September 13, 2023
For Immediate Release
Real Estate Investment Trust Securities Issuer
Star Asia Investment Corporation
Representative: Atsushi Kato, Executive Director(Code: 3468)
Asset Management Company
Star Asia Investment Management Co., Ltd.
Representative: Atsushi Kato
President and CEO
Contact: Akiko Kanno
Director and CFO
TEL: +81-3-5425-1340

Notice Concerning the Decision on the Acquisition of Mezzanine Loan Debt
As announced in the press release dated February 1, 2023 entitled “Notice Concerning Acquisition ofMezzanine Loan Debt -Star Asia Mezzanine Loan Debt Investment Series 8 (Class A Beneficial Interest and Class B
Beneficial Interest)” and the press release dated July 19, 2023 entitled “Notice concerning change to planned
acquisition date of the Mezzanine Loan Debt”, Star Asia Investment Corporation (“SAR”) has completed theacquisition of the Class B Beneficial Interests (hereinafter referred to as the “Class B Beneficia Interest”) as
mezzanine loan debt investment on February 20, 2023, and furthermore, with respect to the Class A BeneficialInterest (hereinafter referred to as the “Class A Beneficial Interest”, and the Class A Beneficial Interest together
with the Class B Beneficial Interest are hereinafter referred to as the “Beneficial Interests”), it was announced
that it was expected to be acquired on December 31, 2023 or such other date to be separately agreed between
SAR and Tokyo Capital Management Co., Ltd. (the current holder of the Class A Beneficial Interest, hereinafterreferred to as “TCM”).
Now the acquisition date of the Class A Beneficial Interest has been decided and agreed between SAR andTCM. Details are described below.
1. Change to the acquisition date of the Class A Beneficial Interest
At time of announcement on July 19, 2023:
December 31, 2023, or such other date to be separately agreed between SAR and TCM.
The acquisition date decided today: September 13, 2023
2. Reason for the Decision on the Acquisition Date of the Class A Beneficial Interest
As announced in the press release dated July 19, 2023 entitled “Notice concerning change to planned
acquisition date of the Mezzanine Loan Debt”, with respect to the Class A Beneficial Interest, notice was received
from Centurion Two Godo Kaisha (hereinafter referred to as the “GK”), the operator of the Beneficial Interests,
that there is a possibility that the mezzanine bonds which corresponds to the Beneficial Interests may beredeemed, and in response to this notice, based on discussions between TCM and Star Asia Investment
Management Co., Ltd. (the “Asset Manager”), the asset manager for TCM and SAR, it was decided that TCM
would continue to hold the Class A Beneficial Interest for the time being from the perspective of avoiding
cumbersome practical procedures. However, given that as of present the prospect for redemption is not clear,
the acquisition date of the Class A Beneficial Interest was decided.
3. Overview of the Trust Beneficial Interests
The Beneficial Interests are comprised of the Class A Beneficial Interest which corresponds to the Class A
Bonds issued by the GK and the Class B Beneficial Interest which corresponds to the Class B Bonds issued bythe GK.
Based on SAR’s judgement that the certainty of principal repayment is high, and also that diversification ofinvestment targets will be realized and dividend revenues will be earned as effective use of own funds whichis expected to have the effect of boosting distributable income, SAR purchased the Class B Beneficial Interest
on February 20, 2023 for 340 million yen, and continues to hold the investment today.

1Also, with respect to the Class A Beneficial Interest, an agreement had been signed setting forth that theClass A Beneficial Interest would be acquired on December 31, 2023, or such other date to be separately
agreed between SAR and TCM.
(1) Acquisition priceClass A Beneficial Interest: 430,000,000 yen (Note 1)of the Beneficial
Class B Beneficial Interest: 340,000,000 yen (Note 2)
Interests
Total:
770,000,000 yen (excluding acquisition expenses)(2) Expected Dividend Class A Beneficial Interest: Base rate (Note 3) + 5.30%
Yield
Class B Beneficial Interest: Base rate (Note 3) + 7.30%(Note 1) An amount after deducting fees related to the assignment of the Class A Beneficial Interest(2,365,000 yen (including consumption tax) will be paid.
(Note 2) An amount after deducting fees related to the assignment of the Class B Beneficial Interest(1,870,000 yen (including consumption tax) was paid.
(Note 3) Base rate is JBA 3-month JPY TIBOR. The Japanese yen TIBOR by JBA can be confirmed on the websiteof the JBA TIBOR Administration (https://www.jbatibor.or.jp/english/rate/). For each interest
calculation period, the rate announced at 11 a.m. (Tokyo time) two business days prior to the last
day of the previous calculation period of the relevant calculation period will be applied as the baserate. The amount to be received after deduction of the trust fees is calculated by the rates below.
Class A Beneficial Interest: Base rate + 5.047%
Class B Beneficial Interest: Base rate + 7.047%<General Description of the Structure of the Trust Beneficial Interests>
Operator: The GK＜Class A Beneficial
Interest＞
SAJP V LLC

GKSenior loan
(Note 5)
Underlying Asset

Mezzanine BondCENTURION HOTELGRAND AKASAKA

bondholder
JSF Trust and BankingCo., Ltd.
(Trust Account)Appraisal value
Not disclosed(Note 4)

JSF Trust and Banking Co., Ltd.
(Trust Account)(Class A BeneficialInterest) 430 mil.
MezzanineBond(Class B Beneficial
Interest) 340 mil.
(Class C Beneficial
Interest)

TK (Silent partnership)
investments (Note 5)

Current
Beneficiary: TCM
SAR＜Class B Beneficial
Interest＞
SAJP V LLCTCM
Current
Beneficiary: SAR＜Class C BeneficialInterest＞
SAJP V LLC

Equity Interests ofPartners (Note 5)(Note 4) The appraisal value stated in the appraisal report obtained by the Asset Manager for the Underlying
Asset is not disclosed, because consent to disclosure has not been obtained from the current owner.
The LTV which is the ratio of the total amount of the Beneficial Interests and senior claims to theappraisal value is lower than 85%, which is SAR’s investment standard for investments in mezzanine
loan debts (announced in the “Notice Concerning Acquisition of Mezzanine Loan Debt (SubordinateBonds)” dated October 25, 2017. The same applies below.)(Note 5) The lender(s) of the senior loan(s), the TK investors and members of the GK are not disclosed, asconsents for such disclosures have not been obtained.
For details regarding the Beneficial Interest, please refer to the press released announced on February 1,
2023 “Notice Concerning Acquisition of Mezzanine Loan Debt- Star Asia Mezzanine Loan Debt Investment
Series 8 (Class A Beneficial Interest and Class B Beneficial Interest)”.
4. Future outlook2

The impact of the decision of the acquisition date of the Class A Beneficial Interest on the on the forecast ofoperating results for the fiscal period ending January 31, 2024 (August 1, 2023 to January 31, 2024) and thefiscal period ending July 31, 2024 (February 1, 2024 to July 31, 2024) has already been reflected in the “(REIT)
Financial Report for Fiscal Period Ended July 31, 2023” which SAR announced on September 13, 2023.
5. Other matters required for investors to appropriately understand and evaluate the above information
In conjunction with the risks related to the refinancing, there are no changes to Part II. Reference
Information / II. Information Supplementary to Reference Documents / 3. Investment Risks” stated in theSecurities Registration Statement (Japanese only) submitted on August 7, 2023.
SAR, as part of the active management strategy that leads to maximization of unitholders’ value, will continue
to consider investments in mezzanine loan debts, which not only realizes diversification of investment targets,but also allows SAR to receive dividend income and boost distributable profits through effective use of cash onhand.

* Star Asia Investment Corporation website address:

https://starasia-reit.com/en/

This is an English translation of the announcement in Japanese dated September 13, 2023.
However, no assurance or warranties are given for the completeness or accuracy of this English translation.

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