<ARTICLE> 5 <CIK> 0000813762 <NAME> AMERICAN REAL ESTATE PARTNERS, L.P. <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> DEC-31-1999 <PERIOD-END> MAR-31-1999 <CASH> 23,521 <SECURITIES> 534,165 <RECEIVABLES> 0 <ALLOWANCES> 0 <INVENTORY> 0 <CURRENT-ASSETS> 0 <PP&E> 453,974 <DEPRECIATION> 42,606 <TOTAL-ASSETS> 1,117,288 <CURRENT-LIABILITIES> 0 <BONDS> 171,156 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 0 <OTHER-SE> 87,478 <TOTAL-LIABILITY-AND-EQUITY> 1,117,288 <SALES> 0 <TOTAL-REVENUES> 22,112 <CGS> 0 <TOTAL-COSTS> 4,923 <OTHER-EXPENSES> 953 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 5,009 <INCOME-PRETAX> 14,810 <INCOME-TAX> 0 <INCOME-CONTINUING> 14,810 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 14,810 <EPS-PRIMARY> .29 <EPS-DILUTED> .26