第12期（2022年7月期）
12th Fiscal Period（Fiscal Period Ended July 31, 2022）
証券コード 3471

決算説明会資料
Investor
Presentation
Material

9/8(木) CCOによる確認、修正予備日
9/9(金)ファイナル化
変更予定箇所地図（P.6,18,20,35）
表紙

2022年9月14日

三井不動産ロジスティクスパーク投資法人

Mitsui Fudosan Logistics Park Inc.
(MFLP-REIT)
Securities Code 3471

0

Table of Contents
1. Highlights

4. Appendix…… P03•Our Portfolio…… P39

1-1 External Growth…… P04•Individual Property Income Statement…… P41

1-2 Internal Growth…… P07for 12th Fiscal Period

1-3 Initiatives for ESG…… P08…… P42

1-4 Financial Strategy…… P09•Appraisal Summary for the End of 12th Fiscal
Period

1-5 DPU Growth…… P10•Statement of Income and Balance Sheet…… P431-6 12th Fiscal Period (Ended July 2022) P/L…… P11•External Evaluation and Certifications…… P44•Investment Unit Price Trends/Status ofUnitholders…… P45…… P46

Operating Highlights

2. Growth Strategy of MFLP-REIT……

P15• Mitsui Fudosan’s Major Development /

……

P17

Operation Track Record

2-2 Internal Growth Strategy

……

P24

2-3 Initiatives for ESG

……

P26

2-4 Financial Strategy

……

P30

2-5 DPU Growth

……

P31

Basic Strategy and Four Roadmaps
2-1 External Growth Strategy(Expansion of Asset Size)

Notes on Matters Stated in This Document

Disclaimer

3. Market Overview
3-1 Market Overview…… P331

1. Highlights

2

1 Operating Highlights
Continued steady growth through strategic partnership with Mitsui Fudosan
12th Fiscal Period Financial Summary••••

Financial Summary

Distributions per unit (DPU)*

12th FP: Revenue, Profit, DPU up for 11 consecutive FPs
Operating revenue 10.6 billion yen (+1.10 bn vs 11th FP act.)
Ordinary income
4.1 billion yen (+0.42 bn vs 11th FP act.)
Net income
4.1 billion yen (+0.42 bn vs 11th FP act.)• 12th FP actual 8,353 yen (+6.9% vs 10th FP act.)• Average annual growth of 9.0% since IPO• 13th FP forecast 8,396 yen (+6.3% vs 11th FP act.)

1-1 External Growth

1-3 ESG Initiatives• Maintained focus on location, quality and balance in acquiringproperties after the start of the pandemic*
Total acquisitions: 6 properties for 137.1 billion yen
Average age of acquired properties* 2.3 years. Further
improved portfolio stability through balanced acquisition ofproperties in prime locations in Greater Tokyo and Osaka• Robust pipeline with 11

ROFL* properties,

1.04

•

Promoting green power with green power supply tocommon areas starting with Greater Tokyo area

• Steady progress on initiatives to achieve Environmental KPI
set in March 2022, such as the environmental certification and
LED adoption ratios, reflecting the impact of acquisitions

made in 12th FP

million m2

1-2 Internal Growth• Logistics facilities’ demand remains strong: market conditions firm,
particularly in Greater Tokyo and Greater Osaka• Average occupancy rate during 12th FP* of 98.5% exceeded
97.6% forecast. End-12th FP occupancy rate remained high at
99.9% Good progress on lease signings: signings for 13th FP
expiries largely complete

1-4 Financial Strategy• End-12th FP (act.) and end-13th FP (forecast) LTV* 36.5 % and35.8% respectively. Projected acquisition capacity* as of end13th FP (at 50% LTV): 95 billion yen• Raised commitment line by 10 billion yen, strengthening financial
soundness• Did first green loan, further promoting ESG finance* For further details, please refer to [Highlights] [Properties acquired after the start of the pandemic] [ROFL: Properties defined in “Right of first look and preferential negotiation rights agreement”] in the Notes on Matters Statedin this Document on p.47-48

31-1. External Growth [1] - Acquisitions after the start of the pandemic -Portfolio stability and growth significantly improved on continued acquisitions
Overview of acquisitions of properties acquired after the start of the pandemic
No. of properties

6 properties
Total floor area

Greater Osaka area

Greater Tokyo area

Other

Central Osaka area

Osaka inland area

Chiba inland area

Kanagawa inland area

Adjacent to Central Tokyo

Slope

Rampway

Slope

Box

Slope

Data Center

Acquired in the 12th FP

Acquired in the 9th FP

Acquired in the 12th FP

Acquired in the 12th FP

Acquired in the 9th FP

Acquired in the 10th FP

MFLP Osaka I

MFLP Ibaraki

MFLP Yachiyo
Katsutadai

MFLP Hiratsuka II

MFLP Kawaguchi I

MFIP Inzai II

470,000 ㎡
Acquisition price137.1 billion yen■ Quality■ Location■ Balance

Acquisition of young and highly competitive
properties further enhances MFLP-REIT’s
portfolio strengths. Was also able to acquirecompetitive properties at reasonable prices

Building a well-balanced portfolio of properties insuperior locations. Focus on acquiring properties
in excellent locations in Greater Tokyo andOsaka, where the market remains firm

Further enhanced portfolio balance throughacquisitions of the 3 types of logistics facilities(rampway, slope and box) and a second data
center. Acquired properties enabled for a diverse
array of tenants and end users

Average building age

2.3 years
Adjusted forecast NOI yield *4.4％Greater
Osaka area
59.7%

Greater Tokyo
area
40.3%

Enhanced portfolio diversification throughacquisitions in sub-markets such as Central
Osaka, inland Osaka, inland Chiba and the areaadjacent to Central Tokyo* Percentages shown in the pie chart above reflect acquisition prices
for 5 of the acquired properties, excluding MFIP Inzai II* For further details, please refer to [Highlights] in the Notes on Matters Stated in this Document on p.47-48

Rampway MFLP
42.9%

Data center
11.0%
Box MFLP
9.3%

Slope MFLP
36.7%
* Percentages shown in the above pie chart based on the acquisition
prices for the 6 acquired properties41-1. External Growth [2]Solid progress toward achieving medium-term asset size target of 500 billion yen
Properties coveredby the “Right offirst look andpreferential
negotiation rights
agreement”

Construction completed
8 properties 910,000 ㎡
LeasedLeasedLeasedMFLP Yokohama Kohoku

MFLP Hino (75%)

11 properties

LeasedUnder construction
3 properties 120,000 ㎡

MFLP Funabashi III
LeasedLeasedNew

LeasedMFLP Ichikawa Shiohama II(60%)

SG Realty MFLP
Fukuoka Kasuya (50%)

MFLP Shinkiba I

Leased

1,040,000 ㎡
MFLP Funabashi II

MFLP Tokorozawa

MFLP Osaka Katano

MFLP Tomei Ayase (50%)

MFLP Yatomi Kisosaki

3 properties acquired in the 12th FP 44.6 billion yen
Furtheracquisitions

MFLP-REIT’s
asset size
24 properties
342.2 billion yen

MFLP Yachiyo Katsutadai

MFLP Hiratsuka II

Medium-term
asset size target
500.0 billion yen

MFLP Osaka I
24 properties
20 properties

1,420,000 ㎡

21 properties 21 properties
342.2

18 properties

297.6

297.6

billion yen

billion yen

End of10th FPEnd of11th FP

billion yen

Aim forcontinuous
external growth282.4

16 properties 16 properties

billion yen

13 properties

205.0

12 properties
9 properties 9 properties10 properties
75.5

78.7

98.3

billion yen

billion yen

billion yen

billion yen

End of
1st FP

End of
2nd FP

End of
3rd FP

End of
4th FP

75.5

billion yen

103.5
billion yen

End of
5th FP

156.7

156.7

billion yen

billion yen

End of
6th FP

End of
7th FP

End of
8th FP

End of
9th FP

End of12th FPEnd of13th FPEnd of14th FP

Medium-term

5

1-1. External Growth [3] -Advantage of portfolio and pipeline-

Superior locations of properties defined in Right of First Look and Preferential
Negotiation Rights Agreement and developed by Mitsui Fudosan
Greater Tokyo area

Greater Osaka area

：Logistics facilities properties heldby MFLP-REIT：Industrial real estate* properties heldby MFLP-REIT：Properties defined in Right of first look andpreferential negotiation rights agreement：Properties developed by Mitsui Fudosan* Population distribution data based on Ministry of Land, Infrastructure and Transport’s data on Future Population Estimates by 1 k㎡ (2018 Estimates)* For further details, please refer to [Industrial real estate] in the Notes on Matters Stated in this Document on p.47-48.

Population Density（people/k㎡）

0～5,000
5,001～10,000
10,001～6

1-2. Internal Growth

Maintain high occupancy on strong demand, strength of Mitsui Fudosan’s leasing
Increase in demand for floor space in logistics facilities■ Market conditions of Greater Tokyo area

■ Market conditions of Greater Osaka area

Forecast(thousand m2)
4,000

10%

■ Market conditions of Greater Nagoya area

Forecast(thousand m2)
1,500

Forecast(thousand m2)
1,000

10%

15%
12.3%

3,000
1,000
2,000

10%
5%

5%
500

3.1%

1,000

0
2020

New supply

2021

2022

0%
2018

2023 （year ）New demand

2.5%

0

0%
2019

5%

0.6%

1.0%
2018

500

1.6%

2019

2020

2021

2022

0%
2018

2019

2020

2021

2022

2023（year ）Source: CBRE K.K. (including forecast figures) (August 2022)* The survey is of rental logistics facilities that are held by real estate investment companies,
real estate development companies, etc. and have total floor area of 5,000 m2 or more.
* Vacancy rate in 2022 is as of the end of June 2022.

Vacancy rate(logistics facilities 1 year old or older)

Vacancy rate

02023 （year ）Status of lease signings and occupancy rates■ Occupancy rates■ Lease signings
Solid progress on lease signings for contracts including space spoken forin Greater Tokyo, Greater Osaka and Greater Nagoya
Spoken for
0.6%

12th FP
expiries
13th FP
expiries

99.4%
53.0%
92.3%
100%

47.0%

（％）
100

100
129,396㎡

100

99

98

42,863㎡

7.7%

14th FP

53.4%

expiries

100%

46.6%

97

132,361㎡＋0.9 pt
96

SignedSpoken for

Renewals

New leases

Unsigned*1 Figures reflect leased floor space based on leases in force as of July 31, 2022.
Figures for 12th FP are based on leased floor space for all leases which expired during the period.

Occupancy rates assumed inearnings forecasts
100

99.9

100

12th FP
avg. occupancy
rate during
period13th FP
avg. occupancy
rate during
period14th FP
avg. occupancy
rate during
periodForecast

Forecast

Forecast

97.6%

99.8%

99.6%

Actual98.5%

95
end of 10th FP（Jul. 31, 2021）

end of 11th FP（Jan. 31, 2022）

end of 12th FP（Jul. 31, 2022）

end of 13th FP（Jan. 31, 2023）
forecast

end of 14th FP（Jul. 31, 2023）
forecast

7

1-3. Initiatives for ESG

Further strengthening of ESG initiatives
Promoting transition to green power

Progress of Environmental KPIs in the 12th FP

Transition to green power use in common areas from October 2022 at 7
multi-tenant properties in Greater Tokyo. Also preparing framework to
supply green power for use in dedicated tenant space as tenants needs.
From April 2023, will be able to supply green power in the Greater
Osaka and Nagoya areas, bringing the total to 11. Also considering
additional installation of solar power facilities and a scheme to use
generated green power on-site or to transmit to other MFLP-REIT
properties

Green certification and LED adoption completed for all 3 properties
acquired in 12th FP. Making solid progress toward environmental
KPIs with measures such as transition to LED lighting in existing
properties, and adoption of green leases for new contracts. Pleasesee 2nd ESG report for more details. Will continue to strengthen
initiatives to achieve environmental KPIs

■ Image of power supply framework
Commonarea

Comprehensive
green power
agreements

Powercompanies

Green

Planned start dates
for green power supply
Greater Tokyo: Oct. 2022～
Greater Osaka: April 2023～
Greater Nagoya: April 2023～

power
Mitsui
Fudosan Conventional
power

Green

Properties
power
owned
Dedicated
Conventionalby MFLP
power
tenantarea■ Trend in green power use ratio in common areas for multi-

MFLP Yachiyo Katsutadai

MFLP Hiratsuka II

MFLP Osaka I■ Progress on KPIs
Targets

End of 11th FP

End of 12th FP

Logistics facilities

Maintain at least 95%

95.9％（18/19 properties）

96.3％（21/22 properties）

Portfolio

Maintain at least 90%

91.7％（18/21 properties）

92.5％（21/24 properties）

Green Building certification

tenant properties
LED lighting adoption ratio

0/15
properties

As of July 2022

7/15

11/15

properties

properties

Forecast
as of October 2022

Forecast
as of April 2023

Objectives under consideration■ Inclusion in major indices such as ESG Indices

Owner-managed portion

100％ by 2023

88.0％*1*2
91.6％*1*2（ref. 8/12 properties） （ref.13/15 properties）

Tenant-managed portion

100％ by 2030

79.5％*1
83.6％*1（ref. 13/21 properties） （ref.16/24 properties）

Green leases adoption ratio
Portfolio

At least 75% by 2025
At least 90% by 2030

22.0%*3

23.1%*3*1 Calculations based on total floor area adjusted to reflect quasi co-ownership interests.
*2 Exclude single tenant properties from the denominator of properties owned by MFLP-REIT*3 Calculations based on leasable floor area adjusted to reflect quasi co-ownership interests.

■ Quantitative scenario analysis
8

1 -4. Financial Strategy
LTV management and stable financial operation
LTV Management
End of 11th fiscal period(January 31, 2022)

Borrowings related to theacquisition of properties
acquired in the 12th FP

End of 12th fiscal period

End of 13th fiscal period(July 31, 2022)(January 31, 2023) (Forecast)

Total interest-bearing debt

97.4 billion yen

28.6 billion yen

123.9 billion yen

119.5 billion yen

LTV

33.1%

-

36.5%

35.8%

LTV-based capacity for
acquisitions (LTV to 50%)

100.0 billion yen-

91.0 billion yen

95.0 billion yen

Average interest rate

0.34%

0.41%

0.37%

-

7.8 years

8.9 years

8.1 years

8.2 years(long-term only)

100%

100%

100%

98.3%

Commitment line

8.0 billion yen-

8.0 billion yen

10.0 billion yen

Average time to maturity(long-term only)

Fixed interest ratio

Credit rating

AA (Stable) * as of the date of this material(Credit rating agency: JCR)ESG Finance■Sustainability Bonds■Green Loans

Issued 1st Sustainability Bond on February, 2021
Name

Total isue amountTerm

1st Unsecured Bonds

3.0 billion yen

10 years

In August and September 2022, MFLP-REIT did its first green loans torefinance past borrowings used to fund acquisitions
LenderTotal issue amount

TermEligible assets
Eligible Green Project Criteria

Eligible assets
Eligible Green Eligible Social
Project Criteria Project Criteria

MFLP Kawaguchi I

Eligible Green Project Criteria

MFLP Ibaraki

Mizuho Bank, Ltd.

0.4 billion yen

10 years

The Norinchukin Bank

0.5 billion yen

7 years

Nippon Life Insurance
Company

0.5 billion yen

9 years

Sumitomo Mitsui
Banking Corporation

2.0 billion yen

11 years

MFLP Sakai

Continue to promote
ESG-conscious asset
management throughESG financing

MFLP Kuki
6 otherproperties

GLP・MFLP Ichikawa
Shiohama

91-5. DPU Growth

Achieve continuous DPU growth through property acquisitions and stable asset management
Seasonal factors related to solar
power generation, expensing of
fixed asset and city planning tax
for 3 properties acquired in 12thFP

Achieve continuous DPU growth, supported by acquisition of MFLP
Yachiyo Katsutadai, MFLP Hiratsuka II and MFLP Osaka I in 12 th FP andcontinued stable operations

Aim forupside

+6.3%
+6.9%

8,353 yen

7,816 yen

8,396yen

Negativefactors

8,263 yen

7,895 yen

MFLP Yachiyo
Katsutadai
2 other properties
Acquisition price44.6 billion yen

5th PO
Annual average growth rate (per year) +9.0%
10th fiscal period
ActualNo. ofproperties

21

11th fiscal period
Actual12th fiscal period
Actual13th fiscal period
Forecast

21

24

24

14th fiscal period
Forecast

24

Expansion of NAV per unit *NAV per unit

End of 1st fiscal period

End of 12th fiscal period(January 31, 2017)(July 31, 2022)

273,318 yen

450,386 yen

Average annual growth rate of NAV per unit from January 31, 2017 +9.5%* For further details, please refer to [Highlights] in the Notes on Matters Stated in this Document on p.47-48

Aim to further stabilize theunit price as well as
achieving better liquidity

10

1

-6.

12th Fiscal Period (Ended July 2022) P/L
11th fiscal
periodActual(a)

12th fiscal
periodForecast(Mar. 15.
2022)

12th fiscal
periodActual(b)

Difference(b)-(a)Operating revenue

9,502

10,41010,607

1,105

Operating expenses

5,531

6,114

6,148

617

(Unit: million yen)

Main breakdown of difference

Operating revenue
Increase due to properties acquired in the 12th FP+1,224(MFLP Yachiyo Katsutadai, Hiratsuka II and Osaka I)

Increase in photovoltaic power generation facilities rent revenue

Of which, depreciation(excluding properties acquired in the 12 th FP)

2,372

2,701

2,708

335

3,971

4,296

4,459

487

Non-operating income

1

-

0

-0

Non-operating expenses

230

294

293

62

(depreciation related to properties only)

Operating income

Decline related to lease renewals for floor space at several
existing properties
Increase in other operating revenue

Operating expenses
Increase due to properties acquired in the 12th FP

3,742

4,001

4,166

424

Decrease in repair expenses(excluding properties acquired in the 12th FP)

Profit (Net income)

3,741

4,000

4,165

424

Increase in asset management fees
Increase in other operating expenses

Distribution per unit
(DPU) (yen)

7,895

8,352

8,353

458

6,902

6,945

7,231

329

Of which,
Distribution in excess of earnings per unit (yen)

993

1,407

1,122

129

Of which, one-off distribution in excess of earnings per unit (yen)

(0)

(209)

(0)

(0)

Distribution in excess of earnings expressed asa percentage of depreciation

22.7%

30.0%

23.9%

-

+46
-69
+111
+81

Non-operating expenses
Interest expenses
Increase in other non-operating expenses

Of which,
Distribution of earnings per unit (EPU) (yen)+447(MFLP Yachiyo Katsutadai, Hiratsuka II and Osaka I)

Expensing of fixed asset tax and city planning tax forproperties acquired in the 10th FP (MFIP Inzai II)

Ordinary income

+66

-242
+57

+54
+8

11

1

-6.

13th Fiscal Period (Ending January 2023) Earnings Forecast
12th fiscal
periodActual(a)

13th fiscal
periodForecast(b)

Difference(b)-(a)Operating revenue

10,607

10,864257

Operating expenses

6,148

6,398

249

2,708

2,730

21

4,459

4,466

7

Non-operating income

0

-

-0

Non-operating expenses

293

286

-6

(Unit: million yen)

Of which, depreciation(depreciation related to properties only)

Operating income

14th period
Forecast

Main breakdown of difference

10,784

Operating revenue
Increase on completed lease signings for floor area
in several existing properties+229

Increase in utilities charge+135

Decrease in photovoltaic power generation facilities
rent revenue-68

Decrease in other operating revenue-39

Operating expenses

+77
+107
+37
+26

Increase in utilities expense
Increase in asset management fees

Ordinary income

4,166

4,180

13

Increase in other operating expenses

Profit (Net income)

4,165

4,179

13

Non-operating expenses

Of which,
Distribution of earnings per unit (EPU) (yen)

4,062

+9
-16

Decrease in other non-operating expenses

8,396

278

4,061

Interest expenses

8,353

2,737

4,341

Increase in repair expenses

Distribution per unit
(DPU) (yen)6,442 *1

43

8,263
<Reference>
Formula for distribution per unit based on FFO*

7,231

7,255

24

Of which,
Distribution in excess of earnings per unit (yen)

1,122

1,141

19

Distribution in excess of earnings expressed asa percentage of depreciation

23.9%

24.1%

-

FFO

＝

Profit (Net income)Source of funds for
distribution

＝

① FFO

Distribution per unit＝

②Source of funds for
distribution* For further details, please refer to [Method of calculation of cash distribution based on FFO] in the Notes on Matters Stated in this Document on p.47-48.
*1 Includes the fixed asset tax and city planning tax (121 million yen) for the properties acquired in the 12th FP (MFLP Yachiyo Katsutadai, Hiratsuka II and Osaka I).

＋

Depreciation, etc.

…①

×

70%

…②

÷

Number of investment
units issued andoutstanding

7,052
1,211
25.5%

12

MEMO

13

2. Basic Strategy of MFLP-REIT

14

2

Basic Strategy and Four Roadmaps

Maximize unitholder value through a strategic partnership with Mitsui Fudosan

Mitsui Fudosan
Logistics Park Inc.

External Growth

Own

Develop

Strategic
Partnership
Internal Growth

Strong development capabilities as
a comprehensive developer
Superior land sourcing ability
enabled by CRE strategies

Superior leasing capability
leveraging Group’s network

ManageStable Management

Maximize unitholder value

Evolutional solutions-based
asset management

Expansion of logistics
facilities business15

2

Basic Strategy and Four Roadmaps

Leveraging growth in asset size as main driver of steady DPU growthFiscal 2016 - 2021

Fiscal 2022
12th fiscal
period

1st – 11th fiscal periods
Acquisition with
4th follow-on borrowed funds, etc.
offering
March 2021
September 2020

Asset Size

18 properties
9 properties

75.5

・・・・・

billion yen

205.0

20 properties

21 properties

282.4

297.6

billion yen

Fiscal 2023 and after

13th fiscal
period5th follow-on
offering

15th fiscal period and after

14th fiscal period

Aim to acquire properties
in a continuous manner,
focused on high-quality
properties covered by “Rightof first look and preferential
negotiation rights agreement”

January 2022 24 properties

342.2
billion yen

billion yen

billion yen

Aim for further
500.0 expansion ofbillion yen asset size
Medium-term
asset size target

Average annual growth rate since listing +28.7%

LTV

24.5％

End of 9th
fiscal period

End of 10th
fiscal period

End of 11th
fiscal period

30.2％

31.0％

33.6％

33.1％

36.5％

35.8％

82.0
billion yen

109.0
billion yen

97.0
billion yen

100.0billion yen

91.0
billion yen

95.0
billion yen

10thfiscal period

11thfiscal period

12thfiscal period

7,895

8,353

End of 8th
fiscal period

End of 1st
fiscal period

・・・・・

LTV-based capacity for
acquisitions(LTV to 50%)

Distribution per unit(DPU)
8thfiscal period
1stfiscal period

5,198

・・・・・

End of 13th
fiscal period(Forecast)End of 12th
fiscal period

6,977
yen

9th
fiscal period

7,283

7,816
yen

yen

（July 31, 2022）（January 31, 2023）

End of 14th
fiscal period(Forecast)Fund procurement and LTV
management optimal for sizeof acquired assets

yen

yen

35.9％

40% to 50％
Medium- tolong-term
stabilized LTV level

94.0
billion yen

13th fiscal period（Forecast）

8,396（July 31, 2023）

14th fiscal period（Forecast）

Continuous DPU growththrough leverage effects, etc.

8,263
yen

Growthpotential

yen

yen

Average annual growth rate (per year) +9.0%

Market Cap*
End of 8th
fiscal period
End of 1st
fiscal period

76.1

・・・・・

254.4

End of 9th
fiscal period

284.0

billion yen

billion yen

352,401 yen

389,732 yen

End of 10th
fiscal period

End of 11th
fiscal period

End of 12th
fiscal period

Expansion of market cap
through public offerings, etc.

332.7
billion yen

306.7

301.2

billion yen

billion yen

407,663 yen

423,819 yen

450,386 yen

Inclusion in major indices

Aim forenhancement ofinvestment
liquidity

billion yen
273,318 yen
NAV per unit

Average annual growth rate of NAV per unit from January 31, 2017 +9.5%* For further details, please refer to [Our Basic Strategy and Four Roadmaps] in the Notes on Matters Stated in this Document on p.47-48.

16

2-1. External Growth Strategy (Expansion of Asset Size) 1

CRE Strategy: Mitsui Fudosan increasing quality developments in superior locations
Ability to secure development sites through its corporate real estate (CRE) strategy
Various CRE needs of client firms
Rebuilding of corporate
logistics capabilities

Utilization ofidle land

Trimming balance
sheet(Asset disposal)

Development ofcorporate
infrastructure

Propose CRE
strategies
Global development(Establishment ofoverseas sites)

Examples of superior location and high quality of
Mitsui Fudosan developments

Sale of realestate, etc.

Growth image for properties (to be)
developed/operated by Mitsui Fudosan*■ MFLP Ichikawa Shiohama II

Cumulative total investment size as of April 2022

・ Industry’s largest scale logistics facility: floor space appox.166,000㎡
・ Provide workplaces with generous common areas to support diverse
working styles
・ Environmental initiatives aimed at achieving decarbonization

53 facilities 700.0 billion yen *Basic specifications

External appearance

Car number recognition
system

4-story, MFLP on 82,600㎡ site withindustry-leading specs such as aseismic isolation structure, automatedlicense plate recognition system andweighing station to prevent trucks
from exceeding load limits.

Generous workspaces

Terrace

Using solar power generation toachieve 100% green power usage incommon areas. Build green belts(green infrastructure) on site toconserve biodiversity in the local area.

Transition to“Logistics Properties
Business Division”
at Mitsui Fudosan

Recreation room

Pleasant and open common areas tofacilitate communication. Includes a
deck terrace with a panoramic oceanview, a cafeteria lounge andrecreation room.

Environmental initiatives

Cumulative total investment size as of November 201940facilities 570.0 billion yen *Green initiatives

Bird bath（

MFLPREIT
IPO

Mitsui
Fudosanestablishedthe Logistics
Properties
Department）

Fiscal
2012

Fiscal
2013

Fiscal
2014

Fiscal2015* For further details, please refer to [Major properties developed/operated by Mitsui Fudosan] in the Notes on Matters Stated in this Document on p.47-48.

Fiscal2016

Fiscal2017

Fiscal2018

Fiscal
2019

Fiscal
2020

Fiscal2021

FiscalFiscal2023
2022
or（planned） after（planned）

17

2 -1. External Growth Strategy (Expansion of Asset Size) 2
Stable growth leveraging the growth potential and extensive pipeline of Mitsui
Fudosan’s logistics facilities business
三井不動産の主要な開発・運用実績
47棟6,100億円
総延床面積400万㎡
Mitsui Fudosan’s major development/operation
track record : 53
facilities 700.0
billion yen 4,200,000 m2 in gross floor area
Properties held by MFLP-REIT

Properties covered by “Right of first look andpreferential negotiation rights agreement”

24 properties 1,420,000 m2 342.2 billion yen

11 properties 1,040,000 m2
LeasedCompleted

LeasedCompleted

LeasedCompleted

Properties developed/operatedby Mitsui Fudosan
Construction completionin fiscal 2016

Construction completionin fiscal 2022

Construction completionin fiscal 2024

MFLP Funabashi I

MFLP Ebina I

MFLP Sendai-Natori I

Construction completionin fiscal 2019

Construction completionin fiscal 2023

Construction completionin fiscal 2024

MFIP Haneda

MFLP Shinkiba II

MFLP Nagoya-Iwakura

Construction completionin fiscal 2019

Construction completionin fiscal 2023

Construction completionin fiscal 2025

MFLP Kawasaki I

MFLP Hiratsuka III

MFLP Ichinomiya

Construction completionin fiscal 2020

Construction completionin fiscal 2023

Construction completionin fiscal 2025

MFLP Tachikawa
Tachihi

MFLP Zama

MFLP Misato

Construction completionin fiscal 2023

Another data center1 property

75%

MFLP Yokohama
Daikoku

MFLP Atsugi

MFLP Inazawa

MFLP Hiroshima I

MFLP Hino

MFLP Funabashi II

MFLP Yokohama
KohokuCompleted

Completed

MFLP Tokorozawa

MFLP Funabashi III

Leasedacquired in the 12th FP

GLP・MFLP Ichikawa MFLP Kashiwa
Shiohama

MFLP Tsukuba

MFLP Ibaraki

MFLP Osaka I

LeasedCompleted

LeasedCompleted

60%

MFLP Osaka Katano MFLP Ichikawa
Shiohama II
Completed
LeasedMFLP Yashio

MFLP Fukuoka I

MFLP Atsugi II

MFLP Kawaguchi I

MFIP Inzai

Construction
completed
910,000 ㎡

acquired in the 12th FP
50%

MFLP Tomei Ayase
LeasedMFLP Kuki

MFLP Hiratsuka

MFLP Sakai

MFLP Yachiyo
Katsutadai

Construction
completion in
fiscal 2022

New

Construction
completion in
fiscal 2022

Construction completionin fiscal 2020

MFIP Inzai II

Overseas
2 properties

acquired in the 12th FP
50%

Construction completionin fiscal 2022

MFLP Funabashi
Nishiura

MFLP Komaki

MFLP Prologis Park
Kawagoe

MFLP Hiratsuka II

MFLP Yatomi Kisosaki

MFLP Shinkiba I

Underconstruction
120,000 ㎡

MFLP Tosu

Osaka City, Konohana-ku,
Torishima Logistics Project

Construction completionin fiscal 2022

Construction completionin fiscal 2024…

SG Realty MFLP
Fukuoka Kasuya

Tokyo Rail Gate EAST MFLP Ebina Minami

18

2-1. External Growth Strategy (Expansion of Asset Size) 3 Emphasis on Location

1
3

Build a high quality portfolio by taking advantage of geographical diversification
Greater Tokyo Area

LegendLogistics facilities
properties held by
MFLP-REIT
L-XX

Logistics facilities NO.
Industrial real estate
properties held by
MFLP-REIT

I-XX

Industrial real estateNO.
Properties covered
by “Right of first lookand preferential
negotiation rights
agreement”*
Properties developedby Mitsui Fudosan
Mitsui Fudosan’s
strategic area19

2

-1. External Growth Strategy (Expansion of Asset Size) 3 Emphasis on Location

2
3

Build a high quality portfolio by taking advantage of geographical diversification
Greater Nagoya area

Greater Osaka area

Tohoku area

Hiroshima area

Kyushu area

■Geographically diversified portfolio◼ Location offering excellent access totransportation nodes

Investment area

Access (distance) to nearest expressway
interchange

Hiroshima area
4.6％

Kyushu area
1.7％
Shuto Expressway
Wangan Line
10.3％

Greater
Nagoya area
7.8％

GreaterTokyo area
and Greater
Osaka area National
Greater
Osaka area
30.6％

86.0％

Route 16
16.4％

Tokyo-Gaikan
Expressway
8.9％

3 - 5 km35.9％

GreaterTokyo area
55.3％

Ken-O
Expressway
19.7％* The pie charts above are calculated on an acquisition price basis (excluding MFIP properties).

5 km ormore
8.3％

Less than 1 km
20.7％

■Location convenient for commuting workers
Access (time) to nearest train station
By bus(20-30 minutes)
2.5％

By bus(20 minutes
or less)
60.5％

Less than
5 km

91.7％
1 - 3 km35.0％

Within walking
distance(20-25 minutes)
2.8％

Within walking
distance/Within
20 min. by bus

97.5％

Within walking
distance(20 minutes
or less)
34.3％

20

2

-1. External Growth Strategy (Expansion of Asset Size) 3 Emphasis on Location

3
3

Superior locations of properties defined in Right of First Look and Preferential
Negotiation Rights Agreement and developed by Mitsui Fudosan
Greater Tokyo area

Greater Osaka area

：Logistics facilities properties heldby MFLP-REIT：Industrial real estate properties heldby MFLP-REIT：Properties defined in Right of first look andpreferential negotiation rights agreement：Properties developed by Mitsui Fudosan

Population Density（people/k㎡）

0～5,000
5,001～10,000
10,001～* Population distribution data based on Ministry of Land, Infrastructure and Transport’s data on Future Population Estimates by 1 k㎡ (2018 Estimates)21

2-1. External Growth Strategy (Expansion of Asset Size) 4 Emphasis on Quality

MFLP-REIT concentrates investments in leading-edge logistics facilities. Mitsui Fudosan quality
achieved by applying Mitsui Fudosan’s expertise as a comprehensive developer
Mitsui Fudosan quality■ Basic specifications of leading-edge logistics facilities

Large sites[Gross floor area]

Storage space
Effective ceiling heightAt least 5.5 m

Approx. 10,000 ㎡
Column spacing
At least 10 m
Floor load tolerance
At least 1.5 tons/m2
MFLP SakaiHigh performance

Disaster prevention[Column span]
At least 10 m
[Effective ceiling height]
At least 5.5 m[Floor load tolerance]

Equipped with• Seismic isolation• Earthquakeresistance• Building Damage
Assessment System,etc.

At least 1.5 tons/㎡■ ＆ Worker
Unmanned store■ ＆ Tenant
Cafeteria

Commuter shuttles

Installation ofseismic isolation

MFLP Sakai

Bicycle sharing

MFLP Kashiwa■ Building age*2
over
10 years
6.1％

7-10 years
28.3％
MFLP Yachiyo Katsutadai

MFLP Yachiyo Katsutadai

Bench that can be converted
to emergency cooking grill

Solar panels

1-3 years
21.9％

Avg.
building age
5.8 years
3-7 years
43.7％

MFLP Hiroshima I■ ＆ Earth■ ＆ Community
Childcare facilities

MFLP Ibaraki

Emergency power
generator

LED lights■ Properties developedby Mitsui Fudosan*2

93.9％

MFLP Hino*1*2

MFLP Kawaguchi I

MFLP Yachiyo Katsutadai

MFLP Osaka I

Photos are for illustrative purposes only. Not all MFLP facilities or portfolio assets are necessarily equipped with all of the abovementioned specifications and features.
Figures are calculated based on the total gross floor area considering the quasi co-ownership interests.

22

2-1. External Growth Strategy (Expansion of Asset Size) 5 Emphasis on Balance

Securing growth and stability by building a balanced portfolio through acquisitionof MFLPs/MFIPs which reflect location characteristics and tenant needs

Rampway MFLP

Multi-tenant type

Shipping needs

Multi

MFLP Prologis
Park Kawagoe

Single

Multi

Multi

MFLP Sakai

MFLP Hino

SingleMulti

MFLP Kawaguchi I

MFLP Hiroshima I

SingleOther*1

Multi

Multi

GLP・MFLP
Ichikawa Shiohama

MFLP Yokohama
Daikoku

Multi

Multi

Multi

SingleMFLP Kuki

MFLP Atsugi

Multi

Slope MFLP

% or more

MFLP Yachiyo
Katsutadai

Multi

MFLP Osaka I

SingleMFLP Atsugi II

Multi

MFLP Inazawa

SingleMFLP Komaki

SingleBox MFLP

Single-tenant type

Storage needs

MFLP Hiratsuka IIBTSMFLP Fukuoka I

BTS

MFIP

( Mitsui Fudosan Industrial Park )Mainly long-term BTS type

Data centers, etc.

% or lessIndustrial real estate

Investment ratio:

20

MFLP Ibaraki

SingleLogistics facilities

Investment ratio:

80

Multi

MFIP Inzai II

MFIP Inzai

MFLP Tsukuba

MFLP Hiratsuka

MFLP Yashio■ Investment ratio
by property type*2
Rampway
MFLP
39.6％

MFLP Funabashi
Nishiura

Data center
8.0％

MFLP Kashiwa■ Investment ratio
by tenant type*2

Other*1
2.1％

Box MFLP
16.6％

Slope MFLP
35.9％

*1 “Other” refers to a property for which the classification (multi or single) cannot be disclosed in this material as consent for disclosure has not been obtained from the lessee.
*2 Figures calculated on an acquisition price basis.

BTS 8.0％

Multi
65.0％

Single
25.0％

23

2

-2. Internal Growth Strategy 1

Achieve stable management by leveraging Mitsui Fudosan Group’s platform and client network
Effectively leverage the Mitsui FudosanGroup’s platform and client network forleasing

Lease agreements

Tenant diversification
Hitachi Transport System Metropolitan
Nakano Shokai

OtherJapan Logistics Systems

Occupied by many tenants that havea relationship with Mitsui Fudosan

Logistics
agencyagreement
Logistics
firm

End user(3PL operator, etc.)

8.6 years

Average remaining
lease period *4.2 years

MARUBENI LOGISTICS

Tenants*1

Rakuten
MEIKONe-LogiTBic Camera
MISUMIMITSUI SOKO LOGISTICSKDDI
KOKUBU SHUTOKEN

End userLease
agreement

Major Specialty store
retailer of Private
label Apparel80

HIGASHINIPPONEXPRESS

Lease
agreement

Owner of logistics
facility

About

JA Mitsui Leasing
Tatemono

Average lease
Period *Sagawa Global Logistics
NIPPON EXPRESSSANGETSU
Sun Toshi Tatemono
DAIWA CORPORATION*1 Number of tenants shown here istotal number of leases; excludes MFIPs.

Staggering of lease expiration dates（thousand ㎡）

Can directly approach logistics firms and end users
regardless of contract type

547

550
400

UnsignedNew

350

Re-signed～

Actual639

Signed

316
0.2%

300

33.1%
250

Fully leverage the Mitsui Fudosan Group’s
broad client network
Office building
businessclient network
Approx. 3,000 firms

200

181
167

150

129
66.7%

100

Retail facility businessclient network
Approx. 2,400 firms

Strong relationships
with leading 3PL
operators

166

132

47.0%

64

48

42

50
53.0%

100%

29

92.3%
7.7%

0

*Source: Disclosed financial results materials of Mitsui Fudosan for the fiscal year
ended March 31, 2022

10th FP（21/7）

11th FP（22/1）

12th FP（22/7）

13th FP（23/1）

14th FP（23/7）

15th FP（24/1）

16th FP（24/7）

17th FP（25/1）

18th FP（25/7）

19th FP（26/1）* Figures are based on the leasable floor area for leases in force as of July 31, 2022 (excluding MFIPs).
Figures for all periods prior to the 12th FP reflect the leasable floor area for all leases expiring in the relevant period.
* For further details, please refer to [Internal Growth Strategy] in the Notes on Matters Stated in this Document on p.47-48.

after
20th FP（26/7）

24

2-2. Internal Growth Strategy 2

Evolution of solutions-based asset management by Mitsui Fudosan GroupKey points of asset management plans
End user
MFLP-REIT

Challenges facing logistics
firms

Strengthening capability to propose specialized
solutions that respond to the needs of tenants■ MFLP ICT LABO 2.0

Improving the efficiency of operations

Logistics firm

（3PL operator, etc.）

Specific examples ofsolutions-based asset
management by
Mitsui Fudosan Group

Addressing BCP
issuesLabor shortages

Anticipation of futurerises in delivery costs

Adopting automation• Consulting service for leading-edge ICT-related products toimprove efficiency, save labor, etc.
• Consulting support to help tenant companies secure staff• Matching of 3PL operators and end users• Establishment of comfortable working environment for
tenants’ onsite employees

・ Showroom enabled for ICT equipment
demos Fully automated logistics system on
display, using leading-edge ICT technology
encompassing the full process from receiving
merchandise to dispatch.
・ Provide specialized automation/laborsaving solutions for tenants and prospective
tenants to address labor shortages and otherserious challenges for the logistics industry.

Examples of equipment on display

Services leveraging leading-edge ICT technologies
Support tenants’ efforts to hire and promote ESG initiatives by focusing
on providing services that enhance operational efficiency within thefacility and worker satisfaction.
ICT: Improve operating efficiency
Wide-angle lens camera

Beacon

ICT: Improve worker services
Onlinereservation

Autonomous
forklift

Receiving,dispatching

Dual-arm packing& unpacking robot

Packing

Autonomous
storage system

Storing

Telephonereservation■ Alliances with ventures: aiming to provide solutions to logistics issues
Cloud
reservation
mgmt. system
Facial recognition

LED lightingwith motion sensor* Photos are for illustrative purposes only.

Fitness

Visualizationof usage at
peak times

Business alliance with K.K. Hacobu
Alliance with Hacobu, operator of IT platform MOVO, which leverages big
data to address driver shortages and other logistics industry issues.
Cafeteria

Washroom/
powderroom

Stake in joint venture Gaussy, Inc
Take an investment stake in joint venture Gaussy, which focuses on digitaltransformation for use in logistics facilities and provides warehouse robot
subscription service Roboware and sharing warehouse service WareX.

25

2-3. Initiatives for ESG 1 / Sharing the Mitsui Fudosan Group Management Principles

Contribute to social and economic development and conserving the environment,
based on Group Vision 「」Mitsui Fudosan Group’s ESG Principles
Under the principles of coexisting in harmony with society, linking diverse
values, and achieving a sustainable society that are represented by the Group
logo “ ” the Mitsui Fudosan Group holds “” as its Group Visionand is committed to make contributions to social and economic development,
and to global environmental preservation.
The “” principle reflects our awareness of the fact that the urban
development by the Mitsui Fudosan Group has to be in tune with the planet,and our vision of a society that enriches both people and the planet.

Sharing of the ESG Principles with Mitsui FudosanGroup
As a member of the Mitsui Fudosan Group, the Asset Management Company
shares the Mitsui Fudosan Group ESG Principles, and by building a highly
energy-efficient portfolio centered on MFLP facilities (leading-edge logistics
facilities with ‘Mitsui Fudosan quality’ ), will promote contributing to ourstakeholders in order to achieve a sustainable society.

Share
Mitsui FudosanGroup’s ESG
management
principles

Develop a highly
energy efficient
portfolio, focusedon MFLP

Consideration
for stakeholders tobuild a sustainable
society

MFLR efforts to promote ESG
MFLP-REIT Management Co., Ltd, the asset management company of Mitsui
Fudosan Logistics Park Investment Corporation, has established the "ESG
(Environment, Society, Governance) Policy" in November 2017, and isaddressing on ESG issues in collaboration with Mitsui Fudosan.

■Organizational chart
Sustainability Promotion
Subcommittees

Sustainability Promotion Committee【Members】

Instruct

・Chairperson: President & CEO

Investment Criteria Scrutiny
Subcommittee(chief sustainability officer)

LM Cooperation Subcommittee

・Standing member: Chief Investment Officer
Disclosure Subcommittee(sustainability executive officer)
・Standing member: Chief Finance Officer

Submitagendaitems

・Secretariat

Human Capital Subcommittee■ESG-related policies and rules
ESG (Environment, Society and Governance) Policy
Consideration andresponse to theenvironment

Consideration andresponse to society

Consideration andresponse togovernance

Climate Change Resilience Policy

Sustainability Promotion Framework Rules

Greenhouse Gas Emissions Reduction Policy

Sustainability Promotion Committee Rules

Energy Efficiency Policy

Operational manual for EMS (Energy
Management System)

Sustainable Procurement Policy

26

2-3. Initiatives for ESG 2 -for Environment

Environment

Proactively secure green building certifications, conservation efforts
Support for various environmental initiatives
The Asset Management Company has endorsed the recommendations of the
Task Force on Climate-related Financial Disclosures (TCFD), which works topromote disclosure of risks and opportunities faced by companies in relation toclimate change. The Asset Management Company is also active in the TCFD
Consortium, which brings together Japanese companies who have endorsed the
TCFD recommendations. In addition, we have endorsed the "JCI Climate
Change Initiative" since fiscal year 2022, and are working to develop aframework for climate change-related financial disclosure.

Monitoring of environmental KPIs
Latest performance and progress against environmental KPIs generally on
track. We aim to achieve this by promoting initiatives to reduce environmental
impact in the future.

■ CO2 emissions intensity (t-CO₂/㎡)

2016（base year）

2021

0.017
Reduction of at least 30% by 2030

0.016
（reduction 7.8%）

Owner-managed portion （Scope1・2）

0.060
Reduction of at least 100% by 2030

0.048
（reduction 19.8%）

Tenant-managed portion（Scope3）

0.014
Reduction of at least 24% by 2030

0.014
（reduction 2.3%）

2016（base year）

2021

0.07
Not to increase
above base-year level

0.07（maintain）

Targets2021

at least 70% by 2030

70.1%

Whole building（Scope1・2・3）■ Water usage intensity (㎥/㎡)

Eco-friendly green buildings
Proactively securing green building certifications. 96.3% of logistics facilities
had green certifications and 54.1% of logistics facilities had ZEB certifications*.

Initiatives for reducing environmental load
MFLP-REIT has implemented efforts to reduce CO₂ emissions throughenergy saving while promoting efficient use of energy at its portfolio assets bymeasures like introducing LED lights and installing roof-top solar panels.

■Installing roof-top solar panels
Solar panel annual power
generation(2021 Actual)

Logistics facilities■ Waste recycling rate
Logistics facilities* Above data excludes data centers (industrial real estate) as a result of NDAs in place with tenants.
Industrial real estate is excluded from disclosures.

■ LED lighting adoption ratio

Targets

As of Jul. 31, 2022

Owner-managed portion

at least 100% by 2023

91.6％*1

Tenant-managed portion

at least 100% by 2030

83.6％*1

Targets

As of Jul. 31, 2022

at least 75% by 2025
at least 90% by 2030

23.1%*2

Targets

As of Jul. 31, 2022

Maintain at least 95%

96.3％

Maintain at least 90%

92.5％■ Green leases adoption ratio
portfolio

18.9 GWh*（12 properties）■ Green Building certification ratio
logistics facilities

MFLP Ibaraki
portfolio*1 Calculations based on total floor area adjusted to reflect quasi co-ownership interests.
*2 Calculations based on leasable floor area adjusted to reflect quasi co-ownership interests.
* For further details, please refer to [ZEB certification] [Solar panel annual power generation] in the Notes on Matters Stated in this Document on p.47-48.

27

2-3. Initiatives for ESG 3 -for Social

SocialOngoing initiatives for our many stakeholders
Initiatives for stakeholders
Utilizing the know-how of Mitsui Fudosan, the sponsor, the properties owned by MFLP-REIT promote initiatives to offer a healthy, pleasant and safe environment outof consideration for stakeholders such as tenants, facility users, the surrounding environment and local communities.
Participating in local community activities

Rest area

Cafeteria

Measures to prevent the spread of
COVID-19

Emergency power generator

By participating in local cleanup activities, the asset management company
is actively working to contribute to the local community and raise
environmental awareness among employees.

Cooperation with support group for the disabled (Group Happy Smile)Group Happy Smile

Hand sanitizer

Contactless buttons

Childcare facilities

Disaster response readiness

An organization that plans and provides a place where people withdisabilities can sell independently produced products, as well as a place
where they can introduce and sell their artwork to society.

Catering food truck

Art Exhibition* Photos are for illustrative purposes only. Not all MFLP facilities or portfolio assets are necessarily equipped withall of the abovementioned specifications and features.

28

2

Governance-3. Initiatives for ESG 4 - for GovernanceInitiatives for governance: Taking unitholders’ interests into consideration
MFLP-REIT and the Asset Management Company are working to establish proper governance through the following measures in order to build a solid relationship oftrust that aligns interests of unitholders with those of MFLP-REIT and the Asset Management Company while giving sufficient consideration to unitholders’ rights.

Rules concerning conflicts of interest in asset
management

Asset management with emphasis placed onrelationship of trust with unitholders

The acquisition and transfer of assets by MFLP-REIT from related parties are
decided by the Asset Management Company via a transparent decision-making
process.

Approval by the Chief Compliance Officer
Deliberation and resolution by the Compliance Committee*2

Examination and approval by the Investment Committee

Instruction to cancel or amend details

Draft by the Investment Team

Approval by MFLP-REIT’s Board of Directors

Deliberation and resolution by the Management
Committee

Instruction to cancel
or amend details

Submission of the acquisition plan by the Chief
Investment Officer to the Management Committee

Reporting to the Board of Directors and MFLP-REIT*1 The above chart shows the decision-making flow when a transaction involves a related party, which requires the approvalof MFLP-REIT’s Board of Directors under Article 201-2 of the Act on Investment Trusts and Investment Corporations.
*2 If a transaction falls below the threshold prescribed in Article 201-2 of the Act on Investment Trusts and Investment
Corporations for significance defined therein, the approval of MFLP-REIT’s Board of Directors shall be omitted.

■Asset management fee structure consistent with theinterests of unitholders
Our aim is to align the interests of the Asset Manager with those of unitholders.
Asset management fee I

Total assets × 0.1% (maximum)

Asset management fee II

Operating income (before deduction of asset
management fees and depreciation) × 5.5% (maximum)

Asset management fee III

Pre-tax earnings (before deduction of asset managementfees) × Pre-tax EPU (before deduction of asset
management fees) × 0.001% (maximum)■Mitsui Fudosan’s investment in MFLP-REIT
Mitsui Fudosan has a 5.0% stake in MFLP-REIT (as of end of July, 2022) .
Accepting a certain level of capital investment leads to the alignment of theinterests of MFLP-REIT’s unitholders and Mitsui Fudosan, and enables the
pursuit of greater mutual interests in asset management.

■Adoption of cumulative investment unit ownership program
Ownership of the investment units by employees of the Asset Management
Company through the program elevates the motivation of employees toimprove the performance of MFLP-REIT, with the aim of enhancing its
medium- to long-term unitholder value.

Timely and proper information disclosure andensuring transparency
MFLP-REIT strives to make timely and proper disclosure of informationnecessary for unitholders to make investment decisions. With regard to
disclosure, MFLP-REIT focuses on prompt and transparent information
disclosure in a fair and equitable manner, and, in addition to financial information,
also discloses non-financial information related to ESG.

29

2

-4. Financial Strategy

Stable financial management: Progress in diversifying financial institutions and maturities
Interest-bearing debt maturity ladder and lender formation(million yen)
10,000■Existing borrowings ■ Borrowings related to acquisitions of properties acquired in 12th FP ■Investment corporation bonds

The Chugoku Bank
The Hyakugo Bank
Daishi Hokuetsu Bank
Nippon LifeThe 77 Bank
Insurance Company

8,000
2,400

2,600
3,600
6,000

300

3,200

6,700

6,600
5,600

2,000

5,600
4,000

5,600

5,100

5,700

5,100

6,800

Development Bank of Japan

6,700

Shinsei Bank

4,900
3,000

The Yamaguchi Bank

2,100
1,100

800

0
FP
ending2023/1

FP
ending2023/7

FP
ending2024/1

FP
ending2024/7

FP
ending2025/1

FP
ending2025/7

FP
ending2026/1

FP
ending2026/7

FP
ending2027/1

FP
ending2027/7

FP
ending2028/1

FP
ending2028/7

FP
ending2029/1

Sumitomo Mitsui Banking
Corporation

End of 12th fiscal
periodFP
ending2029/7

FP
ending2030/1

FP
ending2030/7

FP
ending2031/1

FP
ending2031/7

FP
ending2032/1* Reflects debt maturities after the borrowings on July 31, 2022. Commitment line represents the maximum amount on and after August 1, 2022.

Sumitomo
Mitsui TrustBank¥123.9 bn(Includes Investment
Corporation Bonds)

The Bank ofFukuokaMizuho Trust & Banking

FP
ending2032/7

Mizuho Bank

Total lenders: 27
Total borrowings

Mitsui Sumitomo Insurance

3,600

3,000

7,300

7,800

7,500
6,000

Sumitomo Life Insurance
Company
The Chiba Bank

1,200

4,000

The Keiyo Bank
New lenders
The Iyo BankThe Yamagata Bank
The Bank of Kyoto
Investment Corporation Bonds

Momiji BankThe Joyo Bank
Resona BankThe Yamanashi Chuo Bank

Commitment line 10,000 million yen

The Norinchukin BankMUFG Bank

Shinkin Central
Bank

Efficient cash management
Based on the characteristics of logistics facilities, such as the ratio of building value to land value being typically high, MFLP-REIT intends to make cash distributions, including
distributions in excess of earnings, on an ongoing basis each fiscal period from the perspective of securing stable distribution levels while managing cash efficiently. In addition, incases where the distribution amount for distributions per unit is expected to temporarily decline by a certain degree due to such factors as the procurement of funds through theissuance of new investment units, etc., one-off distributions in excess of retained earnings may be executed in order to standardize the amount of the distributions per unit.

■ Diagram of cash distribution based on FFO
Leasing business
expenses, SG&A,
etc.

■ Key points of cash distribution in excess of earnings

Pay distributions based on a
threshold of approx. 70% of
FFO

FFO

Rental revenue

Depreciation
Profit(Net income)*1

Distributions inexcess of earnings

Distributions ofearnings

Level of distribution
For the time being, we intend to pay distributions (including distributions in excess of earnings)
calculated at an amount equivalent to approximately 70% of FFO (excluding gain or loss onsale of real estate, etc.) for the relevant fiscal period on an ongoing basis, in principle.

Securing long-term building maintenance funds

Targeted
at 70%*1 Gain or loss on sale of real estate, etc. is not included in “Profit (Net income)” in the above chart.
*2 Appraisal LTV ratio = Interest-bearing debt ÷ (Total assets - Book value of portfolio real estate, etc.
+ Appraisal value)

Distributions in excess of earnings will be paid to the extent that an amount can be retainedthat is more than double the six-month average of capital expenditures stated in theengineering report for each operating period.

Securing financial stability
Distributions in excess of earnings will not be made if appraisal LTV ratio*2 exceeds 60% foreach operating period.

30

2-5. DPU Growth

Continue to achieve high DPU growth through external growth
Expansion of Asset Size

Aim for continuous external growth, focused on high-quality properties covered by“Right of first look and preferential negotiation rights agreement”

MFLP Komaki

MFLP Hino
2 other properties

MFLP Tsukuba

MFLP Inazawa
5 other properties

MFLP Sakai
2 other properties

MFLP Ibaraki
MFLP Kawaguchi I

MFIP Inzai II

MFLP Yachiyo Katsutadai
2 other properties

Debt

1st PODebt

2nd PO

3rd PO

4th PODebt

5th PO

Fund procurement

Continuous
DPU growth

New investment units and LTV management optimal for size of acquired assets
24
21

35.8%

20
18
16
12
No. ofproperties

33.6%

13

31.0%
30.2%

29.1%

10

7,816

8,353

8,396

(7,231)(7,255 )

33.1%

8,263

7,895

9
27.3%

26.8%

21.6%

7,283
6,977

23.9%

LTV

35.9%

36.5%

(7,052)

22.5%

6,496

6,584

(6,842)(6,902)(6,604)6,105

DPU (yen)

5,563
5,198

(6,200)5,832( ) EPU (yen)

5,346(5,783)(5,811)(5,905)(5,497)(5,288)(5,142)(4,955)

FP ended Jan. 2017 FP ended Jul. 2017 FP ended Jan. 2018 FP ended Jul. 2018 FP ended Jan. 2019 FP ended Jul. 2019 FP ended Jan. 2020 FP ended Jul. 2020 FP ended Jan. 2021 FP ended Jul. 2021 FP ended Jan. 2022 FP ended Jul. 2022 FP ending Jan. 2023
(1st FP)(2nd FP)(3rd FP)(4th FP)(5th FP)(6th FP)(7th FP)(8th FP)(9th FP)(10th FP)
(11th FP)
(12th FP)
(13th FP)
Forecast

FP ending Jul. 2023
(14th FP)
Forecast

31

3. Market Overview

32

3-1. Market Overview

Market Overview 1
Supply-demand balance and vacancy rate
(1 of 3)
Greater Tokyo Area

：New supply in 2021 and first half of 2022 (January-June)：Vacancy rate 0–5%

：Submarket areas：New demand 2021 and first half of 2022 (January-June)：Vacancy rate 5–10%：Mitsui Fudosan’s
strategic areas：Vacancy rate 10%–=100 thousand ㎡*As of the end of June 2022

Forecast

thousand m2

3,500

15%

3,000

12%

2,500
2,000

9%

1,500

6%

Tohoku/Ken-O
Expwy area

National Route16 area
Kan-Etsu/KenO Expwy area

1,000

Tokyo-Gaikan
Expwy area

3%

500
0

0%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

Narita area

（year）

thousand m2

1,200

18%

Hachioji area

900

Chiba
inland area

12%
600
6%
300

Kanagawa
inland area

3.1%
1.0%

0

0%
Q3
Q4
2020

New supply

Q1

Q2
Q3
2021

New demand

Q4

Vacancy rate

Q1

Q2
2022

Vacancy rate(logistics facilities 1 year
old or older)

Source: CBRE K.K. (August 2022)* The survey is of rental logistics facilities that are held by real estate investment companies,
real estate development companies, etc. and have total floor area of 5,000 m2 or more.

Greater Tokyo
Bay area：Logistics facilities properties heldby MFLP-REIT：Industrial real estate* properties heldby MFLP-REIT：Properties developedby Mitsui Fudosan

33

3-1. Market Overview

Market Overview 1
Supply-demand balance and vacancy rate
(2 of 3)
Greater Osaka Area

：New supply in 2021 and first half of 2022 (January-June)：Vacancy rate 0–5%

：Submarket areas：New demand 2021 and first half of 2022 (January-June)：Vacancy rate 5–10%：Mitsui Fudosan’s
strategic areas：Vacancy rate 10%–=100 thousand ㎡*As of the end of June 2022

Forecast

thousand m2

2,000

15%
12%

1,500

Other area

9%

Osaka inland area

1,000
6%
500

3%

0

0%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

（year）

thousand m2

750

18%

500

12%
Osaka Bay/
Kobe area

250

6%
1.6%

0.6%
0

0%
Q3
Q4
2020

New supply

Q1

Q2
Q3
2021

New demand

Q4

Vacancy rate

Q1

Q2
2022

Vacancy rate(logistics facilities 1 year
old or older)：Logistics facilities properties heldby MFLP-REIT

Source: CBRE K.K. (August 2022)* The survey is of rental logistics facilities that are held by real estate investment companies, real estate development companies, etc. and have total floor area of 5,000 m2 or more.

：Properties developedby Mitsui Fudosan

34

3-1. Market Overview

Market Overview 1
New supply

Supply-demand balance and vacancy rate (3 of 3)
Greater Nagoya Area

New demand

Kyushu Area
Forecast

thousand m2
1,000

15%

Mitsui Fudosan’s
strategic areas

Vacancy rate(logistics facilities 1 year
old or older)

Vacancy rate
：Properties developedby Mitsui Fudosan：Logistics facilities properties heldby MFLP-REIT

Chugoku Area
Forecast

thousand m2
400

15%

Forecast

thousand m2
200

30%

350
750

150

300
10%

500

100

200
5%

250

20%

10%

250

150

10%

5%
50

100
50

0

0%
2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

0

2023

0%
2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

（year）

thousand m2

0%
2010

thousand m2

500

0

2023

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

（year）（year）

thousand m2

18%

150

18%

12%

100

12%

400

100

18%

75

12.3%
300

12%
50

200

6%

50

6%

2.5%

100

3.2%

6%

25
0.0%

0

0%
Q3

Q4
2020

Q1

Q2

Q3
2021

Q4

Q1

Q2
2022

0

0%
Q3

Q4
2020

Q1

Q2

Q3
2021

Q4

Q1

Q2
2022

0

0%
Q3

Q4
2020

Source: CBRE K.K. (August 2022)* The survey is of rental logistics facilities that are held by real estate investment companies, real estate development companies, etc. and have total floor area of 5,000 m2 or more.

Q1

Q2

Q3
2021

Q4

Q1

Q2
2022

35

3

-1. Market Overview

Market Overview 2
Stock of logistics facilities in Japan*
Logistics facilities
40 years old or older
41.7%(million m2)
700

Leading-edge
logistics facilities
5.1％

50%

600
40%

500
30%

400
300

Future demand for
replacement ofaging properties

Highly scarceleading-edge
logistics facilities

200
10%
100
0

Logistics facilities
less than 40 years old
53.2%

20%

0%
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 （year）(As of December 2020)

Estimate for logistics
facilities
築40年以上推計値
40 years old or older
築40年以上シェア
Share of logistics facilities

Estimate for logistics
facilities
築40年未満推計値
less than 40 years old
先進的物流施設シェア
Share of leading-edge logistics

40 years old or older

facilities

Leading-edge
先進的物流施設(left axis)
logistics facilities(right axis)* Estimates by CBRE K.K. based on “Building Starts” (Ministry of Land, Infrastructure, Transport and Tourism) and “Summary Report on Prices, etc. of Fixed
Assets” (Ministry of Internal Affairs and Communications). Top left pie chart created by Asset Management Company, based on data the above graph.
For further details, please refer to [About analysis of Japan's logistics facilities stock] in the Notes on Matters Stated in this Document on p.47-48.

Long-term data on construction starts of logistics
facilities (nationwide)

Tenants / End users of logistics facilities
Manufacturing
3%

Over 40 years old
thousand m2

20,000

Other 4%

Logistics 4%Manufacturing
18%

Wholesale 7%

15,000Share by tenantbusiness type10,000

Other 9%

Share byend userbusiness
type

Retail 51%

Retail 17%

0

1959
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021

5,000

Source: CBRE K.K. (August 2022)（year）* Figures calculated as the sum total of the floor area of structures with “warehouse” as the use category and “steel-framed structure,”“reinforced concrete structure” or “steel-framed reinforced concrete structure” as the structure type.

Logistics 69%

Wholesale 18%

Source: CBRE K.K. (February 2022)* Figures are rounded to the whole number.
* The survey is of rental logistics facilities that are held by real estate investment companies, real estate development
companies, etc. and have total floor area of 5,000 m2 or more as of the end of December 2021.

36

3-1. Market Overview

Market Overview 3
Mounting demand due to 3PL
business and e-commerce market
size expansion
3PL Market : Stable Growth

Broader demand for leading-edge
logistics facilities
Attracting demand from retailers for delivery
centers (Convenience Stores/Drug Stores)

trillion yen

45,000Pandemic driving increase in data volumes（Gbps）

Avg. annual growth rateduring the pandemic

30,000

4.5(hundred million yen)

Expansion of the data center
market(Nov. 2019 – May 2022)

Conventional
Manufacturing

Net sales

Consolidation of scattered logistics bases into a delivery center

40,000

33.4%

Store

Wholesaler

20,00035,000After
consolidation

30,00010,000
Delivery center

ManufacturingStore

25,000Integrating Logistics Bases of Manufacturers
20,000Consolidation of separately locatedwarehouses for parts, assembly plants
and warehouses for end products into
one base2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
（year）

Source: Monthly Logistics Business (September 2022)

Expanding E-commerce Market Scale(hundred million yen)
210,000

After
consolidation

20.7

MFLP

Transport

Scale of E-commerce market

9E-commerce ratio

8.8%

May 2022

May 2021

Nov. 2021

May 2020

Nov. 2020

May 2019

Nov. 2019

May 2018

Nov. 2018

May 2017

Nov. 2017

May 2016

Source: Ministry of Internal Affairs and Communications “Aggregate Results ofInternet Traffic Volume Estimates (May 2022)”, dated August 2022.

Forecast of operational racks at hyperscaledata centers
Avg. annual
growth rate

trillion yen （%）

Use as a Mixed-Use Logistics Facility（Units）

Leading-edge logistics facilities

120,000

180,000

150,000

Warehouse
Transport
for endproducts

Retail stores/ Consumers

10,000Transport

Assembly plantNov. 2016

Warehouse for Transportparts

May 2015

Conventional

15,000Nov. 20150

6(2020-2025 years)

20.5%

90,000Warehouse

Intended use cases include not only
traditional warehouse space, but avariety of other uses

120,000
3

60,00090,00030,000Assembly andprocessing

Research anddevelopment

OfficeShowroom

60,0002010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 0（year）
Source: “E-Commerce Market Survey” by the Ministry of Economy, Trade and Industry(Announced on August 12, 2022)• Amounts and percentages indicate the scale of B to C market in the E-commerce market.
The basis for the calculation of the e-commerce ratio is limited to merchandise sales.

Other
Product
inspection

Inspection,
maintenance and repair

Photographic
studioCall center

etc…

0
2019
2020
2021
2022
2023
2024
2025
(year)
Source: Fuji Chimera Research Institute , Inc.
‘Overview of Data Center Business Market Research 2021(Market section)’(March 2021)* 2019 is prospective data point; all data points for 2020 and beyond are forecasts)

37

4. Appendix

38

4

Appendix

Our Portfolio (1 of 2)
Total acquisition price

Adjusted forecast NOI yield

Appraisal NOI / Appraisal value

Average building age

Occupancy rate

24 properties 342.2 billion yen

4.9 % (after depreciation 3.3 %)4.1 %5.8 years

99.9 %

Logistics
facilities

Appraisalvalue*(million yen)

Adjusted
forecast
NOI yield(%)

Appraisal
NOI yield*(%)

Appraisal
NOI /Appraisalvalue* (%)

Gross floor
area*1(㎡)

Total leasable
floor area* *2(㎡)

Building
age(years)Occupancyrate(%)

Property nameLocation

Acquisition
price(million yen)

L-1

GLP/MFLP Ichikawa Shiohama(50% quasi co-ownership interest)

Ichikawa,
Chiba

15,50019,400

4.9

4.8

3.8

105,019（52,509）50,813

8.5

100

L-2

MFLP Kuki

Kuki, Saitama

12,50015,200

5.7

5.2

4.3

73,15367,925

8.1

100

L-3

MFLP Yokohama Daikoku(50% quasi co-ownership interest)

Yokohama,
Kanagawa

10,100

11,200

4.5

4.9

4.4

100,530（50,265）

47,939

13.3

100

L-4

MFLP Yashio

Yashio,Saitama

9,650

12,000

5.3

5.2

4.2

40,72839,692

8.4

100

L-5

MFLP Atsugi

Aiko,
Kanagawa

7,810

10,000

5.9

5.5

4.3

40,942

40,958

7.4

100

L-6

MFLP Funabashi Nishiura

Funabashi,
Chiba

6,970

8,390

5.2

5.2

4.3

30,94731,034

7.5

100

L-7

MFLP Kashiwa

Kashiwa, Chiba

6,300

7,810

5.6

5.4

4.3

31,242

31,291

6.7

100

L-8

MFLP Sakai

Sakai, Osaka

23,60027,500

5.5

4.9

4.2

125,127

112,148

7.9

100

L-9

MFLP Komaki

Komaki, Aichi

8,260

8,930

4.8

4.8

4.4

40,59738,806

5.5

100

L-10

MFLP Hino(25% quasi co-ownership interest)

Hino, Tokyo

12,533

13,900

4.5

4.2

3.8

205,200（51,300）

46,801

6.8

96.8

L-11

MFLP Hiratsuka

Hiratsuka,
Kanagawa

7,027

8,110

4.8

4.8

4.2

33,06133,0555.7

100

MFLP Tsukuba

Tsukubamirai,
Ibaraki

37,02737,938

12.1

L-12

8,781

11,000

5.8

5.8

4.6
25,45725,6004.3

Property
Categoryno.

Existing building

Annex building

100

L-13

MFLP Inazawa

Inazawa,
Aichi

16,20018,400

4.9

4.9

4.3

72,88368,922

5.2

100

L-14

MFLP Atsugi II

Isehara,Kanagawa

13,10015,000

4.7

4.6

4.0

48,97648,032

4.3

100* For further details, please refer to [Our portfolio] in the Notes on Matters Stated in this Document on p.47-48.
*1 “Gross floor area” figures in parentheses are the figures after taking into consideration the ownership interest.
*2 “Total leasable floor area” figures are the figures after taking into consideration the ownership interest.

39

4

Appendix

Our Portfolio (2 of 2)
Category

Logistics
facilities

Propertyno.

Location

Appraisalvalue*(million yen)

Adjusted
forecast
NOI yield(%)

Appraisal
NOI yield*(%)

Appraisal
NOI /Appraisalvalue* (%)

Gross floor
area*1(㎡)

Total leasable
floor area* *2(㎡)

Building
age(years)Occupancy
rate
(%)

L-15

MFLP Fukuoka I

Kasuya,Fukuoka

5,263

6,110

5.5

5.1

4.4

32,19932,216

5.8

100

L-16

MFLP Prologis Park Kawagoe(50% quasi co-ownershipinterest)

Kawagoe,
Saitama

14,80017,050

4.7

4.6

4.0

117,337（58,668）

56,723

3.8

100

L-17

MFLP Hiroshima I

Hiroshima,
Hiroshima

14,48016,000

5.3

5.1

4.6

68,427

66,665

2.9

100

L-18

MFLP Ibaraki

Ibaraki,Osaka

58,90067,100

4.7

4.3

3.8

230,435

208,811

4.9

100

Kawaguchi,
Saitama

18,50020,100

4.3

4.1

3.8

49,838

48,1192.8

100

Yachiyo,Chiba

18,00018,200

4.6

4.2

4.2

74,624

69,8301.9

100

Osaka,
Osaka

13,90014,200

4.0

4.0

3.9

43,91943,8802.0

100

Hiratsuka,
Kanagawa

12,70013,000

4.6

4.2

4.1

48,141

46,5252.8

100

Subtotal or Average-

314,874

358,600

4.9

4.7

4.1

1,675,820（1,360,476）

1,293,733

5.8

99.9

I-1

MFIP Inzai

Inzai,
Chiba

12,22013,600

5.0

5.0

4.5

40,478Not
Disclosed

8.4

Not
Disclosed

I-2

MFIP Inzai II

Inzai,
Chiba

15,15016,300

4.8

4.8

4.4

27,26830,9062.2

100

Subtotal or Average-

27,37029,900

4.9

4.9

4.4

67,746

Not
Disclosed

5.9

Not
Disclosed

Total or Average-342,244388,500

4.9

4.7

4.1

1,743,567（1,428,223）

Not
Disclosed

5.8

99.9

L-19
L-20
L-21
L-22

Industrial
real estate

Property nameAcquisition
price(million yen)

MFLP Kawaguchi I
Acquired in the 12th FP

MFLP Yachiyo Katsutadai
Acquired in the 12th FP

MFLP Osaka I
Acquired in the 12th FP

MFLP Hiratsuka II* For further details, please refer to [Our portfolio] in the Notes on Matters Stated in this Document on p.47-48.
*1 “Gross floor area” figures in parentheses are the figures after taking into consideration the ownership interest.
*2 “Total leasable floor area” figures are the figures after taking into consideration the ownership interest.

40

4

Appendix

Individual Property Income Statement for 12th Fiscal Period(Unit: million yen)
GLP/
MFLP
Ichikawa
Shiohama

MFLP
Kuki

Number of days ofasset management

181

181

181

Lease
business
revenue

460

447

335

775

341

OperatingOtherrevenue
leasefrom realbusiness
estaterevenueleasing

34

34

17

80

Total

494

482

353

856

Outsourcing
expenses

38

35

29

Utilities
expenses

20

27

13

45

19

1

17

7

21

12

39

42

39

81

38

Operating Repair
expenses expenses
from
real
Propertyestate
relatedleasingtaxes
Other
expenses
Total

Depreciation
Operating income(loss) from realestate leasing
NOI from real estateleasing[Operating income(loss) from realestate leasing +Depreciation])

MFLP
YokoMFLPhama
YashioDaikoku

181

MFLP
MFLP
FunaMFLP
MFLP
Atsugi bashi Kashiwa Sakai
Nishiura

181

181

181

181

Not
Not
Not
Not
disclosed disclosed disclosed disclosed
*
*
*
*

58

MFLP
Komaki181

Notdisclosed
*

3

MFLP
MFLP
MFLP
MFLP
MFLP
MFLP
MFLP
MFLP
Prologis
MFLP
Atsugi Fukuoka
HiroHino Hiratsuka Tsukuba Inazawa
Park
IbarakiII
I
shima I
Kawagoe

MFLP
MFLP
MFLP
Yachiyo MFLP
KawaHiraKatsu- Osaka I
guchi Itsuka II
tadai

MFIP
Inzai

MFIP
Inzai II

Total

181

181

181

181

-

181

181

431

479

1,555

10,054

33

18

28

119

553

374

449

507

1,675

10,607

27

41

149

18

19

61

0

3

35

46

59

164

1

2

98

32

181

181

181

181

181

181

Not
Not
Not
Not
Not
disclosed disclosed disclosed disclosed disclosed
*
*
*
*
*

180

180

Not
Not
Not
Not
Not
Not
disclosed disclosed disclosed disclosed disclosed disclosed
*
*
*
*
*
*

735

372

126

930

2

2

1

102

124

92

-

-

-

-

211

-

103

-

-

-

-

-

93

126

509

-

-

-

44

-

-

2,303

80

111

89

64

64

50

50

206

89

87

51

94

182

114

56

107

133

424

93

151

91

86

97

130

2,708

312

246

172

200

171

136

122

438

-6

183

121

156

233

201

91

248

248

740

305

314

222

239

208

284

5,596

392

357

261

264

235

187

172

645

82

271

172

251

415

315

148

355

381

1,165

399

465

314

326

306

414

8,304

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

1

180

137

41

4

Appendix

Appraisal Summary for the End of 12th Fiscal Period(Unit: million yen)
End of 11th fiscal period*2(End of Jan. 2022) (b)*1
AppraisalCR
value
18,7003.8%

End of 12th fiscal period*2(End of Jul. 2022) (b)*1
AppraisalCR
value
19,4003.7%

Change(b)-(a)Appraisal
value
700

Acquisitiondate

Acquisition
price

GLP/MFLP Ichikawa Shiohama (50%)

September 2016

15,500End of 12th
fiscalperiodBook value
14,687

- 0.1

〇

〇

MFLP Kuki

August 2016

12,500

11,39615,0004.2%

15,200

4.1%

200

- 0.1

〇

〇

MFLP Yokohama Daikoku (50%)

August 2016

10,100

9,558

11,200

4.2%

11,200

4.2%

0

0.0

-

-

MFLP Yashio

August 2016

9,650

8,999

11,700

4.1%

12,000

4.0%

300

- 0.1

〇

〇

Main factors of change
CR

*1

CR

*1

Other

MFLP Atsugi

August 2016

7,810

7,114

9,740

4.2%

10,000

4.1%

260

- 0.1

〇

〇

MFLP Funabashi Nishiura

August 2016

6,970

6,412

8,190

4.2%

8,390

4.1%

200

- 0.1

〇

〇

MFLP Kashiwa

August 2016

6,300

5,760

7,350

4.3%

7,810

4.2%

460

- 0.1

〇

〇

MFLP Sakai

August 2016*3

23,60022,772

26,9004.2%

27,500

4.1%

600

- 0.1

〇

〇

MFLP Komaki

August 2017*3

8,260

7,536

8,930

4.2%

8,930

4.2%

0

0.0

-

-

MFLP Hino (25%)

February 2018*3

12,533

11,966

13,5003.9%

13,900

3.8%

400

- 0.1

〇

〇

MFLP Hiratsuka

March 2018

7,027

6,646

7,920

4.2%

8,110

4.1%

190

- 0.1

〇

〇

MFLP Tsukuba

December 2018

8,781

8,325

10,700

4.6%

11,000

4.5%

300

- 0.1

〇

〇

MFLP Inazawa

February 201916,20015,13017,9004.3%

18,400

4.2%

500

- 0.1

〇

〇

MFLP Atsugi II

February 201913,10012,423

14,6004.0%

15,000

3.9%

400

- 0.1

〇

〇

MFLP Fukuoka I

February 2019*3

5,263

4,930

5,980

4.4%

6,110

4.3%

130

- 0.1

〇

〇

MFLP Prologis Park Kawagoe (50%)

February 2020

14,80014,395

16,3504.0%

17,050

3.9%

700

- 0.1

〇

〇

MFLP Hiroshima I

March 2020

14,48014,01015,7004.6%

16,000

4.5%

300

- 0.1

〇

〇

MFLP Ibaraki

October 2020

58,90057,60864,4003.8%

67,100

3.7%

2,700

- 0.1

〇

〇

MFLP Kawaguchi I

October 2020

18,50018,262

19,6003.8%

20,100

3.7%

500

- 0.1

〇

〇

MFLP Yachiyo Katsutadai

February 2022

18,00018,028(18,100)(4.2%)

18,200

4.1%

100

- 0.1

〇

〇

MFLP Osaka I

February 2022

13,90013,935(13,900)(3.9%)

14,200

3.8%

300

- 0.1

〇

〇

MFLP Hiratsuka II

February 2022

12,70012,734(12,900)(4.1%)

13,000

4.0%

100

- 0.1

〇

〇

MFIP Inzai

August 2016*3

12,22011,556

13,3004.4%

13,600

4.3%

300

- 0.1

〇

-

MFIP Inzai II

March 2021

15,15014,90915,9004.5%

16,300

4.4%

400

- 0.1

〇

〇

Total/average-342,244

329,102333,560(378,460)

4.1%(4.1%)

388,500

4.0%

10,040

- 0.1

-

-

*3

Difference＝Unrealized gain* 59,397 million yen* For further details, please refer to [Appraisal Summary for the End of 12th Fiscal Period] in the Notes on Matters Stated in this Document on p.47-48.
*1 CR = Capitalization rate based on direct capitalization method (NCF basis). The average indicates a weighted average based on the appraisal value.
*2 For appraisal values for properties where MFLP holds quasi co-ownership interests, the appraisal value reflects the ratio of quasi co-ownership interest.
For properties acquired in 12th FP (MFLP Yachiyo Katsutadai, MFLP Osaka I and MFLP Hiratsuka II), appraisal value and CR at the end of 11th fiscal period indicates appraisal value with November 30, 2021 as the date of value.
*3 The acquisition periods of “MFLP Sakai”, “MFLP Komaki”, “MFLP Hino”, “MFLP Tsukuba”, “MFLP Fukuoka I” and “MFIP Inzai” are divided into multiple periods, but the initial acquisition dates (Sakai: upon acquisition of 20% quasi co-ownership interest, Komaki: uponacquisition of 40% quasi co-ownership interest, Hino: upon acquisition of 15% quasi co-ownership interest, Tsukuba: upon acquisition of 60% quasi co-ownership interest, Fukuoka I: upon acquisition of 81% quasi co-ownership interest, Inzai: upon acquisition of 20%
quasi co-ownership interest) are indicated.

42

4

Appendix

Statement of Income and Balance Sheet
Statement of income
Item
Operating revenue
Lease business revenue
Other lease business revenue

11th fiscal period(ended Jan. 31, 2022)
Actual(Unit: million yen)
12th fiscal period(ended Jul. 31, 2022)
Actual9,502

10,607

8,974

10,054527

553

Balance sheet
Item
Current assets

686

6,279

6,894

-

1,848

6,148

Consumption taxes receivable

5,011

Other current assets

Asset management fee
Asset custody and administrative
service fees
Directors’ compensations

911

1,023

34

34

Other operating expenses
Operating income

Non-current assets
Property, plant and equipment
Other non-current assets

72

72

3,971

4,459

Deferred assets
Total assets

Non-operating income

10

Non-operating expenses

230

293

Operating accounts payable

162

216

Short-term borrowings

7

7

Interest expenses
Interest expenses on investment
corporation bonds
Amortization of investment corporationbonds
Amortization of investment
unit issuance expenses
Offering costs associated withIssuance of investment units
Other

1
48

1
43

9,759

Cash and deposits in trust

4,506

6

7,670
1,235

5,531

6

(Unit: million yen)
12th fiscal period(ended Jul. 31, 2022)
ActualCash and deposits

Expenses related to rent business

Operating expenses

11th fiscal period(ended Jan. 31, 2022)
ActualCurrent liabilities

Current portion of long-term loans payable
Accounts payable
Income taxes payable
Income consumption taxes payable
Advances received

154

330

286,638

329,115

286,606

329,102

32

12

102

142

294,411

339,016

9,250

17,581

599

364

-

5,200

5,300

9,000

1,080

1,173

1

0

678

-

1,577

1,829

-

16

11

7

Ordinary income

3,742

4,166

Investment corporation bonds

3,000

3,000

Profit before income taxes

3,742

4,166

89,100106,700

1

0

Long-term borrowings
Tenant leasehold and security deposits in trust

Income taxes
Profit (Net income)

3,741

4,165

Unappropriated retained earnings

3,741

4,165

Other current liabilities
Non-current liabilities

13

14

98,147

116,597

6,047

6,897

Total liabilities

107,397

134,179

Total unitholders’ equity

187,013204,837

Unitholders’ capital

185,362203,299

Deduction from unitholders’ capital-2,089-2,628Unitholders’ capital, net
Surplus
Total net assets

183,272
3,741
187,013200,671
4,165
204,837

Total liabilities and net assets

294,411

339,01643

4 4Appendix
External Evaluation and Certifications
DBJ Green Building certification
DBJ Green Building Certification aims to encourage the spread of real estate(“Green Buildings”) that takes into account environmental performance anddisaster preparedness, as well as the societal needs of various stakeholders,
including local communities. This is assessed using a proprietary scoringmodel developed by Development Bank of Japan Inc., resulting in selected
properties that address the needs of the times being given a ranking of 1 to
5 on a 5-star scale.

CASBEECASBEE (Comprehensive Assessment System for Built Environment
Efficiency) is a comprehensive system, created under the leadership of the
Ministry of Land, Infrastructure, Transport and Tourism, for evaluating thequality of buildings. In addition to the original goals of reduced energy
consumption and the use of building materials with low environmental impacts,
it also takes into account the comfort of the interior and the landscape.

BELS
BELS is a third-party evaluation system that displays the energy-saving
performance of buildings. From April 2016, real estate companies and otherentities are required to make efforts to display the energy-saving
performance of buildings based on the Act on the Improvement of Energy
Consumption Performance of Buildings (“Building Energy Efficiency Act”).
The specific method of display is set out in the energy conservation
performance display guidelines for buildings prescribed by the Ministry ofLand, Infrastructure, Transport and Tourism, and BELS is assessed using
these guidelines as a base, resulting in an evaluation and 5-star scale.

ZEB
ZEB (Net Zero Energy Building) is a building that aims to achieve a zeroenergy balance through substantial reductions in annual primary energy
consumption. This is achieved by saving as much energy as possible via
better thermal insulation of the building and highly energy efficient equipment,
etc., coupled with creating energy by solar power generation or other energy
generating methods, while maintaining a comfortable environment. In the
BELS certification system, the certification of the level of ZEB is presented infour stages: “ZEB,” “Nearly ZEB,” “ZEB Ready,” and “ZEB Oriented.”

Property name

DBJ Green
Building *GLP・MFLP Ichikawa Shiohama
MFLP Kuki
MFLP Yokohama Daikoku

Rank A*

★★★

★★★★*

★★★★★

ZEB Ready★★★★★

ZEB Ready

Rank A*

MFLP Kashiwa

Rank A*
★★★★★

★★★★

Rank S*MFLP Komaki

Rank A*★★★★

MFLP Hiratsuka
MFLP Inazawa

ZEB

Rank A*

Rank A*

MFLP Hino

BELS

★★★★
Rank A*

MFLP Funabashi Nishiura

MFLP Sakai *1

Rank S

Rank A*★★★★★

MFLP Yashio
MFLP Atsugi

CASBEECASBEE(New(Real estate) **construction)★★★★★

ZEB Ready★★★★★

ZEB Ready

Rank A*★★★★

Rank A*

MFLP Atsugi II

Rank A*
Rank A*

MFLP Fukuoka I

Rank A*

MFLP Prologis Park Kawagoe

★★★★

★★★★★

MFLP Hiroshima I★★★★

Rank A*★★★★★

ZEB Ready

MFLP Ibaraki★★★★

Rank A*★★★★★

ZEB Ready

MFLP Kawaguchi I★★★★

Rank S*★★★★★

ZEB Ready★★★★★

Nearly ZEB

118

Rank A*

Acquired in the 12th FP

MFLP Yachiyo Katsutadai
Acquired in the 12th FP
MFLP Osaka I

Rank A*

Acquired in the 12th FP
MFLP Hiratsuka II

Rank A*certifications acquired Total

10

9

12

* For further details, please refer to [Green Building certification] in the Notes on Matters Stated in this Document on p.47-48.
*1 In addition to the above green certifications, MFLP Sakai also won the FY2015 Osaka Environmentally Friendly Building Award(Retail and other facilities category).

44

4

Appendix

Investment Unit Price Trends/Status of Unitholders(yen)660,000

Investment unit price (closing price)
TSE REIT Index (indexed)

560,000

460,000

360,000

IPO issue price: 270,000 yen
260,000

160,000
2016/8/2

2017/1/31

2017/7/31

2018/1/31

2018/7/31

2019/1/31

2019/7/31

2020/1/31

2020/7/31

2021/1/31

2021/7/31

2022/1/31

2022/7/31* The starting point is the price of the first trade at IPO on August 2, 2016.
* The TSE REIT Index is indexed to the August 2, 2016 opening price.

Status of unitholders at the end of 12th fiscal period (end of July 2022)◼ Number of Unitholders and Number of Investment Units by Type of Unitholder ■ Major Unitholders
Number ofinvestment
units

Number ofinvestment
units

Number ofunitholders% of total

Individuals/Other

7,160

91.2%

26,279unit

4.6%

Custody Bank of Japan, Ltd. (trust account)

104,976unit

18.2%

Financial institutions

170

2.2%

312,581unit

54.3%

The Master Trust Bank of Japan, Ltd. (trust account)

96,222unit

16.7%

Other Japanese
corporations

218

2.8%

36,706unit

6.4%

Mitsui Fudosan Co., Ltd.

28,900unit

5.0%

25,072unit

4.4%% of total% of total

Non-Japanese

278

3.5%

179,060unit

31.1%

The Nomura Trust and Banking Co., Ltd.
(Investment Trust Account)

Securities companies

21

0.3%

21,374unit

3.7%

STICHTING PENSIOENFONDS ZORG EN WELZIJN

11,996unit

2.1%

Total

7,847

100.0%

576,000unit

100.0%

Total

267,166unit

46.4%

45

4

Appendix

Mitsui Fudosan’s Major Development / Operation Track Record *Fiscal yearofcompletion

Acquisition by
MFLP-REIT

Properties defined in“Right of first look andpreferential negotiationrightsagreement”/Acquisition
under exclusive
negotiation*

55,094㎡－－

43,919㎡●－

MFLP Yachiyo Katsutadai

74,624㎡●－

MFLP Tosu

35,248㎡－－－

MFIP Inzai II

27,268㎡●

Fiscal 2014

－

●

－

MFLP Tokorozawa

21,721㎡－●

40,942㎡●－

MFLP Funabashi III

270,321㎡－●

MFIP Inzai

40,478㎡●－

MFLP Osaka Katano

68,528㎡－●

MFLP Hino

205,200㎡● (25%)● (75%)MFLP Ichikawa Shiohama II

166,099㎡－● (60%)

Fiscal 2015

MFLP Kashiwa

31,242㎡●－

MFLP Tomei Ayase

61,441㎡－● (50%)MFLP Funabashi I

197,746㎡－－

Tokyo Rail Gate EAST

174,404㎡－－

MFLP Fukuoka I

32,199㎡●－

MFLP Ebina I

Approx. 122,200㎡－

Fiscal 2016－

SG Realty MFLP
Fukuoka Kasuya

36,141㎡－● (50%)MFLP Yatomi Kisosaki

98,792㎡－●

MFLP SHINKIBA I

9,604㎡－

Fiscal 2017●

MFLP SHINKIBA II

Approx. 28,500㎡－－

MFLP HIRATSUKA III

Approx. 28,500㎡－－

MFLP ZAMA

Approx. 134,500㎡

Fiscal 2018－－

Osaka City, Konohana-ku,
Torishima Logistics Project

Approx. 59,200㎡－－

100,530㎡● (50%)－MFLP Tachikawa Tachihi

GLP/MFLP Ichikawa Shiohama

105,019㎡● (50%)－MFLP Osaka I

MFLP Yashio

40,728㎡●－

MFLP Kuki

73,153㎡●－

MFLP Sakai

125,127㎡●

MFLP Funabashi Nishiura

30,947㎡

MFLP Atsugi

Fiscal 2020

Fiscal 2021

Fiscal 2022

Total floor area

MFLP Hiratsuka

33,061㎡●－

MFLP Komaki

40,597㎡●－

MFLP Inazawa

72,883㎡●－

MFLP Ibaraki

230,435㎡●－

MFLP Tsukuba

62,484㎡●－

MFLP Atsugi II

48,976㎡●－

MFLP Prologis Park Kawagoe

117,337㎡● (50%)－

MFIP Haneda

80,334㎡－－

MFLP Hiroshima I

68,427㎡●－

MFLP EBINA MINAMI

Approx. 37,600㎡

－

－

●

MFLP Sendai-Natori I

Approx. 44,793㎡

－

－

－

MFLP Nagoya-Iwakura

Approx. 58,444㎡－－

MFLP Ichinomiya

Approx. 66,043㎡－－

Approx. 38,826㎡

MFLP Kawaguchi I

227,003㎡
49,838㎡－●

Fiscal 2023

Fiscal 2024

MFLP Hiratsuka II

48,141㎡●－

MFLP Yokohama Kohoku

45,512㎡－●

MFLP Misato

－

－

－

another data center (1 property)

－

－

－

other overseas properties(2 properties)

－

－

－

MFLP Kawasaki I*

Propertydeveloped/operated

Acquisition by
MFLP-REIT

MFLP Funabashi II
Fiscal 2019

Fiscal yearofcompletion

Total floor
area

Property developed/operated

MFLP Yokohama Daikoku
Fiscal 2013

Properties defined in“Right of first look andpreferential negotiationrightsagreement”/Acquisition
under exclusive
negotiation*

49,801㎡－

For further details, please refer to [Properties defined in “Right of first look and preferential negotiation rights agreement] [Major
properties developed/operated by Mitsui Fudosan] in the Notes on Matters Stated in this Document on p.47-48.

Fiscal 2025

TBD

*1 MFLP Yokohama Daikoku is listed under the fiscal year in which the property began its operations. The fiscal year of completion of
the property is fiscal 2009. The fiscal year of completion of the existing building of MFLP Tsukuba is fiscal 2010.
*2 The percentage figures in parentheses is the percentage of quasi co-ownership interest in the portfolio asset.

46

Notes on Matters Stated in this Document* Unless otherwise specified, figures indicated in whole numbers are rounded down to the nearest specified unit and figures with a decimal point are rounded to the nearest indicated unit.
* Unless otherwise specified, descriptions are made based on the following.
[Highlights] / [Basic Strategy and Four Roadmaps] / [Internal Growth Strategy] / [Our Portfolio] / [Appraisal Summary for the End of 12th Fiscal Period]“Distribution per unit (DPU) ”
Includes distribution in excess of earnings. (Number of investment units issued and outstanding: 224,000 units at the end of the 1st/2nd/3rd fiscal periods / 262,774 units at the end of 4th and 5th fiscal periods / 379,000 units at the end of 6th and 7th fiscal periods /441,000 units at the end of 8th fiscal period / 542,000 units at the end of 9th/10th/11th fiscal periods / 576,000 units at the end of 12 th/13th/14th fiscal periods)“Building age”
Number of years from the date of construction of the main building of a property acquired in the register to July 31, 2022 (end of 12th fiscal period).
“Average building age” and subtotal (average) and total (average) indicates the weighted average based on the total floor area, considering the quasi co-ownership interest of each property.
The average age of the 6 properties acquired after the start of the pandemic shown on P3/4 indicate the weighted average based on the number of years up to the date of each acquisition.
“Occupancy rate”
Leased area as a percentage of leasable area. Based on concluded agreements as of July 31, 2022 (end of 12 th fiscal period).
Average occupancy rate during the fiscal period is the simple average of the occupancy rate as of the end of each month during the fiscal period. Based on concluded agreements“LTV”
LTV = Balance of interest-bearing debt ÷ Total assets“Acquisition capacity”
Amount of debt that can be additionally financed assuming that LTV is raised to 50%. The amount indicated is rounded to the nearest billion yen.
“Adjusted forecast NOI yield”
Annualized after subtracting the fixed asset tax and city planning tax for the property acquired in the 12 th fiscal period from the NOI assumed in the earnings forecast for the 13 th and 14th fiscal periods as well as adjusting special factors, and dividing it by the totalacquisition price.
Subtotal (average) and total (average) for each category indicate the weighted average based on acquisition price.
The average adjusted forecast NOI yield for the 6 properties acquired acquired after the start of the pandemic shown on P3/4 is the weighted average based on acquisition price, adjusting the forecast NOI which was assumed in the earnings forecasts for the fiscal
period in which the property was acquired and the following fiscal period for fixed asset and city planning taxes and special factors, as of the acquisition date for each property.
“NAV per unit”“End of FP ended January 2017 (End of 1 st FP)”: (Net assets as of the end of FP ended January 2017 + Unrealized gain on appraisal basis – Total distribution amount) (=NAV as of the end of FP ended January 2017) / Number of investment units issued andoutstanding (224,000 units)“End of FP ended July 2022 (End of 12th FP)”: (Net assets as of the end of FP ended July 2022 + Unrealized gain on appraisal basis – Total distribution amount) (=NAV as of the end of FP ended July 2022) / Number of investment units issued and outstanding(576,000 units)*Calculation of NAV as of the end of each fiscal period based on net assets as of the end of each FP and unrealized gain on appraisal basis less total distribution amount divided by number of investment units issued and outstanding.
“Market cap”
End of FP ended July 2022 (End of 12th FP):
Closing price of the investment unit as of the end of the FP ended July 2022 (523,000 yen) x the number of MFLP-REIT’s investment units issued and outstanding as of the end of the FP ended July 2022 (576,000 units).
Market cap as of end of each FP calculated using closing price at end of FP multiplied by number of investment units issued and outstanding as of the end of each FP.
“Calculation of average lease term”"Average lease term" is calculated using the average of the lease terms stated in concluded lease agreements as of July 31, 2022 weighted by the leasable floor area.
With regard to the lease agreements to be included in the calculation, when a re-contract starting on the day immediately following the expiration date of the respective lease agreement is concluded with the same lessee, the lease term is deemed to be from the startof the initial lease agreement to the expiration date of the re-contract, and used in the calculation as such.
“Calculation of remaining lease contract period”"Average lease term" is calculated using the average of the remaining period in the lease terms after July 31, 2022, based on the concluded lease agreements as of July 31, 2022.
With regard to the lease agreements to be included in the calculation, when a new lease agreement ("re-contract") is concluded with the same lessee, the remaining period shall be calculated assuming that the lease period continues from the day immediately
following the expiration date of the previous contract to the expiration date of the re-contract.
“Appraisal value”
Appraisal values corresponding to the quasi co-ownership interest ratio of each property with July 31, 2022 (end of 12th FP) as the appraisal date are indicated.
“Appraisal NOI yield”
Ratio of net operating income under direct capitalization method stated in real estate appraisal report (“Appraisal NOI”) to acquisition price. “Average NOI yield” and subtotal (average) and total (average) for each category indicate the weighted average based on
acquisition price.
“Appraisal NOI / Appraisal value”
Appraisal NOI divided by appraisal value. The subtotal (average) and total (average) of “Appraisal NOI / Appraisal value” for each category indicate the weighted average based on the appraisal value.
“Total floor area”
Figures based on the record on the register, rounding down to the nearest whole number.
“Leasable area”
The total floor area (rounded down to the nearest whole number) of each asset held by MFLP-REIT that is deemed to be leasable based on the lease agreement or floor plan, etc. for such building as of July 31, 2022(end of 12 th FP).
(not include the leased area indicated in the lease agreements concerning shops, vending machines, photovoltaic power generation facilities, parking lots, nursery centers and the like)“Unrealized gain”
A figure obtained by subtracting the period-end book value from appraisal value.
[Properties acquired after the start of the pandemic]
Refers to all properties acquired during the period from the announcement of the First State of Emergency on April 7, 2020, i n response to rising new infections from the novel coronavirus, until the publication data of these materials.

47

Notes on Matters Stated in this Document[Properties defined in “Right of first look and preferential negotiation rights agreement”]“Properties defined in “Right of first look and preferential negotiation rights agreement” refers to properties on the list of right of first look and preferential negotiation properties pertaining to real estate subject to provision of information, presented based on the Right offirst look and preferential negotiation rights agreement executed between the Asset Management Company and Mitsui Fudosan upon the Asset Management Company managing MFLP-REIT’s assets. “Real estate subject to provision of information” refers to, among
real estate, etc. held by Mitsui Fudosan or a real estate fund which accepted investment or monetary contribution of Mitsui Fudosan, those which are judged to have the possibility to be sold to MFLP-REIT at Mitsui Fudosan’s discretion.
The (number of) subject properties and ratio/total floor area indicate figures after considering co-ownership interest (or quasi co-ownership interest).
[Method of calculation of cash distribution based on FFO]
(1) Distribution of earnings is determined based on profit (net income) for the applicable operating period.
(2) FFO for the applicable operating period is calculated by adding depreciation to profit (net income) (excluding gain or loss on sale of real estate, etc.) for the applicable operating period.
(3) The amount distributable including distribution in excess of earnings is calculated based on a threshold of an amount equivalent to 70% of FFO for the applicable operating period.
(4) The amount distributable in excess of earnings is calculated by deducting the amount of distribution of earnings (excluding gain or loss on sale of real estate, etc.) from the amount distributable including distribution in excess of earnings.
(5) The amount of continuous distribution in excess of earnings is determined based on a comprehensive judgment on the basis of the amount distributable in excess of earnings.
(6) The distribution in excess of earnings determined in 5. above is to be continuously made each fiscal period in principle, in addition to the distribution of earnings determined in 1. above.
In addition, in cases where the distribution amount for distributions per unit is expected 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 one-off distribution in excess ofretained earnings may be executed in order to standardize the amount of the distributions per unit.
[Major properties developed/operated by Mitsui Fudosan]
Based on materials released by Mitsui Fudosan on November 5, 2019, April 21, 2022 and financial first quarter results materials of Mitsui Fudosan for the fiscal year ending March 31, 2023 indicates the area recorded in the property registry or the certificate ofcompletion for completed properties, the area stated on the building confirmation certificate for uncompleted properties that are properties defined in “Right of first look and preferential negotiation rights agreement,” and the area stated in the material published by Mitsui
Fudosan for all other properties. The area for uncompleted properties is the planned area and is subject to change.
“Cumulative total investment size” includes properties under development or scheduled to be developed as of each date of publication and their (planned) investment amount. Properties scheduled to be developed include those targeted or planned by the Mitsui
Fudosan Group as of the date of this document and are subject to change or cancellation.
Furthermore, there are no details concerning the timing of completion of the aforementioned investments that had been finalized as of the date of this document. Nor does MFLP-REIT guarantee or promise that the plans be materialized.
“Tokyo Rail Gate EAST” is included in terms of the number of facilities and total floor area, but not in term of the amount. Mitsui Fudosan has no plans to acquire the property as of the date of this document.
[Industrial real estate]
Real estate which is used to provide the framework for industrial activity such as data centers, communications facilities, research facilities, manufacturing plants and supply/treatment facilities.
[ZEB certification]
ZEB (Net Zero Energy Building) is a building that aims to achieve a zero energy balance through substantial reductions in annual primary energy consumption. This is achieved by saving as much energy as possible via better thermal insulation of the buildi ng and highly
efficient equipment, coupled with creating energy by photovoltaic power generation (or other energy generating methods), whi le maintaining a comfortable environment. In the BELS certification system, the certification of the level of ZEB is presented in four stages:“ZEB,” “Nearly ZEB,” “ZEB Ready,” and “ZEB Oriented.” “ ZEB Ready” is awarded to buildings that achieve primary energy reduction of 50% or higher.
[Solar panel annual power generation]
Actual power generated between January and the end of December 2021 at 12 properties with photovoltaic panel facilities after acquisition of properties acquired in the 12th FP, 2021, is indicated.
The total power generation amount of the entire properties is indicated regardless of ownership ratio held by MFLP-REIT.
[About analysis of Japan's logistics facilities stock](1) The "Analysis of Japan's logistics facilities stock" graph is of estimates by CBRE K.K. based on the Policy Bureau of the Ministry of Land, Infrastructure, Transport and Tourism's "Building Starts" and the Ministry of Internal Affairs and Communications’"Summary Report on Prices, etc. of Fixed Assets."(2) In the "Analysis of Japan's logistics facilities stock" graph, "Leading-edge logistics facilities" is the figure of each year's sum total of the gross floor area of leading-edge logistics facilities (refers to rental logistics facilities that have gross floor area of at least 10,000 m2
and, in principle, ceiling height of at least 5.5 meters, floor load capacity of at least 1.5 tons/m2 and column spacing of at least 10 m).
(3) In the "Analysis of Japan's logistics facilities stock" graph, "Estimate for logistics facilities 40 years old or older" is the figure of each year's overall stock estimate (as covered by note 5; the same shall apply hereinafter) minus the sum total of the floor area of whichconstruction was started within the past 40 years.
(4) "Estimate for logistics facilities less than 40 years old" is the figure of the overall stock estimate minus the floor area of "Estimate for logistics facilities 40 years old or older" and "Leading-edge logistics facilities."(5) The overall stock estimate is the sum total of "Estimate for logistics facilities 40 years old or older," "Estimate for logistics facilities less than 40 years old" and "Leading-edge logistics facilities."(6) In the "Analysis of Japan's logistics facilities stock" graph, "Share of leading-edge logistics facilities" is each fiscal year's "Leading-edge logistics facilities" expressed as a percentage of the overall stock estimate (gross floor area basis).
(7) In the "Analysis of Japan's logistics facilities stock" graph, "Share of logistics facilities 40 years old or older" is each fiscal year's "Estimate for logistics facilities 40 years old or older" expressed as a percentage of the overall stock estimate (gross floor area basis).
(8) "Gross floor area" is compiled based on data on construction starts. In addition, estimates are on the basis of the time of construction completion being that construction is deemed to be completed after one year has elapsed from construction start. Accordingly,
gross floor area may not match the floor area on the building confirmation certificate, construction completion drawing or register.
[Green Building certification]
With regard to “DBJ Green Building Certification”, only the certification for MFLP Atsugi has expired.
With regard to “CASBEE New Construction Certification” the certifications for all certified properties except for MFLP Prologis Park Kawagoe have expired.
With regard to “CASBEE Real Estate Certification”, there are 2 types of certification of comprehensive building environment efficiency: an assessment conducted by either an external body or the relevant local government, a system mainly employed by ordinancedesignated cities. With the exception of GLP/MFLP Ichikawa Shiohama, all certifications were based on applications for assessments under CASBEE-based systems established by local governments.

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Disclaimer
This document is provided solely for informational purpose with regard to Mitsui Fudosan Logistics Park Inc. (MFLP-REIT) and is not intended to serve as an
inducement or solicitation to trade in any product offered by MFLP-REIT.
Purchase, sale and such of MFLP’s investment units entail the risk of incurring a loss due to fluctuations of the investment unit price.
Please consult with a securities company regarding the purchase of MFLP-REIT’s investment units or investment corporation bonds. This document should not beinterpreted as constituting disclosure documents or asset management report required under Financial Instruments and Exchange Act or the Act on Investment
Trusts and Investment Corporations.
Concerning the information provided in this document, although MFLP-REIT and Mitsui Fudosan Logistics REIT Management Co., Ltd. make every effort to provide
correct information, its accuracy, adequacy or completeness are not guaranteed regardless of the information being prepared by MFLP-REIT and Mitsui Fudosan
Logistics REIT Management Co., Ltd. or being received from third-parties.
Among the information provided in this document, statements other than those pertaining to facts in the past or present are forward-looking statements presented by
MFLP-REIT or Mitsui Fudosan Logistics REIT Management Co., Ltd. according to assumptions or judgement based on information available on the date of thisdocument (the date if specified otherwise in the document). Forward-looking statements are based on assumptions such as the investment policy of MFLP-REIT,
applicable laws and regulations, market environment, interest rate environment, business practice and other facts as of the preparation date of this document, anddo not reflect or consider changes in situations after the preparation date. Forward-looking statements include, explicit or implied, uncertainties of existing risks,
unknown risks and other factors, and may materially differ from actual performance, business results, financial status and such of MFLP-REIT.
The content of this document is subject to change or repeal without prior notice. MFLP-REIT and Mitsui Fudosan Logistics REIT Management Co., Ltd. are under noobligation to update or publicly disclose the content of this document (including forward-looking statements).
Duplication or reproduction of any content presented in this document without the prior consent of MFLP-REIT or Mitsui Fudosan Logistics REIT Management Co.,
Ltd. is strictly prohibited.

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