June 14, 2010

Summary of Earnings Results for the
Eighth Fiscal Period(From November 1, 2009 to April 30, 2010)
Top REIT, Inc. (listed on the Tokyo Stock Exchange with securities code 8982) hereby announces its earnings
results for the fiscal period ended April 30, 2010 (eighth fiscal period).

1. Earnings Results for the Eighth Fiscal Period
Eighth Fiscal Period: From November 1, 2009 to April 30, 2010
Seventh Fiscal Period: From May 1, 2009 to October 31, 2009
(1) Business Results
EighthFiscal Period
SeventhFiscal Period

EighthFiscal Period
SeventhFiscal Period

Operating
Revenue

Period-on-Period
ChangeOperating
IncomePeriod-on-Period
ChangeOrdinary
IncomePeriod-on-Period
Change¥5,814mn

3.7%¥2,849mn

8.3%¥2,091mn

6.7%¥5,608mn

0.0%¥2,630mn(2.6%)¥1,960mn(4.3%)Net
IncomePeriod-on-Period
ChangeNet
Incomeper Unit¥2,090mn

6.6%¥13,484

2.5%

1.2%

36.0%

¥1,961mn(4.2%)¥12,655

2.3%

1.1%

35.0%

Ratio ofRatio ofRatio ofNet Income to
Ordinary Income to Ordinary Income toUnitholders’
Operating Revenue
Total Assets
Equity(Note) Net income per unit is rounded to the nearest yen.

(2) Dividends
Dividend
per Unit

Total Amount of
Dividends(excluding dividend inexcess of earnings)

EighthFiscal Period
SeventhFiscal Period

Dividend in
Excess ofEarnings
per Unit

Total Amount of
Dividends in
Excess ofEarnings

Dividend
Payout Ratio

Ratio of
Dividends to
Net Assets¥13,484¥2,090mn¥0¥–mn

100.0%

2.5%¥12,654¥1,961mn¥0¥–mn

100.0%

2.3%(3) Financial Position

EighthFiscal Period
SeventhFiscal Period

Total Assets

Net Assets

Ratio of
Unitholders’ Equity to
Total Assets

Net Assets per Unit

¥186,296mn¥84,289mn

45.2%¥543,805¥172,884mn¥84,140mn

48.7%¥542,842(Note) Net assets per unit is rounded to the nearest yen.

1(4) Cash Flows

EighthFiscal Period
SeventhFiscal Period

Net Cash
Provided by (Used in)Operating Activities

Net Cash
Provided by (Used in)Investing Activities

Net Cash
Provided by (Used in)
Financing Activities

Cash and
Cash Equivalents
at End of Period¥2,981mn(¥12,425mn)¥10,538mn¥10,886mn¥3,094mn(¥387mn)(¥2,046mn)¥9,791mn

2. Forecast of Earnings Results for the Ninth Fiscal Period
Ninth Fiscal Period:

NinthFiscal PeriodNinthFiscal Period

From May 1, 2010 to October 31, 2010

Operating
Revenue

Period-on-Period
ChangeOperating
IncomePeriod-on-Period
ChangeOrdinary
IncomePeriod-on-Period
Change¥6,037mn

3.8%¥3,004mn

5.4%¥2,171mn

3.8%

Net
IncomePeriod-on-Period
Change¥2,170mn

3.8%(excluding dividend in excess of earnings)

Dividend in Excess of Earnings
per Unit¥14,000¥0

Dividend per Unit

(Note) Estimated net income per unit for the Ninth fiscal period: ¥14,000*Explanation on the Appropriate Use of Earnings Results Forecasts, and Other Matters of Special Note
The earnings results forecasts and other forward-looking statements contained in this document are basedon information currently available to and certain assumptions deemed reasonable by Top REIT.
Accordingly, the actual results may differ materially due to a variety of factors. Moreover, the forecasts
should not be construed as a guarantee of the dividend amount.

3. Others(1) Changes in Accounting Policies
a. Changes accompanying revisions in accounting standards, etc.:
b. Changes aside from a. above:NoNo(2) Number of Investment Units Issued and Outstanding
a. Number of investment units (including own investment units) issued and outstanding at end of fiscal period
Eighth Fiscal Period: 155,000 units
Seventh Fiscal Period: 155,000 units
b. Number of own investment units issued and outstanding at end of fiscal period
Eighth Fiscal Period: 0 units
Seventh Fiscal Period: 0 units
This summary of earnings results is translated from the Japanese “Kessan Tanshin” report, dated June 14,
2010, which is prepared in accordance with generally accepted accounting principles in Japan andJapanese law.
Unless otherwise stated, fractions less than the specified unit are rounded down to the nearest specified
unit for monetary amounts and rounded to the nearest specified unit for percentage figures.

4. Asset Management Performance2(1) Acquisition and Selling of Assets
Top REIT began the eighth fiscal period with 14 properties (total acquisition value: ¥162,347 million). Having
made deliberations over the possible acquisition of properties with a focus on office buildings located in central
Tokyo, which Top REIT had carefully selected from the extensive property information collected through the“optimal application of sponsor strengths”, we acquired the beneficiary interest in trust of Sumitomo
Corporation Nishiki-cho Building, located in Kanda Nishiki-cho, Chiyoda Ward, Tokyo, at an acquisition priceof ¥12,700 million as of January 13, 2010.
As a result, the number of assets managed by Top REIT has increased to 15 properties, with the entire
acquisition value totaling ¥175,047 million as of the end of the eighth fiscal period.
(2) Management and Maintenance of Portfolio Assets
The basic asset management strategy of Top REIT centers on sustaining and increasing revenue over the
medium to long term by maintaining and improving tenant satisfaction (the “Tenants First” policy) and keeping
operational management costs at an appropriate level.
Top REIT strives to improve tenant satisfaction by sustaining relationships of trust with tenants and discerning
tenant needs via property management companies in order to maintain high occupancy rates. Moreover,solicitation of new tenants and other efforts were appropriately made. As a result of such undertakings, theoccupancy rate of Top REIT’s entire portfolio at the end of the eighth fiscal period remained flat at 99.2%.
Regarding maintenance, Top REIT followed up on ensuring an appropriate perception of the operational
management conditions and steady implementation of asset management plans for each property. Top REIT
also carried out repair work that contributes to enhancing the competitiveness of properties and maintaining andimproving the functionality of properties based on asset management plans, took steps to keep relevant costs at
an appropriate level, as well as conducted efficient management of resources.

5. Procurement of Funds
Top REIT procures funds by adopting a financial policy that is based on stable financial management. During
the eighth fiscal period, Top REIT repaid ¥4,908 million in short-term loans payable by borrowing the sameamount in long-term loans payable in November 2009 in an aim to increase the ratio of long-term loans payableand further diversify the repayment dates of borrowings. In addition, Top REIT procured ¥12,500 million in
long-term loans payable on January 13, 2010 and used the proceeds to acquire the beneficiary interest in trustof Sumitomo Corporation Nishiki-cho Building. Moreover, Top REIT refinanced ¥8,370 million yen in shortterm loans payable in February 2010 by borrowing ¥1,670 million in long-term loans payable and the rest in
short-term loans payable, and refinanced ¥9,000 million yen in long-term loans payable that matured in March2010 by borrowing the same amount in long-term loans payable. As a result, at the end of the eighth fiscal
period, the total amount of loans payable stands at ¥94,240 million and the ratio of loans payable to total assets(LTV) is 50.6%. Of the total amount of loans payable, 92.9% are long-term loans payable (including the current
portion of long-term loans payable) and 47.2% are loans payable with fixed interest rates.
The credit ratings of Top REIT as of April 30, 2010 are as follows:
Rating Agency

Issuer Rating [Outlook]

Moody’s Investors Service, Inc. (Moody’s)

A3 [Negative]

Rating and Investment Information, Inc. (R&I)

AA– [Stable]

3

Furthermore, Top REIT submitted a shelf registration statement for investment corporation bonds on May 12,2010 and issued investment corporation bonds on June 4, 2010. Top REIT will use the funds and cash on handto repay ¥8,500 million in long-term loans payable that should mature on June 30, 2010.
[Submission of Shelf Registration Statement for Investment Corporation Bonds]
Top REIT submitted a shelf registration statement for investment corporation bonds to the Commissioner of the
Kanto Local Finance Bureau for the flexible procurement of long-term loans.
Issue
Amount to be issued
Scheduled period of issue
Investment corporation bonds¥100 billion
From May 20, 2010 through May
19, 2012[Issuance of Investment Corporation Bonds]
Based on the comprehensive resolution regarding the offering of issued investment corporation bonds at themeeting of Top REIT’s Board of Directors, investment corporation bonds were issued on the below conditions
and the payment was completed on June 4, 2010.
(1) Name of investment corporation bonds
Top REIT, Inc. No. 1 Unsecured Investment Corporation Bonds (with special pari passu conditions
among specified Top REIT investment corporation bonds)(2) Total amount of investment corporation bonds to be issued¥8,500,000,000(3) Issue price¥100 per ¥100 of the investment corporation bonds(4) Redemption price¥100 per ¥100 of the investment corporation bonds(5) Interest rate
1.00% per annum(6) Collateral
The investment corporation bonds are issued on an unsecured, unguaranteed basis and without thebacking of specific assets.
(7) Method and date of redemption
The total amount of the Bonds will be redeemed on June 4, 2015.
(8) Dates of interest payments
June 4 and December 4 of each year(9) Use of funds
Repayment of loans

6. Outlook for the Ninth and Tenth Fiscal Periods
The earnings results forecasts for the ninth fiscal period (from May 1, 2010 to October 31, 2010) and the tenthfiscal period (from November 1, 2010 to April 30, 2011) are as follows:
Fiscal Period

Ninth Fiscal Period

Tenth Fiscal Period[period of asset management][184 days][181 days]

Operating Revenue¥6,037mn¥5,967mn

Ordinary Income¥2,171mn¥2,171mn

Net Income¥2,170mn¥2,170mn

4Dividend per Unit
(excluding dividend in excess of earnings)
Dividend in Excess of Earnings per Unit

¥14,000¥14,000¥0¥0(Note) The earnings results forecasts presented above are the current figures calculated based on certain
assumptions. Accordingly, the actual operating revenue, ordinary income, net income, dividend per unit
and dividend in excess of earnings per unit may vary due to changes in the circumstances. Moreover, theforecasts should not be construed as a guarantee of the dividend amount.
Preconditions for Forecast of Earnings Results for the Ninth Fiscal Period (from May 1, 2010 to October
31, 2010) and the Tenth Fiscal Period (from November 1, 2010 to April 30, 2011)
Item
Preconditions and Assumptions
Management
 Ninth Fiscal Period: May 1, 2010 – October 31, 2010 (184 days)
Period Tenth Fiscal Period: November 1, 2010 – April 30, 2011 (181 days) The forecast is based on the 15 properties Top REIT owns as of April 30, 2010.
 The actual circumstances may change due to the acquisition or disposal of properties
Portfolio Assets
and other factors.
 Top REIT does not have any forward commitments, etc. indicated in the supervision
guidelines of the Financial Services Agency (FSA) as of June 14, 2010.
Number of The number of investment units issued and outstanding is based on the number as ofInvestment Units
April 30, 2010, which is 155,000 units, and assumes that no issuance of new investment
Issued andunits will be made by April 30, 2011.
Outstanding It is assumed that the total amount of loans will be 94,240 million yen, which is theamount as of April 30, 2010.
 For the ninth fiscal period, it is assumed that a loan of 8,500 million yen, for which therepayment date is set on June 30, 2010, will be repaid by using 8,500 million yen
procured on June 4, 2010 through the issuance of the No. 1 Unsecured Investment
Interest-Bearing
Corporation Bonds and cash on hand. Moreover, it is assumed that 67.5 million yen in
Debt
long-term loans payable will be repaid on June 30, 2010 as agreed upon.
 For the tenth fiscal period, it is assumed that 67.5 million yen in long-term loans
payable will be repaid on December 30, 2010 as agreed upon. Moreover, it is assumed
that loans of 6,700 million yen and 16,700 million yen, whose repayment dates are set
for February 28, 2011 and March 3, 2011, respectively, will be fully refinanced.
 Top REIT adopts a method treating property, city planning and depreciated asset taxes
on real estate, etc. it owns as expenses related to the rent business and an equivalentamount to that of the corresponding management periods is recognized out of theassessed and determined taxation amount.
 It is assumed that the amount of property tax will be 587 million yen for the ninth fiscal
period and 587 million yen for the tenth fiscal period.
OperatingExpenses It is assumed that depreciation and amortization will be 1,082 million yen for the ninth
fiscal period and 1,090 million yen for the tenth fiscal period.
 Repair and maintenance costs are generally expenses that vary greatly by fiscal period
and do not occur periodically. Thus they may vary greatly from the assumed expenses.
 Management operation fees are assumed by reflecting the varying factors of expenses
based on past results.
 It is assumed that non-operating expenses for the ninth fiscal period will be 838 million
Non-Operating
yen, of which interest expenses (including loan-related fees) will be 823 million yen.
Expenses It is assumed that non-operating expenses for the tenth fiscal period will be 833 million
yen, of which interest expenses (including loan-related fees) will be 823 million yen.
Dividend per Dividends (dividend per unit) are calculated based on the dividend policy stipulated in
5

Unit
Dividend in
Excess ofEarnings per Unit
OthersTop REIT’s Articles of Incorporation.
 Top REIT does not currently anticipate dividends in excess of earnings per unit.
 It is assumed that there will be no changes in legislation, taxation, accounting standards,
listing rules, or rules and requirements imposed by the Investment Trusts Association,
Japan which would impact the aforementioned forecasts.
 It is assumed that there will be no unpredictable material changes in general economic
trends and real estate market conditions, etc. in Japan.

67. Financial Statements(1) Balance Sheets(Unit: thousand yen)
Seventh Fiscal Period(as of October 31, 2009)
AssetsCurrent assets
Cash and deposits
Cash and deposits in trust
Operating accounts receivable
Prepaid expenses
Deferred tax assets
Income taxes receivable
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Structures
Accumulated depreciation
Structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Buildings in trust
Accumulated depreciation
Buildings in trust, net
Structures in trust
Accumulated depreciation
Structures in trust, net
Machinery and equipment in trust
Accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Total property, plant and equipment
Intangible assets
Other
Total intangible assets
Investments and other assets
Lease and guarantee deposits
Long-term prepaid expenses
Deferred tax assets
Other
Total investments and other assets
Total noncurrent assets
Deferred assets
Deferred organization expenses
Total deferred assets
Total assets

7

Eighth Fiscal Period(as of April 30, 2010)

5,422,053
4,734,526
40,663
118,78010
709―
52,926
10,369,670

6,184,999
4,701,262
36,742
246,767
39,187530
17,4301,979
11,228,898

1,115,185(68,974)
1,046,211
4,637(1,452)
3,184
11,436(5,072)
6,364
1,004
(238)
765
4,888,525
55,914,251(6,864,558)
49,049,692
654,166(139,641)
514,524
195,190(50,115)
145,075
102,522(42,465)
60,056
106,523,104
162,237,504

1,116,573(89,700)
1,026,872
4,452(1,876)
2,575
11,436(6,594)
4,842
1,004
(343)
660
4,888,525
57,653,042(7,926,071)
49,726,970
656,108(159,651)
496,456
208,528(60,504)
148,023
144,174(54,832)
89,341
118,234,009
174,618,279

255
255

233
233

10,00083,23752,537
120,377
266,153
162,503,912

10,000300,759―
132,394
443,154
175,061,667

11,34011,340172,884,923

5,670
5,670
186,296,235

(Unit: thousand yen)
Seventh Fiscal Period(as of October 31, 2009)
Liabilities
Current liabilities
Operating accounts payable
Short-term loans payable
Current portion of long-term loans payable
Accounts payable – otherAccrued expenses
Income taxes payable
Accrued consumption taxes
Advances received
Derivatives liabilities

221,363
13,278,000
17,500,000
245,514
176,511375
74,301
754,800
―

Other

2,552
32,253,420

Total current liabilities

Eighth Fiscal Period(as of April 30, 2010)

116,9036,700,000
25,335,000
296,129
228,365441―
909,119
120,135
2,438
33,708,533

Noncurrent liabilities
Long-term loans payable
Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Derivatives liabilities

50,962,000
129,308
5,248,561
151,123

Total noncurrent liabilities

56,490,992

68,297,908

Total liabilities

88,744,413

102,006,441

82,260,100

82,260,100

62,205,000
147,8945,945,013―

Net Assets
Unitholders’ equity
Unitholders’ capital
Surplus
Unappropriated retained earnings (undisposed loss)
Total surplus
Total unitholders’ equity

1,961,454

2,090,112

1,961,454

2,090,112

84,221,554

84,350,212(81,044)(60,419)(60,419)

Valuation and translation adjustments
Deferred gains or losses on hedges
Total valuation and translation adjustments
Total net assets(81,044)
84,140,509

84,289,793

Total liabilities and net assets

172,884,923

186,296,235

8

(2) Statements of Income(Unit: thousand yen)
Seventh Fiscal Period(May 1, 2009 –October 31, 2009)

Eighth Fiscal Period(November 1, 2009 –April 30, 2010)

Operating revenue
Rent revenue – real estate

5,584,441

5,797,208

Other lease business revenue

23,797

17,007

Total operating revenue

5,608,239

5,814,215

2,429,438

2,405,910

Operating expenses
Expenses related to rent business
Asset management fee

423,051

436,159

Asset custody fee

7,766

8,062

Administrative service fees

59,841

61,108

Directors’ compensations

5,250

6,900

Audit fee

10,00010,000

Other operating expenses

42,71536,280Total operating expenses
Operating income

2,978,064

2,964,421

2,630,175

2,849,794

Non-operating income
Interest income

6,676

5,366

Reversal of dividends payable

―

1,061

Other

900

826

7,577

7,254

619,578

671,063

5,670

5,670

Total non-operating income
Non-operating expenses
Interest expenses
Amortization of deferred organization expenses
Other

52,32089,284

677,568

766,018

1,960,183

2,091,030

2,312

―

2,312

―

1,962,495

2,091,030

Income taxes – current

825

1,011

Income taxes – deferred

221

(9)

Total income taxes

1,047

1,002

1,961,448

2,090,028

5

84

1,961,454

2,090,112

Total non-operating expenses
Ordinary income
Extraordinary income
Refunded Property taxes
Total extraordinary income
Income before income taxes

Net income
Retained earnings brought forward
Unappropriated retained earnings (undisposed loss)

9(3) Statements of Cash Flows(Unit: thousand yen)
Seventh Fiscal Period(May 1, 2009 –October 31, 2009)
Net cash provided by (used in) operating activities
Income before income taxes
Depreciation and amortization
Amortization of deferred organization expenses
Amortization of right of trademark
Increase (decrease) in allowance for doubtful accounts
Interest income and interest on securities
Interest expenses
Decrease (increase) in operating accounts receivable
Decrease (increase) in income taxes receivable
Decrease (increase) in consumption taxes receivable
Decrease (increase) in prepaid expenses
Decrease (increase) in other current assets
Increase (decrease) in operating accounts payable
Increase (decrease) in accounts payable – other
Increase (decrease) in accrued consumption taxes
Increase (decrease) in advances received
Decrease (increase) in long-term prepaid expenses
Other, net
SubtotalInterest income received
Interest expenses paid
Income taxes paid

Eighth Fiscal Period(November 1, 2009 –April 30, 2010)

1,962,495
1,105,369
5,670
21
(523)
(6,676)
619,578(4,813)900―(18,635)
1,047
53,177(11,612)
26,599(5,141)
33,599(49,426)

2,091,030
1,127,065
5,670
21
―
(5,366)
671,063
3,921
178(17,430)(127,986)
613(38,118)
8,665(74,301)
154,318(217,522)
10,544

3,711,629
6,122(622,922)(536)

3,592,366
5,869(616,201)(945)

Net cash provided by (used in) operating activities

3,094,292

2,981,089

Net cash provided by (used in) investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Purchase of property, plant and equipment in trust
Proceeds from tenant leasehold and security deposits
Repayments of tenant leasehold and security deposits
Proceeds from tenant leasehold and security deposits in trust
Repayments of tenant leasehold and security deposits in trust(365,000)―(5,209)(14,499)―(11,774)
34,907(26,280)(525,000)
890,000(1,191)(13,503,884)
18,586―
761,941(65,489)

Net cash provided by (used in) investing activities(387,857)(12,425,037)――――(2,046,930)

6,700,000(13,278,000)
28,078,000(9,000,000)(1,961,370)

Net cash provided by (used in) financing activities
Increase in short-term loans payable
Decrease in short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Dividends paid

(2,046,930)

10,538,630

Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period

659,505
9,132,073

1,094,682

Cash and cash equivalents at end of period

9,791,579

Net cash provided by (used in) financing activities

10

9,791,579
10,886,261

8. Portfolio Data
Asset
Class

Acquisition
Value

Appraisal
Investment
Value atBreakdown
End of Period(Note)(million yen)(million yen)

41,95047,75027.0

33,00039,30022.2

20,00015,5008.7

12,70014,100

8.0

Akasaka Oji Building

9,660

13,300

7.5

Kanda Park Plaza

5,156

5,047

2.8

Shiba-Koen Building

5,770

3,710

2.1

Tokyo
Metropolitan
Area

Faret East Building

2,091

2,500

1.4

KansaiNittetsu Honmachi Building

1,100

1,390

0.8

131,427

142,597

80.5

Sagamihara Shopping Center

12,00010,700

6.0

Ito-Yokado Higashi-Narashino Store

8,900

5,613

3.2

Musashiurawa Shopping Square

4,335

3,800

2.1

25,235

20,113

11.4

Fukasawa House Towers H&I

10,6357,180

4.1

Ecology Toyosu Procentury

5,160

4,560

2.6

Subtotal (2 properties)

15,795

11,740

6.6

Central Tokyo

2,590

2,696

1.5

2,590

2,696

1.5

175,047

177,146

100.0

Area

Property Name
NEC Head Office Building

Central Tokyo
OfficeBuilding

Harumi Island Triton Square OfficeTower Y
Harumi Island Triton Square OfficeTower Z
Sumitomo Corporation Nishiki-cho
Building

Subtotal (9 properties)

RetailPropertyTokyo
Metropolitan
Area

Subtotal (3 properties)Tokyo
Residential Metropolitan
Area
Property

Other
PropertyOAK PLAZA

Subtotal (1 property)

Total

(%)

(Note) The investment breakdown is the appraisal value at end of period for the applicable property or theapplicable asset class expressed as a percentage of the sum total of the appraisal value at end of period
for all properties in the portfolio and is rounded to one decimal place.

11

For more information, please visit our website http://www.top-reit.co.jp/english/
Contact for inquiries in Japanese:
Top REIT Asset Management Co., Ltd. (Asset Manager)
Koji Murata, Director, General Manager, Finance Department+81-3-3243-2181
Contact for inquiries in English:
Top REIT Asset Management Co., Ltd. (Asset Manager)
E-mail address: info-top@top-reit-am.co.jp

DISCLAIMER:
Top REIT, Inc. makes no assurance or warranty with respect to the completeness or accuracy of this English
translation. In the event of any discrepancy between the Japanese original and this English translation, theJapanese original shall prevail. For complete and accurate information, please refer to the Japanese original.

12