Company: PGZ
Filing Date: 2025-07-03
Form Type: N-CSRS
Source: 0001398344-25-012685
Chunk: 26

Company: Principal Real Estate Income Fund
Filing Date: 2025-07-03
Form: N-CSRS
Chunk 26
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184 | ) |
| Net unrealized appreciation on investments                        |     | $ |   3,365,684 |   |

Federal Income Tax Status: For federal income
tax purposes, the Fund currently qualifies, and intends to remain qualified, as a regulated investment company under the provisions of
Subchapter M of the Code by distributing substantially all of its investment company taxable net income and realized gain, not offset
by capital loss carryforwards, if any, to its shareholders. No provision for federal income taxes has been made.

As of and during the six months ended April 30, 2025,
the Fund did not have a liability for any unrecognized tax benefits. The Fund files U.S. federal, state, and local tax returns as required.
The Fund’s tax returns are subject to examination by the relevant tax authorities until expiration of the applicable statute of
limitations, which is generally three years after the filing of the tax return. Tax returns for open years have incorporated no uncertain
tax positions that require a provision for income taxes.

The Fund recognizes interest and penalties, if any,
related to unrecognized tax benefits as income tax expense in the Statement of Operations. During the year ended April 30, 2025, the Fund
did not incur any interest or penalties.

9. INDEMNIFICATION

Under the Fund’s organizational documents, its
officers and Trustees are indemnified against certain liability arising out of the performance of their duties to the Fund. Additionally,
in the normal course of business, the Fund enters into contracts with service providers that may contain general indemnification clauses,
which may permit indemnification to the extent permissible under applicable law. The Fund’s maximum exposure under these arrangements
is unknown, as this would involve future claims that may be made against the Trust that have not yet occurred.

10. SUBSEQUENT EVENTS

Subsequent events after the date of the Statement
of Assets and Liabilities have been evaluated through the date the financial statements were issued. Subsequent to April 30, 2025, the
Fund paid the following distributions:

| Ex-Date       | Record Date   | Payable Date  | Rate (per share) |
| May 15, 2025  | May 15, 2025  | May 30, 2025  |           $0.105 |
| June 13, 2025 | June 13, 2025 | June 30, 2025 |           $0.105 |

| Principal Real Estate Income Fund |