SAN FRANCISCO BAY AREA RENTAL ANALYSIS

Exhibit 99.1




San Francisco Bay Area
Rental Analysis

















PRESENTED TO

Bay Apartment Communities


PREPARED BY
Ann Roulac and Company
98 Main Street, Suite 439
Tiburon, CA 94920
415-435-2825

February 1997






Bay Apartment Communities, Inc.
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Table of Contents


Definition of Terms........................................................2

Market Overview............................................................3

Effective Rents............................................................5

Historical Rent Increases..................................................8

Historical Vacancy Rates..................................................10






Index of Exhibits


Exhibit I .........................................County and City Summaries

Exhibit II .............................List of Apartment Properties Surveyed

Exhibit III .................Rental Surveys of Institutional Grade Properties


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Ann Roulac and Company

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Bay Apartment Communities, Inc.
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DEFINITION OF TERMS


Effective Rent: The average asking street rent less the value of all
concessions, including without limitation, moving allowances
or discounts. Note: Due to extremely tight market conditions
in the Bay Area, as of the writing of this report, we found
rental concessions to be negligible at this time.

Percent Change: The percent increase or decrease in the rental rate between
the applicable reporting periods.

Vacant Units: The total number of physically unoccupied units in completed
buildings throughout the applicable apartment complex or Bay
Area region.

Vacancy Rate: The percent of physically unoccupied units in completed
buildings throughout the applicable apartment complex or Bay
Area region, calculated by dividing the vacant units by the
total number of units in the applicable apartment complex or
Bay Area region.

Institutional
Quality/Grade: Professionally managed apartment properties of 100 units or
more that are generally newer. However, older apartment
properties that are structurally sound and well positioned
in the applicable Bay Area region are included as well.



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Ann Roulac and Company

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Bay Apartment Communities, Inc.
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MARKET OVERVIEW


The following are highlights from our research of the four Bay Area counties as
of January 1997.


ALAMEDA COUNTY OVERVIEW

- Average rental rates from the survey were $1,060 or $1.28/square foot.

- The highest average rents were in Fremont with an average rent of
$1,141 or $1.45/square foot.

- Rent increases for 1996 were 8.87% and were up significantly during
the first half of 1996 increasing 5.93%.

- Union City experienced the largest rent increases in Alameda County ,
which increased 13.13% during 1996.

- Vacancy rates increased from 1.44% at year end 1995 to 1.50% at year
end 1996


SAN FRANCISCO COUNTY OVERVIEW

- Average rental rates from the survey were $1,456 or $2.03/square foot.

- Rental increases for 1996 were 17.14% while rents in San Francisco
increased by 11.18% during the first half of 1996.

- Vacancy rates decreased from 2.30% at year end 1995 to 0.23% at year
end, 1996.


SAN MATEO COUNTY OVERVIEW

- Average rental rates from the survey were $1,345 or $1.68/square foot.

- The highest average rents were in Redwood Shores with an average rent
of $1,672 or $1.92/square foot.

- Rent increases in San Mateo were the largest of the four counties
surveyed at 12.88% for the first half of 1996, and 21.06% at year end
1996.

- Vacancy rates as of year end 1995 were 1.04% and had increased to
1.43% by year end 1996.

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Ann Roulac and Company

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Bay Apartment Communities, Inc.
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SANTA CLARA COUNTY OVERVIEW

- Average rental rates from the survey were $1,366 or $1.59/square foot.

- The highest average rents were reported in Mountain View with an
average rent of $1,491 or $1.73/square foot.

- Of the four counties surveyed, Santa Clara reported the largest rent
increases at 16.46% for 1995. Rental increases through the first half
of 1996 were up 12.04% yet by year end the rent increase was 15.87%.

- Vacancy rates as of year end 1995 were 0.36% and have increased
slightly to 0.82%.




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Ann Roulac and Company

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Bay Apartment Communities, Inc.
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EFFECTIVE RENTS


STATUS OF EFFECTIVE RENTS

The following table reflects the weighted average effective rents for
institutional grade apartment properties for the four counties surveyed by Ann
Roulac and Company and outlined below. The weighted averages were calculated
based on the total number of units in each county.