<PAGE> PAGE 1
000 B000000 04/30/95
000 C000000 0000912291
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000 J000000 A
001 A000000 FRANKLIN REAL ESTATE SECURITIES TRUST
001 B000000 811-8034
001 C000000 4153122000
002 A000000 777 MARINERS ISLAND BOULEVARD
002 B000000 SAN MATEO
002 C000000 CA
002 D010000 94404
002 D020000 1585
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008 A000001 FRANKLIN ADVISERS,INC.
008 B000001 A
008 C000001 801-26292
008 D010001 SAN MATEO
008 D020001 CA
008 D030001 94403
008 D040001 7777
011 A000001 FRANKLIN/TEMPLETON DISTRIBUTORS,INC.
011 B000001 8-5889
011 C010001 SAN MATEO
011 C020001 CA
011 C030001 94403
011 C040001 7777
012 A000001 FRANKLIN/TEMPLETON INVESTOR SERVICES,INC.
012 B000001 84-1036
012 C010001 SAN MATEO
012 C020001 CA
012 C030001 94403
<PAGE> PAGE 2
012 C040001 7777
013 A000001 COOPERS & LYBRAND L.L.P.
013 B010001 SAN FRANCISCO
013 B020001 CA
013 B030001 94105
013 B040001 2119
014 A000001 FRANKLIN/TEMPLETON DISTRIBUTORS,INC.
014 B000001 8-5889
015 A000001 BANK OF AMERICA NT & SA
015 B000001 C
015 C010001 SAN FRANCISCO
015 C020001 CA
015 C030001 94104
015 C040001 1502
015 E010001 X
015 A000002 CITIBANK DELAWARE
015 B000002 C
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015 C020002 DE
015 C030002 19720
015 C040002 2409
015 E010002 X
018 000000 Y
019 A000000 Y
019 B000000 184
019 C000000 FRNKTEMGRP
020 A000001 MERRILL LYNCH PIERCE FENNER
020 B000001 13-5674085
020 C000001 7
020 A000002 PAINEWEBBER INC
020 B000002 13-2638166
020 C000002 5
020 A000003 GOLDMAN SACHS & CO
020 B000003 13-5108880
020 C000003 2
020 A000004 DEAN WITTER REYNOLDS INC
020 B000004 94-1671384
020 C000004 2
020 A000005 MORGAN KEEGAN & CO, INC
020 B000005 64-0474907
020 C000005 2
020 A000006 LEHMAN BROTHERS SECS
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020 C000006 2
020 A000007 JEFFERIES & CO, INC
020 B000007 95-2622900
020 C000007 1
020 A000008 BEAR, STEARNS & CO, INC
020 B000008 13-3299429
020 C000008 1
020 A000009 MONTGOMERY SECURITIES
<PAGE> PAGE 3
020 B000009 94-1701676
020 C000009 1
020 C000010 0
021 000000 25
022 A000001 DAIWA SECURITIES AMERICA INC
022 B000001 13-5680329
022 C000001 159215
022 D000001 0
022 A000002 LEHMAN BROTHERS SECS
022 B000002 13-2518466
022 C000002 109815
022 D000002 0
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022 B000003 13-3187336
022 C000003 42084
022 D000003 0
022 A000004 DONALDSON LUFKIN & JENRETTE
022 B000004 13-2741729
022 C000004 22381
022 D000004 0
022 A000005 FUJI SECURITIES INC
022 B000005 13-3038090
022 C000005 16603
022 D000005 0
022 A000006 SANWA-BGK SEC CO L.P.
022 B000006 13-3154528
022 C000006 11188
022 D000006 0
022 A000007 GREENWICH SEC
022 B000007 13-2697091
022 C000007 3481
022 D000007 0
022 A000008 MORGAN KEEGAN & CO, INC
022 B000008 64-0474907
022 C000008 1784
022 D000008 0
022 A000009 MERRILL LYNCH PIERCE FENNER
022 B000009 13-5674085
022 C000009 703
022 D000009 0
022 A000010 GOLDMAN SACHS & CO
022 B000010 13-5108880
022 C000010 480
022 D000010 0
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<PAGE> PAGE 4
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<PAGE> PAGE 5
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<PAGE> PAGE 6
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<PAGE> PAGE 7
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<PAGE> PAGE 8
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<PAGE> PAGE 9
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SIGNATURE DIOMEDES LOO-TAM
TITLE TREASURER
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
THE SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED
FROM THE FRANKLIN REAL ESTATE SECURITIES TRUST - FRANKLIN REAL ESTATE
SECURITIES FUND APRIL 30, 1995 ANNUAL REPORT AND IS QUALIFIED IN ITS
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> APR-30-1995
<PERIOD-END> APR-30-1995
<INVESTMENTS-AT-COST> 16,181,247
<INVESTMENTS-AT-VALUE> 15,696,801
<RECEIVABLES> 1,145,838
<ASSETS-OTHER> 33,296
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 16,875,935
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 181,661
<TOTAL-LIABILITIES> 181,661
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 16,881,679
<SHARES-COMMON-STOCK> 1,577,732
<SHARES-COMMON-PRIOR> 515,905
<ACCUMULATED-NII-CURRENT> 272,168
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 24,873
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> (484,446)
<NET-ASSETS> 16,694,274
<DIVIDEND-INCOME> 595,739
<INTEREST-INCOME> 72,746
<OTHER-INCOME> 0
<EXPENSES-NET> (32,656)
<NET-INVESTMENT-INCOME> 635,829
<REALIZED-GAINS-CURRENT> 24,873
<APPREC-INCREASE-CURRENT> (661,697)
<NET-CHANGE-FROM-OPS> (995)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> (394,547)
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1,367,368
<NUMBER-OF-SHARES-REDEEMED> (333,626)
<SHARES-REINVESTED> 28,085
<NET-CHANGE-IN-ASSETS> 11,060,034
<ACCUMULATED-NII-PRIOR> 30,886
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 0
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> (100,878)
<AVERAGE-NET-ASSETS> 13,075,036
<PER-SHARE-NAV-BEGIN> 10.920
<PER-SHARE-NII> 0.390
<PER-SHARE-GAIN-APPREC> (0.450)
<PER-SHARE-DIVIDEND> (0.280)
<PER-SHARE-DISTRIBUTIONS> 0.000
<RETURNS-OF-CAPITAL> 0.000
<PER-SHARE-NAV-END> 10.580
<EXPENSE-RATIO> 0.250
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0.000
</TABLE>
REPORT OF INDEPENDENT AUDITORS
To the Shareholders and Board of Trustees
of Franklin Real Estate Securities Trust:
In planning and performing our audit of the financial statements
and financial highlights of Franklin Real Estate Securities Trust
for the year ended April 30, 1995, we considered its
internal control structure, including procedures for
safeguarding securities, in order to determine our auditing
procedures for the purpose of expressing our opinion on the
financial statements and financial highlights and to comply with
the requirements of Form N-SAR, not to provide assurance on the
internal control structure.
The management of the Franklin Real Estate Securities Trust is
responsible for establishing and maintaining an internal control
structure. In fulfilling this responsibility, estimates and
judgements by management are required to assess the expected
benefits and related costs of internal control structure policies
and procedures. Two of the objectives of an internal control
structure are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from
unauthorized use or disposition and that transactions are executed
in accordance with management's authorization and recorded properly
to permit preparation of financial statements in conformity with
generally accepted accounting principles.
Because of inherent limitations in any internal control structure,
errors or irregularities may occur and not be detected. Also,
projection of any evaluation of the structure to future periods is subject
to the risk that it may become inadequate because of
changes in conditions or that the effectiveness of the design and
operation may deteriorate.
Our consideration of the internal control structure would not
necessarily disclose all matters in the internal control structure
that might be material weaknesses under standards established by
the American Institute of Certified Public Accountants. A material
weakness is a condition in which the design or operation of the
specific internal control structure elements does not reduce to a
relatively low level the risk that errors or irregularities in
amounts that would be material in relation to the financial
statements and financial highlights being audited may occur and
not be detected within a timely period by employees in the normal
course of performing their assigned functions. However, we noted
no matters involving the internal control structure, including
procedures for safeguarding securities, that we consider to be
material weaknesses, as defined above, as of April 30, 1995.
This report is intended solely for the information and use of
management of the Franklin Real Estate Securities Trust and the
Securities and Exchange Commission.
S\COOPERS & LYBRAND L.L.P.
Coopers & Lybrand L.L.P.
San Francisco, California
June 2, 1995
EXHIBIT 77 C
FRANKLIN RESOURCES, INC.
777 Mariners Island Blvd.
P.O. Box 7777
San Mateo, CA 94403-7777
415/312-3000
ACTION OF SOLE SHAREHOLDER BY WRITTEN CONSENT
The undersigned, being the sole shareholder of the Class II
shares of each of the Franklin Templeton Funds listed on the
attached Schedule A (the "Funds"), each of which is a series of
the Investment Companies as indicated on Schedule A (the
"Companies"), does hereby take the following actions and does
hereby consent to the following resolution:
RESOLVED: That the Distribution Plans pursuant to Rule
12b-1 (under the Investment Company Act of 1940), as
agreed to and accepted by Franklin/Templeton
Distributors, Inc. and each of the Companies prior to
the date below, be and it hereby is, approved for each
Fund.
By execution hereof, the undersigned shareholder waives
prior notice of the foregoing action by written consent.
FRANKLIN RESOURCES, INC.
s/H.E. Burns
Dated as of: April 28, 1995 By: Harmon E. Burns
Executive Vice President
SCHEDULE A
INVESTMENT COMPANY FUND & CLASS; TITAN NUMBER
Franklin Gold Fund Franklin Gold Fund - Class II; 232
Franklin Equity Fund Franklin Equity Fund - Class II; 234
Franklin Custodian Funds, Inc. Growth Series - Class II; 206
Utilities Series - Class II;
207
Income Series - Class II; 209
U.S. Government Securities
Series - Class II; 210
Franklin California Tax-Free Franklin California Tax-Free Income
Income Fund, Inc. Fund - Class II; 212
Franklin New York Tax-Free Franklin New York Tax-Free Income
Income Fund, Inc. Fund - Class II; 215
Franklin Federal Tax-Free Franklin Federal Tax-Free Income
Income Fund Fund -Class II; 216
Franklin Managed Trust Franklin Rising Dividends
Fund - Class II; 258
Franklin California Tax-Free Franklin California Insured Tax-Free
Trust
Income Fund - Class II; 224
Franklin New York Tax-Free Trust Franklin New York Insured Tax-Free
Income Fund - Class II; 281
Franklin Investors Securities Franklin Global Government Income
Trust
Fund - Class II; 235
Franklin Equity Income
Fund - Class II; 239
Franklin Strategic Series Franklin Global Utilities
Fund - Class II; 297
Franklin Real Estate Securities Franklin Real Estate Securities
Trust
Fund - Class II; 292
INVESTMENT COMPANY FUND AND CLASS; TITAN NUMBER
Franklin Tax-Free Franklin Alabama Tax-Free Income Fund - Class II;
264
Trust Franklin Arizona Tax-Free Income Fund - Class II;
226
Franklin Colorado Tax-Free Income Fund - Class
II; 227
Franklin Connecticut Tax Free Income
Fund - Class II; 266
Franklin Florida Tax-Free Income Fund - Class II;
265
Franklin Georgia Tax-Free Income Fund - Class II;
228
Franklin High Yield Tax-Free Income Fund - Class
II; 230
Franklin Insured Tax-Free Income Fund - Class II;
221
Franklin Louisiana Tax-Free Income Fund - Class
II; 268
Franklin Maryland Tax-Free Income Fund - Class
II; 269
Franklin Massachusetts Insured Tax-Free Income
Fund - Class II; 218
Franklin Michigan Insured Tax-Free Income
Fund - Class II; 219
Franklin Minnesota Insured Tax-Free Income
Fund - Class II; 220
Franklin Missouri Tax-Free Income Fund - Class
II; 260
Franklin New Jersey Tax-Free Income
Fund - Class II; 271
Franklin North Carolina Tax-Free Income
Fund - Class II; 270
Franklin Ohio Insured Tax-Free Income
Fund - Class II; 222
Franklin Oregon Tax-Free Income Fund - Class II;
261
Franklin Pennsylvania Tax-Free Income
Fund - Class II; 229
Franklin Puerto Rico Tax-Free Income
Fund - Class II; 223
Franklin Texas Tax-Free Income Fund - Class II;
262
Franklin Virginia Tax-Free Income Fund - Class
II; 263
