October 5, 2020

FOR IMMEDIATE RELEASE

Activia Properties Inc.

21-1, Dogenzaka 1-chome, Shibuya-ku, Tokyo
Kazushi Sato
Executive Director(Code: 3279)

Asset Management Company
TLC REIT Management Inc.
Hiroyuki Tohmata
President & CEOInquiries
Kazuyuki Murayama
General Manager of Strategy Department
Activia Management Division(Tel: +81-3-6455-3377)

Notice Concerning Updates on Impact of COVID-19
and Negotiation with Tenants
Facing the impact of the Novel Coronavirus pandemic (the “Impact of COVID-19”), Activia
Properties Inc. (“API”) has had negotiations with tenants who requested rent relief such as temporary
rent reduction, as described in the “Financial Results Presentation for the 17th Fiscal Period Ended May2020” disclosed on the API’s website as of July 15, 2020.
Although the situation surrounding us remains unpredictable as the number of confirmed cases
showed another increase since July, the relief requests received from tenants became limited and wehereby provide, as in the attachment, updates as of September 30, 2020 on the negotiation status withtenants and the amount spent in the value estimated as the Impact of COVID-19 for the forecast DPU for
the 18th fiscal period ending November 2020.
Although some negotiations with tenants remain in progress, API estimates to achieve the forecast
DPU for the 18th fiscal period ending November 2020 issued in the “Financial Report for the Fiscal
Period Ended May 31, 2020” disclosed on July 15, 2020.

*Website of API: https://www.activia-reit.co.jp/en/(Attachment)
1. Number of requests from tenants and negotiation status (As of September 30, 2020)<Retail tenants>
Number of requests

Temporary
rent reduction
Lease
cancellation
Paymentdeferral
TotalByJune2020

July toSeptember
2020

Todate115+35150

18+1014147

Negotiation
statusTo dateTemporary rent
reduction agreed

6728

No reduction

49-

1434+45192

Under
negotiation⇒(Note) Out of 324 existing retail tenants as of May 31, 2020

<Office tenants>

Negotiation
statusNumber of requests

Temporary
rent reduction
Lease
cancellation
PaymentdeferralTotal

ByJune2020

July toSeptember
2020

Todate21+32414+11338

To dateTemporary rent
reduction agreed

225

No reduction

15-

37+1452

Under
negotiation⇒(Note) Out of 383 existing office tenants as of May 31, 2020

2. Amount spent in the estimated value as the Impact of COVID-19 for the forecast DPU for the 18th
fiscal period ending November 2020
・Out of the value estimated as the Impact of COVID-19 (¥1,195), the portion for the estimateddecrease in revenue from sales-linked rent will be entirely consumed, although the spending of theamount in the portion for the estimated decrease in rent revenue due to temporary rent reductions
will progress within the estimation.
<Update><July 2020>
Reduced revenue due
to temporary rent
reductionDecrease in saleslinked rent

Determined

Undetermined③DPU影響Reduced revenue due totemporary rent reduction

Determined Estimated Undetermined(Note 1)(¥/unit)
0 200 400 600 8001,000

Decrease in sales-linkedrent(¥/unit)(Note 2)0200 400 600 800 1,000(Note 1) Amount of the decrease in rent revenue due to rent reduction agreed with the 67 commercial tenants is described as“Determined”, and amount estimated for the 34 commercial tenants under negotiation is described as “Estimated”.
(Note 2) Amount estimated for the decrease in sales-linked rent from hotels is described “Determined” and amount for thedecrease in sales-linked rent from commercial tenants is described as “Estimated”.