When running incus list, containers display correctly but VMs show ERROR state while still being operational. Investigation showed missing log directories caused these errors.

Steps to reproduce:

1. Run incus list - VMs show ERROR state
2. Check specific VM status: incus info <vm-name> --show-log
3. Observe error: open /var/log/incus/<vm-name>/qemu.log: no such file or directory

Fix:

• Created missing VM-specific directories under /var/log/incus/
• Changed /var/log/incus ownership from root:root to root:incus-admin

Additional testing needed to confirm if ownership change was necessary or if missing directories were the sole cause.

Incus version: 6.8
Host OS: Debian 12