Creating peace of mind through honest and committed management.

[Provisional Translation Only]
This English translation of the original Japanese document is provided solely for information purposes.
Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

February 25, 2015
REIT Issuer
Ichigo Real Estate Investment Corporation (8975)
1-1-1, Uchisaiwaicho, Chiyoda-ku, Tokyo
Representative: Yoshihiro Takatsuka, Executive Director
Asset Management Company
Ichigo Real Estate Investment Advisors Co., Ltd.
Representative: Wataru Orii, President & Representative Statutory Executive Officer
Inquiries: Minoru Ishihara, Executive Vice President & Statutory Executive Officer
Tel: 03-3502-4891

Notice of New Loans, Interest Rate Swap, and Repayment of Existing Loan
Ichigo Real Estate Investment Corporation (“Ichigo REIT”) is conducting a refinancing of an
existing loan and entering into an interest rate swap agreement.
1. Reason for New Loan
Ichigo REIT is working to strengthen its financial base by pursuing a broad array of financing
methods, collateral consolidation, and non-collateralized borrowings in the current Stage IV
Increase Size & Scale (October 2014 – October 2015) of its multi-year growth strategy.
The new loan will further lower Ichigo REIT’s borrowing cost, lengthen as well as diversify
loan maturity, and strengthen its financial base.

2. Loan Details
Aozora Bank Syndicate Loan (5.5 years)
Lenders
Loan Amount
Use of Proceeds
Loan Date
Principal Repayment Date
Principal Repayment Terms
Interest Rate
Interest Payment Date

Collateralized

Aozora Bank, Ltd.; Shinsei Bank, Limited;
ORIX Bank Corporation
4,525,000,000 yen
Repayment of existing loanFebruary 27, 2015 (Expected)
August 31, 2020 (Expected)
Lump-sum payment
1M JPY TIBOR + 0.75 % (p.a.)
Final business day of each month (the firstpayment date will be March 2015 and the last
payment date will be the same as the Principal
Repayment Date)
Yes13. Interest Rate Swap(i) Reason
To fix the interest payment of the aforementioned loan and hedge against a rise in interest
rates.
(ii) Swap Details
Counterparty
Notional Principal
Interest Rate

Contract Date
Commencement Date
Termination Date
Interest Payment Date

Shinsei Bank, Limited
4,525,000,000 yen
Fixed Interest Rate: 1.1420 %Floating Interest Rate: 1 M JPY TIBOR+ 0.75 % (p.a.)
February 25, 2015
February 27, 2015 (Expected)
August 31, 2020 (Expected)
Final business day of each month (the firstpayment date will be March 2015 and the last
payment date will be the same as the Principal
Repayment Date)(Note) The interest rate swap agreement shall, in effect, fix the interest rate at 1.1420 %.
4. Loan Repayment Details
Aozora Bank Syndicate Loan
Lenders
Loan Amount
Outstanding Amount after Repayment
Loan Date
Principal Repayment DateInterest Rate
Collateralized

Aozora Bank, Ltd.; Shinsei Bank, Limited;
ORIX Bank Corporation
4,525,088,742 yen
None
August 31, 2012
February 27, 2015 (Expected)
1.60269%
Yes

5. Future Outlook
There is no amendment to Ichigo REIT’s earnings and dividend forecast as announced in“Earnings Forecast for the Fiscal Period ending April 2015” on December 18, 2014.
6. OtherRisks related to this loan and repayment have no material impact on the “Investment Risks”
described in the latest Securities Report (submitted January 27, 2015).

2

Reference: Loan Composition after New Borrowing■ Outstanding Loan Balance (Expected, as of February 27, 2015)(million yen)
Before execution

After execution(Expected as ofFebruary 27,2015)

Increase/Decrease

Short-term borrowings

000

Long-term borrowings(due within one year)

15,70011,175-4,525Long-term borrowings

44,194

48,719+4,525

Total amount of borrowings

59,89559,8950Investment corporation bonds

000

Total amount of borrowings andInvestment corporation bonds

59,89559,8950

Other interest-bearing liabilities

00059,89559,895

0

Total of interest-bearing liabilities■ Outstanding Loan Balance (Expected, as of February 27, 2015)

ORIX Bank
3%

Bank ofFukuoka 2%

MetLife
3%
BTMU
3%

Kagawa Tokyo Star
Bank3%
3%

SMBC
22%

Shinsei Trust 15%

Prudential LPS
6%

Mizuho Bank
10%

Resona Bank
10%

MizuhoTrust
4%

Shinsei Bank
13%

1

Aozora Bank
14%

Source of funds is Investment LPS managed by AXA Real Estate Investment Managers
Japan KK

3■ Average Interest Rate (Expected, as of February 27, 2015)
2.20%

1.90%

GE Loan
Refinancing(Aug 2014)

1.80%
1.78%

1.78%

3rd Accretive Follow-On PublicOffering (Dec 2014)

1.69%

Aozora LoanRefinancing(Feb 2015)

1.60%

1.53%

1.52%

2nd Accretive Follow-On Public
Offering (Dec 2013)

1.39%

1.34%

1.30%

Interest Rate: 1M JPY TIBOR + 0.75 % (p.a.)(Effective interest rate after interest rate swap: 1.1420%)

1.00%
0Nov-13

Feb-14May-14Aug-14

Nov-14Feb-15■ Distribution of Repayment Dates (Expected, as of February 27, 2015)(million yen)
20,00015,00010,000

7,530
6,581
5,900
4,992
5,000

4,450

6,422
5,417

5,431
4,525

4,310

1,765

1,330
0April 2015

Oct 2015

April 2016

Oct 2016

April 2017Oct 2017

April 2018

Website of Ichigo REIT: www.ichigo-reit.co.jp/english

4

Oct 2018

April 2019Oct 2019

April 2020

Oct 2020

April 2021