Summary of Financial Results for the Fiscal Period Ended January 31, 2023 (REIT)
REIT Securities Issuer
Securities Code
Representative

Mitsui Fudosan Logistics Park Inc.
3471
Hiroshi Asai, Executive Director

Asset Management Company
Representative
Inquiries

Mitsui Fudosan Logistics REIT Management Co., Ltd.
Yukio Yoshida, President and Chief Executive Officer
Tatsu Makino, Director & General Manager of Finance DivisionTel.
+81-3-6327-5160

March 14, 2023
Tokyo Stock Exchange
https://www.mflp-r.co.jp/en/

Stock Exchange Listing
WebsiteScheduled date of submission of securities report:
Scheduled date of commencement of distribution payout:

April 26, 2023
April 21, 2023

Supplementary materials for financial results:
Holding investor presentation for financial results:

Yes
Yes (for analysts and institutional investors)(Amounts less than ¥1 million have been rounded down)

1. Financial Results for the Fiscal Period Ended January 31, 2023 (August 1, 2022 to January 31, 2023)(1) Results of Operations(% figures denote rate of period-on-period change)
Operating revenues

Operating income

Millions of yen%

Millions of yen

Ordinary income%

Net income

Millions of yen%

Millions of yen%

Fiscal period ended
January 31, 2023

10,960

3.3

4,504

1.0

4,206

1.0

4,205

1.0

Fiscal period ended
July 31, 2022

10,607

11.6

4,459

12.3

4,166

11.3

4,165

11.3

Net income per unit

Return on unitholders’ equity

Ratio of ordinary income tototal assets

Ratio of ordinary income tooperating revenues

%

%

%

Yen
Fiscal period ended
January 31, 2023

7,300

2.1

1.2

38.4

Fiscal period ended
July 31, 2022

7,233

2.1

1.3

39.3

(2) Distributions
Total amount of
Total amount ofDistributions perDistributions per
distributions
Total amount of
distributions
unit (excluding
Distributions inunit (including(excluding
distributions in(including
distributions inexcess of
distributions in
distributions inexcess of
distributions inexcess ofretainedexcess ofexcess ofretainedexcess ofretainedearnings per unit
retainedretainedearnings
retainedearnings)
earnings)
earnings)
earnings)
Yen

Millions of yen

Yen

Millions of yen

Yen

Payoutratio

Ratio ofdistributions
to net assets%%

Millions of yen

Fiscal period ended
January 31, 2023

7,301

4,205

1,100

633

8,401

4,838

100.0

2.1

Fiscal period ended
July 31, 2022

7,231

4,165

1,122

646

8,353

4,811

100.0

2.1

Notes:
1. Due to the issuance of new investment units, the payout ratio for the fiscal period ended July 31, 2022 is calculated using thefollowing formula and rounded to the first decimal place.
Payout ratio = Total amount of distributions (excluding distributions in excess of retained earnings) ÷ Net income × 100
2. The total amount of distributions in excess of retained earnings for the fiscal period ended January 31, 2023 and the fiscal period
ended July 31, 2022 is entirely return of capital applicable to distribution reducing unitholders’ capital for tax purposes.
3. The ratio of decreasing surplus attributable to distributions in excess of retained earnings (return of capital applicable to distribution
reducing unitholders’ capital for tax purposes) for the fiscal period ended January 31, 2023 and the fiscal period ended July 31,
2022 is 0.004 for each. This calculation is based on Article 23, Paragraph 1, Item 4 of the Order for Enforcement of the Corporation
Tax Act.
(3) Financial Position
Total assets

Net assets

Ratio of unitholders’ equity tototal assets%

Net assets per unit

Millions of yen

Millions of yen

Fiscal period ended
January 31, 2023

Yen

336,551204,23060.7

354,567

Fiscal period ended
July 31, 2022

339,016

204,83760.4

355,619

(4) Cash Flows
Cash flows from operating
activities

Cash flows from investing
activities

Millions of yen
Fiscal period ended
January 31, 2023

10,341

Fiscal period ended
July 31, 2022

4,298

Cash flows from financing
activities

Millions of yen

Cash and cash equivalents

Millions of yen

Millions of yen(242)(8,027)

9,651(44,308)

40,0747,580

2. Forecast for the Fiscal Period Ending July 31, 2023 (February 1, 2023 to July 31, 2023) and the Fiscal Period Ending January 31,
2024 (August 1, 2023 to January 31, 2024)(% figures denote rate of period-on-period change)
Distributions
Distributions
per unit
Distributions
per unit(excluding
in excess of(including
distributions
retained
distributions
in excess of earnings per in excess ofretained
unit
retainedearnings)
earnings)

Operating revenues

Operating income

Ordinary income

Net income

Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%

Fiscal period ending
July 31, 2023

11,587

5.7

4,584

1.8

4,234

0.7

4,233

0.7

7,349

1,423

8,772

Fiscal period ending
January 31, 2024

11,655

0.6

4,548

(0.8)

4,195

(0.9)

4,194

(0.9)

7,283

1,452

8,735

Yen

Yen

Yen

(Reference) Expected net income per unit (Expected net income/Expected number of investment units at the end of the fiscal period)
For the fiscal period ending July 31, 2023: ¥7,349
For the fiscal period ending January 31, 2024: ¥7,282
 Other(1) Changes in accounting policies, changes in accounting estimates, or retrospective restatements(i) Changes in accounting policies due to revisions to accounting standards, etc.:
None(ii) Changes in accounting policies other than (i) above:None(iii) Changes in accounting estimates:None(iv) Retrospective restatements:
None(2) Total number of investment units issued and outstanding(i) Total number of investment units issued and outstanding at the end of the fiscal period (including treasury units)
Fiscal period ended January 31, 2023
576,000 units
Fiscal period ended July 31, 2022
576,000 units(ii) Number of treasury units at the end of the fiscal period
Fiscal period ended January 31, 2023
0 units
Fiscal period ended July 31, 2022
0 units
Note:
Please refer to “Notes to Per Unit Information” on page 20 for the number of investment units used as the basis forcalculating net income per unit.
 Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
 Special notes
Forecasts of financial results and other forward-looking statements contained in this material are based on information currently
available to and certain assumptions deemed reasonable by Mitsui Fudosan Logistics Park Inc. (“MFLP-REIT”). Actual operating
performance, etc. may differ significantly from these forecasts due to a variety of factors. Furthermore, these forecasts do notguarantee the above distribution amounts.
For details of assumptions for the above forecast figures, please refer to “Forecast Assumptions for the Fiscal Period Ending July 31,
2023 (February 1, 2023 to July 31, 2023) and the Fiscal Period Ending January 31, 2024 (August 1, 2023 to January 31, 2024)”
described on page 6.

Table of contents
1. Results of Operations ................................................................................................................................... 2(1) Results of Operations ............................................................................................................................. 2(Summary of results for the reporting period) ....................................................................................... 2(Outlook for the fiscal period ending July 31, 2023) ............................................................................. 3
2. Financial Statements .................................................................................................................................... 9(1) Balance Sheets ....................................................................................................................................... 9(2) Statements of Income ........................................................................................................................... 11(3) Statements of Changes in Net Assets ................................................................................................... 12(4) Statements of Cash Distributions ......................................................................................................... 13(5) Statements of Cash Flows .................................................................................................................... 14(6) Notes to Going Concern Assumption ................................................................................................... 16(7) Notes to Significant Accounting Policies ............................................................................................. 16(8) Notes to Financial Statements .............................................................................................................. 17(9) Changes in Total Number of Investment Units Issued and Outstanding.............................................. 23
3. Reference Information ............................................................................................................................... 25(1) Status of Investment ............................................................................................................................. 25(2) Investment Assets................................................................................................................................. 25i)

Major investment securities ......................................................................................................... 25

ii)

Investment properties .................................................................................................................. 25iii) Other major investment assets ..................................................................................................... 26
(A)
(B)
(C)
(D)

Summary of the assets held ................................................................................................. 26
Summary of lease ................................................................................................................ 29
Capital expenditures of real estate held............................................................................... 35
Status of individual asset earnings ...................................................................................... 37

-1-

1.

Results of Operations(1)

Results of Operations(Summary of results for the reporting period)i) Brief history of the investment corporation
Mitsui Fudosan Logistics Park Inc. (“MFLP-REIT”), a Japanese real estate investment corporation, was established on March
4, 2016 under the Act on Investment Trusts and Investment Corporations of Japan (Act No. 198 of 1951, including
subsequent amendments; the “Investment Trust Act”), by Mitsui Fudosan Logistics REIT Management Co., Ltd. (the “AssetManagement Company”) as the organizer, and listed on the Real Estate Investment Trust Securities Market (J-REIT section)of Tokyo Stock Exchange, Inc. (“Tokyo Stock Exchange”) on August 2, 2016 (Securities Code: 3471). MFLP-REIT held
assets totaling 24 properties amounting to a total acquisition price of ¥342.2 billion as at the end of the fiscal period underreview.

ii) Investment environment and management performance
The Japanese economy, despite being affected by the rising prices of raw materials, is on a recovering trend as progress ismade in balancing measures to control the novel coronavirus disease (COVID-19) with economic activities. Capital
investment has been gradually increasing. The employment and income environments overall are gradually recovering.
Private consumption is on a moderate increase, despite the impact of COVID-19. In the logistics market, the 3PL business(Note) specializing in outsourced logistics services continues to expand, and e-commerce demand remains at high levels.
There is also a move aimed at streamlining logistics operations among retailers such as convenience stores and drug stores,
and while it cannot be denied that the spread of COVID-19 may have a negative effect on the future logistics market, thedemand for leading-edge logistics facilities is expected to continue to increase.
Under such circumstances, upholding a basic policy of pursuing maximization of unitholder value by achieving sustainablegrowth through formation of a strategic partnership in the logistics facilities business with Mitsui Fudosan Co., Ltd. (“Mitsui
Fudosan”), MFLP-REIT has conducted steady management of the 24 properties held as at the end of the fiscal period underreview (total acquisition price of ¥342.2 billion) to maintain an excellent occupancy rate of 99.8% for the entire portfolio asat the end of the fiscal period under review.
MFLP-REIT is promoting initiatives for ESG. In the fiscal period under review, MFLP-REIT has issued the Mitsui Fudosan
Logistics Park Inc. 2nd Unsecured Bonds (Special pari passu conditions among specified investment corporation bonds)(Green Bonds).
Note:“3PL business” refers to the third-party logistics business (business of providing logistics services to client companies outsourcing part or all of their
supply chain management functions).

iii) Overview of financing
In the fiscal period under review, MFLP-REIT executed debt financing of ¥1,400 million (long-term loans payable) inAugust 2022 and ¥2,000 million (long-term loans payable) in September 2022 to repay long-term loans payable; ¥4,700
million (short-term loans payable) in October 2022 to pay out distributions; and ¥4,600 million (short-term loans payable) inAugust 2022, ¥2,000 million (short-term loans payable) in October 2022, and ¥2,000 million (short-term loans payable) in
November 2022 to repay short-term loans payable. Also in the fiscal period under review, MFLP-REIT executed repaymentsof a total of ¥21,900 million (short-term loans payable of ¥18,500 million; long-term loans payable of ¥3,400 million) using
funds from part of short-term loans payable and internal reserve arising from depreciation, etc. Furthermore, in November
2022, MFLP-REIT raised ¥2,000 million through the issuance of 2nd Unsecured Bonds (Special pari passu conditions among
specified investment corporation bonds) (Green Bonds). As a result, at the end of the fiscal period under review, the balanceof interest-bearing debt was ¥120,700 million (current portion of long-term loans payable of ¥9,600 million; investment
corporation bonds of ¥5,000 million; long-term loans payable of ¥106,100 million) and the ratio of interest-bearing debt tototal assets (LTV ratio) was 35.9%.
The following is the rating obtained by MFLP-REIT as at the end of the fiscal period under review.
Credit rating agency

Rating details

OutlookJapan Credit Rating Agency, Ltd. (JCR)

Long-term issuer rating: AA

Stableiv) Summary of business performance and distributions
Through the management described above, business performance for the fiscal period under review resulted in operating
revenues of ¥10,960 million, operating income of ¥4,504 million, ordinary income of ¥4,206 million, and net income of¥4,205 million.
In accordance with the distribution policy as defined in the Articles of Incorporation of MFLP-REIT, distributions for the
fiscal period under review shall be subject to application of special provisions for taxation of investment corporations (Article
67-15 of the Act on Special Measures Concerning Taxation). Based on this, MFLP-REIT declared the distribution of¥4,205,376,000, which is the integral multiple of the total number of investment units issued and outstanding (576,000 units)of unappropriated retained earnings. Accordingly, MFLP-REIT declared distribution of earnings per unit of ¥7,301.
In addition, in accordance with the distribution policy as defined in the Articles of Incorporation, MFLP-REIT shall execute
distributions of cash in excess of retained earnings each fiscal period on a continuous basis in principle (Note 1). Based on
this, MFLP-REIT declared the distribution of ¥633 million, which is the amount almost equivalent to the remaining amount-2-

after subtracting the distribution of earnings of ¥4,205 million from ¥4,839 million or 70% of FFO (Note 2), as return ofcapital applicable to distribution reducing unitholders’ capital for tax purposes. Accordingly, MFLP-REIT declared
distribution in excess of retained earnings per unit of ¥1,100.
Notes:
1.

In addition to the continuous distributions in excess of retained earnings, in cases where the distribution amount for distribution per unit isexpected to temporarily decline by a certain degree due to such factors as the procurement of funds through the issuance of new investment units,etc., a temporary distribution in excess of retained earnings may be executed by MFLP-REIT in order to standardize the amount of the
distribution per unit.
However, from the perspective of continuing to maintain owned assets for a long period of time, in cases where the above distribution of cash is
executed, and where the amount equal to the equivalent of depreciation and amortization for the applicable operating period minus the amount of
the distribution in excess of retained earnings for the applicable operating period falls below the standard amount of capital for building
maintenance (Note 3), the distribution in excess of retained earnings will be decreased by a maximum amount that the distribution amount does
not fall below the total equivalent of the distribution of earnings, and this may lead to cases where distribution in excess of retained earnings will
not be executed.
In addition, from the perspective of continuing stable financial management, distributions in excess of retained earnings will not be executed incases where the appraisal LTV ratio (Note 4) exceeds 60% in the event that the above distribution of cash is executed.

2.

“FFO” is an acronym for funds from operations and refers to the figure calculated by adding depreciation and amortization of rental properties forthe applicable operating period and loss on retirement of non-current assets to net income (excluding gain (loss) on sales of real estate properties,etc.).

3.

“Standard amount of capital for building maintenance” refers to the amount that results by multiplying the six-month-equivalent amount of the
12-year-average amount of the amount equivalent to the capital expenditure amount noted in the Building Condition Evaluation Report by two.

4.

Appraisal LTV ratio (%) = A/B × 100 (%)
A = Total interest-bearing debt on the applicable accounts settlement date
B = Total assets on the balance sheet on the applicable accounts settlement date – Amount of book value after depreciation of owned real estateon the applicable accounts settlement date + Appraisal value of owned real estate on the applicable accounts settlement date

(Outlook for the fiscal period ending July 31, 2023)
i) Future management policy and issues to be addressed
MFLP-REIT has established a strategic and collaborative partnership in the logistics facilities business with Mitsui Fudosan,
under which it seeks to maximize unitholder value by focusing investments primarily in logistics facilities as a basic policy.
Based on this policy, in addition to expansion of asset size for the purpose of further stabilizing the revenues base continuing
into future periods, MFLP-REIT will perform stable and efficient financial management by addressing changes in theexternal and internal environment to maximize unitholder value.
(A)

External growth strategy“External growth based on the growth potential and extensive pipeline of Mitsui Fudosan’s logistics facilities business”
MFLP-REIT aims for continuous growth by focusing investments on MFLP facilities (leading-edge logistics facilities
with Mitsui Fudosan quality (Note 1)), utilizing the right of first look and preferential negotiation based on “Right offirst look and preferential negotiation agreement” that was concluded with Mitsui Fudosan, which boasts high growthin the logistics facilities business, and the Asset Management Company.
Notes:(B)

1.

Based on the principles of “harmonious coexistence” and “linking diverse values” set by the Mitsui Fudosan Group (Note 2), Mitsui
Fudosan’s logistics facilities business keeps up efforts aimed at not only providing logistics facilities space but also creating value beyond
conventional boundaries. In order to achieve this, MFLP-REIT incorporates the highly-specialized and advanced management, operational
know-how, etc. accumulated in the office building business, retail properties business, etc. and the know-how, etc. accumulated throughurban development as a comprehensive real estate company. It also captures the diverse needs that change with the times of the various
stakeholders associated with logistics facilities (tenants, people working at the logistics facilities, and local community). MFLP-REIT
refers to the quality of logistics facilities realized through these efforts by the name “Mitsui Fudosan quality.”2.

“Mitsui Fudosan Group” refers to a corporate group comprising Mitsui Fudosan, and Mitsui Fudosan’s consolidated subsidiaries and
Mitsui Fudosan’s associates accounted for using the equity method. The same shall apply hereinafter.

Internal growth strategy“Stable management utilizing the Platform (business foundation) and client network of the Mitsui Fudosan Group”
MFLP-REIT aims for stable management by utilizing the Platform (business foundation) and client network that the
Mitsui Fudosan Group has developed over years as a comprehensive real estate company.

(C)

Financial strategy“Financial and cash management with an emphasis on stability and efficiency”
MFLP-REIT will manage its finances stably, including funds raised through the issuance of new investment units andborrowings, and at the same time it will aim to secure both stable distribution levels and efficient cash management for
distributions through continuous distributions in excess of retained earnings (return of capital) based on cash flow(FFO).

-3-ii) Significant subsequent events(A)

Acquisitions of properties
MFLP-REIT acquired the trust beneficiary interests for the following asset on February 1, 2023.
Acquisition price(millions of yen)
(Note)

Category

Property no.

Property nameLocation

Logistics facilities

L-23

MFLP Osaka Katano

Katano-shi, Osaka

16,500Note:“Acquisition price” is the purchase price of trust beneficiary interest as set forth in the agreement for sale and purchase of trust beneficiary interest for theacquired asset (excluding the various costs required in the acquisition), rounded down to the nearest million yen.

(B)

Borrowing of funds
MFLP-REIT has borrowed the following funds to apply to part of the acquisition funds and related expenses for thereal estate trust beneficiary interests in the above “(A) Acquisitions of properties.”(1) Short-term loans payable
Borrowing amount(millions of yen)

LenderInterest rate

Drawdown date

Repayment date

Repayment method

Collateral

Mizuho Bank, Ltd.

2,500

0.0262%February 1, 2023

February 15, 2023

Bullet repayment

UnsecuredNon-guaranteed

Sumitomo Mitsui Trust Bank,
Limited1,000

0.1018%February 1, 2023

March 1, 2023
(Note)

Bullet repayment

UnsecuredNon-guaranteed

The Bank of Fukuoka, Ltd.

3,000

0.1018%February 1, 2023

March 1, 2023
(Note)

Bullet repayment

UnsecuredNon-guaranteed

Total borrowing amount

6,500

–

–

–

–

–

Note:
On the repayment date, MFLP-REIT carried out refinancing for the same amount as the borrowing amount of the funds borrowed on February 1, 2023 (interest
rate: 0.1082%, repayment date: April 3, 2023, bullet repayment, and unsecured/non-guaranteed).

(2) Long-term loans payable
Borrowingamount(millions ofyen)Interest rate
(Note 1)

Sumitomo Mitsui Banking
Corporation

500

0.50%
(Note 2)

Sumitomo Mitsui Trust Bank,
Limited500

0.5875%(Note 2)

MUFG Bank, Ltd.

300

0.5375%(Note 2)The Norinchukin Bank

500

LenderSyndicate of 21 banks Daishi Hokuetsu Bank, Ltd.
arranged by
The Yamagata Bank, Ltd.
Sumitomo Mitsui
Banking Corporation Kiraboshi Bank, Ltd.
(Sustainability Linked The Bank of Fukuoka, Ltd.
Loan)
The Hachijuni Bank, Ltd.

400
400

Repayment date
(Note 5)

Repayment
methodCollateral

February 1, 2023 February 1, 2027

Bulletrepayment

UnsecuredNon-guaranteed

0.9663%(Note 3)February 1, 2023 February 1, 2030

Bulletrepayment

UnsecuredNon-guaranteed

1.0175%(Note 3)February 1, 2023 August 1, 2030

Bulletrepayment

UnsecuredNon-guaranteed

1.2265%(Note 4)

February 1, 2023 August 2, 2032

Bulletrepayment

UnsecuredNon-guaranteed

Drawdown date

300
500
500

The Chiba Bank, Ltd.

400

The Joyo Bank, Ltd.

400

The Keiyo Bank, Ltd.

400

Shinkin Central Bank

500

Momiji Bank, Ltd.

400

The Bank of Kyoto, Ltd.

400

-4-

Borrowing
amount(millions ofyen)

LenderSumitomo Mitsui Banking
Corporation

400

Mizuho Bank, Ltd.

500

Mizuho Trust & Banking Co.,
Syndicate of 21 banks Ltd.
arranged by
The Yamaguchi Bank, Ltd.
Sumitomo Mitsui
Banking Corporation SBI Shinsei Bank, Limited(Sustainability Linked
Sumitomo Life Insurance
Loan)
Company
Nippon Life Insurance
Company

Interest rate
(Note 1)

Drawdown date

Repayment date
(Note 5)

Repayment
method

1.2713%(Note 4)

February 1, 2023 February 1, 2033

Bulletrepayment

Collateral

500
500
500

UnsecuredNon-guaranteed

500
500

Kiraboshi Bank, Ltd.

200

Total borrowing amount

10,000

–

–

–

–

–

Notes:
1.

The first interest payment date is the last day of July 2023, and thereafter the interest payment date will be the last day of January and July until andincluding the repayment date. (If each interest payment date is not a business day, such interest payment date shall be on the next business day. Provided,
however, that such interest payment date shall be on the preceding business day if such next business day falls into the next month.) In addition, since theborrowing is financed by a Sustainability Linked Loan, the interest rate from the timing of the determination to the repayment date will change according
to the achievement status of the Sustainability Performance Target (“SPT”) as described in (Note 2) through (Note 4).

2.

SPT: 60% reduction of CO2 emission intensity borne by owners (Scope 1 and 2) in logistics facilities as of 2024 compared to 2016
Applicable period: From the beginning of the first interest calculation period that falls after the end of July 2025 until the principal repayment date(i) If emissions intensity is reduced by 60% (Achievement of SPT):
Initial interest rate - 0.01%(ii) If the emissions intensity increases compared to 2016 (SPT Not Achieved):
Initial interest rate + 0.01%
If neither (i) nor (ii) applies (SPT Not Achieved): Initial interest rate

3.

SPT: 90% reduction of CO2 emission intensity borne by owners (Scope 1 and 2) in logistics facilities as of 2027 compared to 2016
Applicable period: From the beginning of the first interest calculation period that falls after the end of July 2028 until the principal repayment date(i) If emissions intensity is reduced by 90% (Achievement of SPT):
Initial interest rate - 0.02%(ii) If the emissions intensity increases compared to 2016 (SPT Not Achieved):
Initial interest rate + 0.02%
If neither (i) nor (ii) applies (SPT Not Achieved): Initial interest rate

4.

SPT: 100% reduction of CO2 emission intensity borne by owners (Scope 1 and 2) in logistics facilities as of 2030 compared to 2016
Applicable period: From the beginning of the first interest calculation period that falls after the end of July 2031 until the principal repayment date(i) If emissions intensity is reduced by 100% (Achievement of SPT):
Initial interest rate - 0.02%(ii) If the emissions intensity increases compared to 2016 (SPT Not Achieved):
Initial interest rate + 0.02%
If neither (i) nor (ii) applies (SPT Not Achieved): Initial interest rate5.

If each repayment date is not a business day, such repayment date shall be on the next business day. Provided, however, that such repayment date shall beon the preceding business day if such next business day falls into the next month.

iii) Forecast for the fiscal period
MFLP-REIT’s forecasts for the fiscal period ending July 31, 2023 (February 1, 2023 to July 31, 2023) and the fiscal period
ending January 31, 2024 (August 1, 2023 to January 31, 2024) are as follows:(% figures denote rate of period-on-period change)
Distributions
Distributions
per unit
Distributions
per unit(excluding
in excess of(including
Net income
distributions
retained
distributions
in excess of earnings per in excess ofretained
unit
retainedearnings)
earnings)

Operating revenues

Operating income

Ordinary income

Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen%

Fiscal period ending
July 31, 2023

11,587

5.7

4,584

1.8

4,234

0.7

4,233

0.7

7,349

1,423

8,772

Fiscal period ending
January 31, 2024

11,655

0.6

4,548

(0.8)

4,195

(0.9)

4,194

(0.9)

7,283

1,452

8,735

Yen

Yen

Yen

For the assumptions for these forecasts, please refer to “Forecast Assumptions for the Fiscal Period Ending July 31, 2023
(February 1, 2023 to July 31, 2023) and the Fiscal Period Ending January 31, 2024 (August 1, 2023 to January 31, 2024)”
described on page 6.
Notes:
1.

The above forecasts are the current estimations calculated based upon certain assumptions. Future additional acquisitions or sales of real estate,real estate market trends, interest rate fluctuation and other situation surrounding MFLP-REIT may cause differences from the assumptions. As aresult, actual operating revenues, operating income, ordinary income, net income, distributions per unit (excluding distributions in excess ofretained earnings) and distributions in excess of retained earnings per unit may vary from these forecasts. Furthermore, these forecasts are in no
way a guarantee of amounts of distributions or distributions in excess of retained earnings.

2.

Monetary amounts have been rounded down to the display unit, and percentage values have been rounded to the nearest tenth of a percent.

-5-Forecast Assumptions for the Fiscal Period Ending July 31, 2023 (February 1, 2023 to July 31, 2023) and the Fiscal Period Ending
January 31, 2024 (August 1, 2023 to January 31, 2024)
Item

Assumptions

Calculation period The fiscal period ending July 31, 2023 (the 14th fiscal period) (February 1, 2023 to July 31, 2023) (181days)
 The fiscal period ending January 31, 2024 (the 15th fiscal period) (August 1, 2023 to January 31, 2024)(184 days)

Investment assets

 It is assumed that (i) the total number of the properties held by MFLP-REIT will be 25, which includes
the trust beneficiary interests in real estate held by MFLP-REIT as of January 31, 2023 (total of 24
properties), with the acquisition of the trust beneficiary interests in real estate related to MFLP Osaka
Katano (“Assets Acquired”) on February 1, 2023, and that (ii) the assets held will continue to be held as
there will be no disposition, etc. of them until the end of the fiscal period ending January 31, 2024 and(iii) there will be no acquisition of new properties other than the Assets Acquired. However, the actual
number of investment assets may change due to the acquisition of new properties or the disposition, etc.
of Assets Held.

Operating revenues

 Leasing business revenues related to the Assets Held are calculated based on lease contracts alreadyexecuted that are in effect as of today and other factors, including tenant movements and market trends.
 Calculations assume that there will be no gain or loss on sale of real estate, etc.

Operating expenses

 Leasing business expenses, which are major operating expenses, other than depreciation have been
calculated by taking into consideration changes to expenses, with the historical results used as abenchmark.
 Depreciation is calculated using the straight-line method. Depreciation is expected to be ¥2,985 million
for the fiscal period ending July 31, 2023 and ¥2,993 million for the fiscal period ending January 31, 2024.
 Leasing business income (excluding gain on sale of real estate, etc.) after the deduction of leasing business
expenses (including depreciation) is expected to be ¥5,842 million for the fiscal period ending July 31,
2023 and ¥5,801 million for the fiscal period ending January 31, 2024.
 In general, when selling and buying real estate, etc., property taxes, city planning taxes and other charges
levied on new properties acquired are settled at the time of acquisition by prorating for the period heldwith the present owner. However, as MFLP-REIT includes an amount equivalent to the settled amount in
the acquisitions costs for the property, the amount is not recorded as expenses during the operating periodthat includes the day on which the property is acquired. As such, for expenses relating to property taxes,
city planning taxes and other charges for the assets acquired in the fiscal period ended July 31, 2022, theseproperty taxes, city planning taxes and other charges for fiscal year 2023 will be expensed from the fiscal
period ending July 31, 2023, and for expenses relating to property taxes, city planning taxes and othercharges for the Assets Acquired, these property taxes, city planning taxes and other charges for fiscal year
2024 will be expensed from the fiscal period ending July 31, 2024.
 Repair expenses for buildings are expected to be ¥176 million for the fiscal period ending July 31, 2023
and ¥140 million for the fiscal period ending January 31, 2024 based on the medium- to long-term repair
plan established by the Asset Management Company. However, given the possibility that repair expenses
may increase or additional expenses may be incurred due to difficult-to-forecast factors, the actual results
may differ significantly from the forecast amount.

Non-operating
expenses Interest expenses, interest expenses on investment corporation bonds and other expenses related toborrowings are expected to be ¥319 million for the fiscal period ending July 31, 2023 and ¥331 million for
the fiscal period ending January 31, 2024.
 Investment corporation bond issuance costs shall be amortized on a monthly basis over a ten-year period
starting from the month of issuance. Amortization of investment corporation bond issuance costs is
expected to be ¥1 million for the fiscal period ending July 31, 2023 and ¥1 million for the fiscal period
ending January 31, 2024.
 The expenses for the issuance of new investment units shall be amortized on a monthly basis over a threeyear period starting from their month of issuance. Amortization of investment unit issuance expenses is
expected to be ¥28 million for the fiscal period ending July 31, 2023 and ¥19 million for the fiscal period
ending January 31, 2024.

 It is assumed that total interest-bearing debt will be ¥135,700 million at the end of the fiscal period ending
July 31, 2023 and ¥132,700 million at the end of the fiscal period ending January 31, 2024.
 The loan to value (LTV) ratio is expected to be 39.0% at the end of the fiscal period ending July 31, 2023
Interest-bearing debt
and 38.5% at the end of the fiscal period ending January 31, 2024. The following formula is used to
calculate LTV ratio.
LTV ratio = Total interest-bearing debt ÷ Total assets × 100

-6-

Item

Assumptions

Investment units It is assumed that the number of investment units issued and outstanding is 576,000 units as of the date ofthis document and there will be no change in the number of investment units by issuing new investment
units, etc. through to the end of the fiscal period ending January 31, 2024.
 Distributions per unit (excluding distributions in excess of retained earnings) and distributions in excess
of retained earnings per unit are calculated based on the 576,000 units of expected total number ofinvestment units issued and outstanding at the end of the fiscal period ending July 31, 2023 and the fiscal
period ending January 31, 2024.

 Distributions per unit (excluding distributions in excess of retained earnings) is calculated in accordanceDistributions per unit
with MFLP-REIT’s policy on distributions of cash described in its Articles of Incorporation and assuming(excludingthat the entire amount of earnings will be distributed.
distributions in However, distributions per unit (excluding distributions in excess of retained earnings) may change for aexcess of retained
variety of reasons, including changes in MFLP-REIT’s investment assets, changes in leasing businessearnings)
revenues due to tenant movements, etc., and/or the occurrence of unforeseen repairs and maintenance, etc.

Distributions inexcess of retained
earnings per unit Distributions in excess of retained earnings per unit is calculated in accordance with MFLP-REIT’s policy
on distributions of cash described in its Articles of Incorporation and the asset management guidelines forthe asset management company.
 MFLP-REIT emphasizes cash flow generated by asset management, such as the leasing of investment
assets, excluding gain or loss on sale of real estate. For the time being, it is MFLP-REIT’s policy to
calculate the amount distributable, including distributions in excess of retained earnings, to be around 70%
of FFO up to a maximum of 75% of FFO and continually distribute the amount of this that exceeds theamount of distributions of earnings, within a scope where financial stability can be secured and owned
assets can be maintained for a long duration of time, as distributions in excess of retained earnings
determined based on a comprehensive judgment of the situation (the “continuous distributions in excess
of retained earnings”). However, the continuous distributions in excess of retained earnings may beterminated given the economic environment, trends in the real estate market or leasing market, the situation
surrounding owned assets, the percentage of distributions in excess of retained earnings accounted for in
depreciation during MFLP-REIT’s applicable operating period (Note 1), and the situation pertaining to
LTV level and retained cash and deposits, among other factors.
 In addition to the continuous distributions in excess of retained earnings, in cases where the distribution
amount for distributions per unit (including distributions in excess of retained earnings) is expected totemporarily decline by a certain degree due to such factors as the procurement of funds through theissuance of new investment units, etc., a temporary distribution in excess of retained earnings may be
executed in order to standardize the amount of the distributions per unit (including distributions in excess
of retained earnings).
 However, from the perspective of continuing to maintain owned assets for a long period of time, in cases
where the above distribution of cash is executed, and where the amount equal to the equivalent ofdepreciation and amortization for the applicable operating period minus the amount of the distribution inexcess of retained earnings for the applicable operating period falls below the standard amount of capitalfor building maintenance (Note 2), the distribution in excess of retained earnings will be decreased by amaximum amount that the distribution amount does not fall below the total equivalent of the distributionof earnings, and this may lead to cases where distribution in excess of retained earnings will not be
executed.
 In addition, from the perspective of continuing stable financial management, distributions in excess ofretained earnings will not be executed in cases where the appraisal LTV ratio (Note 3) exceeds 60% in
the event that the above distribution of cash is executed.
 The total amount of distributions in excess of retained earnings is expected to be ¥819 million for the
fiscal period ending July 31, 2023 and ¥836 million for the fiscal period ending January 31, 2024 basedon the above calculation. In addition, we expect to make a distribution in excess of earnings of ¥6
million for the fiscal period ending July 31, 2023 and the fiscal period ending January 31, 2024 asallowance for temporary difference adjustments, which takes into account the impact on distributions of
the tax discrepancy in excess of income associated with the amortization of fixed -term land leasehold
rights for business purposes, but this amount is included in the above ¥819 million and ¥836 million.
Notes:
1.

The maximum will be an amount equivalent to 60% of the depreciation for the applicable operating period.

2.

“Standard amount of capital for building maintenance” refers to the amount that results by multiplying the six-monthequivalent amount of the 12-year-average amount of the amount equivalent to the capital expenditure amount noted in the
Building Condition Evaluation Report by two.

3.

Appraisal LTV ratio (%) = A/B × 100 (%)
A = Total interest-bearing debt on the applicable accounts settlement date
B = Total assets on the balance sheet on the applicable accounts settlement date – Amount of book value after depreciation of
owned real estate on the applicable accounts settlement date + Appraisal value of owned real estate on the applicableaccounts settlement date

-7-

Item

Assumptions

Other It is assumed that there will be no change in legislation, taxation, accounting standards, listing regulations
imposed by the Tokyo Stock Exchange, rules and requirements imposed by The Investment Trusts
Association, Japan, etc. that will impact the aforementioned forecasts.
 It is assumed that there will be no unforeseen material changes in general economic trends, real estatemarket conditions, etc.

-8-

2.

Financial Statements(1)

Balance Sheets(Thousands of yen)
12th period(As of July 31, 2022)

13th period(As of January 31, 2023)

AssetsCurrent assets
Cash and deposits

686,037

1,966,275

6,894,168

7,685,210

Operating accounts receivable276,536

57,158Prepaid expenses

50,19930,381

Cash and deposits in trust

Consumption taxes receivable
Other
Total current assets

1,848,475

–

3,727

2,631

9,759,145

9,741,656

171,546,526

171,717,506

Non-current assets
Property and equipment
Buildings in trust
Accumulated depreciation(14,383,037)(16,727,005)

Buildings in trust, net

157,163,488

154,990,500

5,431,090

5,456,758

Accumulated depreciation(1,399,230)(1,611,394)

Structures in trust, net

4,031,859

3,845,364

Machinery and equipment in trust

4,227,700

4,229,270

Accumulated depreciation(1,207,638)(1,352,198)

Machinery and equipment in trust, net

3,020,062

2,877,071

Vehicles and transport equipment in trust

4,021

4,021

Accumulated depreciation(2,570)(2,890)

Vehicles and transport equipment in trust, net

1,450

1,131

Tools, furniture and fixtures in trust

83,733

113,510

Accumulated depreciation(22,398)(29,317)Structures in trust

Tools, furniture and fixtures in trust, net

61,33484,192

164,824,737

164,824,737–

47,314

329,102,932

326,670,312

Software

1,164

989

Total intangible assets

1,164

989

Lease and guarantee deposits

10,00010,000Long-term prepaid expenses

251

12,965

Deferred tax assets

16

9Land in trust
Construction in progress in trust
Total property and equipment
Intangible assets

Investments and other assets

Other

1,050

1,050

Total investments and other assets

11,31824,025329,115,415

326,695,327

Investment unit issuance expenses

119,987

76,153

Investment corporation bond issuance costs

22,187

38,231

Total non-current assets
Deferred assets

Total deferred assets
Total assets-9-142,174

114,385

339,016,735

336,551,369

(Thousands of yen)
12th period(As of July 31, 2022)

13th period(As of January 31, 2023)

Liabilities
Current liabilities
Operating accounts payable

364,232

791,032

Short-term loans payable

5,200,000–

Current portion of long-term loans payable

9,000,000

9,600,000

Accounts payable

1,173,057

1,257,985

Accrued expenses

10,523

11,287

950

805

–

789,256

1,829,470

1,851,042

3,660

3,252

17,581,895

14,304,662

Income taxes payable
Accrued consumption taxes
Advances received
Other
Total current liabilities
Non-current liabilities
Investment corporation bonds
Long-term loans payable
Tenant leasehold and security deposits in trust
Other
Total non-current liabilities
Total liabilities

3,000,000

5,000,000

106,700,000

106,100,000

6,897,828

6,906,456

–

9,340

116,597,828

118,015,796

134,179,724

132,320,458

Net assets
Unitholders’ capital
203,299,818

203,299,818

Deduction from unitholders’ capital(2,628,115)(3,274,387)

Unitholders’ capital, net

200,671,702

200,025,430

Unappropriated retained earnings (undisposed
loss)

4,165,308

4,205,480

Total retained earnings

4,165,308

4,205,480

204,837,011

204,230,910

204,837,011

204,230,910

339,016,735

336,551,369

Unitholders’ capital

Retained earnings

Total unitholders’ equity
Total net assets
Total liabilities and net assets- 10 -

(2)Statements of Income(Thousands of yen)
12th period(From February 1, 2022
to July 31, 2022)

13th period(From August 1, 2022
to January 31, 2023)

Operating revenues
Property-related revenues*1

10,054,397*1

10,245,890

Other revenues related to property leasing*1553,416*1

714,964

10,607,814

Total operating revenues

10,960,854

Operating expenses
Property-related expenses*1

5,011,762*1

5,271,867

1,023,034

1,067,813

Asset custody fee

14,72016,950Administrative service fees

20,051

20,217

Directors’ compensations

6,600

6,600

Audit fee

10,00010,000

Other operating expenses

62,29162,472

Total operating expenses

6,148,460

6,455,922

4,459,354

4,504,931

Interest income

33

33

Insurance income

97–Interest on refund

–

2,446

Other

316

669

Total non-operating income

447

3,149

Asset management fee

Operating income
Non-operating income

Non-operating expenses
216,613224,203

Interest expenses on investment corporation bonds

7,438

10,616

Amortization of investment corporation bond issuance
costs

1,287

1,638

Amortization of investment unit issuance expenses

43,834

43,834

Offering costs associated with issuance of investment
units

16,657–

Borrowing related expenses

6,450

17,553

Other

1,400

4,189

Interest expenses

293,682

302,036

Ordinary income

4,166,118

4,206,044

Income before income taxes

4,166,118

4,206,044

Income taxes - current

955

810

Income taxes - deferred

3

6

Total non-operating expenses

Total income taxes
Net income
Retained earnings brought forward
Unappropriated retained earnings (undisposed loss)- 11 -

959

817

4,165,159

4,205,227

149

252

4,165,308

4,205,480

(3)Statements of Changes in Net Assets
12th period (From February 1, 2022 to July 31, 2022)(Thousands of yen)
Unitholders’ capital
Unitholders’ capital

Balance at
beginning of
periodUnitholders’capitalDeduction fromunitholders’capital185,362,234(2,089,909)

Retained earnings
Total unitholders’equityTotal net assets

187,013,357

187,013,357

17,937,584

17,937,584

17,937,584(538,206)(538,206)(538,206)

Unitholders’capital, net

Unappropriatedretained earnings(undisposed loss)

Total retained
earnings

183,272,324

3,741,033

3,741,033

Changes of items
during period
Issuance of new
investment units

17,937,584

Distribution inexcess ofretained earnings(538,206)

Dividends ofearnings(3,740,884)(3,740,884)(3,740,884)(3,740,884)

Net income

4,165,159

4,165,159

4,165,159

4,165,159

Total changes of
items during
period17,937,584(538,206)

17,399,378

424,275

424,275

17,823,653

17,823,653

Balance at end of
period203,299,818(2,628,115)

200,671,702

4,165,308

4,165,308

204,837,011

204,837,011

13th period (From August 1, 2022 to January 31, 2023)(Thousands of yen)
Unitholders’ capital
Unitholders’ capital

Balance at
beginning of
periodUnitholders’capitalDeduction fromunitholders’capital203,299,818

Retained earnings
Unitholders’capital, net

Unappropriatedretained earnings(undisposed loss)

Total retained
earnings(2,628,115)

200,671,702

4,165,308

4,165,308(646,272)(646,272)

Total unitholders’equityTotal net assets

204,837,011

204,837,011(646,272)(646,272)

Changes of items
during period
Distribution inexcess ofretained earnings
Dividends ofearnings(4,165,056)(4,165,056)(4,165,056)(4,165,056)

Net income

4,205,227

4,205,227

4,205,227

4,205,227

Total changes of
items during
period–(646,272)(646,272)

40,17140,171(606,100)(606,100)

Balance at end of
period203,299,818(3,274,387)

200,025,430

4,205,480

4,205,480

204,230,910

204,230,910- 12 -

(4)Statements of Cash Distributions(Yen)
12th period(From February 1, 2022
to July 31, 2022)

I

Unappropriated retained earnings

II

Distributions in excess of retained
earnings

4,165,308,840

Deduction from unitholders’ capital
III Distributions(Distribution per unit)

13th period(From August 1, 2022
to January 31, 2023)
4,205,480,204

646,272,000

633,600,000

4,811,328,000

4,838,976,000(8,353)(8,401)

4,165,056,000

4,205,376,000(7,231)(7,301)

Of which: Distribution in excess ofretained earnings

646,272,000

633,600,000(Of which: Distribution in excess
of retained earnings per unit)(1,122)(1,100)252,840

104,204

Of which: Distribution of earnings(Of which: Distribution of
earnings per unit)

IV Retained earnings carried forward

In accordance with the distribution policy
as defined in the Article 35, Paragraph 1of the Articles of Incorporation of MFLPREIT, distributions shall be in excess of
the amount equivalent to 90% of theamount of earnings available for dividends
defined in the Article 67-15 of the Act on
Special Measures Concerning Taxation.
Based on this policy, for the fiscal period
ended July 31, 2022, MFLP-REIT
declared a distribution amount of¥4,165,056,000, which is the maximum
value of the integral multiple of the total
number of investment units issued andoutstanding at the end of the period inamounts not in excess of unappropriatedretained earnings.
Furthermore, based on the distribution
policy as defined in the Article 35,
Method of calculating distribution amount
Paragraph 2 of the Articles ofIncorporation, MFLP-REIT executes the
distribution of cash in excess of retained
earnings (return of capital applicable to
distribution reducing unitholders’ capitalfor tax purposes) each fiscal period on acontinuous basis.
Based on this policy, for the fiscal period
ended July 31, 2022, MFLP-REIT
declared the distribution of ¥646,272,000,
which is calculated as being almost
equivalent to the remaining amount after
subtracting the distribution of earnings of¥4,165,056,000 from ¥4,811,599,188 or
70% of FFO (funds from operation), as
distribution of cash in excess of retained
earnings (return of capital applicable to
distribution reducing unitholders’ capitalfor tax purposes).

In accordance with the distribution policy
as defined in the Article 35, Paragraph 1of the Articles of Incorporation of MFLPREIT, distributions shall be in excess of
the amount equivalent to 90% of theamount of earnings available for dividends
defined in the Article 67-15 of the Act on
Special Measures Concerning Taxation.
Based on this policy, for the fiscal period
ended January 31, 2023, MFLP-REIT
declared a distribution amount of¥4,205,376,000, which is the maximum
value of the integral multiple of the total
number of investment units issued andoutstanding at the end of the period inamounts not in excess of unappropriatedretained earnings.
Furthermore, based on the distribution
policy as defined in the Article 35,
Paragraph 2 of the Articles ofIncorporation, MFLP-REIT executes the
distribution of cash in excess of retained
earnings (return of capital applicable to
distribution reducing unitholders’ capitalfor tax purposes) each fiscal period on acontinuous basis.
Based on this policy, for the fiscal period
ended January 31, 2023, MFLP-REIT
declared the distribution of ¥633,600,000,
which is calculated as being almost
equivalent to the remaining amount after
subtracting the distribution of earnings of¥4,205,376,000 from ¥4,839,210,555 or
70% of FFO (funds from operation), as
distribution of cash in excess of retained
earnings (return of capital applicable to
distribution reducing unitholders’ capitalfor tax purposes).

Note:
MFLP-REIT may execute cash distribution in excess of distributable amount, in an amount it determines within a scope not to exceed the limit stipulated in therules and requirements imposed by the Investment Trusts Association, Japan, when MFLP-REIT considers it appropriate, given such factors as economic
environment, trends in the real estate market or leasing market, the situation surrounding owned assets and the financial condition.
In addition, in case that any cash distribution fails to meet the statutory requirements for special tax treatment for investment corporations, MFLP-REIT may
execute cash distribution in excess of distributable amount, in an amount it determines to meet the statutory requirements.

- 13 -

(5)Statements of Cash Flows(Thousands of yen)
12th period(From February 1, 2022
to July 31, 2022)

13th period(From August 1, 2022
to January 31, 2023)

Cash flows from operating activities
Income before income taxes

4,166,118

4,206,044

Depreciation and amortization

2,708,728

2,708,105

Amortization of investment corporation bond issuance
costs

1,287

1,638

Amortization of investment unit issuance expenses

43,834

43,834

Interest income

(33)

(33)

Interest expenses

224,051

234,820

Insurance income

(97)

–

(176,369)

219,288(889)

19,818Decrease (increase) in long-term prepaid expenses

19,958(12,713)

Decrease (increase) in consumption taxes receivable(1,848,475)

1,848,475

Increase (decrease) in accrued consumption taxes(678,420)

789,256

Increase (decrease) in operating accounts payable(303,620)

415,229

Increase (decrease) in accounts payable

113,363

70,654

Increase (decrease) in advances received

Decrease (increase) in operating accounts receivable
Decrease (increase) in prepaid expenses

251,566

21,571Other, net(329)

10,028Subtotal

4,520,674

10,576,019

33

33(221,428)(234,056)8

89(1,030)(955)

4,298,256

10,341,129(45,158,575)(251,018)(307,009)(68,797)

1,157,542

77,424(44,308,041)(242,391)

Proceeds from short-term loans payable

23,800,000

13,300,000

Repayments of short-term loans payable(18,600,000)(18,500,000)

Proceeds from long-term loans payable

23,200,000

3,400,000

Repayments of long-term loans payable(1,900,000)(3,400,000)–

2,000,000–(16,106)

Proceeds from issuance of investment units

17,853,035(209)

Payment of distribution of earnings

Interest income received
Interest expenses paid
Insurance income received
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property and equipment in trust
Repayments of tenant leasehold and security deposits
in trust
Proceeds from tenant leasehold and security deposits intrust
Net cash provided by (used in) investing activities
Cash flows from financing activities

Proceeds from issuance of investment corporation
bonds
Payments for investment corporation bond issuancecosts(3,740,535)(4,164,938)

Payment of distribution in excess of retained earnings(538,097)(646,204)

Net cash provided by (used in) financing activities

40,074,403(8,027,458)- 14 -

(Thousands of yen)
12th period(From February 1, 2022
to July 31, 2022)

13th period(From August 1, 2022
to January 31, 2023)

Net increase (decrease) in cash and cash equivalents

64,6182,071,279

Cash and cash equivalents at beginning of period

7,515,587

7,580,206

Cash and cash equivalents at end of period

7,580,206

9,651,485- 15 -

(6)Notes to Going Concern Assumption
Not applicable.

(7)1.

Notes to Significant Accounting Policies
Method of depreciation andamortization of non-current
assets(1)

Property and equipment (including those in trust)
Depreciation of property and equipment is calculated using the straight-line method
over the estimated useful lives. The useful lives of principal property and equipment
are as follows:
Buildings:
Structures:
Machinery and equipment:
Vehicles:Tools, furniture and fixtures:(2)

2 to 59 years
8 to 50 years
8 to 17 years
4 to 7 years
3 to 15 years

Intangible assets
Amortization of intangible assets is calculated using the straight-line method over theestimated useful lives.
Amortization of software for internal use is calculated using the straight-line method
over the estimated useful lives of five years at MFLP-REIT.

2.

Accounting method for deferred (1)assets(2)

Investment unit issuance expenses
Investment unit issuance expenses are amortized using the straight-line method over athree-year period.
Investment corporation bond issuance costs
Investment corporation bond issuance costs are amortized using the straight-line
method over the period until maturity.

3.

Recognition of revenues andexpenses(1)

Recognition standard for revenues
Details of the main performance obligations related to MFLP-REIT’s revenues fromcontracts with customers and the usual time at which the performance obligations are
fulfilled (the usual time at which revenues are recognized) are as follows.
(i)
Utilities charges
For utilities charges, revenues are recognized based on the supply of electricity, water,and so forth to the lessee, who is the customer, in accordance with the lease contract
for the real estate, etc. and the appended agreement details. Utilities charges arepresented under “other revenues related to property leasing” in the statements ofincome, and in the breakdown of “other revenues related to property leasing”
provided in [Notes to Statements of Income] they are presented as “utilities charges.”(2)

Taxes on property and equipment
With respect to property taxes, city planning taxes and depreciable asset taxes
imposed on real estate properties or trust beneficiary interests in real estate, of the tax
amount assessed and determined, the amount corresponding to the relevant fiscal
period is accounted for as property-related expenses.
Of the amounts paid for the acquisitions of real estate properties or trust beneficiaryinterests in real estate, the amount equivalent to property-related taxes in the initial
year borne by the investment corporation is capitalized as part of the acquisition costof the relevant property instead of being charged as expenses.
For the 12th period, the amount of ¥302,047 thousand was included in acquisition
costs of real estate properties as the equivalent of property-related taxes of a total offour properties, including MFIP Inzai II, which was acquired in the fiscal period
ended July 31, 2021 and finalized in the period ended July 31, 2022, and threeproperties acquired in the fiscal period ended July 31, 2022. No property-related taxes
were capitalized for the 13th period.

4.

Scope of cash and cash
equivalents in the statements ofcash flows

Cash and cash equivalents in the statements of cash flows consist of cash on hand and cashin trust, readily-available bank deposits, readily-available bank deposits in trust and shortterm investments that are readily convertible to cash and realizable with a maturity of threemonths or less when purchased and that are subject to an insignificant risk of changes invalue.
- 16 -

5.

Other information for
preparation of financial
statements

Trust beneficiary interests in real estate
As to trust beneficiary interests in real estate that have real estate properties as assets intrust, all accounts of assets and liabilities within assets in trust as well as all income
generated and expenses incurred from assets in trust are recorded in the relevant balance
sheet and statement of income account items.
The following material items of the assets in trust recorded in the relevant account items are
separately presented in the accompanying balance sheets.
i)
ii)
iii)
iv)

(8)

Cash and deposits in trust
Buildings in trust, structures in trust, machinery and equipment in trust, vehicles andtransport equipment in trust, tools, furniture and fixtures in trust and land in trust
Construction in progress in trust
Tenant leasehold and security deposits in trust

Notes to Financial Statements[Notes to Statements of Income]*1.

Components of operating income from property leasing

A. Property leasing business revenues
Property-related revenues
Rental revenues
Common area charges
Other revenues related to property leasing
Utilities charges
Parking lots
Others12th period(From February 1, 2022
to July 31, 2022)(Thousands of yen)
13th period(From August 1, 2022
to January 31, 2023)

9,560,963
493,434

10,054,397

9,732,676
513,213

10,245,890

553,416

613,483
50,56650,914

714,964

415,035
47,58590,795

Total property leasing businessrevenues
B. Property leasing business expenses
Property-related expenses
Outsourcing service expenses
Utilities expenses
Repair expenses
Taxes and dues
Depreciation and amortization
Others

10,607,814

735,635
372,636
126,728
930,5902,708,553
137,618

10,960,854

688,732
551,994
247,755
930,448
2,707,930
145,005

Total property leasing business
expenses

5,011,762

5,271,867

C. Operating income from property leasing[A-B]

5,596,051

5,688,986- 17 -

[Notes to Investment and Rental Properties]
MFLP-REIT owns logistics facilities and industrial properties for the purpose of earning rental income. The carrying amount,net changes in the carrying amount during the periods and fair value of these investment and rental properties are as follows:
12th period(From February 1, 2022
to July 31, 2022)(Thousands of yen)
13th period(From August 1, 2022
to January 31, 2023)

Carrying amount
Balance at beginning of period

286,583,923

Changes during the period

42,519,009(2,479,935)

Balance at end of period

329,102,932

326,622,997

388,500,000

394,300,000

Balance at end of period

329,102,932

Notes:
1.

The carrying amount represents acquisition cost less accumulated depreciation.

2.

Changes in the carrying amount during the 12th period consisted of the increase mainly attributable to acquisition of trust beneficiary interests inreal estate for three properties (¥45,028,290 thousand), and the decrease mainly attributable to depreciation and amortization (¥2,708,553
thousand). Changes in the carrying amount during the 13th period consisted of the decrease mainly attributable to depreciation and amortization(¥2,707,930 thousand).

3.

The fair value at the end of the period represents the appraisal value or surveyed value by external real estate appraisers.

Information about income and loss from investment and rental properties is stated in [Notes to Statements of Income].
[Notes to Revenue Recognition]
12th period (From February 1, 2022 to July 31, 2022)
Information on disaggregation of revenues from contracts with customers
For information on disaggregation of revenues from contracts with customers, please refer to “*1. Components of operating
income from property leasing” under [Notes to Statements of Income].
Note that revenues based on ASBJ Statement No. 13 “Accounting Standard for Lease Transactions” are included in “*1.
Components of operating income from property leasing.” Revenues from contracts with customers are primarily “utilities
charges.”
13th period (From August 1, 2022 to January 31, 2023)
Information on disaggregation of revenues from contracts with customers
For information on disaggregation of revenues from contracts with customers, please refer to “*1. Components of operating
income from property leasing” under [Notes to Statements of Income].
Note that revenues based on ASBJ Statement No. 13 “Accounting Standard for Lease Transactions” are included in “*1.
Components of operating income from property leasing.” Revenues from contracts with customers are primarily “utilities
charges.”- 18 -

[Notes to Segment and Related Information]
1.

Segment Information
Segment information has been omitted as MFLP-REIT engages in a single segment of the real estate leasing business.

2.

Related information
12th period (From February 1, 2022 to July 31, 2022)(1)

Information by product and service
Disclosure of this information has been omitted as revenues from external customers in a single product and service
category exceed 90% of the total operating revenues on the statements of income.

(2)

Information by geographical areai) Operating revenues
Disclosure of this information has been omitted as revenues from external customers in Japan exceed 90% of thetotal operating revenues on the statements of income.

ii) Property and equipment
Disclosure of this information has been omitted as the amount of property and equipment located in Japan exceeds
90% of the total amount of property and equipment on the balance sheets.
(3)

Information on major tenant
Disclosure of this information has been omitted because there is no tenant from which revenue makes up 10% ormore of the total operating revenues.

13th period (From August 1, 2022 to January 31, 2023)(1)

Information by product and service
Disclosure of this information has been omitted as revenues from external customers in a single product and service
category exceed 90% of the total operating revenues on the statements of income.

(2)

Information by geographical areai) Operating revenues
Disclosure of this information has been omitted as revenues from external customers in Japan exceed 90% of thetotal operating revenues on the statements of income.

ii) Property and equipment
Disclosure of this information has been omitted as the amount of property and equipment located in Japan exceeds
90% of the total amount of property and equipment on the balance sheets.
(3)

Information on major tenant
Disclosure of this information has been omitted because there is no tenant from which revenue makes up 10% ormore of the total operating revenues.

- 19 -

[Notes to Per Unit Information]
12th period(From February 1, 2022
to July 31, 2022)

13th period(From August 1, 2022
to January 31, 2023)

Net assets per unit

¥355,619¥354,567

Net income per unit

¥7,233¥7,300Notes:
1. Net income per unit is calculated by dividing net income by the daily weighted average number of investment units outstanding during the period.
Diluted net income per unit is not stated because there are no dilutive investment units.
2. The basis for calculating net income per unit is as follows:

Net income(thousands of yen)Amount not attributable to common unitholders(thousands of yen)
Net income attributable to common investment units(thousands of yen)
Average number of investment units for the period(units)- 20 -

12th period(From February 1, 2022
to July 31, 2022)

13th period(From August 1, 2022
to January 31, 2023)

4,165,159

4,205,227––

4,165,159

4,205,227

575,794

576,000

[Notes to Significant Subsequent Events]
1.

Acquisitions of properties
MFLP-REIT acquired the trust beneficiary interests for the following asset on February 1, 2023.
Acquisition price(millions of yen)
(Note)

Category

Property no.

Property nameLocation

Logistics facilities

L-23

MFLP Osaka Katano

Katano-shi, Osaka

16,500Note:“Acquisition price” is the purchase price of trust beneficiary interest as set forth in the agreement for sale and purchase of trust beneficiary interest for theacquired asset (excluding the various costs required in the acquisition), rounded down to the nearest million yen.

2.

Borrowing of funds
MFLP-REIT has borrowed the following funds to apply to part of the acquisition funds and related expenses for thereal estate trust beneficiary interests in the above “1. Acquisitions of properties.”i) Short-term loans payable
Borrowing amount(millions of yen)

LenderInterest rate

Drawdown date

Repayment date

Repayment method

Collateral

Mizuho Bank, Ltd.

2,500

0.0262%February 1, 2023

February 15, 2023

Bullet repayment

UnsecuredNon-guaranteed

Sumitomo Mitsui Trust Bank,
Limited1,000

0.1018%February 1, 2023

March 1, 2023
(Note)

Bullet repayment

UnsecuredNon-guaranteed

The Bank of Fukuoka, Ltd.

3,000

0.1018%February 1, 2023

March 1, 2023
(Note)

Bullet repayment

UnsecuredNon-guaranteed

Total borrowing amount

6,500

–

–

–

–

–

Note:
On the repayment date, MFLP-REIT carried out refinancing for the same amount as the borrowing amount of the funds borrowed on February 1, 2023 (interest
rate: 0.1082%, repayment date: April 3, 2023, bullet repayment, and unsecured/non-guaranteed).

ii) Long-term loans payable
Borrowingamount(millions ofyen)Interest rate
(Note 1)

Sumitomo Mitsui Banking
Corporation

500

0.50%
(Note 2)

Sumitomo Mitsui Trust Bank,
Limited500

0.5875%(Note 2)

MUFG Bank, Ltd.

300

0.5375%(Note 2)The Norinchukin Bank

500

LenderSyndicate of 21 banks Daishi Hokuetsu Bank, Ltd.
arranged by
The Yamagata Bank, Ltd.
Sumitomo Mitsui
Banking Corporation Kiraboshi Bank, Ltd.
(Sustainability Linked The Bank of Fukuoka, Ltd.
Loan)
The Hachijuni Bank, Ltd.

400
400

Repayment date
(Note 5)

Repayment
methodCollateral

February 1, 2023 February 1, 2027

Bulletrepayment

UnsecuredNon-guaranteed

0.9663%(Note 3)February 1, 2023 February 1, 2030

Bulletrepayment

UnsecuredNon-guaranteed

1.0175%(Note 3)February 1, 2023 August 1, 2030

Bulletrepayment

UnsecuredNon-guaranteed

1.2265%(Note 4)

February 1, 2023 August 2, 2032

Bulletrepayment

UnsecuredNon-guaranteed

Drawdown date

300
500
500

The Chiba Bank, Ltd.

400

The Joyo Bank, Ltd.

400

The Keiyo Bank, Ltd.

400

Shinkin Central Bank

500

Momiji Bank, Ltd.

400

The Bank of Kyoto, Ltd.

400

- 21 -

Lender

Borrowingamount(millions ofyen)

Sumitomo Mitsui Banking
Corporation

400

Mizuho Bank, Ltd.

500

Mizuho Trust & Banking Co.,
Syndicate of 21 banks Ltd.
arranged by
The Yamaguchi Bank, Ltd.
Sumitomo Mitsui
Banking Corporation SBI Shinsei Bank, Limited(Sustainability Linked
Sumitomo Life Insurance
Loan)
Company
Nippon Life Insurance
Company
Kiraboshi Bank, Ltd.
Total borrowing amountInterest rate
(Note 1)

Drawdown date

Repayment date
(Note 5)

Repayment
methodCollateral

1.2713%(Note 4)

February 1, 2023 February 1, 2033

Bulletrepayment

UnsecuredNon-guaranteed

–

–

500
500
500
500
500
200
10,000–––Notes:
1.

The first interest payment date is the last day of July 2023, and thereafter the interest payment date will be the last day of January and July until andincluding the repayment date. (If each interest payment date is not a business day, such interest payment date shall be on the next business day. Provided,
however, that such interest payment date shall be on the preceding business day if such next business day falls into the next month.) In addition, since theborrowing is financed by a Sustainability Linked Loan, the interest rate from the timing of the determination to the repayment date will change according
to the achievement status of the Sustainability Performance Target (“SPT”) as described in (Note 2) through (Note 4).

2.

SPT: 60% reduction of CO2 emission intensity borne by owners (Scope 1 and 2) in logistics facilities as of 2024 compared to 2016
Applicable period: From the beginning of the first interest calculation period that falls after the end of July 2025 until the principal repayment date(i) If emissions intensity is reduced by 60% (Achievement of SPT):
Initial interest rate - 0.01%(ii) If the emissions intensity increases compared to 2016 (SPT Not Achieved):
Initial interest rate + 0.01%
If neither (i) nor (ii) applies (SPT Not Achieved): Initial interest rate

3.

SPT: 90% reduction of CO2 emission intensity borne by owners (Scope 1 and 2) in logistics facilities (Scope 1 and 2) as of 2027 compared to 2016
Applicable period: From the beginning of the first interest calculation period that falls after the end of July 2028 until the principal repayment date(i) If emissions intensity is reduced by 90% (Achievement of SPT):
Initial interest rate - 0.02%(ii) If the emissions intensity increases compared to 2016 (SPT Not Achieved):
Initial interest rate + 0.02%
If neither (i) nor (ii) applies (SPT Not Achieved): Initial interest rate

4.

SPT: 100% reduction of CO2 emission intensity borne by owners (Scope 1 and 2) in logistics facilities (Scope 1 and 2) as of 2030 compared to 2016
Applicable period: From the beginning of the first interest calculation period that falls after the end of July 2031 until the principal repayment date(i) If emissions intensity is reduced by 100% (Achievement of SPT):
Initial interest rate - 0.02%(ii) If the emissions intensity increases compared to 2016 (SPT Not Achieved):
Initial interest rate + 0.02%
If neither (i) nor (ii) applies (SPT Not Achieved): Initial interest rate5.

If each repayment date is not a business day, such repayment date shall be on the next business day. Provided, however, that such repayment date shall beon the preceding business day if such next business day falls into the next month.

[Omission of Disclosure]
The notes to balance sheets, statements of changes in net assets, statements of cash flows, lease transactions, financial
instruments, securities, derivative transactions, retirement benefits, tax effect accounting, transactions with related parties
and asset retirement obligations have been omitted as the necessity to disclose them in the financial results report is deemedslight.

- 22 -

(9)Changes in Total Number of Investment Units Issued and Outstanding
The following are the changes in the total number of investment units issued and outstanding and unitholders’ capital, net of
MFLP-REIT for the most recent five years until January 31, 2023.

Date

Description

Total number of investment units
issued and outstanding(units)Increase(Decrease)

Unitholders’ capital, net(millions of yen)
(Note 1)

Balance

Increase(Decrease)

Balance

Remarks

February 1, 2018

Capital increase
through public offering

38,000262,000

13,49571,745(Note 2)February 28,
2018

Capital increase
through third-party
allotment

774

262,774274

72,020(Note 3)

April 23, 2018

Distribution of cash inexcess of retained
earnings (return ofcapital)–262,774(61)

71,958(Note 4)

October 19,
2018

Distribution of cash inexcess of retained
earnings (return ofcapital)–262,774(88)

71,870(Note 5)February 1, 2019

Capital increase
through public offering

110,700

373,474

33,617

105,488(Note 6)

February 27,
2019

Capital increase
through third-party
allotment

5,526

379,000

1,678

107,166(Note 7)

April 23, 2019

Distribution of cash inexcess of retained
earnings (return ofcapital)–379,000(84)

107,081(Note 8)October 15,
2019

Distribution of cash inexcess of retained
earnings (return ofcapital)–379,000(259)

106,822(Note 9)February 3, 2020

Capital increase
through public offering

59,000438,000

28,289135,111(Note 10)February 27,
2020

Capital increase
through third-party
allotment

3,000

441,000

1,438

136,549(Note 11)

April 23, 2020

Distribution of cash inexcess of retained
earnings (return ofcapital)–

441,000(257)

136,292(Note 12)October 5, 2020

Capital increase
through public offering

96,190537,190

45,922

182,214(Note 13)

October 19,
2020

Capital increase
through third-party
allotment

4,810

542,000

2,296

184,510(Note 14)

October 21,
2020

Distribution of cash inexcess of retained
earnings (return ofcapital)–542,000(342)

184,168(Note 15)

April 22, 2021

Distribution of cash inexcess of retained
earnings (return ofcapital)–542,000(368)

183,800(Note 16)

October 12,
2021

Distribution of cash inexcess of retained
earnings (return ofcapital)–542,000(527)

183,272(Note 17)

February 1, 2022

Capital increase
through public offering

32,380574,380

17,082200,355(Note 18)

- 23 -

Date

Description

Total number of investment units
issued and outstanding(units)Increase(Decrease)

Unitholders’ capital, net(millions of yen)
(Note 1)

Balance

Increase(Decrease)

Balance

Remarks

February 24,
2022

Capital increase
through third-party
allotment

1,620

576,000854

201,209(Note 19)

April 22, 2022

Distribution of cash inexcess of retained
earnings (return ofcapital)–576,000(538)

200,671(Note 20)

October 21,
2022

Distribution of cash inexcess of retained
earnings (return ofcapital)–576,000(646)

200,025(Note 21)

Notes:
1.

“Unitholders’ capital, net” is the amount of “Unitholders’ capital” less “Deduction from unitholders’ capital.”2.

New investment units were issued through public offering at an issue price of ¥367,581 (paid-in amount of ¥355,139) per unit mainly for the purpose of
procuring funds for acquisition of new properties.

3.

Accompanying the public offering, new investment units were issued through third-party allotment at a paid-in amount of ¥355,139 per unit.

4.

By resolution of the Board of Directors of MFLP-REIT at its meeting held on March 15, 2018, distribution of cash in excess of retained earnings (return ofcapital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥275 per unit was declared as distribution of cash for the 3rd fiscal
period (fiscal period ended January 31, 2018), the payout of which commenced on April 23, 2018.

5.

By resolution of the Board of Directors of MFLP-REIT at its meeting held on September 14, 2018, distribution of cash in excess of retained earnings(return of capital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥335 per unit was declared as distribution of cash for the 4th
fiscal period (fiscal period ended July 31, 2018), the payout of which commenced on October 19, 2018.

6.

New investment units were issued through public offering at an issue price of ¥313,986 (paid-in amount of ¥303,680) per unit mainly for the purpose of
procuring funds for acquisition of new properties.

7.

Accompanying the public offering, new investment units were issued through third-party allotment at a paid-in amount of ¥303,680 per unit.

8.

By resolution of the Board of Directors of MFLP-REIT at its meeting held on March 15, 2019, distribution of cash in excess of retained earnings (return ofcapital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥322 per unit was declared as distribution of cash for the 5th fiscal
period (fiscal period ended January 31, 2019), the payout of which commenced on April 23, 2019.

9.

By resolution of the Board of Directors of MFLP-REIT at its meeting held on September 13, 2019, distribution of cash in excess of retained earnings(return of capital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥685 per unit was declared as distribution of cash for the 6th
fiscal period (fiscal period ended July 31, 2019), the payout of which commenced on October 15, 2019.

10. New investment units were issued through public offering at an issue price of ¥495,747 (paid-in amount of ¥479,476) per unit mainly for the purpose of
procuring funds for acquisition of new properties.
11. Accompanying the public offering, new investment units were issued through third-party allotment at a paid-in amount of ¥479,476 per unit.
12. By resolution of the Board of Directors of MFLP-REIT at its meeting held on March 13, 2020, distribution of cash in excess of retained earnings (return ofcapital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥679 per unit was declared as distribution of cash for the 7th fiscal
period (fiscal period ended January 31, 2020), the payout of which commenced on April 23, 2020.
13. New investment units were issued through public offering at an issue price of ¥493,350 (paid-in amount of ¥477,411) per unit mainly for the purpose of
procuring funds for acquisition of new properties.
14. Accompanying the public offering, new investment units were issued through third-party allotment at a paid-in amount of ¥477,411 per unit.
15. By resolution of the Board of Directors of MFLP-REIT at its meeting held on September 16, 2020, distribution of cash in excess of retained earnings(return of capital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥777 per unit was declared as distribution of cash for the 8th
fiscal period (fiscal period ended July 31, 2020), the payout of which commenced on October 21, 2020.
16. By resolution of the Board of Directors of MFLP-REIT at its meeting held on March 12, 2021, distribution of cash in excess of retained earnings (return ofcapital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥679 per unit was declared as distribution of cash for the 9th fiscal
period (fiscal period ended January 31, 2021), the payout of which commenced on April 22, 2021.
17. By resolution of the Board of Directors of MFLP-REIT at its meeting held on September 14, 2021, distribution of cash in excess of retained earnings(return of capital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥974 per unit was declared as distribution of cash for the 10th
fiscal period (fiscal period ended July 31, 2021), the payout of which commenced on October 12, 2021.
18. New investment units were issued through public offering at an issue price of ¥545,190 (paid-in amount of ¥527,576) per unit mainly for the purpose of
procuring funds for acquisition of new properties.
19. Accompanying the public offering, new investment units were issued through third-party allotment at a paid-in amount of ¥527,576 per unit.
20. By resolution of the Board of Directors of MFLP-REIT at its meeting held on March 15, 2022, distribution of cash in excess of retained earnings (return ofcapital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥993 per unit was declared as distribution of cash for the 11th fiscal
period (fiscal period ended January 31, 2022), the payout of which commenced on April 22, 2022.
21. By resolution of the Board of Directors of MFLP-REIT at its meeting held on September 14, 2022, distribution of cash in excess of retained earnings(return of capital applicable to distribution reducing unitholders’ capital for tax purposes) of ¥1,122 per unit was declared as distribution of cash for the
12th fiscal period (fiscal period ended July 31, 2022), the payout of which commenced on October 21, 2022.

- 24 -

3.

Reference Information(1)

Status of Investment

Type of asset

Geographic
classification(Note 1)

Use

Logistics
facilities
Real estate intrust(Note 4)(Note 5)12th period(As of July 31, 2022)
Total amount held(millions of yen)
(Note 2)

As a percentage
As a percentage
Total amount heldof total assets
of total assets(millions of yen)(%)(%)
(Note 2)
(Note 3)(Note 3)Tokyo
metropolitan area

166,71249.2

165,571

49.2

Kansai area

94,31627.8

93,654

27.8

Other areas

41,607

12.3

41,15812.2

302,63789.3

300,385

89.3

26,465

7.8

26,237

7.8––

SubtotalTokyo
metropolitan area

Industrial realestate(Note 6)13th period(As of January 31, 2023)

Kansai area–

Other areas
Subtotal

Real estate in trust total
Deposits and other assets
Total assets

–

–

–

–

–

26,465

7.8

26,2377.8

329,102

97.1

326,622

97.0

9,913

2.9

9,928

3.0

339,016100.0

336,551

100.0

12th period(As of July 31, 2022)
Amount(millions of yen)

13th period(As of January 31, 2023)

As a percentage
of total assets(%)(Note 3)

Amount(millions of yen)

As a percentage
of total assets(%)(Note 3)

Total liabilities

134,179

39.6

132,320

39.3

Total net assets

204,83760.4

204,230

60.7

Notes:
1.

“Tokyo metropolitan area” refers to Tokyo, Kanagawa Prefecture, Chiba Prefecture, Saitama Prefecture and Ibaraki Prefecture. “Kansai area” refers to
Osaka Prefecture, Kyoto Prefecture, Hyogo Prefecture, Nara Prefecture and Shiga Prefecture.

2.

“Total amount held” is based on the carrying amount (for real estate in trust, the book value after depreciation and amortization) as at the end of eachaccounting period, rounded down to the nearest million yen.

3.

“As a percentage of total assets” is rounded to the first decimal place.

4.

“Real estate in trust” refers to real estate of trust beneficiary interests that have mainly real estate in trust.

5.

For real estate in trust, the amount does not include the amount of construction in progress in trust.

6.

“Industrial real estate” refers to data centers, communications facilities, research facilities, factories, supply and treatment facilities, and other real estateserving as corporate bases. The same shall apply hereinafter.

(2)

Investment Assetsi) Major investment securities
Not applicable.

ii) Investment properties
Real estate trust beneficiary interests held by MFLP-REIT are included in the below section “iii) Other major investment
assets.”- 25 -

iii) Other major investment assets(A)

Summary of the assets held
The following summarizes the real estate in trust held by MFLP-REIT.
a.

List of portfolio
The property names, addresses, acquisition dates, acquisition prices, acquisition price ratios, book values andappraisal values of the portfolio assets are as follows.

Category

Logistics
facilities

Acquisition
price ratio(Note 2)

Appraisal value
Book value(millions of yen)(millions of yen)
(Note 3)

Property nameLocation

Acquisition date

L-1

GLP/MFLP
Ichikawa
Shiohama(Note 4)

Ichikawa-shi,
Chiba

September 1,
2016

15,5004.5

14,617

19,800

L-2

MFLP Kuki

Kuki-shi,
Saitama

August 2, 2016

12,5003.7

11,306

15,400

L-3

MFLP
Yokohama
Daikoku(Note 4)

Yokohama-shi,August 2, 2016
Kanagawa

10,1003.0

9,551

11,400

L-4

MFLP Yashio

Yashio-shi,
Saitama

August 2, 2016

9,650

2.8

8,943

12,000

L-5

MFLP Atsugi

Aiko-gun,Kanagawa

August 2, 2016

7,810

2.3

7,059

10,200

L-6

MFLP
Funabashi
Nishiura

Funabashi-shi,
Chiba

August 2, 2016

6,970

2.0

6,362

8,390

L-7

MFLP Kashiwa

Kashiwa-shi,
Chiba

August 2, 2016

6,300

1.8

5,710

8,000

L-8

MFLP Sakai(Note 5)

Sakai-shi, Osaka August 2, 2016

23,6006.9

22,57827,600

L-9

MFLP Komaki(Note 6)

Komaki-shi,
Aichi

August 4, 2017

8,260

2.4

7,454

8,980

L-10

MFLP Hino(Note 4, 7)

Hino-shi, Tokyo

February 2,
201812,533

3.7

11,887

13,900

L-11

MFLP Hiratsuka

Hiratsuka-shi,
Kanagawa

March 15, 2018

7,027

2.1

6,596

8,230

L-12

MFLP Tsukuba(Note 8)

Tsukubamiraishi, Ibaraki

December 3,
2018

8,781

2.6

8,231

11,200

L-13

MFLP Inazawa

Inazawa-shi,
Aichi

February 4,
201916,2004.7

14,95018,900

L-14

MFLP Atsugi II

Isehara-shi,
Kanagawa

February 4,
201913,1003.8

12,31815,300

L-15

MFLP Fukuoka
I(Note 9)Sue-machi,
Kasuya-gun,
Fukuoka

February 4,
2019

5,263

1.5

4,874

6,250

L-16

MFLP Prologis
Park Kawagoe(Note 4)

Kawagoe-shi,
SaitamaFebruary 5,
2020

14,8004.3

14,28817,450

L-17

MFLP
Hiroshima I

Hiroshima-shi,
Hiroshima

March 2, 2020

14,4804.2

13,87916,300

L-18

MFLP Ibaraki

Ibaraki-shi,
Osaka

October 6, 2020

58,90017.2

57,231

67,900

L-19

MFLP
Kawaguchi I

Kawaguchi-shi,
October 6, 2020
Saitama

18,5005.4

18,16920,200

L-20

MFLP Yachiyo
Katsutadai

Yachiyo-shi,
Chiba

February 2,
2022

18,0005.3

17,881

18,600

L-21

MFLP Osaka I

Osaka-shi,OsakaFebruary 2,
2022

13,9004.1

13,844

14,200

L-22

MFLP Hiratsuka Hiratsuka-shi,II
Kanagawa

February 2,
2022

12,7003.7

12,647

13,400314,87492.0

300,385

363,600
14,000Logistics facilities total
Industrial realestateAcquisition
price(millions of yen)
(Note 1)

Property no.

I-1

MFIP Inzai(Note 10)

Inzai-shi, Chiba August 2, 2016

12,2203.6

11,459

I-2

MFIP Inzai II

Inzai-shi, Chiba March 16, 2021

15,1504.4

14,77816,700Industrial real estate total

27,3708.0

26,23730,700Total

342,244100.0

326,622394,300- 26 -

Notes:1.

“Acquisition price” is the purchase price of each trust beneficiary interest as set forth in the agreement for sale and purchase of trust beneficiary interest of
the assets held by MFLP-REIT, rounded down to the nearest million yen. The transaction price does not include the various costs required in theacquisition.

2.

“Acquisition price ratio” is the portfolio asset acquisition price share of MFLP-REIT of the total acquisition price rounded to the first decimal place.

3.

“Appraisal value” is the value in the real estate appraisal reports as of the valuation date of January 31, 2023. The appraisal of each asset held is entrusted
to Japan Real Estate Institute, The Tanizawa Sōgō Appraisal Co., Ltd., Daiwa Real Estate Appraisal Co., Ltd. and CBRE K.K.

4.

For GLP/MFLP Ichikawa Shiohama, MFLP Yokohama Daikoku, MFLP Hino and MFLP Prologis Park Kawagoe, acquisition price, book value andappraisal value are the prorated figures equivalent to the quasi co-ownership interest in each property that MFLP-REIT has acquired (50%, 50%, 25% and50%, respectively).

5.

20% quasi co-ownership in MFLP Sakai was acquired on August 2, 2016, and 70% quasi co-ownership and 10% quasi co-ownership were additionallyacquired on February 5, 2020 and April 6, 2020, respectively, but the acquisition date lists the initial date of acquisition of the property.

6.

40% quasi co-ownership in MFLP Komaki was acquired on August 4, 2017, and 60% quasi co-ownership was additionally acquired on February 2, 2018,
but the acquisition date lists the initial date of acquisition of the property.

7.

15% quasi co-ownership in MFLP Hino was acquired on February 2, 2018, and 10% quasi co-ownership was additionally acquired on February 4, 2019,
but the acquisition date lists the initial date of acquisition of the property.

8.

60% quasi co-ownership in MFLP Tsukuba was acquired on December 3, 2018, and 40% quasi co-ownership was additionally acquired on March 1, 2019,
but the acquisition date lists the initial date of acquisition of the property.

9.

81% quasi co-ownership in MFLP Fukuoka I was acquired on February 4, 2019, and 19% quasi co-ownership was additionally acquired on April 5, 2019,
but the acquisition date lists the initial date of acquisition of the property.

10. 20% quasi co-ownership in MFIP Inzai was acquired on August 2, 2016 and 80% quasi co-ownership was additionally acquired on February 4, 2019, but
the acquisition date lists the initial date of acquisition of the property.

- 27 -

b.

Summary of buildings
The property names, property types, site areas, total floor areas, completion dates and building ages of theportfolio assets are as follows.

Category

Property no.

L-1
L-2
L-3

Logistics facilities

Industrial realestateProperty name

Property type
(Note 1)Site area (m²)(Note 2)

Total floor area(m²)
(Note 2)

52,887105,019(52,509)

January 14, 2014

9.0

35,03773,153

July 7, 2014

8.6

47,974

100,530(50,265)

April 14, 2009

13.8

GLP/MFLP
Ichikawa
Rampway MFLP
Shiohama (Note 5)
MFLP Kuki

Slope MFLP

MFLP Yokohama
Rampway MFLP
Daikoku (Note 5)

Construction
completed(Note 3)

Building age(years)(Note 4)L-4MFLP Yashio

Box MFLP

23,422

40,728March 24, 2014

8.9

L-5

MFLP Atsugi

Slope MFLP

20,52240,942

March 13, 2015

7.9

L-6

MFLP Funabashi
Nishiura

Box MFLP

15,51830,947

February 6, 2015

8.0

L-7

MFLP Kashiwa

Box MFLP

15,484

31,242

November 30,
2015

7.2

L-8

MFLP Sakai

Rampway MFLP

57,792

125,127

September 11,
2014

8.4

L-9

MFLP Komaki

Slope MFLP

23,48440,597January 31, 2017

6.0

L-10

MFLP Hino(Note 5)

Rampway MFLP

97,579205,200(51,300)

October 16, 2015

7.3

L-11

MFLP Hiratsuka

Box MFLP

16,39833,061

November 30,
2016

6.2

L-12

MFLP Tsukuba

Box MFLP

45,605

Existing building:
37,027

Existing building: Existing building:
12.6
June 30, 2010

Annex building:
25,457

Annex building: Annex building:
4.8
March 30, 2018

L-13

MFLP Inazawa

Slope MFLP

35,07472,883

May 31, 2017

L-14

MFLP Atsugi II

Slope MFLP

25,991

48,976

April 27, 2018

5.7
4.8

L-15

MFLP Fukuoka I

Box MFLP

20,09332,199October 12, 2016

6.3

L-16

MFLP Prologis
Park Kawagoe(Note 5)

Rampway MFLP

58,749117,337(58,668)

October 16, 2018

4.3

L-17

MFLP Hiroshima
I

Slope MFLP

33,78868,427

August 30, 2019

3.4

L-18

MFLP Ibaraki

Rampway MFLP

108,671

230,435

August 26, 2017

5.4

L-19

MFLP Kawaguchi
I

Slope MFLP

28,194

49,838October 31, 2019

3.3

L-20

MFLP Yachiyo
Katsutadai

Slope MFLP

35,75474,624

August 31, 2020

2.4

L-21

MFLP Osaka I

Slope MFLP

23,233

43,919July 16, 2020

2.5

L-22

MFLP Hiratsuka
II

Box MFLP

25,191

48,141

October 31, 2019

3.3

Logistics facilities total (average) (Note 5)

846,450

1,675,820(1,360,476)

–

6.3

I-1

MFIP Inzai

Data center

25,00040,478February 28, 2014

8.9

I-2

MFIP Inzai II

Data center

18,27427,268

May 31, 2020

2.7

Industrial real estate total (average) (Note 5)

43,27467,746–

6.4

Total (average) (Note 5)

889,724

1,743,567(1,428,223)–

6.3

Notes:
1.

Property types are as follows: Rampway MFLPs are properties that are logistics facilities that provide spiral rampways that allow delivery trucks to directly
access each of the upper-floor truck berths (hereinafter “Rampway MFLP”), Slope MFLPs are properties that are logistics facilities that provide slopes thatallow delivery trucks to directly access some of the upper-floor truck berths (hereinafter “Slope MFLP”), and Box MFLPs are properties that are logistics
facilities that allow delivery trucks to access truck berths located on the ground floor and are equipped with vertical conveyors for delivery to upper floors(hereinafter “Box MFLP”). For Industrial real estate, a specific usage is described in the “Property type” of the building.

2.

“Site area” and “Total floor area” are rounded down to the nearest whole number based upon presentations in the registers for the land or buildings in theportfolio assets of MFLP-REIT. “Total floor area” is the total floor area for main buildings and ancillary buildings. If there is more than one main building,“Total floor area” represents the total floor area for each main building. For MFLP Tsukuba, total floor area for existing buildings is in the upper section
and that for added buildings is in the lower section.

3.

“Construction completed” is the date of construction of the main building of each asset held by MFLP-REIT in the register. If there is more than one mainbuilding, the construction completed is the oldest date shown in the register. For MFLP Tsukuba, the completion date for existing buildings is in the upper
section and that for added buildings is in the lower section.

- 28 -

4.

“Building age” is the age from the date of completion in the register for the main building in the portfolio asset of MFLP-REIT to January 31, 2023,
rounded to the first decimal place. Sections for totals (averages) and sections for totals (averages) in each category describe the weighted average values
based on total floor taking into consideration the quasi co-ownership interest in each property. For MFLP Tsukuba, the building age for existing buildings
is in the upper section and that for added buildings is in the lower section.

5.

Total floor areas for GLP/MFLP Ichikawa Shiohama, MFLP Yokohama Daikoku, MFLP Hino and MFLP Prologis Park Kawagoe in parentheses are theprorated figures equivalent to the quasi co-ownership interest in each property that MFLP-REIT holds (50%, 50%, 25% and 50%, respectively). The values
given for “Total floor area” in the sections for “Logistics facilities total (average)” and “Total (average)” express in parentheses either the total value inlogistics facilities or the total value under “Total floor area” for each portfolio asset taking into consideration the quasi co-ownership interest in each
property.

c.

Status of portfolio asset collateral
Not applicable.

(B)

Summary of leasea.

Summary of lease
The property names, leasable areas, leased areas, occupancy rates, number of tenants, names of main tenants,
annual rents, tenant leasehold / security deposits, average lease periods and average remaining lease periods of theportfolio assets held by MFLP-REIT as at the end of the fiscal period under review are as follows.

Category

Logistics
facilities

Name of main
tenant(Note 5)

Annual rent
(millions ofyen)(Note 6)

Tenantleasehold/security
deposits(millions ofyen)(Note 7)

Average lease
period (Averageremaining lease
period) (years)(Note 8, 9)

Propertyno.

Property
nameLeasablearea (m²)(Note 1)

Leased area(m²)
(Note 2)

Occupancy
rate (%)(Note 3)

Number oftenants(tenants)(Note 4)

L-1

GLP/MFLP
Ichikawa
Shiohama(Note 10)50,81350,813100.0

5

Rakuten, Inc.

868

150

12.9
(6.3)

L-2

MFLP Kuki

67,92567,925100.0

3

KOKUBUSHUTOKEN
CORP.

827

312

9.0
(1.4)

L-3

MFLP
Yokohama
Daikoku(Note 10)47,93947,939100.0

5Not disclosed(Note 11)

679

233

8.3
(2.5)

L-4

MFLP
Yashio39,692

39,692100.0

2e-LogiT co., ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-5

MFLP
Atsugi40,95840,958100.0

1

Sun Toshi
Tatemono
Kabushiki Kaisha

Notdisclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-6

MFLP
Funabashi
Nishiura

31,03431,034

100.0

1

DAIWA
CORPORATION,
Ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-7

MFLP
Kashiwa

31,291

31,291100.0

1Hitachi Transport
SystemMetropolitan Co.,
Ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-8

MFLP Sakai

112,148

112,148100.0

7

BIC CAMERA
INC.

1,480

559

L-9

MFLP
Komaki38,80638,806

100.0

2

MEIKON CO.,
LTD.

Not
disclosed(Note 11)

Not
disclosed(Note 11)

L-10

MFLP Hino(Note 10)46,80146,801100.0

17Celestica Japan
K.K.

713

255

L-11

MFLP
Hiratsuka

33,05533,055100.0

Notdisclosed(Note 11)

Nippon Express
Co., Ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

Existingbuilding:
37,938

Existingbuilding:
37,938Annexbuilding:
25,600Annex
building:
25,600100.0

1MARUBENILOGISTICS
CORPORATION

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

10.4
(5.7)
Not disclosed(Note 11)
7.8
(3.1)

L-12

MFLP
Tsukuba

L-13

MFLP
Inazawa

68,922

68,922100.0

2Japan Logistic
Systems Corp.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-14

MFLP
Atsugi II

48,03248,032100.0

2Japan Logistic
Systems Corp.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

- 29 -

Category

Logistics
facilities

Tenantleasehold/security
deposits(millions ofyen)(Note 7)

Average lease
period (Averageremaining lease
period) (years)(Note 8, 9)

Notdisclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

Propertyno.

Property
nameLeasablearea (m²)(Note 1)

Leased area(m²)
(Note 2)

Occupancy
rate (%)(Note 3)

L-15

MFLP
Fukuoka I

32,21632,216100.0

1

Sagawa Global
Logistics Co., Ltd.

L-16

MFLP
Prologis Park
Kawagoe(Note 10)56,72353,41094.2

10Not disclosed(Note 11)

814

344

7.0
(3.6)

L-17

MFLP
Hiroshima I

66,66566,665100.0

4Sagawa Global
Logistics Co., Ltd.

958

454

8.0
(4.8)

L-18

MFLP
Ibaraki

208,811

208,811100.0

10

UNIQLO CO.,
LTD.

3,433

1,271

7.0
(2.8)

L-19

MFLP
Kawaguchi I

48,11948,119100.0

1Nakano Shokaico., ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-20

MFLP
YachiyoKatsutadai

69,83069,830100.0

1

Hitachi Transport
SystemMetropolitan Co.,
Ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-21

MFLP OsakaI

43,88043,880100.0

1Sangetsu
Corporation

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

L-22

MFLP
Hiratsuka II

46,52546,525100.0

2

Higashi Nihon
Kyuko Co., Ltd.

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)1,293,733

1,290,420

99.7

Not
disclosed(Note 11)–

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

Subtotal(average)

Industrial
real estate

Name of main
tenant(Note 5)

Annual rent
(millions ofyen)(Note 6)

Number oftenants(tenants)(Note 4)

I-1

MFIP Inzai

Notdisclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

I-2

MFIP Inzai
II

30,90630,906100.0

1

Not disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)–

Not
disclosed(Note 11)

Not
disclosed(Note 11)Not disclosed(Note 11)

Not
disclosed(Note 11)

Not
disclosed(Note 11)

99.8

Not
disclosed(Note 11)–

19,9096,875

Subtotal(average)
Total(average)

9.0
(4.2)

Notes:
1.

“Leasable area” is the total floor area (rounded down to the nearest whole number) of each asset held by MFLP-REIT that is deemed to be leasable basedon the lease agreement (Excluding lease agreements concerning shops, vending machines, photovoltaic power generation facilities and parking lots. Leaseagreements for said buildings hereinafter referred to as “Subject Lease Agreements” in (B). Note that if the Subject Lease Agreements have been executed
as of January 31, 2023, the buildings or rooms for lease that are vacant as of the said date are included in the Subject Lease Agreements as being underlease even if the move-in or handover date has not occurred on the said date.) or floor plan, etc. for such building as of January 31, 2023, and does notinclude the leased area indicated in the lease agreements concerning shops, vending machines, photovoltaic power generation facilities, parking lots,
nursery centers and the like. The same shall apply hereinafter in (B).

2.

“Leased area” is the total leased area rounded down to the nearest whole number presented in each Subject Lease Agreement for buildings in each portfolio
asset of MFLP-REIT as of January 31, 2023. If a master lease agreement has been executed for each portfolio asset held by MFLP-REIT as of January 31,
2023, the total leased area represents the sum total of the area that is actually leased based on the Subject Lease Agreement signed with end-tenant rounded
down to the nearest whole number. The same shall apply hereinafter in (B).

3.

“Occupancy rate” is the share of the leased area of the buildings in the leasable area for said buildings for each property held by MFLP-REIT as of January
31, 2023, rounded to the first decimal place. Occupancy rates for the subtotal (average) section and total (average) section are the share of the total leased
area of the properties of the total leasable area of said properties, rounded to the first decimal place.

4.

“Number of tenants” is the total number of Subject Lease Agreements for buildings in each portfolio asset of MFLP-REIT as of January 31, 2023. If amaster lease agreement has been executed for each portfolio asset held by MFLP-REIT as of January 31, 2023, it is the total number of the end-tenants.
However, if one lessee enters into a multiple number of the Subject Lease Agreements for the same building of assets held by MFLP-REIT as of January
31, 2023, the number of tenants is calculated on the assumption that such lessee is one party.

5.

“Names of main tenant” are the names of the tenants with the largest leased area presented in the Subject Lease Agreements for buildings in each portfolio
asset of MFLP-REIT as of January 31, 2023.

6.

“Annual rent” represents the annualized amount of rent (the sum of annualized amounts of rent if a multiple number of lease agreements have been
executed), which is 12 times monthly rent indicated in the Subject Lease Agreements for buildings in each portfolio asset of MFLP-REIT as of January 31,
2023, rounded down to the nearest million yen. However, if there are different provisions for monthly rent depending on the time period in each Subject
Lease Agreement, the monthly rent (including common area charges) for January 2023 shown in said lease agreement is the basis of the calculation. The
rent-free periods and annual rent holiday periods (meaning that the payment of rents for specific months is exempted) as of January 31, 2023 shall not be
included.

- 30 -

7.

“Tenant leasehold/security deposits” represent the sum of the outstanding amounts of tenant leasehold/security deposits (the sum of the outstanding
amounts of tenant leasehold/security deposits if a multiple number of lease agreements have been executed), rounded down to the nearest million yen,shown in the Subject Lease Agreement for buildings in each portfolio asset of MFLP-REIT as of January 31, 2023. However, if there are different
provisions for the sum of outstanding leasehold/security deposits depending on the time period in each Subject Lease Agreement, the sum of the amount of
tenant leasehold/security deposits for January 2023 shown in the lease agreement is the basis of the calculation.

8.

“Average lease period” is calculated by weight averaging the lease periods presented in the Subject Lease Agreements for buildings in each portfolio assetof MFLP-REIT as of January 31, 2023, with rents and rounded to the first decimal place. Concerning the Subject Lease Agreements, when a new leaseagreement (hereinafter, referred to as “re-contract”) starting on the day immediately following the expiration date (including the case of cancellation, thesame applies hereinafter) of the respective lease agreement is concluded with the same lessee in the Subject Lease Agreements as of January 31, 2023,
lease period is deemed to be from the start of the initial lease agreement to the expiration date of the re-contract, and used in the calculation as such.

9.

“Average remaining lease period” is calculated by weight averaging the remaining period of the lease periods after January 31, 2023, based on the Subject
Lease Agreements for buildings in each portfolio asset of MFLP-REIT as of January 31, 2023, with rents and rounded to the first decimal place.
Concerning the Subject Lease Agreements, when the re-contract is concluded with the same lessee as of January 31, 2023, the remaining period shall becalculated assuming that the lease period continues from January 31, 2023 to the expiration date of the re-contract.

10. For GLP/MFLP Ichikawa Shiohama, MFLP Yokohama Daikoku, MFLP Hino and MFLP Prologis Park Kawagoe, leasable area, leased area, annual rent
and tenant leasehold/security deposits are the prorated figures equivalent to the quasi co-ownership interest in each property that MFLP-REIT holds (50%,50%, 25% and 50%, respectively) as of January 31, 2023.
11. Not disclosed, because consent has not been obtained from the lessee.

- 31 -

b.

Occupancy rate trends
Trends in portfolio asset occupancy rates as at the end of each accounting period are as follows.
(%)
Occupancy rate (Note 1)

Category

Logistics
facilities

4th period(From February
1, 2018 to July
31, 2018)

5th period(From August 1,
2018 to January
31, 2019)

6th period(From February
1, 2019 to July
31, 2019)

7th period(From August 1,
2019 to January
31, 2020)

8th period(From February
1, 2020 to July
31, 2020)

GLP/MFLP
Ichikawa
Shiohama

100.0

100.0

100.0

87.6

100.0

L-2

MFLP Kuki

100.0

100.0

100.0

100.0

100.0

L-3

MFLP Yokohama
Daikoku

100.0

100.0

100.0

100.0

100.0

L-4

MFLP Yashio

100.0

100.0

100.0

100.0

100.0

L-5

MFLP Atsugi

100.0

100.0

100.0

100.0

100.0

L-6

MFLP Funabashi
Nishiura

100.0

100.0

100.0

100.0

100.0

L-7

MFLP Kashiwa

100.0

100.0

100.0

100.0

100.0

L-8

MFLP Sakai

100.0

100.0

100.0

100.0

100.0

L-9

MFLP Komaki

100.0

100.0

100.0

100.0

100.0

L-10

MFLP Hino

100.0

100.0

100.0

100.0

100.0

L-11

MFLP Hiratsuka

100.0

100.0

100.0

100.0

100.0

L-12

MFLP Tsukuba

–

100.0

100.0

100.0

100.0

Property no.

Property name

L-1

L-13

MFLP Inazawa

–

–

100.0

100.0

100.0

L-14

MFLP Atsugi II

–

–

100.0

100.0

100.0

L-15

MFLP Fukuoka I

–

–

100.0

100.0

100.0

L-16

MFLP Prologis
Park Kawagoe

–

–

–

–

100.0

L-17

MFLP Hiroshima
I

–

–

–

–

100.0

L-18

MFLP Ibaraki

–

–

–

–

–

L-19

MFLP
Kawaguchi I

–

–

–

–

–

L-20

MFLP Yachiyo
Katsutadai

–

–

–

–

–

L-21

MFLP Osaka I

–

–

–

–

–

L-22

MFLP Hiratsuka
II

–

–

–

–

–

100.0

100.0

100.0

99.1

100.0

Subtotal(average)

Industrial realestate

I-1

MFIP Inzai

Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)

I-2

MFIP Inzai II

–

–

–

–

–

Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)

100.0

100.0

100.0

99.1

100.0

Subtotal(average)
Total(average)- 32 -

(%)
Occupancy rate (Note 1)
Category

Logistics
facilities

9th period(From August 1,
2020 to January
31, 2021)

10th period(From February
1, 2021 to July
31, 2021)

11th period(From August 1,
2021 to January
31, 2022)

12th period(From February
1, 2022 to July
31, 2022)

13th period(From August 1,
2022 to January
31, 2023)

GLP/MFLP
Ichikawa
Shiohama

100.0

100.0

100.0

100.0

100.0

L-2

MFLP Kuki

100.0

100.0

100.0

100.0

100.0

L-3

MFLP Yokohama
Daikoku

100.0

100.0

100.0

100.0

100.0

L-4

MFLP Yashio

100.0

100.0

100.0

100.0

100.0

L-5

MFLP Atsugi

100.0

100.0

100.0

100.0

100.0

L-6

MFLP Funabashi
Nishiura

100.0

100.0

100.0

100.0

100.0

L-7

MFLP Kashiwa

100.0

100.0

100.0

100.0

100.0

L-8

MFLP Sakai

100.0

100.0

100.0

100.0

100.0

L-9

MFLP Komaki

100.0

100.0

100.0

100.0

100.0

L-10

MFLP Hino

99.9

99.9

100.0

96.8

100.0

L-11

MFLP Hiratsuka

100.0

100.0

100.0

100.0

100.0

L-12

MFLP Tsukuba

100.0

100.0

100.0

100.0

100.0

Property no.

Property name

L-1

L-13

MFLP Inazawa

100.0

100.0

100.0

100.0

100.0

L-14

MFLP Atsugi II

100.0

100.0

100.0

100.0

100.0

L-15

MFLP Fukuoka I

100.0

100.0

100.0

100.0

100.0

L-16

MFLP Prologis
Park Kawagoe

100.0

100.0

100.0

100.0

94.2

L-17

MFLP Hiroshima
I

100.0

100.0

100.0

100.0

100.0

L-18

MFLP Ibaraki

100.0

100.0

100.0

100.0

100.0

L-19

MFLP
Kawaguchi I

100.0

100.0

100.0

100.0

100.0

L-20

MFLP Yachiyo
Katsutadai

–

–

–

100.0

100.0

L-21

MFLP Osaka I

–

–

–

100.0

100.0

L-22

MFLP Hiratsuka
II

–

–

–

100.0

100.0

100.0

100.0

100.0

99.9

99.7

Subtotal(average)

Industrial realestate

I-1

MFIP Inzai

Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)

I-2

MFIP Inzai II

–

100.0

100.0

100.0

100.0

Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)Not disclosed(Note 2)

100.0

100.0

100.0

99.9

Subtotal(average)
Total(average)

99.8

Notes:
1.

“Occupancy rate” is the share of the leased area of the buildings in the leasable area for said buildings for each property at the end of each accounting
period, rounded to the first decimal place. Occupancy rates for the subtotal (average) section and total (average) section are the share of the total leased
area of the properties of the total leasable area of said properties, rounded to the first decimal place.

2.

Not disclosed, because consent has not been obtained from the lessee.

- 33 -

c.

Information on major real estates and other properties
The following is an overview of the real estates held by MFLP-REIT whose annual rent makes up 10% or more of
the total annual rent for the entire portfolio as of January 31, 2023.

Property name

Annual rent (millions of yen)
(Note 1)

Rent ratio (%)(Note 2)

MFLP Ibaraki

3,433

17.2

Total

3,433

17.2

Notes:
1.

“Annual rent” represents the annualized amount of rent (the sum of annualized amounts of rent if a multiple number of lease agreements have been
executed), which is 12 times monthly rent (including common area charges) indicated in the Subject Lease Agreements for buildings in each portfolio assetof MFLP-REIT as of January 31, 2023, rounded down to the nearest million yen. If a master lease agreement has been concluded based upon said portfolio
asset, this is calculated based upon lease agreements with the end-tenants. However, if there are different provisions for monthly rent depending on thetime period in each Subject Lease Agreement, the monthly rent (including common area charges) for January 2023 shown in said lease agreement is thebasis of the calculation. The rent-free periods and annual rent holiday periods (meaning that the payment of rents for specific months is exempted) as ofJanuary 31, 2023 shall not be included.

2.

“Rent ratio” is the ratio of the annual rent of said property to the total of annual rents for the entire portfolio rounded to the first decimal place.

d.

Information about main tenant
Disclosure of this information has been omitted as there were no tenants of the assets held by MFLP-REIT with aleased area of 10% or more of the total leased area of the entire portfolio as of January 31, 2023 (including endtenants for assets with a pass-through master lease agreement concluded or to be concluded, but not including
master lease companies concluding or planning to conclude said master lease agreements).

- 34 -

(C)Capital expenditures of real estate helda.

Schedule of capital expenditures
Of the capital expenditures accompanying renovations, etc. currently planned for real estate and real estate in trustof real estate trust beneficiary interests held by MFLP-REIT, the following are the major planned amounts. Theremay be cases where the planned construction amount ends up being in part expensed in accounting instead ofbeing capitalized.

Name of real estate, etc.

Location

PurposeScheduled time

Planned construction amount(millions of yen)
(Note)
Total amountAmount paid
during period

Total amountalready paid

From December 2022
to February 2023

12

–

–

GLP/MFLP Ichikawa
Shiohama

Ichikawa-shi, Chiba

Installation of LED lighting

GLP/MFLP Ichikawa
Shiohama

Ichikawa-shi, Chiba

Upgrade of lighting
equipment

From March 2023
to May 2023

16

–

–

MFLP Yokohama
Daikoku

Yokohama-shi,
Kanagawa

Exterior wall painting(Section 10)

From January 2023
to June 2023

49

–

–

MFLP Yokohama
Daikoku

Yokohama-shi,
Kanagawa

Lounge renewal work

From April 2023
to June 2023

25

–

–

MFLP Yokohama
Daikoku

Yokohama-shi,
Kanagawa

Exterior wall painting(Section 11)

From August 2023
to December 2023

49

–

–

MFLP Yokohama
Daikoku

Yokohama-shi,
Kanagawa

Lounge renewal work

From August 2023
to December 2023

25

–

–

MFLP Funabashi
Nishiura

Funabashi-shi, Chiba

Installation of LED lighting

From November 2023
to January 2024

38

–

–

MFLP Sakai

Sakai-shi, Osaka

Installation of disconnect
switchFrom May 2023
to June 2023

38

–

–

MFLP Sakai

Sakai-shi, Osaka

Upgrade of electricity meters

From July 2023
to July 2023

11

–

–

MFLP Hino

Hino-shi, Tokyo

Upgrade of lighting
equipment

From January 2023
to January 2024

19

–

–

MFLP Tsukuba

Tsukubamirai-shi,
IbarakiExterior wall work

From August 2023
to December 2023

100

–

–

MFLP Ibaraki

Ibaraki-shi, Osaka

Updating of security systems

From June 2023
to June 2023

11

–

–

MFLP Ibaraki

Ibaraki-shi, Osaka

Replacement of automatic
fire alarms

From July 2023
to January 2024

10

–

–

Note:
For “GLP/MFLP Ichikawa Shiohama,” “MFLP Yokohama Daikoku” and “MFLP Hino,” each planned construction amount is the prorated figure equivalent to
the quasi co-ownership interest in each property that MFLP-REIT held (50%, 50% and 25%, respectively).

- 35 -

b.

Capital expenditures during period
The following summarizes the major construction work falling under capital expenditures conducted during the
fiscal period under review for real estate, etc. held by MFLP-REIT. Capital expenditures in the fiscal period underreview amounted to ¥227 million and, other than this, there was ¥247 million in repair expenses categorized as
operating expenses in the fiscal period under review.

Name of real estate, etc.

Location

Purpose

PeriodConstruction amount(millions of yen)
(Note)MFLP Kuki

Kuki-shi, Saitama

Installation of LED lighting

From December 2022
to January 2023

16

MFLP Yokohama Daikoku

Yokohama-shi, Kanagawa

Exterior wall painting(Section 9)

From June 2022
to December 2022

48

MFLP Yokohama Daikoku

Yokohama-shi, Kanagawa

Upgrade of lighting
equipment

From October 2022
to December 2022

15

MFLP Sakai

Sakai-shi, Osaka

Upgrade of lighting
equipment

From November 2022
to December 2022

10

MFLP Ibaraki

Ibaraki-shi, Osaka

Work on power supply
equipment

From July 2022
to August 2022

25

MFLP Ibaraki

Ibaraki-shi, Osaka

Replacement of fire
extinguishing system

From November 2022
to December 2022

17

Other capital expenditures

93
Total

227

Note:
For “MFLP Yokohama Daikoku,” each construction amount is the prorated figure equivalent to the quasi co-ownership interest held by MFLP-REIT (50%).

c.

Cash reserves for long-term repair and maintenance plans
Not applicable.

- 36 -

(D)Status of individual asset earnings

Property no.

L-1

L-2

L-3

L-4

(Thousands of yen)
L-5

Name

GLP/MFLP
Ichikawa Shiohama

MFLP Kuki

MFLP Yokohama
Daikoku

MFLP Yashio

MFLP Atsugi

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

184 days

184 days

184 days

184 days

Not disclosed(Note)

Not disclosed(Note)

From August 1,
Management period 2022 to January 31,
2023
Number of days ofmanagement(A) Property
leasingbusiness
revenues

184 days494,824

487,163

362,850

Real estateleasingbusiness
revenues

452,964

440,236

340,458

Other revenues
related toproperty
leasing

41,86046,92722,391

118,540

142,700

105,180

Outsourcing
serviceexpenses

41,84734,49727,563

Utilities
expenses

28,37538,70619,144

Repairexpenses

6,840

24,65916,960

Taxes and dues

39,27742,16739,519Various costs
required

2,200

2,668

1,992

(C) NOI (=A–B)

376,284

344,463257,670

254,520

227,992(D) Depreciation
andamortization

80,316110,242

89,55463,47963,139(E) Operating
income fromproperty
leasing (=C–D)

295,967

234,220

168,115

191,040

164,853(B) Property
leasingbusiness
expenses- 37 -

Property no.

L-6

L-7

L-8

L-9

L-10

Name

MFLP Funabashi
Nishiura

MFLP Kashiwa

MFLP Sakai

MFLP Komaki

MFLP Hino

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

184 days

184 days

184 days

184 days

From August 1,
Management period 2022 to January 31,
2023
Number of days ofmanagement

184 days(A) Property
leasingbusiness
revenues

867,114393,260

Real estateleasingbusiness
revenues

775,356

358,757

Other revenues
related toproperty
leasing

91,75734,502(B) Property
leasingbusiness
expenses

Not disclosed(Note)

Not disclosed(Note)

219,530

Not disclosed(Note)

126,123

Outsourcing
serviceexpenses

61,17145,838

Utilities
expenses

60,71430,047

Repairexpenses

11,74010,362

Taxes and dues

81,60638,263

Various costs
required

4,297

1,610

(C) NOI (=A–B)

175,959

172,924

647,583

152,090

267,136(D) Depreciation
andamortization

49,95350,591

205,423

89,68987,195(E) Operating
income fromproperty
leasing (=C–D)

126,006

122,333

442,159

62,401

179,940- 38 -

Property no.

L-11

L-12

L-13

L-14

L-15

Name

MFLP Hiratsuka

MFLP Tsukuba

MFLP Inazawa

MFLP Atsugi II

MFLP Fukuoka I

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

184 days

184 days

184 days

184 days

184 days

Not disclosed(Note)

Not disclosed(Note)

Not disclosed(Note)

Not disclosed(Note)

Not disclosed(Note)(C) NOI (=A–B)

165,818

247,320

391,774

304,763

144,866(D) Depreciation
andamortization

51,312

94,965

182,984

114,21056,431(E) Operating
income fromproperty
leasing (=C–D)

114,505

152,355

208,789

190,553

88,434

From August 1,
Management period 2022 to January 31,
2023
Number of days ofmanagement(A) Property
leasingbusiness
revenues
Real estateleasingbusiness
revenues
Other revenues
related toproperty
leasing(B) Property
leasingbusiness
expenses
Outsourcing
serviceexpensesUtilities
expenses
Repairexpenses
Taxes and dues
Various costs
required- 39 -

Property no.

L-16

L-17

L-18

L-19

L-20

Name

MFLP Prologis
Park Kawagoe

MFLP Hiroshima I

MFLP Ibaraki

MFLP Kawaguchi I

MFLP Yachiyo
Katsutadai

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

184 days

184 days

184 days

184 days

Not disclosed(Note)

Not disclosed(Note)

From August 1,
Management period 2022 to January 31,
2023
Number of days ofmanagement(A) Property
leasingbusiness
revenues

184 days449,498

520,477

1,878,659

Real estateleasingbusiness
revenues

425,082

479,351

1,738,723

Other revenues
related toproperty
leasing

24,416

41,125

139,936(B) Property
leasingbusiness
expenses

101,412

127,929504,003

Outsourcing
serviceexpenses

25,01033,998

108,717

Utilities
expenses

26,42328,904

98,365

Repairexpenses

1,650

2,588

32,799Taxes and dues

46,68059,646

164,670

Various costs
required

1,648

2,791

99,451(C) NOI (=A–B)

348,085

392,547

1,374,656

388,636460,277(D) Depreciation
andamortization

107,342

133,159

426,188

93,775

151,648(E) Operating
income fromproperty
leasing (=C–D)

240,743

259,387

948,467

294,861

308,629- 40 -

Property no.

L-21

L-22

Name

MFLP Osaka I

MFLP Hiratsuka II

MFIP Inzai

MFIP Inzai II

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

From August 1,
2022 to January 31,
2023

184 days

184 days

184 days

From August 1,
Management period 2022 to January 31,
2023
Number of days ofmanagement

184 days

I-1

I-2(A) Property
leasingbusiness
revenues

10,960,854

Real estateleasingbusiness
revenues

10,245,890

Other revenues
related toproperty
leasing(B) Property
leasingbusiness
expenses

Total

714,964

Not disclosed(Note)

Not disclosed(Note)

Not disclosed(Note)

Not disclosed(Note)

2,563,936

Outsourcing
serviceexpenses

688,732

Utilities
expenses

551,994

Repairexpenses

247,755

Taxes and dues

930,448

Various costs
required

145,005(C) NOI (=A–B)

315,408

314,983

306,730

364,4228,396,917(D) Depreciation
andamortization

91,43486,87897,526130,486

2,707,930(E) Operating
income fromproperty
leasing (=C–D)

223,974

228,104

209,204

233,936

5,688,986

Note:
Not disclosed, because consent has not been obtained from the tenants.

- 41 -

Disclaimer
This document is a translation of the original Japanese document (“Kessan-Tanshin”) of Mitsui
Fudosan Logistics Park Inc. The Kessan-Tanshin of Mitsui Fudosan Logistics Park Inc. has been
prepared in accordance with generally accepted accounting principles in Japan (Japanese GAAP) andJapanese laws, which may materially differ in certain respects from generally accepted accounting
principles in other jurisdictions.
Figures indicated in units of one million yen have been rounded down to eliminate amounts of lessthan one million yen. Please note that this English translation of the original Japanese document was
prepared solely for the convenience of and reference by overseas investors, and is not intended to be
an offer for the sale, or solicitation of an offer to make a purchase, of any securities of Mitsui Fudosan
Logistics Park Inc.
English terms for Japanese legal, accounting, tax and business concepts used herein may not be
precisely identical to the concept of the equivalent Japanese terms. With respect to any and all terms
herein, including without limitation, financial statements, if there exist any discrepancies in themeaning or interpretation thereof between the original Japanese document and English statements
contained herein, the original Japanese document will always govern the meaning and interpretation.
None of Mitsui Fudosan Logistics Park Inc., Mitsui Fudosan Logistics REIT Management Co., Ltd.
or any of their respective directors, officers, employees, partners, unitholders/shareholders, agents oraffiliates will be responsible or liable for the completeness, appropriateness or accuracy of English
translations. No person has been authorized to give any information or make any representations otherthan as contained in this document in relation to the matters set out in this document, and if given or
made, such information or representation must not be relied upon as having been authorized by Mitsui
Fudosan Logistics Park Inc., Mitsui Fudosan Logistics REIT Management Co., Ltd. or any of theirrespective directors, officers, employees, partners, unitholders/shareholders, agents or affiliates.
Many provisions of this document contain forward-looking statements and information. We base thesestatements on our beliefs as well as our assumptions based solely on certain limited information
currently available to us.
The forward-looking statements in this document are based on assumptions about the business of
Mitsui Fudosan Logistics Park Inc. and are subject to various risks and uncertainties. Please be awarethat actual financial conditions, operating results and businesses may differ materially from suchforward-looking statements. Mitsui Fudosan Logistics Park Inc. does not intend and disclaims any
duty or obligation to update or revise any forward-looking statements contained in this document toreflect new information, future events or otherwise. Investors should not place undue reliance on theforward-looking statements contained in this document.
Duplication or reproduction of any information contained in this document without the prior consent
of Mitsui Fudosan Logistics Park Inc. is strictly prohibited.

- 42 -