BALCOR REALTY INVESTORS 86-SERIES I
                       A Real Estate Limited Partnership
                                 P.O. Box 7190
                        Deerfield, Illinois 60015-7190



November 17, 1995



Dear Investor,

By this time you may have received an offer from Walton Street Capital
Acquisition Co., L.L.C. to acquire 45 percent of the limited partnership units
of Balcor Realty Investors 86-Series I A Real Estate Limited Partnership.

Numerous items which appear in the offer call for a considered response from
Balcor Partners-XIX, the general partner of Balcor Realty Investors 86-Series I
A Real Estate Limited Partnership.  You will be hearing from your general
partner with respect to this offer no later than November 30, 1995.

In the meantime, we advise you to defer making a determination as to whether to
accept or reject such offer.  In addition, please understand that while your
telephone inquiries are welcome, the securities laws strictly limit what your
general partner can tell you about this offer prior to its written response to
you on or before November 30, 1995.



Very truly yours,


BALCOR REALTY INVESTORS 86-SERIES I
A Real Estate Limited Partnership

     By:  Balcor Partners-XIX, 
          the General Partner

     By:  The Balcor Company,
          a partner

          /s/Thomas E. Meador

          Thomas E. Meador
          President