<ARTICLE> 5 <CIK> 0000941713 <NAME> HIGHWOODS/FORSYTH <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> MAR-31-1998 <CASH> 42,109,000 <SECURITIES> 0 <RECEIVABLES> 31,658,000 <ALLOWANCES> 0 <INVENTORY> 0 <CURRENT-ASSETS> 85,139,000 <PP&E> 3,088,124,000 <DEPRECIATION> 102,982,000 <TOTAL-ASSETS> 3,117,376,000 <CURRENT-LIABILITIES> 59,570,000 <BONDS> 1,231,099,000 <PREFERRED-MANDATORY> 0 <PREFERRED> 288,155,000 <COMMON> 0 <OTHER-SE> 1,538,552,000 <TOTAL-LIABILITY-AND-EQUITY> 3,117,376,000 <SALES> 100,331,000 <TOTAL-REVENUES> 102,384,000 <CGS> 29,728,000 <TOTAL-COSTS> 46,841,000 <OTHER-EXPENSES> 3,784,000 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 17,778,000 <INCOME-PRETAX> 33,981,000 <INCOME-TAX> 0 <INCOME-CONTINUING> 33,981,000 <DISCONTINUED> 0 <EXTRAORDINARY> 46,000 <CHANGES> 0 <NET-INCOME> 27,790,000 <EPS-PRIMARY> .47 <EPS-DILUTED> .47