the uncertainty as to collectibility of these
accrued amounts.

Under the terms of the ground lease, at any time after October 2001
Monmouth Associates has the right, and at any time after October 2002
the borrower/lessee has the right, to cause a joint sale of the land
and the portion of the shopping center owned by the borrower/lessee,
subject to the right of first refusal of the other party to the
ground lease to acquire the entire interest in the property of the
party proposing such joint sale.  In the event that the first
leasehold mortgage loan continues until its stated maturity date
(including any extension of such maturity date described above), the
borrower/lessee has the option to purchase Monmouth Associates'
interest in both the land and the first leasehold mortgage loan for
an aggregate amount that would provide Monmouth Associates the same
consideration payable to it as ground lessor and first leasehold
mortgage lender under a joint sale of the property described above,
assuming that the property were sold for its appraised fair market
value.

In general, except for certain transfers by Monmouth Associates to an
affiliate, each of Monmouth Associates and the borrower/lessee may
only transfer its entire respective interest in the property
(including its interest in the first leasehold mortgage loan),<PAGE>
PAGE 15
subject to the consent of the other party and the other party's right
of first refusal to acquire such interest.  In general, neither
Monmouth Associates nor the borrower/lessee may transfer a portion of
its interest in the property.

The portion of the shopping center owned by the borrower/lessee is
being managed by an affiliate of the borrower/lessee under a
long-term agreement pursuant to which it is obligated to manage the
property and collect all receipts from operations of the property for
a fee equal to 3.5 percent of the base and percentage rents from the
property.  In addition, the manager is entitled to compensation for
leasing and re-leasing services at the shopping center.  The
following is a schedule of expiration of present leases for the mall
shops and outparcel space exclusive of storage and basement space and
assuming no renewals or cancellations) and current annual base rents
allocable thereto as of March 1996: 

Year of         Number              Current     Percentage of
Expiration        of     Square      Annual     Current Annual
of Leases       Tenants   Feet      Base Rent     Base Rent   
1996..........     7     15,108     $529,028          5.1%
1997..........     5     12,971      298,022          2.9
1998..........     6     16,166      432,877          4.2
1999..........     5      5,640      187,401          1.8
2000..........     8     51,917      809,807          7.8
2001..........    11     18,206      838,594          8.1
2002..........    10     27,461      980,415          9.5
2003..........    11     34,842    1,111,468         10.7
2004..........     8      7,690      363,332          3.5
2005..........    29     39,202    1,704,977         16.4
2006..........    17     52,995    1,384,050         13.3
2007..........     8     44,150      846,828          8.2
2009..........     1     15,680      147,000          1.4
2010..........     3     11,729      247,521          2.4
2011..........     1     42,500      425,000          4.1
2015..........     1     12,625       64,125          0.6     

1225 Connecticut Avenue
Washington, D.C.

In May 1990 the Account acquired an interest in a newly formed
Delaware corporation (the Corporation) owned jointly with certain
other persons, as described below.  The Corporation has acquired an
office building located in Washington, D.C. known as 1225 Connecticut
Avenue, N.W. (1225 Connecticut), an eight-story reinforced concrete
frame building containing 183,530 square feet of rentable office
space, 18,438 square feet of rentable retail space, 6,416 square feet
of below grade storage space and 100,024 square feet of subsurface
parking space for over 300 automobiles.  The building, which was
completed in 1968, is located on an approximately 33,000 square foot
site that fronts Connecticut Avenue, 18th Street and "N" Street, N.W.

The office and retail space of 1225 Connecticut is currently 100
percent leased and occupied under leases having original minimum
terms (not including renewal options) which vary in duration from 5-
1/2 to 12 years with current annual base rents ranging from<PAGE>
PAGE 16
approximately $17.50 to $48.90 per rentable square foot.  The current
average annual base rent for the office and retail space is
approximately $30.29 per square foot.  The storage space is currently
59 percent leased and occupied under leases having original minimum
terms (not including renewal options) that vary in duration from 5 to
12 years with the current annual base rents ranging from
approximately $11.05 to $15.00 per square foot.  The current average
annual base rent for the storage space is approximately $11.30 per
square foot.  The average annual occupancy rates (based upon
occupancy at the end of each month during the year) and approximate
average annual base rents per square foot for the office and retail
space for the past four years are as follows:

                            Average Annual
          Average Annual       Base Rent
Year      Occupancy Rate    Per Square Foot
1991           99%              $20.05
1992           99                20.35
1993           95                28.60
1994           96                32.60
1995           100               30.29     

Substantially all of the office and retail leases contain provisions,
subject to certain limitations, requiring tenants to pay, in addition
to their annual base rent, their pro-rata share of real estate taxes
and operating expenses over certain base amounts. In addition, leases
covering a majority of the office and retail space contain
provisions, subject to certain limitations, pursuant to which rents
may be increased based upon changes in a consumer price index from a
base year.

Ernst & Young currently leases approximately 80 percent of the office
space.  Effective January 1, 1995 per the terms of the Third
Amendment to the Ernst and Young lease, the lease term of the fourth
floor premises consisting of 26,328 square feet was amended to expire
on June 30, 2007.  In addition, the amendment modified the monthly
base rent to $33.82 per average square foot for the total leased
premises of 159,664 square feet.  Effective August 1, 1995, Ernst and
Young entered into a Fourth Amendment to occupy 2,023 square feet of
retail space to expire June 30, 2007.  As a result, the Ernst & Young
leases generally are as follows:

                                      Current
                                      Annual
                         Square        Base         Expiration 
Tenant                    Feet         Rent            Date    
Ernst & Young:
  Ground Floor            1,676       $17.50          June 2007
  2nd,4th,5th,6th,7th,
     & 8th floors       157,968        34.00          June 2007
  Retail Space            2,023        24.00          June 2007
                                                               

In connection with the extension and expansion of its leases, Ernst
& Young received certain leasing incentives, including a tenant
improvement allowance and a rent credit for its fourth floor space
for a portion of the lease term commencing in 1995.  The primary
lease for Ernst & Young covers approximately 157,968 square feet of
space, not including the ground floor and retail space.<PAGE>
PAGE 17
The real estate and vault taxes on 1225 Connecticut were
approximately $885,000 for the tax year ended September 30, 1995. 
Such taxes are expected to be approximately $1,039,000 for the tax
year ended September 30, 1996.  1225 Connecticut is subject to
competition from several other commercial projects in its vicinity,
including a number of office buildings owned by entities either
sponsored or advised by an affiliate of the Investment Adviser.  In
the opinion of the Investment Adviser, the building is adequately
insured.

The Corporation has elected to qualify as a real estate investment
trust (REIT) pursuant to sections 856 through 860 of the Internal
Revenue Code of 1986, as amended (the Code).  For each taxable year
that the Corporation qualifies as a REIT, the Corporation in general
will not be subject to federal corporate income tax or the 
District of Columbia corporate franchise tax on its regular taxable
income and will not be taxable on long-term capital gain income to
the extent its income is distributed as dividends.  If the
Corporation were to fail to qualify as a REIT, it would be taxed at
rates applicable to corporations on its taxable income, whether or
not distributed.  Because it is a corporation, it will not be subject
to the District of Columbia franchise tax on unincorporated
businesses, which is imposed on any trade or business conducted
within the District by an unincorporated person, including a
partnership. 

The Account owns approximately 16.3 percent of the outstanding shares
of common stock of the Corporation.  Approximately 44 percent of the
outstanding shares of common stock of the Corporation are owned by a
publicly held real estate limited partnership affiliated with the
Investment Adviser.  There is no other class of stock of the
Corporation authorized or outstanding, and no other shares of common
stock may be issued without the consent of shareholders owning at
least 96 percent of the then outstanding shares of common stock of
the Corporation.  The major shareholders of the Corporation
(including the Account) owning in excess of 99 percent of the
Corporation's outstanding stock have entered into a shareholders'
agreement which provides, among other things, that upon a proposed
sale of shares the non-selling major shareholders shall have a right
of first refusal to buy out the selling major shareholders' shares in
the Corporation; the approval of shareholders owning at least 96
percent of the outstanding common stock of the Corporation is
required to make certain major decisions; and, in the event of a
disagreement regarding a proposed sale of 1225 Connecticut, the major
shareholders not desiring to sell would have a right of first refusal
to purchase the other major shareholders' shares in the Corporation
and if all of such shares are not acquired pursuant to the exercise
of such right of first refusal, the Corporation may conclude a sale
of the property.

The Corporation purchased 1225 Connecticut from the seller for a
purchase price of approximately $54,125,000, consisting of
$51,425,000 paid in cash and approximately $2,700,000 of mortgage
indebtedness then encumbering the property.  In connection with the
acquisition of the property, the Corporation paid approximately
$2,130,000 for real estate brokerage commissions to an independent
third party and certain closing costs.  The Account contributed
$9,000,000 for its interest in the Corporation.<PAGE>
PAGE 18
In January 1994 the Corporation refinanced its mortgage loan, which
had an outstanding principal balance of approximately $1,667,000 at
the time of refinancing, with a new first mortgage loan in the
principal amount of $7,000,000 that bears interest at 6.98 percent
per annum.  The new loan requires monthly payments of interest only
aggregating $488,600 per annum until maturity in February 2001 when
the entire outstanding principal amount together with accrued 
interest will be due and payable.  Under certain circumstances, the
principal amount of the loan may be prepaid in whole (but not in
part), subject to a prepayment premium based upon the present value
of the difference, if any, between the remaining scheduled monthly
payments on the loan at the date of prepayment and the amount such
monthly payments would be if the interest rate on the loan were equal
to the yield on a U.S. government security with a comparable maturity
date.  Pursuant to the deed of trust securing the mortgage loan, the
Corporation is prohibited from modifying Ernst & Young's primary
lease or from entering into certain other tenant leases without the
lender's consent.  Prior to selling the property or encumbering the
property with any additional debt, the Corporation must obtain the
consent of the lender, which may be arbitrarily withheld.  However,
subject to certain restrictions, the Corporation has a one-time right
to transfer title to the property together with an assumption of the
mortgage loan.  The excess net proceeds from the refinancing in the
amount of approximately $5,300,000 are being used to pay a
substantial portion of the costs for lobby and other common area
renovation costs, a sprinkler system and certain tenant improvement
costs related to the Ernst & Young lease extension.  Approximately
$4,900,000 has been spent through December 31, 1995 for those costs
with an additional $855,000 expected to be spent in 1996.

The property is being managed under an agreement pursuant to which
the manager is obligated to manage 1225 Connecticut, collect all of
the receipts from operations and, to the extent available from such
receipts, pay all of the expenses of the property.  The manager is
paid a fee equal to 2.5 percent of the gross revenues of the
property, plus reimbursement for certain direct expenses of the
manager.  The property had been managed by JMB Properties Company, an
affiliate of the Investment Adviser, until December 1994, when JMB
Properties Company sold substantially all of its assets to an
unaffiliated third party, and certain management personnel of JMB
Properties Company became management personnel of the third party. 
As a result of sale, the successor to JMB Properties Company's assets
now acts as manager of 1225 Connecticut on the same terms that
existed prior to the sale.

1225 Connecticut leases approximately 80% of the available space of
the property to one tenant under leases, all with terms of 12 years. 
For the year ended December 31, 1995 such tenant represented
approximately 77% of total revenues.

An unaffiliated third party leases and operates the entire parking
garage (subject to certain parking rights provided for tenants of the
property) for a term extending until November 1997.  The lease
provides for a fixed rent payment of $485,000 a year (which reflects
an increase at the end of 1993 from $430,000 a year), provides that
the lessee shall pay the operating expenses of the parking garage and
does not provide such lessee with an option to extend the term of the
lease.<PAGE>
PAGE 19

The following is a schedule of expiration of leases for office and
retail space assuming no renewals or cancellations) and current
annual base rents allocable thereto: 

Year of                                  Current     Percentage of
Expiration     Number of       Square     Annual     Current Annual
of Leases       Tenants         Feet     Base Rent      Base Rent  
2000..........     3           22,103     $781,008       11.4%
2001..........     1            3,026      114,636        1.7
2002..........     1            9,909      297,264        4.3
2005..........     1            5,263      233,328        3.4
2007..........     1          161,667    5,448,912       79.2      

Riverpoint Center 
Chicago, Illinois

The Account entered into a participation agreement to fund up to
$3,000,000 of a first mortgage loan in the maximum principal amount
of $29,250,000.  The remaining portion of the loan has been funded by
JMB Mortgage Partners, Ltd.-IV and JMB Mortgage Partners,  Ltd.-III,
which are affiliates of the Investment Adviser. (The Account, JMB
Mortgage Partners, Ltd.-IV and JMB Mortgage Partners,  Ltd.-III are
collectively called the Lenders).  The loan is secured by a first
mortgage on a shopping center known as Riverpoint Center and located
on an approximately 17-acre site at the intersection of Wood Street
and Fullerton Avenue in Chicago, Illinois.  The shopping center is
owned by a partnership (the Borrower) whose general partners are not
affiliated with any of the Lenders and is managed by an affiliate of
the Borrower.

The initial funding (the Initial Funding) of the loan, in the amount
of $26,000,000 (of which the Account's share was $2,666,660),
occurred in August 1989.  Additional amounts, aggregating
approximately $2,040,000 (of which the Account's share was
approximately $209,000), have been funded since the Initial Funding. 
The Borrower did not qualify for any additional fundings above the
$28,040,000 which has been funded to date, and no additional fundings
will be made by the Lenders.  The shopping center, which was
completed in June 1989, has masonry walls with interior steel frames
and a brick facade with metal detailing and includes a parking lot
for approximately 860 cars.  Real estate taxes on the shopping center
were approximately $1,084,000 for the 1994 tax year and are expected
to be approximately $1,106,000 for the 1995 tax year, the most recent
year of assessment.

In the opinion of the Investment Adviser, the shopping center is
adequately insured.  The shopping center is subject to competition
from other retail properties in the area.

The shopping center, which is currently approximately 95 percent
leased and occupied by 22 tenants, consists of approximately 200,800
square feet of gross leasable area.  Existing tenant leases have
minimum terms, not including renewal options, ranging from 3 to 20
years with current annual base rents ranging from $11.60 to $29.00
per square foot.  The current average annual base rent is
approximately $17.58 per square foot.
<PAGE>
PAGE 20
Substantially all existing leases contain provisions pursuant to
which each tenant is required to pay its pro-rata share of operating
expenses and real estate taxes of the shopping center and additional
rent in the form of a percentage of tenant gross receipts above a
certain base amount.

The first mortgage loan requires periodic payments of interest only,
matures 10 years after the date of the Initial Funding, and bears
interest as follows:

(1) Basic Interest: Basic Interest is payable monthly in advance at
the rates per annum set forth below:

     Loan Years     Interest Rate
     1............     8.84%
     2-3..........     8.75
     4-6..........     9.25
     7-10..........    9.50      

(2) Accrual Interest: In addition to Basic Interest, interest accrues
at a simple rate of 2.0 percent per annum.  The Accrual Interest is
due at maturity (subject to earlier payment upon sale of the shopping
center or prepayment of the loan).  The Accrual Interest is reduced
dollar-for-dollar by the amount of Additional Interest paid as
described below.

(3) Additional Interest: The Lenders are entitled to receive
Additional Interest for each calendar year (or portion thereof) equal
to 50 percent of the gross income (exclusive of tenant reimbursements
of expenses) from the shopping center in excess of a base amount of
$2,737,000.  The Lenders are also entitled to receive Additional
Interest equal to 50 percent of the amount by which the value of the
shopping center exceeds $28,040,000, to be paid as follows: (i) upon
sale (if any) of the shopping center, an amount equal to 50 percent
of the amount by which the gross sale proceeds from such sale (net of
customary closing prorations and seller's closing expenses) exceed
the greater of (A) $28,040,000, or (B) the highest gross proceeds
from any single prior sale made after the Initial Funding in
connection with which Additional Interest was paid, and (ii) at
maturity or upon prepayment, an amount equal to 50 percent of the
amount by which the then current fair market value of the shopping
center (determined by appraisal) exceeds the greater of (A)
$28,040,000, or (B) the highest gross proceeds from any single prior
sale made after the Initial Funding in connection with which
Additional Interest was paid.  Aggregate interest payable over the
term of the loan may not exceed that which would be obtained from a
certain specified simple interest rate per annum.

The loan is generally non-recourse to the Borrower and its partners. 
The entire principal balance of the loan and all Accrual and
Additional Interest not previously paid will be due at maturity.  In
the event that the Borrower sells or further encumbers the shopping
center without the Lenders' consent, the Lenders will have the option
to accelerate the loan.  The loan is not prepayable by the Borrower<PAGE>
PAGE 21
for eight years following the Initial Funding.  Thereafter, the loan
may be prepaid in full upon payment of a prepayment charge in an
amount equal to 7 percent of the loan's principal balance in the
ninth loan year and 4 percent in the first six months of the tenth
loan year.  Thereafter, no prepayment charge will be due.  Any action
taken or consent to be given by the Lenders under the loan documents
generally requires the vote or consent of the Lenders representing a
majority of the principal amount of the loan outstanding.  In
general, in the event that a Lender proposes to sell or transfer its
interest in the loan, the other Lenders will have a right of first
refusal to acquire such interest.  The following is a schedule of
expiration of leases (assuming no renewals or cancellations) and
current annual base rents allocable thereto:

Year of         Number              Current     Percentage of
Expiration        of     Square      Annual     Current Annual
of Leases       Tenants   Feet      Base Rent     Base Rent   
1996..........     1      1,430      $24,310        1.7%
1997..........     2      3,335       65,268        4.5
1998..........     2      3,220       55,536        3.8
1999..........     5     14,557      331,790       23.0
2000..........     4     11,211      199,344       13.8
2001..........     7     25,837      435,183       30.1
2002..........     2      6,707      145,228       10.1
2003..........     1      9,460      187,024       13.0       

West Springfield 
Terrace Apartments 
Fairfax County, Virginia

In August 1989, the Account acquired a 244-unit garden apartment
complex known as the West Springfield Terrace Apartments, which is
located on an approximately 13.2-acre site at the intersection of Old
Keene Mill Road and Bauer Road in Springfield, Fairfax County,
Virginia.

The apartment complex, which was completed in 1978, consists of 17
separate three- and four-story buildings of wood frame with brick
veneer construction containing 52 one-bedroom units, 22 one-bedroom
and den units, 118 two-bedroom units, 22 two-bedroom and den units
and 30 three-bedroom units.  Each unit has either a patio or balcony
and a washer/dryer.  The complex contains a swimming pool, tennis
court, clubhouse and approximately 380 parking spaces.  The complex
at present is approximately 96 percent occupied.  The 
average annual occupancy rates (based upon occupancy at the end of
each week during the year) and approximate average monthly rents per
unit for the past five years are as follows:
                                                                    
                                        Average Monthly
                      Average Annual     Base Rent Per
Year                  Occupancy Rate         Unit      
1991                       92%               $793
1992                       95                 797      
1993                       96                 806      
1994                       95                 837      
1995                       95                 808      

Current monthly rentals range from $755 to $1,015 per unit.<PAGE>
PAGE 22
Real estate taxes on the complex were approximately $180,000 for the
1995 tax year and are expected to be approximately $198,000 for the
1996 tax year.

The complex is subject to competition from other apartment complexes
in the area.  The Investment Adviser estimates that there is at
present an approximate 10 percent vacancy rate in the area for
apartment complexes that have sufficient operating experience after
initial rent-up and that might be deemed competitive.  In the opinion
of the Investment Adviser, the apartment complex is adequately
insured.

The Account paid $15,222,278 for the apartment complex in cash at
closing (exclusive of closing costs and prorations).  In connection
with the acquisition of the property, the Account paid a prepayment
charge at closing of $92,221 to the lender that held the mortgage
loan on the property at the time of its purchase.  At the time of the
acquisition it was anticipated that an additional amount of
approximately $1,450,000 would be used by the Account to pay the cost
of upgrading kitchens and bathrooms and certain other upgrades and
capital improvements at the complex.  The renovation project was
subsequently increased to include replacing certain carpets in units
as they were renovated and to increase the number of units that
received certain upgrades.  The renovation project was completed in
1992 at a cost of approximately $1,900,000.  For 1996,
approximately $207,000 has been budgeted for painting, carpet
replacement and other capital costs.

In November 1989, the Account obtained a loan from an institutional
lender in the principal amount of $8,000,000 secured by a first
mortgage on the property.  The current outstanding balance of the
loan is approximately $7,770,000.  The loan has a term of seven years
and bears interest at a rate of 9.50 percent per annum.  The loan
required monthly payments of interest only until November 1992 and
thereafter is amortizable over a 27-year schedule through monthly
payments of principal and interest aggregating $824,400 per annum
through November 1996 when the remaining principal balance of
approximately $7,704,000, together with accrued and unpaid interest,
is due and payable.  The loan permits a prepayment in whole or in
part upon payment of a prepayment charge equal to the present value
of the difference, if any, between the remaining scheduled monthly
payments on the loan at the date of prepayment and the amount such
monthly payments would be if the interest rate on the loan were equal
to the yield on a U.S. Treasury obligation with a comparable maturity
date, plus 1 percent per annum.  In general, the remedies under the
first mortgage loan are limited to the property securing such
obligation.

The apartment complex is being managed for a fee equal to 5 percent
of the gross revenues from the property, plus reimbursement of
certain direct expenses.  Under the terms of the management
agreement, the manager is obligated to manage the complex, collect
all receipts from operations and, to the extent available from such
receipts, pay all expenses of the property.  The property had been
managed by JMB Properties Company, an affiliate of the Investment
Adviser, until December 1994, when JMB Properties Company sold
substantially all of its assets to an unaffiliated third party, and<PAGE>
PAGE 23
certain management personnel of JMB Properties Company became
management personnel of the third party.  As a result of sale, the
successor to JMB Properties Company's assets now acts as manager of
the apartment complex on the same terms that existed prior to the
sale.

For a description of all types of fees and compensation payable by
the Account to IDS Life or the Investment Adviser in connection with
the acquisition or placement of real estate related investments on
behalf of the Account, see Compensation of IDS Life, the Investment
Adviser and their Affiliates in Connection with Real Estate Related
Services under the Description of the Investment Adviser and
Affiliates section.

For further information regarding the Account's real estate related
investments and their operations see the Management's Discussion and
Analysis of Financial Condition and Results of Operations section.