SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    Form 8-K

                                 Current Report

                Pursuant to Section 13 or 15(d) of the Securities
                              Exchange Act of 1934

        Date of Report (Date of Earliest Event Reported): March 16, 2000



                      CORNERSTONE REALTY INCOME TRUST, INC.
             (Exact name of registrant as specified in its charter)


  VIRGINIA                             1-12875                   54-1589139
(State of                            (Commission               (IRS Employer
incorporation)                       File Number)            Identification No.)


       306 East Main Street
       Richmond, Virginia                               23219
       (Address of principal                         (Zip Code)
       executive offices)



               Registrant's telephone number, including area code:
                                 (804) 643-1761


<PAGE>


                      CORNERSTONE REALTY INCOME TRUST, INC.

                                    FORM 8-K

                                      INDEX
                                      -----

Item 2.  Acquisition or Disposition of Assets

Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits

         a.       Independent Auditors' Report (The Enclave at
                  The Meadows Apartments)*

                  Historical Statement of Income and Direct
                  Operating Expenses (The Enclave at The
                  Meadows Apartments)*

                  Note to Historical Statement of Income and
                  Direct Operating Expenses (The Enclave at
                  The Meadows Apartments)*

                  Independent Auditors' Report (Greystone
                  Crossing Apartments)*

                  Historical Statement of Income and Direct
                  Operating Expenses (Greystone Crossing
                  Apartments)*

                  Note to Historical Statement of Income and
                  Direct Operating Expenses (Greystone
                  Crossing Apartments)*

         b.       Pro Forma Statement of Operations for the
                  Twelve Months ended December 31, 1997
                  (unaudited)*

                  Pro Forma Statement of Operations for the
                  Three Months ended March 31, 2000
                  (unaudited)*

                  Pro Forma Balance Sheet as of
                  March 31, 2000 (unaudited)*

         c.       Exhibits

                  10.1     Purchase Contract, as amended, for
                           The Enclave at The Meadows Apartments

                  10.2     Purchase  Contract, as amended, for
                           Greystone Crossing Apartments

                  23.1     Consent of Independent Auditors*

                  23.2     Consent of Independent Auditors*




-----------------------
* To be filed by amendment.


                                       2


<PAGE>


Item 2.  Acquisition or Disposition of Assets

                      THE ENCLAVE AT THE MEADOWS APARTMENTS
                            Asheville, North Carolina

         On March 16, 2000, Cornerstone Realty Income Trust, Inc. (together with
its direct and indirect  subsidiaries,  the "Company")  purchased The Enclave at
the Meadows  Apartments,  a 168-unit  apartment  complex having an address of 99
Ascension  Drive,  Asheville,  North  Carolina  (the  "Property").  The  Company
purchased  the  Property  from a seller  (Meridia/New  Leicester,  LLC,  a South
Carolina limited  liability  company) which was not affiliated with the Company.
The  purchase  price was  $8,786,000,  which was  financed  as a  "Section  1031
Tax-Free  Exchange"  using a portion of the proceeds from the Company's  sale of
properties that occurred on March 8, 2000.

     Location.  The  following  information  is based in part  upon  information
provided by the Asheville Chamber of Commerce.

         The Property is located in North Carolina, in the City of Asheville and
Buncombe County, which collectively have a population of approximately  250,000.
Asheville is located approximately 115 miles from Charlotte, North Carolina, and
65 miles from Greenville, South Carolina.

         The City of Asheville and Buncombe  County are  represented by a number
of  nationally  recognized  companies  and  organizations  in the  health  care,
education and  manufacturing  sectors.  Some of the major  employers in the area
include  Champion  International  (a manufacturer of paper and  paperboard),  GE
Lighting  Systems,  Westinghouse  Electric  and  ITT  Automotive.  In  addition,
Memorial Mission Hospital and St. Joseph Hospital are major area employers.

         The major highways serving the area are Interstates 40, 26 and 240. The
Asheville Regional Airport is centrally located within the metropolitan area and
is  approximately  20 miles from the  Property.  Also,  Asheville is home to the
University of North Carolina at Asheville,  with an enrollment of  approximately
3,200 students.

         The Property is located on Ascension Drive,  just off Leicester Highway
in west Asheville  (Buncombe  County),  North Carolina.  The Property is located
adjacent to The Meadows,  which is also owned by the Company. The immediate area
surrounding  the  Property  consists  of other  multi-family  and  single-family
housing and  commercial  and retail  development.  The Property is convenient to
major shopping areas, and is readily accessible from Interstates 40 and 240. The
downtown  area and the  Asheville  airport are also easily  accessible  from the
Property.

         Description of the Property.  The Property consists of 168 garden-style
apartment units in seven  three-story  buildings on approximately  17.3 acres of
land. Construction on the property was completed in 1999.


                                       3


<PAGE>


         The Property offers three unit types.  The unit mix and rents currently
being charged new tenants as of April, 2000 are as follows:


<TABLE>
<CAPTION>

                                                  Approximately Interior Square       Monthly
   Quantity                     Type                         Footage                  Rental
   --------                     ----                         -------                  ------
<S>                                                               <C>                       <C>
   60           One bedroom, one bathroom                     816                       $595
   96           Two bedrooms, two bathrooms                 1,075                        700
   12           Three bedrooms, two bathrooms               1,292                        825

</TABLE>

         The apartments provide a combined total of approximately 168,000 square
feet of net rentable area.

         The  Property  has an  outdoor  swimming  pool,  a  fitness  center,  a
clubhouse,  a laundry  facility,  a car wash area and outdoor grills.  There are
approximately    320   parking   spaces,    including   10   spaces   that   are
handicapped-designed.

         Leases at the  Property  are for  terms of one year or less.  Since the
property is newly-constructed and newly-leased, there is no rental history.

         The buildings are wood-frame  construction on concrete slab.  Exteriors
are vinyl siding with pitched roofs covered with asphalt shingles.

         All apartment units have wall-to-wall carpeting in the living areas and
vinyl  floors  in the  kitchens  and  baths.  Each  apartment  unit  has a cable
television hook-up and an  individually-controlled  heating and air conditioning
unit.  Each  apartment  unit also has  mini-blinds,  a ceiling fan in the living
room,  large  walk-in  closets  and a  patio  or  balcony.  Each  kitchen  has a
refrigerator/freezer,  electric range and oven, dishwasher and garbage disposal.
Selected  apartment units have a fireplace,  vaulted  ceilings and  washer/dryer
connections.  The owner of the Property supplies cold water,  sewer services and
trash  removal.  The tenants pay for their  electric  services,  which  includes
cooking, heating, air conditioning, hot water and lights.

         There are at least 10  apartment  properties  in the area that  compete
with the Property. All offer similar amenities and have rents that are generally
comparable to those of the Property.  Based on a recent  telephone  survey,  the
Company   estimates  that  occupancy  in  nearby  competing   projects  averaged
approximately 93% at April 10, 2000.

         The residents of the Property are a mix of white-collar and blue-collar
workers,  students and retired persons.  On March 16, 2000, the Property was 88%
occupied.


                                       4


<PAGE>


         The 2000 tax assessment for the Property is not yet available. However,
the 1999 real estate tax rate  applicable  to the Property was $1.15 per $100 of
assessed  value,  and the real  estate  taxes  for 1999  were  calculated  to be
$104,759.  The  assessed  value was  $9,109,500.  The  basis of the  depreciable
residential real property portion of the Property (currently  estimated at about
$8,439,486)  will be depreciated  over 27.5 years on a straight-line  basis. The
basis of the personal  property  portion will be depreciated in accordance  with
the modified  accelerated cost recovery system of the Code.  Amounts to be spent
by the Company on repairs and  improvements  will be treated for tax purposes as
permitted by the Code based on the nature of the expenditures.

         The  Company  believes  that the  Property  is and will  continue to be
adequately covered by property and liability insurance.

         Material  Factors  Considered in Assessing  the  Property.  The factors
considered  by the  Company  to be  relevant  in  evaluating  the  Property  for
acquisition by the Company included the following:

         1. The Company  believes that the  Asheville,  North Carolina area will
enjoy continued economic  development and steady population  increase,  and that
such development and increase will support stable occupancy rates and reasonable
increases in rents at the Property.

         2.  Based  upon an  engineering  report  and its own  inspections,  the
Company believes that the Property is generally in sound condition.

         3.  The  Property  is  conveniently  located  and  proximate  to  major
employers and shopping.

         4. The Company is familiar with the Asheville,  North  Carolina  rental
market.  The  Company  owns other  apartment  complexes  in the area,  including
particularly The Meadows, which is located adjacent to the Property. The Company
believes that the location may offer the Company  operational  efficiencies  and
competitive advantages.

         The Company is not aware of any material  adverse  factors  relating to
the  Property  not set forth in this  report  that  would  cause  the  financial
information contained in this report not to be necessarily  indicative of future
operating results.


                                       5


<PAGE>


                          GREYSTONE CROSSING APARTMENTS

                            Charlotte, North Carolina

         On  May  10,  2000,  the  Company  purchased  the  Greystone   Crossing
Apartments (the "Property"),  consisting of 408 apartments units located at 9610
Stoney Glen Drive, Charlotte, North Carolina.

         The sellers, Greystone Crossing Apartments,  LLC, and GCA-II, LLC, were
unaffiliated  with the Company.  The purchase price was  $26,800,000,  which was
financed as a "Section 1031 Tax-Free  Exchange"  using a portion of the proceeds
of the Company's sale of properties  that occurred on March 8, 2000. The Company
paid $20,800,000 at closing, and the balance of $6,000,000 was paid into escrow.
The  escrow  is  to be  released  to  the  sellers  when  certain  "punch  list"
construction items have been completed and Phase II of the Property has achieved
85% occupancy.  The escrowed funds are in an interest-bearing  account,  and the
interest accrues to the benefit of the Company.

         Location. The following information is based in part upon information
provided by the Charlotte Chamber of Commerce.

         Based in part upon its fast rate of growth and a  diversified  economy,
Charlotte  has in recent  years  come to  national  attention  as an  attractive
location for business and residential growth. According to the August 1995, Site
Selection magazine,  Charlotte"s  corporate  popularity ranked second nationally
only to Dallas  during the period  between 1990 and 1994,  being the site of 474
significant new and expanded facilities.

         Charlotte  has  developed  into a  major  financial,  distribution  and
transportation  center,  with a  metropolitan  population of  approximately  1.3
million and a population of approximately  5.6 million within a 100-mile radius.
Charlotte"s growth is also attributable to its favorable  year-round  climate, a
moderate  cost of  living,  excellent  quality  of life,  educated  work  force,
pro-business political climate,  extensive transportation network, and strategic
geographic location.

         According to the  Charlotte  Chamber of Commerce,  during the first six
months of 1995,  approximately  530 firms  announced new or expanded  businesses
which  were  expected  to  provide  approximately  6,200  new jobs in the  area.
Charlotte  is  home to  major  offices  of  more  than  225 of the  Fortune  500
industrial  firms  and  approximately  300 of the  Fortune  500  service  firms.
Charlotte  is the  recently-announced  location  for the world  headquarters  of
Sea-Land, the nation's largest container shipping company.

         Charlotte is the leading financial center of the Southeast,  serving as
corporate headquarters to NationsBank and First Union. The growth of Charlotte"s
banking and financial communities has had a positive effect on the growth of its
supporting industries, such as insurance,  accounting,  legal services, and real
estate.  Another recent aspect of Charlotte's  development is as the location of
professional  basketball and football  franchises known as the Charlotte Hornets
and the Carolina Panthers, respectively. Also, the newly-constructed NationsBank
Corporate Center includes a 2,000-seat performing arts center.


                                       6


<PAGE>


         The city of Charlotte is located near the border of North  Carolina and
South Carolina within  Mecklenburg  County. It is located at the intersection of
Interstates 77 and 85, the major north/south and east/west  thoroughfares in the
region, which provide convenient access to all other regional areas.

         The  Property is located in  Mecklenburg  County,  in the  southwestern
portion  of  the  Charlotte   metropolitan  area.  The  immediate   neighborhood
surrounding  the  Property  consists  of other  multi-family  and  single-family
housing,  and commercial and retail development.  The southwest Charlotte market
is home to  Charlotte's  largest  industrial  employment  center  and the second
largest office submarket. The Property is convenient to major shopping areas and
is readily  accessible from  Interstate 85 and the 485 Beltway.  The Property is
approximately 10 miles from downtown  Charlotte and  approximately 15 miles from
the Charlotte airport.

         Description  of the  Property.  The  Property  was built in two phases.
Phase I was completed in 1998 and Phase II is being  completed in 2000.  Phase I
consists of 300  garden-style  apartment  units in 15  three-story  buildings on
approximately 19 acres of land. Phase II consists of 108 garden-style  apartment
units in five three-story buildings on approximately 8.5 acres of land.

         The unit mix and rents  currently  being charged new tenants in Phase I
are as follows.


<TABLE>
<CAPTION>

                                                         Approximate Interior
   Quantity                        Type                      Square Footage        Monthly Rental
   --------                        ----                      --------------        --------------
<S>                                                           <C>                  <C>
     60                  One bedroom, one bathroom                695                  $585
     60                  One bedroom, one bathroom                744                   620
     60                  Two bedrooms, two bathrooms              883                   720
     60                  Two bedrooms, two bathrooms            1,108                   800
     60                  Three bedrooms, two bathrooms          1,356                   890

</TABLE>

         The units in Phase I provide a combined total of approximately  287,000
square feet of net rentable  area.  There are  approximately  600 paved  parking
spaces, including 30 spaces for disabled tenants.


                                       7


<PAGE>


         The unit mix and rents  currently being charged new tenants in Phase II
are as follows:

<TABLE>
<CAPTION>

                                                         Approximate Interior
   Quantity                        Type                      Square Footage        Monthly Rental
   --------                        ----                      --------------        --------------
<S>                                                           <C>                  <C>
     48                  One bedroom, one bathroom                 730                  $620
     36                  Two bedrooms, two bathrooms               937                   745
     12                  Two bedrooms, two bathrooms             1,140                   825
     12                  Three bedrooms, two bathrooms           1,448                   928

</TABLE>

         The units in Phase II  provide  for a combined  total of  approximately
100,000  square feet of net rentable  area.  There are  approximately  216 paved
parking spaces, including 10 spaces for disabled tenants.

         The Property has two outdoor  swimming  pools,  a pool cabana,  fitness
center,  clubhouse,  laundry facility, sauna and steam rooms, a volleyball court
and a children's playground.

         As indicated  above,  Phase I was completed in 1998 and Phase II is now
being completed.  The Company has not currently budgeted any amounts for planned
improvements,  exclusive  of the $6  million  escrowed  under  the  Real  Estate
Purchase Contract for the completion of "punch list" construction items on Phase
II.

         Leases at the Property are for terms of 15 months or less. Rental rates
in Phase I have generally  increased since initial  occupancy.  As an example, a
two-bedroom,  two-bathroom  (883 square feet) apartment rented for $685 in 1998,
$700 in 1999 and $720 in 2000.

         The  buildings  are  wood-frame  construction  on  concrete  slabs with
pitched roofs covered with asphalt shingles. The exteriors are vinyl siding.

         All apartment units have wall-to-wall carpeting in the living areas and
vinyl floors in the kitchen and bath. Each apartment unit has a cable television
hook-up and an individually  controlled  heating and air conditioning unit. Each
apartment unit includes  miniblinds,  optional alarm system,  exterior  storage,
patio or balcony and washer/dryer  connections.  Each kitchen is equipped with a
refrigerator/freezer,  electric range and oven, built-in  microwave,  dishwasher
and garbage  disposal.  Select  apartment  units include a fireplace and vaulted
ceilings. The owner of the Property supplies cold water, sewer service and trash
removal.  The tenants are responsible for electricity,  which includes  heating,
air conditioning, hot water, cooking and lights.

         There are at least seven apartment  properties in the area that compete
with the  Property.  The other  properties  that will  compete with the Property
offer similar  amenities  and generally  have rents that are lower than those of
the Property.  Based on a recent telephone  survey,  the Company  estimates that
occupancy in nearby competing projects now averages approximately 94%.


                                       8


<PAGE>


         According to information provided by the sellers, physical occupancy at
Phase I averaged  approximately  90% during  1999.  On April 24,  2000,  Phase I
physical  occupancy was approximately 96% and Phase II physical occupancy (which
is still  undergoing  lease-up)  was  approximately  35%. The average age of the
tenants  is  approximately  27  years  and  the  majority  of  the  tenants  are
professionals.

         The  following   table  sets  forth  estimated  2000  real  estate  tax
information for the Property.


<TABLE>
<CAPTION>

Phase I

       Jurisdiction                   Assessed Value   Tax Rate        Tax
       ------------                   --------------   --------        ---
<S>                                    <C>             <C>           <C>
Mecklenburg County                     $14,065,420     $ 0.0073      $102,681
Town of Mint Hill                       14,065,420       0.00235       33,054
        TOTAL TAX:                                                  $ 135,735
                                                                    =========


Phase II

       Jurisdiction                   Assessed Value   Tax Rate        Tax
       ------------                   --------------   --------        ---
<S>                                       <C>           <C>          <C>
Mecklenburg County                        $551,400      $0.0073      $4,025
Town of Mint Hill                          551,400       0.00235      1,296
        TOTAL TAX:                                                   $5,321
                                                                     ======


</TABLE>

         The basis of the depreciable  residential  real property portion of the
Property (currently estimated at about 25,471,666) will be depreciated over 27.5
years on a straight-line  basis. The basis of the personal property portion will
be depreciated in accordance with the modified  accelerated cost recovery system
of the Code. Amounts to be spent by the Company on repairs and improvements will
be treated for tax  purposes as permitted by the Code based on the nature of the
expenditures.

         The  Company  believes  that the  Property  is and will  continue to be
adequately covered by property and liability insurance.

         Material  Factors  Considered in Assessing  the  Property.  The factors
considered  by the  Company  to be  relevant  in  evaluating  the  Property  for
acquisition included the following:

         1. The Company  believes that the  Charlotte,  North Carolina area will
experience continued strong economic development and steady population increase,
and that such  development and increase will support stable  occupancy rates and
reasonable increases in rents at the Property.

         2. The  Property  is newly  constructed  and is in  excellent  physical
condition with superior  amenities.  Management believes that these factors will
permit the Property to compete very effectively for tenants.

         3.  The  Property  is  conveniently  located  and  proximate  to  major
employers and shopping.

         4. The Company is very familiar with the Charlotte  rental market.  The
Company already owns other apartment  complexes in the Charlotte area, which may
provide certain economies and efficiency in operation.

         The Company is not aware of any material  adverse  factors  relating to
the  Property  not set forth in this  report  that  would  cause  the  financial
information  contained in this report  (including  amendments  hereto) not to be
necessarily indicative of future operating results.


                                       9


<PAGE>




                                   ITEM 7.a.*





* To be filed by amendment.  It is  impracticable to include herein the required
financial statements for the Properties.  The required financial statements will
be filed as an  amendment  to this report as soon as  possible,  but in no event
more than 60 days after the date of filing of this report.










                                     10


<PAGE>




                                   ITEM 7.b.*





* To be filed by amendment.  It is  impracticable to include herein the required
pro forma financial  information.  The required pro forma financial  information
will be filed as an  amendment  to this  report as soon as  possible,  but in no
event more than 60 days after the date of filing of this report.












                                       11


<PAGE>





                                                     SIGNATURES

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                    Cornerstone Realty Income Trust, Inc.


Date: May 24, 2000                  By:/s/ Stanley J. Olander, Jr.
                                       ---------------------------
                                         Stanley J. Olander, Jr.,
                                         Chief Financial Officer of
                                         Cornerstone Realty Income Trust, Inc.


                                       12


<PAGE>



                                  EXHIBIT INDEX

                         Cornerstone Realty Income Trust

                          Form 8-K dated March 16, 2000

Exhibit Number                        Exhibit
--------------                        -------

         10.1                         Purchase Contract, as amended, for
                                      The Enclave at The Meadows
                                      Apartments

         10.2                         Purchase Contract, as amended, for
                                      Greystone Crossing Apartments

         23.1                         Consent of Independent Auditors*

         23.2                         Consent of Independent Auditors*





* To be filed by amendment.


                                       13
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SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    Form 8-K

                                 Current Report

                Pursuant to Section 13 or 15(d) of the Securities
                              Exchange Act of 1934

        Date of Report (Date of Earliest Event Reported): March 16, 2000

                      CORNERSTONE REALTY INCOME TRUST, INC.
             (Exact name of registrant as specified in its charter)

  VIRGINIA                             1-12875                   54-1589139
(State of                            (Commission               (IRS Employer
incorporation)                       File Number)            Identification No.)

       306 East Main Street
       Richmond, Virginia                               23219
       (Address of principal                         (Zip Code)
       executive offices)

               Registrant's telephone number, including area code:
                                 (804) 643-1761
CORNERSTONE REALTY INCOME TRUST, INC.

                                    FORM 8-K

                                      INDEX
                                      -----

Item 2.  Acquisition or Disposition of Assets

Item 7.  Financial Statements, Pro Forma Financial Information and Exhibits

         a.       Independent Auditors' Report (The Enclave at
                  The Meadows Apartments)*

                  Historical Statement of Income and Direct
                  Operating Expenses (The Enclave at The
                  Meadows Apartments)*

                  Note to Historical Statement of Income and
                  Direct Operating Expenses (The Enclave at
                  The Meadows Apartments)*

                  Independent Auditors' Report (Greystone
                  Crossing Apartments)*

                  Historical Statement of Income and Direct
                  Operating Expenses (Greystone Crossing
                  Apartments)*

                  Note to Historical Statement of Income and
                  Direct Operating Expenses (Greystone
                  Crossing Apartments)*

         b.       Pro Forma Statement of Operations for the
                  Twelve Months ended December 31, 1997
                  (unaudited)*

                  Pro Forma Statement of Operations for the
                  Three Months ended March 31, 2000
                  (unaudited)*

                  Pro Forma Balance Sheet as of
                  March 31, 2000 (unaudited)*

         c.       Exhibits

                  10.1     Purchase Contract, as amended, for
                           The Enclave at The Meadows Apartments

                  10.2     Purchase  Contract, as amended, for
                           Greystone Crossing Apartments

                  23.1     Consent of Independent Auditors*

                  23.2     Consent of Independent Auditors*

-----------------------
* To be filed by amendment.

                                       2
Item 2.  Acquisition or Disposition of Assets

                      THE ENCLAVE AT THE MEADOWS APARTMENTS
                            Asheville, North Carolina

         On March 16, 2000, Cornerstone Realty Income Trust, Inc. (together with
its direct and indirect  subsidiaries,  the "Company")  purchased The Enclave at
the Meadows  Apartments,  a 168-unit  apartment  complex having an address of 99
Ascension  Drive,  Asheville,  North  Carolina  (the  "Property").  The  Company
purchased  the  Property  from a seller  (Meridia/New  Leicester,  LLC,  a South
Carolina limited  liability  company) which was not affiliated with the Company.
The  purchase  price was  $8,786,000,  which was  financed  as a  "Section  1031
Tax-Free  Exchange"  using a portion of the proceeds from the Company's  sale of
properties that occurred on March 8, 2000.

     Location.  The  following  information  is based in part  upon  information
provided by the Asheville Chamber of Commerce.

         The Property is located in North Carolina, in the City of Asheville and
Buncombe County, which collectively have a population of approximately  250,000.
Asheville is located approximately 115 miles from Charlotte, North Carolina, and
65 miles from Greenville, South Carolina.

         The City of Asheville and Buncombe  County are  represented by a number
of  nationally  recognized  companies  and  organizations  in the  health  care,
education and  manufacturing  sectors.  Some of the major  employers in the area
include  Champion  International  (a manufacturer of paper and  paperboard),  GE
Lighting  Systems,  Westinghouse  Electric  and  ITT  Automotive.  In  addition,
Memorial Mission Hospital and St. Joseph Hospital are major area employers.

         The major highways serving the area are Interstates 40, 26 and 240. The
Asheville Regional Airport is centrally located within the metropolitan area and
is  approximately  20 miles from the  Property.  Also,  Asheville is home to the
University of North Carolina at Asheville,  with an enrollment of  approximately
3,200 students.

         The Property is located on Ascension Drive,  just off Leicester Highway
in west Asheville  (Buncombe  County),  North Carolina.  The Property is located
adjacent to The Meadows,  which is also owned by the Company. The immediate area
surrounding  the  Property  consists  of other  multi-family  and  single-family
housing and  commercial  and retail  development.  The Property is convenient to
major shopping areas, and is readily accessible from Interstates 40 and 240. The
downtown  area and the  Asheville  airport are also easily  accessible  from the
Property.

         Description of the Property.  The Property consists of 168 garden-style
apartment units in seven  three-story  buildings on approximately  17.3 acres of
land. Construction on the property was completed in 1999.

                                       3
The Property offers three unit types.  The unit mix and rents currently
being charged new tenants as of April, 2000 are as follows:
Approximately Interior Square       Monthly
   Quantity                     Type                         Footage                  Rental
   --------                     ----                         -------                  ------
60           One bedroom, one bathroom                     816                       $595
   96           Two bedrooms, two bathrooms                 1,075                        700
   12           Three bedrooms, two bathrooms               1,292                        825
The apartments provide a combined total of approximately 168,000 square
feet of net rentable area.

         The  Property  has an  outdoor  swimming  pool,  a  fitness  center,  a
clubhouse,  a laundry  facility,  a car wash area and outdoor grills.  There are
approximately    320   parking   spaces,    including   10   spaces   that   are
handicapped-designed.

         Leases at the  Property  are for  terms of one year or less.  Since the
property is newly-constructed and newly-leased, there is no rental history.

         The buildings are wood-frame  construction on concrete slab.  Exteriors
are vinyl siding with pitched roofs covered with asphalt shingles.

         All apartment units have wall-to-wall carpeting in the living areas and
vinyl  floors  in the  kitchens  and  baths.  Each  apartment  unit  has a cable
television hook-up and an  individually-controlled  heating and air conditioning
unit.  Each  apartment  unit also has  mini-blinds,  a ceiling fan in the living
room,  large  walk-in  closets  and a  patio  or  balcony.  Each  kitchen  has a
refrigerator/freezer,  electric range and oven, dishwasher and garbage disposal.
Selected  apartment units have a fireplace,  vaulted  ceilings and  washer/dryer
connections.  The owner of the Property supplies cold water,  sewer services and
trash  removal.  The tenants pay for their  electric  services,  which  includes
cooking, heating, air conditioning, hot water and lights.

         There are at least 10  apartment  properties  in the area that  compete
with the Property. All offer similar amenities and have rents that are generally
comparable to those of the Property.  Based on a recent  telephone  survey,  the
Company   estimates  that  occupancy  in  nearby  competing   projects  averaged
approximately 93% at April 10, 2000.

         The residents of the Property are a mix of white-collar and blue-collar
workers,  students and retired persons.  On March 16, 2000, the Property was 88%
occupied.

                                       4
The 2000 tax assessment for the Property is not yet available. However,
the 1999 real estate tax rate  applicable  to the Property was $1.15 per $100 of
assessed  value,  and the real  estate  taxes  for 1999  were  calculated  to be
$104,759.  The  assessed  value was  $9,109,500.  The  basis of the  depreciable
residential real property portion of the Property (currently  estimated at about
$8,439,486)  will be depreciated  over 27.5 years on a straight-line  basis. The
basis of the personal  property  portion will be depreciated in accordance  with
the modified  accelerated cost recovery system of the Code.  Amounts to be spent
by the Company on repairs and  improvements  will be treated for tax purposes as
permitted by the Code based on the nature of the expenditures.

         The  Company  believes  that the  Property  is and will  continue to be
adequately covered by property and liability insurance.

         Material  Factors  Considered in Assessing  the  Property.  The factors
considered  by the  Company  to be  relevant  in  evaluating  the  Property  for
acquisition by the Company included the following:

         1. The Company  believes that the  Asheville,  North Carolina area will
enjoy continued economic  development and steady population  increase,  and that
such development and increase will support stable occupancy rates and reasonable
increases in rents at the Property.

         2.  Based  upon an  engineering  report  and its own  inspections,  the
Company believes that the Property is generally in sound condition.

         3.  The  Property  is  conveniently  located  and  proximate  to  major
employers and shopping.

         4. The Company is familiar with the Asheville,  North  Carolina  rental
market.  The  Company  owns other  apartment  complexes  in the area,  including
particularly The Meadows, which is located adjacent to the Property. The Company
believes that the location may offer the Company  operational  efficiencies  and
competitive advantages.

         The Company is not aware of any material  adverse  factors  relating to
the  Property  not set forth in this  report  that  would  cause  the  financial
information contained in this report not to be necessarily  indicative of future
operating results.

                                       5
GREYSTONE CROSSING APARTMENTS

                            Charlotte, North Carolina

         On  May  10,  2000,  the  Company  purchased  the  Greystone   Crossing
Apartments (the "Property"),  consisting of 408 apartments units located at 9610
Stoney Glen Drive, Charlotte, North Carolina.

         The sellers, Greystone Crossing Apartments,  LLC, and GCA-II, LLC, were
unaffiliated  with the Company.  The purchase price was  $26,800,000,  which was
financed as a "Section 1031 Tax-Free  Exchange"  using a portion of the proceeds
of the Company's sale of properties  that occurred on March 8, 2000. The Company
paid $20,800,000 at closing, and the balance of $6,000,000 was paid into escrow.
The  escrow  is  to be  released  to  the  sellers  when  certain  "punch  list"
construction items have been completed and Phase II of the Property has achieved
85% occupancy.  The escrowed funds are in an interest-bearing  account,  and the
interest accrues to the benefit of the Company.

         Location. The following information is based in part upon information
provided by the Charlotte Chamber of Commerce.

         Based in part upon its fast rate of growth and a  diversified  economy,
Charlotte  has in recent  years  come to  national  attention  as an  attractive
location for business and residential growth. According to the August 1995, Site
Selection magazine,  Charlotte"s  corporate  popularity ranked second nationally
only to Dallas  during the period  between 1990 and 1994,  being the site of 474
significant new and expanded facilities.

         Charlotte  has  developed  into a  major  financial,  distribution  and
transportation  center,  with a  metropolitan  population of  approximately  1.3
million and a population of approximately  5.6 million within a 100-mile radius.
Charlotte"s growth is also attributable to its favorable  year-round  climate, a
moderate  cost of  living,  excellent  quality  of life,  educated  work  force,
pro-business political climate,  extensive transportation network, and strategic
geographic location.

         According to the  Charlotte  Chamber of Commerce,  during the first six
months of 1995,  approximately  530 firms  announced new or expanded  businesses
which  were  expected  to  provide  approximately  6,200  new jobs in the  area.
Charlotte  is  home to  major  offices  of  more  than  225 of the  Fortune  500
industrial  firms  and  approximately  300 of the  Fortune  500  service  firms.
Charlotte  is the  recently-announced  location  for the world  headquarters  of
Sea-Land, the nation's largest container shipping company.

         Charlotte is the leading financial center of the Southeast,  serving as
corporate headquarters to NationsBank and First Union. The growth of Charlotte"s
banking and financial communities has had a positive effect on the growth of its
supporting industries, such as insurance,  accounting,  legal services, and real
estate.  Another recent aspect of Charlotte's  development is as the location of
professional  basketball and football  franchises known as the Charlotte Hornets
and the Carolina Panthers, respectively. Also, the newly-constructed NationsBank
Corporate Center includes a 2,000-seat performing arts center.

                                       6
The city of Charlotte is located near the border of North  Carolina and
South Carolina within  Mecklenburg  County. It is located at the intersection of
Interstates 77 and 85, the major north/south and east/west  thoroughfares in the
region, which provide convenient access to all other regional areas.

         The  Property is located in  Mecklenburg  County,  in the  southwestern
portion  of  the  Charlotte   metropolitan  area.  The  immediate   neighborhood
surrounding  the  Property  consists  of other  multi-family  and  single-family
housing,  and commercial and retail development.  The southwest Charlotte market
is home to  Charlotte's  largest  industrial  employment  center  and the second
largest office submarket. The Property is convenient to major shopping areas and
is readily  accessible from  Interstate 85 and the 485 Beltway.  The Property is
approximately 10 miles from downtown  Charlotte and  approximately 15 miles from
the Charlotte airport.

         Description  of the  Property.  The  Property  was built in two phases.
Phase I was completed in 1998 and Phase II is being  completed in 2000.  Phase I
consists of 300  garden-style  apartment  units in 15  three-story  buildings on
approximately 19 acres of land. Phase II consists of 108 garden-style  apartment
units in five three-story buildings on approximately 8.5 acres of land.

         The unit mix and rents  currently  being charged new tenants in Phase I
are as follows.
Approximate Interior
   Quantity                        Type                      Square Footage        Monthly Rental
   --------                        ----                      --------------        --------------
60                  One bedroom, one bathroom                695                  $585
     60                  One bedroom, one bathroom                744                   620
     60                  Two bedrooms, two bathrooms              883                   720
     60                  Two bedrooms, two bathrooms            1,108                   800
     60                  Three bedrooms, two bathrooms          1,356                   890
The units in Phase I provide a combined total of approximately  287,000
square feet of net rentable  area.  There are  approximately  600 paved  parking
spaces, including 30 spaces for disabled tenants.

                                       7
The unit mix and rents  currently being charged new tenants in Phase II
are as follows:
Approximate Interior
   Quantity                        Type                      Square Footage        Monthly Rental
   --------                        ----                      --------------        --------------
48                  One bedroom, one bathroom                 730                  $620
     36                  Two bedrooms, two bathrooms               937                   745
     12                  Two bedrooms, two bathrooms             1,140                   825
     12                  Three bedrooms, two bathrooms           1,448                   928
The units in Phase II  provide  for a combined  total of  approximately
100,000  square feet of net rentable  area.  There are  approximately  216 paved
parking spaces, including 10 spaces for disabled tenants.

         The Property has two outdoor  swimming  pools,  a pool cabana,  fitness
center,  clubhouse,  laundry facility, sauna and steam rooms, a volleyball court
and a children's playground.

         As indicated  above,  Phase I was completed in 1998 and Phase II is now
being completed.  The Company has not currently budgeted any amounts for planned
improvements,  exclusive  of the $6  million  escrowed  under  the  Real  Estate
Purchase Contract for the completion of "punch list" construction items on Phase
II.

         Leases at the Property are for terms of 15 months or less. Rental rates
in Phase I have generally  increased since initial  occupancy.  As an example, a
two-bedroom,  two-bathroom  (883 square feet) apartment rented for $685 in 1998,
$700 in 1999 and $720 in 2000.

         The  buildings  are  wood-frame  construction  on  concrete  slabs with
pitched roofs covered with asphalt shingles. The exteriors are vinyl siding.

         All apartment units have wall-to-wall carpeting in the living areas and
vinyl floors in the kitchen and bath. Each apartment unit has a cable television
hook-up and an individually  controlled  heating and air conditioning unit. Each
apartment unit includes  miniblinds,  optional alarm system,  exterior  storage,
patio or balcony and washer/dryer  connections.  Each kitchen is equipped with a
refrigerator/freezer,  electric range and oven, built-in  microwave,  dishwasher
and garbage  disposal.  Select  apartment  units include a fireplace and vaulted
ceilings. The owner of the Property supplies cold water, sewer service and trash
removal.  The tenants are responsible for electricity,  which includes  heating,
air conditioning, hot water, cooking and lights.

         There are at least seven apartment  properties in the area that compete
with the  Property.  The other  properties  that will  compete with the Property
offer similar  amenities  and generally  have rents that are lower than those of
the Property.  Based on a recent telephone  survey,  the Company  estimates that
occupancy in nearby competing projects now averages approximately 94%.

                                       8
According to information provided by the sellers, physical occupancy at
Phase I averaged  approximately  90% during  1999.  On April 24,  2000,  Phase I
physical  occupancy was approximately 96% and Phase II physical occupancy (which
is still  undergoing  lease-up)  was  approximately  35%. The average age of the
tenants  is  approximately  27  years  and  the  majority  of  the  tenants  are
professionals.

         The  following   table  sets  forth  estimated  2000  real  estate  tax
information for the Property.
Phase I

       Jurisdiction                   Assessed Value   Tax Rate        Tax
       ------------                   --------------   --------        ---
Mecklenburg County                     $14,065,420     $ 0.0073      $102,681
Town of Mint Hill                       14,065,420       0.00235       33,054
        TOTAL TAX:                                                  $ 135,735
                                                                    =========

Phase II

       Jurisdiction                   Assessed Value   Tax Rate        Tax
       ------------                   --------------   --------        ---
Mecklenburg County                        $551,400      $0.0073      $4,025
Town of Mint Hill                          551,400       0.00235      1,296
        TOTAL TAX:                                                   $5,321
                                                                     ======
The basis of the depreciable  residential  real property portion of the
Property (currently estimated at about 25,471,666) will be depreciated over 27.5
years on a straight-line  basis. The basis of the personal property portion will
be depreciated in accordance with the modified  accelerated cost recovery system
of the Code. Amounts to be spent by the Company on repairs and improvements will
be treated for tax  purposes as permitted by the Code based on the nature of the
expenditures.

         The  Company  believes  that the  Property  is and will  continue to be
adequately covered by property and liability insurance.

         Material  Factors  Considered in Assessing  the  Property.  The factors
considered  by the  Company  to be  relevant  in  evaluating  the  Property  for
acquisition included the following:

         1. The Company  believes that the  Charlotte,  North Carolina area will
experience continued strong economic development and steady population increase,
and that such  development and increase will support stable  occupancy rates and
reasonable increases in rents at the Property.

         2. The  Property  is newly  constructed  and is in  excellent  physical
condition with superior  amenities.  Management believes that these factors will
permit the Property to compete very effectively for tenants.

         3.  The  Property  is  conveniently  located  and  proximate  to  major
employers and shopping.

         4. The Company is very familiar with the Charlotte  rental market.  The
Company already owns other apartment  complexes in the Charlotte area, which may
provide certain economies and efficiency in operation.

         The Company is not aware of any material  adverse  factors  relating to
the  Property  not set forth in this  report  that  would  cause  the  financial
information  contained in this report  (including  amendments  hereto) not to be
necessarily indicative of future operating results.

                                       9
ITEM 7.a.*

* To be filed by amendment.  It is  impracticable to include herein the required
financial statements for the Properties.  The required financial statements will
be filed as an  amendment  to this report as soon as  possible,  but in no event
more than 60 days after the date of filing of this report.

                                     10
ITEM 7.b.*

* To be filed by amendment.  It is  impracticable to include herein the required
pro forma financial  information.  The required pro forma financial  information
will be filed as an  amendment  to this  report as soon as  possible,  but in no
event more than 60 days after the date of filing of this report.

                                       11
SIGNATURES

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                    Cornerstone Realty Income Trust, Inc.

Date: May 24, 2000                  By:/s/ Stanley J. Olander, Jr.
                                       ---------------------------
                                         Stanley J. Olander, Jr.,
                                         Chief Financial Officer of
                                         Cornerstone Realty Income Trust, Inc.

                                       12
EXHIBIT INDEX

                         Cornerstone Realty Income Trust

                          Form 8-K dated March 16, 2000

Exhibit Number                        Exhibit
--------------                        -------

         10.1                         Purchase Contract, as amended, for
                                      The Enclave at The Meadows
                                      Apartments

         10.2                         Purchase Contract, as amended, for
                                      Greystone Crossing Apartments

         23.1                         Consent of Independent Auditors*

         23.2                         Consent of Independent Auditors*

* To be filed by amendment.

                                       13