Translation Purposes Only
January 5, 2021
For Immediate Release
Real Estate Investment Trust Securities Issuer
1-1-1 Akasaka, Minato-ku, TokyoXYMAX REIT Investment Corporation
Representative: Nobuhito Inatsuki, Executive Director(Securities Code: 3488)
Asset Management Company
XYMAX REAL ESTATE INVESTMENT ADVISORS Corporation
Representative: Nobuhito Inatsuki, Representative Director
Contact:
Tatsuya Nakayama
Head of Business Planning Division
TEL: +81-3-5544-6880

Notice Concerning Revision of the Operating Forecasts and Distribution Forecasts
for the Fiscal Period Ending February 2021 (the 6th Fiscal Period)
and the Fiscal Period Ending August 2021 (the 7th Fiscal Period)
XYMAX REIT Investment Corporation (hereinafter, “XYMAX REIT”) announces today the following revisionof its operating forecasts and distribution forecasts for the fiscal period ending February 2021 (the 6th fiscal
period from September 1, 2020 to February 28, 2021) and the Fiscal Period Ending August 2021 (the 7thFiscal Period from March 1, 2021 to August 31, 2021), announced in “(REIT) Financial Report for the Fiscal
Period Ended August 2020” dated October 14, 2020.
1.

Details of Revision(1) The Fiscal Period Ending February 2021 (the 6th Fiscal Period)(Millions of yen unless otherwise specified)
Operatingrevenues
Previous forecast(A)
Revised forecast(B)
Amount of change(B−A)
Rate of change((B−A)) / (A)OperatingincomeOrdinary
incomeDistributions
per unit(yen)

Net
Income(excluding
distribution inexcess of earnings)

Distribution
in excess ofearnings perunit
(yen)

1,270

668

601

600

2,688

0

1,300

698

631

630

2,822

030

29

29

29

134

0

2.3%

4.4%

4.9%

4.9%

4.9%

%

(Reference) Assumed number of investment units outstanding at the end of the period: 223,400 units(Note 1) Forecast figures are calculated based on the assumptions set forth in the Attachment as of the date of thisrelease. Therefore, actual operating revenues, operating income, ordinary income, net income,
distributions per unit, and distributions in excess of earnings per unit may differ from the forecasts due toa variety of reasons including the future acquisition or sale of real estate and changes in XYMAX REIT’s
operating environment including the real estate market. Accordingly, XYMAX REIT does not guarantee
payments of the forecast distributions per unit.
(Note 2) If XYMAX REIT expects changes to the aforementioned forecast greater than a certain extent, it may further
revise its forecast.
(Note 3) Figures are rounded down to the nearest specified unit.

Disclaimer: This press is a public announcement concerning revision of the operating forecasts and distribution forecasts for thefiscal period ending February 2021 (the 6th Fiscal Period) and the fiscal period ending August 2021 (the 7th FiscalPeriod), and has not been prepared for the purpose of soliciting investment.

(2) The Fiscal Period Ending August 2021 (the 7th Fiscal Period)(Millions of yen unless otherwise specified)
Operatingrevenues
Previous forecast(A)
Revised forecast(B)
Amount of change(B−A)
Rate of change((B−A)) / (A)OperatingincomeOrdinary
incomeDistributions
per unit(yen)

Net
Income(excluding
distribution inexcess of earnings)

Distribution
in excess ofearnings perunit
(yen)

1,227

615

562

561

2,515

0

1,304

691

638

637

2,854

07775

7575

339

0

6.3%

12.3%

13.4%

13.4%

13.4%

%

(Reference) Assumed number of investment units outstanding at the end of the period: 223,400 units(Note 1) Forecast figures are calculated based on the assumptions set forth in the Attachment as of the date of thisrelease. Therefore, actual operating revenues, operating income, ordinary income, net income, distributions
per unit, and distributions in excess of earnings per unit may differ from the forecasts due to a variety ofreasons including the future acquisition or sale of real estate and changes in XYMAX REIT’s operating
environment including the real estate market. Accordingly, XYMAX REIT does not guarantee paymentsof the forecast distributions per unit.
(Note 2) If XYMAX REIT expects changes to the aforementioned forecast greater than a certain extent, it may furtherrevise its forecast.
(Note 3) Figures are rounded down to the nearest specified unit.

2. Reasons for revision
As stated in the press release “Notice Concerning Revision of Fixed-Term Lease Contracts” dated today,XYMAX REIT decided to revise the Fixed-Lease Contracts with Vista Hotel Management Co., Ltd.(“Vista”) aslessee on January 5, 2021 (the “Revision”). As a result, the Revision made XYMAX REIT possible toreasonably estimate the amount of rents from Vista after November 2020. And also a part of theassumptions for the fiscal period ending February 2021 (the 6th fiscal period from September 1, 2020 toFebruary 28, 2021) and the fiscal period ending August 2021 (the 7th fiscal period March 1, 2021 to August
31, 2021) announced in “(REIT) Financial Report for the Fiscal Period Ended August 2020” dated October
14, 2020 (the “Recent Forecast”) should be modified because the assumptions in the Recent Forecast were
estimated conservatively as much as possible. In addition, the Revision is expected to lead to an upwarddifference of 5% or more arising in the amount of distributions per unit for the fiscal period ending August2021 (the 7th fiscal period March 1, 2021 to August 31, 2021) from the Recent Forecasts. Accordingly,
XYMAX REIT is revising its operating forecasts and distribution forecasts as indicated in the above tables.
* XYMAX REIT website address: https://xymaxreit.co.jp/en/index.html

Disclaimer: This press is a public announcement concerning revision of the operating forecasts and distribution forecasts for thefiscal period ending February 2021 (the 6th Fiscal Period) and the fiscal period ending August 2021 (the 7th FiscalPeriod), and has not been prepared for the purpose of soliciting investment.

[Attachment]
Assumptions underlying the Operating Forecasts for the Fiscal Period Ending February 2021 (the 6th FiscalPeriod) and for the Fiscal Period Ending August 2021 (the 7th Fiscal Period)
Item
Accounting
periodAssets undermanagement

Assumption
 Fiscal period ending February 2021 (6th fiscal period)(from September 1, 2020 to February 28, 2021) (181 days)
 Fiscal period ending August 2021 (7th fiscal period)(from March 1, 2021 to August 31, 2021) (184 days) The assumption is that the real estate trust beneficiary rights held by XYMAX REIT as of January 5, 2021
(total of 13 properties) (hereinafter, the “current portfolio assets”) will continue to be held and there
will be no acquisition of new properties other than the current portfolio assets through to the end of
the fiscal period ending August 2021 (7th fiscal period).
 Change may arise due to the acquisition of new properties other than the current portfolio assets,
disposition of the current portfolio assets, etc.
 Operating revenue from leasing is calculated on the basis of various factors, such as the content of lease
contracts entered into for the current portfolio assets as of January 5, 2021 and past tenant and market
trends, and by taking into account various factors, such as the assumed occupancy rate and rent
fluctuation projections based on tenant move-in/move-out and rent level projections.
 Variable rent is calculated on the basis of mainly the budgeted operating figures submitted by theoperator and based on the method of calculation provided in the lease contract.
[Hotel Vista Sendai](1) From September 1, 2020 to October 31, 2020
Fixed rent:
Contracted monthly fixed rent is 20.0 million yen per month.
Variable rent: The monthly variable rent shall be the amount equal to the total variable rent received
by the lessee from the operator (hereinafter, “variable rent from operator” (Note)) in
the past 12 months, including said month, divided by 12.
(Note)

Operatingrevenue“Variable rent from operator” refers to the amount calculated by multiplying gross sales from the hotel
operations of the sub-lessee by a certain rate. Actual effective rate is not disclosed, because consent fordisclosure has not been obtained from the operator.

(2) From November 1, 2020 to August 31,2021
Monthly rent shall be the amount calculated by multiplying GOP (Note 1) of the current month by acertain rate (Note 2).
(Note 1)
(Note2)“GOP” is the remainder after deducting expenses, such as personnel costs and general and administrative
expenses, etc. incurred in hotel operation from total sales“a certain rate” shall not be disclosed because the consent of the operator has not been obtained.

Fiscal period
ending Feb. 2021
(6th fiscalperiod)
Variable rent

26million yen

Fiscal period
ending Aug.
2021
(7th fiscalperiod)
76million yen

 The assumption is that there will be no delinquent or unpaid rent by tenants and no gain (loss) on salesof real estate properties.
 Of operating expenses, the main components are as follows:

Fiscal period
ending Feb. 2021
(6th fiscalperiod)

Operatingexpenses

Fiscal periodending Aug.
2021

(7th fiscal period)
486million yen
Expenses related to leasing business [Total]
484million yen
85million yen
85million yen
Management fees
29million yen
31million yen
Repair expenses
133million yen
140million yen
Property taxes
135million yen
139million yen
Depreciation
126million yen
118million yen
Other than expenses related to leasing business[Total]75million yen
78million yen
Asset management fees Expenses related to leasing business, which are the main operating expenses, are calculated on thebasis of historical data at XYMAX REIT (historical data disclosed by the previous owner, etc. in the caseof periods for which there is no historical data at XYMAX REIT) and by taking into consideration factors
causing fluctuation in expenses.
 Depreciation is calculated using the straight-line method inclusive of incidental expenses, etc.

Disclaimer: This press is a public announcement concerning revision of the operating forecasts and distribution forecasts for thefiscal period ending February 2021 (the 6th Fiscal Period) and the fiscal period ending August 2021 (the 7th FiscalPeriod), and has not been prepared for the purpose of soliciting investment.

ItemAssumption

 Repair expenses are the amount necessary in each fiscal period as assumed on a property-by-property
basis by the Asset Management Company. However, repair expenses possibly increasing in amount oradditionally arising from unforeseeable factors, the amount generally tending to vary materially fromfiscal year to fiscal year and not being an amount that arises periodically, etc. may result in repair
expenses for each fiscal period differing materially from the forecast amount.
 For the fiscal period ending February 2021 (6th fiscal period), interest expenses and other borrowing
Non-operating
related expenses are assumed to be 66million yen.
For the fiscal period ending August 2021 (7th fiscal period), interest expenses and other borrowing
expensesrelated expenses are assumed to be 53million yen.
 The assumption is that total interest-bearing liabilities will be 12,780 million yen at the end of the fiscal
period ending February 2021 (6th fiscal period) and 12,780 million yen at the end of the fiscal periodending August 2021 (7th fiscal period). Short-term loans of 1,914 million yen and long-term loans of
2,336 million are due in the fiscal period ending February 2021. The assumption is that these will beInterest-bearing
repaid with funds procured through loans, etc.
liabilities
 LTV ratio is expected to be 33.9% at the end of the fiscal period ending February 2021 (6th fiscal period)and 34.0 % at the end of the fiscal period ending August 2021 (7th fiscal period). In addition, thefollowing formula is used in the calculation of LTV ratio.
LTV ratio = Total interest-bearing liabilities ÷ Total assets × 100
 The assumption is the total number of investment units issued and outstanding is 223,400 units as ofJanuary 5, 2021 and that there will be no change in the number of investment units due to issuance of
new investment units, etc. through to the end of the fiscal period ending August 2021 (7th fiscal period).
Investment
 Distribution per unit (excluding distribution in excess of earnings) and distribution in excess ofunits
earnings per unit are calculated on the basis of the forecast total number of investment units issued
and outstanding at the end of the fiscal period ending February 2021 (6th fiscal period) and fiscalperiod ending August 2021 (7th fiscal period) of 223,400 units.

Distribution
per unit(excludingdistribution
in excess ofearnings)
Distribution
in excess ofearnings
per unit Distribution per unit (excluding distribution in excess of earnings) is calculated based on theassumption that distribution will be in accordance with the cash distribution policy provided in XYMAXREIT’s Articles of Incorporation.
 Distribution per unit (excluding distribution in excess of earnings) may vary due to various factors,
such as fluctuation in rent revenue accompanying change in assets under management, change intenants, etc. or incurrence of unexpected repairs.
 No cash distribution in excess of earnings (distribution in excess of earnings per unit) is scheduled tobe made at this point in time.

 The assumption is that there will be no revision of laws and regulations, tax systems, accounting
Otherstandards, listing regulations provided by Tokyo Stock Exchange, rules provided by The Investment
Trusts Association, Japan, etc. that will impact the forecast figures above.
 The assumption is that there will be no unforeseen material change in general economic trends, realestate market conditions, etc.

Disclaimer: This press is a public announcement concerning revision of the operating forecasts and distribution forecasts for thefiscal period ending February 2021 (the 6th Fiscal Period) and the fiscal period ending August 2021 (the 7th FiscalPeriod), and has not been prepared for the purpose of soliciting investment.