April 30, 1999

		QUARTERLY REPORT TO THE LIMITED PARTNERS
			OF DSI REALTY INCOME FUND VIII


DEAR LIMITED PARTNERS:

We  are  pleased  to  enclose  the  Partnership's  unaudited  financial
statements  for  the  period  ended  March 31, 1999.  The  following  is 
Management's  discussion  and  analysis  of  the  Partnership's  financial 
condition  and  results  of  its  operations.

For  the  three  month  periods  ended  March 31, 1999  and  1998, total
revenues increased 8.8% from $449,145 to $488,691 and total expenses increased
8.2% from $324,616 to $351,201.  Equity in income of the real estate joint
venture increased slightly from $24,789 to $25,649.  As a result, net income
increased from $149,318 to $163,139 for the three month period ended March 31,
1999, as compared to the same period in 1998.  Rental revenue increased as a
result of higher unit rental rates.  Occupancy levels for the Partnership's
five mini-storage facilities averaged 81.4% for the three month period ended
March 31, 1999, and 82.8% for the same period in 1998.  The Partnership is
continuing its marketing efforts to attract and keep new tenants in its
various mini-storage facilities.  Operating expenses increased approximately
$29,800 (11.7%) primarily as a result of higher maintenance and repair and
real estate tax expenses.  General and administrative expenses decreased
approximately $3,200 (4.6%) primarily as a result of relatively 
insignificant fluctuations in various expense accounts.

The  General  Partners will  continue  their  policy  of  funding  continuing
improvement and maintenance of Partnership  properties  with  cash  generated 
from operations.  The  Partnership's  resources  appear  to  be  adequate  to 
meet its needs.  The General Partners anticipate distributions to the Limited 
Partners  to  remain  at  the  current  level  for  the  foreseeable  future.

We are not enclosing a copy of the Partnership Form 10-Q as filed with the 
Securities and Exchange Commission since all the information set forth 
therein is contained either in this letter or in the attached financial 
statements. However, if you wish to receive a copy of said report, please 
send a written request to DSI Realty Income Fund VIII, P.O. Box 357, Long 
Beach, California 90801. 

                              Very truly yours,

                              DSI REALTY INCOME FUND VIII
                              By: DSI Properties, Inc., as
                              General Partner



                              By  /s/ Robert J. Conway
                                  ____________________________
                                 ROBERT J. CONWAY, President