WITTER DEAN REALTY INCOME PARTNERSHIP IV L P
10-Q, 1995-05-15
REAL ESTATE
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                                UNITED STATES
                     SECURITIES AND EXCHANGE COMMISSION
                           Washington, D.C.  20549

                                  FORM 10-Q

[ X ]        QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                     THE SECURITIES EXCHANGE ACT OF 1934
                     For the period ended March 31, 1995

                                     OR

[   ]       TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                     THE SECURITIES EXCHANGE ACT OF 1934
            For the transition period from ________ to ________.


                      Commission File Number:  0-18147


               DEAN WITTER REALTY INCOME PARTNERSHIP IV, L.P.
       (Exact name of registrant as specified in governing instrument)


      Delaware                                      13-3378315         
(State of organization)               (IRS Employer Identification No.)      
 


                                           
   2 World Trade Center, New York, NY                   10048          
(Address of principal executive offices)             (Zip Code)        




Registrant's telephone number, including area code:   (212) 392-1054


Former name, former address and former fiscal year, if changed since last
report:  not applicable


Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.  Yes      X    No          
<PAGE>
<TABLE>
                          PART I - FINANCIAL INFORMATION

Item 1. Financial Statements
                                         
DEAN WITTER REALTY INCOME PARTNERSHIP IV, L.P.

                            CONSOLIDATED BALANCE SHEETS

<CAPTION>                                                                          
                                                 March 31,           December 31, 
                                                    1995                1994      

                                             
                                      ASSETS
<S>                                            <C>                  <C>           
Cash and cash equivalents, at cost
  which approximates market                     $  6,448,770         $  6,168,565 

Real estate, at cost:
  Land                                             8,984,865            8,984,865 
  Buildings and improvements                      84,977,633           84,844,156 
                                                  93,962,498           93,829,021 
  Accumulated depreciation                       (17,427,839)         (16,766,957)
                                                  76,534,659           77,062,064 

Investments in joint ventures                     54,538,749           55,074,536 

Deferred expenses, net                             1,321,097            1,364,966 

Other assets                                       1,948,898            1,806,054 

                                                $140,792,173         $141,476,185 


                         LIABILITIES AND PARTNERS' CAPITAL


Accounts payable and accrued liabilities        $    633,062         $    443,389 

Minority interest in consolidated                                                 
  joint ventures                                  29,907,008           30,193,571 
                                                  30,540,070           30,636,960 
Partners' capital (deficiency):                              
  General partners                                (2,491,559)          (2,432,847)
  Limited partners ($500 per Unit, 
     304,437 Units issued)                       112,743,662          113,272,072 
                                                 110,252,103          110,839,225 

                                                $140,792,173         $141,476,185 
See accompanying notes to consolidated financial statements.
/TABLE
<PAGE>
<TABLE>
                  DEAN WITTER REALTY INCOME PARTNERSHIP IV, L.P.
                                         
                         CONSOLIDATED STATEMENTS OF INCOME

                    Three months ended March 31, 1995 and 1994

<CAPTION>                                                                         
                                                    1995         1994  
<S>                                             <C>         <C>        
Revenues:
  
  Rental                                         $1,894,139  $2,054,026           
  Equity in earnings of joint ventures              607,755     664,869
  Interest and other                                106,324     103,266
                                                  2,608,218   2,822,161


Expenses:
  
  Property operating                                334,252     348,435
  Depreciation                                      660,882     684,538
  Amortization                                       43,869      50,593
  General and administrative                        151,105     151,331
                                                  1,190,108   1,234,897

Income before minority interests                  1,418,110   1,587,264

Minority interests                                  313,915     373,290

Net income                                       $1,104,195  $1,213,974

Net income per Unit of limited
  partnership interest                               $ 3.26      $ 3.59



See accompanying notes to consolidated financial statements.
/TABLE
<PAGE>
<TABLE>
                  DEAN WITTER REALTY INCOME PARTNERSHIP IV, L.P.

                    CONSOLIDATED STATEMENT OF PARTNERS' CAPITAL

                         Three months ended March 31, 1995


<CAPTION>
                                        Limited        General                    
                                        Partners       Partners          Total    
<S>                                 <C>             <C>            <C>            
Partners' capital (deficiency)
  at January 1, 1995                 $113,272,072    $(2,432,847)    $110,839,225 

Net income                                993,775        110,420        1,104,195 

Cash distributions                     (1,522,185)      (169,132)      (1,691,317)

Partners' capital (deficiency)
  at March 31, 1995                  $112,743,662    $(2,491,559)    $110,252,103 













See accompanying notes to consolidated financial statements.
</TABLE>
<PAGE>
<TABLE>
                  DEAN WITTER REALTY INCOME PARTNERSHIP IV, L.P.

                       CONSOLIDATED STATEMENTS OF CASH FLOWS

                    Three months ended March 31, 1995 and 1994
<CAPTION>
                                                        1995            1994    
<S>                                                 <C>            <C>
Cash flows from operating activities:
  Net income                                        $  1,104,195   $  1,213,974 
  Adjustments to reconcile net income to net
  cash provided by operating activities:
    Depreciation                                         660,882        684,538 
    Amortization                                          43,869         50,593 
    Minority interest in joint ventures' operations      313,915        373,290 
    Equity in earnings of joint ventures                (607,755)      (664,869)
    (Increase) in operating assets:
     Other assets                                       (142,844)      (204,445)
     Deferred expenses                                      -           (38,931)
    Increase in operating liabilities:
     Accounts payable and accrued liabilities            189,673         109,808

       Net cash provided by operating activities       1,561,935       1,523,958

Cash flows from investing activities:
  Additions to buildings & improvements                 (133,477)       (20,967)
  Additional investments in joint ventures              (276,483)      (208,506)
  Distributions from joint ventures                    1,420,025      1,129,845 
  Additional investments by minority interests            57,479         26,352 
  Minority interests in joint ventures' distributions   (657,957)      (622,750)

       Net cash provided by investing activities         409,587        303,974 

Cash flows from financing activities:
  Cash distributions                                  (1,691,317)    (1,691,317)
         
Increase in cash and cash equivalents                    280,205        136,615 

Cash and cash equivalents at beginning of period       6,168,565      7,166,996 

Cash and cash equivalents at end of period          $  6,448,770   $  7,303,611 

See accompanying notes to consolidated financial statements.
/TABLE
<PAGE>
              DEAN WITTER REALTY INCOME PARTNERSHIP IV, L.P.

                Notes to Consolidated Financial Statements


1.  The Partnership

Dean Witter Realty Income Partnership IV, L.P. (the "Partnership") is a
limited partnership organized under the laws of the State of Delaware on
October 31, 1986.  
    
The consolidated financial statements include the accounts of the
Partnership and its majority-controlled subsidiaries, Technology Park
Associates and Lake Colorado Associates, the owner of Pasadena Financial
Center.  The Partnership's interests in Taxter Corporate Park and the
partnership which owns an interest in Chesterbrook Corporate Center are
accounted for on the equity method.  

The Partnership's records are maintained on the accrual basis of
accounting for financial and tax reporting purposes.  
    
Net income per Unit amounts are calculated by dividing net income
allocated to Limited Partners, in accordance with the Partnership
Agreement, by the weighted average number of Units outstanding.
    
In the opinion of management, the accompanying financial statements,
which have not been audited, include all adjustments consisting only of
normal recurring accruals, necessary to present fairly the results for
the interim periods.

2.  Related Party Transactions

An affiliate of the Managing General Partner provided property management
services for two properties and for five buildings at the Chesterbrook
Corporate Center as of March 31, 1995 and 1994.  The Partnership paid the
affiliate management fees of approximately $46,000  and $42,000 for the
three months ended March 31, 1995 and 1994, respectively.

Another affiliate of the Managing General Partner performs administrative
functions, processes investor transactions and prepares tax information
for the Partnership.  For each of the three-month periods ended March 31,
1995 and 1994, the Partnership incurred approximately $106,000 for these
services.  

As of March 31, 1995, the affiliates were owed approximately $51,000 for
these services.

3.  Subsequent Event
    
    On April 27, 1995, the Partnership paid a cash distribution of $5.00
    per Unit to the Limited Partners.  The total cash distribution
    amounted to $1,691,317, with $1,522,185 distributed to the Limited
    Partners and $169,132 to the General Partners.
<PAGE>
Item 2.  Management's Discussion and Analysis of Financial Condition and
         Results of Operations

Liquidity and Capital Resources

The Partnership raised $152,218,500 in a public offering of 304,437 units
which was terminated in 1988.  The Partnership has no plans to raise
additional capital. 

The Partnership has made four investments in partnerships, which own
interests in properties, on an all-cash basis.  The Partnership's
acquisition program has been completed.  No additional investments are
planned.

Many real estate markets are stabilizing, primarily due to the continued
absence of significant construction activity.  However, the recovery of
the office market has been and may continue to be slow, because tenant
demand is weak, as a result of continued downsizing by many major
corporations.  

Real estate markets are generally divided into sub-markets by geographic
location and property type.  Not all sub-markets have been affected
equally by the above factors.

The Partnership's liquidity depends in part upon cash flow from
operations of its properties, expenditures for tenant improvements and
leasing commissions in connection with the leasing of vacant space.
During the three months ended March 31, 1995, all of the Partnership's
property investments generated positive cash flow from operations, and
it is anticipated that they will continue to do so.

During the three months ended March 31, 1995, the Partnership's cash flow
from operations and distributions from joint ventures exceeded
distributions to investors and capital expenditures. 

Countrywide Credit Industries, Inc., the largest tenant at Pasadena
Financial Center, is consolidating its operations in Pasadena,  and the
partnership which owns the property has agreed to a restructuring of its
lease with Countrywide.  Effective January 1, 1995, Countrywide was
allowed to give back approximately 35% of the space it leased, and its
base rent was slightly reduced on its remaining space (approximately 36%
of the property) over the next six years, in exchange for an extension
of the lease term on the remaining space for ten years, to September
2011.  The Partnership completed this restructuring without incurring any
new tenant improvement obligations on the space, and at below-market
leasing commission rates.  In 2005, rents will increase ten percent for
the remainder of the lease term.  Considering the current market and
economic conditions in Pasadena, CA, as discussed below under Operations,
and the credit-worthiness of Countrywide, the Managing General Partner 
considers the terms of the new agreement favorable.  The sixteen-year
term for this major tenant will provide stability to the long term cash
flow from this property.

Pasadena Financial Center has experienced damage to the exterior walls. 
The Partnership's share of these costs is anticipated to exceed $420,000.
The partnership which owns the property does not expect to receive any
insurance proceeds for this damage; however, in 1994, it initiated a
lawsuit against the original building contractor and architect to seek
recovery of these costs.

The Vanguard Group vacated its space in two of the buildings at the
Chesterbrook property in November 1993 and October 1994, and will vacate
its remaining space upon the expiration of its leases in November 1995. 
In September 1994, the partnership which owns the property signed leases
with two new tenants to fill a significant portion of the space vacated
to date.  During the three months ended March 31, 1995, the Partnership
contributed approximately $200,000 for its share of capital expenditures
needed to re-lease this space.

In 1995, the Partnership expects to fund significant capital expenditures
in order to attract new tenants to vacant space at the Chesterbrook
property and Pasadena Financial Center, and to contribute approximately
$200,000, its share of planned building improvements, to the Taxter joint
venture. 

The Partnership expects that for the remainder of 1995, capital
expenditures and cash distributions will be funded from operating cash
flows, distributions from joint ventures and existing cash reserves.  

On April 27, 1995, the Partnership paid the first quarter distribution
of $5.00 per Unit to the Limited Partners.  The total cash distribution
amounted to $1,691,317, with $1,522,185 distributed to the Limited
Partners and $169,132 to the General Partners.

Operations

Fluctuations in the Partnership's operating results for the three-month
period ended March 31, 1995 compared to 1994 are primarily attributable
to the following:

The decrease in rental income in 1995 compared to 1994 is primarily due
to the above-mentioned restructuring of the lease with Countrywide at
Pasadena Financial Center. 

A summary of the markets in which the Partnership's office properties are
located and the performance of each property is as follows:

Chesterbrook Corporate Center is located in Valley Forge, Pennsylvania,
a market in which the vacancy rate is approximately 14%.  During the
first quarter of 1995, occupancy at the property increased to 93%. 
Vanguard has been vacating its space to move into its own newly-
constructed space in this market.  This, and other new construction in
the Valley Forge area, will cause the office market to deteriorate
further.  Leases totaling 20% of the space are scheduled to expire during
the remainder of 1995 and in 1996.

The office market in Westchester County, New York, the location of Taxter
Corporate Park, has a current vacancy level of approximately 22%.  It is
unlikely that this vacant space will be absorbed in the market for
several years.  However, during the first quarter of 1995, average
occupancy at the property remained stable at 99%.  Leases covering 21%
of the property's space expire in 1996.
   
The Reston market in Virginia, the location of Tech Park Reston, has a
vacancy rate of 16% due to the contraction of the high-tech and defense
firms which are the major tenants in the market.  The leases with Sprint
Communications, which occupies 100% of the space, expire in 2003. Sprint
has the option to terminate its leases on two of the three buildings
beginning in 1997 and 1998.

In Pasadena, California, the location of Pasadena Financial Center, the
office market overall vacancy rate is approximately 15%, and it is
expected to deteriorate in the near term, primarily as a result of
downsizing by Countrywide and another large employer in the market. 
During the first quarter of 1995, average occupancy at the property was
approximately 81%.  No significant leases are scheduled to expire in the
near future.

Inflation

Inflation has been consistently low during the periods presented in the
financial statements and, as a result, has not had a significant effect
on the operations of the Partnership or its properties.


PART II - OTHER INFORMATION

Not applicable
         
         <PAGE>
                                SIGNATURES





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



                                         DEAN WITTER REALTY INCOME  
                                           PARTNERSHIP IV, L.P.  

                                  By:    Dean Witter Realty Fourth Income
                                           Properties Inc.
                                         Managing General Partner



Date:  May 12, 1995               By:    /S/E. Davisson Hardman, Jr.    
                                         E. Davisson Hardman, Jr.
                                         President


Date:  May 12, 1995               By:    /s/Lawrence Volpe              
                                         Lawrence Volpe    
                                         Controller                  
                                         (Principal Financial and
                                          Accounting Officer)



<TABLE> <S> <C>

<ARTICLE> 5
<LEGEND>
Registrant is a limited partnership which invests in real estate and real
estate joint ventures.  In accordance with industry practice, its balance
sheet is unclassified.  For full information, refer to the accompanying
unaudited financial statements.
</LEGEND>
<CIK> 0000819342
<NAME> DEAN WITTER REALTY INCOME PARTNERSHIP IV L.P.
       
<S>                             <C>
<PERIOD-TYPE>                   3-MOS
<FISCAL-YEAR-END>                          MAR-31-1995
<PERIOD-END>                               DEC-31-1995
<CASH>                                       6,448,770
<SECURITIES>                                         0
<RECEIVABLES>                                1,948,898
<ALLOWANCES>                                         0
<INVENTORY>                                          0
<CURRENT-ASSETS>                                     0
<PP&E>                                               0
<DEPRECIATION>                                       0
<TOTAL-ASSETS>                             140,792,173<F1>
<CURRENT-LIABILITIES>                                0
<BONDS>                                              0
<COMMON>                                             0
                                0
                                          0
<OTHER-SE>                                 110,252,103<F2>
<TOTAL-LIABILITY-AND-EQUITY>               140,792,173<F3>
<SALES>                                              0
<TOTAL-REVENUES>                             2,608,218<F4>
<CGS>                                                0
<TOTAL-COSTS>                                        0
<OTHER-EXPENSES>                             1,504,023
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                   0
<INCOME-PRETAX>                              1,104,195
<INCOME-TAX>                                         0
<INCOME-CONTINUING>                          1,104,195
<DISCONTINUED>                                       0
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                 1,104,195
<EPS-PRIMARY>                                    3.26<F5>
<EPS-DILUTED>                                        0
<FN>
<F1>In addition to cash and receivables, total assets include net investments
in real estate of $76,534,659, investments in joint ventures of $54,538,749 
and net deferred expenses of $1,321,097. 
<F2>Represents partners' capital.
<F3>Liabilities include accounts payable and accrued liabilities of $633,062 
and minority interests in consolidated joint ventures of $29,907,008.
<F4>Total revenue includes rent of $1,894,139, equity in earnings of joint
ventures of $607,755 and interest and other revenue of $106,324.
<F5>Represents net income per Unit of limited partnership interest.
</FN>
        

</TABLE>


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