EXHIBIT 20.1
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                         BANYAN STRATEGIC REALTY TRUST

Dear Shareholder:

We are pleased to announce a newly improved Amended and Restated
Distribution Reinvestment and Share Purchase Plan (the "Plan") for Banyan
Strategic Realty Trust ("Banyan") shareholders.  Approximately thirty-three
percent of our shareholders participate in the existing Plan, which enables
shareholders to increase their ownership by reinvesting cash distributions,
without any brokerage commissions or service fees. 

The enclosed Prospectus describing the Plan should be carefully reviewed. 
Also enclosed are an Enrollment Authorization Form to complete should you
decide to participate, together with an Authorization Form for Automatic
Deductions and a Voluntary Cash Investment Form.

The Plan has been improved to make it even more attractive to shareholders.

Although the enclosed Prospectus fully explains the new Plan, the key
features are:

 .     Banyan will pay all brokerage commissions and service charges
associated with Share purchases pursuant to the Plan.

 .     Shareholders of record may elect to reinvest all or part of their
cash.  Distributions will be used to purchase additional shares (AT A
DISCOUNT FROM PREVAILING MARKET PRICES).

 .     Upon enrollment in the Plan, participants may make voluntary cash
investments ranging from $5.00 per payment to $120,000 per calendar year. 
Under the new Plan, these voluntary cash investments may also be made
through automatic monthly deductions from a checking or savings account at
a U.S. bank or financial institution.

 .     Shareholders of record may also elect to participate in the Plan by
making voluntary cash investments, while  continuing to receive cash
distributions on shares held in certificate form.

 .     A safekeeping service which allows you to deposit, with First Chicago
Trust Company of New York, Share certificates, relieving you of
responsibility for loss or theft of the certificates.  There is no charge
to you for this custodial service.

 .     Participation in the Plan is voluntary and you may join or withdraw
at any time.

IF YOU ARE NOT NOW A PARTICIPANT IN THE PLAN:

      To join the Plan, you need only complete and sign the enclosed
Enrollment Authorization Form and mail it to First Chicago Trust Company of
New York in the postage prepaid envelope provided, with or without any
voluntary cash investment.

      If you wish to continue to receive your distributions in cash, do not
return the Enrollment Authorization Form.

IF YOU ARE ALREADY A PARTICIPANT IN THE PLAN:

      No action is required on your part to continue to participate as you
have in the past.  You may simply take advantage of the improved Plan at
your discretion.

We hope you will find the improved Plan to be more flexible and convenient.

Sincerely,

Leonard G. Levine
President

April ___, 1997