MIRAI Corporation

Sustainability ReportAugust 2024

Asset Management Company: Mitsui Bussan & IDERA Partners Co., Ltd.

Index
Editorial Policy .................................................................................................. 1
Overview of MIRAI............................................................................................. 3(1)

Philosophy of MIRAI.............................................................................................................. 3(2)

Organization ......................................................................................................................... 4(3)

Features of MIRAI ................................................................................................................. 5(4)

Sponsors .............................................................................................................................. 6

Sustainability Policy and Management Framework ..................................................... 7(1)

Sustainability Policy ............................................................................................................... 7(2)

Sustainability Management Framework ....................................................................................... 9(3)

Stakeholder Engagement........................................................................................................ 11(4)

Materiality (Material Issues) & SDGs ....................................................................................... 12(5)

Participation in Initiatives/ Third-party Accreditation .................................................................... 13

Environment.................................................................................................... 14(1)

Target of Environmental Performance ....................................................................................... 14(2)

Environmental Initiatives in Real Estate Investment and Management .............................................. 16(3)

Improvement of Environmental Performance Through Value Enhancement and Conversion ................... 19(4)

Initiatives for Climate Change ................................................................................................. 21(5)

Acquisition of Environmental Certification ............................................................................... 27(6)

Green Finance .................................................................................................................... 29

Society .......................................................................................................... 32(1)

Provide Safe and Comfortable Space for Tenants ........................................................................ 32(2)

Initiatives for Sustainable Supply Chain ................................................................................... 35(3)

Community Support Activities ............................................................................................... 37(4)

Initiatives for Employees ...................................................................................................... 39(5)

Benefits and Welfare ............................................................................................................. 41(6)

Employee Data ................................................................................................................... 43

Governance .................................................................................................... 44(1)

Overview of the Organization ................................................................................................ 44(2)

Efforts against Conflicts of Interest .......................................................................................... 48(3)Compliance Structure ........................................................................................................... 50(4)Disclosure ......................................................................................................................... 55(5)

Governance Regarding Sponsors............................................................................................. 56

Attached Materials: GRI Standards Reference Table / Assurance Statement

MIRAI Corporation Sustainability Report 2024

Editorial Policy

Editorial Policy

The purpose of this material is to provide information to promote understanding of
MIRAI Corporation (hereinafter “MIRAI”) and Mitsui Bussan & IDERA Partners Co.,
Ltd. (hereinafter the “Asset Manager”), the asset management company of MIRAI's
efforts to realize a sustainable society and to promote constructive dialogue(engagement) with stakeholders -toward the resolution of ESG issues faced by MIRAI.
In addition, this material has been prepared with reference to the GRI Standards.

Scope of Reporting

MIRAI Corporation
Mitsui Bussan & IDERA Partners Co., Ltd.
(Efforts of the sponsor group may be referred to as information in some sections.)

Reporting Period (Note)

April 1, 2023-March 31, 2024

Publishing Cycle

Published annually around August

Date of Publication

August 30, 2024
*Previous published date: October 25, 2023

Contact us

Mitsui Bussan & IDERA Partners Co., Ltd.
Finance & Planning Div.
TEL: 03-6632-5960（IR）(Note) Some contents may include information outside the reporting period.

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MIRAI Corporation Sustainability Report 2024

Disclaimer⚫

This material is provided for your information to promote understanding of MIRAI and the asset manager's efforts
to realize a sustainable society and to promote constructive dialogue (engagement) with stakeholders -toward theresolution of ESG issues faced by MIRAI and does not constitute a solicitation to buy the investment securities
of MIRAI or to conclude any other financial instrument transaction contract.

⚫

Information provided herein does not constitute any of the disclosure documents or performance reports requiredby the Financial Instruments and Exchange Act or the Act on Investment Trusts and Investment Corporations orby the Securities Listing Regulations of the Tokyo Stock Exchange.

⚫

This material contains current plans, outlook, and strategy of MIRAI and the Asset Manager which are forwardlooking statements. These forward-looking statements are based on expectations and assumptions formulated by
MIRAI and the Asset Manager from the information available at the time of publication and are susceptible tovarious risks and uncertainties. The actual result may therefore vary materially from those expressed in forwardlooking statements and hence the forward-looking statements are not to be fully relied on.

⚫

This material is to be read and used on your own responsibility. MIRAI and related persons involved in the
preparation and publication of this material will not bear any responsibility for any damage arising from the useof this material (whether direct or indirect, and regardless of the cause thereof).

⚫

While every effort has been made to avoid errors and omissions regarding the information presented in thismaterial, the material has been created as an easy reference, and the presented information may containinaccuracies or misprints.

⚫
⚫

MIRAI bears no responsibility for the accuracy. This material is subject to change/discontinuation without notice.
MIRAI is not obliged to update or announce any of the information contained in this material (including forwardlooking statements).

⚫

MIRAI holds the copyrights to the information appearing in this material. Copying, altering, publishing,
distributing, appropriating, or displaying this information or using it for commercial purposes without the priorapproval of MIRAI is prohibited. Also, trademarks (trademarks, logos, and service marks) related to MIRAI
appearing in this material are owned by MIRAI, and copying, altering, publishing, distributing, appropriating, or
reproducing such trademarks or using them for commercial purposes without the permission of MIRAI isprohibited.

⚫

This material is the English translation of the announcement in Japanese on MIRAI’s website. However, noassurance or warranties are given for the completeness or accuracy of this English translation.

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MIRAI Corporation Sustainability Report 2024

Overview of MIRAI(1)

Philosophy of MIRAIMIRAI aims to increase unitholders' value through investment and management in wide asset classes by maximizing
synergies of combined strength in respective fields of Mitsui & Co., Group which is a leading Japanese trading
company and IDERA Capital Management Ltd. which has extensive real estate investment business experience.
In addition, through investment in diverse asset categories combining Mitsui & Co. Group's comprehensive strengthand business knowledge with IDERA's value-adding capability for real estate, MIRAI aims to enhance unitholders’value and play a role in global economic development. These are represented in our philosophy of "MIRAI creates
the future of the world".

＜Top Message＞
Based on our philosophy of “MIRAI creates the future of the world, MIRAI has
been working to improve mid-to long-term unitholders’ value while working on
environmental, social and governance issues to realize a sustainable society.
Although we have faced obstacles that impact the promotion of sustainability suchas heightened geopolitical risk due to conflicts, it does not change the fact that active
ESG promotion remains the core of resilient business strategy. We have put together
this report as a tool to disclose appropriate information on ESG. We hope to deepen
stakeholder engagement and aim for further promotion of ESG through theappropriate information disclosure of this report. We sincerely ask for the continued
MIRAI Corporation
Executive Director
Michio Suganuma

support of stakeholders.

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MIRAI Corporation Sustainability Report 2024

(2)

Organization＜MIRAI＞
Name

MIRAI Corporation

Listing Date

December 2016

Accounting Period

April / October

Address

3-2-1, Nishi-Kanda, Chiyoda-ku, Tokyo, Japan

Sponsor

Mitsui & Co. Asset Management Holdings Ltd.
IDERA Capital Management Ltd.

Officers

Executive director: Michio Suganuma
Supervisory director: Takehiko Negishi / Hidetomo Nishii＜The Asset Manager＞
Name

Mitsui Bussan & IDERA Partners Co., Ltd.

Paid-in capital

200 million yen

Address

3-2-1, Nishi-Kanda, Chiyoda-ku, Tokyo, Japan

Shareholders

Mitsui & Co. Asset Management Holdings Ltd. (50％)
IDERA Capital Management Ltd. (50％)

Management

Representative Director, President: Michio Suganuma

Director, Deputy President and CIO and GM of
Investment & Asset Management Division: Hiroyuki Iwasaki

Director, CFO and GM of Accounting & Administrative
Division: Kunihiro Ueda

Director (part-time): Tamotsu Hagino

Director (part-time): Seiji Takeuchi

Director (part-time): Fumihiko Niwa

Corporate Auditor (part-time): Jun Notoya

Registration& Licenses

Building lots and building transaction business; Tokyo Governor's Office license (2)No.98041
Discretionary transaction agent; Minister of Land, Infrastructure, and Transport
Approval No. 94
Financial Instruments Business Operator (Director of Kanto Finance Bureau (Kinsho)
No.2876)

Membership

The Investment Trusts Association, Japan
The Association for Real Estate Securitization

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MIRAI Corporation Sustainability Report 2024

(3)

Features of MIRAI

While maintaining highly stable Core Assets (office, retail, hotel, residential and logistics facilities) as the core of its
portfolio, MIRAI aims to achieve sustainable improvement in unitholders’ value (distribution per unit = DPU, and net
asset value = NAV) by incorporating Core-plus Assets that aims for profitability improvement while undermanagement and New-Type Assets that are expected to see market expansion in the future into the portfolio to establish
a competitive advantage in the J-REIT sector.

＜As of End of April 2024＞(Note) Based on book value

Ratio by Tenant(based on rent)

Ratio by Asset Type(based on acquisition price)

Ratio by Area(based on acquisition price)(Note) Tenant ratios are calculated based on lease agreements with end-tenants as of the end of April 2024.

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MIRAI Corporation Sustainability Report 2024

(4)

Sponsors＜Mitsui & Co. Asset Management Holdings Ltd.＞
Mitsui & Co. Asset Management Holdings Ltd. holds a position as Mitsui & Co. group’s strategic core company indomestic real estate asset management business and has Mitsui Bussan & IDERA Partners Co., Ltd., the asset manager
of MIRAI Corporation, as well as asset managers of a listed logistics REIT, private REITs and private funds under its
umbrella. It consolidates talent, knowhow, funding and information gathering capabilities of Mitsui & Co. group’s realestate asset management business and has established a structure that allows for speedy business development bytransferring part of the asset management business strategy planning function from Mitsui & Co. It supports further
expansion of MIRAI Corporation leveraging on the foresight of Mitsui & Co.

＜IDERA Capital Management Ltd.＞
Since its foundation in 2001 as MK Capital Management Corporation which preceded it, IDERA Capital Management
Ltd. has been steadily building up track record in real estate asset management business in Japan and has establisheda unique position in the industry through establishment of IDERA Capital Management Ltd. through merger of MK
Capital Management Ltd. and Atlas Partners Japan Ltd. in 2012 and further through capital injection by Chinese
leading conglomerate Fosun Group in 2014. It has strength in creation of real estate value by identifying potential
value of real estate and realizing and maximizing that value to maintain and improve the earning power of real estate.
It supports the growth of MIRAI Corporation through sourcing of assets that has future potential for value growth andmaximizing the value of the portfolio assets.

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MIRAI Corporation Sustainability Report 2024

Sustainability Policy and Management Framework
The Asset Manager formulated its Sustainability Policy in March 2021. In accordance with this basic policy, MIRAI
and the Asset Manager are taking initiatives such as establishing a sustainability promotion system, conducting
stakeholder engagement, identifying materiality, and participating in various initiatives.

(1)

Sustainability Policy

The Asset Manager aims to realize sustainable society and manages MIRAI based on the philosophy that “MIRAI
creates the future of the world”. The Asset Manager believes that it is essential to tackle Environmental, Social andGovernance initiatives (hereinafter the “ESG initiatives”) so as to realize sustainable society, and that the pursuit of
the ESG initiatives will lead to improvement of unitholders’ value. The Asset Manager has also formulated below“Sustainability Policy” and pursues ESG initiatives based on the policy.
1. Conservation of Global Environment Through Environmental Management of the Portfolio
Through internal environmental management structure, The Asset Manager aims to conserve global environment
by appropriately understanding and managing the environmental impact related to the portfolio management. The
Asset Manager takes initiatives towards reduction of greenhouse gas emission, efficient use of resources and energy,saving water and utilizing sustainable water sources, and reduction and proper disposal of waste, etc., in addition
to thoroughly ensuring adherence to the environment related laws.

2. Consideration to Environmental and Social Risks in Asset Management Process
In acquisition due diligence and monitoring following the acquisition, the Asset Manager considers property’s
environmental and social risks such as soil contamination, impact to biodiversity, indoor air quality, equipment andmaterial’s impact to the environment and building safety and its impact to health, etc., and reflects them ininvestment decision making process.
3. Cooperation with External Stakeholders
By developing good relationship through dialogue with external stakeholders such as tenants of assets undermanagement, local communities, property management companies, operators, suppliers and investors, the AssetManager aims to take initiatives to tackle environmental and social issues together with them, while striving for
efficient operation, improved tenant satisfaction, and contribution to development of local communities.
4. Initiatives for the Employees
The Asset Manager provides continuous education and career development opportunities for employees aiming to
improve professional knowledge and capability while also striving to improve knowledge and understanding onsustainability and ESG. Further, with the understanding that employee’s health is an important asset to the AssetManager, the Asset Manager aims to create an office environment whereby each employee can continue to work ina healthy and safe manner.
5. Respect for Human Rights and Diversity, equity and Inclusion (DEI)The Asset Manager does not tolerate human rights infringements such as forced labor, child labor, discriminationand harassment in the business activities and respects basic human rights and labor rights. In addition, the AssetManager respects diversity, equity and inclusion and aims to foster an organizational culture that allows diverse
backgrounds and values to be promoted.
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MIRAI Corporation Sustainability Report 2024

6. Disclosure of ESG Information and Securing Transparency
In order to solidify mutual trust with various stakeholders, the Asset Manager discloses ESG related information
actively and continuously in a timely and appropriate manner, while striving to obtain external evaluations such asenvironmental certifications and participating in ESG related initiatives.
7. Maintaining Compliance
The Asset Manager ensures compliance with laws, fair transaction, appropriate management of information,
prevention of corruption, and prevention of conflict of interest, and conduct the business activity fairly. In addition,
through management training and regular internal audit, the Asset Manager strives to strengthen risk management
and compliance structure.

8. Fiduciary duty and Consideration to Unitholder RightAs an asset management company of a listed investment corporation, the Asset Manager responds appropriately toissues such as prevention of conflict of interest, securing transparency in relations to related party transactions, andconstructive dialogue with the unitholders of MIRAI, and gives considerations to the unitholder right and fulfills
fiduciary duty.

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MIRAI Corporation Sustainability Report 2024

(2)

Sustainability Management Framework

The Asset Manager has established the "Sustainability Committee" to promote ESG initiatives in accordance with the"Sustainability Policy”. The Sustainability Committee is led by the Sustainability Promotion Officer (for all aspects ofsustainability), attended by Executive Directors, General Managers and Compliance Officer. In principle, theSustainability Committee is held at least once every three months to discuss specific ESG-related targets, measures,and various initiatives, while taking into account social conditions and the status of MIRAI's operations. In addition,
the Asset Manager has formulated an "Environmental Management System Operation Manual" and is promoting
efforts necessary to continuously reduce environmental impact through an environmental management system (EMS)
based on the PDCA cycle.

＜Sustainability Management Framework Chart＞＜EMS Image Based on PDCA Cycle＞

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MIRAI Corporation Sustainability Report 2024

＜Chronology of Promotion of Sustainability＞
Date

OutlineDec. 2016“Shinagawa Seaside Parktower” acquired DBJ Green Building Certification

Aug. 2019“Shinjuku Eastside Square” and “Rokko Island DC” acquired DBJ Green Building Certification

Sep. 2020

The Asset Manager is signed PFA21 / The Asset Manager joined “TOKYO Work-Style Reform Declaration”

Oct. 2020“Kawasaki Tech Center” and “Tokyo Front Terrace” acquired DBJ Green Building Certification

Dec. 2020“MI Terrace Nagoya Fushimi” acquired DBJ Green Building Certification

Mar. 2021

The Asset Manager formulated “Sustainability Policy” and established “Sustainability Committee” /MIRAI set GHG and energy targets and began disclosing actual results

Oct. 2021

First Participation in GRESB Real Estate Assessment / MIRAI earned “2 stars” and “Green Star” in the 2021 GRESB Real
Estate Assessment

Oct. 2021

MIRAI established “Green Finance Framework”/MIRAI also received “Green 1(F) rating” in the “JCR Green Finance
Framework Evaluation” of Japan Credit Rating Agency, Ltd.

Nov. 2021

MIRAI implemented first green finance (issued Green Bonds and executed Green Loan)

Apr. 2022“Mi-Nara” acquired DBJ Green Building Certification

Oct. 2022

MIRAI earned “3 stars” (1 rank higher than the previous year) and “Green Star” in the 2022 GRESB Real Estate Assessment /MIRAI reported first the “Sustainability Report”

Feb. 2023

The Asset Manager expressed supports for the TCFD

Mar. 2023

MIRAI started disclosing information of climate change / The Asset Manager joined “TCFD Consortium”

Apr. 2023“BisMiiX Yodoyabashi” acquired DBJ Green Building Certification

Jun. 2023“Ehime Building/Hiroshima” acquired CASBEE Certification for Real Estate

Oct. 2023

MIRAI earned “4 stars” (1 rank higher than the previous year) and “Green Star” in the 2023 GRESB Real Estate Assessment

Dec. 2023“AEON Kasai” acquired CASBEE Certification for Real Estate

Apr. 2024

Mitsui & Co. Asset Management Holdings Group ,including the Asset Manager, agrees with the basic philosophy of PRI andbecame a ratifying institution.

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MIRAI Corporation Sustainability Report 2024

(3)

Stakeholder Engagement

The management of MIRAI is conducted through solidarity with stakeholders. With regards to MIRAI’s interest in its
main business operations, its main stakeholders are unitholders, tenants/business partners, employees, and local
community. MIRAI and the Asset Manager will strive to build a relationship of trust through constructive dialogue(engagement) with stakeholders, and aim to further improve MIRAI's management and sustainability initiatives.

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MIRAI Corporation Sustainability Report 2024

(4)

Materiality (Material Issues) & SDGs

MIRAI and the Asset Manager have identified materiality (material issues) in the management of MIRAI in order torealize a sustainable society as part of the corporate social responsibility, while recognizing the importance ofconsiderations for ESG.

＜Materiality (Material Issue)＞Materiality (Material Issue)

Environment

Society

Key Initiatives

Responding to climate change(reduction of GHG emission
and energy consumption,utilization of renewable energy
etc.)⚫ Setting long-term targets for environmental
performance results⚫ Introduction of energy-efficient equipment⚫ Consideration for an introduction of renewableenergyStructuring a portfolio withminimal environmental impact(reduction of water
consumption and waste,acquisition of environmental
certification etc.)⚫ Promoting acquisition of environmental
certification⚫ Asking stakeholders to cooperate in water
conservation and waste reduction (distributing
sustainability guides, displaying posters, etc.)

Creating a work environmentthat takes into consideration
the health, safety, and comfortof employees⚫ Enhancement of training and support system toobtain qualifications⚫ Establishment of various welfare systems thattake work-life balance into consideration

Consideration for tenants’safety and security⚫ Maintenance of various equipment andimplementation of drills to prepare for largescale disasters at properties owned⚫ Implementation of countermeasures against
COVID-19

Supporting the promotion of
local communities⚫ Sponsorship of local events⚫ Providing venues for various events that support
local communities

Strengthening governancesystem and risk management⚫ Establishment of internal reporting system, etc.
⚫ Conducting regular risk assessments⚫ Thorough awareness of compliance and training
implementation

Promotion of information
disclosure⚫ Disclosure of various operational data
⚫ Enhancement of dialogue with institutional andindividual investors⚫ Use of third-party accreditation (GRESB, etc.)

Governance

Related SDGs

＜Materiality Identification Process＞
STEP1: Selection of Issues to Be Considered
MIRAI and the Asset Manager selected sustainability issues by referring to the SDGs, various guidelines (e.g.,
SASB Standards, GRI Guidelines), and evaluation criteria of ESG rating agencies (e.g., MSCI, FTSE).

STEP2: Evaluating the Importance of Issues
The importance and the priority of each issue was evaluated based on its impact on the management of MIRAI
and the Asset Manager and the expectations of the internal and external stakeholders.

STEP3: Identification of Materiality
Materiality was determined through deliberations at Sustainability Committee and resolutions in accordance withthe decision-making authority.

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MIRAI Corporation Sustainability Report 2024

(5)

Participation in Initiatives/ Third-party Accreditation＜PRI (Principles for Responsible Investment)＞
Mitsui & Co. Asset Management Holdings Group, including the Asset Manager, agrees with the basic philosophy of
PRI and became a ratifying institution in April 2024. （https://www.unpri.org/）＜TCFD (Task Force on Climate-related Financial Disclosures)＞
In February 2023, the Asset Manager expressed supports for the TCFD established by the Financial Stability Board(FSB) to examine how climate-related information should be disclosed, and how should financial institutions respond.
The Asset Manager also joins the TCFD Consortium, an organization of companies in Japan that support the TCFD
Recommendations. （https://www.fsb-tcfd.org/）＜PFA21 (Principles for Financial Action for the 21st Century)＞"PFA21" is a set of action guidelines for Japanese financial institutions that summarizes the responsibilities and roles
necessary for the formation of a sustainable society. The Asset Manager signed PFA21 in September 2020 and iscommitted to responsible investment management through business activities in line with it. In addition, The AssetManagerreports

annuallyon

its

efforts

in

line

with

the

Principles

onwebsiteof

PFA21.

（https://pfa21.jp/document/case-study）＜GRESB＞
GRESB is an annual benchmark assessment to measure ESG performances in the real estate sector and was establishedin 2009 by a major group of European pension funds that led PRI (Principles for Responsible Investment). Currently,
more than 100 global investors use GRESB assessments in their investment decision-making, and several Japanese
investors, including GPIF (Government Pension Investment Fund), use GRESB assessments as reference. MIRAI has
received "4 Star" and "Green Star" ratings in the 2023 evaluation. (https://www.gresb.com/nl-en/）

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MIRAI Corporation Sustainability Report 2024

Environment(1)

Target of Environmental Performance

In accordance with Sustainability Policy, MIRAI has set the following sustainability targets in order to appropriately
identify and manage the environmental impact of real estate management and to conduct management that contributes
to environmental conservation.

＜Main Targets＞◼

Reduce GHG emission intensity of the portfolio by 5% over the next 5 years◼

Reduce energy consumption intensity of the portfolio by 5% over the next 5 years(Note) The target period is from April 2021 to March 2022 as the first year, and from April 2025 to March 2026 as the year to achieve
the target. In addition, from April 2018 to March 2019 is the base year.

＜Performance Data＞(Unit)

2018/4～
2019/3(Base year)

GHG（t-CO2）

24,81546,28147,47546,43347,131[Reference: adjusted by percentage of equity
ownership]（t-CO2）--[32,472][31,227][31,069]

Scope 1（t-CO2）

-

-

997

739

546

[Reference: adjusted by percentage ofequity ownership]（t-CO2）

-

-

[973]

[735]

[542]

Scope 2（t-CO2）--

13,46011,877

11,738[Reference: adjusted by percentage ofequity ownership]（t-CO2）--[9,577][7,948][7,840]

Scope 3（t-CO2）--33,01633,816

34,846[Reference: adjusted by percentage ofequity ownership]（t-CO2）--[21,920][22,542][22,686]

0.11

0.08

0.08

0.08

0.08

Intensity（t-CO2/sqm）

2020/4～2021/3
Actual2021/4～2022/3
Actual2022/4～2023/3
Actual2023/4～2024/3
ActualData Coverage

-

-

100%

100%

100%

100%

Rate of Change (% of Base Year)

-

-

77%

79%

77%

76%

Energy（MWh）68,729114,516

102,388

90,50489,538[Reference: adjusted by percentage of equity
ownership]

（MWh）

-

-

[86,429][81,896][80,737]

Fuel Use

（MWh）

-

-

19,663

18，245

16,768[Reference: adjusted by percentage ofequity ownership]

（MWh）

-

-

[17,799][16,315][14,916]

Other heat Consumption

（MWh）

-

-

6,544

6，306

6,717

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MIRAI Corporation Sustainability Report 2024

(Unit)

2018/4～
2019/3(Base year)

2020/4～2021/3
Actual2021/4～2022/3
Actual2022/4～2023/3
Actual2023/4～2024/3
Actual[Reference: adjusted by percentage ofequity ownership]

（MWh）

-

-

[4,128][3,971][4,196]

Electricity Use

（MWh）

-

-

76,18065,952

66,052[Reference: adjusted by percentage ofequity ownership]

（MWh）

-

-

[64,501][61,608][61,625]

0.22

0.21

0.19

0.17

0.16

Intensity（MWh/sqm）

Data Coverage

-

-

100%

100%

100%

100%

Rate of Change (% of Base Year)

-

-

96%

85%

75%

72%

（MWh）

-

-

22,14430，224

31,956

Renewable Energy

Water

(m3)

176,789

410,089

431,398

493,985

557,377[Reference: adjusted by percentage of equity
ownership]

(m3)

-

-

[340,999][387,005][450,931]

1.24

0.77

0.81

0.93

0.98

Intensity(m3)/sqm）

Data Coverage

-

-

100%

100%

100%

100%

Waste

（t）

-

2,722

3,608

5,179

3,366

[Reference: adjusted by percentage of equity
ownership]

（t）

-

-

[2,834][4,603][2,706]

Recycling Rate

-

-

30%

33%

32%

31%

Data Coverage

-

-

97%

98%

97%

96%

(Note 1) The performance data is from April of each year to March of the following year.
(Note 2) Actual figures are rounded down to the first decimal place, and percentages are rounded to the first decimal place.
(Note 3) The performance data covers properties held as of the end of March each year. Properties that were sold or acquired during theperiod and for which data is difficult to obtain are excluded from the calculations. For properties for which data is available, thedata is adjusted for the holding period.
(Note 4) The emission factors used in the calculations are based on the "List of Calculation Methods and Emission Factors under the
Calculation, Reporting and Publication System" (https://ghg-santeikohyo.env.go.jp/calc) published by the Ministry of theEnvironment.
(Note 5) Intensity=Total consumption / (gross floor * Occupancy rate (annual average))(Note 6) “Energy” excludes consumption of renewable energy.
(Note 7) Some data for the period ending March 31, 2022 - 2024 have received a limited assurance by a third-party organization. The
figures in the assurance report do not include energy data related to Scope 3, etc. and therefore differ from the actual figures
above.

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MIRAI Corporation Sustainability Report 2024

(2)

Environmental Initiatives in Real Estate Investment and Management

MIRAI is implementing various environmentally friendly initiatives to achieve its environmental performance targets.

＜Conversion of Lighting Equipment to LED＞
From the viewpoint of energy efficiency, MIRAI promotes the use of LED lighting in the properties MIRAI owns.
During the reporting period, the entire facility at Mi-Nala, which has high energy consumption, is being converted toLEDs, which is expected to result in a 2% reduction compared to the previous year in terms of planned values.

Shinagawa Seaside Parktower （Entrance）

Tokyo Front Terrace (Office area)

Hiroshima Rijo-dori Building(Implemented within the reporting period)

Mi-Nara (building perimeter exterior lights)(Implemented within the reporting period)＜Conservation of Electricity＞
To reduce electricity consumption, lighting with motion and daylight sensors, use of sunlight through light ducts, andambient cooling systems are adopted.

＜Introduction of Environmentally Friendly Equipment＞
When updating or installing new air conditioning equipment, power generation equipment, etc., MIRAI installs
equipment with high energy efficiency and CO2 reduction effects. MIRAI also actively utilize subsidies from public
entities that support its efforts to reduce its environmental impact.
【Case】
Eligible construction: Renovation of heat source facilities
Property: Kawasaki Tech Center
Energy savings: 3,243 MWh Annually (Note)
CO2 reduction: 543 t-CO2 Annually (Note)(Note) provisional calculation at the time of installation of eligible equipment (2023)

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MIRAI Corporation Sustainability Report 2024

＜Switching to Renewable Energy＞
Some of properties have switched from conventional electricity to electricity derived from renewable energy sources,
and MIRAI will continue to consider the introduction of renewable energy sources while taking costs into account.
【Case】
Property: Shinjuku Eastside Square
CO2 reduction: 19,000 t-CO2 Annually （the entire property）(Note) provisional calculation at that time of switchover (2021)
Renewable energy use results
31,956 MWh (April 2023 - March 2024)＜Green Lease Agreement＞
MIRAI has clauses in lease agreements with some tenants regarding energy consumption and appropriate waste
disposal and is working with tenants to reduce their environmental impact.
Proportion of Green Lease Agreement: 22% (Note 1) (Note 2)(Note 1) Total area with executed green lease contracts as of March 31, 2024 divided by the total leasable area of the entire portfolio(Note 2) Calculated excluding land assets.

＜Educational Activities on Sustainable Procurement＞
The Asset Manager has established a “Sustainable Procurement Manual” and is working with suppliers to reduce theirenvironmental impact. As a specific measure, the Asset Manager provides information and conducts educational
activities on sustainability by displaying posters and broadcasting movies in the properties.

Shinagawa Seaside Parktower（Broadcasting educational movies）

Kawasaki Tech Center(Posting of environmental data)

Poster on environmental certification

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MIRAI Corporation Sustainability Report 2024

＜Consideration for Biodiversity＞
At some of the properties, MIRAI is taking biodiversity into consideration through the preservation of green andnatural areas and the improvement of ecosystems on the premises or in adjacent commercial facilities.

Shinjuku Eastside Square

Mi-Nara＜Reduction of Water Consumption＞
In some of the properties owned, water resources are being effectively utilized through the use of gray water andrainwater. In addition, water-saving devices and leak detection systems are being installed.

Shinjuku Eastside SquareTokyo Front Terrace＜Waste＞
MIRAI works with property management companies and tenants to promote continuous monitoring of waste andrecycling activities to reduce environmental impact through appropriate sorting and disposal.
Recycling Rate for All Properties owned: 31%＜Environmental Survey at Acquisition＞
As part of its due diligence at the time of asset acquisition, the Asset Manager conducts surveys on the history of use,
usage and storage of hazardous substances such as asbestos and PCBs, geological conditions, land use history, soil
contamination, etc. After acquiring an asset, MIRAI investigates whether there are any violations of environmental
laws and regulations through periodic legal inspections and third-party investigations (reacquisition of engineering
reports, etc.) to ensure the ongoing legal compliance of the land and buildings.

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MIRAI Corporation Sustainability Report 2024

(3)

Improvement of Environmental Performance Through Value Enhancement
and Conversion

IDERA Capital, one of the sponsors, has the "value-adding capability for real estate" to maintain and improve realestate profitability by maximizing and realizing the potential value of real estate. Properties owned are also undergoingvalue enhancement and conversion (change of usage) to improve environmental performance as well as real estatevalue. At Tokyo Front Terrace, a value enhancement work was implemented prior to acquisition by MIRAI to installenvironmentally friendly equipment such as energy-efficient air-conditioning equipment and LED lighting. In addition,
BizMiiX Yodoyabashi has been transformed into a property that provides wellness to employees of tenants, withinstallation of a high quality ventilation equipment with an awareness for the need to respond to COVID-19 infection
as standard equipment, as well as a touchless entry/exit system during the converting from a hotel to an office.

【Case 1】 Tokyo Front Terrace (Large-scale renewal in 2015)
Entrance
BeforeAfter

1F Entrance Lobby
BeforeAfter

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MIRAI Corporation Sustainability Report 2024

【Case 2】 BizMiiX Yodoyabashi (Conversion construction in 2021)
After （1F Co-working space）

After (Office area)

Mitsui & Co. Group is engaged in office redevelopment projects such as “Otemachi One" and "Hibiya Fort Tower"(Mitsui & Co. Real Estate Ltd.), and is developing properties that take sustainability into consideration (Note). “Hibiya
Fort Tower” offers state-of-the-art specifications, as well as SOHO (co-working space) and childcare facilities toaccommodate for the more flexible work styles of office workers. The property is designed to be a sustainable spacewith the latest specifications, including 3,000 sqm of green space on the site, a 2.8-meter-long eave to keep direct
sunlight out, and motorized blinds that automatically change angles in response to the movement of the sun. In orderto leverage upon the developer function of the Mitsui & Co. group, MIRAI holds regular meetings with groupcompanies, etc., and aims to manage assets sustainably by utilizing the know-how of each company in future joint
ventures.

Hibiya Fort Tower(Note) There is no plan for MIRAI to acquire the asset. There is no assurance that MIRAI will be able to acquire thisproperty in the future.

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MIRAI Corporation Sustainability Report 2024

(4)

Initiatives for Climate Change

According to international reports such as the Paris Agreement and the IPCC (Intergovernmental Panel on Climate
Change), the progression of climate change, including global warming, is a scientific fact, and climate change is
expected to lead to growing occurrence and expansion of weather and climate disasters, including more intense
typhoons and heavy rains, more frequent heat waves and droughts, and a global sea-level rise. As part of the worldwide
efforts to mitigate climate change, the establishment of frameworks to reduce greenhouse gas emissions and thestrengthening of emission regulations are expected in order to decarbonize the social economy, and efforts to achieve
net-zero emissions by 2050 in particular are becoming increasingly important. The Asset Manager and MIRAI believethat climate change issues, in addition to the physical impacts of various disasters, etc. mentioned above, may have asignificant impact on business activities in the process of and transition to a decarbonized society. The Asset Manager
recognizes that enhancing business resilience by identifying, assessing, and managing the risks and opportunities posedby climate change is essential to increasing MIRAI’s unitholder value over the medium- to long-term.

＜Support for the Recommendations of the TCFD＞
The Asset Manager expressed support for the Task Force on Climate-related Financial Disclosures (TCFD)
recommendations in order to promote disclosure on climate change in February 2023. The TCFD is a task force
established by the Financial Stability Board (FSB) to examine climate-related disclosures and response policies offinancial institutions. It views climate change as a serious risk to the global economy and has publishedrecommendations for corporations and others to understand and disclose their "Governance," "Strategy," "RiskManagement," and "Metrics and Targets" regarding climate -related risks and opportunities.
The Asset Manager has also joined “TCFD Consortium”. Many companies and organizations in Japan that support the
TCFD participate in the TCFD Consortium, which discusses how information on climate-related issues should be
disclosed and how it should be utilized.

＜Governance＞
The Asset Manager promotes sustainability initiatives including climate-related issues led by the Representative
Director, Executive Vice President who is responsible for promoting overall sustainability. In addition, the AssetManager has established "Sustainability Committee" attended by Executive Directors, General Managers andCompliance Officer. The Committee discusses and deliberates on important matters related to climate-related issues,
following which the Board of Directors of the Asset Manager and MIRAI hear reports and pass resolutions inaccordance with the standards of the various regulations. Through this process, management and oversight of climaterelated initiatives are carried out.
Please refer to “Sustainability Policy and Management Framework (2) Sustainability Management Framework” forsustainability management framework.

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MIRAI Corporation Sustainability Report 2024

＜Strategy＞
The risk analysis was conducted based on scenarios of rising temperatures developed by international organizations
such as the International Energy Agency (IEA) and the IPCC as information sources. The main information sourcesreferred to are as follows.

Referenced Scenarios
Scope of scenario analysis: All properties owned by MIRAI.
1.5℃ Temperature Increase Scenario

4℃ Temperature Increase Scenario

Transition risks

IEA NZE2050

IEA STEPS

Physical risks

IPCC RCP 2.6

IPCC RCP 8.5*Transition risks: It refers to the business impact of the transition to a low-carbon and decarbonized economy. They
are risks posed by promotion of decarbonization through legislation, development of newtechnologies, fluctuations in energy prices, and loss of reputation among stakeholders.
*Physical risks: It refers to the business impacts caused by ongoing climate change and changes in climate patterns
and weather phenomena from those of the past, and is classified into acute risk and chronic risk.
Acute risk refers to risks caused by sudden weather events such as typhoons and floods, whilechronic risk refers to risks caused by long-term changes in climate patterns such as prolonged highand low temperatures.

Scenario Analysis
The worldview of each scenario on which the Asset Manager based analysis is as follows.

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MIRAI Corporation Sustainability Report 2024

Qualitative Climate-related Assessment
Elements related toCategory

real estate

4℃ Scenario

Financial impacts

management

1.5℃ Scenario

MediumLong

Medium

Long

term

term

term

term

GHG emissions

carbon taxes and⚫ Increased regulatory

GHG emission

compliance costs (e.g.,

regulations

renovation work and credit

measures, initiatives, etc.

⚫ Set targets for reduction of⚫ Increased tax burden on
Introduction of

Risk management, response

energy consumption⚫ Increase ratio of properties
Small

Small

MediumLargewith high environmental
performance⚫ Introduction of renewablepurchase costs)

energy⚫ Implementation of planned

Transition risks⚫ Increased regulatory

equipment retrofitting

Strengthening

compliance costs⚫ Increase ratio of properties

Policyenergy conservation(e.g., renovation work,andstandards

fines for exceeding

legal

Small

Small

Small

Mediumwith high environmental
performance⚫ Introduction of renewable

standards, etc.)

energyStricter reporting
requirements forenergy-related and
GHG-related dataand expansion andmandating of
disclosure systems⚫ Streamlining of data

⚫ Increased regulatory

aggregation and reporting

compliance costs

operations(e.g., outsourcing costs to

Smalloutside experts,

Small

Small

Small

⚫ Periodic confirmation of thelatest laws and ordinances

environmental certification⚫ Improvement and maintenancecosts, etc.)

of operational systems

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MIRAI Corporation Sustainability Report 2024

⚫ Increased cost of energysaving measures and⚫ Implementation of planned

introduction of renewable
Evolution of energyTechnology

saving technologies

equipment retrofittingenergy⚫ Comparison of environmental⚫ Decline in tenant/investor/ Penetration ofdemand due to delay inrenewable energy

response

Small

Small

MediumMediumperformance at the time of
construction⚫ Smooth out costs through fixed⚫ Rising utility costs

contracts(including procurement costs
for renewable energy)⚫ Continuous informationexchange with appraisal firms⚫ Increase ratio of properties

Reflecting
environmental
performance in realestate appraisal

with high environmental⚫ Decline in asset value

Small⚫ Decrease in unit price

Small

MediumLarge

performance⚫ Implement equipment

valuesretrofitting that lead to
improved environmental
performance⚫ Implementation of green
finance

Deterioration inMarket⚫ Disclosure of environmental

financing conditions
due to delays in

Small⚫ Rising financing costs

Small

MediumMediumresponse to climate

performance, etc.
⚫ Acquisition third-party
certifications, etc.

change⚫ Strengthen engagement withinvestors⚫ Decrease in rental income

Changing tenantneeds forenvironmental
performance⚫ Implement equipment

due to difficulty in tenant

renewals that lead to improved

leasing
Small⚫ Increase in environmental

Small

MediumLarge

performance improvement

certifications, etc.

costs (e.g., certification⚫ Reinforcement of BCP

costs, renovation work, etc.)⚫ Disclosure of environmental

Decrease in brandReputation

value due to delays
in addressing

Small⚫ Decrease in unit price

Small

Small

Large

climate change
Increase inAcutetyphoons, torrential
rains, floods, andinundation damage

Physical risks

level riseperformance, etc.
⚫ Acquisition of third-party
certification, etc.

⚫ Increase in repair expenses⚫ Evaluation in the due diligenceand property insurance
premiums

process
Medium

Large

Small

Small

⚫ Decline in asset value⚫ Reinforcement of BCP⚫ Evaluation in the due diligence(e.g., elevating structures,etc.)⚫ Maintenance of disasterprevention equipment⚫ Decline in occupancy rate
⚫ Large-scale renovation costs

Progressive sea-environmental performance⚫ Acquisition of third-party

Medium

Large

Small

Small

⚫ Compensation for damages

process⚫ Maintenance of disasterprevention equipment

to tenants⚫ Increase in HVAC-related
Chronic⚫ Installation of high-efficiency

Occurrence ofcosts (e.g., longer operating

extreme weather

hours, repair costs, etc.)

air-conditioning systems

conditions (e.g.,⚫ Decrease in operational⚫ Installation of equipment for

extremely hot orefficiency of related

extremely coldbusinesses (PMs, BMs,

days)

construction companies,

MediumMedium

Small

Small

businesses⚫ Implementation of systematic
process management

etc.)
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MIRAI Corporation Sustainability Report 2024

⚫ Retrofit to high-efficiency

Provide energyResourcesaving equipment

efficiency

and services to

Small⚫ Reduction of utility costs

Small

Small

Mediumtenants

disclosure⚫ Retrofit to high-efficiency⚫ Increase in rental income
Opportunities

Increased demand

due to higher rent levels,

for properties witheasier tenant leasing andhigh environmental

attracting new tenants withperformanceMarketequipment⚫ Enhancement of informationequipment⚫ Acquisition of third-party
Small

Small

Small

Mediuman ESG focus

disclosure⚫ Increase in asset value

Expansion of⚫ Increase in funding volume

investor base

⚫ Decrease in financing costs

certifications, etc.
⚫ Enhancement of information⚫ Reinforcement of BCP

Small

Small

Small

Small

⚫ Implementation of green
finance（Note）The medium-term assumes a period of 4-10 years, and beyond that is considered as the long-term. This analysis used scenarios and objective forecast
data presented by third-party specialized organizations at the time as reference, and was performed based on the status of MIRAI's portfolio. However, it
involves uncertainties of known risks, unknown risks and other factors, and consequently, not does not guarantee of the accuracy or safety of theinformation.

＜Risk Management＞
The Asset Manager's climate-related risk management system is as follows.
Identification and Assessment of Risks
In identifying risks, the Asset Manager endeavors to assess the timeline (timing and duration of the risk materializing),
the certainty (possibility of the risk materializing) and the impact (financial impact to the Asset Manager and MIRAI)
by each risk and scenario. If a theme or factor that can provide business opportunity for the Asset Manager and MIRAI
is recognized in risk identification process, it is recorded as climate-related opportunity separate from the risks. Afterconsidering its feasibility etc., where possible, financial impact, feasibility and return on investment, etc. for eachscenario are evaluated. The Sustainability Committee deliberates on climate-related risks that need to be addressedwith higher priority based on the assessment etc. regarding the certainty and impact of such risks and prioritize them
to be managed. When a report is made on climate-related opportunities, they are prioritized for business strategy
following their assessment similar to that of risks. For the process of identification and assessment of the above climaterelated risks and opportunities, department in charge presents the comprehensive review based on opinions of therelated departments to the Sustainability Committee which makes decisions and reporting based on various regulations.

Management of Risks
The Asset Manager aims to secure long-term sustainable and stable profit through management of the identified andassessed climate-related risks and opportunities and through pursuit of initiatives that improve resilience. The person
responsible for promotion of sustainability designates a staff in charge of formulating responses to the important
climate-related risks and opportunities that are deliberated by the Sustainability Committee. The formulated response,
depending on its content, is implemented following deliberation and resolution based on the authority stipulated in therules of the Asset Manager and MIRAI. The person responsible for promotion of sustainability also endeavors tointegrate process of identification, assessment, and management of risks by instructing the important climate-relatedrisks to be examined under the existing company-wide risk management program.
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MIRAI Corporation Sustainability Report 2024

＜Metrics and Targets＞
The Asset Manager and MIRAI will work on various measures to achieve net zero by 2050 as advocated by theinternational community, set indicators and targets to manage climate-related risks and opportunities, and monitor
environmental performance data.
Please refer to “Environment (1) Target of Environmental Performance” for changes in metrics and targets.

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(5)

Acquisition of Environmental Certification

MIRAI aims to construct portfolio with excellent environmental performance and is actively acquiring green
certifications that evaluate the environmental performance of properties.
Proportion of Assets with Environmental
Certifications: 71.4％（As of end of June 2024）* Calculated excluding land and based on the floor area multiplied by the fund share of the property.

＜DBJ Green Building Certification＞
DBJ Green Building Certification Program was launched by DBJ for the purpose of
supporting the properties which give proper care to environment and society. The program
evaluates, certifies and supports properties which are required by society and economy. It
makes comprehensive assessment of properties, while evaluating various factors whichrange from properties’ environmental features to their communication with stakeholders,such as disaster prevention and proper care for surrounding communities.

List of Certified Properties (As of End of June 2024)
RatingProperty★★★★

Shinjuku Eastside Square (Office)★★★

Shinagawa Seaside Parktower (Office)★★★

Tokyo Front Terrace (Office)★★★

Mi-Nara (Retail)★★★

Rokko Island DC (Industrial)★★★

BizMiiX Yodoyabashi (Office) NEW★★

MI Terrace Nagoya Fushimi (Office)★

Kawasaki Tech Center (Office)Shinagawa Seaside
Parktower

Kawasaki Tech
Center

Mi-Nara27

Rokko Island DC

MIRAI Corporation Sustainability Report 2024

＜CASBEE Certification for Real Estate＞
Comprehensive Assessment System for Built Environment Efficiency (CASBEE) is asystem for evaluating buildings’ environmental performance developed under theleadership of the Ministry of Land, Infrastructure, Transport and Tourism. Under the system,
the environment quality/performance of a building per se and environmental loads on theexterior of a building are comprehensively evaluated. The CASBEE Certification for Real
Estate assessment is ranked in four grades: “S”, “A”, “B+” and “B” for buildings that are
more than one year old.

List of Certified Properties (As of End of June 2024)
RatingProperty

S RankMI Terrace Sendai Hirose-dori (Office)A RankEhime Building/Hiroshima (Office)A RankAEON Kasai (Retail) NEW

MI Terrace Sendai
Hirose-dori

Ehime
Building/Hiroshima

AEON Kasai＜BELS (Building-Housing Energy-efficiency Labeling System)＞
BELS certification is a public evaluation system established based on the Building
Energy Efficiency Act, which evaluates the energy conservation performance ofbuildings. Third parties evaluate primary energy consumption based on the building
energy efficiency standards provided by the Japanese government.
List of Certified Properties (As of End of June 2024)
Rating★

Property
MI Terrace Nagoya Fushimi (Office) NEW

MI Terrace Nagoya
Fushimi28

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(6)

Green Finance

MIRAI is working on green finance in order to further promote ESG-conscious asset management and to strengthen
its fundraising capabilities by expanding the investor base interested in ESG investment.

＜Green Finance Framework＞
MIRAI has established “Green Finance Framework” (hereinafter the “Framework”) for the implementation of green
finance in accordance with international principles on green finance (Note). MIRAI also received “Green 1(F) rating” in
the “JCR Green Finance Framework Evaluation” of Japan Credit Rating Agency, Ltd.
(Note) “Green Bond Principles (2021)”, “Green Loan Principles (2023)”, “Green Bond Guidelines (2022)” and the “Green Loan andSustainability Linked Loan Guidelines (2022)”

Use of Funds Procured
Net proceeds from green finance will be used for the acquisition of green buildings and renovation that meet thefollowing eligibility criteria, as well as for the repayment and redemption of loans or investment corporation bonds
required for these projects.
Green Eligibility Criteria 1

Assets that have achieved or will achieve any following certification:（a） Five, four, three stars in DBJ Green Building Certification（b） S, A, B+ rank in CASBEE for Real Estate (including municipal version)（c） Platinum, Gold, Silver rank in LEED Certification (in case of LEED BD+C,
version 4 or later)（d） BELS Certification
Standard in 2016 : Five, four, three stars
Standard in 2024
Non-residential: level 6, level 5, level 4
Residential with renewable energy facilities: level 6, level 5, level 4, level 3
Residential without renewable energy facilities: level 4, level 3

Green Eligibility Criteria 2

Renovation work for environmental improvements:(expected to reduce consumption or emissions by 30 % or more compared to previous
levels)Process for Evaluation and Selection of Projects
Finance and Planning Div. of the Asset Manager selects the project for which the procured funds will be used, andSustainability Committee deliberates and confirms compliance with the eligibility criteria. Subsequently, the Board of
Directors resolves the implementation of green finance in accordance with the rules of MIRAI and the Asset Manager.

Management of Procured Funds
MIRAI will manage the procured funds in the following ways if there is any green finance outstanding under the
Framework.

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Upper Limit of Green Finance

MIRAI will manage the balance of green finance outstanding so that
it will not exceed the upper limit of green finance, which is calculated
by multiplying the total amount of eligible green projects (the totalacquisition price of assets that meet Green Eligibility Criteria 1 + the
total expenditure for renovations that meet Green Eligibility Criteria
2) by LTV as of end of most recent fiscal period.

Use of Procured Funds

MIRAI will manage the use of the procured funds for eligible green
projects. Unappropriated funds raised will be held in cash and cash
equivalents.

Reporting
MIRAI will disclose following information at least once a year regarding the management of procured funds and theenvironmental impact as long as there is any green finance outstanding under the Framework.
Reporting of the Use of Funds

1． Allocation of the procured funds until the entire balance isallocated to the eligible green project under the Framework.
2． That the balance of the green finance outstanding does not exceed
the upper limit of the green finance.

Impact Reporting

MIRAI will disclose the indicators below as far as practically possible.
（a） Acquisition of environmental certifications（b） Energy consumption（c） GHG emission/ GHG emission intensity（d） Water consumption（e） Waste volume30

MIRAI Corporation Sustainability Report 2024

＜Status of Green Finance＞ （As of end of April 2024）
Total Amount of Eligible Green Projects

72,688 million yen

Green Eligibility Criteria 1

72,688 million yen

Green Eligibility Criteria 2-

LTV（as of end of April 2022）

49.0%

Upper Limit of Green Finance

35,617 million yen

List of Green finance
Lender/Bond Name

Borrowing/Issuance
Date

AmountTerm of Maturity

Interest Rate

#5 Investment Corporation
Bond (Green Bond)

November30, 2021

1,200 million yen

10 years

0.70％

Mizuho Bank
(Green Loan)

November30, 2021

4,000 million yen

8 years

0.51％

SBI Shinsei Bank

December
1, 2023

1,000 million yen

7 years

Base rate+0.31%-

6,200 million yen

-

-

Total

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MIRAI Corporation Sustainability Report 2024

Society(1)

Provide Safe and Comfortable Space for Tenants

MIRAI conducts studies for disaster prevention and installs equipment to provide safe and comfortable spaces fortenants who use the properties under management.

＜Preparing for Disasters＞
The Asset Manager has a Business Continuity Plan (BCP) in place and has built a system that enables it to continue
important operations even in the event of a disaster, and is promoting efforts to ensure the continuous operation.
⚫ Installation of emergency power generators (Shinagawa Seaside Parktower and Tokyo Front Terrace)⚫ Introduction of a spot network (3 lines) distribution system that maintains power supply from another line even if
one line is down (Shinagawa Seaside Parktower and Tokyo Front Terrace)⚫ Securing disaster preparedness reserves⚫ Introduction of earthquake-resistant and vibration-control structures in high-rise offices (Shinagawa Seaside
Parktower and Shinjuku Eastside Square)⚫ Survey of surrounding area at the time of property acquisition（Identify hazard maps and adverse environmental
impacts）⚫ Conduct disaster drills and anti-terrorism drills in cooperation with fire departments, etc. in the area

Emergency power generator

Spot network distribution system

Securing disaster preparedness reserve

Anti-terrorism drills

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MIRAI Corporation Sustainability Report 2024

＜Health Considerations for Tenant Employees＞
As part of due diligence at the time of property acquisition, surveys are conducted on materials that are harmful to thehuman body, such as asbestos, and soil contamination. In addition, AEDs are installed and equipment to prevent the
spread of COVID-19 is introduced (e.g., a touchless entry/exit system at BizMiiX Yodoyabashi).

AED

Non-contact entry/exit system＜Aiming for Comfortable Property for Everyone＞
MIRAI aims to manage its properties in a manner that is
comfortable for any tenants and users. Many of theproperties under management are equipped with universal
design facilities such as restrooms, elevators, and ramps forthe physically challenged, and in one case it has attracted anursery school that employees can also use (Mi-Nara).In
addition, some properties have guides available in multiple
languages, including English, to accommodate diversity.

Nursery school (in Mi-Nara)＜Tenant Satisfaction Survey＞
In order to improve services in the properties MIRAI owns, MIRAI conduct satisfaction surveys of tenants. The resultsof the survey are shared with each asset manger and property management companies, etc., and are utilized for future
management planning and service improvement.

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MIRAI Corporation Sustainability Report 2024

＜Renovation to a Wellness Property＞
To improve convenience for tenants, MRIAI implement renovation, etc. of common facilities.

【Case 1】 Attracting Convenience Stores (Kawasaki Tech Center)
BeforeAfter【Case 2】 Installation of Digital Signage

Shibuya World East Building

Mi-Nara【Case 3】 Establishment of Private Working Booth

Shinjuku Eastside Square

Kawasaki Tech Center

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MIRAI Corporation Sustainability Report 2024

(2)

Initiatives for Sustainable Supply Chain

The Asset Manager has set standards for sustainable procurement and is promoting the establishment of a sustainablesupply chain by working with suppliers and others to reduce environmental impact.

＜Standards for Sustainable Procurement＞
Mitsui & Co. Group has established the "Sustainable Supply Chain Policy" as its basic policy for sustainableprocurement, and requires its suppliers to understand and practice the policy. The Asset Manager’s basic procurement
policy is to satisfy the following criteria as much as possible in accordance with the above policy.

Respect for International Standards
To ensure compliance with applicable laws and regulations of relevant countries, fair transactions in accordancewith international rules and practice, and corruption prevention.

Respect for Human Rights
To strive not to infringe on human rights in our business activities, nor to contribute to human rights infringements
by others through our business relationships, including supply chains.

⚫

Forced Labor
Not to tolerate forced labor or any forms of modern slavery, including bonded labor or human trafficking.

⚫

Child Labor
Not to tolerate child labor and to comply with the minimum working age stipulated by the law. Not tohire individuals that are under the age of 18 for roles requiring hazardous work.

⚫

Discrimination
To prohibit any form of discrimination in employment.

⚫

Harassment and Inhumane Treatment
Not to tolerate any form of harassment, irrespective of whether it is physical or mental harassment.

⚫

Freedom of Association and Right to Collective Bargaining
To respect the rights of employees to associate freely and bargain collectively in our labor-management
relations.

⚫

Working Hours and Wages
To properly manage employees' working hours, holidays, leaves of absence, and wages in accordancewith applicable laws and regulations.

⚫

Occupational Health and Safety
To secure the health and safety of employees in the work environment.

⚫

Community Impact
To conduct human rights impact assessments, covering issues such as prevention of pollution and water
stress, for prevention of adverse impacts on the safety and health of local communities. To implement
necessary measures in line with international standards to avoid risks and mitigate negative impacts.

Reduction of Environmental Impact
To reduce the burden on the environment through efficient use of resources, energy, and water, and throughcontrol, reuse and recycling of waste, including hazardous waste, as well as its proper disposal. To exercise
appropriate influence, not only to prevent pollution, but also to assess the impact on our impact on theenvironment, including climate change and biodiversity conservation, and to give the utmost consideration to theenvironment to the extent technically and economically feasible.

Safety and Security of Products and Services
To ensure safety and security of products and services.

Information Disclosure
We will properly disclose information related to the above principles in a timely manner.

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MIRAI Corporation Sustainability Report 2024

＜Initiatives with Property Management Company＞
The Asset Manager also holds regular discussions with property management companies of each property, and engages
in reciprocal activities with respect to promotion of sustainability initiatives. The Asset Manager makes proposals aswell as jointly implements initiatives proposed by the property management companies.

＜Distribution of Sustainability Guides＞
A Sustainability Guide with guidelines for resource
conservation and for renovations has been published anddistributed to tenants.

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MIRAI Corporation Sustainability Report 2024

(3)

Community Support Activities

MIRAI supports the local community by holding events at its properties and sponsoring local events, and promotes
cooperation with the local government.

＜Achievements of Local Events＞

Blind football WGP(Shinagawa-ku, Tokyo)

Toukae（Nara-shi, Nara）

Donation of sports equipment
to schools（Nara-shi, Nara)＜Track Record of Initiatives with Local Governments＞
MIRAI provides support related to public administrative activities in cooperation with the regional government.

Provided as a recovery accommodation facility
for patients with mild case of COVID-19(Smile Hotel Naha City Resort)

Provided as vaccination site
(Mi-Nara)＜Volunteer work by employees＞
Employees of the Asset Manager volunteer their services.

Voluntary community clean-up activities

37

Broadcast government publicannouncements, etc.
(Shibuya World East Building, etc.)

MIRAI Corporation Sustainability Report 2024

＜Investment in Educational Facilities/ Collaboration with Educational Institutions＞
MIRAI has invested in Tokyo Eiseigakuen Senmongakko, a training
school for medical professionals, indirectly supporting the social issueof securing medical professionals. In addition, MIRAI collaborates
with university seminars to study measures to improve theattractiveness at some commercial facilities.

Tokyo Eiseigakuen Senmongakko＜Unitholder Benefit Program＞
MIRAI has introduced the Benefit Program to increase unitholders’ profits, expand the unitholder base and support
the hotel industry.
(1) EN HOTEL, COURT HOTEL, etc. operated by The COURT Co., Ltd.

Applicable
Hotels andDetails of the
Benefit
ProgramUnitholders can stay at a 10% discount off the best rate on the official reservation website.

(2) Hotel Wing International operated by Minacia Co., Ltd
Unitholders can stay at a preferential rate offered on the website for corporate clients (12% discountfrom the official website rates).

(3) Smile Hotel, etc. operated by K.K. Hospitality Operations (NEW)*Some hotels are operated by affiliated companies or by companies with franchisee agreements.
Unitholders can stay at a preferential rate offered (10% discount from the official website rates).

(Note) Eligible hotels and benefits are actual results for the fiscal period ended April 30, 2024.

EN HOTEL Ise(Operated by The COURT)

Hotel Wing International
Ueno/Okachimatchi(Operated by Minacia)

38

Smile Hotel Naha City Resort(Operated by Hospitality Operations)

MIRAI Corporation Sustainability Report 2024

(4)

Initiatives for Employees

MIRAI does not have any employees (Includes contract employees. The same applies hereinafter.) by institutional
design. The Asset Manager’s initiatives for employees are provided instead.
The Asset Manager strives to create a workplace environment in which employees can work comfortably and to builda system that enables each employee to fully demonstrate his or her abilities through career development by providing
training support, etc.

＜Personnel System Overview＞
The Asset Manager conducts personnel evaluations through trait and behavior-based appraisal, which measures thedegree of commitment, motivation, and ability to perform duties, and a performance-based appraisal, which measuresthe degree of achievement and execution of duties. Specifically, the Asset Manager has established a system in which
all employees are required to set goals, report results, and receive feedback on the results of their evaluations, so that
employee goals are appropriately aligned with future career development and the fairness of personnel evaluations is
ensured. The Asset Manager provides the employees with opportunities for continuing education and skills
development, and offer them opportunities to participate in various training programs, including those offered by thesponsors and external organizations, in order to improve their professional knowledge and abilities and to establish
awareness for compliance. In addition, as part of the human resource development efforts, the Asset Manager has
established a system to assist employees in acquiring professional qualifications with the aim of improving their skills
and ensuring the development of the company and its credibility.

＜Training Program＞
In-house Training

⚫
⚫
⚫
⚫

Onboarding training
Compliance training
Sustainability training
BCP training

Training Programby Sponsor Groups⚫

Compliance training（Risk management training, Harassment prevention training,
etc.）

⚫
⚫
⚫
⚫

Management training（Training for executives and managers of group companies,
Anger management training, etc.）
Sustainability training（ESG training、Environmental Law Training, etc.）
Training on digital technologies（IT management training, DX skills training, etc.）
Training for young employees（Training for young employees of the sponsor
group, business communication training, seminars on work style reform, etc.）
etc.

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MIRAI Corporation Sustainability Report 2024

＜System to Assist Employees in Acquiring Professional Qualifications＞
The Asset Manager has a system in place to support acquisition of qualifications such as Real Estate Transaction
Specialist, ARES Certified Master, and Certified Building Administrator by providing financial assistance (course fees,
examination fees, registration fees, etc.).
Main Qualifications Held (As of End of March 2024)
Qualification

Number of Holders

Real Estate Transaction Specialist

16

ARES Certified Master13

Certiﬁed Member Analyst of SAAJ

4

1st Class Architect

2

Certified Internal Auditor

1

Small and Medium sized Enterprise Consultant

1(Note) Including those who have passed the exam.

＜Work Arrangements＞
The Asset Manager strives to expand and improve work arrangements and support measures that take into
consideration the work-life balance of its employees. In addition to the introduction of leave and vacation systems
such as childcare leave and volunteer leave, staggered working hours, system that sets minimum interval between thetime employees leave and return the following day, and post-retirement reemployment system, the Asset Manager also
has a teleworking system in place and strive to build a work arrangement that suits individual lifestyles. In addition,
the Asset Manager has submitted targets to the Tokyo Metropolitan Government regarding the paid leave utilization
ratio and annual overtime hours and is striving to improve the working environment.
Example of Leave System⚫

Long-term sick leave⚫

Marriage leave⚫

Maternity leave⚫

Nursing leave⚫

Elderly care leave⚫

Volunteer leave⚫

Anniversary leave⚫

Long-service leave⚫

Jury duty leave

40

MIRAI Corporation Sustainability Report 2024(5)

Benefits and Welfare

The Asset Manager is constantly striving to improve the work environment so that employees can work comfortably
and has established various benefit programs.

＜Employee Health and Safety＞
The Asset Manager strives to ensure the safety and health of its employees in accordance with its “Safety and Health
Rules”, and requires all employees to undergo periodic medical examinations once a year. In addition, the AssetManager takes measures such as workplace visits by the Group's occupational physicians, infection control measuresand introduced teleworking arrangements.

＜Office Environment＞
Mitsui & Co. Asset Management Holdings Group, including the Asset Manager, has installed a communication spacethat can be used by the entire group and vending machines that employees can enjoy free of charge. In addition, theGroup strive to create an office environment that is easy to work in, such as by installing new dedicated individual
booths to accommodate the increasing number of web conferences, introduction of in-house background music andconducting social events for employees who wish to meet with other employees.

Communication space

Free vending machine/confectionery service for employees＜Asset Building / Services for employees, etc.＞
The Asset Manager has established a system for asset building for its employees, including a cumulative investment
plan for MIRAI investment units and a corporate defined contribution pension plan (401K). In addition, employees
can enroll in insurance for Mitsui & Co. group employees, as well as use recreation centers, sports gyms and otherfacilities contracted by the health insurance association.

＜Consultation Counter＞
The Asset Manager has established a hotline for anonymous
reporting and consultation with outside attorneys and third-party
organizations in the event of internal or external problems orharassment. The Asset Manager has also made known the reporting
contact points in the Mitsui & Co. group, and has multiple
consultation channels.

Posters with information on reporting andconsultation services(Posted within the company)

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MIRAI Corporation Sustainability Report 2024

＜Employee Satisfaction Survey＞
The Asset Manager conducts an annual satisfaction survey of all employees, which is used as a reference for improving
the workplace environment.
Latest Survey
Survey Date

March 2024

Target GroupAll employees except directors

Response Rate

100%

*Percentage of Respondents Satisfied with Their Current Workplace: 82%.

＜Respect for Human Rights＞
The Asset Manager, in accordance with its Sustainability Policy, will not tolerate human rights abuses such as forcedlabor, child labor, discrimination, and harassment in its business activities, and will respect basic human and laborrights. MIRAI and The Asset Manager's business partners that infringe on the above rights will be required to review
their transactions and correct the infringing acts. In addition, from the perspective of diversity, the Asset Manager willcontinue to strive to create a work environment in which executives and employees of all backgrounds can fully
demonstrate their abilities.
The Mitsui & Co. group, the sponsor of MIRAI, conducts its business globally in countries and regions all over theworld and believes that consideration for human rights in accordance with international standards is the foundation ofsustainable management, and promotes efforts to respect human rights as stated by the Mitsui & Co. group.
(https://www.mitsui.com/jp/en/sustainability/social/human_rights/index.html)

42

MIRAI Corporation Sustainability Report 2024

(6)

Employee Data
As of End of
March 2022

As of End of
March 2023

As of End of
March 2024

Number of Director and Employees (Note 1)

16

16

19

Directly Employed Employees

9

9

9

Seconded Employees

7

7

10

Employees with Disabilities

None

None

None

Foreign Employees

None

None

None

Post-retirement Rehired Employees

1

1

1

Non-regular Employee

1

1

1

Those who have lived abroad

2

2

2

Percentage of Female Employees

31%

31%

32%

Managers666Percentage of Female Managers

0%

0%

0%

Number of New Hires (Note 2)

None

1

None

Retirees (Note 2)

None

1

None

Job Turnover Rate (Note 3)

0%

6%

0%

3.5 years

3.7 years

4.0 years

65%

66%

78%

About 8 hours

About 7 hours

About 6 hours

Percentage of Employees Receiving PhysicalExaminations / Personal Health Checkups

100%

100%

100%

Percentage of Employees Taking Parental Leave

100%(Eligible
employees: 1)（Eligible
employees: 0）（Eligible
employees: 0）

Average Training Program Hours per Employee (Note 5)

About 8 hours

About 8 hours

About 8 hours

Number of Occupational Accidents

None

None

None

Number of Employees on leave due to illness, etc.

None

None

None

Item

Average Years of Attendance (Note 1)
Average Paid Leave Utilization Rate (Note 2) (Note 4)
Average Monthly Overtime Hours(Note 1) Excluding part time directors and employees(Note 2) From April of each year to March of the following year
(Note 3) Number of directors and employees who left the Asset Manager from April of each year to March of following year / Number of
directors and employees as of April 1 of each year
(Note 4) Number of paid days for all employees used from April of each year to March of following year / Number of paid annual days
for all employees granted as of April 1 of each year
(Note 5) Total training hours provided to employees from April of each year to March of following year / Number of directors andemployees

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MIRAI Corporation Sustainability Report 2024

Governance
When managing assets, MIRAI aims to align the interests of sponsors, Mitsui & Co. Group and IDERA CapitalManagement, with the interests of unitholders and to adopt an operating structure that ensures conflicts of interest arehandled fairly.

(1)

Overview of the Organization

In addition to the General Meeting of Unitholders, which is composed of unitholders, MIRAI has one Executive
Director, two Supervisory Directors, a Board of Directors composed of Executive Director and Supervisory Directors,
and an accounting auditor. MIRAI entrusts its asset management operations to the Asset Manager and its asset custodyoperations to the asset custodian in accordance with the Act on Investment Trusts and Investment Corporations.
Administrative operations other than those related to asset management and custody, which are required to be entrusted
to a third party by the Act on Investment Trusts and Investment Corporations, are also entrusted to a third party.

＜Governance Structure Chart＞

For details, refer to the Securities Report of “Chapter 1 Information of the Fund, Section 1 Status of the Funds/ 1
Overview of Investment Corporation/ (4) Governance Structure of Investment Corporation” (Japanese only).

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MIRAI Corporation Sustainability Report 2024

＜Overview of Major Governance Structures＞
General Meeting ofUnitholders⚫

Matters required by the Act on Investment Trusts and Investment Corporations andthe Articles of Incorporation are decided at the General Meeting of Unitholders,which is composed of unitholders.

⚫

Resolutions are adopted by a majority of the voting rights of the unitholders present
at the meeting where the unitholders holding a majority of the issued investment units
are in attendance. (Exceptions are made for certain matters)
The meeting must be held at least once every two years.

⚫
Board of Directors

⚫
⚫
⚫

⚫
Executive Director
and Supervisory
Directors

⚫
⚫
⚫
⚫
⚫

The Board of Directors is composed of the Executive Director and the Supervisory
Directors.
It has the authority to approve the execution of important duties and to supervise theexecution of duties by the Executive Officer.
Resolutions are adopted by a majority of the votes of those present at the meeting
where a majority of the members who are authorized to vote are in attendance. In
principle, the chairperson is the Executive Director, but in cases where thechairperson has a conflict of interest, the Supervisory Director will serve as
chairperson.
It must be held at least once every three months.
The Executive Director is appointed by the General Meeting of Unitholders (for aterm of two years) and has the authority to execute MIRAI's business affairs.
(Approval of the Board of Directors is required for some matters.)
The Supervisory Directors are appointed at the General Meeting of Unitholders (fora term of two years) and have the authority to supervise the duties of the Executive
Director.
The number of Supervisory Directors shall be two or more (but not less than thenumber of Executive Director plus one).
The remuneration for each Executive Director and Supervisory Director shall be up
to 500,000 yen per person per month, which shall be determined by the Board of
Directors (Article 18 of MIRAI's Articles of Incorporation).
Substitute executive director and substitute supervisory director are appointed toprevent the incident where the number of Executive Directors and Supervisory
Directors is insufficient.

＜Overview of Current Executive and Supervisory Directors＞
Title

Name

Reason for Election

Executive
Compensation

Inauguration
Date

Attendance atBoard ofDirectors
Meeting

September 2016100%
（14/14）September 2016100%
（14/14）(Note 1)

Executive
Director

Supervisory
Directors

MichioSuganuma

Takehiko
Negishi

Michio Suganuma is
expected to demonstrate
his extensive knowledge
and experience in the realestate finance industry heaccumulated over theyears.

-

15th FP:
3,676
thousand yen

Takehiko Negishi is
expected to demonstrate
his expertise as an
attorney-at-law. He has novested interest in MIRAIor the Asset Manager.

16th FP:
3,676

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MIRAI Corporation Sustainability Report 2024

Supervisory
Directors

Hidetomo
Nishii

Hidetomo Nishi is
expected to demonstrateexpertise as a certified
public accountant and tax
accountant. He has novested interest in MIRAIor the Asset Manager.

thousand yen

December 2015100%
（14/14）(Note 1) Actual results for the 15th FP (May 2023 to October 2023) and 16th FP (November 2023 to April 2024). The figures are the sumof the compensation of the two supervisory directors.
(Note 2) Prese refer to MIRAI’s website （https://3476.jp/en/about/profile.html） for biographies of each officer.

＜Accounting Auditor＞
Name

Appointment Period

Fee （Note 1）(Note 2)

Ernst & Young ShinNihon LLC.

December 2015 to present

15th FP: 11,800 thousand yen
16th FP: 14,800 thousand yen(Note 1) Actual results for the 15th FP (May 2023 to October 2023) and 16th FP (November 2023 to April 2024).
(Note 2) Includes fees for the audit of English financial statements and fees for the preparation of comfort letters for the issuance of new
investment units and investment corporation bonds.

＜The Asset Manager's Management Structure＞

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MIRAI Corporation Sustainability Report 2024

＜Asset Management Fee＞
15th FP

16th FPAM Fee Ⅰ

Up to 0.5% per year x total assets (Note)

439 million yen

435 million yen

AM Fee Ⅱ

Up to 0.001% × DPU before AM Fee Ⅱ ×
NOI after depreciation

33 million yen

34 million yen

Acquisition Fees

Up to 1.0% × the acquisition price-

119 million yen

Disposition Fees

Up to 1.0% × the disposition price--

Merger Fees

Up to 1.0% the appraisal value of real estate
related assets the counterparty of the merger
holds at the time of merger to be transferred
to and to be held by the new merged entity--(Note) Daily calculation based on actual days in the period on 365 days a year basis, rounded down to the nearest yen.

47

MIRAI Corporation Sustainability Report 2024

(2)

Efforts against Conflicts of Interest

MIRAI must pay special attention to transparency and fairness when conducting transactions with interested parties.
The Asset Manager has established "Related-Party Transaction Rules" and "Conflict of Interest Transaction
Management Manual" to prevent MIRAI's interests from being impaired in the event that a transaction creates a
conflict of interest between an interested party and MIRAI. In addition to prior examination by the Compliance Officer,
the Asset Manager has also eliminated harmful effects of conflicts of interest by requiring deliberation and resolution
by the Committee, which requires the attendance and approval of third-party external committee members, and by
stipulating that reports be made without delay to the Board of Directors of MIRAI/the Asset Manager.
Example of Decision-Making Flow

Scope of Interested Parties as Voluntarily Determined by The Asset Manager
MIRAI applies broader definition for interested parties than specified under Act on Investment Trusts and Investment
Corporations in order to ensure prevention of conflict of interest.
（1）

The Asset Manager, the Asset Manager's officers and employees, and the Asset Manager's shareholders（2）

Subsidiaries and related companies of (1) above.

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MIRAI Corporation Sustainability Report 2024

（3）Interested person, etc. defined under Article 201 (1) of Act on Investment Trusts and Investment
Corporations in addition to person defined in (1) and (2) above.

（4）(a) Special purpose companies (in any format such as special purpose company, limited liability
company, corporation, investment corporation. The same applies hereinafter.) for which a personclassified as (1) to (3) above has investment advisory contract, discretionary investment contract, or
asset management contract; (b) Special purpose companies in which a person classified as (1) to (3)above holds majority stake, invests in silent partnership or preferred equity; (c) Special purpose
companies that was established for the purpose of temporarily holding an asset with the assumption thatthe asset be sold to MIRAI and for which a person classified as (1) to (3) above was a founder orshareholder at the time of establishment; or (d) Special purpose companies whose majority officers are
officers and employees of (1) to (3) above. (Excludes when person classified as (1) to (3) above invests
less than 20% stake in (b) to (d))

The Asset Manager's voluntary standards for related-party transactions
Acquisition of Property

When acquiring asset from an interested party, the maximum acquisition price (definedas the price of property itself and excludes tax and acquisition expenses that are notpart of the appraisal value as well as expenses related to set up of trust, reserves in trust
account, profit from trust and settlement amount of pro-rata property tax) shall beappraisal value (includes value derived by price survey method conducted the same
way as appraisal. The same applies hereinafter). When an interested party temporarily
bears additional cost such as set up of SPC with the assumption that the asset be soldto MIRAI, such cost may be added on the appraisal value and set as the maximum
acquisition price.

Disposition of Property

When disposing an asset to an interested party, the minimum disposition price (definedas the price of property itself and excludes tax and acquisition expenses that are notpart of the appraisal value as well as expenses related to set up of trust, reserves in trust
account, profit from trust and settlement amount of pro-rata property tax) shall be theappraisal value by a property appraiser.

Lease of Property

When concluding a lease contract of a property with an interested party, the terms of
the lease contract with the interested party or between a customer and interested party
must be reasonable based on the prevailing market condition and general terms of leaseof the property.

Consignment of
Property Management
Services, etc.

An interested party may be mandated to manage a property after comprehensive
consideration including comparing it against other companies that specialize inproperty management business (the “Property Management Company” hereinafter) not
only on fees but also to ensure that it is equipped with standards required in property
management (including when the interested party already manages the property therebybuilding the expertise, etc.) as well as the fee level and after negotiating for reductionof fees if necessary.

Entrustment ofBrokerage of Sale andLease of Property

Brokerage fee for acquisition, disposition and lease in relations to property acquisition,
disposition, lease brokered by an interested party shall be within the fee level stipulated
under Real Estate Brokerage Act. (In case of trust, it is based on underlying land or
building.)

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MIRAI Corporation Sustainability Report 2024

Ordering ofConstruction Work, etc.

A construction order (excluding when the contract value is less than 10 million yen,emergency repair, or restoration work) may be placed with an interested party only
when the quote provided by the interested party does not significantly deviate from thequote obtained from unrelated third party considering the content of the service offered.
A construction order may be placed with an interested party without obtaining a third
party quote when 1) it is practically difficult to obtain third party quote due to specificcharacteristics of the property or 2) the work is continuous work and changing thecontractor may obscure where the responsibility lies.

Fundraising

Terms of fundraising from an interested party shall be reasonable upon considering
market condition.

(3)

Compliance Structure

MIRAI and the Asset Manager recognize the social responsibility and public mission that MIRAI's asset managementbusiness is an act of managing the funds of MIRAI's unitholders, and in order to establish the trust of society at large
by contributing to economic and social development through sound business operations, MIRAI and the Asset Manager
shall establish an appropriate management system to promote management that places the highest priority oncompliance. In order to achieve the above, the Asset Manager has established "Compliance Rules" and "Compliance
Manual" to ensure thorough compliance, as well as formulated a "Compliance Program," which is a specificimplementation plan to achieve compliance. MIRAI and the Asset Manager will strive to achieve compliance inaccordance with these.
Compliance Policy (of the Asset Manager)
1. Basic Principles⚫

The Asset Manager and its directors and employees shall conduct their business with high ethical standards, legal
compliance, integrity, and fairness.

⚫ The Asset Manager and its directors and employees will respect fundamental human rights and diverse values,
individuality, and privacy, and will not engage in any discriminatory language or conduct concerning humanrights, beliefs, gender, nationality, age, etc., or any act that disregards individuality, including acts of violence,harassment, or bullying.

2. Pursuit of Corporate Social Responsibility⚫

The Asset Manager, as a corporation, will strive to be an economic entity that pursues profits through faircompetition, and at the same time, to continue to be useful to society at large.

⚫

The Asset Manager expects its directors and employees to be aware of this serious social responsibility, to comply
with various laws and regulations, fair customs and the spirit of such laws and regulations, and to act in a sociallysensible manner.

⚫

The Asset Manager and its directors and employees shall not, in the course of performing their duties, give or
receive any money or goods beyond the scope of social etiquette, shall not provide or receive excessive
entertainment that may cause distrust, and shall not, under any circumstances, provide illegal benefits, makeillegal political contributions, or engage in bribery, etc.

⚫

The Asset Manager's directors and employees will maintain an appropriate cost awareness at all times and avoid
confusion between public and private matters.

3. Compliance Management as an Asset Manager⚫

The Asset Manager, as a Financial Instruments Business Operator and a Building Lots and Building Business
Operator licensed to provide Entrustment-Based Agency Services for Transactions, etc., will strive to promptly
provide accurate, fair, transparent and objective information to investors and pay utmost attention to the50

MIRAI Corporation Sustainability Report 2024

preservation of investors' assets. In addition, it conducts its business with an awareness of its responsibility toprotect investors and create a fair real estate investment market.
⚫

The Asset Manager regards compliance as its most important management issue and requires its officers andemployees to be aware of their responsibilities as investment management professionals and to comply with their
duty of loyalty and duty of care.

⚫

The Asset Manager will perform its duties with integrity and will not engage in any conduct that is contrary to
the interests of investors or the Asset Manager.

4. Compliance with Laws and Regulations⚫

The Asset Manager shall not only comply with the Financial Instruments and Exchange Act, Real Estate
Brokerage Act, Act on Investment Trusts and Investment Corporations, and all other laws and regulations, butalso conduct its business activities in accordance with sound business practices and socially accepted ideas.

5. Prohibition of Provision of Benefits, etc. to Antisocial Forces⚫

The Asset Manager will take a firm stand against antisocial activities and forces, and will not have any businessor other relationships with them.

6. Appropriate Management of Information⚫

The Asset Manager and its directors and employees shall take the utmost care to protect and maintain theconfidentiality of confidential information, personal information and other trade secrets disclosed by third parties
in the course of conducting MIRAI's asset management business and other operations and shall strive to preventthe loss or leakage of such information.

7. Work Environment⚫ The Asset Manager will comply with the Labor Standards Act and other employment-related laws and regulations
and will maintain a comfortable working environment.

＜Organizations Related to the Compliance System＞
Board of Directors（of the AssetManager）⚫

⚫
Compliance
Committee⚫
⚫
⚫

Investment
Management
Committee⚫
⚫
⚫

As the body ultimately responsible for the execution of the Asset Manager's
operations, it shall ensure compliance, receive reports on matters approved by theCompliance Committee, etc., and pass resolutions on important matters related tocompliance at the Asset Manager.
Members are all directors and auditors of the Asset Manager.
The Compliance Committee shall deliberate and decide on matters concerningcompliance issues, etc. of MIRAI and the Asset Manager.
The committee is convened by the Compliance Officer, who is the chairperson of
the committee, and is held at least once every three months in principle.
The committee is composed of the Compliance Officer, Representative Director
President, Director Deputy President & CIO, Director CFO, and outside committee
members (attorneys with no vested interest), and the decision is made by unanimous
vote of all committee members present.
The Investment Management Committee deliberates and decides on matters related
to MIRAI and the Asset Manager's asset management guidelines and acquisition anddisposition of assets under management.
In principle, the committee is held at least once every three months.
The committee is composed of the Representative Director President, Director
Deputy President & CIO, Director CFO, General Manager of the Investment &Management Division, Compliance Officer, and an outside member (a property
appraiser with no vested interest).

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MIRAI Corporation Sustainability Report 2024

Compliance Officer⚫

The Asset Manager understands the importance of MIRAI's asset management
operations as an act of managing the funds of MIRAI's unitholders, and in order toestablish an appropriate management system, the Asset Manager has appointed aCompliance Officer to be responsible for matters related to compliance at the AssetManager. By appointing the Compliance Officer, the Asset Manager ensures theeffectiveness of the internal checks and balances function with respect to otherdivisions.

＜Compliance Training＞
The Asset Manager conducts compliance training for all directors and employees on a regular basis, in addition tocompliance training at the time of hiring, in order to ensure that directors and employees are fully aware of compliance.
Training Achievements
Training Conducted(April 2023 to March 2024)

4 times

Training Topics

⚫
⚫
⚫
⚫

Participation Ratio

100%

AML/CFT
Examples of violations of the Act, etc.
Public Interest Notifier Protection System
Dealing with anti-social forces
etc.

＜Prohibition of Provision of Benefits, etc. to Antisocial Forces /Anti Money Laundering＞
MIRAI and the Asset Manager have clearly stipulated the prohibition of providing benefits, etc. to antisocial forces. It
is essential for a company to block any relationship with antisocial forces in order to maintain sound management, and
the Asset Manager has established "Rules for Exclusion of Antisocial Forces" and "Manual for Dealing with Antisocial
Forces," which stipulate to this effect. From the perspective of countermeasures against money laundering and terrorist
financing, it appropriately confirms when customers, etc. transact, preserves transaction records, etc., and reports
suspicious transactions in accordance with the Act on Prevention of Transfer of Criminal Proceeds and other laws andregulations, guidelines issued by relevant authorities and self-regulatory organizations, etc. In addition, the mattersnecessary to prevent the transfer of proceeds from crimes are established in the "Anti-Money Laundering Rules".

＜Corruption and Fraud Prevention＞
Articles 166 and 167 of the Financial Instruments and Exchange Act prohibit a person related to a listed company, etc.
or a takeover bidder, etc. from buying, selling, etc. or purchasing shares, etc. of such listed company, etc. before
material information that the person has learned about its duties or exercise of rights is made public (prohibition of
insider trading). The Asset Manager has established "Rules for Prevention of Insider Trading" and "Guidelines for
Handling Corporate Relationship Information" to prevent directors and employees from violating laws and regulations,etc. and to maintain a relationship of trust with clients and has established a method for handling corporate relationshipinformation, insider information, and tender offer information. In addition, the Asset Manager is committed tocompliance with laws and regulations by establishing separate rules for entertainment and gift-giving.

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MIRAI Corporation Sustainability Report 2024

Achievements Related to Corruption and Fraud Prevention
April 2023 to March 2024
Total Political Contributions

None

Number of fraud- and corruption-related exposures

None

Number of fraud and corruption-related disciplinary actions and dismissals

None

Fines, penalties, and settlement costs related to fraud and corruption

None

Administrative action from regulatory agencies

None＜Internal Reporting System＞
The Asset Manager has established a contact point for reporting, informing, or consulting concerning any act by its
directors and employees that violates or may violate laws, regulations, and rules and notifications established by it
while they are engaged in the Asset Manager or its business. In addition, the Asset Manager has also made known thereporting contact point in the Mitsui & Co. to prevent problems and to detect and correct them at an early stage.

＜Internal Audit＞
The Asset Manager has established an Internal Audit Division and conducts an internal audit once a year, led by theGeneral Manager of the Internal Audit Division. Internal audits are conducted using outside experts and other measures
to enhance effectiveness. After an audit is conducted, a report is made to the Board of Directors and the status of
improvement is monitored. Mitsui & Co. Group also conducts operational audits on an irregular basis to detect andcorrect problems as early as possible.

＜Risk Management＞
The Asset Manager has established “Risk Management Rules” in order to properly manage various risks and has
stipulated that any major risk must be reported to the Board of Directors without delay. Risks that directly or indirectly
affect the execution of the Asset Manager's operations due to uncertainty in the execution of its operations or theachievement of its objectives are selected and classified and managed according to the characteristics of each risk.
Risk monitoring is reviewed once a year to ensure an appropriate understanding of the risk environment in which theAsset Manager finds itself. In addition, a system is in place to ensure that accidents and other incidents are reported to
the Board of Directors without delay in accordance with established processes.

＜Information Security＞
The Asset Manager has formulated the "Basic Rules for Information Security Management" and the "Information
Management Manual" to systematically manage information assets and maintain and improve information security
levels in order to appropriately protect information assets at MIRAI and the Asset Manager. In addition, it hasestablished a separate "Personal Information Protection Rules" for personal information, which is an important asset,
and have established a management system and basic rules for the handling of personal information to ensure that
information can be used smoothly and efficiently in its operations, and to prevent information leaks and other risks.

＜Customer-first Business Practices Policy＞
The Asset Manager has adopted the "Principles for Customer-first Business Practices" published by the Financial
Services Agency on March 30, 2017, and has established "Policy for Investment Corporation-first Business Practices".
The Asset Manager will continue to revise this policy as necessary, and will periodically announce the specific efforts
53

MIRAI Corporation Sustainability Report 2024

and performance indicators (KPIs) related to this policy. (https://www.mitsui-idera.com/ja/policy/)＜Compliance with Environmental Laws and Regulations＞
MIRAI also updates itself on laws and regulations related to the environment together with outside experts, and strives
to ensure that procedures and operations are in compliance with laws and regulations.

54

MIRAI Corporation Sustainability Report 2024

(4)Disclosure＜IR＞
MIRAI and the Asset Manager strive to provide easy-to-understand information to investors. In addition to thefinancial statements and securities reports that are legally required disclosure materials, MIRAI publishes financial
results briefing materials, press releases, etc. on its website. MIRAI also discloses movies and other materials thatprovide an easy-to-understand overview of MIRAI's property and financial results for individual investors.
Various IR materials

Presentation material

Web content for individual investors

Financial summary movies (YouTube)

Property introduction movies (YouTube)

IR for Analysts and Institutional Investors
A briefing by the Representative Director, President of the Asset Management Company is held for each fiscal period.
Individual meetings with domestic and foreign institutional investors are held after the announcement of financial
results.
IR meetings held (including telephone and online) from April 2023 to March 2024
105 meetings

55

MIRAI Corporation Sustainability Report 2024

IR for Individual Investors
MIRAI actively disseminate information through participation in IR events and briefings for individual investors
hosted by securities firms.
IR meetings held (including movies and online) from April 2023 to March 2024
4 meetings(5)

Governance Regarding Sponsors＜Governance through Equal Partnership＞
The Asset Manager’s ownership ratio by Mitsui & Co. group and IDERA Capital Management is 50:50, making it thefirst listed J-REIT Asset Manager in the industry to be established as an equal partnership. The check-and-balance
function of the equal partnership further strengthens the governance system to prevent conflicts of interest.

＜Equity Co-investments by Sponsors＞
MIRAI aims to align the interests of unitholders, sponsors and the Asset Manager and achieve medium and long-term
improvement in unitholders’ value through Equity Co-investments adopted as a governance initiative. Both sponsors
have expressed their strong commitment to enhancing MIRAI's unitholder value through their Equity Co-investments.
In addition, a cumulative investment plan for MIRAI investment units has been established for employees of the AssetManager as part of its welfare program, and a system has also been established for employees to make a commitment
to the business operations of the Asset Manager and MIRAI's interests.
Number of units held by sponsors (as of end of April 2024)
40,000 units (2.1%)

56

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index

Pages of the Sustainability Report (August 2024 Edition)

Location on MIRAI's web site

GRI 2： General Disclosures 2021
1. The organization and its reporting practices

Pages of the Sustainability Report2-1

Organizational details

P.4 Overview of MIRAI (2) Organaization

About MIRAI

2-2

Entities included in the organization’s sustainability reporting

P.1 Editorial Policy

About MIRAI

2-3

Reporting period, frequency and contact point

P.1 Editorial Policy

Contact

2-4

Restatements of information

No applicable matters.

2-5

External assurance

Attached Materials: Assurance Statement-

2-6

Activities, value chain and other business relationships

P.5 Overview of MIRAI (3) Features of MIRAIOur Story

2. Activities and workers

Portfolio
P.44 Governance (1) Overview of the Organization <Governance Structure
Chart>
P.11 Sustainability Policy and Management Framework (3) Stakeholder
Engagement

Governance Structure--

Financial Highlights

2-7

Employees

P.43 Society (6) Employee Data

Employee initiative(Note 1)

2-8

Workers who are not employees

P.43 Society (6) Employee Data

Employee initiative(Note 1)GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
3. Governance

2-9

Governance structure and composition

P.44 Governance (1) Overview of the Organization
P.48 Governance (2) Efforts against Conflicts of Interest

The securities report "(4) Structure of the Investment Corporation" of "1.
Overview of the Investment Corporation"under "Section 1: Status of the Funds" of(Note 2)"Chapter 1: Information on the Funds"
Governance

P.9 Sustainability Policy and Management Framework (2) Sustainability
Management Framework

Sustainability Management Framework

2-10

Nomination and selection of the highest governance body

P.44 Governance (1) Overview of the Organization

The securities report "(4) Structure of the Investment Corporation ②Executive
Director, Supervisor and Board of Directors" of "1. Overview of the Investment(Note 2)
Corporation"under "Section 1: Status of the Funds" of "Chapter 1: Information on
the Funds"

2-11

Chair of the highest governance body

P.44 Governance (1) Overview of the Organization

About MIRAI

P.9 Sustainability Policy and Management Framework (2) Sustainability
Management Framework
P.9 Sustainability Policy and Management Framework (2) Sustainability
Management Framework
P.9 Sustainability Policy and Management Framework (2) Sustainability
Management Framework
P.44 Governance (1) Overview of the Organization
P.48 Governance (2) Efforts against Conflicts of Interest
P.50 Governance (3) Compliance Structure
P.56 Governance (5) Governance Regarding Sponsors
P.44 Governance (1) Overview of the Organization
P.48 Governance (2) Efforts against Conflicts of Interest
P.53 Governance (3) Compliance Structure <Risk Management>

2-12Role of the highest governance body in overseeing the management of impacts

Sustainability Management Framework

2-13

Delegation of responsibility for managing impacts

2-14Role of the highest governance body in sustainability reporting

2-15

Conflicts of interest

2-16

Communication of critical concerns

2-17Collective knowledge of the highest governance body

P.39 Society (4) Initiatives for Employees <Training Program>
P.52 Governance (3) Compliance Structure <Compliance Training>

2-18

Evaluation of the performance of the highest governance body

MIRAI has not conducted an evaluating the highest governance body’s performance.

2-19

Remuneration policies

P.44 Governance (1) Overview of the Organization

2-20

Process to determine remuneration

P.44 Governance (1) Overview of the Organization

2-21

Annual total compensation ratio

As MIRAI has no employees, it is impossible to calculate the ratio of annual total compensation. It is not available such information of the asset management company
at this time.

Sustainability Management Framework
Sustainability Management Framework
The securities report "(1) Investment Policy ⑥Strong Financial Base and Equity
Co-Investment by Sponsors" of "2. Investment Policy"under "Section 1: Status of
the Funds" of "Chapter 1: Information on the Funds"
The securities report "(2) Management System ⑥Risk Management System" of"1. Overview of the Asset Manager "under "Section 4: Status of the Related
Corporations" of "Chapter 1: Information on the Funds"(Note 2)

(Note 2)-The securities report "(3) Management Remuneration, etc. ①Remuneration of
Directors" of "4. Fee and Tax"under "Section 1: Status of the Funds" of "Chapter
1: Information on the Funds"
The securities report "(3) Management Remuneration, etc. ①Remuneration of
Directors" of "4. Fee and Tax"under "Section 1: Status of the Funds" of "Chapter
1: Information on the Funds"(Note 2)

(Note 2)GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
4. Strategy, policies and practices
2-22Statement on sustainable development strategy

P.3 Overview of MIRAI （1）Philosophy of MIRAI ＜Top Message＞

2-23

Policy commitments

P.7 Sustainability Policy and Management Framework (1) Sustainability Policy Sustainability Policy

Top Message

P.35 Social （2）Initiatives for Sustainable Supply Chain＜Standards for
Sustainable Procurement＞

ｰ

P.42 Social （5）Benefits and Welfare＜Respect for Human Rights＞

Respect for Human Rights

2-24

Embedding policy commitments

P.7 Sustainability Policy and Management Framework (1) Sustainability Policy Sustainability Policy

2-25

Processes to remediate negative impacts

P.50 Governance (3) Compliance Structure

2-26

Mechanisms for seeking advice and raising concerns

P.44 Governance (1) Overview of the Organization
P.48 Governance (2) Efforts against Conflicts of Interest
P.50 Governance (3) Compliance StructureｰGovernance Structure
Governance

2-27Compliance with laws and regulations

No applicable matters.

2-28

Membership associations

P.4 Overview of MIRAI (2) Organaization

Asset Manger

P.13 Sustainability Policy and Management Framework (5) Participation in
Initiatives/ Third-party Accreditation

Participation in Initiatives

5. Stakeholder engagement
2-29

Approach to stakeholder engagement

2-30

Collective bargaining agreements

P.11 Sustainability Policy and Management Framework (3) Stakeholder
Engagement
MIRAI does not have any employees; therefore, not applicable. The Asset Manager respects freedom of association as stipulated by law, but does not have a labor
union.

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 3：Material Topics 2021
2021

3-1

Process to determine material topics

3-2

List of material topics

3-3Management of material topics

P.12 Sustainability Policy and Management Framework (4) Materiality(Material Issues) & SDGs
P.12 Sustainability Policy and Management Framework (4) Materiality(Material Issues) & SDGs
P.12 Sustainability Policy and Management Framework (4) Materiality(Material Issues) & SDGs

Materiality (Material Issues) & SDGs

P.14 Environment

Environmental Measures

P.32 Society

Social Responsibility

P.44 Governance

Governance-

Financial Highlights

Materiality Identification Process

Materiality (Material Issues) & SDGs

Topic Specific Standards
Economic
GRI 201：Economic Performance
2016

201-1

Direct economic value generated and distributed

The securities report "1.Financial Statements"under "Section 5: Status of
Accounting on the Investment Corporation" of "Chapter 2: Detailed informationon the Investment Corporation"
201-2

Financial implications and other risks and opportunities due to climate change

P21 Environment (4) Initiatives for Climate Change <Strategy> Qualitative
Climate-related Assessment

Initiatives for Climate Change

201-3

Defined benefit plan obligations and other retirement plans

-

-

201-4

Financial assistance received from government

-

-

202-1

Ratios of standard entry level wage by gender compared to local minimum wage

-

-

202-2

Proportion of senior management hired from the local community

No applicable matters.

GRI 202：Market Presence
2016(Note 2)GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 203：Indirect Economic Impacts
2016

203-1

Infrastructure investments and services supported

-

-

203-2

Significant indirect economic impacts

-

-

204-1

Proportion of spending on local suppliers

No applicable matters.

205-1

Operations assessed for risks related to corruption

The Asset Manager conducts risk assessment at its head office. The Asset Manager does not have any sales offices or branches.

205-2

Communication and training about anti-corruption policies and procedures

P.52 Governance (3) Compliance Structure <Compliance Training><Corruption and Fraud Prevention>

205-3

Confirmed incidents of corruption and actions taken

No applicable matters.

206-1

Legal actions for anti-competitive behavior, anti-trust, and monopoly practices

No applicable matters.

207-1

Approach to tax

-

-

207-2

Tax governance, control, and risk management

-

-

207-3

Stakeholder engagement and management of concerns related to tax

-

-

207-4

Country-by-country reporting--

GRI 204：Procurement Practices
2016
GRI 205：Anti-corruption
2016-

GRI 206：Anti-competitive Behavior
2016
GRI 207：Tax
2019

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
Environmental
GRI 301：Materials
2016

301-1

Materials used by weight or volume

-

-

301-2

Recycled input materials used

-

-

301-3

Reclaimed products and their packaging materials

-

-

302-1

Energy consumption within the organization

GRI 302：Energy
2016

302-2
302-3

Energy consumption outside of the organization
Energy intensity

P.14 Environment
Data>
P.14 Environment
Data>
P.14 Environment
Data>
P.14 Environment
Data>(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance

Performance Data
Performance Data
Performance Data

302-4

Reduction of energy consumption

Performance Data

302-5

Reductions in energy requirements of products and services

-

-

303-1

Interactions with water as a shared resource

-

-

303-2

Management of water discharge-related impacts--

GRI 303：Water and Effluents
2018

303-3

Water withdrawal

303-4

Water discharge

303-5

Water consumption

P.14 Environment (1) Target of Environmental Performance <Performance
Data>
P.14 Environment (1) Target of Environmental Performance <Performance
Data>
P.14 Environment (1) Target of Environmental Performance <Performance
Data>

Performance Data
Performance Data
Performance Data

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 304：Biodiversity
2016

304-1

Operational sites owned, leased, managed in, or adjacent to, protected areas andareas of high biodiversity value outside protected areas

-

-

304-2

Significant impacts of activities, products, and services on biodiversity

-

-

304-3

Habitats protected or restored

-

-

304-4

IUCN Red List species and national conservation list species with habitats in areas
affected by operations

-

305-1

Direct (Scope 1) GHG emissions

GRI 305：Emissions
2016

305-2
305-3
305-4

Energy indirect (Scope 2) GHG emissions
Other indirect (Scope 3) GHG emissions
GHG emissions intensity

P.14 Environment
Data>
P.14 Environment
Data>
P.14 Environment
Data>
P.14 Environment
Data>
P.14 Environment
Data>(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance(1) Target of Environmental Performance <Performance

Performance Data
Performance Data
Performance Data
Performance Data

305-5

Reduction of GHG emissions

Performance Data

305-6

Emissions of ozone-depleting substances (ODS)

No applicable matters.

305-7

Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions

No applicable matters.

306-1

Waste generation and significant waste-related impacts

-

-

306-2

Management of significant waste-related impacts

-

-

306-3

Waste generated

P.14 Environment (1) Target of Environmental Performance <Performance
Data>

Performance Data

306-4

Wasete diverted from disposal

-

-

306-5

Waste directed to disposal--

GRI 306：Effluents and Waste
2020

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 307：Environmental Compliance
2016

307-1

Non-compliance with environmental laws and regulations

No applicable matters.

308-1

New suppliers that were screened using environmental criteria

No applicable matters.

308-2

Negative environmental impacts in the supply chain and actions taken

P.36 Social （2）Initiatives for Sustainable Supply Chain＜Standards for
Sustainable Procurement＞

-

401-1

New employee hires and employee turnoverP.43 Society (6) Employee Data

Employee initiative(Note 1)

401-2

Benefits provided to full-time employees that are not provided to temporary or
part-time employees

P.39 Society (4) Initiatives for Employees

Employee initiative(Note 1)

Parental leave

P.40 Society (4) Initiatives for Employees <Work Arrangements>
P.43 Society (6) Employee Data

Employee initiative(Note 1)--

GRI 308：Environmental Assessment
2016

SocialGRI 401：Employment
2016

401-3

GRI 402：Labor/Management Relations
2016

402-1

Minimum notice periods regarding operational changes

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 403：Occupational Health and Safety
2018

403-1

Occupational health and safety management system

-

-

403-2

Hazard identification, risk assessment, and incident investigation

-

-

403-3

Occupational health services

P.41 Soeity (5) Benefits and Welfare <Employee Health and Safety>

-

403-4

Worker participation, consultation, and communication on occupational health andsafety-403-5

Worker training on occupational health and safety

-

-

403-6

Promotion of worker healthP.41 Society (5) Benefits and Welfare <Employee Health and Safety>
P.41 Society (5) Benefits and Welfare <Consulation Counter>

-

403-7

Prevention and mitigation of occupational health and safety impacts directly linked
by business relationships

-

403-8

Workers covered by an occupational health and safety management system

-

-

403-9

Work-related injuries

No applicable matters.

(Note 1)403-10Work-related ill healthNo applicable matters.

(Note 1)

404-1

Average hours of training per year per employee

P.43 Society (6) Employee Data

Employee initiative(Note 1)404-2

Programs for upgrading employee skills and transition assistance programs

P.39 Society (4) Initiatives for Employees-(Note 1)

404-3

Percentage of employees receiving regular performance and career development
reviews

P.39 Society (4) Initiatives for Employees-(Note 1)

(Note 1)

(Note 1)

(Note 1)

GRI 404：Training and Education
2016

GRI 405：Diversity and Equal Opportunity
2016

405-1

Diversity of governance bodies and employees

P.43 Society (6) Employee Data

Employee initiative

405-2

Ratio of basic salary and remuneration of women to men--

Incidents of discrimination and corrective actions taken

No applicable matters.

GRI 406：Non-discrimination
2016

406-1

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 407：Freedom of Association and Collective Bargaining
2016

407-1

Operations and suppliers in which the right to freedom of association andcollective bargaining may be at risk

No applicable matters.

408-1

Operations and suppliers at significant risk for incidents of child labor

No applicable matters.

GRI 408：Child Labor
2016

GRI 409：Forced or Compulsory Labor
2016

409-1

Operations and suppliers at significant risk for incidents of forced or compulsorylabor

No applicable matters.

Security personnel trained in human rights policies or procedures-

GRI 410：Security Practices
2016

410-1

-

GRI 411：Rights of Indigenous Peoples
2016

411-1

Incidents of violations involving rights of indigenous peoples

No applicable matters.

GRI 412：Incidents of violations involving rights of indigenous peoples
2016

412-1

Operations that have been subject to human rights reviews or impact assessments

-

-

412-2

Employee training on human rights policies or procedures

-

-

412-3

Significant investment agreements and contracts that include human rights clausesor that underwent human rights screening-

GRI 413：Local Communities
2016

413-1
413-2

Operations with local community engagement, impact assessments, anddevelopment programs
Operations with significant actual and potential negative impacts on local
communities--

No applicable matters.

-

GRI Standards Reference Table
Statement f use

MIRAI Corporation has reported the information cited in this GRI Standards Referemce Table for the period April 1, 2023 to March 31, 2024 with reference to the GRI Standards.

GRI 1 used

GRI 1: Foundation 2021

URL
Reason of Omissyon/ Explanation

GRI Index
GRI 414：Supplier Social Assessment
2016

414-1

New suppliers that were screened using social criteria

-

-

414-2

Negative social impacts in the supply chain and actions taken

-

-

415-1

Political contributions

No applicable matters.

GRI 415：Public Policy
2016

GRI 416：Customer Health and Safety
2016

416-1

Assessment of the health and safety impacts of product and service categories

416-2

Incidents of non-compliance concerning the health and safety impacts of products
No applicable matters.
and services--

GRI 417：Marketing and Labeling
2016

417-1

Requirements for product and service information and labeling

-

417-2

Incidents of non-compliance concerning product and service information andlabeling

No applicable matters.

417-3

Incidents of non-compliance concerning marketing communications

No applicable matters.

Substantiated complaints concerning breaches of customer privacy and losses ofcustomer data

No applicable matters.

Non-compliance with laws and regulations in the social and economic area

No applicable matters.

GRI 418：Customer Privacy
2016

418-1

GRI 419：Socioeconomic Compliance
2016

419-1

(Note 1) As the Investment Corporation does not have any employees under its system, the information is based on the Asset Manager, Mitsui & IDERA Partners Co,Ltd.
(Note 2) The securities report and the Asset manger's web site are Japanese only.

-Independent Assurance Statement
June 24, 2024
Mr. Michio Suganuma
Executive Director
MIRAI Corporation
1. Purpose
We, Sustainability Accounting Co., Ltd., have been engaged by MIRAI Corporation (“the Investment Corporation") toprovide limited assurance on the Investment Corporation 's following data during April, 2023 to March, 2024, 23.1GWhof energy consumption, 542t-CO2 (Scope 1), 7.84kt-CO2 (Scope 2, location-based), 451 thousand m3 of water use, 2.8
kt of waste emissions (collectively, “the Environmental performance data”). The purpose of this process is to express ourconclusion on whether the Environmental performance data were calculated in accordance with the Investment
Corporation’s standards. The Investment Corporation's management is responsible for calculating the Environmental
performance data. Our responsibility is to independently carry out a limited assurance engagement and to express our
assurance conclusion.
2. Procedures Performed
We conducted our assurance engagement in accordance with International Standard on Assurance Engagement 3000
(ISAE 3000) and International Standard on Assurance Engagement 3410 (ISAE 3410). The key procedures we carriedout include:Interviewing the Investment Corporation’s responsible personnel to understand the Investment Corporation’s
standards and reviewing the Investment Corporation’s standards.

Performing cross-checks on a sample basis and performing a recalculation to determine whether theEnvironmental performance data were calculated in accordance with the Investment Corporation’s standards.
3. Conclusion
Based on the procedures performed, nothing has come to our attention that causes us to believe that the Environmental
performance data have not been calculated in all material respects in accordance with the Investment Corporation’s
standards.
We have no conflict of interest relationships with the Investment Corporation.

Takashi Fukushima
Representative Director
Sustainability Accounting Co., Ltd.