Capital Resources

The Partnership's capital resources consist primarily of its four manufactured housing communities. On March 25, 1997 the Partnership borrowed $33,500,000 from Nomura Asset Capital Corporation (the "Financing"). It secured the Financing by placing liens on its four communities. As a result of the Financing, the Partnership distributed $30,000,000 to the Limited Partners, which represented a full return of the original capital contributions of $1,000 per unit.

Liquidity

As a result of the Financing, the Partnership's four properties are mortgaged. At the time of the Financing, the aggregate principal amount due under the four mortgage notes was $33,500,000 and the aggregate fair market value of the Partnership's mortgaged properties was $53,200,000. The Partnership expects to meet its short-term liquidity needs generally through its working capital provided by operating activities.

The Partnership's long-term liquidity is based, in part, upon its investment strategy. The properties owned by the Partnership were anticipated to be held for seven to ten years after their acquisition. All of the properties have been owned by the Partnership more than ten years. The General Partner may elect to have the Partnership own the properties for as long as, in the opinion of the General Partner, it is in the best interest of the Partnership to do so.

The Partnership has a renewable $600,000 line of credit with National City Bank of Michigan/Illinois (formerly First of America Bank). The interest rate, on such line of credit, floats 180 basis points above 1 month LIBOR, which on March 31, 2002 was 1.88%. The sole purpose of the line of credit is to purchase new and used homes to be used as model homes offered for sale within the Partnership's communities. Over the past three years, sales of the new and used model homes has been growing and the General Partner believes that continuing the model home program is in the best interest of the Partnership. As of March 31, 2002 the outstanding balance on the line of credit was $270,755. Although the Partnership's cash reserves have remained stable over the past several quarters, the General Partner has elected not to pay down the line of credit.

Net Cash from Operations available for aggregate distributions to all Partners in UMHCIF during the quarter ended March 31, 2002 amounted to $489,176.

The amount available during the same period in 2001 was $501,821. Net Cash from Operations is meant to be a supplemental measure of the Partnership's operating performance. Net Cash from Operations is defined as net income computed in accordance with generally accepted accounting principles ("GAAP"), plus real estate related depreciation and amortization.

Net Cash from Operations does not represent cash generated from operating activities in accordance with GAAP and is not necessarily indicative of cash available to fund cash needs. Net Cash from Operations should not be considered as an alternative to net income as the primary indicator of the Partnership's operating performance nor as an alternative to cash flow as a measure of liquidity.

The quarterly Partnership Management Distribution paid to the General Partner during the second quarter based on first quarter results was $146,750.00, or one-fourth of 1.0% of the most recent appraised value of the properties held by the Partnership ($58,700,000 x .01 = $587,000 / 4 = $146,750.00).

The cash available after payment of the Partnership Management Distribution amounted to $342,426. From this amount, the General Partner elected to make a total distribution of $112,500 for the first quarter of 2002 (unchanged from 2001), 80.0% or $90,000, was paid to the Limited Partners and 20.0% or $22,500 was paid to the General Partner.

While the Partnership is not required to maintain a working capital reserve, the Partnership has not distributed all the cash generated from operations in order to build cash reserves. As of March 31, 2002, the Partnership's cash balance amounted to $903,873. The amount placed in reserves is at the discretion of the General Partner.

Results of Operations

Overall, as illustrated in the tables below, the four properties had a combined average occupancy of 93% at the end of March 2002, versus 95% a year ago. The average monthly rent in March 2002 was approximately $449, or 3% more than the $437 average monthly rent in March 2001 (average rent not a weighted average).

	Total Capacity	Occupied Sites	Occupancy Rate	Average Rent*
Aztec Estates	645	561	87%	$494
Kings Manor	314	299	96%	479
Old Dutch Farms	293	267	92%	429
Park of the Four Seasons	572	566	99%	392
Total on 3/31/02:	1,824	1,693	93%	$449*
Total on 3/31/01:	1,824	1,728	95%	$437

*Not a weighted average

                             Gross Revenues			Net Income

                                 3/31/02	3/31/01	          3/31/02       3/31/01						    	
Aztec Estates		 $ 1,000,905	 $ 920,757	     $411,834	       $404,775
Kings Manor		   558,829	   428,059   	      274,388	  	241,826
Old Dutch Farms	 	   359,810	   391,637	      206,913	  	210,078
Park of the Four Seasons   653,376	   728,745	      412,289		428,580
                           2,572,920	 2,469,198	    1,305,424	      $ 1,285,259

Partnership Management:    4,877	    14,676	      (74,334)		 (59,678)

Other Non Recurring expenses:----- 	        ----	      (77,963)           (52,806)

Debt Service						      (663,951)	         (670,954)

Depreciation and Amortization-----	       ----           (220,193)		 (234,038)

                          $2,577,797 	  $2,483,874	      $268,983	          $267,783 

Gross revenues increased $93,923 to $2,577,797 in 2002, as compared to $2,483,874 in 2001. The increase was the result of additional home sales as well as increased rent. (See table in previous section.)

As described in the Statements of Income, total operating expenses were $92,723 higher, moving from $2,216,091 to $2,308,814. Due to an increase in property management expenses and home sale expense.

As a result of the aforementioned factors, Net Income increased slightly for the first quarter of 2002 compared to the same quarter of the prior year, moving from $267,783 for 2001 to $268,983 for 2002.

ITEM 3.

The Partnership is exposed to interest rate rise primarily through its borrowing activities. There is inherent roll over risk for borrowings as they mature and are renewed at current market rates. The extent of this risk is not quantifiable or predictable because of the variability of future interest rates and the Partnership's future financing requirements.

    Note Payable: At March 31, 2002 the Partnership had a note payable outstanding in the amount of $32,183,398. Interest on this note is at a fixed annual rate of 8.24% through June 2007.

    Line-of-Credit: At March 31, 2002 the Partnership owed $270,755 under its line-of-credit agreement, whereby interest is charged at a variable rate of 1.80% in excess of LIBOR.

A 10% adverse change in interest rates of the portion of the Partnership's debt bearing interest at variable rates would result in an increase in interest expense of less than $10,000 annually.

The Partnership does not enter into financial instruments transactions for trading or other speculative purposes or to manage its interest rate exposure.

                                                       
(A) Reports of Form 8-K
There were no reports filed on Form 8-K during
the three months ended March 31, 2002.

                                           Uniprop Manufactured Housing
                                       Communities Income Fund,
                                             A Michigan Limited Partnership

                                               BY:   P.I. Associates Limited Partnership,
                                                 A Michigan Limited Partnership, 
                                    its General Partner
                               
                                 BY:	/s/ Paul M. Zlotoff

                                        Paul M. Zlotoff, General Partner

                                  BY:	/s/ Gloria A. Koster

                                        Gloria A. Koster, Principal Financial Officer