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)

Kevin J. McCarthy—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:    3/31/2007   

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

Nuveen Real Estate Income Fund (JRS)
March 31, 2007

Shares				Description (1)										Value
				Real Estate Investment Trust Common Stocks – 95.9% (68.8% of Total Investments)
				Industrial – 6.8%
	1,823,900			DCT Industrial Trust Inc.										$	21,576,737
	626,600			First Industrial Realty Trust, Inc.											28,384,980
				Total Industrial											49,961,717
				Office – 22.2%
	1,195,300			Brandywine Realty Trust											39,934,973
	2,280,800			HRPT Properties Trust											28,053,840
	1,090,500			Mack-Cali Realty Corporation											51,940,515
	264,600			Maguire Properties, Inc.											9,409,176
	1,579,000			Republic Property Trust											18,142,710
	116,396			SL Green Realty Corporation											15,967,203
				Total Office											163,448,417
				Residential – 22.4%
	415,300			Apartment Investment & Management Company, Class A											23,958,657
	795,000			Archstone-Smith Trust											43,152,600
	464,500			AvalonBay Communities, Inc.											60,385,000
	278,100			Camden Property Trust											19,553,211
	590,000			UDR Inc.											18,065,800
				Total Residential											165,115,268
				Retail – 13.7%
	413,800			Federal Realty Investment Trust											37,498,556
	691,000			Macerich Company											63,820,759
				Total Retail											101,319,315
				Specialized – 30.8%
	1,740,200			Ashford Hospitality Trust Inc.											20,777,988
	731,400			Cogdell Spencer Inc.											15,410,598
	1,152,000			Extra Space Storage Inc.											21,818,880
	933,800			Health Care Property Investors Inc.											33,644,814
	931,564			Hersha Hospitality Trust											10,973,824
	1,587,300			Nationwide Health Properties, Inc.											49,618,998
	1,716,100			Senior Housing Properties Trust											41,014,790
	1,710,500			U-Store-It Trust											34,415,260
				Total Specialized											227,675,152
				Total Real Estate Investment Trust Common Stocks (cost $445,613,092)											707,519,869

Shares				Description (1)		Coupon						Value
				Real Estate Investment Trust Preferred Stocks – 39.9% (28.7% of Total Investments)
				Diversified – 14.7%
	101,900			BRE Properties, Series C		6.750%						$	2,562,785
	505,900			BRE Properties, Series D		6.750%							12,612,087
	1,031,300			Crescent Real Estate Equities Company, Series A (Convertible)		6.750%							22,956,738
	850,000			Crescent Real Estate Equities Company, Series B		9.500%							21,513,500
	529,942			Duke-Weeks Realty Corporation		6.950%							13,407,533
	150,000			Lexington Corporate Properties Trust, Series B		8.050%							3,804,000
	850,000			Lexington Realty Trust		7.550%							21,687,750
	400,000			PS Business Parks, Inc., Series O		7.375%							10,175,000
				Total Diversified									108,719,393
				Office – 7.0%
	160,000			Alexandria Real Estate Equities Inc., Series C		8.375%							4,337,600
	200,000			Corporate Office Properties Trust, Series G		8.000%							5,120,000
	12,141			Highwoods Properties, Inc., Series A		8.625%							12,975,694
	101,500			Highwoods Properties, Inc., Series B		8.000%							2,562,875
	81,000			HRPT Properties Trust, Series C		7.125%							2,093,850
	993,800			Maguire Properties, Inc., Series A		7.625%							24,546,860
				Total Office									51,636,879
				Residential – 2.4%
	511,100			Apartment Investment & Management Company, Series U		7.750%							13,048,383
	183,000			Apartment Investment & Management Company, Series Y		7.875%							4,764,405
				Total Residential									17,812,788
				Retail – 3.6%
	160,000			Cedar Shopping Centers Inc., Series A		8.875%							4,198,400
	113,000			Glimcher Realty Trust, Series F		8.750%							2,889,410
	234,300			Glimcher Realty Trust, Series G		8.125%							5,927,790
	125,000			Saul Centers, Inc., Series A		8.000%							3,200,000
	400,000			Taubman Centers, Inc., Series H		7.625%							10,282,000
				Total Retail									26,497,600
				Specialized – 12.2%
	130,000			Ashford Hospitality Trust, Series A		8.550%							3,328,000
	546,900			FelCor Lodging Trust Inc., Series C (2)		8.000%							13,913,136
	120,000			Hersha Hospitality Trust, Series A		8.000%							3,093,600
	800,000			Hospitality Properties Trust, Series C		7.000%							19,875,040
	1,000,000			Public Storage Inc., Series I		7.250%							25,820,000
	151,700			Public Storage Inc.		6.750%							3,858,869
	175,000			Strategic Hotel Capital Inc., Series B		8.250%							4,454,625
	320,000			Strategic Hotel Capital Inc., Series C		8.250%							8,185,600
	300,000			Sunstone Hotel Investors Inc., Series A		8.000%							7,651,500
				Total Specialized									90,180,370
				Total Real Estate Investment Trust Preferred Stocks (cost $285,630,374)									294,847,030

Principal
Amount (000)				Description (1)		Coupon		Maturity				Value
				Short-Term Investments – 3.4% (2.5% of Total Investments)
$	25,455			Repurchase Agreement with Fixed Income Clearing Corporation, dated 3/30/07, repurchase price $25,465,547, collateralized by $26,605,000 U.S. Treasury Bills, 4.972%, due 9/27/07, value $25,966,480		4.900%		4/02/07				$	25,455,153
				Total Short-Term Investments (cost $25,455,153)									25,455,153
				Total Investments (cost $756,698,619) – 139.2%									1,027,822,052
				Borrowings Payable – (9.5)% (3)									(70,000,000	)
				Other Assets Less Liabilities – 0.4%									2,320,907
				Taxable Auctioned Preferred Shares, at Liquidation Value – (30.1)%									(222,000,000	)
				Net Assets Applicable to Common Shares – 100%								$	738,142,959

Fund

Fixed

Pay/Receive

Floating

Rate

Unrealized

Notional

Floating

Rate

Fixed Rate

Payment

Termination

Appreciation

Counterparty

Amount

Rate

Index

(Annualized)

Frequency

Date

(Depreciation)

Citigroup Inc.

$

43,000,000

Receive

1-Month USD-LIBOR

5.190%

Monthly

2/06/09

$

(226,019

)

USD-LIBOR (United States Dollar-London Interbank Offered Rate)

(1)		All percentages shown in the Portfolio of Investments are based on net assets applicable to Common shares unless otherwise noted.
(2)		Investment is eligible for the Dividends Received Deduction.
(3)		Borrowings Payable as a percentage of total investments is (6.8)%.

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, 2007, the cost of investments was $756,698,619.

Gross unrealized appreciation and gross unrealized depreciation of investments at March 31, 2007, were as follows:

Gross unrealized:
Appreciation		$	274,259,890
Depreciation			(3,136,457	)
Net unrealized appreciation (depreciation) of investments		$	271,123,433

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, 2007

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, 2007

Date May 30, 2007