UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

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                                    FORM 8-K

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                                 CURRENT REPORT

      Pursuant to Section 13 or 15(d) of the Securities Act of 1934 Date of
     Report (Date of earliest event reported): October 29, 2004
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                      SECURED DIVERSIFIED INVESTMENT, LTD.
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             (Exact name of registrant as specified in its charter)

                                     Nevada
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         (State or other jurisdiction of incorporation or organization)

          0-30653                                      80-0068489
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  (Commission File Number)                  (IRS Employer Identification No.)

            5030 Campus Drive
        Newport Beach, California                           92660
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  (Address of Principal Executive Offices)               (Zip Code)

     Registrant's telephone number, including area code: (949) 851-1069
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Item 2.01. Completion of Disposition of Assets.

      On October 29, 2004, the Company completed the sale of the Spencer Springs
      Retail Center in Las Vegas, Nevada, to Roger Anderson, an unaffiliatd
      person. The sales price was approximately $3,875,000, consisting of
      assumption of an existing loan in the principal amount of approximately
      $2,250,000, a note from the buyer in the amount of $950,000 and $675,000
      in cash. The buyer's promissory note is secured by a second trust deed on
      Spencer Springs and bears interest at an annual rate of 7%. The note is
      due and payable in full in three years.

Item 9.01. Exhibits

      9.01  Purchase Agreement and Escrow Instuctions for Sale of Spencer
            Springs.


                                SIGNATURE

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.

Date: November 1, 2004

SECURED DIVERSIFIED INVESTMENT, LTD.


By: /s/ CLIFFORD L. STRAND
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Clifford L. Strand, President

                                    Exhibits

9.01        Purchase Agreement and Escrow Instuctions for Sale of Spencer
            Springs.