NEWS RELEASE
March 28, 2023
For Immediate Release

Investment Corporation
Japan Real Estate Investment Corporation
Jo Kato, Executive Director(TSE code: 8952)
Asset Management Company
Japan Real Estate Asset Management Co., Ltd.
Shojiro Kojima , President & CEO
Contact: Masaru Motooka
Executive Officer & General Manager
Strategic Planning Department
Phone: +81‐3‐3211‐7951

Announcement of Debt Financing
Japan Real Estate Investment Corporation hereby announces its decision today to procure funds asfollows:

1. Reason for the borrowing
To allocate the loans below to the acquisition fund of properties (Shinjuku Eastside Square andCIRCLES Hirakawacho), which is stated in the press release titled “Announcement of Acquisition ofDomestic Real Estate and Trust Beneficiary Interests in Domestic Real Estate” published today, therepayment of an existing short‐term loan of JPY 3 billion, which was executed on March 24, 2023,
and cash on hand.
2. Overview of the borrowings
(1)
(2)
(3)
(4)
(5)

(6)

Amount of loan
LenderInterest rate
Borrowing date

Loan 1JPY 8,300 million
Mizuho Bank, Ltd.
0.0173%(fixed)

Loan 2
Loan 3
JPY 3,000 million
JPY 3,000 million
Sumitomo Mitsui Banking Corporation
0.7187%(fixed) (Note1) 0.2475%(fixed) (Note1)
March 30, 2023

Method of borrowing

Loan based on
overdraft agreement
Unsecured/unguaranteed loan

Loan agreement dated March 28, 2023
Unsecured/unguaranteed loan

Interest payment date

The principal
repayment date

The principal repayment date and the 30th of
every March and September in the period until
the principal repayment date (Note2)
1

Disclaimer: This document is intended to serve as a press release to make available to the public the information on Debt Financing ofJapan Real Estate Investment Corporation (“JRE”), and does not constitute and should not be construed as an offer to sell orsolicitation of an offer to purchase any investment unit or other investment in JRE. Prospective investors are advised to readthe JRE's prospectus for issuance of new investment units and secondary offering (and its amendments thereto, if any) andmake any investment decisions at their own risk and responsibility.

(7)
(8)

Method of principal
repayment
Principal repayment
date

Lump‐sum repayment on the principal repayment date
April 6, 2023 (Note3)

March 30, 2033

March 30, 2027

(Note1) These borrowings will be procured through sustainability‐linked loans, whose loan terms are aligned with JRE’sachievement status of the following sustainability performance target (“SPT”) set beforehand.
・SPT: Reduce CO2 emissions by 80% by fiscal 2030 (Base year: Fiscal 2019 / Absolute basis)
The applicable interest rate will be lowered by 0.01% on the condition that the above target set as SPT is achieved
for the respective performance levels set for September 2023, September 2026, September 2029, and September
2031, the latter two of which are only for Loan 2, for the period until the performance level is next confirmed (forthe time of final confirmation, until the repayment date). Please refer to “Loans and Bonds” under Financial
Summary of JRE’s website https://www.j‐re.co.jp/en_cms/finance/debt.html for the interest rate applicable after
the performance level is confirmed.
(Note2) When an interest payment date is not a business day, the interest shall be paid on the following business day or
the immediately preceding business day if the following business day is in the following month.
(Note3) The loan will be repaid with cash on hand and the proceeds from the disposition of Harumi Front, which is thesecond of three separate transfers scheduled for April 3, 2023.
For details of the disposition, please refer to the press release titled “Announcement of Disposition of Domestic
Real Estate” dated November 15, 2022.

<Reference> Overview of Existing Loan Subject to Repayment
LenderAmount of loan
Borrowing dateMizuho Bank, Ltd.

JPY 3,000 million

March 24, 2023

Principal
repayment date

Disclosure date

March 31, 2023

March 22, 2023

3. Balance of interest‐bearing debt after the debt financing(Units: millions of JPY)

BeforeShort‐term loans payable
Long‐term loans payable(Variable interest rate)
Long‐term loans payable(Fixed interest rate)
Total loans
Investment corporation bonds
Total
investment corporation bonds
Total interest‐bearing debt

After

Increase/Decrease

47,00052,300+5,30022,00022,000±0337,200

343,200+6,000406,200

417,500+11,300

42,99342,993±042,99342,993±0449,193

460,493+11,300(Note) The balance shows the one after the existing short‐term loan of JPY 3 billion, which was executed on March 24,2023, will be repaid on March 31, 2023.

4. Others
Regarding risks pertaining to these loan repayments, there is no material change to thedescriptions of “Investment risks” in the securities registration statement submitted today.

2
Disclaimer: This document is intended to serve as a press release to make available to the public the information on Debt Financing ofJapan Real Estate Investment Corporation (“JRE”), and does not constitute and should not be construed as an offer to sell orsolicitation of an offer to purchase any investment unit or other investment in JRE. Prospective investors are advised to readthe JRE's prospectus for issuance of new investment units and secondary offering (and its amendments thereto, if any) andmake any investment decisions at their own risk and responsibility.

This is the English translation of the announcement in Japanese dated March 28, 2023.
No assurance or warranties are given for the completeness or accuracy of this English translation.

3Disclaimer: This document is intended to serve as a press release to make available to the public the information on Debt Financing ofJapan Real Estate Investment Corporation (“JRE”), and does not constitute and should not be construed as an offer to sell orsolicitation of an offer to purchase any investment unit or other investment in JRE. Prospective investors are advised to readthe JRE's prospectus for issuance of new investment units and secondary offering (and its amendments thereto, if any) andmake any investment decisions at their own risk and responsibility.