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                        UNITED STATES
             SECURITIES AND EXCHANGE COMMISSION
                   Washington, D.C. 20549

                           FORM 15

CERTIFICATION  AND  NOTICE  OF TERMINATION  OF  REGISTRATION
UNDER  SECTION 12(g) OF THE SECURITIES EXCHANGE ACT OF  1934
OR  SUSPENSION OF DUTY TO FILE REPORTS UNDER SECTIONS 13 AND
15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.

                 Commission File Number     0-16555

         AEI REAL ESTATE FUND XVI LIMITED PARTNERSHIP
   (Exact name of registrant as specified in its charter)


       30 East 7th Street, Suite 1300, St. Paul, Minnesota 55101
(Address, including zip code, of registrant's principal executive offices)

                          (651) 227-7333
             (Telephone number,including area code)

                    Limited Partnership Units
  (Title of each class of securities covered by this Form)

                          None
 (Titles of all other classes of securities for which a duty
    to file reports under section 13(a) or 15(d) remains)


      Please place an X in the box(es) to designate the
  appropriate rule provision(s) relied upon to terminate or
              suspend the duty to file reports:

   Rule 12g-4(a)(1)(i)  [X]      Rule 12h-3(b)(1)(i)  [ ]
   Rule 12g-4(a)(1)(ii) [ ]      Rule 12h-3(b)(1)(ii) [ ]
   Rule 12g-4(a)(2)(i)  [ ]      Rule 12h-3(b)(2)(i)  [ ]
   Rule 12g-4(a)(2)(ii) [ ]      Rule 12h-3(b)(2)(ii) [ ]

Approximate number of holders of record as of the certification or
notice date:    0

Pursuant to the requirements of the Securities Exchange Act of 1934
AEI REAL ESTATE  FUND  XVI  LIMITED  PARTNERSHIP  has  caused  this
certification/notice to be signed on its behalf by  the undersigned
duly authorized person.

                          /s/ Patrick W Keene
Date: December 22, 2004   By: Patrick W Keene, Chief Financial Officer
                          AEI Fund Management XVI Inc
                          General Partner