As of January 30, 2014

Daiwa Office Investment Corporation
Earnings Announcement for the 16th Fiscal Period(Fiscal Period ended November 2013)

Contents
Section 1

Section 3

16th Fiscal Period Performance Highlights and Forecasts

External Growth

16th Fiscal Period Topics

4

Changes in Asset Size and Trading Performance23

Highlights of the 16th Fiscal Period

5

Properties Acquired after Sponsor Change

24

Highlights of Forecasts for the 17th and 18th Fiscal Periods

6

Changes in Dividends

7

Acquisition/Sale Policy and Status of Deliberation for Property
Acquisitions

25

Issues and Activities of the Investment Corporation

8

Extensive Property Sourcing Route26

16th FP Property Acquisition

27

Section 2

Section 4

Internal Growth

Financial Strategy

Leasing Market of Tokyo Office Buildings

10

Status of Interest-bearing Liabilities

30

Analyses of Leasing Income

11

Unitholders

34

Internal Growth Strategies

15

Activities in the 17th Fiscal Period

35

Occupancy Rate of the Properties Subject toLeasing Improvement in the 16th FP

16

Properties Subject to Leasing Improvement in the 17th FP

17

Performance of Shinjuku Maynds Tower & E SPACE TOWER

18

Overview of the Shinjuku Area

19

Measures to Increase Portfolio Value

20

Actions Taken for Environmental Efforts

21

Appendix

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

1This document is provided for informational purposes and should not be construed as an offer
or solicitation of an offer to buy or sell any specific product, including investment units. We
advise you to inquire with each securities company with regards to the purchase of Daiwa
Office Investment Corporation’s investment units.
This document is not intended to provide information meeting the requirements of Japan’s new
Financial Instruments and Exchange Law or Investment Trust and Investment Corporation Law,or by the associated cabinet orders, cabinet office ordinances, or rules, or by the rules
governing companies listed on the Tokyo Stock Exchange, or any other applicable rules, nor isit a disclosure document or statement of financial performance prepared in accordance with theprovisions of any of the foregoing.
This document contains forward-looking statements. However, these forward-looking
statements are based on certain assumptions and judgments made using currently available
information, and there are a number of known and unknown risks and uncertainties. These
forward-looking statements are not a guarantee of future performance or management results,
and actual results may differ materially from any explicit or implicit forecasts contained herein.
Although the information contained in this document is the best available at the time of
publication, no assurances can be given regarding the accuracy and certainty of thisinformation. The content of this document can be modified or withdrawn without prior notice.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

2Section 1
16th Fiscal Period
Performance Highlights and Forecasts

16th Fiscal Period Topics█ Properties Acquisition
 Asset size reached ¥350 billion in 16th Fiscal Period (ended November 2013). An asset size of ¥500 billion will betargeted in the medium term.
 Tosen Dogenzaka Daini Building (Acquisition Date: July 3, 2013; Acquisition Price: ¥4,500 million)
 Akasaka Business Place (Acquisition Date: August 9, 2013; Acquisition Price: ¥9,200 million)
 Nisseki Shibuya Building (Acquisition Date: September 27, 2013; Acquisition Price: ¥7,000 million)█ Property Management and Management Situation
 Occupancy Rate at the end of the 16th FP: 96.3% (the 16th Expected Occupancy Rate estimated in July 2013: 94.8% /Occupancy Rate at the end of the 15th FP: 95.0%)
 Average Contract Rent at the end of November 2013*: 18,468 yen (% and amount of change from the end of May 2013:-96 yen, -0.5%)<Average contract rent of the existing 41 buildings at the end of November 2013: ¥18,497 (% and amount of change fromthe end of May 2013: -¥67, -0.4%)>█ Financial SituationIn September 2013, Rating and Investment Information, Inc. (R&I) upgraded the issuer rating from A (Stable) to A+(stable).

 LTV (based on total assets): 40.6% (end of 15th Fiscal Period: 37.5%)
 Average remaining years at the end of the Fiscal Period: 3.43 years (end of 15th Fiscal Period: 2.49 years) Ratio of fixed interest: 83.8% (end of 15th Fiscal Period: 80.5%)*Average Contract Rent is, as a rule, calculated after excluding all non-office uses such as retail, residence, and warehouse.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

4

Highlights of the 16th Fiscal Period
Results of the 16th Fiscal Period(Million Yen)

15th Fiscal Period(41 properties)

16th Fiscal Period(44 properties)

Operating Revenue

7,615

8,432

816

Operating Expense

4,306

4,755

448

Operation Income

3,308

3,677

368

733

726

-7

Ordinary Income

2,590

2,955

365

Net Income

2,589

2,959

370

6,542 yen

7,478 yen

936 yen445,377 yen

459,520 yen

14,142

95.0%

96.3%

1.3%

Non-Operating expense

Dividend per Unit
NAV per unit
Occupancy RateNOI Yield (annualized)*

3.3%

3.4%

* NOI Yield (annualized) calculated based on book value

Difference

0.1%

16th Fiscal Period
Forecast (announced
Comparison of forecasts with
July 2013)
results of the 16th Fiscal Period

16th Fiscal Period(44 properties)

Difference

Decrease factors:
Other lease business revenue(Proceeds for restoration and repairs, etc.)(-30 million)

Increase factors:
Utilities expenses
Outsourcing expenses
Asset management fees
Depreciation
Repair expenses
Property-related taxes(+198 million)(+63 million)(+61 million)(+48 million)(+35 million)(+23 million)

Decrease factors:
Decrease in costs in accordance with redemption of
investment corporation bond(-41 million)

Increase factors:
Interest expenses(+30 million)

Increase factors:

Operating Revenue

8,242

8,432

189

Operating Expense

4,666

4,755

88

Net Income

2,850

2,959

109

7,200 yen

7,478 yen

278 yenOccupancy Rate

Rental revenues of existing properties (38 properties) (+190 million)
Rental revenues of properties acquired during theperiod (3 properties)(+347 million)
Full contribution of acquired properties(3 properties) in the 15th Fiscal Period(+77 million)
Utilities revenue(+221 million)(Million Yen)

(Reference)

Dividend per Unit

Increase factors:

Rental revenues of additional property acquired
during the period (Nisseki Shibuya Building)(+68 million)
Utilities revenue(+82 million)
Other lease business revenue(+48 million)(Proceeds for restoration and repairs, cancellation penalty, etc.)

Increase factors:

Utilities expenses(+60 million)
Outsourcing expenses(+31 million)
Asset management fees(+13 million)
94.8%
96.3%
1.5%
This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

5

Highlights of Forecasts for the 17th and 18th Fiscal Periods(Million Yen)

█ The 17th Fiscal Period(Forecast)

17th FP Forecast
Ending May 2014(44 properties)

Difference compared
to 16th FP

Operating Revenue

8,441

9

Operating Expense

4,685

-69

Operation Income

3,756

79

769

43

2,984

24

Dividend per Unit

7,540 yen

62 yenOccupancy Rate

94.8%

-1.5%

NOI Yield (annualized)*

3.5%

0.1%

Non-Operating expense
Net Income

Difference compared
to 17th FP

Operating Revenue

8,607

165

Operating Expense

4,821

136

Operation Income

3,786

29

787

17

2,996

11

Dividend per Unit

7,570 yen

30 yenOccupancy Rate

95.3%

0.5%

NOI Yield (annualized)*

3.5%

0.0%

Net Income(+¥260 million )Decrease factors:
Utilities revenue
Rental revenues of existing properties (41 properties)
Other lease business revenue(-¥147 million )(-¥99 million )(-¥13 million )Decrease factors:
Utilities expenses
Repair expenses
Depreciation
Outsourcing expenses(-¥94 million )(-¥15 million )(+¥12 million )(+¥12 million )Increase factors:
Interest expenses

18th FP Forecast
Ending November 2014(44 properties)

Non-Operating expense

Full contribution of properties (3 properties) acquiredin the previous period

Increase factors:(Million Yen)

█ The 18th Fiscal Period(Forecast)

Increase factors:(+¥44 million )Increase factors:
Utilities revenue
Rental revenues of existing properties (44 properties)(+¥148 million)(+¥55 million)

Decrease factors:
Other lease business revenue(-¥46 million)

Increase factors:
Utilities expenses
Property-related taxes(+¥116 million)(+¥103 million)

Decrease factors:
Repair expenses
Outsourcing expenses(-¥90 million)(-¥26million)

Increase factors:
Increase of debt costs
Interest expenses (+¥6 million)(+¥17 million)* Expected NOI Yield (annualized) is calculated based on the book value for the16th Fiscal
Period for existing properties, and based on acquisition price for new properties.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

6

Changes in Dividends
Changes in Dividends per Unit
(Yen)
10,000

9,000

8,000

Forecast from year earlier

Forecast from six months earlier

Actual dividends

6,550

7,400
6,009
6,847

7,000

5,500
4,154
3,903
5,246

6,000

4,850

3,180

5,000

4,000

2,843

3,280

3,176
3,240

3,671

10th FP

11th FP

3,600
4,100

4,850
5,107

5,350
5,500

7,200
7,478

7,300
7,540

7,570

17th FP

18th FP

6,250
6,542

5,986

4,464

3,000

2,000

1,000

0
8th FP

9th FP

12th FP

13th FP

14th FP

15th FP

16th FPThis document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

7

Issues and Activities of the Investment Corporation
Balance Sheet of the 16th Fiscal Period(Fiscal Period ended November 2013)
Asset Issues and Activities

Liability Issues and Activities(Unit: Million Yen)

 Measures to Improve Profitability

 Financial Stabilization

 Financial stabilization through further
development and strengthening of thebank formation

 Proactive information distribution,

occupancy rate improvement of low
occupant properties through condition
setting, etc. in response to feedback,etc.

 Preventing cancellations bystrengthening relations with existing
tenants and improving the quality ofbuildings, equipment and management
systems

Liabilities
161,970

Internal Growth
Leasing
Improvement
P9~21

Financial Strategy

Status of interestbearing liabilities Reducing refinancing risk bylengthening loan period and dispersingof repayment deadlines

P29~35

Assets363,653

 Strategic renewal planned to enhance

Net Assets

competitiveness

201,683

 Strengthen Collaboration with Group Strengthen leasing through collaboration
with Daiwa Securities Group Measures to Reduce Costs

 Reduce energy costs
 Maintain quality of construction whileconsidering plans that will reduce costs

 Acquire selected properties

 Active investment for competitive

properties after thorough selection

Forecast EPS for the 17th Fiscal Period
External Growth
Growth throughasset acquisitions
P22~28

7,540 yen
Forecast EPS for the 18th Fiscal Period

7,570 yenThis document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

8Section 2
Internal Growth

Leasing Market of Tokyo Office Buildings
Leasing Market of Tokyo Office Market

Trend of Office Rent and Vacancy Rateof 5 Central Wards of Tokyo

Rent(Yen / Tsubo)(Yen / Tsubo)

24,00010.0%

22,0008.0%

20,000

6.0%

18,0004.0%

28,000(Rent)

2008/926,000(Vacancy Rate)

B Class Bldg.

16,00024,0002007/92003/10'16/01'15/01'14/01'13/01'12/01'11/01'10/01'09/01'08/01'07/01'06/01'05/01'04/01'03/01'02/01'01/010.0%

Large scale buildings of 5 Central Wards of Tokyo

20,000(Data): Miki Shoji

Predicted figures9.0%
18,000300,000

7.5%

200,000

6.0%

100,000

4.5%

From

2011/12To

2012/6 2012/12

2013/6 2013/12

Change in rent area

168,375 101,574

66,426

77,1291.5%

1.7%

Change in percentage

0

3.0%

'16

'15

'14

'13

'12

'11

'10

'09

Floor area of new demands

'08

'07

'06

'05

'04

'02

'01

-200,000'03

Floor area of new supplies
Vacancy Rate

2012/6 2012/12

4.1%

2.4%

2013/6

2013/6
2013/12

2008/916,000

Office Buildings of 5 Central Wards of Tokyo
2001/6

2000/1
2003/10

14,0001.5%

2011/122013/6

0.0% 12,000(Data): Transition of the supply and demand balance (standard scenario) from
CBRE “Office market medium term forecast 2012 Tokyo's 23 wards”

2012/6

2011/12

2007/9-100,000

Rental Market Clock(conceptual chart)

22,00014,000400,000

2000/1

2.0%

Existing Building Average Rent (left axis)
Existing Building Vacancy Rate (right axis)(Tsubo)A Class Bldg.

2001/6

0%

1%

2%

3%

4%

2013/125%
6%

7%

2012/6

8%(Data): Sanko Estate compiled by Daiwa Real Estate Asset Management* Large scale buildings: A floor area of 200 tsubo (661.2m2) or more.

9%

10%

(Vacancy Rate)

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

10Analyses of Leasing Income (1)- Changes in Occupancy and Cancellation Rates Occupancy Rate
Occupancy Rate (Actual)

Expected Occupancy Rate in 16th Period█ Occupancy Rate and Forecast

Expected Occupancy Rate in 15th Period
100%

97.7%
96.4%

95.9% 95.4%

95.0%

94.3%

95%

92.8%

96.3%

92.4%

(1) The 16th Fiscal Period (Actual)
94.8% 95.3%

94.8% 94.3%

90%
85.7%

96.3%

 Occupancy rate of Daiwa Tsukijiekimae recovered from 10.3% to100%.
 Occupancy rate of shinyon curumu increased from 55.9% to67.5%.
 Occupancy rate of Daiwa Ginza 1-chome recovered from 89.0% to98.3%.
 Daiwa Kyobashi, Sunline No. 7 reached full occupancy.

18th FP

17th FP

16th FP

15th FP

14th FP

13th FP

12th FP

11th FP

10th FP

9th FP

8th FP

7th FP85%(2) The 17th Fiscal Period (Forecast)

94.8%

 Departure of a major tenant at Shinjuku Maynds Tower due toRate of New Leases / Cancellations*project completion and cancellation of some tenants at E Space
Expected Rate of Moving-out

Expected Rate of Moving-in

Rate of Moving-out

Rate of Moving-in

20%
10%

Tower are expected, so the forecast occupancy rate for the end of
May 2014 is 94.8% with a 6.4% cancellation rate.

13.4%
9.8%

7.2% 7.4%
3.9%

8.2%

3.2% 3.3%

 Full occupancy expected for Akasaka Business Place and Daiwa
5.7% 4.4% 5.1%
3.2%

(3) The 18th Fiscal Period (Forecast)0%-3.4% -3.9%

-3.9%

-2.8%
-5.9% -7.3% -6.3% -5.3%

-6.4%

-2.9%

 Full occupancy is expected for a total of 9 properties including E

18th FP

17th FP

16th FP

15th FP

14th FP

13th FP

12th FP

11th FP

November 2014 is 95.3% with a 2.9% cancellation rate.
10th FP

9th FP

7th FP

-20%

95.3%

Space Tower and so the forecast occupancy rate for the end of-12.0%-14.7%
8th FP-10%

Minami-Aoyama.

*Ratio transition of new leases and cancellations areas to the total rentable area.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

11Analyses of Leasing Income (2)- Diversification of Tenants and Transition of New Lease and Cancellations Transition of New Leases andCancellations and its Reasons *Diversification of Tenants Rent Area

Tenant numbers(Cases)

700(%)(Cases)

30

60

27.49
44
25.51

28.56 28.35

25.15

24.87

38

40

33

600
23.35

22.80

30

24

24
17

20
500

6

5

3,000㎡ over (left axis)

20

1,000 ㎡ - 3,000 ㎡ (left axis)

31

300㎡ - 1,000㎡ (left axis)

16

18

25

18
13

9

12

4
-2

0

less than 300㎡ (left axis)

400

Ratio of tenants leasing 3,000㎡or more (%) (right axis)

300
8
24

8
34

9
34

10
32

127

127

133

145

-20

105

107

103

187

119

-60

139

16th FP

15th FP

14th FP

13th FP

12th FP

11th FP

-13

-20
-25

-26

-53
7th FP 8th FP 9th FP 10th FP 11th FP 12th FP 13th FP 14th FP 15th FP 16th FP
Cancellations

Net New Leases

Previous
number ofleases: 13147

0
10th FP

-15

10

159

0
9th FP-19

New Leases

110

-12

-24

100
97

-14

-40
174

200
115

11
30

11
27

10
31

-20
10
34

16th Period
New Leases
Cancellations

Cost
Space
Space
Consolidation
Reduction Expansion
Reduction
19
2

1
2

0
7

1
0

Other

Total
2
2

25
13

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

12* Office and retail are the target tenants (excluding residence and warehouse)

20

BetterLocation* Excluding residence and warehouse tenants.

Analyses of Leasing Income (3)- Status of Contract Rent Average Contract Rent and Market Rent

Contract Renewal Area

(Yen/ Tsubo)* The contract rent of the existing 41 properties in the
16th Fiscal Period was ¥18,497 (period-on- periodchange of –¥67, –0.4%).

25,000█ The 17th Fiscal Period Contract Renewal Tenants

23,000Non Contract Renewal Area
(Excluding cancellation), 78.9%

Contract Renewal
Area, 21.1%

21,000█ The 16th Fiscal Period Contract Renewal

18,564 yen 18,468 yen

19,000Cancellation from Cancellation from Non
Contract Renewal
Contract Renewal
Area, 1.5%
Area, 1.2%

Average Contract Rent*

17,00016th FP

15th FP

14th FP

13th FP

12th FP

11th FP

10th FP

9th FP

8th FP

7th FP

6th FP

5th FP

4th FP

Miki shoji Tokyo 5 Central Wards Office Rent

15,000* The ratio of areas scheduled for contract
renewal to the total rentable area (235,857.46m2) at the end of 16th Fiscal Period.

* The ratio of areas which had contract renewal
during 16th Fiscal Period to the total rentablearea (214,401.00 m2) at the end of 15th Period.

Contract Renewal
Area (Excluding
cancellation),
16.5%

Non Contract Renewal Area
(Excluding cancellation),
80.9%

10.0% 4.6%

77.1%

8.2%

* Average Contract Rent is an average monthly rent of the tenants contracting at theend of the Fiscal period.

Attribution Analysis / Monthly Contract Rent*(Million Yen)
1,350

16th FP
+100

1,318

1,300
+50

1,250
1,204

1,200

-35

Decrease by
Tenants’
Increase by
Cancellations
New Leases

Decrease by Increase by
Rent
Rent
Revisions Revisions

-3

+0.3

Increase by
New Acquisition

15th FP

14.4% 3.1%

70.3%

12.3%

14th FP

18.9%

67.3%

13.8%

13th FP
12th FP
11th FP

1,150

40.6%
20.5%

3.5%
35.6%

10th FP

1,100

End of November 2013
End of May 2013
Monthly Contract Rent
Monthly Contract Rent
* Monthly Contact Rent is a total of final rent from tenants contracting at the end of the Fiscal
Period. Monthly Contract Rent for Shinjuku Maynds Tower was adjusted on June 7.

0%

0.8%

54.6%
56.4%

4.7%

19.6%
50.2%

53.9%
20%

Decrease

4.0%

9.5%

34.0%
40%

Increase

60%

Unchanged

12.1%
80%

100%

Cancell

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

13

Analyses of Leasing Income (4)- Portfolio Map: Increase and Decrease in Unit Contract Rent Compared with Previous Fiscal Period Greater Tokyo

5 Central Wards of Tokyo

Comparison with previous Fiscal Period
Increase and decrease of unit contract rent
Unit rent increase:

6 buildings

Unit rent decrease:

9 buildings

Unit rent maintained :26 buildings

Daiwa Higashi Ikebukuro
Daiwa KinshichoWest Park Osaki

Daiwa Shinagawa North

Benex S-3

Shinjuku Ward
Shinjuku Maynds Tower

ShibuyaWard
SHIBUYAEDGEE SPACE TOWER

Daiwa Misakicho
Jimbocho Place

Daiwa Sarugakucho
Daiwa Jimbocho
Daiwa Kudan
shinyon curumu
Daiwa Kodenmacho
Nihonbashi Hongokucho Tosei Building
Nihonbashi MS Bld.
Sunline Bldg. No.7
Daiwa Nihonbashi Honcho
Chuo Daiwa Kayabacho Build.
ChiyodaWard
Daiwa Jingumae
Ward
Daiwa Kyobashi
Daiwa Ginza Annex
Daiwa Ginza 1-chome
Daiwa Minami Aoyama
Daiwa Tsukijiekimae
Daiwa Ginza
Daiwa Tsukiji
Daiwa Tsukiji 616
Daiwa Nishi-Shimbashi
Daiwa Tsukishima
Daiwa Shinbashi510
Daiwa Onarimon
Daiwa A Hamamatsucho
Daiwa Shibuya SS
Daiwa Shibadaimon
Daiwa Azabudai
Daiwa Shibaura

Kamiooka Eye Mark

Regional Cities

Minato Ward

Honshu Meieki
Daiwa Minami-Senba

As of November 30, 2013
*Tosen Dogenzaka Daini Building, Akasaka Business Place,Nisseki Shibuya Building are not indicated since they wereacquired in the 16th Fiscal Period.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

14

Internal Growth Strategies

Leasing Activities“Bonji-Tettei” Accomplishing ordinary tasks thoroughly and carefully enables us to achieve extraordinary results█ Leasing: Leasing with Good Terms
 Further strengthen collaboration with agents by holding various regular meetings and regular visits withvarious agents.
 Regularly visit agents and enhance recognition of properties subject to leasing improvement and confirm
the amount of feedback and responses.
 Implement prompt and smooth leasing by Daiwa Real Estate Asset Management being present at the timeof property viewing and directly grasping the status of negotiations.
 Properties that can aim for unit price recovery will confirm the status of neighboring properties and performterm adjustments that can produce good results with the people in charge of each company (face-to-faceleasing)(Cases)100

Number of Inquiries from potential tenants (left axis)
Number of new contracts (left axis)
Occupancy Rate (right axis)

100%

75

95%

50

90%

25

85%

0

80%

█ Relations with Tenants: Strengthening Communication with Tenants Further strengthen relations with tenants by deepening interaction among people by visiting all tenants ona regular basis, etc.

█ Engineering: Verification of Construction Plans and Environmental Responses
 Maintain fair cost and price level by introducing principle of competition and continue to look into
construction costs of heat light and water and management cost.
 Work to systematically perform “work that can be performed on the side of the ordering party that enables
costs to be reduced while the quality of construction is maintained, such as separate orders,” centering onlarge-scale construction accompanying the long-term repair plan.
 Engage in sustainability certification systems, advance environmental measures with existing properties
and increase added value.

'12/06'12/07'12/08'12/09'12/10'12/11'12/12'13/01'13/02'13/03'13/04'13/05'13/06'13/07'13/08'13/09'13/10'13/11

 Implement communication with and satisfaction surveys for existing tenants and aim for mutualcommunication.

Viewings held (number of times and of visitors)█ Collaboration with Group Reinforce leasing by utilizing Daiwa Securities’ branch network.
 Implement leasing that utilizes Daiwa Securities Group’s network of corporate clients.

Period of viewings(June to September 2013)

Number ofviewings

Number ofvisitors

3

492 people total

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

15

Occupancy Rate of the Properties Subject to Leasing
Improvement in the 16th FP█ shinyon curumu█ Honshu Meieki Bldg.

(Acquisition Price: 9,650 million yen)

█ Daiwa Tsukijiekimae(Acquisition Price: 5,300 million yen) Highly convenient property(Acquisition Price: 1,560 million yen)

 Property located a 6-minute Highly convenient property

walk from Exit 7 of Nagoya
Station on JR and Nagoya city
metro Line and 2-minute walkfrom underground doorway
leading to Nagoya Station
underground shopping arcade.

located a 4-minute walk fromthe new south exit of Shinjuku
Station on JR and directly
connected to Shinjuku 3chome Station on the Tokyo
Metro Marunouchi Line andFuku-toshin Line. „located a 1-minute walk from
Tsukiji Station on the Tokyo
Metro Hibiya Line.
 Many affiliated companies of

those head quarters situatedin the area of “Tokyo Station
perimeter” or “Ginza” arenearby.

 Area of business accumulation

growing year by year with large
scale redevelopment being
planned.

 Area expects to expand further

with the development of thestation bldg. scheduled for2016 opening.

100%

100%

100%

80%

80%

80%

60%

60%

67.5%

78.4%

85.4%

81.3%
60%

40%

40%

20%

20%

20%

0%

0%

0%

40%

51.9%

Time of'12/11
Acquisition(’12/12)

55.9%

'13/5

'13/11

 It is one of the low occupant properties acquired in

the 15th Fiscal Period.

'12/11Time of
Acquisition(’13/2)'13/5'13/11

 It is one of the low occupant properties acquired in the 15th

Fiscal Period.

 The leasing strategy of the whole building will be Even though the occupancy rate improved after theunified by wholly owning the properties that werepreviously owned by two owners, and occupancy rate
will be improved by keeping everyone informed about
the new strategy towards the market.

acquisition with the increase of floor space by existing
tenants and the moving in of new tenants, the occupancy
rate decreased in the period ended November 2013 due tothe cancellation of some tenants.

 A 4-minute walk from JR Shinjuku Station, completed

 An early recovery of occupancy will be aimed by focusing

in January 2012, and aim for early occupancy rate
improvement by appealing both location and specs.

100.0%

100.0%

on taking in relocation needs and area consolidation needsin accordance with the large-scale redevelopment plan of2015 and 2016 centering on the Nagoya Station area.

0.0%'11/11'12/5

0.0%'12/11

10.3%
'13/5

'13/11

 A sub-lease (whole building) tenant vacated, andactual leasing activity started from October 2012 after
restoration and repair work.  Amount of feedback increased by the initial search forwhole building demand changing to a policy
promoting multiple tenants.
 Achieved full occupancy in the period ended

November 2013 by holding viewings, increasing theimage of the building and keeping brokers informed
about the building.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

16

Properties Subject to Leasing Improvement in the 17th FP█ shinyon curumu(Acquisition Price: 9,650 million yen)

█ Honshu Meieki Bldg.
(Acquisition Price: 5,300 million yen) Highly convenient property

Site Area

1,144.63m

Structure

S / RCFloor

B2 / 11F

Use

Office / Store

Total Floor Area 9,234.99m

2growing year by year with large
scale redevelopment being
planned.

Completion

Address

Meieki-Minami 1 chome, Nakamura-ku,
Nagoya-shi, Aichi Prefecture

Site Area

2,059.56m

Structure

S

Floor

12F

Use

Office / Store2

Total Floor Area 10,416.96m

Occupancy Rate 67.5% (November 2013)

2

Occupancy Rate 81.3% (November 2013)
Completion

January 2012a
10-minutewalkfromHigashi-Ikebukuro Station on
the Tokyo Metro YurakuchoLine and a 12-minute walkfrom JR Ikebukuro Station.
 The property is close toSunshine City and its exterior
with a solid feel ischaracteristic.

 Area of business accumulation

with the development of thestation bldg. scheduled for2016 opening.

2

 Middle-scale property locatedwalk from Exit 7 of Nagoya
Station on JR and Nagoya city
metro Line and 2-minute walkfrom underground doorway
leading to Nagoya Station
underground shopping arcade.

 Area expects to expand further

Shinjuku 4 chome, Shinjuku-ku, Tokyo(Acquisition Price: 2,958 million yen)

 Property located a 6-minutelocated a 4-minute walk fromthe new south exit of Shinjuku
Station on JR and directly
connected to Shinjuku 3chome Station on the Tokyo
Metro Marunouchi Line andFuku-toshin Line. „Address█ Daiwa Higashi-Ikebukuro

December 2007

Site Area

Higashi-Ikebukuro 3 chome, Toshima-ku,
Tokyo
2
1,235.45m

Structure

SRC/S

Floor

B1/9F

Use

OfficeAddress2

Total Floor Area 6,251.01m
100% (November 2013)→77.7% (May
Occupancy Rate2014 forecast)Completion
June 1993

 After acquisition, amount of feedback increased due Will keep the market informed as a relatively new The occupancy rate as of the end of the period ended

to keeping the market informed about it and forming afoothold for increase of occupancy rate.

property, which are in shorter supply, in Nagoya
Station area.

 Switch to building management taking locational Flexibly responds to tenant demand by leveraging thecharacteristics into consideration and spread industry
types that can be accepted.

wide rentable areas that can meet diverse needs.

November 2013 was 100% but the property will be
subject to leasing improvement as a certain level ofcancellation of tenants is expected in the period
ending May 2014.

 Successively recognize market conditions and aim for The points of appeal will be that tenants in the area, Prospectedarea for growth potential due todevelopment in the Shinjuku new south exit, and aim
for occupancy rate improvement while focusing on
rent unit while giving consideration to market recovery.

early occupancy rate improvement while flexibly
setting rent.

regardless of business type, use the area as a basethat covers Tokyo’s Johoku Area and even some of
Saitama, as well as the building’s grade, and an earlyrecovery of occupancy will be targeted.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

17Performance of Shinjuku Maynds Tower & E SPACE TOWER
Acquisition Amount Ratio of Maynds Tower & E Space Tower

Shinjuku Maynds Tower Occupancy Rate
95.7% 95.9%

100%
96.6%

99.9% 99.1%

99.9% 99.9% 99.9% 99.9% 98.3%

80%

99.1%

94.9%

78.1%

60%
Other Properties:
55.3%

Shinjuku Maynds Tower& E SPACE TOWER:
44.7%

40%
Shinjuku Maynds Tower Occupancy Rate

20%
0%

Office Building Supply in the Five Central Wards of Tokyo

Shinjuku Maynds Tower Expected Occupancy Rate
6th
FP

7th
FP

8th
FP

9th 10th 11th 12th 13th 14th 15th 16th 17th 18th
FP FP FP FP FP FP FP FP FP FP

E SPACE TOWER Occupancy Rate
100% 100%

2009-20122013-2016

100%
80%

Others1,620,000m2

Shibuya-ku
200,000m2
Shinjuku-ku
480,000m2

Chiyoda-ku
1590,000m2

Chuo-ku
390,000m2
Minato-ku
460,000m2

Shibuya-ku
170,000m2
Shinjuku-ku
170,000m2

Others
520,000m2

Minato-ku
690,000m2

Chiyoda-ku
1,380,000m2

60%

100% 100% 100% 100%100%

96.5% 100%

96.3%

100%

100% 100%

E SPACE TOWER Occupancy RateE SPACE TOWER Expected Occupancy Rate

40%
20%

Chuo-ku
740,000m2

Source: Mori Trust Large scale properties are offices with total floor area of 10,000m2 or more.

0%
6th 7th 8th 9th 10th 11th 12th 13th 14th 15th 16th 17th 18th
FP FP FP FP FP FP FP FP FP FP FP FP FP* Since E SPACE TOWER was acquired in July 2011, the occupancy rate data of June
2011 is used for the odd number periods and data of December 2011 is used for theeven number periods before 12th FP.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

18

Overview of the Shinjuku Area
█ Features of Shinjuku Station Area
Name ofbuilding
Address
Total floorarea

Shinjuku Maynds Tower
Yoyogi 2 chome,
Shibuya-ku, Tokyo
97,978.74㎡(1 building)[Shinjuku: West gate
area]

Total
rentable floor 45,544.00㎡(ownership)areaCompletion

September 1995

AcquisitionPrice

133,800 million yen

Occupancy
Rate

95.7%*Name ofbuilding
Address[Shinjuku:
Fukutoshin area]

shinyon curumu

Shinjuku Maynds Tower
shinyon curumu
Shinjuku 4 chome,
Shinjuku-ku, Tokyo

Total floorarea

9,234.99㎡

Total
rentable
floor area

6,854.95㎡

Completion

January 2012

AcquisitionPrice

9,650 million yen

Occupancy
Rate

67.5%*[Shinjuku: South gatearea]

・Office area with many large buildings
・Good for business as there are also
public offices
・Access of convenience is somewhat
inferior
・Many of the buildings are relatively old

・Access is good・High visibility
・High commerciality
・Many people passthrough the area

・Access is improving as the station
improvement work progresses
・In recent year, development is advancing
and commerciality has increased
・Buildings are relatively new compared toother commercial areas of Shinjuku*Occupancy rates are as of end of the period ended November 2013This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

19

Measures to Increase Portfolio Value█ BCP Measures█ Energy–Saving Measures■ AED installed at 11 portfolio properties(Before)Daiwa Minami-Aoyama■ Introduced entrance “LED lighting” at Daiwa Tsukiji(After)Sunline Building No. 7(Before)█ CS Improving Measures█ Coexistence with Local Societies■ Renewal construction (common area) at Shinjuku Maynds Tower(Before)(After)(After)■ Renovated Daiwa Ginza’s smoking room

■ Distribution of amenity goods tooffice worker■ Participated in “Shinjuku
Minamirumi,” anillumination even in thesouth Shinjuku area, incollaboration with
Odakyu Electric Railway,
Takashimaya and theEast Japan Railway
Company.

Shinjuku Maynds Tower■ Held Ishinomaki
reconstruction-related event

The festival of lights greets
visitors to Shinjuku.

[Period]
November 13, 2013 (Wed) to
February 16, 2014 (Sun)(Before)(After)Shinjuku Maynds Tower

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

20

Actions Taken for Environmental Efforts█ Acquired “Green Star” rating for 2nd consecutive year at GRESB 2013
Following the participation in 2012, Daiwa Real Estate Asset Management participated in the 2013 Global Real
Estate Sustainability Benchmark (GRESB) survey for the portfolio of Daiwa Office Investment Corporation andearned the best rating of “Green Star” from GRESB Survey 2013. Daiwa Real Estate Asset Management received ahigh evaluation on sustainability from both “Management and Policy” and “Implementation and Measurement”
aspects for the second consecutive year.
GRESB is an industry-led international organization which intends to evaluate sustainability performance of realestate portfolios.
Daiwa Real Estate Asset Management will continue to make efforts to improve sustainability performance.

█ Environmental efforts for Shinjuku Maynds Tower
Shinjuku Maynds Tower, which was completed in 1995, is approaching its first major challenge with the physical,
economic and social degradation of various facilities.
Up until we have continually planned and implemented works of high added value, such as・Introduction of individual heat sources with ESCO projects (14th Fiscal Period ended November 2012)
・Introduction of LED lighting to underground parking lots and common areas (15th Fiscal Period ended May 2013)
In order to improve added value from the perspectives of environment, CS, BCP, etc. rather than simple
replacements when it comes to the updates that become inevitably required with the aging, we continue to advancedeliberations ahead of the milestone of 20 years since completion (2015) starting with the introduction of BEMS
through the renewal of the central monitor.

(Photo) Shinjuku Maynds Tower
This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

21Section 3External GrowthChanges in Asset Size and Trading Performance
Achieved asset size of ¥350 billion; Aim to achieve medium-term goal of asset size of ¥500 billion(Billion yen)
550.0

80%
Total Acquisition Price

LTV (Total Asset)

500.0

500.0
70%
450.0

Active investment for competitive
properties after thorough selection

After change of sponsors
400.0

60%
352.7

350.0

332.0

300.0
265.0

265.0

265.0

40.6%

287.3

278.1

269.1

37.5%

28.9%

28.1%
25.4%

25.3%

[Acquisition properties]
Daiwa Nishi-Shimbashi
Daiwa Kudan

100.0

0.0

[Acquisition properties]
Daiwa Kayabacho
Jimbocho Place[Acquisition property]
Daiwa Jimbocho

6th FP

7th FP

8th FP

9th FP

10th FP[Acquisition property]
West Park Osaki[Acquisition property]
E SPACE TOWER

22.0%

50.0

[Acquisition properties]
Tosen Dogenzaka Daini
Building
Akasaka Business Park
Nisseki Shibuya

25.5%

150.0

11th FP[Acquisition properties]
Nihonbashi
Hongokucho Tosei
Building

12th FP

13th FP

40%

34.4%

34.2%

34.0%

250.0
200.0

50%

314.9

313.2

311.3

30%

20%

[Acquisition properties]
shinyon curumu
Honshu Meieki
Kamiooka Eye Mark

14th FP

15th FP

10%

16th FP

Mediumterm goal

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

0%23Properties Acquired after Sponsor Change
Acquisition Period

9th Fiscal Period

10th Fiscal Period

Acquisition Price

Kanda Jimbocho,
Chiyoda-ku, Tokyo
4,150 million yen

Seller

ORIX JREIT Inc.

Acquisition date

March 10, 2010

Nihonbashi-Kayabacho,
Kanda Jimbocho,
Maruyamacho,
Nihonbashi-Hongokucho,
Kudan Minami,
Chuo-ku, Tokyo
Chiyoda-ku, Tokyo
Shibuya-ku, Tokyo
Chuo-ku, Tokyo
Chiyoda-ku, Tokyo
4,000 million yen
5,600 million yen
3,550 million yen
24,000 million yen
1,721 million yen
Shining Nova the Fifth B
Endeavor Realty Fund
Daiwa Property Co., Ltd. Tokyu Land Corporation
Tosei Corporation
Japan Core Asset II Ltd.
TMK
Ltd.
August 13, 2010
September. 2, 2010
March 25, 2011
March 29, 2011
July 8, 2011
May 11,2012

Age of bldg. *13.0 years

Acquisition Period

Nishi-Shimbashi,
Minato-ku, Tokyo
5,000 million yen

17.0 years

14th Fiscal PeriodWest Park Osaki

E SPACE TOWER

13th Fiscal Period

Nihonbashi-Hongokucho
Tosei Build

Daiwa Nishi-Shimbashi

Address

Jimbocho Place

12th Fiscal Period

Daiwa Jimbocho

Property nameDaiwa Kudan

11th Fiscal Period

Daiwa Kayabacho
Building

23.4 years

15th Fiscal Period
shinyon curumu

Hoshu Meieki Building

0.9 years

1.1 years

Kamiooka Eye Mark
Building

Tousen Dogenzaka
Daini Building

8.7 years

16th Fiscal Period
Akasaka BusinessPlace

2.0 years
Nisseki Shibuya
Building
Total

Property name

Address
Acquisition Price
SellerOsaki Shinagawa-ku,
TokyoShinjuku Shinjuku-ku,
Tokyo

1,650 million yen

9,650 million yen
Two domestic
industrial companies
December 3, 2012 /April 12, 2013
1.0 years

MCR Six GK

Acquisition date

September 18, 2012

Age of bldg. *5.0 years

Meieki-Minami
Kamiooka Nishi, KonanNakamura-ku, Nagoyaku Yokohama-shi,
shi Aichi
Kanagawa
5,300 million yen
2,000 million yen
Domestic special
Shimizu Corporation
purpose company

Shibuya-ku, Tokyo

Minato-ku, Tokyo

Shibuya-ku, Tokyo－

4,500 million yen
Domestic special
purpose company

9,200 million yen

7,000 million yen
E Buildings Limited
Liability Company

87,321 million yen

Hakuba Capital 1 TMK－February 1, 2013

March 1,2013

July 3, 2013

August 9, 2013

September 27, 2013－

5.1 years

1.8 years

25.3 years

22.9 years

24.8 years

12.1 years *** Numbers of the building age is based on the time of acquisition.
** The building age is calculated by weighted average of the acquisition price.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

24Acquisition/Sale Policy and Status of Deliberation for Property
Acquisitions█ Acquisition Policy Invest heavily in the five central wards of Tokyo and equivalentarea.

Distribution Chart of Portfolio Properties
Building Age(Year)

 Thoroughly select properties in view of actual demand toward

location (distance to station, station power, crowd attraction,
surrounding environment), building specs, etc.
 Target properties to improve stability and profitability of our existing

portfolio.
 Invest in buildings less than 25 years of building age.

█ Sale Policy
 Consider replacement of properties if necessary by sales in light ofproperties’ future competitiveness, profitability, etc.

Number of Properties Reviewed for Acquisition(Cases)(Cases)500

120

Number of properties reviewed*（left axis）
Number of properties in detail（right axis）

100

400

Daiwa Kudan
Tosen Dogenzaka Daini Building
Nisseki Shibuya Building
Akasaka Business Place
Daiwa Nishi-Shimbashi

80
Daiwa Jinbocho

300
60
200
100
0

44
32

10th FP

35

11th FP

30

12th FPE SPACE TOWER

40
25

13th FP

14th FP

28

20
20

15th FP

16th FP0* Number of gross proposals. *Jinbocho
Kamiooka Eye PlaceMark Building
shinyon curumu

West Park Osaki
Daiwa Kayabacho Building

Honshu Meieki Building

Nihonbashi Hongokucho Tosei Building

Distance to station (minutes)
andindicate properties acquired after sponsor changes, and distance to station is measured by the
distance to the nearest station.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

25Extensive Property Sourcing RouteDevelopers, general contractors, general
trading companies and railway companies

Real estate funds
 Exit for when funds’ investment periods end
 Withdrawal from foreign funds
 Loss cut sales

 Sale of developed properties and owned
properties
 Sale for off-balancing after change ofaccounting system

Intimate exchange of
information as non-realestate type sponsor

Sourcing strategy
utilizing status as nonreal estate type REIT

Financial institutions, creditors and CMBS
(commercial mortgage-backed securities)
 Forced sale of non-recourse loans
 Legal final redemption of CMBS

Utilize intimate relations
as a financial institution
sponsor Secure wide-ranging sourcing route using
status as an independent type REIT toestablish strong relations with businesscompanies, financial institutions, leading realestate brokers and other parties.
 Target optimum expansion of portfolio basedon in-depth data analysis upon carefulselection from among the wide-ranging
information on properties that comes fromdiverse sourcing.

Utilize financial
technologies gained
through sponsors’
experience in structured
finance

General business companies
 Slimming balance sheets Consolidation to core business Caching for new investment

Proposals based onsponsor relation
established throughmany years

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

26

16th FP Property Acquisition (1)█ Tousen Dogenzaka Daini Building█ Akasaka Business Place

Acquisition Price: 4,500 million yen (Settlement Date: July 3, 2013) Expected NOI: 4.6%

Acquisition Price: 9,200 million yen (Settlement Date: August 9, 2013) Expected NOI: 4.8%

Location28-1 Maruyama-cho, Shibuya-ku Total Floor Area

Site Area

721.34㎡

Structure
Floor

5,644.91㎡

Location

2-14-5 Akasaka, Minato-ku

Total Floor Area

13,597.97 ㎡

Appraisal value

4,750 million yen (November 2013)

Site Area

2,521.95㎡

Appraisal value

10,400 million yen (November 2013)

SRC

Construction
dateMarch 11, 1988 (new construction)
October 6, 1988 (extension)

Structure

SRC

Construction
date

September 13, 1990

B1 / 11F

Occupancy rate

100% (November 2013)

Floor

B2 / 7F

Occupancy rate

95.6% (November 2013)

 Transportation access
9-minute walk from Shibuya Station on the JR Line, 3-minute walk from a major
business, commercial, and hotel complex directly connected to Shibuya Station,and 4-minue walk from Shinsen Station on the Keio Inokashira Line. Multiple
accessibility to lines such as JR, Tokyo Metro, Tokyu, and Keio.
 Features of the property
Shibuya area enjoys abundant needs for office space primarily from IT and ITrelated companies.

 Transportation access
2-minute walk from Akasaka Station on the Tokyo Metro Chiyoda Line.
There are major subway stations, such as Akasakamitsuke Station on theTokyo Metro Marunouchi/Ginza Lines and Tameikesanno Station on the Ginza
and Nanboku Line, around the property, and there is multiple accessibility tolines.
 Features of the property
There are commercial TV stations, major advertising agencies, and IT/media
related companies around the property, and it has a high accumulation ofcompanies related to such industries.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

27

16th FP Property Acquisition (2)█ Nisseki Shibuya Building Acquisition Price: 7,000 million yen (Settlement Date: September 27, 2013) Expected NOI: 4.6%
█ Characteristics of Local Area
Lumine Men

 The Shibuya area centering on Shibuya
Station has a high concentration of sales
shops, restaurants, offices, hotels and such.

Seibu B
Building
Seibu A
Building

Nisseki Shibuya
Building

109 Men’s

Daiwa Shibuya SS

Tokyu Plaza
Shibuya Since there are many shops targeting young
people in the nearby areas of
Omotesando/Aoyama, Ebisu, Daikanyama,etc., the Shibuya area has a feature of a basefor dispatching fashion and culture.
 As such, analysis shows that that the area has
relatively high needs for acquiring personnel
and has strong office demand centering on IT
and contents related companies, etc.

Shibuya Police Station

Location

2-16-1 Shibuya, Shibuya-ku, Tokyo█ Convenient Transportation Access

Site Area

1,106.47㎡

Structure

S

Floor

B1 / 12F

Total Floor Area

8,340.48㎡

 Just a 4-minute walk from JR Shibuya Station,
large complex facilities directly connected to thestation are available on the way to Shibuya
Station.

Construction date

December 21, 1988

Occupancy rate

100% (November 2013)

Appraisal Value

7,280 million yen (November 2013)█ Redevelopment Plan of Shibuya Station
Perimeter

Nisseki Shibuya
Building Multiple accessibility to train lines such as JR,
Tokyo Metro, Tokyu and Keio.
(Data): Compiled by DOI based on press releases of Tokyu Corporationand 4 other companies

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

28Section 4
Financial Strategy

Status of Interest-bearing Liabilities (1)Loan to Value Trend█ Status of Interest-bearing Liabilities (16th Fiscal Period) Ratio of Fixed and(Billion Yen)
280

70.0%

Interest-bearing Liabilities

Floating Borrowings

 Ratio of Long andShort-Term Borrowings

Expected LTV (based on Total Asset)
LTV(based on Total Asset)

240

16.2
%

60.0%

200

50.0%

Upper limit range LTV in themedium-term target
160

83.8
%

40.0%

120

25.0
%

75.0
%

Fixed interest

Long-term borrowings

Floating interest

Current position of borrowings

30.0%█ Status of Rating
80

20.0%

40

10.0%

0

0.0%

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

Major reasons forchange of rating

Issuer rating: A+(Changed from A to A+ in
September 2013)

・Strengthening of portfolio
through steady external growth・Maintenance of highoccupancy rate through strong
management
・Conservative leverage・Significant improvement ofdebt structures and debt costs

16th Period

15th Period

14th Period

13th Period

12th Period

11th Period

10th Period

9th Period

8th Period

7th Period

6th Period

5th Period

4th Period

3rd Period

2nd Period

1st Period

RatingRating outlook: Stable*LTV( based on Total Asset) ＝Total interest-bearing liabilities / Total Asset

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

30

Status of Interest-bearing Liabilities (2)Changes in Procured Years ofInterest-Bearing Liabilities

Repayment Dates(Million Yen)
25,000(Years)(Years)8.0

4.0
End of period maturity (right axis)
Average PROC years (left axis)

22,500

7.0

3.5
3.4

20,000

6.0

3.0
5.5

15,000

5.0

2.5

4.0

2.0

3.0

1.5

2.0

1.0

1.0

0.5

0.0

0.0

10,00017th FP

16th FP

15th FP

14th FP

13th FP

12th FP

11th FP

10th FP

9th FP

16th FP
Nov.2013
17th FP
May.2014
18th FP
Nov.2014
19th FP
May.2015
20th FP
Nov.2015
21st FP
May.2016
22nd FP
Nov.2016
23rd FP
May.2017
24th FP
Nov.2017
25th FP
May.2018
26th FP
Nov.2018
27th FP
May.2019
28th FP
Nov.2019
29th FP
May.2020
30th FP
Nov.2020
31th FP
May.2021
32th FP
Nov.2021

0

8th FP

5,000

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

31

Status of Interest-bearing Liabilities (3)█ List of Interest-bearing Liabilities
LenderLong term borrowings

Current maturities of long term borrowings

Resona Bank, Limited (*)
Resona Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)
Sumitomo Mitsui Banking Corporation (*)
Mizuho Trust and Banking Co., Ltd. (*)
Aozora Bank, Ltd (*)
Shinsei Bank, Ltd (*)
Mizuho Bank, Ltd. (*)
Mitsubishi UFJ Trust and Banking Corporation
The Gunma Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation
Sumitomo Mitsui Trust Bank, Limited
Total current maturities of long term borrowings
Resona Bank, Limited (*)
Development Bank of Japan Inc.
Shinsei Bank, Ltd (*)
Development Bank of Japan Inc.
Development Bank of Japan Inc.
Mizuho Bank, Ltd. (*)
The Bank of Yokohama, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Shinsei Bank, Ltd (*)
Mizuho Trust and Banking Co., Ltd. (*)
The Shizuoka Bank, Ltd (*)
The 77 Bank, Ltd. (*)
The Musashino Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)
Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation (*)
Mizuho Bank, Ltd. (*)
The Hiroshima Bank, Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)
The Gunma Bank, Ltd. (*)
Taiyo Life Insurance Company
Nippon Life Insurance Company
Sumitomo Mitsui Trust Bank, Limited (*)
Development Bank of Japan Inc.
Shinsei Bank, Ltd (*)
ORIX Bank Corporati0on (*)
Tokio Marine & Nichido Fire Insurance Co., Ltd.
The Yamaguchi Bank, Ltd
Sumitomo Mitsui Banking Corporation(*)
Sumitomo Mitsui Trust Bank, Limited(*)
The Higashi-Nippon Bank, Limited (*)
Aozora Bank, Ltd (*)

Long term borrowings

Term(As of November 30, 2013)

Balance
Interest
Date of
Balance
Interest
Date ofType
Due date
Term
LenderType
Due date(million yen)
Rate (%)
advance(million yen)
Rate (*)
advance2,000 Fixed
1.04%
11/3/18
14/3/18
1,000 Fixed
0.56%
13/2/28
19/2/28
The Kagawa Bank, Ltd (*)
2,000 Fixed
1.04%
11/3/25
14/3/18
2,000 Fixed
0.58%
13/2/28
20/2/28
Aozora Bank, Ltd (*)
2,000 Fixed
0.96%
11/3/25
14/3/252,000 Fixed
0.58%
13/3/1
20/2/28
Resona Bank, Limited (*)
13,500 Fixed
0.94%
11/7/8
14/7/8200 Fixed
0.53%
13/3/29
16/5/31
Fukoku Mutual Life Insurance Company
500 Fixed
0.55%
13/4/12
18/5/313,000 Fixed
0.97%
11/7/8
14/7/8The Gunma Bank, Ltd. (*)
500 Fixed
0.48%
13/4/12
18/5/31
The Musashino Bank, Ltd. (*)
1,500 Fixed
0.97%
11/7/8
14/7/81,000 Fixed
0.66%
13/4/12
19/5/31
Aozora Bank, Ltd (*)
1,000 Fixed
0.97%
11/7/8
14/7/81,500 Fixed
0.55%
13/4/12 19/11/29
Sumitomo Mitsui Trust Bank, Limited (*)
4,900 Fixed
0.77%
11/9/30
14/3/311,000 Fixed
0.96%
13/4/12 19/11/29
Development Bank of Japan Inc.
3,000 Fixed
0.96%
11/9/30
14/3/311,500 Fixed
0.89%
13/6/28
18/8/31
Kansai Urban Banking Corporation
1,000 Fixed
0.77%
11/9/30
14/3/311,500 Fixed
0.49%
13/6/28
19/8/30
Kansai Urban Banking Corporation (*)
2,000
Float
T+0.35% 13/11/29 14/9/17
2,000 Fixed
0.53%
13/6/28
20/8/31
Kansai Urban Banking Corporation (*)
1,000
Float
T+0.35% 13/11/29 14/9/17
1,000 Fixed
0.83%
13/7/3
18/8/31Development Bank of Japan Inc.
36,9001,600
Float
T+0.35%
13/7/3
20/8/31
Sumitomo Mitsui Banking Corporation
3,000 Fixed
0.88%
11/8/31
15/2/27
1,000 Fixed
0.51%
13/7/3
20/11/30
Shinsei Bank, Ltd (*)
3,000 Fixed
1.09%
11/9/30
15/3/31
1,000
Float
T+0.35%
13/7/3
20/11/30
The Higashi-Nippon Bank, Limited
2,000 Fixed
0.89%
11/9/30
15/3/311,000 Fixed
0.53%
13/7/818/8/31
The Bank of Fukuoka, Ltd. (*)
1,700 Fixed
1.02%
12/5/11
17/5/101,000 Fixed
0.53%
13/7/8
19/11/29
Sumitomo Mitsui Trust Bank, Limited (*)
6,500 Fixed
1.02%
12/5/21
17/5/224,000
Float
T+0.41%
13/7/8
20/5/29
Sumitomo Mitsui Trust Bank, Limited
2,000 Fixed
0.67%
12/5/21
15/5/29
1,000 Fixed
0.51%
13/7/31
21/5/31
Shinsei Bank, Ltd (*)
500 Fixed
0.67%
12/5/21
15/5/29
1,000 Fixed
0.51%
13/7/31
21/8/31
Shinsei Bank, Ltd (*)
4,000 Fixed
0.86%
12/5/21
17/5/311,000 Fixed
0.43%
13/8/918/7/31
Tokio Marine & Nichido Fire Insurance Co., Ltd. (*)
3,000 Fixed
0.85%
12/5/21
17/5/312,000 Fixed
0.54%
13/8/918/8/31
The Bank of Tokyo-Mitsubishi UFJ, Ltd. (*)
2,000 Fixed
0.75%
12/5/21
16/5/311,000 Fixed
0.56%
13/8/918/8/31
The Bank of Fukuoka, Ltd. (*)
1,500 Fixed
0.85%
12/5/21
17/5/313,000
Float
T+0.33%
13/8/920/8/31
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
2,000 Fixed
0.52%
12/8/31
15/8/31
1,000
Float
T+0.35%
13/8/921/2/26
Sumitomo Mitsui Trust Bank, Limited
1,000 Fixed
0.61%
12/9/18
15/8/31
1,400
Float
T+0.35%
13/8/921/5/31
Sumitomo Mitsui Banking Corporation
2,000 Fixed
0.62%
13/9/27 18/11/30
1,000 Fixed
0.61%
12/9/18
15/8/31
Mitsubishi UFJ Trust and Banking Corporation (*)
4,000
Float
T+0.33% 13/9/27
21/3/31
Mizuho Bank, Ltd.
500 Fixed
0.61%
12/9/18
15/8/31
1,400
Float
T+0.33% 13/9/27
21/3/31
Sumitomo Mitsui Banking Corporation
2,550 Fixed
0.96%
12/9/18
17/8/311,500 Fixed
0.69%
13/9/30
19/2/28
ORIX Bank Corporation
1,500 Fixed
0.71%
12/9/18
17/8/312,000 Fixed
0.66%
13/9/30
19/3/29
The Bank of Fukuoka, Ltd. (*)
1,000 Fixed
0.71%
12/9/18
17/8/311,000 Fixed
0.73%
13/11/29 20/11/30
Shinsei Bank, Ltd (*)
1,000 Fixed
0.79%
12/9/18
17/8/31
107,300
Total long-term borrowings
3,400 Fixed
0.69%
12/9/18
18/2/28
Total
borrowings
144,200
1,000 Fixed
0.57%
12/11/30 15/11/30
300 Fixed
0.60%
12/11/30 15/11/30
Note: Fixed Interest Rate is rounded to the second decimal place.
(*)
Interest rates that were changed from a floating rate to a fixed rate by concluding the swap
300 Fixed
0.60%
12/11/30 15/11/30
agreement are described as fixed interest rates.
1,950 Fixed
0.60%
12/11/30 18/2/28*
Mizuho Corporate Bank, Ltd. merged with Mizuho Bank, Ltd. on July 1, 2013 and thus is indicatedas its post-merger company name of Mizuho Bank, Ltd.
2,000 Fixed
0.85%
12/12/3 17/11/30
2,000 Fixed
0.61%
12/12/3 17/11/30
1,000 Fixed
0.51%
13/1/10
18/2/28
Balance
Interest
Date of1,000 Fixed
0.69%
13/2/1
17/11/30
Term
LenderType
Due date(million yen)Rateadvance
500 Fixed
0.69%
13/2/1
17/11/30
3,500
Float*
T+2.40%*09/9/17
19/9/17Long-termNo.
1
UnsecuredandSubordinated2,000 Fixed
0.58%
13/2/1
20/2/28
Total
Investment
corporate
bonds
3,500
1,500 Fixed
0.58%
13/2/1
20/2/28This
documentmaterial 13/2/1
disclosed 18/2/28
in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,
500
Fixed is not
0.58%* The interest rate will change to 6 month TIBOR + 390 bps, from the day after the tenth payment
nor
is
it
intendedforthepurposesofsolicitation.
Officeadvises
to makeinvestment
1,500 Fixed
0.44%
13/2/28
16/8/31 Daiwa
date
untilInvestment
maturity, Corporation
due to 5 year
lapsereader
step-upfloating
interest. decisions at their own judgment.

█ Investment Corporation Bonds

32

Status of Interest-bearing Liabilities (4)- Total Borrowing from Financial Institutions Transacting Financial Institutions as of the 16th Fiscal Period
Comparison
Balancewith previous Balance ratio(million yen)periodName of Financial Institution

Name of Financial Institution

Comparison
Balancewith previous Balance ratio(million yen)periodSumitomo Mitsui Banking Corporation.

29,900

6,400

20.7%

The Gunma Bank, Ltd.

2,500

0

1.7%

Sumitomo Mitsui Trust Bank, Limited

18,350

2,000

12.7%

The Shizuoka Bank, Ltd

2,000

0

1.4%

Development Bank of Japan Inc.

17,750

1,000

12.3%

Tokio Marine & Nichido Fire Insurance Co., Ltd.

2,000

1,000

1.4%

Mizuho Corporate Bank, Ltd.

11,900

4,000

8.3%

The Musashino Bank, Ltd.

1,500

0

1.0%

Shinsei Bank, Ltd.

11,000

1,000

7.6%

The Higashi-Nippon Bank, Limited

1,500

1,000

1.0%

Resona Bank, Limited

9,000

0

6.2%

The Hiroshima Bank, Ltd.

1,000

0

0.7%

Aozora Bank, Ltd.

6,000

0

4.2%

The Kagawa Bank, Ltd

1,000

0

0.7%

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

5,000

5,000

3.5%

The 77 Bank, Ltd.

1,000

0

0.7%

Mitsubishi UFJ Trust and Banking Corporation

5,000

2,000

3.5%

The Bank of Yokohama, Ltd.

500

0

0.3%

Kansai Urban Banking Corporation

5,000

0

3.5%

The Yamaguchi Bank, Ltd

500

0

0.3%

Mizuho Bank, Ltd.

4,500

0

3.1%

Taiyo Life Insurance Company

300

0

0.2%

The Bank of Fukuoka, Ltd.

4,000

1,000

2.8%

Nippon Life Insurance Company

300

0

0.2%

ORIX Bank Corporation

2,500

0

1.7%

Fukoku Mutual Life Insurance Company

200

0

0.1%

144,200

24,400100.0%

Note: Balance is rounded down to less than million yen.
Indicates new lenders in the 16th FP.

Total

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

33

Unitholders█ Unitholders’ Share by Investor Type█ List of Top 10 Investors

15th Fiscal
PeriodNumber ofUnit

16th Fiscal
PeriodNumber of
Unit

Change of
Unit

Individuals

31,10828,742Financial Institutions

143,739

Commercial Bank

Investor Type

15th Fiscal 16th Fiscal
PeriodPeriodChange of
Number of Number of
Unit
Unit
Unit

Rate*

Rate*

No.

-2,366

7.26%

1

Daiwa Investment Management Inc.

128,905

128,905032.57%

151,9188,179

38.38%

2

Japan trustee Services Bank, Ltd.
(Trust Account)

67,89762,707-5,19015.84%

0

0

0

0.00%

3

Daiwa Securities Group Inc.

59,321

59,3210

14.99%

Regional Bank

1,158

1,648

490

0.42%

4

23,54332,259

8,716

8.15%

Trust Bank

The Master Trust Bank of Japan, Ltd.
(Investment Trust Account)

141,596

145,009

3,413

36.64%
5

Trust & Custody Services Bank, Ltd.
(Securities Investment Trust Account)

28,64028,524

-116

7.21%

Life Insurance

Investor Name

461

498

37

0.13%

0

4,212

4,212

1.06%

6

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

20,681

20,857

176

5.27%

524

551

27

0.14%

7

Nomura Bank (Luxembourg) S.A.

3,686

4,969

1,283

1.26%

Other Domestic Corporation

191,238

190,980-258

48.25%

8

The Fuji Fire and Marine Insurance Co., Ltd.

0

4,212

4,212

1.06%

Foreigner

28,192

23,041-5,151

5.82%

9Individuals

1,940

1,940

0

0.49%

Securities

1,521

1,117

-404

0.28%

10

State Street Bank and Trust Company
505223

1,789

1,503

-286

0.38%

395,798

395,7980

100.00%Non-life Insurance
Other Financial Institutions

Total(*) Rounded to the second decimal place.

(*) Rounded to the second decimal place.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

34

Activities in the 17th Fiscal Period█

Internal Growth → “Bonji-Tettei”(Accomplishing ordinary tasks thoroughly and carefully enables us to achieve extraordinary results.)

█

█



Focus on leasing with good terms by further strengthening collaboration with various agents.



Mutually communicate by enhancing communication with existing tenants.

Work to look into plans that lead to cost reduction while maintaining the quality of construction.



Raise the added value and competitiveness by advancing environmental responses at existing assets.

Continue to strengthen collaboration with Daiwa Securities Group.

External Growth → Active investment for competitive properties after thorough selection
Continue expeditious acquisition of highly-competitive properties.



Strive to improve existing portfolio by acquiring properties with high actual demand and carefully selecting good
office locations (distance to station, station power, crowd attraction and surrounding environment) and building
specs.



Aim for an asset size of ¥500 billion in the medium term.

Financial Strategy → Continue to reduce financial risk and strengthen financial structureStrengthen ties with our financial institutions for further reduction of financial risk.



Lengthen maturities and advance financial stabilization.

Further build on and strengthen bank formation.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

35

Appendix

Change in Investment Unit Price, NAV per Unit and Implied Cap Rate
Investment unit price(Yen)

NAV per unit

Implied cap rate

(%)
16.00

500,000
459,747

449,76414.00

450,000

422,000

400,000

12.00

10.00

350,000
8.61
300,000

8.00

250,000

6.00

200,000

4.00
3.79

190,100
150,000

2.00

100,000

0.00

8th FP

9th FP

10th FP

11th FP

12th FP

13th FP

14th FP

15th FP

16th FP* NAV = (Total net assets [after distribution]) – (book value of real estate, etc.) + (market value of real estate, etc. [real estate appraisal value])
Implied cap rate = Annual NOI (rental NOI: afteron sales)÷in(Market
valueliabilities/ Tenant
deposits
Cashnature,and deposits)
Thisdeduction
document isof
notgainmaterial
disclosed
compliancewith +theInterest-bearing
Financial Instruments
and Exchange
Lawsecurity
or any regulationof –similar
nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

37

Portfolio Distribution in Relation to 2020 Tokyo Olympic Venues
Tokyo Sky Tree

Daiwa Higashi Ikebukuro█

Holding of 2020 Tokyo Olympics
 The Tokyo Olympics is scheduled

Daiwa Misakicho
Jimbocho Place
Daiwa Kudan
shinyon curumu
Tokyo Metropolitan
Government

Shinjuku
MayndsTower

Yoyogi Park
SHIBUYA EDGEE SPACE TOWER

SunlineBldg. No.7

Olympic
Stadium

Daiwa Jingumae
Daiwa Minami Aoyama

Nisseki Shibuya Building
Daiwa Shibuya SS

Tosen Dogenzaka Daini Building

Daiwa Kinshicho

Nihonbashi Hongokucho
Imperial Tosei Building
PalaceDaiwa Kodenmacho
Nihonbashi MS Bld.
Daiwa Nihonbashi Honcho
Daiwa Kayabacho Build.
Akasaka Business Place
Daiwa Kyobashi
Daiwa Ginza Annex
Daiwa Ginza 1-chome
Daiwa Tsukijiekimae
Daiwa Ginza
Daiwa Tsukiji
Daiwa Tsukiji 616

Tokyo Tower
Daiwa Nishi-Shimbashi
Daiwa Onarimon

to be held from July 24 to August
9, 2020.

Daiwa Sarugakucho
Daiwa Jimbocho

zones in central Tokyo; the“Heritage Zone” in which thesame facilities as with the 1964
Tokyo Olympics will be reused,
and the “Tokyo Bay Zone” that
represents Tokyo’s growthpotential.

Daiwa Tsukishima
Daiwa Shinbashi510
Daiwa A
Hamamatsucho Athlete’s
Daiwa Shibadaimon village

Daiwa Azabudai The Olympics will be held in two

Yumenoshima
Park

Daiwa Shibaura
Rainbow Bridge

West Park Osakifrom Athlete’s village

Daiwa Shinagawa North

Main
media
centerTokyo Gate
Bridgefrom Athlete’s village(Data): Compiled by DOI based on materials from theTokyo Organising Committee of the Olympic andParalympic Games

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

38

Analyses of Leasing Income- Portfolio Map: Increase and decrease in occupancy rate compared with previous Fiscal Period Occupancy rate comparedwith previous Fiscal Period

5 Central Wards of TokyoUp:

8 buildings

Down

:

6 buildings

Unchanged :30 buildings

Greater Tokyo

Daiwa Higashi IkebukuroWest Park Osaki

Daiwa Kinshicho

Daiwa Shinagawa North

Benex S-3

Shinjuku Ward

Shinjuku Maynds Tower

ShibuyaWard
ＳＨＩＢＵＹＡＥＤＧＥE SPACE TOWER
Tosen Dogenzaka Daini Building

Daiwa Misakicho
Jimbocho Place

Daiwa Sarugakucho
Daiwa Jimbocho
Daiwa Kudan
shinyon curumu
Daiwa Kodenmacho
Nihonbashi Hongokucho Tosei Building
Nihonbashi MS Bld.
Sunline Bldg. No.7
Daiwa Nihonbashi Honcho
Chuo Daiwa Kayabacho Build.
Chiyoda Ward
Daiwa Jingumae
Ward
Daiwa Kyobashi
Akasaka Business Place
Daiwa Ginza 1-chome
Daiwa Ginza Annex
Daiwa Minami Aoyama
Daiwa Tsukijiekimae
Daiwa Ginza
Daiwa Tsukiji
Daiwa Tsukiji 616
Daiwa Nishi-Shimbashi

Nisseki Shibuya Building
Daiwa Onarimon
Daiwa Shibuya SS
Daiwa Azabudai

Minato Ward

Kamioooka Eye Mark Building

Daiwa Tsukishima
Daiwa Shinbashi510
Daiwa A Hamamatsucho
Daiwa Shibadaimon
Daiwa Shibaura

Regional Cities
Honshu Meieki Building*Daiwa Minami-Senba

Daiwa Shinagawa North

As of November 30, 2013
* Akasaka Business Place: occupancy rate increased from timeof acquisition.
Tosen Dogenzaka Daini Building, Nisseki Shibuya Building:maintains full occupancy from the time of acquisition.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

39

Summary of Results for the 16th Fiscal Period (1) - Balance Sheet █ Comparison with Results of the 15th Fiscal Period
15th Fiscal Period
Million Yen
Current Assets

16,922

4.9%

Million Yen
17,62915th Fiscal Period(%)
Current Liabilities

4.8%

16th Fiscal Period

Million Yen(%)

Million Yen(%)

39,261

11.5%

39,198

10.8%

Cash and Deposits

10,948

11,479Operating Accounts Payable

571

772

Cash and Deposits in Trust

5,109

5,445

Short-term Loans Payable

0

3,000

864

704

Current Portion of Investment Corporation Bond

5,000

0

32,40033,900

Tangible Fixed Assets

325,64295.1%

346,019

95.2%

Current Portion of Long-term Loans Payable322,303

94.1%

342,374

94.1%

Accounts Payables-Other

261

286

Advances Received

874

977

Other Current Liabilities

153

261

Building and Others (including Trust Property)

61,55863,243

Land and Others (including Trust Property)

260,705

279,089

39

42

Other Tangible Fixed Assets
Intangible Fixed Assets

2,719

Leasehold Rights and Leasehold Rights in Trust

0.8%

2,718

2,713

2,713

Other Intangible Fixed Assets

5

4Investments and Other Assets

620

0.2%

926

Leasehold and Security Deposits Paid in Trust

113

113

Long-term Prepaid Expenses

483

778

Other Investments and Other Assets

22

33

Deferred Assets

8

Investment Corporation Bond Issuance Costs
Total Assets

0.0%

8342,572

4

Liabilities

Fixed Assets

0.7%

0.3%

363,653

101,966

100.0%

122,772

3,500

3,500

Long-term Loans Payable

87,400107,300

Tenant Leasehold and Security Deposits

6,659

7,306

Tenant Leasehold and Security Deposits in Trust

4,374

4,597

32

68

Unitholders' equity
0.0%

29.8%

Investment Corporation Bonds

Total Liabilities

4
100.0%

Fixed Liabilities

Other Fixed Liabilities

Net Assets

Other Current Assets

Assets(%)

16th Fiscal Period

Unappropriated Retained Earnings
Valuation, Translation Adjustments and Others
Total Net Assets
Total Liabilities and Net Assets

141,22741.2%

161,970

198,780

198,780

2,589

2,959

-25

-57

201,34558.8%

342,572 100.0%

201,683

33.8%

44.5%

55.5%

363,653 100.0%

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

40

Summary of Results for the 16th Fiscal Period (2) - Income Statement █ Comparison with the 16th Fiscal Period Forecasts█ Comparison with Results of the 15th Fiscal Period
Unit: Million Yen
15th Fiscal Period

16th Fiscal Period

Number of Properties (at period-end)41

44

Effective Number of Days of Investment

182

183

Operating Revenues (A)

8,432

+ 816

-

-

-

4,306

4,755

+ 448

Expenses related to Rental Business(excluding depreciation)

2,219

2,541

+ 322

Depreciation

1,280

1,328

+ 48

Gain and Loss from Rental Operations(excluding gain on sale)

4,115

4,561

+ 446

Operating Income (A-B)

3,308

3,677

+ 368

Non-operating Expenses

733

726

-7

Interest Expense

587

575

- 11

2,590

2,955

+ 365

Extraordinary Income

-

4

+4

Extraordinary Expenses

-

-

-

2,589

2,959

+ 370

395,798 units

395,798 units

-

6,542

7,478

+ 936

Operating Expenses (B)Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Unit: Yen)

16th Fiscal Period
Forecast(July 19, 2013)

16th Fiscal Period
ActualNumber of Properties (at period-end)

43

44

Effective Number of Days of Investment

183

183

Change7,615

Gain on Sale

Unit: Million Yen

Operating Revenues (A)Change

8,242

8,432

+ 189

-

-

-

4,666

4,755

+ 88

Expenses related to Rental Business(excluding depreciation)

2,457

2,541

+ 84

Depreciation

1,323

1,328

+5

Gain and Loss from Rental Operations(excluding gain on sale)

4,462

4,561

+ 99

Operating Income (A-B)

3,576

3,677

+ 100

Non-operating Expenses

723

726

+2

573

575

+2

2,852

2,955

+ 103

Extraordinary Income

-

4

+4

Extraordinary Expenses

-

-

-

2,850

2,959

+ 109

395,798 units

395,798 units

-

7,200

7,478

+ 278

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

41

Gain on Sale
Operating Expenses (B)(including cap amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Unit: Yen)

Forecasts (17th and 18th Fiscal Periods)█ Forecast for the 17th and 18th Fiscal Period
Unit: Million Yen
16th Fiscal Period

17th Fiscal Period
Forecast

18th Fiscal Period
Forecast

Number of Properties (at period-end)

44

44

44

Effective Number of Days of Investment

183

182

183

Operating Revenues (A)

8,432

8,441

8,607

-

-

-

4,755

4,685

4,821

Expenses related to Rental Business (excluding depreciation)

2,541

2,443

2,556

Depreciation

1,328

1,341

1,350

Gain and Loss from Rental Operations (excluding gain on sale)

4,561

4,656

4,700

Operating Income (A-B)

3,677

3,756

3,786

Non-operating Expenses

726

769

787

Interest Expense

575

614

614

2,955

2,986

2,998

Extraordinary Income

4

-

-

Extraordinary Expenses

-

-

-

2,959

2,984

2,996

395,798 units

395,798 units

395,798 units

7,478

7,540

7,570

Gain on Sale
Operating Expenses (B)Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Unit: Yen)

* Although we assume that rents will remain at the current level, actual rents may differ from the assumption depending on the status of assets under management.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

42

Major Financial Data
Item
Number of days of investment
Number of properties at end of period
Occupancy rate at end of period

Unit

12th FP

13th FP

14th FP

15th FP

16th FP

Day

183

183

183

182

183

Property

36

37

38

41

44

%

92.4

94.3

96.4

95.0

96.3

 NOI

Rent revenue + Other lease business revenue –Expenses related to rent business + Depreciation

 FFO

Net Income + Depreciation – Gain on Sale

 ROA

Average acquisition priceMillion Yen

306,492

311,607313,923

325,751

344,016

NOI (after deduction of gain on sale)

Million Yen

5,482

5,265

5,270

5,395

5,890

Funds from operation (FFO)

Million Yen

3,114

3,388

3,675

3,869

4,288

Annualized Net Income / Total Investments

Return on asset (ROA)

%

1.1

1.2

1.4

1.6

1.7

 Loan-to-Value (LTV) at end of Fiscal Period

Return on equity (ROE)

%

1.8

2.0

2.4

2.6

3.0

Capital adequacy ratio at end of period

%

62.0

61.7

61.8

58.8

55.5

Loan-to-Value (LTV) at end of period

%

34.0

34.2

34.4

37.5

40.6

Annualized Net Income / Total Assets

 ROEInterest-bearing liabilities at end of Fiscal Period /Total assets at end of Fiscal Period

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

43Analyses of Tenants(As of November 30, 2013)

Major Tenants Top 10 List
Tenant Name(*1)

Property% Share of Industries* of Top 100 Tenants**

Leased Space% of Total(㎡)
Leased Space
(*2)
(*3)

NPOs
0.9%
Construction
Other
3.1%
10.0%
Precision
Instruments
3.4%
Electric
Appliances
Foods 3.7%
4.3%

Not disclosed (*1)

Daiwa Tsukishima

6,379.88

JX Nikko Nisseki Real Estate
Corporation (*4)

Nisseki Shibuya Building

6,327.95

2.6%

Trend Micro Incorporated

Shinjuku Maynds Tower

6,314.58

2.6%

Not disclosed (*1)

Daiwa Kayabacho Build.

5,899.11

2.5%

Fields Corporation

E SPACE TOWER

5,883.40

2.4%

Schools
4.4%

EMC Japan

Shinjuku Maynds Tower

5,693.39

2.4%

Banks
5.0%

Not disclosed (*1)

Shinjuku Maynds Tower

5,337.60

2.2%

UCC Holdings Co., Ltd.

Daiwa Onarimon

5,100.06

2.1%

Sekisui House, Ltd.

Shinjuku Maynds Tower

4,777.69

2.0%

FreeBit Co., Ltd.

E SPACE TOWER

3,966.29

1.6%

55,679.95

23.6%

Total
*1
*2
*3
*4

2.7%

Services
28.4%

Information &Communication
17.6%

Wholesale
8.2%
Real Estate
11.0%* The leased space of top 100 tenant covers 65.7% of total leased space as of theend of the 16th Fiscal Period.
** Industries are categorized according to TSE’s 33 industry groups.

Not disclosed due to tenant's request.
Leased spaces of the tenants in Shinjuku Maynds Tower are described as the figure equivalent to 6/7,ownership % of the Investment Corporation.
Rounded down to first decimal place.
DOI has concluded a memorandum of understanding concerning the change/termination of master lease agreement with the tenant concerning Nisseki Shibuya Building and has agreed ontermination as of March 31,k 2014.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

44

Appraisal Value Compared to the Previous Fiscal Period (1)(Unit: Million Yen)

Property Name

Compared to
End of 15th Period

Appraisal value

ChangeAcquisition
Price

Compared to
Acquisition Price
Difference

ChangeCap Rate

End of 15th Period

End of 16th Period

Difference

15th Period 16th Period

Daiwa Ginza

14,70014,900+200

1.4%

14,100

+800

5.7%

4.3%

4.2%

Daiwa Ginza Annex

3,100

3,140

+40

1.3%

3,050

+90

3.0%

4.2%

4.1%

Daiwa Shibaura

7,470

7,470

-

0.0%

8,265

-795

-9.6%

5.0%

4.9%

Daiwa Minami Aoyama

4,010

4,100

+90

2.2%

4,550

-450

-9.9%

4.6%

4.5%

Daiwa Sarugakucho

3,090

3,160

+70

2.3%

3,190

-30

-0.9%

5.1%

5.0%

Daiwa A Hamamatsucho

2,830

2,850

+20

0.7%

2,865

-15

-0.5%

4.7%

4.6%

Daiwa Jingumae

2,050

2,100

+50

2.4%

2,800

-700

-25.0%

4.5%

4.4%

Daiwa Shibadaimon

2,640

2,640

-

0.0%

2,578

+62

2.4%

4.6%

4.5%

Daiwa Misakicho

2,480

2,450

-30

-1.2%

2,346

+104

4.4%

5.1%

4.8%

Daiwa Shimbashi 510

2,310

2,400

+90

3.9%

2,080

+320

15.4%

4.8%

4.7%

Daiwa Tsukijiekimae

1,400

1,400

-

0.0%

1,560

-160

-10.3%

5.1%

5.0%

Daiwa Tsukiji

1,420

1,460

+40

2.8%

1,240

+220

17.7%

5.0%

4.9%

Daiwa Tsukiji 616

2,370

2,410

+40

1.7%

2,440

-30

-1.2%

4.9%

4.9%

Daiwa Tsukishima Bldg.

7,850

8,010

+160

2.0%

7,840

+170

2.2%

5.1%

5.0%

Nihombashi MS Bldg.

2,410

2,480

+70

2.9%

2,520

-40

-1.6%

4.8%

4.7%

Daiwa Azabudai

1,730

1,740

+10

0.6%

1,600

+140

8.8%

4.6%

4.5%

Daiwa Shibuya SS

3,830

3,840

+10

0.3%

3,930

-90

-2.3%

4.6%

4.6%

Daiwa Nihombashi Honcho

6,980

7,130

+150

2.1%

7,420

-290

-3.9%

4.7%

4.6%

Daiwa Ginza 1-chome

4,480

4,590

+110

2.5%

4,620

-30

-0.6%

4.5%

4.4%

Daiwa Kyobashi

3,030

3,100

+70

2.3%

3,460

-360

-10.4%

4.7%

4.6%

Sunline Building No. 7

2,600

2,640

+40

1.5%

2,910

-270

-9.3%

4.4%

4.3%

Daiwa Onarimon

13,30013,600+300

2.3%

13,860

-260

-1.9%

4.5%

4.4%

Shinjuku Maynds Tower

113,000

113,000-

0.0%

133,800-20,800-15.5%

3.8%

3.8%*Difference and change in “Compared to End of the 15th Period” do not include the impact of the properties acquired in the 16th Period.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

45

Appraisal Value Compared to the Previous Fiscal Period (2)(Unit: Million Yen)

Property Name

Compared to
End of 15th Period

Appraisal value

Acquisition
Price

Difference

ChangeCap Rate

End of 15th Period

End of 16th Period

Difference

SHIBUYA EDGE

4,040

4,260

+220

5.4%

5,900

-1,640-27.8%

4.4%

4.3%

Daiwa Kodemmacho

1,960

1,980

+20

1.0%

2,460

-480

-19.5%

5.0%

4.9%

Daiwa Jimbocho

2,780

2,860

+80

2.9%

4,150

-1,290-31.1%

5.0%

4.9%

Daiwa Nishishimbashi

4,710

4,710

-

0.0%

5,000

-290

-5.8%

4.8%

4.7%

Daiwa Kudan

2,830

2,920

+90

3.2%

4,000

-1,080-27.0%

4.8%

4.7%

Daiwa Kayabacho Building

6,300

6,460

+160

2.5%

5,600

+860

15.4%

4.4%

4.3%

Jimbocho Place

3,670

3,760

+90

2.5%

3,550

+210

5.9%

4.4%

4.3%

E SPACE TOWER

26,50027,100+600

2.3%

24,000+3,100

12.9%

4.2%

4.1%

Nihonbashi Hongokucho Tosei Build

1,830

1,850

+20

1.1%

1,721

+129

7.5%

5.0%

4.9%

shinyon curumu

10,10010,300

+200

2.0%

9,650

+650

6.7%

4.3%

4.2%

Tosen Dogenzaka Daini Building

-

4,750

-

-

4,500

+250

5.6%

-

4.4%

Akasaka Business Place-

10,400

-

-

9,200

+1,200

13.0%

-

4.2%

Nisseki Shibuya Building

-

7,280

-

-

7,000

+280

4.0%

-

4.3%

Daiwa Kinshicho

3,320

3,340

+20

0.6%

3,653

-313

-8.6%

5.3%

5.2%

Daiwa Higashi-Ikebukuro

3,480

3,330

-150

-4.3%

2,958

+372

12.6%

5.2%

5.1%

Benex S-3

3,260

3,290

+30

0.9%

4,950

-1,660-33.5%

5.6%

5.5%

Daiwa Shinagawa North

5,820

5,890

+70

1.2%

7,710

-1,820-23.6%

5.0%

4.9%

Westpark Osaki

1,930

1,980

+50

2.6%

1,650

+330

20.0%

4.8%

4.7%

Kamiooka Eye Mark Building

2,040

2,070

+30

1.5%

2,000

+70

3.5%

5.6%

5.5%

Daiwa Minami-Senba

2,860

2,780

-80

-2.8%

4,810

-2,030-42.2%

5.5%

5.4%

Honshu Meieki Building

6,000

6,370

+370

6.2%

5,300

+1,070

20.2%

5.2%

5.1%

302,510328,290+3,3501.1%

352,786-24,496

-6.9%

-

-

Total (*)

ChangeCompared to
Acquisition Price15th Period 16th Period*Difference and change in “Compared to End of the 15th Period” do not include the impact of the properties acquired in the 16th Period.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

46

Appraisal Value at End of Fiscal Period (1)(Unit: Million Yen)

Property Name

Appraisal Value(End of 16th period)

Summary of Appraisal Report (End of 16th Fiscal Period)
Direct Capitalization Method
DCF Method
Value
Cap Rate
Value
Discount Rate

Terminal Cap Rate

Integrated Value

Daiwa Ginza

14,90015,9004.2%

14,4004.0%

4.4%

10,600Daiwa Ginza Annex

3,140

3,200

4.1%

3,080

3.9%

4.3%

2,750

Daiwa Shibaura

7,470

7,540

4.9%

7,440

4.7%

5.1%

5,460

Daiwa Minami Aoyama

4,100

4,180

4.5%

4,010

4.3%

4.7%

3,300

Daiwa Sarugakucho

3,160

3,200

5.0%

3,110

4.8%

5.2%

1,560

Daiwa A Hamamatsucho

2,850

2,880

4.6%

2,840

4.4%

4.8%

1,790

Daiwa Jingumae

2,100

2,110

4.4%

2,090

4.2%

4.6%

2,060

Daiwa Shibadaimon

2,640

2,710

4.5%

2,610

4.3%

4.7%

1,600

Daiwa Misakicho

2,450

2,470

4.8%

2,440

4.6%

5.0%

1,310

Daiwa Shimbashi 510

2,400

2,450

4.7%

2,340

4.5%

4.9%

1,780

Daiwa Tsukijiekimae

1,400

1,460

5.0%

1,370

5.0%

5.2%

910

Daiwa Tsukiji

1,460

1,470

4.9%

1,460

4.9%

5.1%

653

Daiwa Tsukiji 616

2,410

2,420

4.9%

2,400

4.6%

5.1%

1,110

Daiwa Tsukishima Bldg.

8,010

8,050

5.0%

7,990

4.7%

5.2%

4,140

Nihombashi MS Bldg.

2,480

2,520

4.7%

2,430

4.5%

4.9%

1,550

Daiwa Azabudai

1,740

1,780

4.5%

1,700

4.3%

4.7%

1,170

Daiwa Shibuya SS

3,840

4,000

4.6%

3,770

4.4%

4.8%

2,690

Daiwa Nihombashi Honcho

7,130

7,490

4.6%

6,980

4.3%

4.8%

4,020

Daiwa Ginza 1-chome

4,590

4,840

4.4%

4,480

4.1%

4.6%

3,820

Daiwa Kyobashi

3,100

3,160

4.6%

3,040

4.4%

4.8%

1,860

Sunline Building No. 7

2,640

2,790

4.3%

2,580

4.1%

4.5%

3,420

Daiwa Onarimon

13,60013,7004.4%

13,500

4.2%

4.6%

10,100Shinjuku Maynds Tower (*)

113,000

139,000

3.8%

129,000

3.6%

4.0%

96,700*Appraisal value for Shinjuku Maynds Tower is indicated as 6/7 of the total appraisal value for the building, which is equivalent to the co-ownership interest DOI owns.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

47

Appraisal Value at End of Fiscal Period (2)(Unit: Million Yen)

Property Name

Appraisal Value(End of 16th period)

Summary of Appraisal Report (End of 16th Fiscal Period)
Direct Capitalization Method
DCF Method
Integrated Value
Value
Cap Rate
Value
Discount Rate Terminal Cap RateSHIBUYA EDGE

4,260

4,430

4.3%

4,180

4.1%

4.5%

2,840

Daiwa Kodemmacho

1,980

2,020

4.9%

1,940

4.7%

5.1%

958

Daiwa Jimbocho

2,860

3,030

4.9%

2,790

4.9%

5.1%

2,590

Daiwa Nishishimbashi

4,710

4,840

4.7%

4,650

4.5%

4.9%

3,400

Daiwa Kudan

2,920

3,120

4.7%

2,850

4.7%

4.9%

1,950

Daiwa Kayabacho Building

6,460

6,560

4.3%

6,420

4.1%

4.5%

4,590

Jimbocho Place

3,760

3,850

4.3%

3,720

4.1%

4.5%

3,070

E SPACE TOWER

27,10027,5004.1%

26,6003.9%

4.3%

21,100Nihonbashi Hongokucho Tosei Build

1,850

1,880

4.9%

1,830

4.7%

5.1%

1,310

shinyon curumu

10,30010,600

4.2%

10,2004.0%

4.4%

10,200Tosen Dogenzaka Daini Building

4,750

4,900

4.4%

4,680

4.2%

4.6%

4,010

Akasaka Business Place

10,40010,6004.2%

10,300

4.0%

4.4%

11,100Nisseki Shibuya Building

7,280

7,320

4.3%

7,230

4.0%

4.4%

7,720

Daiwa Kinshicho

3,340

3,380

5.2%

3,320

5.0%

5.4%

2,030

Daiwa Higashi-Ikebukuro

3,330

3,400

5.1%

3,300

4.9%

5.3%

2,040

Benex S-3

3,290

3,350

5.5%

3,230

5.3%

5.7%

3,240

Daiwa Shinagawa North

5,890

6,020

4.9%

5,750

4.7%

5.1%

4,430

Westpark Osaki

1,980

2,000

4.7%

1,970

4.5%

4.9%

1,290

Kamiooka Eye Mark Building

2,070

2,070

5.5%

2,070

5.3%

5.7%

1,920

Daiwa Minami-Senba

2,780

2,840

5.4%

2,720

5.2%

5.6%

1,870

Honshu Meieki Building

6,370

6,510

5.1%

6,310

5.1%

5.3%

6,660

328,290359,540-

341,120--

262,671

Total

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

48

Portfolio Performance Summary (1)(15th-16th Fiscal Period Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Profits from property-related activities (*2)

Property Management Company
Number of operating days

(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

Daiwa Ginza

Daiwa Ginza Annex

Daiwa Shibaura

Daiwa Minami Aoyama

Daiwa Sarugakucho

Daiwa A Hamamatsucho

Daiwa Jingumae

14,100
3,050
8,265
4,550
3,190
2,865
2,800
15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period
13,60013,538
2,902
2,886
8,093
8,081
4,470
4,469
3,275
3,260
2,808
2,798
2,727
2,720
14,70014,900
3,100
3,140
7,470
7,470
4,010
4,100
3,090
3,160
2,830
2,850
2,050
2,100
96.4
86.9
100.0
100.0
87.4
90.2
94.1
94.1
100.0
100.0
100.0
100.0
100.0
100.0
9.17
9.17
7.46
7.46
5.09
5.09
12.79
12.79
9.79
9.79
6.03
6.03
12.01
12.01
Best Property

Best Property

Xymax Properties

Best Property

Property Partners

Best Property

Best Property

182

183

182

183

182

183

182

183

182

183

182

183

182

183

355,700
355,700
0
95,97614,15428,8504,929
27,680456
8,062
11,841
259,724
520,875
3.8%
69,507364,216
350,622
13,594
99,776
14,34634,1605,008
27,615455
6,348
11,841
264,439
527,434
3.9%
69,94690,29590,2950
20,712
3,932
5,820
1,337
9,116
109
396
0
69,583
139,549
4.8%
18,072

92,652
92,652024,682
5,292
6,989
1,460
9,100
108
1,730
0
67,969135,568
4.7%
18,278

241,949
225,225
16,724
72,81812,70320,051
3,235
19,262432
17,11320
169,131
339,191
4.2%
25,292

229,030
227,321
1,709
66,276
14,122
21,774
3,705
19,208429
7,035
0
162,754
324,620
4.0%
25,120122,624
119,924
2,700
28,244
4,009
7,594
1,816
11,573157
3,094
094,379189,278
4.2%
11,239119,339
119,339
028,292
3,640
10,056
1,858
11,692155888
091,046
181,596
4.1%
11,614- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
88,287177,059
5.4%- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
85,568
170,670
5.2%- (*6)

132,443
132,443
060,629
8,909
9,512
2,002
8,655
197
1,950
29,40071,813144,0225.1%
12,391

136,723
136,723
062,0108,598
11,226
2,049
8,640
197
1,897
29,40074,713
149,018
5.3%
12,41052,93952,9390
16,170
3,015
5,001
1,200
6,354
85
507
7
36,76973,7402.7%
10,142

69,44969,4490
17,856
2,838
6,465
1,384
6,302
85
774
7
51,593102,904
3.8%
10,251

0

3,100

0

0

13,563

255

2,700

0

- (*6)- (*6)

0

0

0

0

0

0

0

0

0

0

0

0

- (*6)- (*6)

00

00This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

49(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request

Portfolio Performance Summary (2)(15th-16th Fiscal Period Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Profits from property-related activities (*2)

Property Management Company
Number of operating days

(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

Daiwa Shibadaimon

Daiwa Misakicho

Daiwa Shimbashi 510

Daiwa Tsukijiekimae

Daiwa Tsukiji

Daiwa Tsukiji 616

Daiwa Tsukishima Bldg.

2,578
2,346
2,080
1,560
1,240
2,440
7,840
15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period
2,422
2,414
2,196
2,191
2,126
2,123
1,398
1,407
1,200
1,196
2,275
2,257
7,081
7,030
2,640
2,640
2,480
2,450
2,310
2,400
1,400
1,400
1,420
1,460
2,370
2,410
7,850
8,010
100.0
100.0
100.0
100.0
99.7
99.4
10.3
100.0
100.0
100.0
100.0
100.0
100.0
100.0
2.99
2.99
6.68
6.68
8.13
8.13
7.67
7.67
9.70
9.70
7.69
7.69
10.89
10.89
Best Property

Best Property

182

183

83,062
83,0620
19,856
5,407
6,698
1,269
6,271
118
91
0
63,206
126,760
5.2%
12,156

Property Partners

MS Building Support

183- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
68,814
137,253
6.3%- (*6)

182

183

88,00788,007
0
23,165
5,583
9,081
1,301
6,249
118
832
0
64,842
129,329
5.4%
9,507

182
- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
68,908138,195
6.3%- (*6)

80,41880,4180
21,398
4,704
5,957
1,226
5,612
118
3,728
50
59,020118,364
5.6%
6,677

0

0

- (*6)- (*6)00- (*6)- (*6)

Xymax Properties

MS Building Support

Property Partners

183

182

183

182

183

182

183

81,90380,103
1,800
20,101
4,391
7,638
1,219
5,562
117
1,172
0
61,802
123,266
5.8%
6,615

182
- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)-10,908-21,877-1.6%- (*6)

12,70912,67930
37,26918,184
4,030
1,200
5,033
96
8,724
0
-24,560-48,986-3.5%
14,17552,983
46,955
6,028
12,962
4,181
3,028
1,273
3,847
59
573
0
40,02180,262
6.7%
7,141

47,88347,8830
12,310
2,534
3,533
1,200
3,824
59
1,158
0
35,57370,952
5.9%
7,100

72,63866,064
6,574
24,163
6,353
6,756
1,200
6,741
130
2,981
0
48,475
97,217
4.3%
20,65575,83775,8370
22,883
3,957
8,003
1,206
6,680
130
2,904
0
52,953
105,618
4.7%
20,277279,484
279,484053,0007,990
24,421
4,198
13,2683202,801
0226,484454,212
6.4%
67,964

287,031
287,031
078,275
8,468
31,403
4,293
13,213319
20,576
0
208,756
416,372
5.9%
54,50600- (*6)

0

0

0

0

0

0

0

0

1,800

- (*6)

0

0

0

0

0

0

0

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

50(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request

Portfolio Performance Summary (3)(15th-16th Fiscal Period Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Profits from property-related activities (*2)

Property Management Company
Number of operating days

(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

Nihombashi MS Bldg.

Daiwa Azabudai

Daiwa Shibuya SS

Daiwa Nihombashi Honcho

Daiwa Ginza 1-chome

Daiwa Kyobashi

Sunline Building No. 7

2,520
1,600
3,930
7,420
4,620
3,460
2,910
15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period
2,480
2,470
1,552
1,548
3,799
3,783
7,130
7,101
4,523
4,509
3,348
3,344
2,873
2,881
2,410
2,480
1,730
1,740
3,830
3,840
6,980
7,130
4,480
4,590
3,030
3,100
2,600
2,640
100.0
100.0
100.0
100.0
100.0
100.0
97.6
97.3
89.0
98.3
99.5
100.0
96.0
100.0
7.84
7.84
9.57
9.57
8.67
9.61
8.49
8.49
10.16
10.16
10.04
10.04
8.62
8.62
Best Property

Best Property

MS Building Support

Xymax Properties

Xymax Properties

Best Property

Best Property

182

183

182

183

182

183

182

183

182

183

182

183

182

183

83,012
83,012
0
22,699
3,700
6,088
1,244
6,575
135
4,953
0
60,313
120,957
4.9%
11,664

81,59881,598035,072
4,074
7,224
1,261
6,556
135
15,819046,526
92,7983.8%
11,69642,21342,2130
14,640
4,401
3,469
1,200
4,865
87
615
0
27,57355,2973.6%
7,858

55,414
51,5803,833
17,520
3,790
4,459
1,200
4,812
87
3,170
0
37,89475,581
4.9%
7,967

98,516
98,516035,013
4,602
9,120
1,919
9,537
140
9,694
0
63,502
127,354
3.4%
16,259115,203115,203
0
34,185
4,113
11,534
1,376
9,276
140
7,465
279
81,017
161,592
4.3%
16,299180,903
180,903
0
34,533
5,540
13,552
2,719
11,843297
579
0146,369
293,543
4.1%
29,429189,986
181,904
8,082
41,9807,305
16,657
2,855
11,692297
3,171
0
148,006
295,203
4.2%
29,657112,364
112,364
027,748
4,994
7,659
1,680
7,873
148
5,318
74
84,616
169,698
3.8%
19,848130,696
121,299
9,396
26,666
6,446
8,158
1,790
7,784
147
2,338
0
104,029
207,491
4.6%
20,02872,27270,0372,234
27,089
4,876
8,026
1,211
7,043
141
5,790
0
45,182
90,613
2.7%
17,48791,35991,359030,422
4,954
9,955
1,377
6,948
140
7,046
0
60,936
121,540
3.6%
17,821

83,931
83,9310
31,131
4,477
6,851
1,279
13,616146
4,759
052,800105,890
3.7%
10,284

90,67590,675034,530
5,031
8,809
1,364
13,467124
5,732
056,145111,984
3.9%
10,935

0

0

0

1,466

0

0

0

2,200

0

0

553

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

51(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.

Portfolio Performance Summary (4)(15th-16th Fiscal Period Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Profits from property-related activities (*2)

Property Management Company
Number of operating days

(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

Daiwa Onarimon

Shinjuku Maynds Tower

SHIBUYA EDGE

Daiwa Kodenmacho

Daiwa Jimbocho

Daiwa Nishishimbashi

Daiwa Kudan

13,860133,800
5,900
2,460
4,150
5,000
4,000
15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period
13,597
13,571130,907
130,627
5,792
5,777
2,429
2,425
4,121
4,103
5,037
4,997
3,937
3,913
13,30013,600113,000
113,000
4,040
4,260
1,960
1,980
2,780
2,860
4,710
4,710
2,830
2,920
100.0
100.0
94.9
95.7
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
5.45
5.45
6.42
6.42
3.14
3.14
7.71
7.71
5.58
5.58
6.76
6.76
7.96
7.96
Mitsui Fudosan Building
Mitsui Fudosan Building
Xymax Properties
Xymax Properties
Xymax Properties
Property Partners
Xymax Properties
Management
Management
182
183
182
183
182
183
182
183
182
183
182
183
182
183
350,802350,652
150
76,068
12,69924,391
3,508
33,677434
1,357
0
274,734
550,979
4.1%
29,545355,233
355,233
093,934
12,60429,892
3,554
33,659433
13,7890261,299
521,170
3.8%
29,672

2,337,137
2,285,878
51,258808,970
155,035
269,350
15,732
253,706
3,987
106,439
4,718
1,528,167
3,064,731
2.3%
365,375

2,337,670
2,337,660
10758,277
145,300
308,690
16,356247,226
3,947
29,0577,700
1,579,392
3,150,154
2.4%
367,976108,956
108,956
0
20,043
4,217
6,583
1,589
7,319
110
222
0
88,913
178,315
3.1%
16,462

76,54576,295250
26,720
9,931
7,448
1,273
7,272
110
684
0
49,82599,379
1.7%
16,541

59,201
59,2010
14,323
2,793
4,684
1,200
3,632
86
1,103
822
44,87890,0033.7%
8,387

62,41062,410021,860
2,838
5,583
1,200
3,595
86
7,733
822
40,55080,8793.3%
8,465

53,64053,640028,102
7,751
7,367
1,200
10,784139
621
238
25,53751,216
1.2%
24,46389,83889,838054,331
5,488
9,979
1,200
10,647
141
26,873035,50770,8201.7%
24,604

120,566
120,566047,01917,346
10,5591,617
15,806256
1,431
373,546
147,497
2.9%
50,560143,984
143,984
045,685
13,424
13,701
1,921
15,650255
730
398,298196,060
3.9%
40,071

51,07251,072
0
24,069
3,997
7,334
1,200
8,550
119
2,867
0
27,00354,154
1.4%
24,42476,00876,0080
23,798
4,056
9,297
1,294
8,464
120
565
0
52,209104,134
2.7%
24,3280049,714

0

0

250

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

52(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.

Portfolio Performance Summary (5)(15th-16th Fiscal Period Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Profits from property-related activities (*2)

Property Management Company
Number of operating days

(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

Daiwa Kayabacho Build.

Jimbocho Place

Nihonbashi Hongokucho
Tosei Build

E Space Tower

Tosen Dogenzaka Daini
Building

shinyon curumu (*8)

Akasaka Business Place

5,600
3,550
24,000
1,721
9,650
4,500
9,200
15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period
5,535
5,507
3,567
3,547
23,98023,923
1,719
1,706
9,983
9,969
4,539
9,290
6,300
6,460
3,670
3,760
26,50027,1001,830
1,850
10,10010,3004,750
10,400
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
55.9
67.5
100.0
95.6
5.58
5.58
6.13
6.13
5.78
5.78
6.93
6.93
6.50
6.50
5.89
9.81
Mitsui Fudosan Building
Property Partners
Xymax Properties
MS Building Support
MS Building Support
Best Property
Xymax Properties
Management
182
183
182
183
182
183
182
183
180
183
151
114
- (*6)- (*6)
107,665
689,373770,024
60,97561,352
117,318
149,999
121,418
197,006
111,999- (*6)- (*6)
107,665
682,517770,024
60,97561,352
117,318
123,800
121,418
196,995
111,999- (*6)- (*6)
0
6,856
0
0
0
0
26,1990
110- (*6)- (*6)
26,990161,727
180,072
7,790
12,43028,202
72,40922,055
48,911
24,320- (*6)- (*6)
5,754
48,77940,8423,008
2,859
21,02938,307
8,413
18,858
5,762- (*6)- (*6)
9,186
45,302
63,924
3,490
3,853
5,750
14,675
10,94225,553
7,269- (*6)- (*6)
1,614
6,937
7,594
1,200
1,200
1,187
1,200
1,427
2,637
1,722
- (*6)- (*6)
9,348
57,36956,47954,433
117,7658
13
9,433- (*6)- (*6)
133
700
698
85
83
234
349
189
288
133
- (*6)- (*6)
953
2,521
10,172
0
0
0
100
1,073
1,560
0
- (*6)- (*6)
0
116
361
0
0
0
12
0
0
0
148,155
148,331
87,67880,675
527,646589,951
53,18448,921
89,116
77,58999,363148,095
297,124
295,851
175,839
160,910 1,058,192 1,176,679
106,662
97,575
180,707
154,754240,183
474,165
5.4%
5.4%
4.9%
4.5%
4.4%
4.9%
6.2%
5.7%
1.8%
1.6%
5.3%
5.1%
- (*6)- (*6)
19,70863,48963,72013,157
13,16024,00335,14914,857
14,637
19,708- (*6)- (*6)

0

0

0

0

0

0

0

0

0

0

- (*6)- (*6)

0

0

0

0

0

0

0

0

0

0

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

53

Portfolio Performance Summary (6)(15th-16th Fiscal Period Results by Property)
Property Name

Acquisition Price (million yen)

Profits from property-related activities (*2)

Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Nisseki Shibuya Building

Daiwa Kinshicho

Daiwa Higashi-Ikebukuro

Benex S-3

Daiwa Shinagawa North

Kamiooka Eye Mark
Building

West Park Osaki

4,950
7,710
1,650
2,000
7,000
3,653
2,958
15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period 15th Period 16th Period
7,211
3,395
3,396
2,784
2,773
4,375
4,344
7,421
7,389
1,704
1,695
2,074
2,057
7,280
3,320
3,340
3,480
3,330
3,260
3,290
5,820
5,890
1,930
1,980
2,040
2,070
100.0
100.0
100.0
100.0
100.0
98.2
93.6
100.0
100.0
100.0
100.0
100.0
92.2
6.60
7.42
7.42
5.56
5.56
5.66
5.66
5.56
5.56
10.93
10.93
12.30
12.30

Property Management Company

Japan Property Solution

Number of operating days65
- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
59,141
332,103
4.6%- (*6)

182

183

182

183

182

183

182

183

182

183

92

183

129,646
129,646
042,203
11,40912,481
2,034
11,984268
4,026
087,443
175,367
5.2%
28,674

134,187
134,187
057,711
11,607
15,936
1,953
11,970265
15,977
076,476
152,535
4.5%
29,031

132,296
132,296
038,39810,043
16,128
1,986
8,794
255
1,190
0
93,898
188,312
6.8%
22,175

137,934
137,934044,09912,674
19,891
2,094
8,773
253
412
0
93,834
187,156
6.7%
22,138145,592
145,592
059,561
18,371
18,764
2,195
15,269397
4,563
086,030172,532
3.9%
39,774

149,189
149,189
058,507
16,62821,504
2,247
15,242394
2,489
090,682
180,868
4.2%
39,544

176,375
176,375
051,163
12,63915,052
2,662
18,714378
1,714
0
125,211251,110
3.4%
32,690191,275
191,275
089,263
12,21019,172
2,865
18,628376
36,0009102,012203,467
2.8%
32,78957,40957,409
0
7,983
2,634
3,655
1,200
4
75
413
0
49,42599,123
5.8%
10,93358,81458,8140
14,582
2,497
4,530
1,200
3,949
74
2,331
0
44,232
88,222
5.2%
10,95740,76840,768
0
6,241
3,344
2,068
740
16
71
0
0
34,527
136,982
6.6%
8,852

80,65180,56685
11,845
4,562
5,603
1,200
4
139
336
0
68,805
137,235
6.7%
17,705- (*6)

0

0

0

0

0

0

0

0

0

0

0

85

- (*6)

0

0

0

0

0

0

0

0

0

0

0

0

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

54(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

Best Property

Best Property

Xymax Properties

Best Property

Xymax Properties

Xymax Properties(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request

Portfolio Performance Summary (7)(15th-16th Fiscal Period Results by Property)
Property Name

Daiwa Minami-Senba

Honshu Meieki Building

Total (*6)

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (*1)

Profits from property-related activities (*2)

Property Management Company
Number of operating days

(1) Property-related Revenues
Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Expenses
Administrative Expenses
Utility Charges
Property Management Fees
Property-related Taxes
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (＝(1)-(2)) (*4)
Annualized NOINOI Yield (*5)
Depreciation and Amortization
Proceeds for Restoration and(Refer Repair Workence)
Proceeds from Amortization of
Leasehold and Security Deposits

4,810
5,300
15th Period 16th Period 15th Period 16th Period
4,800
4,777
5,519
5,484
2,860
2,780
6,000
6,370
100.0
100.0
85.4
81.3
11.56
11.56
12.11
12.11
Mitsui Fudosan Building
Xymax Properties
Management
182
183
120
183

332,086
15th Period
324,976
302,51095.0
5.53

352,786
16th Period
345,046
328,290
96.3
5.62

182

183

206,991
7,615,074
206,991
7,519,690
095,38342,501
2,216,543
23,836499,447
15,428678,874
2,474
92,066
0671,598440
12,101
320
215,111047,344
164,490
5,398,530
328,081 11,011,620
6.0%
3.4%
34,721
1,280,206

8,432,069
8,367,068
65,0012,539,091
552,650
877,331
102,181692,430
12,927251,073
50,496
5,892,977
12,188,679
3.5%
1,328,912

116,990
114,133
2,857
39,965
11,9189,848
1,713
10,874254
5,357
077,025
154,474
3.2%
31,406

120,915
120,915038,451
11,69813,557
1,643
10,603252696
082,464
164,477
3.4%
31,541

146,830
146,830035,67920,136
6,574
1,752
17
296
6,890
11
111,151
338,085
6.1%
23,135

2,857

0

0

0

69,387

7,356

0

0

0

0

0

1,800

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared for the PML for 16th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (Dec. 2013).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Property-related Taxes for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI yield is calculated by dividing annualized NOI in (3) on the table by the book value, and the total is calculated by subtracting other operating expenses related to the Investment Corporation.
(*6) The portfolio total in (2) property-related expenses does not include costs related to the Investment Corporation.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

55

Organization of the Asset Management Company█ Organization Chart█ Company Overview
Board of Directors and Auditors
President andRepresentative
Director

Shareholders’ Meeting
Auditors

Yoshiki Nishigaki
Vice President and(Business development
Representative
director・Head of Private
Director
Fund Management)

Compliance Committee
Investment Committee

Compliance Officer
Representative Director
Internal Control Office

Asset Management Department

Office Investment Team

Office Management Team Planning and formulation of Planning and formulation ofpolicies concerning DOI’s (*)
investment
 Asset acquisition and disposal for
DOI’s investment managementbusiness
Residential Investment Team Planning and formulation ofpolicies concerning DRP’s(**)
investment
 Asset acquisition and disposal for
DRP’s investment managementbusiness
Healthcare Investment Team Planning and formulation ofpolicies concerning NHI’s (***)
investments
 Asset acquisition and disposal for
assets NHI’s investment
management businessAkira Yamanouchi

Vice President andYuji Shinotsuka
Representative(Head of Business Planning)
Director

Board of Directors

Investment Planning Department(As of January 8, 2014)

policies concerning the leasing,management and disposal of
DOI’s assets
Residential Management Team Planning and formulation ofpolicies concerning the leasing,management and disposal of
DRP’s assets
Healthcare Investment Team Planning and formulation ofpolicies concerning the leasing,management and disposal of
NHI’s assets, etc.
Management Planning Team Budget and performance

Director

Naoyuki Owa(Head of Administration)

Director (nonexecutive)

Toshihiro Matsui

Director (nonexecutive)

Mikita Komatsu

Auditor (nonexecutive

Masaru Shirataki

Marketing Department
 Marketing activities for the AssetManagement Company’s
entrustment business Investor marketing for private
placement products
 Disclosure, IR and public relations
for the investment corporations
 Operation of the investment
corporations’ general meeting ofunitholders
 Fund procurement (investment
units) for the investment
corporations

Company Name
Address
Established
Capitalization
Representative Director
Directors
Employees
Registered Financial
Instruments Firm

Daiwa Real Estate Asset Management Co. Ltd
6-2-1 Ginza, Chuo-ku, Tokyo
October 21, 2004
200 million yen
Akira Yamanouchi
7 (4 executive, 2 non-executive, 1 auditor)
51
No. 355 (Financial Instruments), Director, Kanto
Local Finance Bureau

Building Lots and Buildings
Transaction Business
LicenseNo. (2)-83920, Governor of Tokyo

Discretionary Agent for Real No. 34, Minister of Land, Infrastructure, Transport
Estate Transaction Approval and Tourism

Association Membership

Finance Department
Finance Team Fund procurement (investment

corporation bonds), ALM, surplus
management and fundmanagement for the Investment
Corporation
Accounting Team Financial results and accounting,cash allotment, accounting audit,
budget Accounting and finance of theAsset Manager
Management Team Management for the customers of

the “Private Fund Management
Dept.”

 Issuance and underwriting ofGeneral Administrative
Department
 Management of executive
officers’ meeting for theInvestment Corporation
 Operation of the general meetingof shareholders, the board of
directors and committees of theAsset Manager
 Revision/elimination ofregulations, management of
documents, information
management and systems
management
 Licensing, approval, registration
and reporting stipulated by laws
and regulations
 Litigation and handling ofcomplaints
 Human resources and labor
service

A member of the Investment Trusts Association ofJapan
A member of Japan Securities Investment Advisers
Association

Business Planning
Department
 Analysis of real estate market,
retail industry trends and the realestate investment trust market
 Analysis and management of theinvestment corporations’managerial issues
 Development and revision of theinvestment corporations’ annual
asset management plans andmedium-term asset managementplans Development and revision of theinvestment corporations’
Investment Guidelines
 Provision of new businesses General risk management of theInvestment Corporation

Private Fund Management
Department
Advisory Team Advisory concerning

managements for customers’
assetsOperational Team Formulation of investment policies

for discretionary funds

 Acquisition, disposal, leasing andmanagement of assets of
discretionary funds

DRP’s investment securities

management for the investment
corporations’ portfolios

Construction Management Team(*)

DOI stands for Daiwa Office Investment Corporation.

(**) DRP
for Daiwa
PrivateInvestment
 Formulation and implementation
This document is not material disclosed in compliance with the Financial Instruments
andstands
Exchange
Law orResidential
any regulationof similar
nature, Corporation.

of construction planning of(***) NHI advises
stands reader
for Nippon
Healthcare
Investment
northeis it intended for the purposes of solicitation. Daiwa Office Investment Corporation
to makeinvestment
decisions Corporation.
at their own judgment.
investment corporations’ assets

56Collaboration with Daiwa Securities Group
Daiwa Securities Group Inc.
RetailGlobal Markets

Global IB

Daiwa Securities

Asset Management

Investment

OthersDaiwa Asset

Daiwa Corporate
Investment

Daiwa Next Bank, Ltd.

Management

Daiwa SB Investments

Daiwa Securities
SMBC Principal
Investments

Daiwa Real Estate
Asset Management

Daiwa PI Partners

Collaboration
Wealth Management

Sourcing Properties
Tenants Leasing
Finance

Fee

Whollyowned

Daiwa Institute of
Research Holdings
Daiwa Institute of
Research
DIR Business
Innovations
Daiwa Securities
Business Center Co. Ltd.

Daiwa Property Co., Ltd.

Branch Office

IR Activities (Domestic and Overseas)
Real Estate Agency Business (Reinforce Leasing)

Real Estate Agency Business (Reinforce Leasing)
Sourcing Properties and Tenants LeasingThis document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

57

Competitive Edge
█ Establish highly-transparent business structure Strictly control conflicts of interest with sponsor
 Introduce financial institutions’ rigorous compliance framework
 Ensure high transparency and establish disciplined investment process█ Expand network of collaboration with the Daiwa Securities Group Remarkably expand financing capacity by capitalizing on the credit capability of the Daiwa Securities Group Reinforce leasing activities by capitalizing on the network of the Daiwa Securities Group Reinforce sourcing activities by capitalizing on the network of the Daiwa Securities Group█ Secure well-experienced, highly-professional human resources Develop team of outstanding professional staff by capitalizing on the human resources of the Daiwa Securities Group Employ excellent human resources from outside by drawing on the Daiwa Securities Group’s brand power Increase number of employees with a high level of motivation to challenge new business stages

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

58This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises reader to make investment decisions at their own judgment.

59