[For Information Purpose Only
The Japanese language press release should be referred to as the original.]
October 25, 2023
To All Concerned Parties
Name of REIT Issuer:
Invincible Investment Corporation
Naoki Fukuda, Executive Director(Securities Code: 8963)
Asset Manager:
Consonant Investment Management Co., Ltd.
Naoki Fukuda, President & CEO
Contact: Jun Komo
General Manager of Planning Department(Tel. +81-3-5411-2731)

Performance Update for September 2023
Invincible Investment Corporation (“INV”) hereby announces its monthly performance.
1. Overall Performance of the Entire Portfolio
The hotel portfolio performance continues to show a recovery trend. ADR for both domestic
and overseas hotels continue to exceed the same month in 2019, while occupancy rate
remains below the same month in 2019. The overall portfolio NOI1,2 for September 2023
increased by 74.0% year-over-year to JPY 1.6 billion, or 7.7% below the same portfolio’s
NOI in September 2019 prior to the COVID-19 pandemic, and decreased by 4.3% on a
cumulative basis from July to September 2023 compared to the same period in 2019.
The following are the details by segment.
2. Hotel Assets Overview(1) Domestic Hotels
As for the domestic hotel portfolio3 performance for the month of September 2023, theoccupancy rate increased by 9.1pt, ADR increased by 29.1%, and RevPAR increased by
45.1% compared to September 2022, while the occupancy rate decreased by 5.6pt, ADR
increased by 17.2%, and RevPAR increased by 9.7% compared to September 2019. The
NOI in September 2023 increased by 95.4% compared to September 2022, or decreased
by 6.2% compared to September 2019.
During the month of September 2023, both domestic and inbound demand continued torecover, and the occupancy rate reached 82.8%. The total number of visitor arrivals toJapan (estimated) announced by the Japan National Tourism Organization (JNTO) for
This English language notice is a translation of the Japanese-language notice released on October 25, 2023 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are
given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy
between this translation and the Japanese original, the latter shall prevail in all respects.

1September 2023 was 2.18 million (3.9% below the September 2019 level) which is almost
the same level as before the Covid-19 pandemic, showing a 27.8% increase in the numberof visitors from countries other than China compared to September 2019 prior to the COVID19 pandemic.
We are forecasting that the October 2023 RevPAR will be approximately 34% higher thanthe October 2022 figure, or approximately 10% higher than the October 2019 figure as oftoday.
Table below shows the KPIs for each area of the 75 domestic hotels portfolio3.
Area

Occupancy Rate4

ADR (JPY)5

RevPAR (JPY)6Tokyo 23 Wards

86.7%

9,460

8,200

Greater Tokyo (ex. Tokyo 23 Wards)

81.2%

13,767

11,185

Chubu

80.6%

10,688

8,613

Kansai

74.8%

8,651

6,470

Kyushu81.9%

10,7388,800

Hokkaido83.1%

13,75011,428Other domestic

86.8%

16,034

13,916

Total

82.8%

11,6199,616(2) Cayman Hotels
The occupancy rate for the Cayman Hotels (Westin Grand Cayman Seven Mile Beach &Spa and Sunshine Suites Resort) in September 2023 was 38.0%, an increase of 7.3pt
compared to the same month of the previous year, or 4.1pt lower than the September 2019figure. ADR was USD 252, or 28.6% higher than the September 2019 figure and RevPAR
was USD 96, or 16.2% higher than the September 2019 figure, both ADR and RevPAR
continue to exceed the 2019 level. The NOI1 for September 2023 was minus JPY 56 million,slightly below the NOI in September 2022 and in September 2019, due to cost increases.
We are forecasting that the occupancy rate for the Cayman Hotels in October 2023 will be60.1%, or 3.1pt lower than the October 2019 figure, ADR will be USD 288, or 20.2% higher
than the October 2019 figure, and RevPAR will be USD 173, or 14.4% higher than theOctober 2019 figure as of today.
3. Residential Assets Overview
The residential portfolio7 in-place occupancy rate as of the end of September 2023 was
96.3%, which increased by 0.4pt compared to the end of the previous month, and decreased
by 0.1pt year-over-year.
The average in-place rent per tsubo slightly increased by 0.0% year-over-year. The NOI8
for the residential portfolio in September 2023 decreased by 2.0% year-over-year.
This English language notice is a translation of the Japanese-language notice released on October 25, 2023 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are
given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy
between this translation and the Japanese original, the latter shall prevail in all respects.

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Rents, compared with those based on the immediately preceding leases, increased by 1.5%
for new leases, increased by 1.2% for renewal leases, and increased by 1.4% for new andrenewal leases combined for September 2023. INV achieved a rent increase on 44.8% oflease contract renewals, and the retention rate for the existing tenants was 76.8% for theSeptember 2023.
4. Performance* The “Difference” in the table below indicates the increase / decrease in value for the monthof September 2023 or cumulative figures from July to September 2023 compared to thecorresponding value in 2022 or 2019. Hereinafter the same.
(1) 75 Domestic Hotel Properties3

Occupancy
Rate4
ADR(JPY)5
RevPAR(JPY)6Gross Revenue(JPY million)9

Sep.

Sep.
2023

Sep.
2022

Difference

82.8%

73.6%

+9.1pt88.4%-5.6pt

84.0%

73.4%

11,6199,000+29.1%

9,917 +17.2%

12,797

9,745 +31.3%

11,178 +14.5%

9,616

6,628

+45.1%

8,762

+9.7%

10,746

7,155 +50.2%

10,056

+6.9%

5,958

4,304

+38.4%

5,696+4.6%

19,932

13,624 +46.3%

19,036

+4.7%

Sep.
2023

Sep.
2022

Difference

38.0%

30.7%

+7.3pt

252

261

96
2,826

2019

Difference

Jul.-Sep. Jul.-Sep.
Jul.-Sep.
Difference
Difference
2023
2022
2019+10.6pt

90.0%-6.0pt(2) Cayman Hotels

Occupancy
Rate4
ADR(USD)5
RevPAR(USD)6Gross Revenue(USD thousand)

Sep.
2019

Difference

42.1%

Jul.-Sep. Jul.-Sep.
Jul.-Sep.
Difference
Difference
2023
2022
2019

-4.1pt

56.8%

-3.1%

196 +28.6%

343

303 +13.4%

263 +30.4%

80+20.0%

83 +16.2%

195

129 +51.4%

178

2,746+2.9%

16,705

12,403 +34.7%

2,527+11.8%

42.6%+14.3pt

67.8%-10.9pt+9.4%

14,894 +12.2%(3) 41 Residential Properties7

Occupancy Rate
Rent per Tsubo(JPY)End ofSep. 2023

End ofSep. 2022

Difference

Jul.- Sep.
2023

Jul.- Sep.
2022

Difference

96.3%

96.4%

-0.1pt

96.0%

96.3%

-0.3pt

9,168

9,165

+0.0%

9,199

9,170

+0.3%

This English language notice is a translation of the Japanese-language notice released on October 25, 2023 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are
given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy
between this translation and the Japanese original, the latter shall prevail in all respects.

35. Portfolio NOI1,2,8(JPY Million)
Tokyo 23 Wards
Greater TokyoSep.
2023

Sep.
2022

Difference

Sep.
2019

Difference

Jul.-Jul.-

Sep.
2023

Sep.
2022

444

76 +480.2%

385+15.2%

1,415

163

102

+59.9%

294-44.5%

616Greater Tokyo Subtotal

607

178 +239.9%

680-10.7%

2,032

Chubu

210

86 +143.8%

202+3.9%

712

382

Kansai113

18 +512.5%

95+19.1%

Kyushu117

104+12.2%

99

Hokkaido285

170+67.9%

Other domestic

161

207

Domestic Hotel- Subtotal

1,496

Residential

Jul.Difference

Sep.
2019

Difference

359 +293.4%

1,297

+9.1%

412

+49.5%

1,032-40.2%

772 +163.2%

2,329-12.7%+86.3%

773

-7.9%

344

81 +322.8%

385-10.7%+17.9%

650

454+43.2%

606

+7.2%

272

+4.7%

1,589

758 +109.5%

1,423+11.7%-22.2%

244-33.9%

952

901

+5.6%

1,057

-10.0%

765+95.4%

1,594

-6.2%

6,281

3,350

+87.5%

6,576

-4.5%

184

188

-2.0%

183

+0.5%

558

561

-0.5%

551

+1.3%

Commercial

1212-0.0%12-0.3%

38

38

-0.2%

38

-0.6%

Domestic Asset-Subtotal

1,693

967

+75.1%

1,791

-5.4%

6,8783,950+74.1%

7,166-4.0%

Overseas-56-25－-17－389

266+46.4%

428-8.9%

Total

1,637941+74.0%

1,773

-7.7%

7,268

4,217

+72.4%

7,595

-4.3%

(ex. Tokyo 23 Wards)(Note 1) Based on all properties held as of the beginning of the December 2023 fiscal period, excluding nine hotels with fixed-rentlease agreements. Nine hotels with fixed-rent lease agreements are D29 Super Hotel Shinbashi/ Karasumoriguchi, D33
Comfort Hotel Toyama, D36 Super Hotel Tokyo-JR Tachikawa Kitaguchi, D37 Super Hotel JR Ueno-iriyaguchi, D39Comfort Hotel Kurosaki, D40 Comfort Hotel Maebashi, D41 Comfort Hotel Tsubame-Sanjo, D42 Comfort Hotel Kitami,
and D48 Takamatsu Tokyu REI Hotel. Of nine hotels that are excluded, “D48 Takamatsu Tokyu REI Hotel” has changed
its lease agreement with its major tenant, TOKYU HOTELS CO., LTD., to “fixed rent plus variable rent” effective April 25,2023, but in consideration of the continuity of disclosed data and other factors, the hotel will continue to be treated as ahotel with fixed-rent lease agreement for the time being, and will remain excluded. NOI includes a simulated amount ofdividend income from Kingdom TMK (the “TMK”) that owns Sheraton Grande Tokyo Bay Hotel as an underlying asset.
The fiscal periods of the TMK are semi-annual periods from April 1 to September 30 and from October 1 to March 31 every
year, and INV will receive the dividend within three months from the end of each semi-annual fiscal period of the TMK.
Since INV does not receive a dividend from the TMK on a monthly basis, the amount of dividend INV receives from theTMK for each month is a simulated figure, which is calculated by deducting (i) simulated expenses such as operating
expense of the TMK and the interest of debt (calculated dividing the budget of the TMK for the fiscal period that includes
the relevant month by the number of months in such fiscal period) from (ii) NOI based on the performance of Sheraton
Grande Tokyo Bay Hotel in the month which is three months before the target month for this performance disclosure andmultiplied by INV’s ownership ratio of the preferred equity interest in the TMK (49.0%). However, the TMK has acumulative loss due to the decline in profits and has been in a situation where it cannot pay dividends. The TMK has
temporarily been extending its six-month accounting period to a 12-month accounting period in order to curb the costs ofsettlement of accounts and did not carry out the six-month settlement in INV’s fiscal period ended December 2022. The
TMK plans to restore to the original six-month settlement once the cumulative loss is resolved and the TMK is expected
to be able to resume payment of dividends. Since dividend income from the TMK is not recorded unless the cumulativeloss is eliminated, a discrepancy may arise between the simulated amount of dividend income and the dividend income
from the TMK in the process of eliminating the abovementioned cumulative loss. The revenue from the Cayman Hotels
is calculated at the exchange rate of US$1 to ¥110. Furthermore, NOI is provisional figure and subject to change when
it is determined at financial closing; hereinafter the same.
(Note 2) NOI figures before acquisition by INV is based on the data obtained from third-parties including previous owners, and aresubject to change caused by the adjustments based on differences in accounting treatments, since it is difficult to adjust
them due to the timing even if the figures are based on actual performance; hereinafter the same.
(Note 3) Based on 75 hotel properties; of the 84 domestic hotel properties (including Sheraton Grande Tokyo Bay Hotel, theunderlying asset of preferred equity interest held by INV) held as of the beginning of the December 2023 fiscal period,nine hotels with fixed-rent lease agreements are excluded. As for Sheraton Grande Tokyo Bay hotel, NOI is based on
the figure for the month which is three months prior to the target month for this performance disclosure as INV will receive
the dividend from the TMK within three months of each fiscal period end for the TMK as described above. However, inconsideration of seasonality, figures other than NOI in the table above are based on the figures for June 2023; hereinafter
the same.
(Note 4) “Occupancy Rate” for hotel portfolio is calculated using the following formula:room occupancy rate = total number of rooms occupied during the relevant period ÷ (aggregate number of rooms during
the relevant period x number of business days during target period)
This English language notice is a translation of the Japanese-language notice released on October 25, 2023 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are
given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy
between this translation and the Japanese original, the latter shall prevail in all respects.

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(Note 5) “ADR,” or Average Daily Rate, is the value of the total room sales for a certain period (excluding service fees) divided by
the total number of sold rooms for the same period.
(Note 6) “RevPAR,” or Revenues Per Available Room, is calculated by dividing the total room sales for a certain period by theaggregate number of rooms for the same period (rooms x number of days), and is the same as product of room occupancy
rate and ADR.
(Note 7) Based on 41 properties held by INV as of the beginning of the December 2023 fiscal period; hereinafter the same.
(Note 8) NOI excludes one-off insurance-related revenues and expenses; hereinafter the same.
(Note 9) Gross Revenue of Sheraton Grande Tokyo Bay Hotel used in the table is the whole gross revenue of such hotel, regardlessof INV’s ownership ratio of the preferred equity interest in the TMK (49.0%).
(Note 10) Percentages are rounded to one decimal place. ADR, RevPAR and Rent per Tsubo are rounded to the nearest yen andGross Revenue is rounded down to the nearest million yen.
(Note 11) For the details of performance for each hotel asset, please visit INV’s website:
https://www.invincible-inv.co.jp/en/portfolio/hotel.html

Website of INV: https://www.invincible-inv.co.jp/en/

This English language notice is a translation of the Japanese-language notice released on October 25, 2023 and was prepared solely for the convenience of, and referenceby, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own
investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances aregiven regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy
between this translation and the Japanese original, the latter shall prevail in all respects.

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