EXHIBIT 99

         Contact: Susan B. Railey
                  (301) 468-3120
                  Sharon Bramell                     FOR IMMEDIATE RELEASE
                  (301) 231-0351


                      AIM 85 DECLARES MONTHLY DISTRIBUTION
                         FOR AUGUST OF ONE CENT PER UNIT



                           ---------------------------


     ROCKVILLE,  MD,  August  20,  2004 --  (AMEX/AII)  The  general  partner of
American  Insured  Mortgage  Investors - Series 85, L.P. (AIM 85) today declared
the  monthly  distribution  for  August  2004 in the amount of one cent per unit
regular cash flow. Holders of record on August 31, 2004 will receive this amount
as part of the third  quarter  distribution  which will be paid on  November  1,
2004.

     Record dates for the AIM 85  distributions  occur at the end of each month.
Distributions  are paid  approximately  one month after the end of each calendar
quarter and include the three amounts declared during the quarter.



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