We determine the electronic structure of the one-dimensional spin-1/2 Heise
nberg compound gamma -LiV2O5, which has two inequivalent vanadium ions, V(1
) and V(2), via density-functional calculations. We find a relative V(1)-V(
2) charge;ordering of roughly: 70:30. We discuss the influence of the charg
e ordering on the electronic structure and the magnetic behavior. We give e
stimates of the basic hopping matrix elements and compare with the most stu
died alpha'-NaV2O5.