[Translation for reference purposes only]
May 27, 2024

To all parties concerned:
Real Estate Investment Trust Securities Issuer:
Nippon Hotel & Residential Investment Corporation
Representative:
Takeshi Kirihara,
Executive Director(Securities Code: 3472)
Asset Manager:
APA Investment Management Co., Ltd.
Representative:
Takeshi Kirihara,
Chief Executive Officer
Inquiries:
Tomohiro Honda,
Director,
Chief Financial Officer,
Chief Planning &Coordination Officer(TEL:+81-3-6262-5456)
Notice Concerning Borrowing of Funds
Nippon Hotel & Residential Investment Corporation (hereinafter “the Investment Corporation”) announces thatit has decided today to undertake borrowings as detailed below.
1. Reason for the Borrowing
The proceeds of the loans will be allocated to constitute part of the funds for the repayment of short-term loans
739 million yen and long-term loans 4,362 million yen with a repayment date of May 31, 2024.
(Note) For details, please refer to “Notice Concerning Borrowing of Funds” announced on May 29, 2023 and February 26, 2024.
The balance of the Existing Loans prior to the undertaking of the Borrowing comes to 4,971 million yen, taking scheduled
repayments and other factors into consideration.

2. Details of the Borrowing(1) Short-term loan (Note 1)(1) Lender(2) Loan amount(3) Interest rate (Note 3)(4) Drawdown date (Note 6)(5) Borrowing method

:::
:
:

(6) Interest payment date:(Note 6)

(7) Principal repayment date :Sumitomo Mitsui Trust Bank, Limited
750 million yen
Base interest rate (JBA JPY TIBOR) (Note 4) (Note 5) plus 0.60%
May 31, 2024
Borrowing based on the individual loan agreement dated May 29, 2024 with thelender aboveThe first interest payment date shall be the last day of June 2024, and subsequentinterest payment dates shall be the last day of every month thereafter and theprincipal repayment date.
May 30, 2025

(Note 6)

(8) Principal repayment
method (Note 6):(9) Security:

The first repayment will be made on July 31, 2024. Subsequently, 5,262
thousand yen will be repaid on the last day of every three months with thebalance to be repaid on the last principal payment date.
Unsecured and guaranteed (Note 7)

1(2) Long-term loan
(1) Lender(2) Loan amount(3) Interest rate (Note 3)(4) Drawdown date (Note 6)(5) Borrowing method

:::
:
:

(6) Interest payment date:(Note 6)

(7) Principal repayment date :Syndicate with Sumitomo Mitsui Banking Corporation as the arranger (Note 2)
4,221 million yen
Base interest rate (JBA JPY TIBOR) plus 0.70%
May 31, 2024
Borrowing based on the individual loan agreement dated May 29, 2024 with thelender above
The first interest payment date shall be the last day of June 2024, and subsequentinterest payment dates shall be the last day of every month thereafter and theprincipal repayment date.
May 31, 2026

(Note 6)

(8) Principal repayment
method (Note 6):(9) Security:

The first repayment will be made on July 31, 2024. Subsequently, 34,214
thousand yen will be repaid on the last day of every three months with thebalance to be repaid on the last principal payment date.
Unsecured and guaranteed (Note 7)(Note 1)

“Short-term loan” refers to a loan where the principal is due within one year, and “long-term loan” refers to a loan
where the principal is due within a period of more than one year. The same applies hereinafter.
(Note 2) The syndicate consists of Sumitomo Mitsui Banking Corporation, The Tokyo Star Bank, Limited, Aozora Bank, Ltd.,
Resona Bank, Limited, The Ogaki Kyoritsu Bank, Ltd. and San ju San Bank, Ltd. Also, Sumitomo Mitsui Banking
Corporation can transfer their loan receivables for syndication.
(Note 3) Borrowing expenses, etc. payable to the lenders are not included. The same applies hereinafter.
(Note 4) The base interest rate applicable to a calculation period for the interest payable on each interest payment date shall bethe JBA Japanese yen TIBOR (Tokyo Interbank Offered Rate), as of two business days prior to the interest payment
date (in the case of the first interest calculation period, two business days prior to the borrowing date), which covers
the calculation period for such interest payable. However, in cases where the interest rate is not announced, the baseinterest rate for such interest calculation period shall be calculated based on the method provided for in the loanagreements. Further, each interest rate will be 0% when it is below 0%.
(Note 5) Please refer to the Japanese Bankers Association (JBA) TIBOR Administration’s website (https://www.jbatibor.or.jp/english/) regarding the Japanese yen TIBOR.
(Note 6) If this date falls on a day that is not a business day, the repayment date shall be the immediately following business
day or, if that immediately following business day falls in the next calendar month, the immediately preceding businessday.
(Note 7) Please refer to the Notice of a Guarantee of Borrowings of Nippon Hotel & Residential Investment Corporation byAPA Holdings issued on May 27, 2024.

23. Status of Loans, etc. after the Borrowing(Unit: million yen)
Before drawdown

After Drawdown

Increase or decrease

Short-term loans

926945+19

Long-term loans (Note)

11,81011,791(19)

12,736

12,736----

12,736

12,736----

12,736

12,736-

Total loans
Investment corporation bonds
Total amount of loans andinvestment corporation bonds
Other interest-bearing debt
Total interest-bearing debt

4. Other Matters Necessary for Investors’ Appropriate Understanding and Judgment of the Subject Information
There is no change to the content of “Part I. Fund Information, I Status of Fund, 3. Investment Risks” of theSecurities Report for the fiscal period ended November 30, 2023 (15th fiscal period) submitted on February 26,2024 due to the Borrowing.
* The Investment Corporation’s website: https://oom-reit.com/en/

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