SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
______________________
SCHEDULE 13G
(Rule 13d-102)
INFORMATION STATEMENT PURSUANT TO RULES 13d-1 AND 13d-2
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(Amendment No. )1
PACIFIC GREYSTONE CORPORATION
(Name of Issuer)
COMMON STOCK, $.01 PAR VALUE
(Title of Class Securities)
694351107
(CUSIP Number)
_____________________
1 The remainder of this cover page shall be filled out for a
reporting person's initial filing on this form with respect to
the subject class of securities, and for any subsequent amend-
ment containing information which would alter the disclosures
provided in a prior cover page.
The information required in the remainder of this cover
page shall not be deemed to be "filed" for the purpose of Sec-
tion 18 of the Securities Exchange Act of 1934 (the "Act") or
otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (how-
ever, see the Notes).<PAGE>
CUSIP NO. 694351107
---------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Warburg, Pincus Investors, L.P.
I.D. # 13-3549187
---------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP:
(a) [ ]
(b) [ ]
---------------------------------------------------------------
3. SEC USE ONLY:
---------------------------------------------------------------
4. CITIZENSHIP OR PLACE OF ORGANIZATION:
Delaware
---------------------------------------------------------------
5. SOLE VOTING POWER: 0
NUMBER OF -------------------------------------------------
SHARES 6. SHARED VOTING POWER: 8,411,854
BENEFICIALLY
OWNED BY -------------------------------------------------
EACH 7. SOLE DISPOSITIVE POWER: 0
REPORTING
PERSON -------------------------------------------------
WITH: 8. SHARED DISPOSITIVE POWER: 8,411,854
---------------------------------------------------------------
9. AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON:
8,411,854
---------------------------------------------------------------
10. CHECK BOX IF THE AGGREGATE AMOUNT
IN ROW (9) EXCLUDES CERTAIN SHARES: [ ]
---------------------------------------------------------------
11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9):
56.2%
---------------------------------------------------------------
12. TYPE OF REPORTING PERSON:
PN
---------------------------------------------------------------<PAGE>
CUSIP NO. 694351107
---------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Warburg, Pincus & Co.
I.D. # 13-6358475
---------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP:
(a) [ ]
(b) [ ]
---------------------------------------------------------------
3. SEC USE ONLY:
---------------------------------------------------------------
4. CITIZENSHIP OR PLACE OF ORGANIZATION:
New York
---------------------------------------------------------------
5. SOLE VOTING POWER: 0
NUMBER OF -------------------------------------------------
SHARES 6. SHARED VOTING POWER: 8,411,854
BENEFICIALLY
OWNED BY -------------------------------------------------
EACH 7. SOLE DISPOSITIVE POWER: 0
REPORTING
PERSON -------------------------------------------------
WITH: 8. SHARED DISPOSITIVE POWER: 8,411,854
---------------------------------------------------------------
9. AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON:
8,411,854
---------------------------------------------------------------
10. CHECK BOX IF THE AGGREGATE AMOUNT IN
ROW (9) EXCLUDES CERTAIN SHARES: [ ]
---------------------------------------------------------------
11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9):
56.2%
---------------------------------------------------------------
12. TYPE OF REPORTING PERSON:
PN
---------------------------------------------------------------<PAGE>
CUSIP NO. 694351107
---------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
E.M. Warburg, Pincus & Co., LLC
I.D. # 13-3536050
---------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP:
(a) [ ]
(b) [ ]
---------------------------------------------------------------
3. SEC USE ONLY:
---------------------------------------------------------------
4. CITIZENSHIP OR PLACE OF ORGANIZATION:
New York
---------------------------------------------------------------
5. SOLE VOTING POWER: 0
NUMBER OF -------------------------------------------------
SHARES 6. SHARED VOTING POWER: 8,411,854
BENEFICIALLY
OWNED BY -------------------------------------------------
EACH 7. SOLE DISPOSITIVE POWER: 0
REPORTING
PERSON -------------------------------------------------
WITH: 8. SHARED DISPOSITIVE POWER: 8,411,854
---------------------------------------------------------------
9. AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON:
8,411,854
---------------------------------------------------------------
10. CHECK BOX IF THE AGGREGATE AMOUNT IN
ROW (9) EXCLUDES CERTAIN SHARES: [ ]
---------------------------------------------------------------
11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9):
56.2%
---------------------------------------------------------------
12. TYPE OF REPORTING PERSON:
OO
---------------------------------------------------------------<PAGE>
Item 1(a). Name of Issuer:
Pacific Greystone Corporation
Item 1(b). Address of Issuer's Principal Executive Offices:
6767 Forest Lawn Drive, Suite 300
Los Angeles, California 90068-1027
Item 2(a). Names of Persons Filing:
This statement is filed by and on behalf of (a)
Warburg, Pincus Investors, L.P., a Delaware lim-
ited partnership ("WPI"); (b) Warburg, Pincus &
Co., a New York general partnership ("WP"); and
(c) E.M. Warburg, Pincus & Co., LLC, a New York
limited liability company ("EMW LLC"), which man-
ages WPI. WP, the sole general partner of WPI,
has a 20% interest in the profits of WPI. Lionel
I. Pincus is the managing partner of WP and the
managing member of EMW LLC and may be deemed to
control both WP and EMW LLC. The members of
EMW LLC are substantially the same as the part-
ners of WP.
Item 2(b). Address of Principal Business Office or, if None,
Residence:
466 Lexington Avenue
New York, New York 10017
Item 2(c). Citizenship:
Not Applicable.
Item 2(d). Title of Class of Securities:
Common Stock, $.01 par value.
Item 2(e). CUSIP Number:
694351107
Item 3. If this statement is filed pursuant to Rules
13d-1(b) or 13d-2(b), check whether the person
filing is a:
Not Applicable. <PAGE>
Item 4. Ownership:
(a) Amount Beneficially Owned:
8,411,854 shares as of December 31, 1996
(b) Percent of Class:
56.2%
(c) Number of shares as to which such person
has:
(i) Sole power to vote or to direct the
vote: 0
(ii) Shared power to vote or direct the
vote: 8,411,854
(iii) Sole power to dispose or to direct
the disposition of: 0
(iv) Shared power to dispose or to direct
the disposition of: 8,411,854
Item 5. Ownership of Five Percent or Less of a Class:
Not Applicable.
Item 6. Ownership of More Than Five Percent on Behalf of
Another Person:
Not Applicable.
Item 7. Identification and Classification of the Subsid-
iary Which Acquired the Security Being Reported
on by the Parent Holding Company:
Not Applicable.
Item 8. Identification and Classification of Members of
the Group:
Not Applicable.
Item 9. Notice of Dissolution of Group:
Not Applicable.<PAGE>
Item 10. Certification:
Not Applicable.<PAGE>
SIGNATURE
After reasonable inquiry and to the best of my knowl-
edge and belief, I certify that the information set forth in
this statement is true, complete and correct.
Dated: February 11, 1997
WARBURG, PINCUS INVESTORS, L.P.
By: Warburg, Pincus & Co.,
General Partner
By: /s/ Stephen Distler
Name: Stephen Distler
Title: Partner
WARBURG, PINCUS & CO.
By: /s/ Stephen Distler
Name: Stephen Distler
Title: Partner
E.M. WARBURG, PINCUS & CO., LLC
By: /s/ Stephen Distler
Name: Stephen Distler
Title: Member<PAGE>
SCHEDULES
Schedule I Joint Filing Agreement, dated February 11, 1997,
among the signatories to this Schedule 13G.<PAGE>
SCHEDULE I
JOINT FILING AGREEMENT
PURSUANT TO RULE 13d-1(f)(1)
The undersigned acknowledge and agree that the
foregoing statement on Schedule 13G is filed on behalf of each
of the undersigned and that all subsequent amendments to this
statement on Schedule 13G shall be filed on behalf of each of
the undersigned without the necessity of filing additional
joint filing agreements. The undersigned acknowledge that each
shall be responsible for the timely filing of such amendments,
and for the completeness and accuracy of the information
concerning it contained therein, but shall not be responsible
for the completeness and accuracy of the information concerning
the others, except to the extent that it knows or has reason to
believe that such information is inaccurate. This Agreement
may be executed in any number of counterparts and all of such
counterparts taken together shall constitute one and the same
instrument.
Dated: February 11, 1997
WARBURG, PINCUS INVESTORS, L.P.
By: Warburg, Pincus & Co.,
General Partner
By: /s/ Stephen Distler
Name: Stephen Distler
Title: Partner
WARBURG, PINCUS & CO.
By: /s/ Stephen Distler
Name: Stephen Distler
Title: Partner
E.M. WARBURG, PINCUS & CO., LLC
By: /s/ Stephen Distler
Name: Stephen Distler
Title: Member
