UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM N-PX

               ANNUAL REPORT OF PROXY VOTING RECORD OF REGISTERED
                          MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-09117

                         Morgan Stanley Real Estate Fund
               (Exact name of registrant as specified in charter)


                                                      
                522 Fifth Avenue, New York, New York        10036
              (Address of principal executive offices)   (Zip code)


                           Stefanie V. Chang Yu, Esq.
                                Managing Director
                     Morgan Stanley Investment Advisors Inc.
                                522 Fifth Avenue
                            New York, New York 10036
                     (Name and address of agent for service)

Registrant's telephone number, including area code: 800-869-6397

Date of fiscal year end: 11/30

Date of reporting period: 7/1/08 - 6/30/09

******************************* FORM N-Px REPORT *******************************

ICA File Number: 811-09117
Reporting Period: 07/01/2008 - 06/30/2009
Morgan Stanley Real Estate Fund









======================= MORGAN STANLEY REAL ESTATE FUND ========================


ACADIA REALTY TRUST

Ticker:       AKR            Security ID:  004239109
Meeting Date: MAY 13, 2009   Meeting Type: Annual
Record Date:  MAR 31, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Kenneth F. Bernstein     For       For          Management
1.2   Elect Director Douglas Crocker II       For       For          Management
1.3   Elect Director Suzanne Hopgood          For       For          Management
1.4   Elect Director Lorrence T. Kellar       For       For          Management
1.5   Elect Director Wendy Luscombe           For       For          Management
1.6   Elect Director William T. Spitz         For       For          Management
1.7   Elect Director Lee S. Wielansky         For       For          Management
2     Ratify Auditors                         For       For          Management


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AMB PROPERTY CORP.

Ticker:       AMB            Security ID:  00163T109
Meeting Date: MAY 7, 2009    Meeting Type: Annual
Record Date:  MAR 3, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Hamid R. Moghadam        For       For          Management
1.2   Elect Director T. Robert Burke          For       For          Management
1.3   Elect Director David A. Cole            For       For          Management
1.4   Elect Director Lydia H. Kennard         For       For          Management
1.5   Elect Director J. Michael Losh          For       For          Management
1.6   Elect Director Frederick W. Reid        For       For          Management
1.7   Elect Director Jeffrey L. Skelton       For       For          Management
1.8   Elect Director Thomas W. Tusher         For       For          Management
1.9   Elect Director Carl B. Webb             For       For          Management
2     Ratify Auditors                         For       For          Management


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ASSISTED LIVING CONCEPTS, INC.

Ticker:       ALC            Security ID:  04544X300
Meeting Date: APR 30, 2009   Meeting Type: Annual
Record Date:  MAR 20, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Laurie A. Bebo           For       For          Management
1.2   Elect Director Alan Bell                For       For          Management
1.3   Elect Director Jesse C. Brotz           For       Withhold     Management
1.4   Elect Director Derek H.L. Buntain       For       Withhold     Management
1.5   Elect Director David J. Hennigar        For       Withhold     Management
1.6   Elect Director Malen S. Ng              For       For          Management
1.7   Elect Director Melvin A. Rhinelander    For       For          Management
1.8   Elect Director C.H. Roadman, II         For       For          Management
1.9   Elect Director Michael J. Spector       For       For          Management


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AVALONBAY COMMUNITIES, INC.

Ticker:       AVB            Security ID:  053484101
Meeting Date: MAY 21, 2009   Meeting Type: Annual
Record Date:  MAR 6, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Bryce Blair              For       For          Management
1.2   Elect Director Bruce A. Choate          For       For          Management
1.3   Elect Director John J. Healy, Jr.       For       For          Management
1.4   Elect Director Gilbert M. Meyer         For       For          Management
1.5   Elect Director Timothy J. Naughton      For       For          Management
1.6   Elect Director Lance R. Primis          For       For          Management
1.7   Elect Director Peter S. Rummell         For       For          Management
1.8   Elect Director H. Jay Sarles            For       For          Management
1.9   Elect Director W. Edward Walter         For       For          Management
2     Approve Omnibus Stock Plan              For       For          Management
3     Ratify Auditors                         For       For          Management


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BOSTON PROPERTIES INC.

Ticker:       BXP            Security ID:  101121101
Meeting Date: MAY 19, 2009   Meeting Type: Annual
Record Date:  MAR 24, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Frederick J. Iseman      For       For          Management
1.2   Elect Director Edward H. Linde          For       For          Management
1.3   Elect Director David A. Twardock        For       For          Management
2     Ratify Auditors                         For       For          Management
3     Declassify the Board of Directors       Against   For          Shareholder
4     Require a Majority Vote for the         Against   For          Shareholder
      Election of Directors
5     Prepare Sustainability Report           Against   Against      Shareholder
6     Require Independent Board Chairman      Against   Against      Shareholder


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BROOKFIELD PROPERTIES CORP.

Ticker:       BPO            Security ID:  112900105
Meeting Date: APR 30, 2009   Meeting Type: Annual
Record Date:  MAR 17, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Gordon E. Arnell         For       For          Management
1.2   Elect Director William T. Cahill        For       For          Management
1.3   Elect Director Richard B. Clark         For       For          Management
1.4   Elect Director Jack L. Cockwell         For       For          Management
1.5   Elect Director J. Bruce Flatt           For       For          Management
1.6   Elect Director Roderick D. Fraser       For       For          Management
1.7   Elect Director Paul D. McFarlane        For       For          Management
1.8   Elect Director Allan S. Olson           For       For          Management
1.9   Elect Director Linda D. Rabbitt         For       For          Management
1.10  Elect Director Robert L. Stelzl         For       For          Management
1.11  Elect Director Diana L. Taylor          For       For          Management
1.12  Elect Director John E. Zuccotti         For       For          Management
2     Approve Deloitte & Touche LLP as        For       For          Management
      Auditors and Authorize Board to Fix
      Their Remuneration


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CAMDEN PROPERTY TRUST

Ticker:       CPT            Security ID:  133131102
Meeting Date: MAY 6, 2009    Meeting Type: Annual
Record Date:  MAR 16, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Richard J. Campo         For       For          Management
1.2   Elect Director William R. Cooper        For       For          Management
1.3   Elect Director Scott S. Ingraham        For       For          Management
1.4   Elect Director Lewis A. Levey           For       For          Management
1.5   Elect Director William B. McGuire, Jr.  For       For          Management
1.6   Elect Director William F. Paulsen       For       For          Management
1.7   Elect Director D. Keith Oden            For       For          Management
1.8   Elect Director  F. Gardner Parker       For       For          Management
1.9   Elect Director Steven A. Webster        For       For          Management
1.10  Elect Director Kelvin R. Westbrook      For       For          Management
2     Ratify Auditors                         For       For          Management


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CARE INVESTMENT TRUST

Ticker:       CRE            Security ID:  141657106
Meeting Date: JUN 9, 2009    Meeting Type: Annual
Record Date:  APR 15, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Flint D. Besecker        For       For          Management
1.2   Elect Director Gerald E. Bisbee, Jr.,   For       For          Management
      Ph.D.
1.3   Elect Director Kirk E. Gorman           For       For          Management
1.4   Elect Director Alexandra Lebenthal      For       For          Management
1.5   Elect Director Karen P. Robards         For       For          Management
1.6   Elect Director J. Rainer Twiford        For       For          Management
1.7   Elect Director Steven N. Warden         For       For          Management
2     Ratify Auditors                         For       For          Management


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DOUGLAS EMMETT, INC.

Ticker:       DEI            Security ID:  25960P109
Meeting Date: JUN 11, 2009   Meeting Type: Annual
Record Date:  APR 13, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Dan A. Emmett            For       For          Management
1.2   Elect Director Jordan L. Kaplan         For       For          Management
1.3   Elect Director Kenneth M. Panzer        For       For          Management
1.4   Elect Director Leslie E. Bider          For       Withhold     Management
1.5   Elect Director Victor J. Coleman        For       Withhold     Management
1.6   Elect Director Ghebre S. Mehreteab      For       For          Management
1.7   Elect Director Thomas E. O'Hern         For       For          Management
1.8   Elect Director Dr. Andrea Rich          For       Withhold     Management
1.9   Elect Director William Wilson III       For       For          Management
2     Ratify Auditors                         For       For          Management
3     Amend Omnibus Stock Plan                For       For          Management


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DUKE REALTY CORPORATION

Ticker:       DRE            Security ID:  264411505
Meeting Date: APR 29, 2009   Meeting Type: Annual
Record Date:  MAR 2, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Thomas J. Baltimore, Jr. For       For          Management
1.2   Elect Director Barrington H. Branch     For       For          Management
1.3   Elect Director Geoffrey Button          For       For          Management
1.4   Elect Director William Cavanaugh III    For       For          Management
1.5   Elect Director Ngaire E. Cuneo          For       For          Management
1.6   Elect Director Charles R. Eitel         For       For          Management
1.7   Elect Director Martin C. Jischke        For       For          Management
1.8   Elect Director L. Ben Lytle             For       For          Management
1.9   Elect Director Dennis D. Oklak          For       For          Management
1.10  Elect Director Jack R. Shaw             For       For          Management
1.11  Elect Director Lynn C. Thurber          For       For          Management
1.12  Elect Director Robert J. Woodward, Jr.  For       For          Management
2     Ratify Auditors                         For       For          Management
3     Amend Omnibus Stock Plan                For       For          Management


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EQUITY LIFESTYLE PROPERTIES INC

Ticker:       ELS            Security ID:  29472R108
Meeting Date: MAY 12, 2009   Meeting Type: Annual
Record Date:  MAR 6, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Philip C. Calian         For       For          Management
1.2   Elect Director David J. Contis          For       For          Management
1.3   Elect Director Thomas E. Dobrowski      For       For          Management
1.4   Elect Director Thomas P. Heneghan       For       For          Management
1.5   Elect Director Sheli Z. Rosenberg       For       For          Management
1.6   Elect Director Howard Walker            For       For          Management
1.7   Elect Director Gary L. Waterman         For       For          Management
1.8   Elect Director Samuel Zell              For       For          Management
2     Ratify Auditors                         For       For          Management


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EQUITY RESIDENTIAL

Ticker:       EQR            Security ID:  29476L107
Meeting Date: JUN 11, 2009   Meeting Type: Annual
Record Date:  MAR 31, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Trustee John W. Alexander         For       For          Management
1.2   Elect Trustee Charles L. Atwood         For       For          Management
1.3   Elect Trustee Boone A. Knox             For       For          Management
1.4   Elect Trustee John E. Neal              For       For          Management
1.5   Elect Trustee David J. Neithercut       For       For          Management
1.6   Elect Trustee Sheli Z. Rosenberg        For       For          Management
1.7   Elect Trustee Gerald A. Spector         For       For          Management
1.8   Elect Trustee B. Joseph White           For       For          Management
1.9   Elect Trustee Samuel Zell               For       For          Management
2     Ratify Auditors                         For       For          Management
3     Require a Majority Vote for the         Against   For          Shareholder
      Election of Directors


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EXTENDICARE REAL ESTATE INVESTMENT TRUST

Ticker:       EXE.U          Security ID:  302251103
Meeting Date: MAY 6, 2009    Meeting Type: Annual
Record Date:  MAR 13, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Trustee Mel Rhinelander           For       For          Management
1.2   Elect Trustee John F. Angus             For       For          Management
1.3   Elect Trustee George A. Fierheller      For       For          Management
1.4   Elect Trustee Seth B. Goldsmith         For       For          Management
1.5   Elect Trustee Michael J.L. Kirby        For       For          Management
1.6   Elect Trustee Frederick B. Ladly        For       For          Management
1.7   Elect Trustee Alvin G. Libin            For       For          Management
1.8   Elect Trustee J. Thomas MacQuarrie      For       For          Management
1.9   Elect Trustee Timothy L. Lukenda        For       For          Management
2     Ratify KPMG LLP as Auditors             For       For          Management


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FEDERAL REALTY INVESTMENT TRUST

Ticker:       FRT            Security ID:  313747206
Meeting Date: MAY 6, 2009    Meeting Type: Annual
Record Date:  MAR 19, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1     Elect Trustee Gail P. Steinel           For       For          Management
2     Elect Trustee Joseph S. Vassalluzzo     For       For          Management
3     Ratify Auditors                         For       For          Management
4     Declassify the Board of Trustees        For       For          Management
5     Amend Shareholder Rights Plan (Poison   For       For          Management
      Pill)


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FOREST CITY ENTERPRISES, INC.

Ticker:       FCE.A          Security ID:  345550107
Meeting Date: JUN 5, 2009    Meeting Type: Annual
Record Date:  APR 14, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Michael P. Esposito, Jr. For       For          Management
1.2   Elect Director Joan K. Shafran          For       For          Management
1.3   Elect Director Louis Stokes             For       Withhold     Management
1.4   Elect Director Stan Ross                For       For          Management
2     Ratify Auditors                         For       For          Management


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HCP INC.

Ticker:       HCP            Security ID:  40414L109
Meeting Date: APR 23, 2009   Meeting Type: Annual
Record Date:  MAR 3, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Robert R. Fanning, Jr.   For       For          Management
1.2   Elect Director James F. Flaherty III    For       For          Management
1.3   Elect Director Christine N. Garvey      For       For          Management
1.4   Elect Director David B. Henry           For       For          Management
1.5   Elect Director Lauralee E. Martin       For       For          Management
1.6   Elect Director Michael D. McKee         For       For          Management
1.7   Elect Director Harold M. Messmer, Jr.   For       For          Management
1.8   Elect Director Peter L. Rhein           For       For          Management
1.9   Elect Director Kenneth B. Roath         For       For          Management
1.10  Elect Director Richard M. Rosenberg     For       For          Management
1.11  Elect Director Joseph P. Sullivan       For       For          Management
2     Amend Omnibus Stock Plan                For       For          Management
3     Ratify Auditors                         For       For          Management


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HEALTHCARE REALTY TRUST, INC.

Ticker:       HR             Security ID:  421946104
Meeting Date: MAY 19, 2009   Meeting Type: Annual
Record Date:  MAR 19, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Errol L. Biggs, Ph.D.    For       For          Management
1.2   Elect Director Charles Raymond          For       For          Management
      Fernandez, M.D.
1.3   Elect Director Bruce D. Sullivan        For       For          Management
2     Ratify Auditors                         For       For          Management


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HOST HOTELS & RESORTS, INC.

Ticker:       HST            Security ID:  44107P104
Meeting Date: MAY 14, 2009   Meeting Type: Annual
Record Date:  MAR 17, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Roberts M. Baylis        For       For          Management
1.2   Elect Director Terence C. Golden        For       For          Management
1.3   Elect Director Ann M. Korologos         For       For          Management
1.4   Elect Director Richard E. Marriott      For       For          Management
1.5   Elect Director Judith A. McHale         For       For          Management
1.6   Elect Director John B. Morse, Jr.       For       For          Management
1.7   Elect Director W. Edward Walter         For       For          Management
2     Ratify Auditors                         For       For          Management
3     Approve Omnibus Stock Plan              For       For          Management
4     Increase Authorized Common Stock        For       For          Management


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LIBERTY PROPERTY TRUST

Ticker:       LRY            Security ID:  531172104
Meeting Date: MAY 21, 2009   Meeting Type: Annual
Record Date:  MAR 20, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director William P. Hankowsky     For       For          Management
1.2   Elect Director David L. Lingerfelt      For       For          Management
1.3   Elect Director Jose A. Mejia            For       For          Management
2     Ratify Auditors                         For       For          Management
3     Amend Omnibus Stock Plan                For       For          Management


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MACK-CALI REALTY CORP.

Ticker:       CLI            Security ID:  554489104
Meeting Date: JUN 2, 2009    Meeting Type: Annual
Record Date:  APR 7, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Mitchell E. Hersh        For       For          Management
1.2   Elect Director John R. Cali             For       For          Management
1.3   Elect Director Irvin D. Reid            For       For          Management
1.4   Elect Director Martin S. Berger         For       For          Management
2     Ratify Auditors                         For       For          Management


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MORGANS HOTEL GROUP COMPANY

Ticker:       MHGC           Security ID:  61748W108
Meeting Date: MAY 19, 2009   Meeting Type: Annual
Record Date:  MAR 27, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Deepak Chopra            For       For          Management
1.2   Elect Director Robert Friedman          For       For          Management
1.3   Elect Director Jeffrey M. Gault         For       For          Management
1.4   Elect Director Marc Gordon              For       For          Management
1.5   Elect Director David T. Hamamoto        For       For          Management
1.6   Elect Director Thomas L. Harrison       For       For          Management
1.7   Elect Director Fred J. Kleisner         For       For          Management
1.8   Elect Director Edwin L. Knetzger, III   For       For          Management
1.9   Elect Director Michael D. Malone        For       For          Management
1.10  Elect Director David J. Moore           For       For          Management
2     Ratify Auditors                         For       For          Management


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PLUM CREEK TIMBER COMPANY, INC.

Ticker:       PCL            Security ID:  729251108
Meeting Date: MAY 6, 2009    Meeting Type: Annual
Record Date:  MAR 10, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Rick R. Holley           For       For          Management
1.2   Elect Director Robin Josephs            For       For          Management
1.3   Elect Director John G. McDonald         For       For          Management
1.4   Elect Director  Robert B. McLeod        For       For          Management
1.5   Elect Director John F. Morgan, Sr.      For       For          Management
1.6   Elect Director John H. Scully           For       For          Management
1.7   Elect Director  Stephen C. Tobias       For       For          Management
1.8   Elect Director Martin A. White          For       For          Management
2     Adopt Majority Voting for Uncontested   For       For          Management
      Election of Directors
3     Amend Stock Ownership Limitations       For       For          Management
4     Ratify Auditors                         For       For          Management
5     Advisory Vote to Ratify Named Executive Against   For          Shareholder
      Officers' Compensation


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POST PROPERTIES, INC.

Ticker:       PPS            Security ID:  737464107
Meeting Date: OCT 16, 2008   Meeting Type: Annual
Record Date:  SEP 8, 2008

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Robert C. Goddard, III   For       Withhold     Management
1.2   Elect Director David P. Stockert        For       Withhold     Management
1.3   Elect Director Herschel M. Bloom        For       Withhold     Management
1.4   Elect Director Douglas Crocker Ii       For       For          Management
1.5   Elect Director Walter M. Deriso, Jr.    For       For          Management
1.6   Elect Director Russell R. French        For       For          Management
1.7   Elect Director David R. Schwartz        For       For          Management
1.8   Elect Director Stella F. Thayer         For       For          Management
1.9   Elect Director Ronald De Waal           For       For          Management
2     Ratify Auditors                         For       For          Management
3     Amend Omnibus Stock Plan                For       For          Management


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POST PROPERTIES, INC.

Ticker:       PPS            Security ID:  737464107
Meeting Date: JUN 9, 2009    Meeting Type: Annual
Record Date:  APR 15, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Robert C. Goddard, III   For       Withhold     Management
1.2   Elect Director Douglas Crocker, II      For       For          Management
1.3   Elect Director David P. Stockert        For       For          Management
1.4   Elect Director Herschel M. Bloom        For       Withhold     Management
1.5   Elect Director Walter M. Deriso, Jr.    For       For          Management
1.6   Elect Director Russell R. French        For       For          Management
1.7   Elect Director Dale Anne Reiss          For       For          Management
1.8   Elect Director David R. Schwartz        For       For          Management
1.9   Elect Director Stella F. Thayer         For       For          Management
1.10  Elect Director Ronald de Waal           For       For          Management
2     Ratify Auditors                         For       For          Management


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PS BUSINESS PARKS, INC.

Ticker:       PSB            Security ID:  69360J107
Meeting Date: MAY 4, 2009    Meeting Type: Annual
Record Date:  MAR 6, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Ronald L. Havner, Jr     For       For          Management
1.2   Elect Director Joseph D. Russell, Jr.   For       For          Management
1.3   Elect Director R. Wesley Burns          For       For          Management
1.4   Elect Director Jennifer H. Dunbar       For       For          Management
1.5   Elect Director Arthur M. Friedman       For       For          Management
1.6   Elect Director James H. Kropp           For       For          Management
1.7   Elect Director Harvey Lenkin            For       For          Management
1.8   Elect Director Michael V. McGee         For       For          Management
1.9   Elect Director Alan K. Pribble          For       For          Management
2     Ratify Auditors                         For       For          Management


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PUBLIC STORAGE

Ticker:       PSA            Security ID:  74460D109
Meeting Date: MAY 7, 2009    Meeting Type: Annual
Record Date:  MAR 9, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Trustee B. Wayne Hughes           For       For          Management
1.2   Elect Trustee Ronald L. Havner, Jr.     For       For          Management
1.3   Elect Trustee Dann V. Angeloff          For       For          Management
1.4   Elect Trustee William C. Baker          For       For          Management
1.5   Elect Trustee John T. Evans             For       For          Management
1.6   Elect Director Tamara Hughes Gustavson  For       For          Management
1.7   Elect Trustee Uri P. Harkham            For       For          Management
1.8   Elect Trustee B. Wayne Hughes, Jr       For       For          Management
1.9   Elect Director Harvey Lenkin            For       For          Management
1.10  Elect Trustee Gary E. Pruitt            For       For          Management
1.11  Elect Trustee Daniel C. Staton          For       For          Management
2     Ratify Auditors                         For       For          Management


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RAMCO-GERSHENSON PROPERTIES TRUST

Ticker:       RPT            Security ID:  751452202
Meeting Date: JUN 10, 2009   Meeting Type: Annual
Record Date:  APR 15, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Stephen R. Blank         For       Withhold     Management
1.2   Elect Director Joel M. Pashcow          For       Withhold     Management
1.3   Elect Director Matthew L. Ostrower      For       For          Management
1.4   Elect Director David J. Nettina         For       For          Management
2     Ratify Auditors                         For       For          Management
3     Approve Omnibus Stock Plan              For       For          Management


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REGENCY CENTERS CORP.

Ticker:       REG            Security ID:  758849103
Meeting Date: MAY 5, 2009    Meeting Type: Annual
Record Date:  FEB 24, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Martin E. Stein, Jr.     For       For          Management
1.2   Elect Director Raymond L. Bank          For       For          Management
1.3   Elect Director C. Ronald Blankenship    For       For          Management
1.4   Elect Director A. R. Carpenter          For       For          Management
1.5   Elect Director J. Dix Druce             For       For          Management
1.6   Elect Director Mary Lou Fiala           For       For          Management
1.7   Elect Director Bruce M. Johnson         For       For          Management
1.8   Elect Director Douglas S. Luke          For       For          Management
1.9   Elect Director John C. Schweitzer       For       For          Management
1.10  Elect Director Brian M. Smith           For       For          Management
1.11  Elect Director Thomas G. Wattles        For       For          Management
2     Ratify Auditors                         For       For          Management


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SENIOR HOUSING PROPERTIES TRUST

Ticker:       SNH            Security ID:  81721M109
Meeting Date: MAY 18, 2009   Meeting Type: Annual
Record Date:  MAR 17, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Jeffrey P. Somers        For       For          Management
1.2   Elect Director Barry M. Portnoy         For       For          Management


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SIMON PROPERTY GROUP, INC.

Ticker:       SPG            Security ID:  828806109
Meeting Date: MAY 8, 2009    Meeting Type: Annual
Record Date:  MAR 9, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1     Approve Increase in Size of Board       For       For          Management
2     Reduce Supermajority Vote Requirement   For       For          Management
3     Increase Authorized Common Stock        For       For          Management
4     Amend Charter to Delete Obsolete or     For       For          Management
      Unnecessary Provisions
5.1   Elect Director Melvyn E. Bergstein      For       For          Management
5.2   Elect Director Linda Walker Bynoe       For       For          Management
5.3   Elect Director Karen N. Horn            For       For          Management
5.4   Elect Director Reuben S. Leibowitz      For       For          Management
5.5   Elect Director J. Albert Smith, Jr.     For       For          Management
5.6   Elect Director Pieter S. van den Berg   For       For          Management
5.7   Elect Director Allan Hubbard            For       For          Management
5.8   Elect Director Daniel C. Smith          For       For          Management
6     Adjourn Meeting                         For       For          Management
7     Ratify Auditors                         For       For          Management


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SOVRAN SELF STORAGE, INC.

Ticker:       SSS            Security ID:  84610H108
Meeting Date: MAY 21, 2009   Meeting Type: Annual
Record Date:  MAR 24, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Robert J. Attea          For       For          Management
1.2   Elect Director Kenneth F. Myszka        For       For          Management
1.3   Elect Director John E. Burns            For       For          Management
1.4   Elect Director Anthony P. Gammie        For       For          Management
1.5   Elect Director Charles E. Lannon        For       For          Management
1.6   Elect Director James R. Boldt           For       For          Management
2     Approve Non-Employee Director Omnibus   For       For          Management
      Stock Plan
3     Ratify Auditors                         For       For          Management


- --------------------------------------------------------------------------------

STARWOOD HOTELS & RESORTS WORLDWIDE, INC.

Ticker:       HOT            Security ID:  85590A401
Meeting Date: MAY 6, 2009    Meeting Type: Annual
Record Date:  MAR 12, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Adam M. Aron             For       For          Management
1.2   Elect Director Charlene Barshefsky      For       For          Management
1.3   Elect Director Thomas E. Clarke         For       For          Management
1.4   Elect Director Clayton C. Daley, Jr.    For       For          Management
1.5   Elect Director Bruce W. Duncan          For       For          Management
1.6   Elect Director Lizanne Galbreath        For       For          Management
1.7   Elect Director Eric Hippeau             For       For          Management
1.8   Elect Director Stephen R. Quazzo        For       For          Management
1.9   Elect Director Thomas O. Ryder          For       For          Management
1.10  Elect Director Frits van Paasschen      For       For          Management
1.11  Elect Director Kneeland C. Youngblood   For       For          Management
2     Ratify Auditors                         For       For          Management


- --------------------------------------------------------------------------------

STRATEGIC HOTELS & RESORTS INC

Ticker:       BEE            Security ID:  86272T106
Meeting Date: JUN 5, 2009    Meeting Type: Annual
Record Date:  MAR 25, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Robert P. Bowen          For       Withhold     Management
1.2   Elect Director Kenneth Fisher           For       Withhold     Management
1.3   Elect Director Laurence S. Geller       For       Withhold     Management
1.4   Elect Director James A. Jeffs           For       Withhold     Management
1.5   Elect Director Richard D. Kincaid       For       For          Management
1.6   Elect Director David M.C. Michels       For       Withhold     Management
1.7   Elect Director William A. Prezant       For       Withhold     Management
2     Ratify Auditors                         For       For          Management


- --------------------------------------------------------------------------------

TAUBMAN CENTERS, INC.

Ticker:       TCO            Security ID:  876664103
Meeting Date: MAY 29, 2009   Meeting Type: Annual
Record Date:  MAR 31, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Graham T. Allison        For       For          Management
1.2   Elect Director Peter Karmanos, Jr.      For       For          Management
1.3   Elect Director William S. Taubman       For       For          Management
2     Ratify Auditors                         For       For          Management


- --------------------------------------------------------------------------------

VENTAS, INC.

Ticker:       VTR            Security ID:  92276F100
Meeting Date: MAY 7, 2009    Meeting Type: Annual
Record Date:  MAR 16, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Debra A. Cafaro          For       For          Management
1.2   Elect Director Douglas Crocker II       For       For          Management
1.3   Elect Director Ronald G. Geary          For       For          Management
1.4   Elect Director Jay M. Gellert           For       For          Management
1.5   Elect Director Robert D. Reed           For       For          Management
1.6   Elect Director Sheli Z. Rosenberg       For       For          Management
1.7   Elect Director James D. Shelton         For       For          Management
1.8   Elect Director Thomas C. Theobald       For       For          Management
2     Ratify Auditors                         For       For          Management


- --------------------------------------------------------------------------------

VORNADO REALTY TRUST

Ticker:       VNO            Security ID:  929042109
Meeting Date: MAY 14, 2009   Meeting Type: Annual
Record Date:  MAR 13, 2009

#     Proposal                                Mgt Rec   Vote Cast    Sponsor
1.1   Elect Director Steven Roth              For       For          Management
1.2   Elect Director Michael D. Fascitelli    For       For          Management
1.3   Elect Director Russell B. Wight, Jr.    For       For          Management
2     Ratify Auditors                         For       For          Management
3     Require a Majority Vote for the         Against   For          Shareholder
      Election of Directors
4     Require Independent Board Chairman      Against   Against      Shareholder

========== END NPX REPORT


                                   SIGNATURES

     Pursuant to the requirements of 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): Morgan Stanley Real Estate Fund

By (Signature and Title)*


                                        /s/ Randy Takian
                                        ----------------------------------------
                                        Randy Takian
                                        President and Principal Executive
                                        Officer - Office of the Funds

Date August 28, 2009

*    Print the name and title of each signing officer under his or her
     signature.