<ARTICLE> 5 <CIK> 0000813762 <NAME> AMERICAN REAL ESTATE PARTNERS, L.P. <MULTIPLIER> 1,000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-END> JUN-30-1997 <CASH> 208,088 <SECURITIES> 0 <RECEIVABLES> 0 <ALLOWANCES> 0 <INVENTORY> 0 <CURRENT-ASSETS> 0 <PP&E> 426,975 <DEPRECIATION> 45,054 <TOTAL-ASSETS> 687,357 <CURRENT-LIABILITIES> 0 <BONDS> 154,739 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 0 <OTHER-SE> 518,735 <TOTAL-LIABILITY-AND-EQUITY> 687,357 <SALES> 0 <TOTAL-REVENUES> 32,822 <CGS> 0 <TOTAL-COSTS> 7,871 <OTHER-EXPENSES> 1,472 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 6,254 <INCOME-PRETAX> 56,975 <INCOME-TAX> 0 <INCOME-CONTINUING> 0 <DISCONTINUED> 0 <EXTRAORDINARY> (251) <CHANGES> 0 <NET-INCOME> 56,724 <EPS-PRIMARY> 2.01 <EPS-DILUTED> 2.01