UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number   811-10491  

Nuveen Real Estate Income Fund

(Exact name of registrant as specified in charter)

     333 West Wacker Drive, Chicago, Illinois 60606     
(Address of principal executive offices) (Zip code)

Jessica R. Droeger—Vice President and Secretary
     333 West Wacker Drive, Chicago, Illinois 60606     
(Name and address of agent for service)

Registrant’s telephone number, including area code:      312-917-7700     

Date of fiscal year end:        12/31      

Date of reporting period:    3/31/06   

Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (§§ 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 

 

Item 1. Schedule of Investments

Portfolio of Investments (Unaudited)

Nuveen Real Estate Income Fund (JRS)
March 31, 2006

Shares				Description (1)										Value
				Real Estate Investment Trust Common Stocks - 88.2% (70.3% of Total Investments)
				Diversified - 5.3%
	1,890,000			Newkirk Realty Trust Inc.										$	34,190,100
	222,900			Spirit Finance Corporation											2,719,380
				Total Diversified											36,909,480
				Industrial - 4.0%
	626,600			First Industrial Realty Trust, Inc.											26,749,554
				Office - 26.6%
	477,300			Equity Office Properties Trust											16,027,734
	3,059,400			HRPT Properties Trust											35,917,356
	1,090,500			Mack-Cali Realty Corporation											52,344,000
	264,600			Maguire Properties, Inc.											9,657,900
	1,120,600			Reckson Associates Realty Corporation											51,345,892
	1,579,000			Republic Property Trust											18,584,830
				Total Office											183,877,712
				Residential - 14.4%
	215,300			Apartment Investment & Management Company, Class A											10,097,570
	795,000			Archstone-Smith Trust											38,772,150
	464,500			AvalonBay Communities, Inc.											50,676,950
				Total Residential											99,546,670
				Retail - 19.2%
	239,600			Cedar Shopping Centers Inc.											3,795,264
	413,800			Federal Realty Investment Trust											31,117,760
	775,400			Glimcher Realty Trust											22,021,360
	711,000			Macerich Company											52,578,450
	880,300			New Plan Excel Realty Trust											22,834,982
				Total Retail											132,347,816
				Specialized - 18.7%
	2,013,000			Ashford Hospitality Trust Inc.											24,961,200
	493,400			Cogdell Spencer Inc.											10,519,288
	931,564			Hersha Hospitality Trust											9,120,012
	1,587,300			Nationwide Health Properties, Inc.											34,126,950
	1,740,300			Senior Housing Properties Trust											31,499,430
	984,200			U-Store-It Trust											19,831,630
				Total Specialized											130,058,510
				Total Real Estate Investment Trust Common Stocks (cost $373,871,032)											609,489,742

Shares				Description (1)		Coupon								Value
				Real Estate Investment Trust Preferred Stocks - 34.6% (27.6% of Total Investments)
				Diversified - 8.9%
	1,031,300			Crescent Real Estate Equities Company, Series A (Convertible)			6.750	%							22,255,454
	850,000			Crescent Real Estate Equities Company, Series B			9.500	%							22,206,250
	150,000			Lexington Corporate Properties Trust, Series B			8.050	%							3,810,000
	497,623			PS Business Parks, Inc., Series F			8.750	%							12,619,719
				Total Diversified											60,891,423
				Office - 5.5%
	95,400			Alexandria Real Estate Equities Inc., Series B			9.100	%							2,423,160
	160,000			Alexandria Real Estate Equities Inc., Series C			8.375	%							4,180,800
	200,000			Corporate Office Properties Trust, Series G			8.000	%							5,116,000
	12,141			Highwoods Properties, Inc., Series A			8.625	%							12,827,725
	543,000			Maguire Properties, Inc., Series A			7.625	%							13,634,730
				Total Office											38,182,415
				Residential - 8.2%
	603,500			Apartment Investment & Management Company, Series R			10.000	%							15,347,005
	511,100			Apartment Investment & Management Company, Series U			7.750	%							12,757,056
	183,000			Apartment Investment & Management Company, Series Y			7.875	%							4,589,640
	945,000			Home Properties Inc., Series F			9.000	%							24,286,500
				Total Residential											56,980,201
				Retail - 5.5%
	160,000			Cedar Shopping Centers Inc., Series A			8.875	%							4,290,000
	113,000			Glimcher Realty Trust, Series F			8.750	%							2,881,500
	202,300			Glimcher Realty Trust, Series G			8.125	%							5,118,190
	115,200			Mills Corp, Series C			9.000	%							2,632,320
	442,000			Mills Corp, Series G			7.875	%							9,414,600
	125,000			Saul Centers, Inc., Series A			8.000	%							3,287,500
	400,000			Taubman Centers, Inc., Series H			7.625	%							10,040,000
				Total Retail											37,664,110
				Specialized - 6.5%
	130,000			Ashford Hospitality Trust, Series A			8.550	%							3,315,000
	339,000			Boykin Lodging Company, Series A			10.500	%							8,890,275
	407,900			FelCor Lodging Trust Inc., Series C, (2)			8.000	%							10,205,658
	120,000			Hersha Hospitality Trust, Series A			8.000	%							2,995,200
	592,000			LaSalle Hotel Properties, Series A			10.250	%							15,226,240
	175,000			Strategic Hotel Capital Inc., Series B			8.250	%							4,467,978
				Total Specialized											45,100,351
				Total Real Estate Investment Trust Preferred Stocks (cost $232,756,347)											238,818,500
Principal
Amount (000)				Description (1)		Coupon				Maturity				Value
				Short-Term Investments - 2.6% (2.1% of Total Investments)
				Repurchase Agreement with State Street Bank, dated 3/31/06, repurchase price $17,940,909, collateralized by $19,335,000
$	17,935			U.S. Treasury Notes, 4.500% due 2/15/36, value $18,295,744			4.250	%			4/03/06				17,934,557
				Total Short-Term Investments (cost $17,934,557)											17,934,557
				Total Investments (cost $624,561,936) - 125.4%											866,242,799
				Other Assets Less Liabilities - (0.5)%											(3,283,684	)
				Taxable Auctioned Preferred Shares, At Liquidation Value - (24.9)%											(172,000,000	)
				Net Assets Applicable To Common Shares - 100%										$	690,959,115
				Interest Rate Swaps outstanding at March 31, 2006:

Fixed Rate

Paid

Fixed Rate

Floating Rate

Floating Rate

Unrealized

Notional

By The Fund

Payment

Received

Payment

Termination

Appreciation

Counterparty

Amount

(annualized)

Frequency

By The Fund (3)

Frequency

Date

(Depreciation)

Citigroup Inc.

$

43,000,000

4.800

%

Monthly

4.661

%

Monthly

2/06/07

$

120,192

Citigroup Inc.

43,000,000

5.190

Monthly

4.661

Monthly

2/06/09

(86,560

)

$

33,632

(1)		All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)		Security is eligible for the Dividends Received Deduction.
(3)		Based on USD-LIBOR (United States Dollar-London Inter-Bank Offered Rate).

			Income Tax Information
			The following information is presented on an income tax basis. Differences between amounts for financial statement and federal income tax purposes are primarily due to timing differences in recording income and timing differences in recognizing certain gains and losses on investment transactions.
			At March 31, 2006, the cost of investments was $624,561,936.
			Gross unrealized appreciation and gross unrealized depreciation of investments at March 31, 2006, were as follows:

		Gross unrealized:
		Appreciation						$	244,019,442
		Depreciation							(2,338,579	)
		Net unrealized appreciation (depreciation) of investments						$	241,680,863

Item 2. Controls and Procedures.

	a.		The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of this report that includes the disclosure required by this paragraph, based on their evaluation of the controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rule 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934 (17 CFR 240.13a-15(b) or 240.15d-15(b)).
	b.		There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d)) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3. Exhibits.

File as exhibits as part of this Form a separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)), exactly as set forth below: EX-99 CERT Attached hereto.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant) Nuveen Real Estate Income Fund

Date May 30, 2006

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Date May 30, 2006

Date May 30, 2006