Interstate Gen: Dividend News Release

                              
                            News Release
     
     
FOR IMMEDIATE RELEASE                                  CONTACT
June 8, 1998                                           Edwin L. Kelly
                                                       (301) 843-8600
     
     
             IGC REPORTS NO QUARTERLY CASH DISTRIBUTION
                                  
                                  
                                  
     ST. CHARLES, Md._ Interstate General Company L.P. (AMEX, PSE:

IGC), a diversified real estate organization, today announced that

the Board of Directors of its managing general partner has voted to

make no cash distribution to the Unitholders related to operations

for the three months ended March 31, 1998.

     Edwin L. Kelly, IGC President and Chief Operating Officer, said

the Company plans to distribute shares in American Community

Properties Trust (ACPT) in 1998.  Currently, the company is

responding to the second series of comments raised by the Securities

and Exchange Commission in their review of the preliminary proxy

materials that describe the Company's proposed restructuring plan

including the ACPT distribution.

     Founded in 1957, IGC is a publicly traded partnership

specializing in community development, homebuilding, investment

apartment properties and asset management services.



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