8-K

   1
                                  UNITED STATES
                       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): September 15, 1997

                         THE PEREGRINE REAL ESTATE TRUST
- --------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)

       California                      0-9097                  94-2255677
   -------------------            -----------------       ----------------------
(State or other jurisdiction    (Commission File Number)    (I.R.S. Employer
   of incorporation or                                    Identification Number)
      organization)
 
    1300 Ethan Way, Suite 200
      Sacramento, California                               95825
    ----------------------------                 ----------------------------
(Address of principal executive offices)                 (Zip Code)

                                 (916) 929-8244
- --------------------------------------------------------------------------------
              (Registrant's telephone number, including area code)


   2

                         THE PEREGRINE REAL ESTATE TRUST

ITEM 4. CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT

    (a) On September 15, 1997, Coopers & Lybrand L.L.P. ("C&L") was terminated
as The Peregrine Real Estate Trust's (the "Trust's") independent accountant. The
decision to change independent accountants was approved by the Trust's Audit
Committee on September 11, 1997.

        C&L's report on the Trust's financial statements for each of the two
most recent fiscal years (the fiscal years ended December 31, 1996 and 1995) did
not contain an adverse opinion or a disclaimer of opinion, and was not modified
as to audit scope or accounting principle, however, it was modified as to
uncertainty surrounding the Trust's ability to continue as a going concern.
During the most recent fiscal year preceding C&L's termination (the fiscal year
ended December 31, 1996) there were no disagreements with C&L on any matter of
accounting principle or practices, financial statement disclosure, or auditing
scope or procedure, which would have caused it to make a reference to the
subject matter of the disagreement in connection with its report. In C&L's
Report to the Audit Committee for the fiscal year ended December 31, 1995, C&L
reported that the Trust's management had disagreed with their conclusion
regarding the existence of significant uncertainty about the Trust's ability to
continue as a going concern; however, C&L's report on the Trust's financial
statements for the year ended December 31, 1995, as contained in its Annual
Report on Form 10-K, was modified as to the uncertainty surrounding the Trust's
ability to continue as a going concern. C&L's termination was not related to
such disagreement. Furthermore, there were no reportable events during the two
most recent fiscal years preceding C&L's termination arising from C&L having
advised the Trust (a) that the internal controls necessary for the Trust to
develop reliable financial statements do not exist; (b) that information has
come to its attention that has led it to no longer be able to rely on
management's representations or that has made it unwilling to be associated with
financial statements prepared by management; (c) (1) of the need to expand
significantly the scope or its audit or that information has come to its
attention that if further investigated may either (i) materially impact the
fairness or reliability of a previously issued audit report or underlying
financial statements or the financial statements issued or to be issued covering
the fiscal period subsequent to the date of the most recent financial statements
covered by an audit report or (ii) cause it to be unwilling to rely on
management's representations or be associated with the Trust's financial
statements and (2) due to C&L's termination, it did not so expand the scope of
its audit or conduct such further investigation; and (d) (1) information has
come to its attention that it has concluded materially impacts the fairness or
reliability of either (i) a previously issued audit report or the underlying
financial statements, or (ii) the financial statements issued or to be issued
covering the fiscal 


                                       1

   3

periods subsequent to the date of the most recent financial statements covered
by an audit report (including information that, unless resolved to its
satisfaction, would prevent it from rendering an unqualified report on those
financial statements) and (2) due to C&L's termination, the issue has not been
resolved to its satisfaction prior to its termination.

    (b) Deloitte & Touche L.L.P. ("D&T") has been appointed by the Trust's Audit
Committee as the new independent accountant effective September 19, 1997. During
the Trust's two most recent fiscal years and the subsequent interim periods
prior to C& L's termination, the Trust did not consult with D&T regarding the
application of accounting principles to a specified transaction or the type of
audit opinion that might be rendered on the Trust's financial statements.

    (c) During the interim period from the date of the Trust's last audited
financial statements to the date hereof, C&L performed certain agreed-upon
procedures with respect to the Trust's March 31, 1997 quarterly financial
statements and disclosures as contained in the Trust's Form 10-Q as of that
date. The Trust is not aware of any disagreements with C&L on any matter of
accounting principles or practices, financial statement disclosure or auditing
scope or procedure.

ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS

    (a) Not applicable.

    (b) Not applicable.

    (c) Exhibit 16 - Letter from Coopers & Lybrand L.L.P. dated 
        September 18, 1997.

                                   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 thereunto duly authorized.

                                   THE PEREGRINE REAL ESTATE TRUST
                                   Registrant


Date:   September 19, 1997         /s/ Wendy G. Powell
                                   ---------------------------------------------
                                   Wendy G. Powell
                                   Vice President and Chief Accounting Officer


                                       2

   4


                                EXHIBIT INDEX
                               




     Exhibit No.        Description
     -----------        -----------

     Exhibit 16         Letter from Coopers & Lybrand L.L.P. dated 
                        September 18, 1997.

EX-16

   1

                                                                 Exhibit 16


                       COOPERS & LYBRAND L.L.P. Letterhead


                                                          September 18, 1997


Securities and Exchange Commission 
450 - 5th Street, N.W.
Washington, D.C.  20549

Gentlemen:

We have read the statements made by The Peregrine Real Estate Trust (copy
attached), which we understand will be filed with the Commission, pursuant to
Item 4 of Form 8-K, as part of the Company's Form 8-K report for the month of
September 1997. We agree with the statements concerning our Firm in such Form
8-K.

                                       Very truly yours,

                                       /s/ Coopers & Lybrand L.L.P.
                                       COOPERS & LYBRAND L.L.P.