Did some further testing. Granted, I am on Android 2.33.1(162), but my tests revealed the same results you got.
I set my rule exactly as you have it. Enter \ Home Address \ 1000ft \ Mute All Notifications \ Time Constraint (included current real time).
When I did this, my app asked me to give permission to the app to access location, which I confirmed.
With GPS On, App closed but confirmed running in the background (persistent notification), it did not trigger and no history for it exists.
Checked Location Services app permissions in OS, changed it to Any Time from Only While Using App. Still did not trigger any rule.
Edited rule to remove Time Constraint to test. Toggled Time to Off and saved. Opened rule, Time constraint remained on in spite of having turned it off and saved every time. Unable to delete time constraint. Deleted and saved one final time, cleared cache, signed out, closed app, force closed, restarted. Time constraint remained on.
Attempted to edit the time constraint and it did save the edit. Rule still will not trigger.
Deleted rule and rebuilt without time constraint. Rule did not trigger.
At this point I would suspect that the location services in rules is not working in the app.
However, there is a new App Production Release Candidate currently in final testing. I am going to wait for the app update and retest.