A number of urban U.S. cities that were traditionally Black and underinvested are now becoming enclaves to whites and upper-middle-class people. Consequently, a growing body of research on schools and gentrification is emerging. While most of this research has focused on the shifts that neighborhoods and schools undergo due to gentrification, we know less about how school leaders make meaning of these impacts. This study draws on interviews with 26 principals in two gentrifying cities to examine the impacts of gentrification on schools. We find that school leaders understand gentrification's impacts on schools materially, epistemically, and affectively, and at the same time, these shifts complicate the work of school leaders. This study concludes with implications for future research.