U.S. SECURITIES AND EXCHANGE COMMISSION                             Washington, D.C. 20549
                                   FORM 10-QSB
                  Quarterly Report Under Section 13 or 15(d) of                       The Securities Exchange Act of 1934
                  For the Quarterly Period Ended June 30, 2002                           Commission File No. 0-20120
                           TMP INLAND EMPIRE VII, LTD.                        A CALIFORNIA LIMITED PARTNERSHIP          (Name of small business issuer as specified in its charter)
CALIFORNIA                                                                                                                            33-0386437(State or other jurisdiction                                                                                                      (I.R.S.  Employer Identification No.) ofincorporation or organization)
                      801 North Parkcenter Drive, Suite 235                           Santa Ana, California 92705         (Address of principal executive offices, including Zip Code)
                                 (714) 836-5503                (Issuer's telephone number, including area code)
Check whether the issuer[1] filed all reports required to be filed by Section 13 or 15(d) of theExchange Act during the past 12 months (or for such shorter period that theregistrant was required to file such reports), and [2] has been subject to suchfiling requirements for the past 90 days. Yes [X] No [ ] 

Transitional Small Business Disclosure Format: ____Yes__X__No
PART I  - FINANCIAL INFORMATION
Item 1.     Financial Statements
The following financial statements are filed as a part of this form 10-QSB:
Balance Sheets as of June30, 2002 and December 31, 2001, Statements of Operations for the three and sixmonths ended June 30, 2002 and 2001, and Statements of Cash Flows for the sixmonths ended June 30, 2002 and 2001. 

The interim financialstatements presented have been prepared by the Partnership without audit and inthe opinion of the management, reflect all adjustments of a normal recurringnature necessary for a fair statement of (a) the results of operations for thethree and six months ended June 30, 2002 and 2001 (b) the financial position asof June 30, 2002 and (c) the cash flows for the six months ended June 30, 2002and 2001. Interim results are not necessarily indicative of results for a fullyear. 

The balance sheet presentedas of December 31, 2001 has been derived from the financial statements that havebeen audited by the Partnership’s independent public accountants. Thefinancial statements and notes are condensed as permitted by Form 10-QSB and donot contain certain information included in the annual financial statements andnotes of the Partnership. The financial statements and notes included hereinshould be read in conjunction with the financial statements and notes includedin the Partnership’s Form 10-KSB. 

2                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                                 Balance Sheets                                               June 30,           December 31,                                                    2002                 2001                                              (unaudited)     (audited)                                              AssetsCash                                         $         2,789      $        197Prepaid Expenses                                           0             3,199Investment in Unimproved Land, net (Note 1)        2,198,250         2,248,740                                             ---------------      -------------    Total Assets                             $     2,201,039      $  2,252,136                                             ===============      ============                        Liabilities and Partners' CapitalAccounts Payable                             $        28,513      $     17,545Due to Affiliates (Note 5)                         1,433,570        1,345,056Franchise Tax Payable                                    800               800Property Taxes Payable (Note 9)                      108,204            87,924Notes Payable (Note 7)                               369,000           369,000                                             ---------------      -------------    Total Liabilities                              1,940,087         1,820,325                                             ---------------      -------------General Partners                                     (74,317)          (72,609)Limited Partners: 8,700 Equity Units  Authorized and Outstanding                         335,269           504,420                                             ---------------      -------------    Total Partners' Capital                          260,952           431,811                                             ---------------      -------------    Total Liabilities and Partners' Capital  $     2,201,039      $  2,252,136                                             ===============      ============                 See Accompanying Notes to Financial Statements
3                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                            Statements of Operations                                   (Unaudited)                                                    Three Months Ended                                                       June 30,                                                   2002                2001Property Sale                                $       73,000       $          0Cost of Property Sale                                 73,015                 0                                             ---------------      -------------  Net Loss on Property Sale                               15                 0                                             ---------------      -------------Income     Other                                             2,500                 0                                             ---------------      -------------Total Income                                           2,485                 0                                             ---------------      -------------Expenses     Accounting &ancial Reporting                  6,682             7,114     Outside Professional Services                     9,920             8,600     General  & Administrative                           150               217     Decline in Market Value                          45,000                 0     Interest                                         56,447            34,704                                             ---------------      -------------Total Expenses                                       118,199            50,635                                             ---------------      -------------Loss Before Income Taxes                            (115,714)          (50,635)     State Franchise Tax                                   0                 0                                             ---------------      -------------Net Loss                                     $      (115,714)     $    (50,635)                                             ===============      =============Allocation of Net Loss  (Note 4):     General Partners, in the Aggregate:     $        (1,157)       $      (506)                                             ===============      =============     Limited Partners, in the Aggregate:     $      (114,557)       $   (50,129)                                             ===============      =============     Limited Partners, per Equity Unit:      $        (13.17)       $     (5.76)                                             ===============      =============                 See Accompanying Notes to Financial Statements
4                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                            Statements of Operations                                   (Unaudited)                                                     Six Months Ended                                               June 30,             June 30,                                                2002                2001Property Sale                                $        73,000      $          0Cost of Property Sale                                 73,015                 0                                             ---------------      -------------  Net Loss on Property Sale                               15                 0                                             ---------------      -------------Income     Other                                             5,500                 0                                             ---------------      -------------Total Income                                           5,485                 0                                             ---------------      -------------Expenses     Accounting & Financial Reporting                 13,496            12,517     Outside Professional Services                    19,653            14,419     General  & Administrative                           216             1,248     Decline in Market Value                          45,000           225,164     Interest                                         97,179            66,686                                             ---------------      -------------Total Expenses                                       175,544           320,034                                             ---------------      -------------Loss Before Income Taxes                            (170,059)         (320,034)     State Franchise Tax                                (800)             (800)                                             ---------------      -------------Net Loss                                     $      (170,859)     $   (320,834)                                             ===============      =============Allocation of Net Loss  (Note 4):     General Partners, in the Aggregate:     $        (1,708)     $     (3,208)                                             ===============      =============     Limited Partners, in the Aggregate:     $      (169,151)     $   (317,626)                                             ===============      =============     Limited Partners, per Equity Unit:      $        (19.44)     $     (36.51)                                             ===============      =============                 See Accompanying Notes to Financial Statements
5                           TMP INLAND EMPIRE VII, LTD                        A California Limited Partnership                            Statements of Cash Flows                                   (unaudited)                                                      Six months Ended                                                June 30,            June 30,                                                 2002                2001                                              ---------           ----------Cash Flows from Operating Activities:Net Loss                                     $      (170,859)     $   (320,834)  Adjustments to Reconcile Net Loss to Net   Cash       (Used In) Provided By Operating       Activities:    Decline in Market Value                           45,000           225,164    Loss on Sale of Property                              15                 0    Increase in Due to Affiliates                     88,514           145,889    Decrease in Prepaid Expenses                       3,199                 0    Increase (Decrease) in Accounts Payable           10,968           (12,781)    Increase in Property Taxes Payable                20,280            21,684                                             ---------------      -------------      Net Cash (Used In)             Provided By Operating Activities         (2,883)           59,122                                             ---------------      -------------Cash Flows from Investing Activities:    Proceeds from Sale of Property                    73,000                 0    Payment of Selling Expenses                       (5,324)                0    Increase in Investment in Unimproved Land        (62,201)          (55,583)                                             ---------------      -------------       Net Cash Provided By              (Used In) Investing Activities           5,475           (55,583)                                             ---------------      -------------Net Increase in Cash                                   2,592             3,539Cash, Beginning of Period                                197                52                                             ---------------      -------------Cash, End of Period                          $         2,789      $      3,591                                             ===============      ============Supplemental Disclosure of Cash FlowInformation:Cash Paid for Taxes                          $           800      $        800                                             ===============      ============Cash Paid for Interest                       $        79,871      $     77,367                                             ===============      ============                 See Accompanying Notes to Financial Statements
6
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 1 - General and Summary of Significant Accounting Policies
General - TMP Inland EmpireVII, Ltd. (the Partnership) was organized in 1990 in accordance with theprovisions of the California Uniform Limited Partnership Act for the purpose ofacquiring, developing and operating real property in the Inland Empire area ofSouthern California. 

Accounting Method - ThePartnership’s policy is to prepare its financial statements on the accrualbasis of accounting. 

Investment in UnimprovedLand - Investment in unimproved land is stated at the lower of cost or fairvalue. All costs associated with the acquisition of a property are capitalized.Additionally, the Partnership capitalizes all direct carrying costs (such asinterest and property taxes). These costs are added to the cost of theproperties and are deducted from the sales prices to determine gains whenproperties are sold. 

Syndication Costs -Syndication costs (such as commissions, printing, and legal fees) totaling$1,007,223 represent costs incurred to raise capital and, accordingly, arerecorded as a reduction in partners’ capital (see Note 3). 

Use of Estimates - Thepreparation of financial statements in conformity with generally acceptedaccounting principles requires management to make estimates and assumptions thataffect the reported amounts of assets and liabilities and the disclosure ofcontingent assets and liabilities at the date of the financial statements andthe reported amounts of revenues and expenses during the reporting period.Actual results could differ from these estimates. 

Concentration - Allunimproved land parcels held for investment are located in the Inland Empirearea of Southern California. The eventual sales price of all parcels is highlydependent on the real estate market condition in that geographical area. ThePartnership attempts to mitigate any potential risk by continually monitoringthe market conditions and holding the land parcels through any periods ofdeclining market conditions. 

Income Taxes - The entityis treated as a partnership for income tax purposes and accordingly any incomeor loss is passed through and taxable to the individual partners. Accordingly,there is no provision for federal income taxes in the accompanying financialstatements. However, the minimum California Franchise Tax payable annually bythe Partnership is $800. 

7
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 1 - General and Summary of Significant Accounting Policies (continued)
Recent AuthoritativePronouncements- In October 2001, the FASB issued SFAS No. 144 “Accountingfor the Impairment or Disposal of Long-Lived Assets”. This statementestablishes the accounting model for long-lived assets to be disposed of by saleand applies to all long-lived assets, including discontinued operations. Thisnew statement requires that those long-lived assets be measured at the lower ofcarrying amount or fair value less cost to sell, whether reported in continuingoperations or in discontinued operations. The Partnership adopted SFAS No. 144beginning January 1, 2002. There was no impact to the financial statements sincethe long-lived assets had previously been recorded at the lower of cost ormarket value, less disposal costs. 

Liquidity and Going Concern- As shown in the accompanying financial statements, the Partnership does nothave sufficient current assets to satisfy liabilities that arise in the normalcourse of business. PacWest Inland Empire, through its loan agreement with theTMP partnerships, provided a source of funds by which the Partnership couldsatisfy the liabilities arising from partnership operations and the developmentand maintenance of undeveloped land held by the Partnership. The loan agreementoriginally stated that PacWest could loan up to $2,500,000 to the TMPpartnerships. Subsequently, the agreement was amended to allow PacWest to loanbeyond $2,500,000. Currently, PacWest has loaned approximately $3,073,000 to theTMP partnerships, of which approximately $1,433,570 has been loaned to thePartnership. PacWest has stopped loaning funds to the Partnership. 

The Partnership hasnotified the limited partners of their intent to terminate the Partnership byDecember 31, 2002 and the Partnership is actively attempting to sell theundeveloped land it presently owns. Foreclosure proceedings have begun on threeof the properties. 

Note 2 - Organization of the Partnership
The Partnership was originally formed on July 20, 1990 with TMP Properties (A California General Partnership) and TMP Investments,Inc. (A California Corporation) as the General Partners.  The partners' of TMP Properties are William O. Passo, Anthony W. Thompsonand Scott E. McDaniel.  William O. Passo and Anthony W. Thompson were the shareholders of TMP Investments, Inc. until October 1,1995, when they sold their shares to TMP Group, Inc. and then became the shareholders of TMP Group, Inc.
8
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 2 - Organization of the Partnership (continued)
The Partnership originallyacquired four separate parcels of unimproved real property in Riverside and SanBernardino Counties, California. During 1992, one additional parcel in RiversideCounty was purchased by the Partnership. The properties were to be held forinvestment, appreciation, and ultimate sale and/or improvement of all or portionthereof, either alone or in conjunction with a joint venture partner. 

The partnership agreementprovides for two types of investments: Individual Retirement Accounts (IRA) andothers. The IRA minimum purchase requirement was $2,000 and all others were aminimum purchase requirement of $5,000. The maximum liability of the limitedpartners is the amount of their capital contribution. 

Note 3 - Partners Contributions
The Partnership offered forsale 8,700 units at $1,000 each to qualified investors. As of December 31, 1992,all 8,700 units had been sold for total limited partner contributions of$8,700,000. There have been no contributions made by the General Partners sinceits formation. As described in Note 1, syndication costs have been recorded as areduction in partners’ capital. 

Note 4 - Allocation of Profits, Losses and Cash Distributions
Profits, losses, and cashdistributions are allocated 99 percent to the limited partners and one percentto the General Partners until the limited partners have received an amount equalto their capital contributions plus a cumulative, non-compounded return of sixpercent per annum based on their adjusted capital account balances. At thatpoint, remaining profits, losses and cash distributions are allocated 83.5percent to the limited partners and 16.5 percent to the General Partners. Therewere no distributions in 2002 or 2001. 

Note 5 - Agreements with PacWest
In March 1998, the GeneralPartners entered into an agreement (the Financing Agreement) with PacWest,whereby PacWest paid a total of $300,000 to the General Partners and ten otherrelated partnerships (the TMP Land Partnerships). In addition, PacWest agreed topay up to an additional $300,000 for any deficit capital accounts for these 11partnerships in exchange for the rights to the General Partners’distributions; referred to as a “distribution fee” as defined by theFinancing Agreement. 

9
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 5 - Agreements with PacWest (continued)
In addition, PacWest hasagreed to loan and/or secure a loan for the TMP Land Partnerships in the amountof $2,500,000. Loan proceeds will be allocated among the TMP Land Partnerships,based on partnership needs, from recommendations made by PacWest, and under theapproval and/or direction of the General Partners. A portion of these funds willbe loaned to the Partnership at 12% simple interest beginning April 1, 1998. Theborrowings are secured by the Partnership’s properties, and funds will beloaned, as needed, in the opinion of the General Partners. These funds are notto exceed 50% of the 1997 appraised value of the properties, and will primarilybe used to pay for on-going property maintenance, reduction of existing debt,property taxes in arrears, appropriate entitlement costs and partnershipoperations. 

PacWest, can, at theiroption, make additional advances with the agreement of the General Partners;however, the aggregate amount of cash loaned to the TMP Land Partnerships islimited to a maximum of $2,500,000. As of June 30, 2002 and December 31, 2001the TMP Land Partnerships owe PacWest approximately $3,073,000 and $3,637,000,respectively, including advances & interest. 

Effective August 1, 2000,the Partnership entered into the First Amendment to the Management Agreement(“First Amendment”). The purpose of the First Amendment is to clarifyand define certain language and the terms of the provisions of the ManagementAgreement. The Management Agreement, in its entirety, remains in effect apartfrom specific items discussed in the First Amendment. 

Certain items disclosed inthe First Amendment include 1) Revision of the “Asset AdministrationFee” schedule and its reduction upon the sale of any property, 2)“Participation Fee” wording is altered to read “Manager ProfitParticipation” and its calculation is defined, 3) the maximum amount of thePacWest loan to any Partnership shall not exceed fifty percent (50%) of the fairmarket value of all real properties owned by the Partnership, and the maximumamount of the PacWest loan secured against each specific parcel shall not exceeda loan-to-value ratio of fifty percent of the fair market value of that parcel,4) The maximum Total PacWest loan amount shall be $2,500,000 allocated betweenthe Partnerships and each borrowing Partnership shall execute a Promissory Note(as attached to the First Amendment) and a Trust Deed (as attached to the FirstAmendment. PacWest and the TMP Land Partnerships shall be entitled to enter intoa separate written agreement to provide for a short term gap loan to coveremergency shortfalls, and 5) If the Partnerships need funds in excess of the$2,500,000, PacWest shall be entitled to obtain third party loans at marketinterest, secured against the real property of each Partnership to whom suchloan(s) is made. No such loan(s) shall be 

10
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 5 - Agreements with PacWest (continued)
made without the written consent of the General Partners.
Pursuant to the FinancingAgreement, PacWest has acquired the General Partners’ unsubordinated 1%interest in the Partnership and assumed responsibility for all partnershipadministration while not replacing any of the General Partners. 

In April 1998, PacWestentered into the Management Agreement with the General Partners to provide thePartnership with overall management, administrative and consulting services.PacWest currently contracts with third party service providers to performcertain of the financial, accounting, and investor relations’ services forthe Partnership. PacWest will charge a fee for its administrative services equalto an amount not to exceed the average reimbursements to the General Partnersfor such services over the past five years. As of June 30, 2002 and December 31,2001, the Partnership has an amount due of $1,433,570 and $1,345,056,respectively, including interest, to PacWest related to the aforementionedagreements. 

Note 6 - Related Party Transactions
Syndication costs (seeNotes 1 and 3) netted against partners’ capital contributions include$870,000 of selling commissions paid in prior years to TMP Capital Corp. for thesale of partnership units of which a portion was then paid to unrelatedregistered representatives. 

See Note 5 regarding information on management of the Partnership during 2002.
Note 7 - Notes Payable
In February 1997, thePartnership entered into a loan agreement with a private party. The note issecured by a deed of trust on a parcel of land owned by the Partnership inPerris, CA. The total loan amount of $125,000 accrued interest at 14% per annum,with the interest payable monthly beginning April 1, 1997. The principal wasoriginally due in February 1999. In February 1999, the Partnership paid anextension fee of $3,800 to extend the due date to February 2001, to decrease theinterest rate to 12.25% and reduce the monthly interest payment to $1,276beginning on March 1, 1999. In February 2001, the Partnership paid an extensionfee of $3,750 to extend the due date to February 2003. As of June 30, 2002 andDecember 31, 2001, $38,280 and $30,624, respectively, of the interest relatingto this note payable has been capitalized to investment in unimproved 

11
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 7 - Notes Payable (continued)
land. The Partnership didnot make the April, May or June interest payments based on the General Partnersdecision to liquidate the Partnership (see Note 9). The Partnership expects thelender to begin foreclosure proceedings within the next few weeks. 

In 1997, the Partnershipentered into a loan agreement with a private party. The note is secured by adeed of trust on a parcel of land owned by the Partnership in Victorville, CA(Victorville 19.55 acres). The total loan amount of $233,825 accrued interest at13.5% per annum, and the interest was payable monthly. This note was refinancedin November 1999. The original lender was paid off and the Partnership enteredinto a new loan agreement. The new loan amount of $244,000 accrued interest at12% per annum. The interest payment of $2,440 was due monthly with the initialinterest payment due December 1, 1999. The due date of the loan was November2001. In November 2001, the Partnership paid an extension fee of $6,100 toextend the due date to November 2003, to decrease the interest rate to 11% andreduce the monthly interest payment to $2,237 beginning on December 1, 2001. Asof June 30, 2002 and December 31, 2001, $71,574 and $58,154, respectively, ofinterest relating to these loans has been capitalized to investment inunimproved land. The Partnership did not make the April, May or June interestpayments based on the General Partners decision to liquidate the Partnership(see Note 9). The lender began foreclosure proceedings on May 24, 2002. 

Note 8 - Decline in Market Value
In July 2002 the GeneralPartners notified the limited partners of their intent to terminate thePartnership by December 31, 2002. PacWest has begun to foreclose on thePartnership property that is not currently in escrow. A write-down in value ofPartnership properties of $45,000 was taken in the accompanying Statements ofOperations for the period ended June 30, 2002. Three properties are currently inescrow for sales prices of $1,600,000, $306,000 and $275,000 and escrow isexpected to close in September 2002. 

During the year endedDecember 31, 2001 the Partnership experienced a loss due to the write-down invalue of the Partnership land of $767,824. The decline in land value was mainlydue to the downturn in the real estate market applicable to the location ofcertain properties. 

12
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                        Notes to the Financial Statements                                  June 30, 2002                                   (Unaudited)
Note 9 - Property Taxes Payable
Property taxes payable of $108,204 relates to current property taxes that were due in April and December 2000 and 2001, and April2002.
13
                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                                  June 30, 2002
Item 2.  Management's Discussion and Analysis of Financial Condition and Results of Operations.
The following discussionand analysis provides information that the Partnership’s managementbelieves is relevant to an assessment and understanding of thePartnership’s results of operations and financial condition. Thisdiscussion should be read in conjunction with the financial statements andfootnotes, which appear elsewhere in this report. 

This Quarterly Report onForm 10-QSB contains forward-looking statements within the meaning of Section27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Actof 1934, which are subject to the “safe harbor” created by thatsection. Words such as “expects,” “anticipates,”“intends,” “plans,” “believes,” “seeks,”“estimates” and similar expressions or variations of such words areintended to identify forward-looking statements, but are not the exclusive meansof identifying forward-looking statements in this report. Additionally,statements concerning future matters such as the features, benefits andadvantages of the Partnership’s property regarding matters that are nothistorical are forward-looking statements. The Partnership’s actual futureresults could differ materially from those projected in the forward-lookingstatements. The Partnership assumes no obligation to update the forward-lookingstatements. 

Readers are urged to review and consider carefully the various disclosures made by the Partnership in this report, which attempts toadvise interested parties of the risks and factors that may affect the Partnership's business, financial condition and results ofoperations.
The Partnership isexperiencing serious operating and liquidity issues. The report of thePartnerships independent public accountants on the Partnerships financialstatements included in the Form 10-KSB for the year ended December 31, 2001contained a modification related to the Partnerships ability to continue as agoing concern. 

Results of Operations
The following discussionshould be read in conjunction with the attached financial statements and notesthereto and with the Partnership’s audited financial statements and notesthereto for the fiscal year ended December 31, 2001. 

The Partnership's management believes that inflation has not had a material effect on the Partnership's results of operations orfinancial condition.
14                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                                  June 30, 2002
Fiscal Periods Ended June 30, 2002 and 2001
The 18.33 acres at thenortheast corner of Raccoon Ave. and Cactus Road closed escrow on April 30, 2002for $73,000. The book value of the property plus selling costs netted to$73,015. A loss of $15 is recorded in the accompanying Statements of Operationsfor the three and six-month period ended June 30, 2002. 

The Partnership recognized $2,500 and $5,500 of revenue related to the rental of one of its properties for the three and six-monthperiods ended June 30, 2002, respectively.  There were no Partnership revenues during the three-month or six-month periods ended June30, 2001.
Total expenses for the three-month period ended June 30, 2002 compared with the three-month period ended June 30, 2001, increased byapproximately $67,564 due primarily to a $45,000 increase in Decline in Market Value (see Note 9) and $21,743 increase in InterestExpense.
Total expenses for thesix-month period ended June 30, 2002 compared with the six-month period endedJune 30, 2001, decreased by approximately $144,500 due to decrease in Decline inMarket Value (see Note 9) of $180,164. This decrease was partially offset byincreases in Accounting and Financial Reporting, Outside Professional Servicesand Interest Expenses. 

Liquidity and Capital Resources
At June 30, 2002 theCompany had available cash of approximately $2,789. Operations during thesix-month period ended June 30, 2002 utilized cash of approximately $2,900 whileinvesting activities provided approximately $5,500. Cash proceeds of $73,000from the sale of property were offset by the payment of development and carryingcosts of unimproved land held for investment of approximately $62,200 andselling expenses relating to the sale of property of approximately $5,300.Advances from PacWest increased by approximately $88,500 during the six-monthperiod ended June 30, 2002. 

During the six-month periodended June 30, 2001, operations provided cash of approximately $59,100 whileinvesting activities associated with the payment of development and carryingcosts of unimproved land held for investment utilized cash of approximately$55,600. Advances from PacWest increased by approximately $145,900 during thesix-month period ended June 30, 2001. 

The Partnership currentlyowns four properties as of June 30, 2002. Three of these properties are inescrow for sales prices of $1,600,000, $306,000 and $275,000 and all escrows areexpected to close in September 2002. The remaining property is currently listedfor sale at $225,000. 

15                           TMP INLAND EMPIRE VII, LTD.                        A California Limited Partnership                                  June 30, 2002
The approximately 17.48acres at Oleander Avenue in Perris, California is located within CommunityFacilities District 88-8. Due to the non-payment of the assessments, theDistrict has filed a Complaint to Foreclose Lien of Special Taxes under theMello-Roos Community Facilities Act of 1982 against the Partnership. No date hasbeen set for the foreclosure sale. The property is currently listed for sale for$225,000. 

As shown in theaccompanying financial statements, the Partnership does not have sufficientcurrent assets to satisfy liabilities that arise in the normal course ofbusiness. PacWest Inland Empire, through its loan agreement with the TMPpartnerships, provided a source of funds by which the Partnership could satisfythe liabilities arising from partnership operations and the development andmaintenance of undeveloped land held by the Partnership. The loan agreementoriginally stated that PacWest could loan up to $2,500,000 to the TMPpartnerships. Subsequently, the agreement was amended to allow PacWest to loanbeyond $2,500,000. Currently, PacWest has loaned approximately $3,073,000 to theTMP partnerships, of which approximately $1,433,570 has been loaned to thePartnership. PacWest has stopped loaning funds to the Partnership. 

The Partnership hasnotified the limited partners of their intent to terminate the Partnership byDecember 31, 2002 and the Partnership is actively attempting to sell theundeveloped land it presently owns. Foreclosure proceedings have begun on threeof the properties. 

Upon the sale/foreclosureof each property, the Partnership intends to payback PacWest Loans, includinginterest, and then distribute the sales proceeds, less any reserves needed foroperations, to the partners. 

15SignaturesPursuant to the requirements of the Securities exchange Act of 1934, the registrant has duly caused this report to be signed on itsbehalf by the undersigned thereunto duly authorized.Date: August 11, 2002TMP INLAND EMPIRE VII, LTD.A California Limited PartnershipBy:      TMP Investments, Inc., A California Corporation as Co-General Partner                                      By:      \s\ William O. Passo                                      -------------------------------------                                      William O. Passo, President                                      By:       \s\ Anthony W. Thompson                                      -------------------------------------                                      Anthony W. Thompson, Exec. Vice PresidentBy:      TMP Properties, A California General Partnership as Co-General Partner                                 By:      \s\ William O. Passo                                       -------------------------------------                                          William O. Passo, Partner                                 By:       \s\ Anthony W. Thompson                                       -------------------------------------                                       Anthony W. Thompson, Partner                                 By:       \s\ Scott E. McDaniel                                       -------------------------------------                                         Scott E. McDaniel PartnerBy:    JAFCO, Inc., A California Corporation as Chief Accounting Officer                                 By:      \s\ John A. Fonseca                                       -------------------------------------                                          John A. Fonseca, President