Exhibit 4


                                      AIMCO
                             AIMCO PROPERTIES, L.P.
                    c/o River Oaks Partnership Services, Inc.
                  P.O. Box 2065 S. Hackensack, N.J., 07606-2065
                                 (888) 349-2005

                                   May 8, 2002

                                OFFER TO PURCHASE
                          LIMITED PARTNERSHIP UNITS OF
                       CONSOLIDATED CAPITAL PROPERTIES III
                           FOR $9.00 PER UNIT IN CASH


Dear Limited Partner:

      We have begun a tender offer to purchase limited partnership units of your
partnership for $9.00 per unit. Our offer is being made pursuant to the enclosed
Offer to Purchase, which sets forth all of the terms and conditions of the
offer. Please carefully review the Offer to Purchase prior to making a decision
whether or not to tender your interests. The offer is scheduled to expire at
midnight, New York City time, on June 6, 2002, unless otherwise extended. You
will not be required to pay any partnership transfer fees in connection with any
sale of your units pursuant to our offer.

      If we purchase your tendered units, you will receive cash, but you may
recognize a gain or loss for federal income tax purposes. If you retain your
units, you will continue to be a limited partner. However, you may not be able
to liquidate your investment until the partnership terminates.

      As with any investment decision, there are benefits and detriments to you
from accepting or declining our offer. The managing general partner of your
partnership is remaining neutral and makes no recommendation as to whether you
should tender or refrain from tendering your units in any offer. The managing
general partner believes that you must make your own decision whether or not to
participate in any offer, based upon a number of factors described in the Offer
to Purchase.

      The managing general partner of your partnership, ConCap Equities, Inc.,
is our subsidiary. As a result, it has substantial conflicts of interest with
respect to our offer. This conflict may affect the managing general partner's
ability to reconcile our interests with those of the other limited partners,
particularly in assessing the fairness of our offer price. We seek to purchase
units at a low price, but you desire to sell units at a high price. In addition,
your managing general partner is entitled to receive fees for certain
transactions involving the partnership and its property, and the partnership's
property manager, which is also our subsidiary, is entitled to receive fees for
managing the partnership's property.

      Certain legal actions have been filed alleging, among other things,
breaches of fiduciary duty by your partnership's managing general partner and
certain of its affiliates. Although we cannot predict the precise outcome of
these actions or the precise nature of any final relief or

settlement with respect to these actions, a limited partner who tenders his
units in the offer may not participate in or benefit from such relief or any
settlement. There can be no assurance that a limited partner would not realize
greater value for his units by not tendering his units in our offer, and
participating in any such relief or settlement. See "The Offer - Section 13.
Certain Information Concerning Your Partnership."

      If you desire to tender any of your units in response to our offer, you
should complete and sign the enclosed acknowledgment and agreement in accordance
with the instructions set forth in the letter of transmittal attached as Annex
II to the Offer to Purchase. The signed acknowledgment and agreement and any
other required documents should be sent to the Information Agent, River Oaks
Partnership Services, Inc., prior to the expiration of our offer. The addresses
for the Information Agent are P.O. Box 2065, South Hackensack, New Jersey
07606-2065 or by overnight courier service or by hand at 111 Commerce Road,
Carlstadt, New Jersey 07072 - Attention: Reorganization Department.

      If you have any questions or require further information, please call the
Information Agent, toll free, at (888) 349-2005.


                                                Very truly yours,



                                                AIMCO PROPERTIES, L.P.