SUMMARY OF FINANCIAL RESULTS (REIT)
For the 1st Fiscal Period Ended August 31, 2013
October 15, 2013
REIT securities issuer:
Securities code:
Representative:

Nomura Real Estate Master Fund, Inc.
3285
Takashi Kataoka, Executive Director

Stock exchange listing: Tokyo Stock Exchange
URL: http://www.nre-mf.co.jp/

Asset management company:
Representative:
Inquiries:

Nomura Real Estate Asset Management Co., Ltd.
Yasuaki Fukui, President and Chief Executive Officer
Takashi Kataoka, NMF Chief Investment Officer

Scheduled date of filing of securities report:
Scheduled date of commencement of distribution payout:
Preparation for supplementary materials on financial results:
Holding of briefing session on financial results:

TEL: +81-3-3365-8767

November 28, 2013
November 15, 2013
Yes
Yes (for institutional investors)[Amounts are rounded down to the nearest million yen]

1. Financial Results for the Fiscal Period Ended August 31, 2013 (1st period) (from January 31, 2013 to August 31,
2013)(1) Operating Results[% figures are the ratio of increase (decrease) compared with the previous period]
Operating revenue
Period ended
August 31, 2013

million yen
3,683

Operating income%（－）

Net income
per unit
Period ended

million yen
2,089

Ordinary income%（－）

Return on Unitholders’equityyen

August 31, 2013

million yen
1,253

Net income

%
（－）

%
（－）

Ratio ofordinary income
to operating revenue

Ratio ofordinary income
to total assets

%

1,948
（751）

million yen
1,251

%

3.5

%

2.5

34.0

(Note 1) The calculation period for NMF’s fiscal period ended August 31, 2013 is a period of 213 days from January 31, 2013 to August 31, 2013, but theactual asset management period is a period of 80 days from June 13, 2013 to August 31, 2013.
(Note 2) Concerning net income per unit, the net income per unit calculated based on the daily weighted average number of investment units (1,665,260
units) is additionally shown in the round bracket with June 13, 2013, which is the date of commencement of the actual asset management,
deemed as the beginning of the fiscal period.
(Note 3) The return on unitholders’ equity and the ratio of ordinary income to total assets are each calculated based on the weighted average equity
amount and total assets amount with June 13, 2013, which is the date of commencement of the actual asset management, deemed as the
beginning of the fiscal period.
(Note 4) The percentage figures for operating revenue, operating income, ordinary income and net income are the ratio of increase (decrease) comparedwith the previous period, and thus are not applicable for the 1st fiscal period.

(2) Distributions
Distribution
per unit(excluding distribution
in excess of earnings)

Period ended

Total
distributions

yen

August 31, 2013751

million yen
1,250

Distribution
in excess ofearnings
per unit
yen
0

Total
distributions
in excess ofearnings

Ratio ofdistributions to
net assets

Distribution
payout ratio

million yen
0

%

%

99.9

0.8

(Note) Distribution payout ratio is calculated as follows since new investment units were issued through public offering and the number of investment
units issued and outstanding was changed during the period (rounded down to first decimal place):
Distribution payout ratio ＝ Total distributions (excluding distribution in excess of earnings) ÷ Net income ×100(3) Financial Position
Total assets
Period ended

million yen
252,265

August 31, 2013

Net assets
million yen
162,371

Net Assets to total assets

Net assets per unit

%
64.4

yen
97,505(4) Status of Cash FlowsNet cashprovided by (used in)operating activities
Period ended
August 31, 2013

million yen△1,510Net cashprovided by (used in)investing activities
million yen△221,334－ 1 －Net cashprovided by (used in)financing activities
million yen
239,305

Cash andcash equivalents
at end of period
million yen
16,460Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

2. Earnings Forecasts for the Fiscal Period Ending February 28, 2014 (2nd period) (from September 1, 2013 to
February 28, 2014) and August 31, 2014 (3rd period) (from March 1, 2014 to August 31, 2014)[% figures are the ratio of increase (decrease) compared with the previous period]

Operating revenue
Period ending
February 28, 2014
August 31, 2014

million yen
9,099
9,250

Operating income(%)(147.1 )( 1.7)

million yen
5,168
4,561

(%)
(147.3 )(△11.7 )Distribution per unit

Ordinary income
million yen
4,630
3,964

(%)
(269.5 )(△14.4 )Net income
million yen
4,629
3,963

(%)
( 269.9)( △14.4)

Distribution in excess of earnings per unit

(excluding distribution in excess of earnings)

Period ending
February 28, 2014
August 31, 2014
(Reference) Forecast net income per unit

yen
2,780
2,380
for the fiscal period ending February 28, 2014:
for the fiscal period ending August 31, 2014:

yen––
2,780 yen
2,380 yen

(Note) In principle, NMF is scheduled to announce the earnings forecast for one fiscal period, as at the time of disclosure of each fiscal period’s briefreport of financial results, for the fiscal period following the fiscal period subject to such report. However, the fixed asset tax, city planning tax,
etc. on the 54 properties that NMF acquired during the 1st fiscal period upon commencement of its asset management will not be charged to
expenses until the fiscal period ending August 31, 2014 (3rd fiscal period) and the impact of such fixed asset tax, city planning tax, etc. thus will
not be reflected into the earnings forecast for the fiscal period ending February 28, 2014 (2nd fiscal period). Therefore, in view of presenting theearnings forecast for the fiscal period ending August 31, 2014 (3rd fiscal period) that will reflect the impact of these taxes and dues into theearnings forecast, NMF hereby anounces the earnings forecasts for two fiscal periods – the fiscal period ending February 28, 2014 (2nd fiscal
period) and the fiscal period ending August 31, 2014 (3rd fiscal period) – in this 1st fiscal period’s brief report of financial results.

3. Other(1) Changes in Accounting Policies, Changes in Accounting Estimates and Retrospective Restatement① Changes in accounting policies accompanying amendments to accounting standards, etc.:② Changes in accounting policies other than in ①:③ Changes in accounting estimates:④ Retrospective restatement:

None
None
None
None

(2) Number of Investment Units Issued and Outstanding① Number of investment units issued and outstanding at end of fiscal period(including treasury investment units):
As of August 31, 2013: 1,665,260 units② Number of treasury investment units at end of fiscal period
As of August 31, 2013:– units(Note) For the number of investment units used as the basis for calculation of net income per unit, please refer to“Notes on Per Unit Information” on page 23.
* Presentation of the status of implementation of audit procedures
At the time of disclosure of this report, audit procedures for financial statements pursuant to the Financial
Instruments and Exchange Act have not been completed.
* Explanation of the appropriate use of the forecast for management status, and other matters of special note
The outlook for management status and other forward-looking statements contained in this report are basedon information currently available to and certain assumptions deemed reasonable by NMF. Accordingly,
actual management status, etc. may differ materially due to a variety of factors. In addition, the forecast is
not a guarantee of the amount of distributions. For the matters to note in the use of the assumptions
underlying the forecast for management status and the forecast for management status, etc., please refer to“2. Management Policy and Management Status; (2) Management Status” on page 3.

－ 2 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Attachment
1. Affiliated Corporations of the Investment Corporation
Disclosure is omitted, since there are no significant changes from the “Structure of the Investment Corporation”
presented in the securities registration statement (filed on May 9, 2013).
2. Management Policy and Management Status(1) Management Policy
Disclosure is omitted, since there are no significant changes from the “Investment Policy,” “Investment
Targets” and “Distribution Policy” presented in the securities registration statement (filed on May 9, 2013).
(2) Management Status① Outline of Fiscal Period under Review
NMF was incorporated on January 31, 2013 by Nomura Real Estate Asset Management Co., Ltd. underthe Act on Investment Trusts and Investment Corporations, and listed on the Real Estate Investment Trust
Securities Market of Tokyo Stock Exchange, Inc. on June 12, 2013 (securities code: 3285).
NMF adopts the basic asset management policy of investing mainly in specified assets of real estate, etc.
and real estate backed securities to secure stable income and steady growth of assets under management
over the medium- to long-term. NMF has set primarily logistics facilities and retail facilities as maininvestment targets to achieve the basic policy described above. Both types of facilities are regarded as being
essential to economic activities, with logistics facilities as industrial infrastructure and retail facilities as
infrastructure supporting consumption activities.
Based on an investment strategy of building a balanced portfolio of logistics facilities and retail facilities
and also focusing on the Greater Tokyo area, where strong demand is expected, NMF will aim to securestable income over the medium to long term.
(Note) The Act on Investment Trusts and Investment Corporations (Act No. 198 of 1951) is hereinafter referred to as the “Investment Trusts Act.”“Assets under management” refers to assets that belong to NMF.
For the purposes of this report, real estate includes rights of lease and superficies of real estate. Unless otherwise stated, the same applies
hereinafter.
“Real estate, etc.” refers to assets defined in Article 29, Paragraph 1 (1) or (2) of NMF’s Articles of Incorporation, and “real estate backed
securities” refers to assets defined in Article 29, Paragraph 1 (3) of NMF’s Articles of Incorporation.
“Real estate, etc.” and “real estate backed securities” are hereinafter collectively referred to as “real estate related assets.”
Real estate and the underlying real estate of real estate related assets are together referred to as the “real estate under management” or the“property.”“Greater Tokyo area” refers to Tokyo, Kanagawa, Chiba and Saitama prefectures.

A. Investment Environment and Management Performance
The Japanese economy showed trends of weaker yen and higher stock prices, backed by the various
policies for pulling out of deflation and sustainable economic growth through so-called “Abenomics”
after the change of government at the end of 2012. In correlation, improvement was seen inexport-related and other corporate earnings. In addition, personal consumption was robust due toimprovement in consumer confidence.
With such improvement in the business sentiment, as well as expectation for monetary easing and theeconomy to pull out of deflation, leading to the continuous inflow of funds into the J-REIT market, andbacked by a favorable financing environment, there were active new J-REIT listings and property
acquisitions accompanying capital rasings through public offering by existing J-REITs. These haveresulted in the amount of property acquisitions by J-REITs since the start of 2013 already reaching alevel that exceeds the 2012 level.
Concerning logistics facilities market trends, supported by demand from e-commerce and internet
mail-order and the fashion/apparel industry, as well as demand from the accompanying third-party
logistics business expansion, supply-demand is tight and the vacancy rate of large logistics facilities
continues to be at a low level.
Concerning the environment surrounding retail facilities, the trends of improvement in the domestic
economy and consumer confidence have led to signs of recovery starting to show in consumption trends
as well, and the business performance of retail companies has also been trending toward improvement
since last year. According to the Ministry of Economy, Trade and Industry’s “Current Survey ofCommerce,” retail sales value was stable in 2012 and that trend currently still continues. Supported byrobust personal consumption, strong demand is expected to continue.
Under such circumstances, using proceeds from the issuance of new investment units through public
offering and borrowings, NMF commenced management with the acquisition of 25 properties (totalacquisition price of 47,576 million yen) on June 13, 2013, and acquired 26 properties (total acquisition－ 3 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

price of 153,250 million yen) on June 14, 2013, 1 property (acquisition price of 10,600 million yen) on
July 19, 2013 and 2 properties (total acquisition price of 16,190 million yen) on July 31, 2013 of realestate and trust beneficiary interests in real estate (“real estate trust beneficiary interests”). The
acquisition of properties was based on an investment strategy of constructing a balanced portfolio of
logistics facilities and retail facilities and also focusing on the Greater Tokyo area, where strong demand is
expected, with an aim to secure stable income over the medium- to long-term.
As a result, the number of properties held by NMF at the end of the 1st fiscal period was 54 properties(total acquisition price of 227,616 million yen), investment ratio in the Greater Tokyo area accounted for
83.9% and gross leasable area was 890,795.63 m2. In addition, the occupancy rate of the entire portfolio at theend of the 1st fiscal period was stable at a high level of 99.8%.

B. Status of Fund Procurement
NMF implemented an issuance of new investment units through public offering (1,663,260 units) with
June 11, 2013 as the payment date, and listed on the Real Estate Investment Trust Securities Market ofTokyo Stock Exchange on June 12, 2013. As a result, unitholders’ capital was 161,120 million yen and thenumber of investment units issued and outstanding was 1,665,260 units at the end of the fiscal period
under review.
In addition, NMF borrowed 52,800 million yen on June 13, 2013, 12,200 million yen on July 18, 2013
and 13,500 million yen on July 30, 2013 to fund the acquisition of specified assets and related
miscellaneous expenses. In addition, NMF made partial loan repayment using cash on hand. As a result,the balance of loans outstanding was 78,478.6 million yen and the ratio of interest-bearing liabilities tototal assets (LTV) was 31.1% at the end of the 1st fiscal period.
The following is the rating obtained by NMF as at the end of the 1st fiscal period. The rating is not a ratingof NMF investment units. Concerning NMF investment units, there are no credit ratings that credit rating
agencies have provided or made available for inspection and there are no credit ratings that credit rating
agencies are scheduled to provide or make available for inspection at the request of NMF.
Credit rating agency
Japan Credit Rating Agency, Ltd. (JCR)

Rating description
Long-term issuer rating:

：

Note
AA−

Rating outlook: Stable

C. Business Performance and Distributions
As a result of the management described above, business performance for the 1st fiscal period was asfollows: operating revenue of 3,683 million yen, operating income of 2,089 million yen, ordinary incomeof 1,253 million yen and net income of 1,251 million yen.
Concerning distributions in the 1st fiscal period, in order to have the maximum amount of
distributions of earnings included in deductible expenses by applying special measures for the tax
treatment (Article 67-15, Paragraph 1 of the Act on Special Measures Concerning Taxation (Act No. 26
of 1957)), NMF decided to distribute almost the entire amount of unappropriated retained earnings,
excluding fractions of the distribution per investment unit that are less than 1 yen. Accordingly, NMF
declared distribution per investment unit of 751 yen.

－ 4 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

② Outlook for Next Fiscal Period
A. Future Management Policy and Challenges
Based on the pickup in exports due to trends of weaker yen, as well as the various policies for pullingout of deflation and revitalizing the economy, the Japanese economy is anticipated to see improvement incorporate earnings leading to increase in capital investment and improvement in the employment
environment continuing and to see economic recovery gain momentum. In addition, in the J-REIT
market, profit-taking after April 2013 and subsequent long-term interest rate instability caused the TSE
REIT Index to show stronger signs of adjustment, but is recently settling down. Considering that the
J-REIT financing environment is still favorable, active movements for property acquisition will likely
continue to be seen.
Based on such recognition, NMF will engage in management based on the following policy in order tosecure stable income and steady growth of assets under management over the medium to long term.
(a) Expand asset size based on clear investment strategy
NMF will aim to secure stable income over the medium- to long-term based on an investment
strategy of focusing on the Greater Tokyo area, where strong demand is expected.
NMF will expand asset size in this manner and thereby diversify real estate under management to
reduce risks of income fluctuation and lower operational management costs through economies ofscale.
In view of making selective and effective investment in prime properties when investing in newproperties, NMF will work to obtain property sale information early and promote negotiatedtransactions through further expansion of independent property sourcing routes and collaboration
with the Nomura Real Estate Group, as well as conduct adequate due diligence to identify investment
risks.
(b) Property operations from the medium- to long-term perspective
The logistics facilities and retail facilities located in residential areas that NMF invests in are regarded
as having the potential to generate stable cash flows from long-term lease agreements with tenants,
while retail facilities located near train stations are regarded as having internal cash flow growthpotential. When operating logistics facilities and retail facilities located in residential areas, NMF will
operate with income stability in mind by striving to make the lease agreement a long-term agreement at
the time of agreement renewal. In addition, when operating retail facilities located near train stations,
NMF will operate with sights set on enhancing income by increasing the rent amount, etc. through,among others, renewal of agreementsand replacement of tenants in the economic recovery phase
based on an accurate grasp of the market environment.
Moreover, NMF will make utmost use of the Nomura Real Estate Group’s leasing, operation,building management and other management capabilities and strive to achieve a high and stable levelof occupancy rate and maintain and enhance the rent level in pursuit of stable portfolio income overthe medium- to long-term.
(c) Maintain and enhance stable financial base
When borrowing funds and issuing investment corporation bonds, NMF will conduct fundprocurement, taking into consideration the fund procurement flexibility and financial stability. In
addition, while closely monitoring financial market trends, use of interest-rate swaps, etc. forconversion of the interest rate to a fixed rate, extension of the loan period, procurement withdiversified repayment dates will be positioned at the core of the financial strategy and these will be
executed to build a stable financial base.
③ Significant Subsequent Events
Not applicable.

－ 5 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Reference)
The Fund entered into the purchase and sales agreement of “Recipe SHIMOKITA” on September 30,
2013, after the end of 1st fiscal period (August 31, 2013).
Type of asset
Property Name

Real Estate
Recipe SHIMOKITA(Registry)
2-1045-7 Kitazawa, Setagaya-ku, Tokyo, etc.
Location (Note 1)(Street)2-20-17 Kitazawa, Setagaya-ku, Tokyo
Structure (Note 1)
S/RC, B2/8F
Land Area (Note 1)
1,716.03 ㎡
Building Area (Note 1)
8,552,53 ㎡
Type of Ownership(Land) Ownership (Building) Ownership
Completion Date (Note 1)
July, 2011
Acquisition Price (Scheduled) 10,407 million yen(Note 2)September 30, 2013 (date of execution of theDate of Agreement
purchase and sale agreement)
Scheduled date of acquisition
December 13, 2013 (date of delivery of realestate)
Seller (Note 3)
Undisclosed
Financing
Own fund and borrowings(Note 1) “Location (registry)”, “Structure”, “Land Area”, “Builiding Area” and “Completion Date” are based on the information in the real estateregistry.
(Note 2) The Acquisition Price (Scheduled) is the amount set forth in the relevant purchase agreement and does not include expenses such as brokers’commission or taxes.
(Note 3) As the Seller does not approve disclosure, this information is not disclosed.

－ 6 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Assumptions Underlying Earnings Forecasts for the Fiscal Period Ending February 28, 2014 (2nd period)(from September 1, 2013 to February 28, 2014) and August 31, 2014 (3rd period) (from March 1, 2014 toAugust 31, 2014)
Item
Calculation period

Assets undermanagement

Operating revenue

Operating expenses

Non-operating expenses

Interest-bearing liabilities

Investment units

Assumption
 2nd fiscal period: from September 1, 2013 to February 28, 2014
 3rd fiscal period: from March 1, 2014 to August 31, 2014
 The Fund assumes that the investment portfolio consisting of 54 properties owned by
the Fund as at the end of the 1st fiscal period (ending August 31, 2013) (the “Acquired
Assets”) and “Recipe SHIMOKITA” to be acquired on December 13, 2013 (the “Assets
to be Acquired in the 2nd fiscal period”) will remain unchanged (with no assets acquiredor disposed of) thereafter until the end of the 3rd fiscal period (August 31, 2014).
 In practice, the investment portfolio is subject to potential change.
 The forecast of operating revenues is based upon the operating revenues from Acquired
Assets and Assets to be Acquired in the 2nd fiscal period (after acquisition).
 The forecast of the level of the rent and vacancy rates are based on the trend of tenants,
competing buildings in the neighborhood, and the recent real estate market trend, etc.
 Assumed that there is no rent in arrears and nonpayment of the rent.
 In general, the fixed asset taxes and city planning taxes imposed on the properties in the
tax year (including the date) of transaction are distributed to the seller and the purchaser
on a daily pro-rata basis and settled at the time of acquisition, and such taxes are deemedas the acquisition costs rather than expenses.
 Taxes and dues, relating to the 55 properties including Assets to be Acquired in the 2nd
fiscal period are calculated as rental expenses, estimated amount of ¥732 million for the
3rd fiscal period (ending August 31, 2014) (with no amount attributable to the 2nd fiscal
period (ending February 28, 2014)).
 Outsourcing expenses are estimated at ¥525 million for the 2nd fiscal period (ending
February 28, 2014) and ¥562 million for the 3rd fiscal period (ending August 31, 2014).
 As for the repair and maintenance, the Asset Management Company (Nomura Real
Estate Asset Management Co., Ltd.) estimates the required amounts for the respective
properties for each of the fiscal periods based on the medium- and long-term repair
plans. However, it is possible that the actual repair expenses for the fiscal periods may
differ significantly from the estimates since (i) an unforeseeable event might cause serious
damage to a building requiring emergent repair expenditure, (ii) amounts might vary year
by year, and (iii) certain types of repair expenses are not required every year.
 Rental revenues after deducting the rental expenses (including depreciation costs) is
estimated at ¥6,123 million for the 2nd fiscal period (ending February 28, 2014) and¥5,561 million for the 3rd fiscal period (ending August 31, 2014). Depreciation costs are
estimated at ¥1,493 million for the 2nd fiscal period (ending February 28, 2014) and¥1,532 million for the 3rd fiscal period (ending August 31, 2014).
 The operating expenses other than the rental expenses (including asset management fees,
asset custody fees and general administration fees) are estimated at ¥955 million for the
2nd fiscal period (ending February 28, 2014) and ¥999 million for the 3rd fiscal period(ending August 31, 2014).
 Interest payable and other borrowing related expenses are estimated at ¥529 million forthe 2nd fiscal period (ending February 28, 2014) and ¥593 million for the 3rd fiscal
period (ending August 31, 2014).
 The amount of the Fund’s interest-bearing debts outstanding as of the date of thisreport is ¥78,478 million.
 The Fund assumes to procure loans of ¥11,000 million in December 2013 for the funds
to acquire the Assets to be Acquired in the 2nd fiscal period. Concerning the borrowingsof ¥16,585 million, which will be due by the last business day of the 3rd fiscal period(ending August 31, 2014), the Fund assumes that the entire amount will be refinanced
excluding the scheduled repayment of ¥85 million.
 The Fund assumes that there will be no changes in the interest-bearing debts outstanding
other than the changes in amount stated above.
 The Fund assumes that there will be no changes in the number of investment units
issued and outstanding as of the date of this report of 1,665,260 units and there will be
no additional issues of new investments units by the end of the 3rd fiscal period (ending
August 31, 2014).
－ 7 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Item

Assumption

Distribution per unit Distribution per unit is calculated according to the Fund’s distribution policy outlined in
its Articles of Incorporation.
 Distribution per unit may vary due to various factors, including changes in the investment
portfolio, changes in rent income caused by tenant replacements, and unforeseen repairs.

Distribution per unit
in excess of earnings per
unit

Other

 The Fund does not currently plan for any distributions in excess of earnings per unit.
 The Fund assumes that there will be no amendments in legislation, taxation, Japanese
GAAP, listing requirements and Investment Trusts Association regulations, which willaffect the above forecasts.
 The Fund assumes that there will be no material changes in general economic conditions
and real estate markets.

－ 8 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

3. Financial Statements(1) Balance Sheet
Thousands of Yen
As of August 31, 2013
AssetsCurrent assets
Cash and bank deposits
Cash and bank deposits in trust
Rental receivables
Prepaid expenses
Deferred tax assets
Consumption taxes receivable
Other
Total current assets
Noncurrent assets
Property and equipment
Buildings
Less accumulated depreciation
Buildings, net
Structures
Less accumulated depreciation
Structures, net
Land
Buildings in trust
Less accumulated depreciation
Buildings in trust, net
Structures in trust
Less accumulated depreciation
Structures in trust, net
Tools, furniture and fixtures in trust
Less accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Total property and equipment
Intangible assets
Leasehold rights in trust
Other
Total intangible assets
Investments and other assets
Long-term prepaid expenses
Long-term deposits
Security deposits
Total investments and other assets
Total noncurrent assets
Total assets

5,054,509
11,405,579
138,211
228,97248
4,713,348
20,341
21,561,011

1,090,499(6,160)1,084,338
18,622(311)
18,3102,440,333
93,246,841(656,794)
92,590,046
865,045(35,237)
829,807573(8)
565
128,704,544
225,667,946
3,821,371
11,444
3,832,815
648,601
39,101
515,926
1,203,629
230,704,391
252,265,402－ 9 －Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Thousands of Yen
As of August 31, 2013
Liabilities
Current liabilities
Trade accounts payable
Short-term debt
Current portion of long-term debt
Other accounts payable
Accrued expenses
Accrued income taxes
Rent received in advance
Other current liabilities
Total current liabilities
Long-term liabilities
Long-term debt
Security deposits from tenants
Security deposits from tenants in trust
Total long-term liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
SurplusRetained earnings
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets

262,587※1

16,500,000
85,6001,085,077
10,657
1,522
1,335,425
47,05019,327,922
61,893,000
167,7628,504,761
70,565,524
89,893,446

161,120,405
1,251,550
1,251,550
162,371,955※2－ 10 －

162,371,955
252,265,402

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(2) Statement of Income and Retained Earnings

Operating revenues
Rental revenues
Other rental revenues
Total operating revenues
Operating expenses
Real estate rental expenses
Asset management fees
Asset custody fee
Administrative service fees
Directors' compensations
Other operating expenses
Total operating expenses
Operating profit
Non-operating revenues
Interest income
Other non-operating revenues
Total non-operating revenues
Non-operating expenses
Interest expenses
Loan arrangement fees
Investment units issuance costs
Other offering costs associated with the issuance of investment units
Organization expenses
Other non-operating expenses
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Retained earnings at end of period－ 11 －

Thousands of Yen
Current period
from Jan. 31, 2013
to Aug. 31, 2013
※1
※1

3,392,015
291,1143,683,130※1

1,258,501
277,764
3,992
23,5405,600
24,101
1,593,500
2,089,629
889
4
893
144,738
147,198
293,249
149,006
100,000
3,125
837,317
1,253,205
1,253,205
1,703
(48)
1,654
1,251,550
1,251,550

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013(3) Statement of Changes in Net Assets
Thousands of Yen
Current period
from Jan. 31, 2013
to Aug. 31, 2013
Unitholders' equity
Unitholders' capital
Balance at the beginning of current period
Changes of items during the period
Issuance of investment units
Total changes of items during the period
Balance at the end of current period
SurplusRetained earnings
Balance at the beginning of current period
Changes of items during the period
Net income
Total changes of items during the period
Balance at the end of current period
Total surplus
Balance at the beginning of current period
Changes of items during the period
Net income
Total changes of items during the period
Balance at the end of current period
Total unitholders' equity
Balance at the beginning of current period
Changes of items during the period
Issuance of new investment units
Net income
Total changes of items during the period
Balance at the end of current period
Total net assets
Balance at the beginning of current period
Changes of items during the period
Issuance of new investment units
Net income
Total changes of items during the period
Balance at the end of current period－ 12 －－
161,120,405
161,120,405※1

161,120,405－
1,251,550
1,251,550
1,251,550－
1,251,550
1,251,550
1,251,550－
161,120,405
1,251,550
162,371,955
162,371,955－
161,120,405
1,251,550
162,371,955
162,371,955

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013(4) Statement of Cash Distributions
Current period
from Jan. 31, 2013
to Aug. 31, 2013

1,251,550,888 yen
1,250,610,260 yen[751 yen]
940,628 yen

I. Retained earnings at end of period
II. Amount of distributions[Amount of distributions per investment unit]
III. Retained earnings brought forward
Calculating method for distribution amountPursuant to the policy that “distributions shall be in excess of an amountequivalent to 90% of NMF’s amount of earnings available for distribution asprescribed in Article 67-15, Paragraph 1 of the Act on Special Measures
Concerning Taxation” as provided in Article 36, Paragraph 1, Item 2 of NMF’s
Articles of Incorporation, NMF decided to distribute almost the entire amountof retained earnings. Accordingly, NMF declared distributions of earnings of
1,250,610,260 yen. NMF will not distribute cash in excess of earnings asprovided in Article 36, Paragraph 2 of the Articles of Incorporation.

－ 13 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013(5) Statement of Cash Flows
Thousands of Yen
Current period
from Jan. 31, 2013
to Aug. 31, 2013
Cash flows from operating activities
Income before income taxes
Depreciation
Investment units issuance costs
Interest income
Interest expenses
Decrease (increase) in rental receivables
Decrease (increase) in prepaid expenses
Decrease (increase) in consumption taxes receivable
Decrease (increase) in long-term prepaid expenses
Decrease (increase) in long-term deposits
Increase (decrease) in trade accounts payable
Increase (decrease) in other accounts payable
Increase (decrease) in rent received in advance
Other
SubtotalInterest received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments for purchase of property and equipment
Payments for purchase of property and equipment in trust
Payments for purchase of intangible assets
Payments for purchase of intangible assets in trust
Proceeds from security deposits from tenants
Reimbursement of security deposits to tenants in trust
Proceeds from security deposits from tenants in trust
Payments for security deposits
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from short-term debt
Proceeds from long-term debt
Repayment of long-term debt
Proceeds from issuance of investment units
Payments for investment units issuance costs
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period－ 14 －

1,253,205
699,118
293,249(889)
144,738(138,211)(228,972)(4,713,348)(648,601)(39,101)
262,587
376,561
1,335,425
26,709(1,377,528)
889(134,081)(180)(1,510,901)(3,548,856)(222,115,087)(7,900)(3,819,519)
167,762(23,066)
8,527,827(515,926)(221,334,766)
16,500,000
62,000,000(21,400)
161,120,405(293,249)
239,305,755
16,460,088※1－
16,460,088

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(6) Notes Concerning the Going Concern Assumption
Not applicable.

(7) Notes Concerning Significant Accounting Policies
1. Depreciation of
noncurrent assets① Property and equipment (including trust assets)
The straight-line method is adopted.
The useful lives of major property and equipment are as follows:
Buildings
3~70 years
Structures
2~10 years
Tools, furniture and fixtures
6 years② Intangible assets
The straight-line method is adopted.
③ Long-term prepaid expenses
The straight-line method is adopted.

2. Accounting method fordeferred assets① Investment units issuance costs
The entire amount is expensed as incurred.
② Organization expenses
The entire amount is expensed as incurred.

3. Revenue and expenses
recognition

Accounting for fixed asset tax, etc.
Of the tax amount assessed and determined for fixed asset tax, city planning tax,
depreciable asset tax, etc. on real estate, etc. held, the method of charging the amountcorresponding to the concerned fiscal period to expenses as expenses related to rent
business is adopted.
The amount equivalent to fixed asset tax, etc. for the fiscal year including the acquisition
date paid to the seller as reimbursement upon acquisition of real estate or trust beneficiaryinterests in real estate is included in the cost of acquisition of the concerned real estateand not recorded as expenses. The amount equivalent to fixed asset tax, etc. included in
the cost of acquisition of real estate, etc. in the fiscal period under review is 768,771
thousand yen.

4. Hedge accounting① Method of hedge accounting
Deffered hedge accounting is adopted. For interest-rate swap transactions meet therequirements for special treatment, special treatment is adopted.
② Hedging instruments and hedged items
Hedging instruments
Interest-rate swap transactions
Hedged items
Interest on loans③ Hedging policy
NMF conducts derivative transactions for the purpose of hedging risks prescribed in
the Articles of Incorporation in accordance with the Basic Policy on Risk Management.
④ Method for assessing effectiveness of hedging
The effectiveness of hedging is assessed by the correlation between changes in the fairvalue of hedging instruments and hedged items.

5. Cash and cash equivalents
as stated in the Statementof Cash Flows

Cash and cash equivalents in the statement of cash flows consist of cash on hand and cashin trust; deposits and deposits in trust that can be withdrawn at any time; and short-term
investments with a maturity of 3 months or less from the date of acquisition, which arereadily convertible to cash and bear only an insignificant risk of price fluctuation.

6. Other significant mattersforming basis for
preparation offinancial statements① Accounting for trust beneficiary interests in real estate, etc.
Concerning trust beneficiary interests in real estate, etc. held, all accounts of assets andliabilities within trust assets as well as all accounts of revenue and expenses incurred fromthe trust assets are recorded in the relevant account item of the balance sheet andstatement of income and retained earnings.
The following material items of the trust assets recorded in the relevant account item
are separately listed on the balance sheet.
－ 15 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(1) Cash and bank deposits in trust(2) Buildings in trust; structures in trust; tools, furniture and fixtures in trust; and land intrust(3) Leasehold rights in trust(4) Security deposits from tenants in trust② Accounting for consumption taxes.
Concerning accounting for consumption tax and local consumption tax, these taxes are
not included.

(8) Notes to Financial Statements(Notes to Balance Sheet)*1. Commitment line agreement
NMF has concluded a commitment line agreement with 3 lending financial institutions.
Current period(Aug. 31, 2013)
Committed line of credit
10,000,000 thousand yen
Balance of used line
－ thousand yen
Balance of unused line
10,000,000 thousand yen*2. Minimum net assets as provided in Article 67, Paragraph 4 of the Act on Investment Trusts and Investment
Corporations
Current period(Aug. 31, 2013)
50,000 thousand yen－ 16 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Notes to Statement of Income and Retained Earnings)*1. Breakdown of real estate rental revenues and expenses(Unit: thousand yen)
Current period
from Jan. 31, 2013
to Aug. 31, 2013
A. Property related revenues
Rental revenues
Rent revenues
Common area charges
Other rental revenues
Parking revenues
Incidental income
Other miscellaneous revenues
Property related revenues
B. Property related expenses
Real estate rental expenses
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Depreciation
Other rental expenses
Property related expenses

3,291,203
100,8123,392,015

34,578
253,525
3,010

291,1143,683,130

131,204
60,335
223,475
7,385
58,10430,673
698,51248,808

C. Real estate rental profits [A－B]

1,258,501
1,258,501
2,424,629(Notes to Statement of Changes in Net Assets)
Current period
from Jan. 31, 2013
to Aug. 31, 2013
*1. Total number of investment units authorized andtotal number of investment units issued and outstanding
Total number of investment units authorized

20,000,000 units

Total number of investment units issued and outstanding

1,665,260 units(Notes to Statement of Cash Flows)*1. Reconciliation of cash and cash equivalents at end of period to balance sheet accounts(Unit: thousand yen)
Current period
from Jan. 31, 2013
to Aug. 31, 2013
5,054,509

Cash and bank deposits
Cash and bank deposits in trust

11,405,579

Cash and cash equivalents

16,460,088－ 17 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Notes on Lease Transactions)Operating lease transactions (as lessor)
Future lease payments receivable(Unit: thousand yen)
Current period(Aug. 31, 2013)
Due within 1 year

13,165,342

Due after 1 year

36,701,720
7,88 3thousand yen

49,867,063
411,930thousand yen

Total(Notes on Tax Effect Accounting)
1. Breakdown of main causes for occurrence of deferred tax assets and deferred tax liabilities

Deferred tax assets
Non-deductible accrued enterprise tax(Unit: thousand yen)
Current period(Aug. 31, 2013)48

Total deferred tax assets
Net deferred tax assets

48
48

2. Breakdown of major components that caused significant differences between statutory tax rate and effective tax rate after
application of tax effect accounting
Current period(Aug. 31, 2013)
Statutory tax rate

36.59%(Adjustments)
Deductible cash distributions△36.51%

Other

0.05%

Effective tax rate after application of tax effect accounting

0.13%－ 18 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Notes on Financial Instruments)
1. Matters concerning status of financial instruments(1) Policy for handling financial instruments
NMF procures funds through debt financing, issuance of investment corporation bonds, issuance of investment
units, etc. upon acquisition of real estate related assets. In procuring funds through interest-bearing liabilities, NMF
adopts the basic financial policy of procuring funds with due consideration for extending the loan period, converting
the interest rate to a fixed rate and laddering the repayment dates, etc. for interest-bearing liabilities.
NMF enters into derivative transactions for the purpose of hedging risks of future interest rates rising and adopts
the policy of not engaging in speculative transactions.
(2) Description of financial instruments and associated risks, and risk management structure
Funds from debts and investment corporation bonds are primarily used to fund the acquisition of real estate related
assets and to fund the repayment of debts and redemption of investment corporation bonds. These are exposed toliquidity risks of failure to procure alternative funds at the time of repayment or redemption. NMF controls and limits
the concerned risks by diversifying the lending financial institutions, as well as considering and implementing effective
use of surplus funds, procurement of funds from the capital market through issuance of investment units, etc. andother various procurement of funds. In addition, floating interest rates debts are exposed to risks of the interest rate
payable rising. NMF limits the impact that the interest rate payable rising has on NMF’s operations by keeping LTV(ratio of interest-bearing liabilities to total assets) at a low level and keeping the ratio of borrowings that are long-term
and fixed-rate borrowings at a high level. Furthermore, derivative transactions (interest-rate swap transactions, etc.) areavailable as a hedging instrument for hedging risks of floating interest rates rising and converting the interest expenses
to a fixed payment.
Deposits are those for investing NMF’s surplus funds and are exposed to risks of failure of the financial institutions
that are holding the deposits and other credit risks, but NMF limits the risks by diversifying the financial institutions
that are holding the deposits.
(3) Supplementary explanation on matters concerning fair value, etc. of financial instruments
The fair value of financial instruments, aside from values based on market price, includes values based on reasonablecalculation when there is no market price. Certain assumptions are adopted in the calculation of the concernedvalues. Accordingly, there may be cases where the concerned values will vary when different assumptions are adopted.
In addition, concerning the contract amount, etc. of derivative transactions presented in “Notes on Derivative
Transactions” later in this report, the amount itself does not represent the market risk involved in these derivativetransactions.
2. Matters concerning fair value, etc. of financial instruments
The following are the carrying amount and fair value as of August 31, 2013, and the difference between these amounts.
(Unit: thousand yen)
Carrying amount
Fair value
Amount of difference(Note 1)
(Note 1)
(1) Cash and bank deposits
5,054,509
5,054,509–(2) Cash and bank deposits in trust
11,405,579
11,405,579–(3) Short-term debt
[16,500,000][16,500,000]–(4) Current portion of long-term debt
[85,600][86,521]921(5) Long-term debt
[61,893,000][62,528,385]
635,385(6) Derivative transactions–––(Note 1) Items that are charged to liabilities are shown in brackets [ ].
(Note 2) Matters concerning method for calculating fair value of financial instruments and derivative transactions(1) Cash and bank deposits; (2) Cash and bank deposits in trust, (3) Short-term debt
As these are settled within a short period of time, the fair value is approximately the same as the book value and is thus stated at that bookvalue.
(4) Current portion of long-term debt; (5) Long-term debt
As long-term debt with floating interest rates reflect market interest rates within a short period of time, the fair value is thought to beapproximately the same as the book value and is thus stated at that book value (However, the fair value of long-term debt with floatinginterest rates that are subject to special treatment for interest-rate swaps (please refer to “Notes on Derivative Transactions” later in thisreport) is based on the method of calculating by discounting the sum total amount of principal and interest accounted for as one transaction
together with the concerned interest-rate swap by the interest rate that is reasonably estimated as being applicable in the event of drawdown
of a similar debt financing.). In addition, the fair value of long-term debt with fixed interest rates is calculated based on the method of
calculating by discounting the sum total amount of principal and interest by the interest rate that is reasonably estimated as being applicable in
the event of drawdown of a similar debt financing.
(6) Derivative transactions
Please refer to “Notes on Derivative Transactions” later in this report.
(Note 3) Amount of redemption of monetary claims scheduled to be due after the date of settlement of accounts (August 31, 2013)(Unit: thousand yen)
Due after
Due after
Due after
Due after
Due within
1 year,2 years,
3 years,
4 years,
Due after
1 year
withinwithinwithinwithin5 years
2 years
3 years
4 years
5 years
Cash and bank deposits
5,054,509－－－－－
Cash and bank deposits in trust
11,405,579
－
－
－
－
－
Total
16,460,088
－
－
－
－
－

－ 19 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Note 4) Amount of repayment of long-term debt and other interest-bearing liabilities scheduled to be due after the date of settlement of accounts(August 31, 2013)(Unit: thousand yen)
Due after
Due after
Due after
Due after
Due within
1 year,2 years,
3 years,
4 years,
Due after
1 year
withinwithinwithinwithin5 years
2 years
3 years
4 years
5 years
Short-term debt
16,500,000
－
－
－
－
－
Long-term debt
85,60085,60085,60013,085,600
12,285,600
36,350,600
Total
16,585,600
85,60085,60013,085,600
12,285,600
36,350,600(Notes on Derivative Transactions)

1. Transactions not subject to hedge accounting
Current period (As of August 31, 2013)
Not applicable.
2. Transactions subject to hedge accounting
Current period (As of August 31, 2013)
The following is the contract amount or the amount equivalent to the principal provided in the contract, etc. as ofthe date of settlement of accounts for each method of hedge accounting.
Method ofhedge accounting

Type ofderivative transactionMainhedged item

Contract amountDue after 1 year

Fair value(Unit: thousand yen)
Method for
calculating
fair value

Interest-rate swap transaction
Long-term
Floating receivable
55,189,300
55,146,500*
debt
Fixed payable* Since derivative transactions qualifying for special treatment for interest-rate swaps are accounted for as one transaction together with their hedged
item, long-term debt, the fair value of these is included in the fair value of “(4) Current portion of long-term debt” and “(5) Long-term debt” in“Notes on Financial Instruments; 2. Matters concerning fair value, etc. of financial instruments” earlier in this report.
Special treatment forinterest-rate swaps(Notes on Investment and Rental Properties)

NMF owns leasable logistics facilities and leasable retail facilities (including land) in Greater Tokyo area and other areas
for the purpose of earning revenue from leasing.
The following are the carrying amount, amount of increase (decrease) during the fiscal period and fair value of theseinvestment and rental properties at the end of the fiscal period.
(Unit: thousand yen)
Current period
from Jan. 31, 2013
to Aug. 31, 2013
Carrying amount
Balance at beginning of period
Amount of increase (decrease) during period
Balance at end of period
Fair value at end of period(Note 1)
(Note 2)

(Note 3)－
229,489,317
229,489,317
239,326,000

Carrying amount is the amount of cost of acquisition, less accumulated depreciation.
Of the amount of increase (decrease) in investment and rental properties, the amount of increase during current period ismainly attributable to acquisition of 54 properties including Landport Urayasu (total 230,163,004 thousand yen) anddecrease during current period is depreciation (total 698,512 thousand yen).
Fair value at the end of the period is the appraisal value or investigation value found by an outside real estate appraiser.

The income (loss) in the current period for investment and rental properties is as presented in “Notes to Statement of
Income and Retained Earnings” earlier in this report.

－ 20 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Notes on Segment Information)(Segment Information)
Since the Fund has been engaged in the real estate leasing business as a single segment, segment information has been
omitted.
(Related Information)
Current period (from January 31, 2013 to August 31, 2013)
1. Information by product and service
Disclosure is omitted, since revenues from external customers of a single product/service category is more than
90% of the operating revenues on statement of income and retained earnings.
2. Information by geographical area
(1) Revenues
Disclosure is omitted, since revenues from external customers in Japan is more than 90% of the operating revenues
on statement of income and retained earnings.
(2) Property and equipment
Disclosure is omitted, since the amount of property and equipment located in Japan is more than 90% of theamount of property and equipment on balance sheet.
3. Information by major customer
Since no single external client represents 10% or more of the Fund’s total operating revenues, information aboutmajor customer has been omitted.

－ 21 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Notes on Transactions with Related Parties)
1. Parent company and major corporate unitholders
Current period (from January 31, 2013 to August 31, 2013)
Not applicable.
2. Subsidiaries and affiliates
Current period (from January 31, 2013 to August 31, 2013)
Not applicable.
3. Fellow subsidiaries
Current period (from January 31, 2013 to August 31, 2013)
Not applicable.
4. Directors and major individual unitholders
Current period (from January 31, 2013 to August 31, 2013)
Not applicable.

－ 22 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Notes on Per Unit Information)
Current period
from Jan. 31, 2013
to Aug. 31, 2013
Net assets per unit

97,505 yen

Net income per unit

1,948 yen

(Note 1)
(Note 2)

Net income per unit is calculated by dividing net income by the average number of investment units during the period.
In addition, the diluted net income per unit is not stated, since there are no diluted investment units.
The following is the basis for calculation of net income per unit.

Current period
from Jan. 31, 2013
to Aug. 31, 2013
Net income (thousand yen)

1,251,550

Amount not attributable to ordinary unitholders (thousand yen)－

Net income attributable to ordinary investment units (thousand yen)

1,251,550

Average number of investment units during period (units)642,316(Notes on Significant Subsequent Events)
Current period
from Jan. 31, 2013
to Aug. 31, 2013
Not applicable.

[Omission of Disclosure]

Disclosure of matters to note on securities, retirement benefit plans, equity method income and retained earnings, etc.
and asset retirement obligations is omitted, because there is thought to be no large necessity for disclosure in the briefreport of financial results.

－ 23 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013(9) Increase (Decrease) in Total Number of Investment Units Issued and Outstanding
The following is the increase (decrease) in unitholders’ capital and total number of investment units issued
and outstanding during the period from the date of incorporation of NMF through the end of the current
fiscal period (August 31, 2013).

Date

Description

Unitholders’ capital(million yen)
Increase(Decrease)

January 31,
2013
June 11, 2013
(Note 1)
(Note 2)

Incorporation throughprivate placement
Capital increase throughpublic offering

Balance

Total number ofinvestment units
issued and outstanding(units)Increase
Balance(Decrease)

Note

200

200

2,000

2,000

(Note 1)

160,920

161,120

1,663,260

1,665,260(Note 2)

Investment units were issued at an issue price (paid-in amount) of 100,000 yen per unit upon incorporation of NMF.
New investment units were additionally issued through a public offering at an offer price of 100,000 yen (paid-in amount: 96,750 yen)
per unit for the purpose of procuring funds for acquisition of new properties, and thereby management of assets was commenced.

－ 24 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

4. Changes in Directors(1) Changes in NMF Directors
Timely disclosure of changes in directors will be made at the time that details are determined.
The following is the status of directors of NMF as of the date of this report.
Number of
Position

Name

Brief personal history

investment
units held

Executive Director

TakashiApr. 1991

Nomura Real Estate Development Co., Ltd., Hiroshima Branch

Kataoka

June 1996

Accounting Department

Apr. 2003

Finance & Accounting Department of Nomura Real Estate AssetManagement Co., Ltd.,

Aug. 2009

General Manager of the Finance Department of Nomura Real
Estate Investment Management Co., Ltd.,

Oct. 2010

General Manager of the Management Department and General
Manager of Finance Department

Oct. 2011

General Manager of the Fund Management Department of–

Nomura Real Estate Asset Management Co., Ltd.
Oct. 2012

Executive Officer, General Manager of the Fund Management
Department

Jan. 2013

Currently serves as Executive Officer, Chief Investment Officer,
NMF

Jan. 2013

Currently serves as Executive Officer of Nomura Real Estate
Master Fund, Inc.

Supervisory Director

Sadahiko
Yoshimura

May 1996

Director of Showa Ota & Co. (currently known as Ernst & Young
ShinNihon LLC)

May 2002

Executive Director of Shin Nihon & Co. (currently known as
Ernst & Young ShinNihon LLC)

May 2004

Vice-president

Aug. 2008

Senior Advisor

Jul. 2009

Currently serves as Corporate Auditor of Ishihara Holdings Co.,Ltd.

Apr. 2010

Currently serves as Special Professor of the Department ofProfessional Accountancy at the Graduate School of Aoyama
Gakuin University

Jun. 2010

Corporate Auditor of JAFCO Co., Ltd.

Jan. 2012

Currently serves as Corporate Auditor of PGM Holdings K.K.

Jun. 2012

Currently serves as Full-time Corporate Auditor of JAFCO Co.,
Ltd.

Jan. 2013

Currently serves as Supervisory Director of Nomura Real Estate
Master Fund, Inc.

－ 25 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Number of
Position

Name

Brief personal history

investment
units held

Supervisory Director

Shuhei

Apr. 1982

Registered as Japanese lawyer (with Daiichi Tokyo Bar
Association)

YoshidaApr. 1982

Law Office Toshio Shitara

Apr. 1986

Currently serves as Partner of Law Office Shuhei Yoshida

Apr. 1994

Currently serves as Conciliation Commissioner of Tokyo Family
Court

Jun. 1994

Corporate Auditor of Satellite Consulting Partners Co., Ltd.

Aug. 1995

Currently serves as Corporate Auditor of Asset Partners Co., Ltd.

Apr. 1998

Lecturer at the Faculty of Law of Kanagawa University

Mar. 2000

Currently serves as Director of Yahirokai Social Welfare
Organization

Apr. 2005

Part-time lecturer (special lecture on insolvency proceedings laws)
at the School of Law of Kanagawa University

Aug. 2005

Supervisory Director of Nomura Real Estate Office Fund, Inc.

Nov. 2006

Supervisory Director of Nomura Real Estate Residential Fund,Inc.

Dec. 2007

Currently serves as visiting professor at the National Graduate
Institute for Policy Studies

Feb. 2008

Currently serves as Corporate Auditor of Business Accounting
Club K.K.

Nov. 2008

Currently serves as Auditor of the non-profit organization the
Accounting Advisor Support Center

Sep. 2009

Currently serves as Corporate Auditor of M.H. Group Ltd.

May 2010

Currently serves as Vice-president of the non-profit organization
the Tokyo Metropolitan Area Fixed-term Rented Land and House
Leasehold Promotion Organization

Jan. 2013

Currently serves as Supervisory Director of Nomura Real
Estate Master Fund, Inc.

Apr. 2013

Currently serves as Councilor of Foundation for Senior Citizens’
Housing

Sep. 2013

Currently serves as Vice Chairman of The Japanese Inheritance
Association－ 26 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(2) Changes in Asset Management Company Directors and Statutory Auditors
Timely disclosure of changes in directors and statutory auditors will be made at the time that details are
determined.
The following is the status of directors and statutory auditors of the asset management company as of thedate of this report.
Position
Representative Director,
President and Chief

Name

Brief personal history

YasuakiApr. 1976

Nomura Securities Co., Ltd.

Fukui

June 1990

Head of the Syndicate & New Product & Swap Department ofJune 1995

General Manager of the Investment Trust Department of
Nomura Securities Co., Ltd.

Performance Analysis
Section and the Investment

shares held

Nomura Securities International, Inc. (NSI)

Executive Officer
In charge of the Investment

Number ofJune 1997

General Manager of the Marketing and Sales Promotion
Department

Management Department

June 1998

General Manager based at the Head OfficeJan. 1999

Executive Managing Director of The Nomura Fundnet Securities
Co., Ltd.

June 2000

Job Categories Headquarter and Investment Trust & DC
Headquarter of Nomura Securities Co., Ltd.

June 2000

Director, Job Categories Headquarter and Investment Trust &DC Headquarter

Aug. 2001

Director, Job Categories Headquarter and Investment Trust &Pension Fund Business Headquarter

Apr. 2005

President and Executive Officer of Nomura Funds Research andTechnologies Co., Ltd. (NFRT)

Apr. 2005

Chairman of Nomura Funds Research and Technologies America,
Inc. (NFRTA)

Oct. 2007

Director of Private Equity Funds Research and Investments Co.,
Ltd. (PEFRI)
President and Executive Officer of Nomura Funds Research andTechnologies Co., Ltd., and Chairman of Nomura Funds Research
and Technologies America, Inc.

Apr. 2010

Statutory Auditor of Nomura Real Estate Development Co., Ltd.

June 2010

Statutory Auditor of Nomura Real Estate Holdings, Inc.

June 2010

Statutory Auditor of Megalos Co., Ltd.

Apr. 2012

Representative Director, President of Nomura Real Estate AssetManagement Co., Ltd.

May 2012

Currently serves as Executive Officer, in charge of asset
management, of Nomura Real Estate Holdings, Inc.

Oct. 2012

Representative Director, President and Chief Executive Officer of
Nomura Real Estate Asset Management Co., Ltd.

Apr. 2013

Representative Director, President and Chief Executive Officer,
in charge of the Investment Performance Analysis Section, of
Nomura Real Estate Asset Management Co., Ltd.

Oct. 2013

Currently serves as Representative Director, President and Chief
Executive Officer, in charge of the Investment Performance
Analysis Section and the Investment Department, of Nomura
Real Estate Asset Management Co., Ltd.

－ 27 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Position

Name

Brief personal history

Representative Director,

KenichiApr. 1978

Vice President andShinbashi

June 1997

General Manager of Public Relations Department

June 1999

General Manager of General Coordination and Policy Planning

Executive Officer

Nomura Securities Co., Ltd.

Number ofshares held

Department

Investment General

Apr. 2002

Manager of the Fund

Director, Risk Management Department and System Planning
Department

Management Department

Apr. 2003

Manager of the FinanceDirector, Job Categories Headquarter and Investment Trust &Pension Fund Business Headquarter

Department, the Accounting

June 2003

Department, the Internal

Executive Officer, Job Categories Headquarter and Investment
Trust & Pension Fund Business Headquarter

Audit Department, theCompliance Department
and the Corporate Planning

Apr. 2004

Director

July 2006

General Manager of the Policy Making Headquarters of Japan
Securities Dealers Association

Department

July 2010

Corporate Advisor of Nomura Land and Building Co., Ltd.

Apr. 2012

Representative Director, Vice President of Nomura Real Estate–

Asset Management Co., Ltd.
May 2012

General Manager of the Finance & Accounting Headquarters

Oct. 2012

Representative Director, Vice President and Executive Officer,
Investment General Manager of the Fund Management Department,
manager of the Investment Advisory Section, the Finance
Department, the Accounting Department, the Internal Audit
Department, the Compliance Department, the Corporate
Planning Department and the Business Promotion Division

Apr. 2013

Currently serves as Representative Director, Vice President andExecutive Officer, Investment General Manager of the FundManagement Department, manager of the Finance Department,
the Accounting Department, the Internal Audit Department, theCompliance Department and the Corporate Planning Department

Representative Director

MasaomiApr. 1989

and Executive Managing

Katayama

Apr. 2006

General Manager of the Public Relations Department

Apr. 2006

General Manager of the Corporate Communications & Investor

Officer

Relations Department of Nomura Real Estate Holdings, Inc.

Manager of the Client
Relations & Marketing

Apr. 2010
Apr. 2012
May 2012

Acquisitions Department

Executive Officer, in charge of the Group Human Resources
Department, General Manager of the Group Human Resources

SectionIn charge of the

Executive Officer, General Manager of the Human Resources
Department

and the Investment
Management Planning

General Manager of the Human Resources Department of
Nomura Real Estate Development Co., Ltd.

Department, the AssetManagement Department

Nomura Real Estate Development Co., Ltd.

Department of Nomura Real Estate Holdings, Inc.
Apr. 2013

Representative Director and Executive Managing Officer, manager of
the Client Relations & Marketing Department, the Asset Management

and the Research & Analysis

Department, the Investment Management Department and theSectionInvestment Management Planning Section and in charge of the

Chief Strategy Officer

Acquisitions Department and the Research & Analysis Section, of
Nomura Real Estate Asset Management Co., Ltd.
Oct. 2013

Currently serves as Representative Director and Executive Managing
Officer, manager of the Client Relations & Marketing Department,
the Asset Management Department and the Investment Management
Planning Section and in charge of the Acquisitions Department andthe Research & Analysis Section, of Nomura Real Estate AssetManagement Co., Ltd., Chief Strategy Officer－ 28 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Position

Name

Brief personal history

Director andYasuhikoApr. 1984

Executive Officer

FuruseJune 1995

Chief of the Archives Division of the Legal Department

Apr. 2003

Chief of the Administrative Division of the Wealth Management

In charge of the Compliance

Nomura Securities Co., Ltd.

Number ofshares held

Business Department

Department

Dec. 2009

General Manager of the Corporate Legal Section of Nomura–

Asset Management Co., Ltd.
Oct. 2012

Currently serves as Director and Executive Officer, in charge of
the Compliance Department, of Nomura Real Estate AssetManagement Co., Ltd.

Director andExecutive Officer

YutakaApr. 1982

Nomura Real Estate Development Co., Ltd.

Saito

June 1998

Chief of the General Affairs Division of the Sapporo BranchOct. 2000

Chief of the General Affairs Division of the Kanto Residential

In charge of the FinanceBusiness Headquarter

Department and the Internal
Audit Department
Chief of the Accounting

June 2002

Chief of the Operation Division of the Residential Company

May 2010

Assistant Branch Chief of the Osaka Branch of the Residential
Company

Department

Oct. 2012–

Director and Executive Officer, in charge of the Finance
Department, the Accounting Department and the Internal Audit
Department, of Nomura Real Estate Asset Management Co., Ltd.

Apr. 2013

Currently serves as Director and Executive Officer, in charge of
the Finance Department and the Internal Audit Department, andChief of the Accounting Department

Director andExecutive Officer

Shoji

Apr. 1987

Nomura Real Estate Development Co., Ltd.

Yoshihara

Apr. 2001

Chief of the Development Section-I of the Development Business
Department of the Tokyo Residential Business Headquarter

Chief of the FundManagement Department

Apr. 2005

Assistant General Manager and Chief of the Development
Planning Division of Development Business Department-II of
the Residential Company

Apr. 2009

General Manager of the Business Group Development
Department-III of the Residential Company

Apr. 2010

Chief of the Corporate Secretariat Division

Oct. 2012

Director and Executive Officer, in charge of the FundManagement Department, of Nomura Real Estate AssetManagement Co., Ltd.

Jan. 2013

Currently serves as Director and Executive Officer, and Chief of theFund Management Department－ 29 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Position

Name

Brief personal history

Director andToshihikoApr. 1989

Executive Officer

Kobayashi

Apr. 2005

Nomura Real Estate Development Co., Ltd.
General Manager of the Asset Sales Department-I of Nomura Real

Number ofshares held

Estate Urban Net Co., Ltd.

In charge of the AssetManagement Department,

Apr. 2006

General Manager of the Corporate Partner Business Department

the New Products &Apr. 2007

General Planning Division of Nomura Real Estate Development
Co., Ltd.

Marketing Department andthe Investment Management

Apr. 2007

General Planning Division of Nomura Real Estate Holdings, Inc.

Planning Section

Apr. 2012

Assistant General Manager of the Investment Management
Headquarter of Nomura Real Estate Asset Management Co., Ltd.

June 2012

Director and General Manager of the Investment Management
Headquarter

Oct. 2012

Director and Executive Officer in charge of the Acquisitions
Department, the Asset Management Department, the Investment–

Management Department and the Investment Management
Planning Section
Apr. 2013

Director and Executive Officer in charge of the Asset Management
Department, the Investment Management Department and theInvestment Management Planning Section

July 2013

Director and Executive Officer in charge of the Asset Management
Department, the Investment Management Department, the New
Products & Marketing Department and the Investment Management
Planning Section

Oct. 2013

Currently serves as Director and Executive Officer in charge of theAsset Management Department, the New Products & Marketing
Department and the Investment Management Planning Section

Director andMotomi

Apr. 1991

Nomura Real Estate Development Co., Ltd.

Executive Officer

Uki

Apr. 1998

Business Planning Department

In charge of the Client

Apr. 2000

Asset Management Business Department

Relations & Marketing

Feb. 2002

Real Estate Investment Business Department of Nomura Real
Estate Investment Management Co., Ltd.

Department

Apr. 2006

Leader of the Real Estate Investment Group of the Residential
Management Headquarter of Nomura Real Estate AssetManagemet Co., Ltd.

Oct. 2008

Chief of the JOFI Management Division of Nomura Real Estate
Investment Management Co., Ltd.

Apr. 2009

General Manager of the Project Planning Department

June 2010

General Manager of the Fund Management Department

Oct. 2011

General Manager of the Client Relations & Marketing
Department of Nomura Real Estate Asset Management Co., Ltd.

Apr. 2012

Director, General Manager of the Sales Headquarter

Oct. 2012

Director and Executive Officer in charge of the Client Relations& Marketing Department

Apr. 2013

Director and Executive Officer in charge of the Client Relations& Marketing Department and Overseas Client Relations &Marketing Department

July 2013

Currently serves as Director and Executive Officer in charge of
the Client Relations & Marketing Department－ 30 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Position
Statutory Auditor

Name

Brief personal history

TakahikoApr. 1980

Nomura Real Estate Development Co., Ltd.

NagakiJune 2001

Chief of the IT Strategy Promotion Section

Jan. 2003

Chief of the Corporate Company Planning Section

Apr. 2011

General Manager of the Planning Section of the Asset

Number ofshares held–

Management Company
Oct. 2011

Currently serves as Statutory Auditor of Nomura Real Estate
Asset Management Co., Ltd.

Statutory Auditor(part-time)

Shigeaki

Apr. 1979

Nomura Real Estate Development Co., Ltd.

YoshiokaJune 1998

General Manager of the Human Resources Department

Apr. 2001

General Manager of the General Affairs Department

June 2003

Director, General Manager of the General Affairs Department

Apr. 2007

Executive Managing Director, the Home Service Division of theGeneral Affairs Inquiry Section of the General Affairs
Department

Apr. 2008

Corporate Advisor

June 2008

Currently serves as Statutory Auditor

June 2008

Currently serves as Statutory Auditor of Nomura Real Estate–

Holdings, Inc.
Oct. 2011

Currently serves as Statutory Auditor of Nomura Real Estate
Asset Management Co., Ltd.

June 2012

Currently serves as Statutory Auditor of Megalos Co., Ltd.
Nomura Securities Co., Ltd.

Statutory Auditor

Mitsuru

Apr. 1976(part-time)

Nakajima

Apr. 2003

Chief of the Statutory Auditor’s Office of Nomura Holdings, Inc.

July 2006

Chief of the Group Auditing Service Section

Apr. 2008

General Manager of the General Affairs Department of Nomura
Land and Building Co., Ltd.

June 2008

Director, General Manager of the General Affairs Department

June 2008

Director of Saitama Development Co., Ltd.

June 2008

Outside Statutory Auditor of Nomura Real Estate Development
Co., Ltd.

June 2008

Outside Statutory Auditor of Nomura Real Estate Holdings, Inc.

June 2010

Director in charge of the General Affairs Department of Nomura
Land and Building Co., Ltd.

June 2010

Director of Nomura China Investment Co., Ltd.

July 2010

Administration Officer of Okura Garden Hotel Shanghai

Apr. 2012

Executive Managing Director in charge of the General Affairs
Department of Nomura Land and Building Co., Ltd.

June 2012

Currently serves as Outside Statutory Auditor of Nomura Real
Estate Asset Management Co., Ltd.

－ 31 －–

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period ended August 31, 2013

5. Reference Information(1) Investment Status

Deposits and other assets
Total amount of assets

1st fiscal period
As of August 31, 2013
As a percentage ofTotal amount held
total amount of(million yen)assets(Note 2)(%)
(Note 3)
3,542
1.4
3,542
1.4
116,420
46.2
6,609
2.6
123,030
48.8
72,54428.8
23,991
9.5
6,379
2.5
102,91540.8
229,489
91.0
22,776
9.0
252,265
100.0

Total amount of liabilities
Total amount of net assets

1st fiscal period
As of August 31, 2013
As a percentage ofAmounttotal amount of(million yen)assets(Note 4)(%)(Note 3)89,893
35.6
162,37164.4

Type of asset

Real estate

Area(Note 1)Use

Retail properties
Logistics properties

Real estate in trust
Retail properties

Greater Tokyo area
Subtotal
Greater Tokyo area
Other areas
Subtotal
Greater Tokyo area
Kinki area
Other areas
Subtotal

Subtotal(Note 1) “Greater Tokyo area” refers to Tokyo, Kanagawa Prefecture, Chiba Prefecture and Saitama Prefecture. “Kinki area” refers to Osaka
Prefecture, Kyoto Prefecture, Hyogo Prefecture and Nara Prefecture. “Chukyo area” refers to Aichi Prefecture, Gifu Prefecture and Mie
Prefecture. “Other areas” refers to cabinet-order-designated cities, prefectural capitals, and cities with a population of 100,000 persons ormoer as well as surrounding areas of these cities, that are not included in the Greater Tokyo area, Kinki area and Chukyo area (hereinafter thesame).
(Note 2) Total amount held is the carrying amount (in the case of real estate and real estate in trust, the sum total amount of book value, after
depreciation).
(Note 3) The figures are rounded off to first decimal place. Accordingly, the sum total may not add up to 100.0%.
(Note 4) Total amount of liabilities and total amount of net assets are the amounts as stated in the balance sheet as total liabilities and total net assets.

(2) Investment Assets① Major Issue of Investment Securities
Not applicable.
② Investment Real Estate Properties
The following summarizes the real estate, etc. (54 properties) held as of August 31, 2013 (end of the 1st
fiscal period) by NMF (the real estate, and the beneficiary interests of trusts in which real estate properties
are the principal trust properties or the real estate that are the underlying assets thereof, are hereinafter－ 32 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period ended August 31, 2013referred to as the “assets held at the end of the 1st fiscal period”). Unless otherwise stated, the figures in thetables below are the figures as of August 31, 2013.

－ 33 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

A. Overview of Portfolio and Leasing Status, and Changes in Occupancy Rate, Etc.
(a) Overview of Portfolio and Leasing Status
The following is an overview of the portfolio and leasing status for the assets held at the end of
the 1st fiscal period.
Number of properties

54
Total

Acquisition price (thousand yen) (Note 1)(As a percentage of total acquisition price (%))

Logistics total
Greater Tokyo area
Other areas

227,616,141(100.0)122,020,000(53.6)
115,440,000
6,580,000
105,596,141(46.4)

Retail total
Greater Tokyo area

75,440,000

Kinki area

23,816,141

Other areas

6,340,000

Total of opinion of value at end of period (thousand yen) (Note 2)

239,326,000

Gross leasable area (m2) (B) (Note 3)

890,795.63

Gross leased area (m2) (A) (Note 4)

888,992.03

Portfolio occupancy rate (%) (A)÷(B) (Note 5)

99.8

Total number of tenants (Note 6)

241

Total of all contracted rent (thousand yen) (Note 7)

1,384,754

Total of all deposits, etc. (thousand yen) (Note 8)

8,795,418(Note 1)“Acquisition price” is the amount excluding transaction brokerage commission, real estate taxes and the other various expenses required
for the acquisition of the real estate, etc. (the amount at which the real estate, etc. is transacted as stated in the real estate sale andpurchase contract or trust beneficiary interest sale and purchase contract, etc. (“sale and purchase agreement, etc.”)). Percentage figures
as presented in a percentage of the sum total of acquisition price is rounded to first decimal place.

(Note 2)

“Opinion of value at end of period” is the appraisal value or investigation value provided by the respective real estate appraiser. For theopinion of value at the end of the period for real estate, please refer to (Note 1) of “D. Overview of Opinion of Value at End of Period”
below in this report.

(Note 3)The sum total of “leasable area” of each of the assets held at the end of the 1st fiscal period. “Leasable area” is the sum total area of
logistics properties or retail properties, etc. leasable in each asset (including the area of common-use space, etc., if leased). “Leasablearea” is calculated based not on that presented in the registry, but based on the area stated in the lease contract and the area calculated
based on building completion drawings, etc. Accordingly, the leasable area may not be the same as the floor area based on that presented
in the registry and may possibly exceed the floor area. In the case of land with leasehold right, the land area based on that presented in
the registry is shown as contracted area.

(Note 4)The sum total of “leased area” of each of the assets held at the end of the 1st fiscal period. “Leased area” is the area that is actually leased
to an end-tenant (The area stated in the lease contract; provided, however, that such be limited to the area of logistics properties or retailproperties (if all of rental units are collectively leased, then the area of the entire rental units) and not include the leased area of parking
space, etc. However, if the master lessee has a rent-guaranteed master lease for some or all rental units, the space is included in leased
area regardless of whether or not there is a lease agreement with an end-tenant.) in each asset. In the case of land with leasehold right,
the leased area of the land is shown.

(Note 5)Gross leased area as a percentage of leasable area (rounded to first decimal place).

(Note 6)The sum total of “total number of tenants” of each of the assets held at the end of the 1st fiscal period. In the calculation of “number oftenants,” when some or all rental units are collectively leased for the purpose of subleasing and the lessee in the lease agreement (master
lease agreement) has concluded an agreement with an end-tenant (sublessee that is the actual user) for subleasing the rental units, thelessee of the master lease agreement is counted as one tenant. However, in the case of assets with a so-called pass-through master leaseagreement where the rent received from the lessee in the master lease agreement is the same amount as the rent that the lessee receives－ 34 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

from the end-tenant, the total number of end-tenants is shown. In addition, if multiple rental units in a specific asset are leased to a
specific tenant, this is counted as one tenant for the asset and, if multiple assets are leased to a specific tenant, these are counted
separately and the total of that number of tenants is shown.
(Note 7)

The total amount of “total contracted rent” for August 2013 of each of the assets held at the end of the 1st fiscal period (rounded down
to the nearest thousand yen). “Total contracted rent” for August 2013 refers to the sum total of monthly rent and common area charges
in lease agreements actually concluded with end-tenants that are valid as of the last day of August 2013 (If common-use space, etc. isleased based on the lease agreement, the rent for such is included and, if rent includes the amount equivalent to the fee for use ofparking space, such amount is included. In addition, if the master lessee has a rent-guaranteed master lease for some or all rental units,
the rent for the space is based on the rent, etc. in the lease agreement concluded with the master lessee.). Furthermore, regarding tenants
who have been exempt from rent payment for a certain period of time in their agreements, such exemption period is not considered in
the table above and the rent is calculated based on the monthly rent and common area charges payable immediately after the exemption
period ends. In addition, the standard level of rent is used for tenants with sales-based rent.

(Note 8)The total amount of “total deposits, etc.” of each of the assets held at the end of the 1st fiscal period (rounded down to the nearest
thousand yen). “Total deposits, etc.” is the sum total amount of the balance of leasehold and security deposits stated in the respective
lease contract with end-tenants of each asset as of August 31, 2013 (rounded down to the nearest thousand yen). Accordingly, the sum
total of “leasehold and security deposits” of the respective property may not add up to the amount shown in the total columns.

(b) Changes in Occupancy Rate, Etc.
The following is the changes in the occupancy rate, etc. of real estate under management held
by NMF.
August 31, 2013(end of 1st fiscal
period)Number of properties

54

Total number of tenants

241

Gross leasable area (m2)

890,795.63

Portfolio occupancy rate
(at end of fiscal period) (%)

99.8－ 35 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

B. Price and Investment Share
The following is an overview of the assets held at the end of the 1st fiscal period (acquisition price,
carrying amount, opinion of value at end of period, investment share and appraiser).
Use

Area

Property name

Opinion of
Acquisition
Investment
Carrying amount
value
price
share
(million yen) at end of period(million yen)（%）
(Note 2)
(million yen)
(Note 1)
(Note 4)(Note 3)

Appraiser

Landport Urayasu

17,40017,477

18,200

7.6

Landport Itabashi

15,71015,791

16,500

6.9

The Tanizawa Sogo Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.

Landport Kawagoe

13,70013,77013,900

5.8

Japan Real Estate InstituteLandport Atsugi

11,41011,441

12,000

5.0

Sagamihara Tana Logistics Center

10,60011,071

11,100

4.6

The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.

Sagamihara Onodai Logistics Center

8,700

8,752

9,180

3.8

Japan Real Estate Institute

8,250

8,284

8,690

3.6

Japan Real Estate Institute

7,340

7,361

7,560

3.2

Japan Real Estate InstituteFunabashi Logistics Center

4,660

4,694

4,840

2.0

Japan Real Estate InstituteAtsugi Minami Logistics Center B Tower

4,590

4,612

4,750

2.0

Hanyu Logistics Center

3,810

3,822

4,180

1.7

Kawaguchi Logistics Center B Tower

3,750

3,774

4,070

1.7

Kawaguchi Logistics Center A Tower

2,830

2,855

3,030

1.3

Atsugi Minami Logistics Center A Tower

2,690

2,707

2,910

1.2

Ota Nitta Logistics Center

3,430

3,440

3,690

1.5

Ota Higashishinmachi Logistics Center

2,170

2,178

2,380

1.0

Ota Kiyohara Logistics Center

650

654

700

0.3

Chiyodamachi Logistics Center

330

335

354

0.1

122,020

123,030

128,034

53.5

Morisia Tsudanuma

16,60016,73017,200

7.2

Yokosuka More’s City

13,64013,723

14,2005.9

EQUINIA Shinjuku

4,260

4,301

4,330

1.8

Kawasaki More’s

4,000

4,048

4,220

1.8

EQUINIA Ikebukuro

3,990

4,020

4,140

1.7

Daiwa Real Estate Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.

covirna machida

3,440

3,469

3,780

1.6

Japan Real Estate InstituteGreater
Nitori MakuhariTokyo area

3,080

3,095

3,310

1.4

Japan Real Estate InstituteKonami Sports Club Fuchu

2,730

2,751

2,990

1.2

Daiwa Real Estate Appraisal
Co., Ltd.

FESTA SQUARE

2,600

2,613

2,810

1.2

Japan Real Estate Institute

GEMS Shibuya

2,490

2,520

2,500

1.0

Daiwa Real Estate Appraisal
Co., Ltd.

Sundai Azamino

1,700

1,708

1,760

0.7

Japan Real Estate Institute

EQUINIA Aobadai

1,560

1,576

1,690

0.7

Japan Real Estate Institute

Megalos Kanagawa

1,000

1,022

1,190

0.5

Japan Real Estate Institute

Izumiya Senrioka

8,930

8,977

9,820

4.1

Merad Owada

6,640

6,693

6,960

2.9

Izumiya Yao

4,406

4,442

4,640

1.9

Izumiya Obayashi

3,020

3,048

3,190

1.3

Landport Hachioji
GreaterTokyo area Landport Kasukabe
Logistics

Other areas

Logistics subtotal

RetailKinki area

－ 36 －The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.

The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Use

Area

Property name

Opinion of
Acquisition
Investment
Carrying amount
value
price
share
(million yen) at end of period(million yen)（%）
(Note 2)
(million yen)
(Note 1)
(Note 4)(Note 3)Ichibancho stear

4,700

4,732

5,090

2.1

EQUINIA Aobadori

1,640

1,646

1,740

0.7

The Tanizawa Sogo Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.

Mitsubishi Motors Meguro

2,740

2,764

2,800

1.2

Japan Real Estate InstituteMitsubishi Motors Chofu

1,760

1,776

1,820

0.8

Mitsubishi Motors Shibuya

1,570

1,586

1,690

0.7

Daiwa Real Estate Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.

Mitsubishi Motors Nerima

1,240

1,251

1,270

0.5

Japan Real Estate InstituteMitsubishi Motors Kawasaki

950

959

1,010

0.4

Mitsubishi Motors Takaido

850

859

889

0.4

The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.

800

808

810

0.3

Japan Real Estate Institute

800

808

813

0.3

Japan Real Estate Institute

770

779

777

0.3

Japan Real Estate Institute

740

748

781

0.3

The Tanizawa Sogo Appraisal
Co., Ltd.

Mitsubishi Motors Sekimachi

600

606

612

0.3

Japan Real Estate InstituteMitsubishi Motors Higashiyamato

450

455

484

0.2

The Tanizawa Sogo Appraisal
Co., Ltd.

Mitsubishi Motors Motosumiyoshi

370

375

374

0.2

Japan Real Estate InstituteMitsubishi Motors Kawagoe

350

355

353

0.1

Mitsubishi Motors Edogawa

200

204

207

0.1

Mitsubishi Motors Sayama

160

163

165

0.1

Mitsubishi Motors
Ibaraki Maintenance Center

820

829

877

0.4

Retail subtotal

105,596

106,458

111,292

46.5

Total

227,616

229,489

239,326

100.0

Retail Other areas

Mitsubishi Motors Katsushika
Retail(land
Mitsubishi Motors Higashikurume
Greater
withTokyo area Mitsubishi Motors Setagaya
leaseholdright)
Mitsubishi Motors Suginami

Kinki area

(Note 1)

Appraiser

The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.
The Tanizawa Sogo Appraisal
Co., Ltd.
Daiwa Real Estate Appraisal
Co., Ltd.

“Acquisition price” is the amount excluding transaction brokerage commission, real estate taxes and the other various expenses required for theacquisition of the real estate, etc. (the amount at which the real estate, etc. is transacted as stated in the sale and purchase agreement, etc.).

(Note 2)“Carrying amount” is the sum total amount of the acquisition value (including various expenses required for the acquisition) of land, buildings, structures,(Note 3)

“Opinion of value at end of period” is the appraisal or investigation value provided by the respective real estate appraiser (the value calculated by thetools, furniture and fixtures, and leasehold rights (including these assets in trust), less accumulated depreciation.
respective real estate appraiser with the date of the 1st fiscal period-end (August 31, 2013) as the effective date of value and the value indicated by the
income approach as a standard) in accordance with NMF’s Articles of Incorporation and the Regulations Concerning Accounting of Investment
Corporations (Cabinet Office Ordinance No. 47 of 2006). For the opinion of value at the end of the period for real estate, please refer to (Note 1) of “D.
Overview of Opinion of Value at End of Period” below in this report.
(Note 4)

“Investment share,” which is based on the opinion of value at the end of the period, is the opinion of value at the end of the period of the respective
asset as a percentage of the total amount of the opinion of value at the end of the period of the entire portfolio (54 properties in total). The figures arerounded to first decimal place. Accordingly, the sum total may not add up to 100.0%.

－ 37 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

C. Overview of Buildings, Etc.
The following is an overview of the buildings, etc. of the assets held at the end of the 1st fiscal period(use, area, property name, location, construction completion, leasable area, leased area, occupancy rate,
number of tenants, operating revenue from property leasing and that as a percentage of total operating
revenue from property leasing, and leasehold and security deposits).

Use

Area

Property nameLandport Urayasu

Landport Itabashi

Location

Urayasu-shi,
Chiba
Itabashi,
Tokyo

As a
Operating percentage ofLeasehold andOccupancy
revenue from total operating
Number of
security
rateproperty
revenue fromtenants
deposits（%）
leasing
property(Note 4)(million yen)
(Note 3)(million yen)leasing(Note 7)(Note 5)(%)(Note 6)

Construction completion

Leasable area(m2)
(Note 1)

Leased area(m2)
(Note 2)

May 2008

70,045.85

70,045.85

100.0

2

(Note 8)(Note 8)(Note 8)January 2008

52,794.55

52,794.55

100.0

2

(Note 8)(Note 8)(Note 8)Landport Kawagoe

Kawagoe-shi,
Saitama

May 2009

71,569.89

71,569.89

100.0

2

(Note 8)(Note 8)(Note 8)Landport Atsugi

Atsugi-shi,
Kanagawa

March 2007

47,995.23

47,995.23

100.0

2

(Note 8)(Note 8)(Note 8)

Sagamihara Tana
Logistics Center

Sagamihara-shi,
Kanagawa

October 2007

50,450.00

50,450.00

100.0

1

(Note 8)(Note 8)(Note 8)

Sagamihara Onodai
Logistics Center

Sagamihara-shi,
Kanagawa

August 2000

57,448.03

57,448.03

100.0

1

(Note 8)(Note 8)(Note 8)Landport Hachioji

Hachioji-shi,Tokyo

November 2008

34,896.32

34,896.32

100.0

1

(Note 8)(Note 8)(Note 8)Landport Kasukabe

Kasukabe-shi,
Saitama

June 2009

29,630.48

29,630.48

100.0

1

(Note 8)(Note 8)(Note 8)

Funabashi

Funabashi-shi,

Logistics Center

Chiba

September 1991

30,641.98

30,641.98

100.0

2

(Note 8)(Note 8)(Note 8)

Atsugi Minami
Logistics Center B Tower

Atsugi-shi,
Kanagawa

May 2005

24,909.96

24,909.96

100.0

1

(Note 8)(Note 8)(Note 8)

Hanyu
Logistics Center

Hanyu-shi,
SaitamaFebruary 2006

24,850.80

24,850.80

100.0

1

(Note 8)(Note 8)(Note 8)Kawaguchi
Logistics Center B Tower

Kawaguchi-shi,
SaitamaApril 1996

13,648.70

13,648.70

100.0

1

(Note 8)(Note 8)(Note 8)Kawaguchi
Logistics Center A Tower

Kawaguchi-shi,
Saitama

September 1991

12,003.57

12,003.57

100.0

1

(Note 8)(Note 8)(Note 8)

Atsugi Minami
Logistics Center A Tower

Atsugi-shi,
Kanagawa

October 2003

9,825.52

9,825.52100.0

1(Note 8)(Note 8)(Note 8)

Ota Nitta
Logistics CenterOta-shi,Gunma

March 2003

42,328.00

42,328.00

100.0

1

(Note 8)(Note 8)(Note 8)

Ota Higashishinmachi
Logistics CenterOta-shi,
Gunma

August 2008

23,584.72

23,584.72

100.0

1

(Note 8)(Note 8)(Note 8)

Ota Kiyohara
Logistics CenterOta-shi,Gunma

May 2004

9,397.38

9,397.38

100.0

1(Note 8)(Note 8)(Note 8)

Chiyodamachi
Logistics Center

Ora-gun,
Gunma

January 1999

4,592.00

4,592.00

100.0

1(Note 8)(Note 8)(Note 8)-610,612.98

610,612.98

100.0

23

1,649

44.8

3,915

Greater Tokyo
area

Logistics

Other areas

Logistics subtotal

RetailMorisia Tsudanuma

Narashino-shi,
Chiba

Low-rise retail building:
October 1978
Parking building:November 1987

39,301.49

38,218.16

97.2

115

522

14.2

846

Yokosuka More’s City

Yokosuka-shi,
Kanagawa

July 1997

29,383.65

29,383.65

100.0

1

(Note 8)(Note 8)(Note 8)EQUINIA Shinjuku

Shinjuku-ku,
TokyoMarch 1988

3,611.57

2,933.09

81.2

10

65

1.8

397

August 1980

14,446.48

14,446.48

100.0

1

(Note 8)(Note 8)(Note 8)October 1973

2,701.66

2,693.93

99.7

14

66

1.8

239

Greater Tokyo
area-

Kawasaki More’s

EQUINIA Ikebukuro

Kawasaki-shi,
Kanagawa
Toshima-ku,Tokyo－ 38 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Use

Area

Greater Tokyo
area

Property nameConstruction completion

Leased area(m2)
(Note 2)As apercentage ofLeasehold andOccupancy
revenue from total operating
Number of
security
rateproperty
revenue fromtenants
deposits（%）
leasing
property(Note 4)(million yen)
(Note 3)(million yen)leasing(Note 7)(Note 5)(%)(Note 6)

covirna machida

Machida-shi,Tokyo

September 1981

2,891.32

2,891.32

100.0

7

74

2.0

124

Nitori Makuhari

Chiba-shi,
Chiba

November 2007

14,367.98

14,367.98

100.0

1

(Note 8)(Note 8)(Note 8)

Konami Sports Club Fuchu

Fuchu-shi,TokyoFebruary 2000

12,385.18

12,385.18

100.0

1

(Note 8)(Note 8)(Note 8)FESTA SQUARE

Saitama-shi,
Saitama

September 2008

7,480.63

7,480.63

100.0

1(Note 8)(Note 8)(Note 8)GEMS Shibuya

Shibuya-ku,
Tokyo

September 2012

1,791.34

1,791.34

100.0

10

18

0.5

128

Sundai Azamino

Yokohama-shi,
Kanagawa

November 2008

2,286.47

2,286.47

100.0

1(Note 8)(Note 8)(Note 8)EQUINIA Aobadai

Yokohama-shi,
Kanagawa

November 1982

2,457.36

2,423.30

98.6

8

36

1.0

135

Megalos Kanagawa

Yokohama-shi,
Kanagawa

May 2002

6,217.85

6,217.85

100.0

1(Note 8)(Note 8)(Note 8)24,399.12

24,399.12

100.0

1

(Note 8)(Note 8)(Note 8)

14,941.54
5,856.50

14,941.54

100.0

1

(Note 8)(Note 8)(Note 8)34,198.01

34,198.01

100.0

1

(Note 8)(Note 8)(Note 8)

11,714.36

11,714.36

100.0

1

(Note 8)(Note 8)(Note 8)February 2006

4,582.81

4,582.81

100.0

7

101

2.7

311

June 2008

4,030.37

4,030.37

100.0

19

69

1.9

255

-

3,381.19

3,381.19

100.0

1(Note 8)(Note 8)(Note 8)-4,183.63

4,183.63

100.0

1(Note 8)(Note 8)(Note 8)-

1,421.31

1,421.31

100.0

1(Note 8)(Note 8)(Note 8)-

1,725.61

1,725.61100.0

1(Note 8)(Note 8)(Note 8)-3,057.02

3,057.02

100.0

1(Note 8)(Note 8)(Note 8)-1,923.64

1,923.64

100.0

1(Note 8)(Note 8)(Note 8)-1,930.05

1,930.05

100.0

1(Note 8)(Note 8)(Note 8)-4,105.00

4,105.00

100.0

1(Note 8)(Note 8)(Note 8)-1,305.78

1,305.78

100.0

1(Note 8)(Note 8)(Note 8)-

1,831.00

1,831.00

100.0

1(Note 8)(Note 8)(Note 8)-989.77989.77100.0

1(Note 8)(Note 8)(Note 8)-2,783.79

2,783.79

100.0

1(Note 8)(Note 8)(Note 8)-

1,646.97

1,646.97

100.0

1(Note 8)(Note 8)(Note 8)-2,462.40

2,462.40100.01(Note 8)(Note 8)(Note 8)RetailIzumiya Senrioka

Merad Owada
Kinki area
Izumiya Yao

Izumiya Obayashi

Ichibancho stear
Other areas
EQUINIA Aobadori

Retail(land with Greater Tokyo
leaseholdarea
right)

Location

Leasable area(m2)
(Note 1)

Operating

Suita-shi,
Osaka
Osaka-shi,
Osaka

Annex: July 1999
Main building: June 2000
Store: September 1994
Logistics: July 2000

Yao-shi,

Newly built: July 2003

Osaka

Expansion: April 2012

Takarazuka-shi,
Hyogo
Sendai-shi,
MiyagiSendai-shi,
Miyagi

Mitsubishi Motors

Meguro-ku,

MeguroTokyo

Mitsubishi Motors

Chofu-shi,

Chofu

Tokyo

Mitsubishi Motors

Shibuya-ku,

ShibuyaTokyo

Mitsubishi Motors

Nerima-ku,

NerimaTokyo

Mitsubishi Motors

Kawasaki-shi,

KawasakiKanagawa

Mitsubishi Motors

Suginami-ku,

TakaidoTokyo

Mitsubishi Motors

Katsushika-ku,

Katsushika

Tokyo

Mitsubishi Motors

Higashikurume-shi,

Higashikurume

Tokyo

Mitsubishi Motors

Setagaya-ku,

SetagayaTokyo

Mitsubishi Motors

Suginami-ku,

SuginamiTokyo

Mitsubishi Motors

Nerima-ku,

Sekimachi

Tokyo

Mitsubishi Motors

Higashiyamato-shi,

HigashiyamatoTokyo

Mitsubishi Motors

Kawasaki-shi,

Motosumiyoshi

Kanagawa

Mitsubishi Motors

Kawagoe-shi,

Kawagoe

Saitama

5,856.50

Newly built: September 1973
Expansion: October 1977
Expansion: January 2001

－ 39 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Use

Area

Property nameGreater Tokyo
Retailarea(land withleaseholdright)
Kinki area

(Note 1)

Location

Mitsubishi Motors

Edogawa-ku,

EdogawaTokyo

Mitsubishi Motors

Sayama-shi,

SayamaSaitama

Mitsubishi Motors

Ibaraki-shi,

Ibaraki Maintenance Center

Osaka

Operating

As apercentage ofLeasehold andOccupancy
revenue from total operating
Number of
security
rateproperty
revenue fromtenants
deposits（%）
leasing
property(Note 4)(million yen)
(Note 3)(million yen)leasing(Note 7)(Note 5)(%)(Note 6)

Leasable area(m2)
(Note 1)

Leased area(m2)
(Note 2)-892.56892.56100.0

1(Note 8)(Note 8)(Note 8)-

1,793.00

1,793.00

100.0

1(Note 8)(Note 8)(Note 8)-5,704.24

5,704.24

100.0

1(Note 8)(Note 8)(Note 8)Construction completion

Retail subtotal--

280,182.65

278,379.05

99.4

218

2,034

55.2

4,879

Total

-

-

890,795.63

888,992.03

99.8

241

3,683

100.0

8,795

“Leasable area” is the sum total area of logistics properties or retail properties, etc. leasable in each asset (including the area of common-use space, etc., ifleased). The leasable area is calculated based not on that presented in the registry, but based on the area stated in the lease contract and the area calculated
based on building completion drawings, etc. Accordingly, the leasable area may not be the same as the floor area based on that presented in the registry
and may possibly exceed the floor area. In the case of land with leasehold right, the land area based on that presented in the registry is shown ascontracted area.

(Note 2)

“Leased area” is the area that is actually leased to an end-tenant (The area stated in the lease contract; provided, however, that such be limited to the areaof logistics properties or retail properties (if all of rental units are collectively leased, then the area of the entire rental units) and not include the leased areaof parking space, etc. However, if the master lessee has a rent-guaranteed master lease for some or all rental units, the space is included in leased area
regardless of whether or not there is a lease agreement with an end-tenant.) in each asset. In the case of land with leasehold right, the leased area of theland is shown.

(Note 3)

“Occupancy rate” is the leased area as a percentage of leasable area in each asset (rounded to first decimal place).

(Note 4)In the calculation of “number of tenants,” when some or all rental units are collectively leased for the purpose of subleasing and the lessee in the leaseagreement (master lease agreement) has concluded an agreement with an end-tenant (sublessee that is the actual user) for subleasing the rental units, thelessee of the master lease agreement is counted as one tenant. However, in the case of assets with a so-called pass-through master lease agreement where
the rent received from the lessee in the master lease agreement is the same amount as the rent that the lessee receives from the end-tenant, the total
number of end-tenants is shown. In addition, if multiple rental units in a specific asset are leased to a specific tenant, this is counted as one tenant for theasset and, if multiple assets are leased to a specific tenant, these are counted separately and the total of that number of tenants is shown in the subtotal
and total columns.

(Note 5)

“Operating revenue from property leasing” is the operating revenue from property leasing in the 1st fiscal period (the operating revenue from property
leasing for on and after the date of acquisition).

(Note 6)

“As a percentage of total operating revenue from property leasing” is the operating revenue from property leasing of each asset as a percentage of thesum total of operating revenue from property leasing (total operating revenue from property leasing). The figures are rounded to first decimal place.
Accordingly, the sum total may not add up to 100.0%.

(Note 7)

“Leasehold and security deposits” is the sum total amount of the balance of leasehold and security deposits stated in the respective lease contract with
end-tenants of each asset as of August 31, 2013 (rounded down to the nearest million yen). Accordingly, the sum total of “leasehold and security
deposits” of the respective property may not add up to the amount shown in the respective subtotal and total columns.

(Note 8)Not disclosed, because consent has not been obtained from the tenant. Logistics subtotal, Retail subtotal and Total figures are the sum of the figures notdisclosed, since consent has not been obtained from the tenant.

－ 40 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

D. Overview of Opinion of Value at End of Period
The following is an overview of the opinion of value at the end of the period (① opinion of value at
end of period, ② value by income approach and capitalization rate using direct capitalization approach,③ value by income approach, discount rate and terminal capitalization rate using DCF approach), ④
NOI, and ⑤ NOI yield (NOI / acquisition price).
Use

Logistics

RetailProperty name

Direct capitalization
Opinion of
approachvalue
at end ofValue byperiodincomeCap rate(million yen) approach(%)(Note 1)(million yen)

DCF approach

Value byDiscount
incomerate
approach(%)(million yen)
4.9
4.8
18,1005.0(Note 4)5.0
5.0
16,5005.1(Note 5)

Terminal
cap rate(%)

NOINOI yield(million(NOI /
yen)
acquisition(Note 2)
price)(%)(Note 3)

5.0

886

5.1

5.2

830

5.3

5.2

5.7

782

5.7

12,0005.1
5.3(Note 6)

5.4

626

5.5

5.3

11,000

5.2

5.6

608

5.7

9,200

5.5

9,160

5.1

5.7

525

6.0

8,690

8,730

5.4

8,640

5.1

5.6

472

5.7

Landport Kasukabe

7,560

7,610

5.4

7,500

5.0

5.7

411

5.6

Funabashi Logistics Center

4,840

4,880

5.5

4,790

5.2

5.8

291

6.3

5.5

252

5.5

Landport Urayasu

18,20018,300Landport Itabashi

16,50016,600Landport Kawagoe

13,90014,0005.5

13,800Landport Atsugi

12,00012,000

5.2

Sagamihara Tana Logistics Center

11,100

11,200

Sagamihara Onodai Logistics Center

9,180

Landport Hachioji

Atsugi Minami Logistics Center B Tower

4,750

4,780

5.3

4,740

5.2
5.4
(Note 7)

Hanyu Logistics Center

4,180

4,210

6.0

4,160

5.8

6.2

257

6.8

Kawaguchi Logistics Center B Tower

4,070

4,090

5.3

4,060

5.1

5.5

221

5.9

Kawaguchi Logistics Center A Tower

3,030

3,040

5.7

3,020

5.5

5.9

173

6.1

Atsugi Minami Logistics Center A Tower

2,910

2,920

5.3

2,910

5.2
5.4
(Note 8)

5.5

156

5.8

Ota Nitta Logistics Center

3,690

3,700

6.4

3,680

6.2

6.6

242

7.1

Ota Higashishinmachi Logistics Center

2,380

2,390

6.3

2,370

6.1

6.5

154

7.1

Ota Kiyohara Logistics Center

700

701

6.3

700

6.1

6.5

46

7.1

Chiyodamachi Logistics Center

354

354

6.2

354

6.0

6.4

24

7.6

Logistics subtotal

128,034

-

-

-

-

-

6,965

5.7

Morisia Tsudanuma

17,20016,7005.7

17,400

5.5

5.9

1,126

6.8

Yokosuka More’s City

14,20014,3005.8

14,100

5.8

6.0

880

6.5

EQUINIA Shinjuku

4,330

4,270

4.4

4,350

4.2

4.6

200

4.7

Kawasaki More’s

4,220

4,210

5.1

4,220

5.1

5.3

263

6.6

EQUINIA Ikebukuro

4,140

4,060

4.7

4,170

4.5

4.9

195

4.9

covirna machida

3,780

3,820

5.8

3,730

5.4

5.8

226

6.6

Nitori Makuhari

3,310

3,350

5.7

3,270

5.5

6.0

190

6.2

Konami Sports Club Fuchu

2,990

3,000

5.9

2,990

5.7

6.1

169

6.2

FESTA SQUARE

2,810

2,820

6.0

2,790

5.7

6.2

168

6.5

GEMS Shibuya

2,500

2,500

5.1

2,500

4.9

5.3

126

5.1

Sundai Azamino

1,760

1,770

6.1

1,750

5.7

6.4

108

6.4

EQUINIA Aobadai

1,690

1,700

6.1

1,680

5.9

6.3

110

7.1

－ 41 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Use

RetailRetail(land withleaseholdright)(Note 1)

Property name

Direct capitalization
Opinion of
approachvalue
at end ofValue byperiodincomeCap rate(million yen) approach(%)(Note 1)(million yen)

NOI
NOI yield(million(NOI /
yen)
acquisition(Note 2)
price)(%)(Note 3)

DCF approach
Value byDiscount
incomerate
approach(%)(million yen)

Terminal
cap rate(%)

Megalos Kanagawa

1,190

1,190

6.7

1,180

6.3

7.0

84

8.4

Izumiya Senrioka

9,820

9,650

5.9

9,890

5.7
6.1
(Note 9)

6.1

585

6.6

Merad Owada

6,960

6,900

6.4

6,980

6.2

6.6

459

6.9

Izumiya Yao

4,640

4,720

6.2

4,610

6.4

307

7.0

Izumiya Obayashi

3,190

3,210

6.3

3,180

6.5

221

7.3

Ichibancho stear

5,090

4,840

5.2

5,200

5.4

250

5.3

EQUINIA Aobadori

1,740

1,570

5.8

1,810

6.0

6.0

101

6.2

Mitsubishi Motors Meguro

2,800

-

-

2,800

5.5

-

155

5.7

Mitsubishi Motors Chofu

1,820

-

-

1,820

5.3

-

93

5.3

Mitsubishi Motors Shibuya

1,690

-

-

1,690

5.1

-

86

5.5

Mitsubishi Motors Nerima

1,270

-

-

1,270

5.6

-

70

5.7

Mitsubishi Motors Kawasaki

1,010

-

-

1,010

7.0

7.4

73

7.8

Mitsubishi Motors Takaido

889

-

-

889

5.2

-

44

5.3

Mitsubishi Motors Katsushika

810

-

-

810

5.5

-

44

5.6

Mitsubishi Motors Higashikurume

813

-

-

813

7.0

-

55

6.9

Mitsubishi Motors Setagaya

777

-

-

777

5.6

-

43

5.7

Mitsubishi Motors Suginami

781

-

-

781

5.3

5.7

39

5.3

Mitsubishi Motors Sekimachi

612

-

-

612

5.6

-

34

5.8

Mitsubishi Motors Higashiyamato

484

-

-

484

8.5

8.9

42

9.5

Mitsubishi Motors Motosumiyoshi

374

-

-

374

6.0

-

22

6.0

Mitsubishi Motors Kawagoe

353

-

-

353

6.2

6.6

22

6.4

Mitsubishi Motors Edogawa

207

-

-

207

5.6

-

10

5.2

Mitsubishi Motors Sayama

165

-

-

165

8.8

9.2

14

9.2

Mitsubishi Motors
Ibaraki Maintenance Center

877

-

-

877

6.1

-

48

6.0

Retail subtotal

111,292

-

-

-

-

-

6,681

6.3

Total

239,326

-

-

-

-

-

13,646

6.0

6.0
6.4
(Note 10)
6.1
6.5
(Note 11)
5.2
5.4
(Note 12)“Opinion of value at end of period” is the appraisal or investigation value provided by the respective real estate appraiser (the value calculated by therespective real estate appraiser with the date of the 1st fiscal period-end (August 31, 2013) as the effective date of value and the value indicated by the
income approach as a standard) listed in “B. Price and Investment Share” earlier in this report in accordance with NMF’s Articles of Incorporation andthe Regulations Concerning Accounting of Investment Corporations.
The appraisal or investigation value of real estate is no more than an indication of the opinion of the value of the appraised real estate at the time ofappraisal by the respective real estate appraiser, etc. conducted in accordance with the Act on Real Estate Appraisal (Act No. 152 of 1963), real estateappraisal standards, etc. Reappraisal of the same real estate may result in a different appraisal or investigation value, depending on the real estate appraiser
conducting the appraisal and the method or timing of the appraisal. In addition, the appraisal of real estate is not a guarantee or promise of the possibilityof transactions at present or in the future at the appraised value.
Furthermore, the cost approach and income approach (direct capitalization approach and discounted cash flow approach) are used in appraisal
calculations. The appraisal value is determined by the income approach if the subject real estate’s price is based on an emphasis on investment profitability
in the market and it is seen as an investment target for qualified institutional investors, etc. The value indicated by the cost approach is used as an index toverify the value indicated by the income approach.
“Direct capitalization approach” is a method where the net revenue in a certain period is capitalized by the capitalization rate, among methods of seeking
the value indicated by the income approach (a method of seeking the estimated value of real estate by seeking the sum of the present value of the net
revenue the real estate is expected to generate in the future).
“Discounted cash flow (DCF) approach” is a method where the net income and terminal value arising in multiple successive periods are discounted topresent value according to their periods and totaled, among methods of seeking the value indicated by the income approach.

－ 42 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Note 2)

“NOI” is, in the case of properties other than properties on land with leasehold right, the net operating income using the direct capitalization approachstated in the appraisal report or investigation report and, in the case of properties on land with leasehold right, the initial-year net operating income using
the DCF approach stated in the appraisal report or investigation report (rounded down to the nearest million yen). Accordingly, the sum total of “NOI”
of the respective property may not add up to the amount shown in the respective subtotal and total columns.
(Note 3) “NOI yield (NOI / acquisition price)” is the amount NOI devided by the acquisition price (rounded to first decimal place). Logistics subtotal, Retail
subtotal and Total figures are the sum of NOI devided by the sum of acquisition price for the properties in each categories, held at the end of 1st fiscal
period (rounded to first decimal place).
(Note 4) The discount rate of “Landport Urayasu” is 4.9% for the 1st year and 5.0% for the 2nd to 11th years since the effective date of value.
(Note 5) The discount rate of “Landport Itabashi” is 5.0% for the 1st to 2nd years and 5.1% for the 3rd to 11th years since the effective date of value.
(Note 6) The discount rate of “Landport Atsugi” is 5.1% for the 1st to 4th years and 5.3% for the 5th to 11th years since the effective date of value.
(Note 7) The discount rate of “Atsugi Minami Logistics Center B Tower” is 5.2% for the 1st to 2nd years and 5.4% for the 3rd to 11th years since the effective
date of value.
(Note 8) The discount rate of “Atsugi Minami Logistics Center A Tower” is 5.2% for the 1st to 10th years and 5.4% for the 11th year after the effective date ofvalue.
(Note 9) The discount rate of “Izumiya Senrioka” is 5.7% for the 1st to 10th years and 6.1% for the 11th year after the effective date of value.
(Note 10) The discount rate of “Izumiya Yao” is 6.0% for the 1st to 10th years and 6.4% for the 11th year after the effective date of value.
(Note 11) The discount rate of “Izumiya Obayashi” is 6.1% for the 1st to 5th years and 6.5% for the 6th to 11th years since the effective date of value.
(Note 12) The discount rate of “Ichibancho stear” is 5.2% for the 1st to 2nd years and 5.4% for the 3rd to 11th years after the effective date of value.

－ 43 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

E. Overview of Trust Beneficiary Interests
The following is an overview of the trust of individual assets of the assets held at the end of the 1st
fiscal period (name of trustee and trust period). The entry for the respective item is “－” in the case ofeach asset of which NMF has acquired the real estate itself.
Hereafter, concerning assets for which the trust period is due to expire, whether to continue the trust
or to hold the real estate itself by being issued the real estate in trust in kind upon the end of the trust will
be determined based on a comprehensive consideration of the economic rationality and other factors.
Trust period
Name of property subject to trust

Name of trustee
Date of setting

Date of expiration

Landport Urayasu

Sumitomo Mitsui Trust Bank, Limited

2007/6/29

2023/6/30

Landport Itabashi

Mitsubishi UFJ Trust and Banking Corporation

2008/1/31

2023/6/30

Landport Kawagoe

Mitsubishi UFJ Trust and Banking Corporation

2007/9/21

2023/6/30

Landport Atsugi

Sumitomo Mitsui Trust Bank, Limited

2005/12/14

2023/6/30

Sagamihara Tana Logistics Center

Sumitomo Mitsui Trust Bank, Limited

2013/4/26

2023/7/31

Sagamihara Onodai Logistics Center

Mitsubishi UFJ Trust and Banking Corporation

2003/3/31

2023/6/30

Landport Hachioji

Sumitomo Mitsui Trust Bank, Limited

2007/3/29

2023/6/30

Landport Kasukabe

Mitsubishi UFJ Trust and Banking Corporation

2009/7/29

2023/6/30

Funabashi Logistics Center

Sumitomo Mitsui Trust Bank, Limited

2005/9/29

2023/6/30

Atsugi Minami Logistics Center B Tower

Mitsubishi UFJ Trust and Banking Corporation

2006/3/30

2023/6/30

Hanyu Logistics Center

Mitsubishi UFJ Trust and Banking Corporation

2005/8/26

2023/6/30

Kawaguchi Logistics Center B Tower

Mizuho Trust & Banking Co., Ltd.

2004/1/29

2023/6/30

Kawaguchi Logistics Center A Tower

Mizuho Trust & Banking Co., Ltd.

2004/1/29

2023/6/30

Atsugi Minami Logistics Center A Tower

Mitsubishi UFJ Trust and Banking Corporation

2006/3/30

2023/6/30

Ota Nitta Logistics Center

Mitsubishi UFJ Trust and Banking Corporation

2006/12/27

2023/6/30

Ota Higashishinmachi Logistics Center

Mitsubishi UFJ Trust and Banking Corporation

2008/12/19

2023/6/30

Ota Kiyohara Logistics Center

Mitsubishi UFJ Trust and Banking Corporation

2006/12/27

2023/6/30

Chiyodamachi Logistics Center

Mitsubishi UFJ Trust and Banking Corporation

2006/9/27

2023/6/30

Morisia Tsudanuma

Sumitomo Mitsui Trust Bank, Limited

2006/8/30

2023/6/30

Yokosuka More’s City

Mitsubishi UFJ Trust and Banking Corporation

2006/5/31

2023/6/30

EQUINIA Shinjuku

Mitsubishi UFJ Trust and Banking Corporation

2006/3/24

2023/6/30

Kawasaki More’s

Mitsubishi UFJ Trust and Banking Corporation

2006/9/28

2023/6/30

EQUINIA Ikebukuro

Mitsubishi UFJ Trust and Banking Corporation

2003/2/14

2023/6/30

covirna machida

Sumitomo Mitsui Trust Bank, Limited

2004/6/1

2023/6/30

Nitori Makuhari

Sumitomo Mitsui Trust Bank, Limited

Konami Sports Club Fuchu

Mitsubishi UFJ Trust and Banking Corporation

FESTA SQUARE

Sumitomo Mitsui Trust Bank, Limited

2008/4/24

2023/6/30

Building：2008/9/25
Land：2009/11/27

2023/6/30

2008/10/29

2023/6/30

GEMS Shibuya

－

―

－

Sundai Azamino

Mitsubishi UFJ Trust and Banking Corporation

2008/11/28

2023/6/30

EQUINIA Aobadai

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Megalos Kanagawa

－

―

－

－ 44 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Trust period
Name of property subject to trust

Name of trustee
Date of setting

Date of expiration

Sumitomo Mitsui Trust Bank, Limited

2005/8/11

2023/6/30

Merad Owada

Mizuho Trust & Banking Co., Ltd.

Retail：2001/3/29
Logistics:2007/9/28

2023/6/30

Izumiya Yao

Sumitomo Mitsui Trust Bank, Limited

2005/8/11

2023/6/30

Izumiya Obayashi

Sumitomo Mitsui Trust Bank, Limited

2005/8/30

2023/6/30

Ichibancho stear

Mizuho Trust & Banking Co., Ltd.

2005/1/31

2023/6/30

EQUINIA Aobadori

Sumitomo Mitsui Trust Bank, Limited

2008/6/30

2023/6/30

Mitsubishi Motors Meguro

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Chofu

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Shibuya

Mitsubishi UFJ Trust and Banking Corporation

2004/3/31

2023/6/30

Mitsubishi Motors Nerima

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Kawasaki

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Takaido

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Katsushika

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Higashikurume

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Setagaya

Mitsubishi UFJ Trust and Banking Corporation

2004/3/31

2023/6/30

Mitsubishi Motors Suginami

Mitsubishi UFJ Trust and Banking Corporation

2004/3/31

2023/6/30

Mitsubishi Motors Sekimachi

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Higashiyamato

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Motosumiyoshi

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Kawagoe

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Edogawa

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

Mitsubishi Motors Sayama

Mitsubishi UFJ Trust and Banking Corporation

2002/3/27

2023/6/30

2004/3/31

2023/6/30

Izumiya Senrioka

Mitsubishi Motors
Mitsubishi UFJ Trust and Banking Corporation
Ibaraki Maintenance Center(Note) The following is a breakdown of the assets held at the end of the 1st fiscal period.
・Properties of which real estate itself is held
02 properties
・Properties of which are subject to trust
52 properties－ 45 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

F. Leasing Summary and Income/Loss Status
The status of income/loss in the 1st fiscal period is stated in accordance with “Notes Concerning
Significant Accounting Policies” in “3. Financial Statements” presented above in this report. NOI, which
stands for net operating income, refers to the amount of total operating revenue from property leasing,less total operating expenses from property leasing (excluding depreciation).
These figures do not represent or guarantee figures in the future.
Amounts are rounded down to the nearest thousand yen. Accordingly, the figures shown may notnecessarily add up to the total figure.
1st fiscal period (from January 31, 2013 to August 31, 2013)(Unit: thousand yen)
Property name
Number of business days
during the 1st fiscal period

Landport Urayasu(Note 1)

Landport Itabashi(Note 1)

Landport Kawagoe(Note 2)

Sagamihara Tana
Logistics Center(Note 3)

Landport Atsugi(Note 1)

79

79

32

79

44

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

208,449

201,427

79,724

154,570

83,179④ Depreciation

55,884

47,13045,621

62,71532,693⑤ Real estate rental profits (③−④)

152,564

154,297

34,10291,85450,485

Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences－ 46 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

1st fiscal period (from January 31, 2013 to August 31, 2013)(Unit: thousand yen)
Atsugi Minami
Logistics Center
B Tower(Note 1)

Property name

Sagamihara Onodai
Logistics Center(Note 1)

Number of business days
during the 1st fiscal period

79

79

79

79

79

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

126,693

108,829

95,24067,20960,204④ Depreciation

37,88039,43938,144

13,975

19,819⑤ Real estate rental profits (③−④)

88,812

69,38957,09653,23340,384

Landport Hachioji(Note 1)

Landport Kasukabe(Note 1)

Funabashi
Logistics Center(Note 1)

Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences(Unit: thousand yen)
Property name
Number of business days
during the 1st fiscal period

Kawaguchi
Logistics Center
B Tower(Note 1)

Hanyu
Logistics Center(Note 1)

Kawaguchi
Logistics Center
A Tower(Note 1)

Atsugi Minami
Logistics Center
A Tower(Note 1)

Ota Nitta
Logistics Center(Note 1)

79

79

79

79

79

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

58,73552,03541,42334,60055,523④ Depreciation

21,556

8,454

5,156

8,193

23,127⑤ Real estate rental profits (③−④)

37,17943,58036,266

26,40732,396

Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences－ 47 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

1st fiscal period (from January 31, 2013 to August 31, 2013)(Unit: thousand yen)
Property nameOta Higashishinmachi
Logistics Center(Note 1)

Number of business days
during the 1st fiscal period

79

Ota Kiyohara
Logistics Center(Note 1)

Chiyodamachi
Logistics Center(Note 1)
79

Morisia Tsudanuma(Note 1)

Yokosuka More’s City
(Note 1)

79

79

79

Rental revenues

382,278

Other rental revenues

140,237① Property related revenues(Note 5)(Note 5)(Note 5)522,516

Property management costs

61,482

Property management fees

26,947

Utility expenses

108,427

Casualty insurance

1,232

Repairs and maintenance

16,515(Note 5)－Land rents

24,119Other rental expenses(Note 5)(Note 5)(Note 5)

238,724(Note 5)

③ NOI (①−②)

35,845

10,775

8,544

283,791

203,885④ Depreciation

14,452

5,403

2,010

42,06622,067⑤ Real estate rental profits (③−④)

21,393

5,372

6,533

241,724

181,817② Property related expences(Unit: thousand yen)
Property name

EQUINIA Shinjuku(Note 1)

Number of business days
during the 1st fiscal period

79

Kawasaki More’s(Note 1)EQUINIA Ikebukuro(Note 1)79

covirna machida(Note 1)

Nitori Makuhari(Note 4)

79

79

Rental revenues

54,97258,53559,652Other rental revenues

10,591

8,373

14,99866,90874,650① Property related revenues

65,564(Note 5)

Property management costs

4,383

1,930

5,280

Property management fees

972

1,591

1,075

Utility expenses

8,411

5,757

11,774

Casualty insurance

87

53

61

Repairs and maintenance

757

2,435

3,392

Land rents

－

－

－

Other rental expenses

932

876

3,016

80

(Note 5)

15,545(Note 5)

12,64424,601(Note 5)

③ NOI (①−②)

50,01868,25354,26450,04847,373④ Depreciation

3,665

4,075

2,731

2,426

13,985⑤ Real estate rental profits (③−④)

46,35264,17751,53347,62233,387② Property related expences－ 48 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

1st fiscal period (from January 31, 2013 to August 31, 2013)(Unit: thousand yen)
Property name

Konami Sports Club
Fuchu
(Note 4)

Number of business days
during the 1st fiscal period

80

FESTA SQUARE(Note 4)

GEMS Shibuya(Note 2)80

Sundai Azamino(Note 1)32

EQUINIA Aobadai(Note 1)
79

79

Rental revenues

13,98031,214

Other rental revenues

4,088

4,803

① Property related revenues(Note 5)(Note 5)18,069(Note 5)36,018Property management costs

828

2,726

Property management fees

464

666

Utility expenses

4,406

4,278

Casualty insurance

13

44

Repairs and maintenance－137

Land rents－－

Other rental expenses

18

429

(Note 5)(Note 5)

5,731

(Note 5)

8,282

③ NOI (①−②)

41,341

39,861

12,337

24,66027,736④ Depreciation

9,731

12,792

3,533

7,743

2,538

⑤ Real estate rental profits (③−④)

31,60927,0698,804

16,91625,197② Property related expences(Unit: thousand yen)
Property name

Megalos Kanagawa(Note 4)

Izumiya Senrioka(Note 4)

Merad Owada(Note 4)

Izumiya Yao(Note 4)

Izumiya Obayashi(Note 4)

Number of business days
during the 1st fiscal period

80

80

80

80

80

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

20,863

146,541

116,02875,87353,686④ Depreciation

2,939

26,642

12,882

19,0104,826⑤ Real estate rental profits(③−④)

17,924

119,898

103,145

56,862

48,860Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences－ 49 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

1st fiscal period (from January 31, 2013 to August 31, 2013)(Unit: thousand yen)
Property name
Number of business days
during the 1st fiscal period

Ichibancho stear(Note 1)EQUINIA Aobadori(Note 1)
79

79

Rental revenues

89,45358,446

Other rental revenues

11,791

11,082

101,245

69,528Property management costs

2,835

3,323

Property management fees

1,546

1,320

Utility expenses

10,512

6,415

90

90

1,026

264

－

14,872

3,679

836

19,691③ NOI (①−②)

Mitsubishi Motors
Meguro(Note 4)

Mitsubishi Motors
Chofu(Note 4)

Mitsubishi Motors
Shibuya(Note 4)

80

80

80

(Note 5)(Note 5)(Note 5)27,124(Note 5)(Note 5)(Note 5)81,55342,40334,445

20,722

19,326④ Depreciation

11,610

11,580－－－⑤ Real estate rental profits(③−④)

69,94330,82334,445

20,722

19,326① Property related revenues

Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences(Unit: thousand yen)
Property name
Number of business days
during the 1st fiscal period

Mitsubishi Motors
Nerima(Note 4)

Mitsubishi Motors
Kawasaki(Note 4)

Mitsubishi Motors
Takaido(Note 4)

Mitsubishi Motors
Katsushika(Note 4)

Mitsubishi Motors
Higashikurume(Note 4)

80

80

80

80

80

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

15,643

16,031

9,911

9,847

12,252④ Depreciation

－

－

－

－

－

15,643

16,031

9,911

9,847

12,252

Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences⑤ Real estate rental profits(③−④)－ 50 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

1st fiscal period (from January 31, 2013 to August 31, 2013)(Unit: thousand yen)
Property name
Number of business days
during the 1st fiscal period

Mitsubishi Motors
Setagaya(Note 4)

Mitsubishi Motors
Suginami(Note 4)

Mitsubishi Motors
Sekimachi(Note 4)

Mitsubishi Motors
Higashiyamato(Note 4)

Mitsubishi Motors
Motosumiyoshi(Note 4)

80

80

80

80

80

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

9,709

8,720

7,576

9,336

4,796

④ Depreciation

－

－

－

－

－

9,709

8,720

7,576

9,336

4,796

Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences⑤ Real estate rental profits(③−④)

Property name
Number of business days
during the 1st fiscal period

Mitsubishi Motors
Kawagoe(Note 4)

Mitsubishi Motors
Edogawa(Note 4)

Mitsubishi Motors
Sayama(Note 4)

(Unit: thousand yen)
Mitsubishi Motors
Ibaraki
Maintenance Center(Note 4)

80

80

80

80

(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)(Note 5)

③ NOI (①−②)

4,943

2,309

3,187

10,844④ Depreciation

－

－

－

－

4,943

2,309

3,187

10,844

Rental revenues
Other rental revenues① Property related revenues
Property management costs
Property management fees
Utility expenses
Casualty insurance
Repairs and maintenanceLand rents
Other rental expenses② Property related expences⑤ Real estate rental profits(③−④)(Note 1)

Acquired on June 14, 2013. Accordingly, the figures in the table are the figures for on and after the acquisition date.

(Note 2)Acquired on July 31, 2013. Accordingly, the figures in the table are the figures for on and after the acquisition date.

(Note 3)Acquired on July 19, 2013. Accordingly, the figures in the table are the figures for on and after the acquisition date.

(Note 4)

Acquired on June 13, 2013. Accordingly, the figures in the table are the figures for on and after the acquisition date.

(Note 5)

Not disclosed, because consent has not been obtained from the tenant.

－ 51 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

G. Overview of Engineering Report and Earthquake Risk Analysis
Upon acquisition of assets under management (excluding properties on land with leasehold right),
NMF entrusts a building investigation to and obtains a report of the concerned investigation(“engineering report”) from an independent outside investigator with no vested interest. The following is
the repair expenses, etc. stated in the engineering reports for each of the assets held at the end of the 1st
fiscal period. However, the content of the reports is no more than an opinion of the preparers of theengineering reports stated below and there is no guarantee as to the accuracy of the content.
In addition, the following estimated amounts are as of the date of preparation of the engineering
report and not as of the date of this report.
Furthermore, inflation rates and consumption taxes are not taken into account in the calculation of future
repair and renewal expenses.
The portfolio PML for the assets held at the end of the 1st fiscal period, excluding properties on landwith leasehold right, to total 37 properties was 5.28% and the PML for each of the assets held at the endof the 1st fiscal period is as follows. PML in the table below refers to the probable maximum loss that aproperty will experience in the assumed scheduled use period (50 years = useful life of a general building)due to an earthquake event of the assumed maximum scale (large earthquake with a probability ofoccurring once in 475 years = large earthquake with a 10% probability of occurrence in 50 years),
expressed as the estimated cost associated with restoring a property damaged in connection with such anearthquake event to its condition prior to that event as a percentage of the replacement cost associatedwith the property, based on the report prepared by Sompo Japan Nipponkoa Risk Management Inc.
Please note that, as of the date of this report, no earthquake insurance has been or is scheduled to betaken out.

Use

Preparer of engineering report

Emergency Short-term Long-term
repairrepairrepairPreparation dateexpenses
expenses
expenses(million yen) (million yen) (million yen)
(Note 1)
(Note 2)
(Note 3)

Landport Urayasu

Shimizu Corporation

February 2013

－

－

292

4.61

Landport Itabashi

Shimizu Corporation

February 2013

－

－

176

6.17

Property nameLandport Kawagoe
Landport Atsugi
Sagamihara Tana Logistics Center
Sagamihara Onodai Logistics Center
Landport Hachioji
Logistics
Landport Kasukabe
Funabashi Logistics Center
Atsugi Minami Logistics Center B Tower
Hanyu Logistics Center
Kawaguchi Logistics Center B Tower
Kawaguchi Logistics Center A Tower
Atsugi Minami Logistics Center A Tower

PML
(%)

Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.

March 2013

－

－

310

4.85

February 2013

－

－

101

10.06

March 2013

－

－

162

4.92

Shimizu Corporation

February 2013

－

－

427

12.96

February 2013

－

－

83

11.29

February 2013

－

－

78

7.33

February 2013

－

－

425

5.24

February 2013

－

－

10

12.38

February 2013

－

－

84

5.15

February 2013

－

－

155

5.05

February 2013

－

－

193

6.32

February 2013

－

－

87

12.35

Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Shimizu Corporation
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.

－ 52 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

Use

Property nameOta Nitta Logistics Center
Ota Higashishinmachi Logistics Center
Logistics
Ota Kiyohara Logistics Center
Chiyodamachi Logistics Center
Logistics subtotal

－

113

2.01

February 2013

－

－

56

1.39

February 2013

－

－

22

1.39

February 2013

－

－

53

7.23

-

－

－

2,835

5.76

0

－

2,540

5.93

Yokosuka More’s City

Shimizu Corporation

February 2013

－

144

814

12.79

February 2013

－

－

221

7.5

February 2013

0

1

731

11.24

February 2013

0

0

144

10.82

February 2013

－

300

120

14.8

February 2013

－

－

77

5.93

covirna machida
Nitori Makuhari

Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Shimizu Corporation
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.

Konami Sports Club Fuchu

Shimizu Corporation

February 2013

－

－

204

2.4

FESTA SQUARE

Shimizu Corporation

February 2013

－

－

43

6.36

March 2013

－

－

14

1.81

February 2013

－

－

31

6.93

February 2013

－

－

137

9.91

February 2013

－

－

94

11.24

February 2013

－

－

239

14.44

February 2013

－

－

270

10.16

February 2013

－

－

168

14.37

February 2013

－

－

236

12.95

February 2013

－

－

66

2.76

February 2013

－

－

81

0.34

GEMS Shibuya
Sundai Azamino
EQUINIA Aobadai
Megalos Kanagawa
Izumiya Senrioka
Merad Owada
Izumiya Yao
Izumiya Obayashi
Ichibancho stear
EQUINIA Aobadori(Note 3)－February 2013

EQUINIA Ikebukuro(Note 2)-February 2013

Tokio Marine & Nichido
Risk Consulting Co., Ltd.

Kawasaki More’s(Note 1)

Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.

PML
(%)

Morisia Tsudanuma

EQUINIA Shinjuku

RetailPreparer of engineering report

Emergency Short-term Long-term
repairrepairrepairPreparation dateexpenses
expenses
expenses(million yen) (million yen) (million yen)
(Note 1)
(Note 2)
(Note 3)

Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.
Tokio Marine & Nichido
Risk Consulting Co., Ltd.

Retail subtotal

-

-

0

445

6,238

5.60

Total

-

-

0

445

9,073

5.28

Emergency repair expenses are the repair expenses for items having failures that will functionally hinder daily operations or items that are legally
instructed for improvement but are yet to be renovated (rounded down to the nearest million yen). However, for the properties that have been estimatedfor emergency repair expenses in the engineering reports stated above (Morisia Tsudanuma, Kawasaki More’s and EQUINIA Ikebukuro), the repairs forthe estimated items have been already completed as of the date of this report.
Short-term repair expenses are the repair expenses required within one year, such as for items for which early renovation is desirable due to deterioration
progressing and items for which failure is thought to arise if left unattended, other than expenses associated with standard repairs or renewal of interior
finishing and equipment (rounded down to the nearest million yen).
The estimated amount of long-term repair expenses is the sum total amount of the long-term repair expenses projection (12-year period) (rounded down
to the nearest million yen).

－ 53 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

H. Status of Capital Expenditures(i)

Schedule of Capital Expenditures
Of the scheduled amount of capital expenditures associated with renovation work, etc. planned (orcompleted) to the date of this report for the assets held at the end of the 1st fiscal period, the following
are the major capital expenditures. Please note that the scheduled construction amount below includes
the portion charged to expenses in accounting.

Name of real estate, etc.
(Location)

PurposeScheduled period

Scheduled construction amount(thousand yen)
Total
AmountTotalamountpaid during
amountalready
periodpaid

Izumiya Obayashi(Takarazuka-shi, Hyogo)

Seismic strengthening

From Dec. 2013
To Mar. 2014

283,300--

covirna machida(Machida-shi, Tokyo)

Renewal of the air-conditining
system (Note)

From Oct. 2013
To Apr. 2014

175,000--

Morisia Tsudanuma(Narashino-shi, Chiba)

Installation of automatic dooron 1st floor

From Feb. 2014
To Feb. 2014

20,000--Morisia Tsudanuma(Narashino-shi, Chiba)

Renewal of the entrance door
on west side of 2nd floor

From Feb. 2014
To Feb. 2014

20,000--

Funabashi Logistics Center(Funabashi-shi, Chiba)

Leakage control on the wall
surface

From Dec. 2013
To Feb. 2014

20,000--(Note) Already begun as of the date of this report.

(ii) Capital Expenditures During the Fiscal Period
The following is an overview of the major construction work falling under the category of capital
expenditures that were conducted during the 1st fiscal period for the assets held as of the end of the 1st
fiscal period. Capital expenditures during the 1st fiscal period were 24,825 thousand yen and, whencombined with the 58,104 thousand yen repair expenses charged to expenses during the 1st fiscal period,a total of 82,930 thousand yen in construction was implemented.
Name of real estate, etc.
(Location)

Construction amount(thousand yen)

PurposeConstruction period

Sagamihara Onodai Logistics
Center(Sagamihara-shi, Kanagawa)

Waterproofing work and water stoppage
work on drive way

From Aug. 2013
To Aug. 2013

2,961

Morisia Tsudanuma(Narashino-shi, Chiba)

Replacement of automatic door in office
tower

From Aug. 2013
To Aug. 2013

2,632

Morisia Tsudanuma(Narashino-shi, Chiba)

Reinforcement work on backyard wall

From Aug. 2013
To Aug. 2013

2,417

EQUINIA Aobadai(Yokohama-shi, Kanagawa)Renewal of new retal compartment

From Aug. 2013
To Aug. 2013

1,617

Other Properties

Improvement of features

From June 2013
To Aug. 201315,19624,825

Total－ 54 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013(iii) Cash Reserved for Long-Term Repair Plans (Reserve for Repairs)
Based on long-term repair plans formed for each property, NMF sets aside the cash reserves toprovide for medium- to long-term future large-scale repairs, etc. from cash flows during the period.
However, NMF have not made cash reserve during 1st fiscal period.

I. Status of Major Tenants
The following is the leasing status of those tenants of the assets held at the end of the 1st fiscal periodof which a tenant’s leased area (in the case where a single tenant occupies several assets of the assets heldat the end of the 1st fiscal period, the sum total of the leased area thereof) at August 31, 2013 accounts
for 10% or more of the leased area of all of the assets held as of the same date.
Tenant name(Note 1)Business typeFukuyama

Land

Transportingtransportation

Co., Ltd.

Property nameLandport Urayasu
Sagamihara Onodai
Logistics Center(Note 1)

Annual rent

Leased area

Contract termination(Note 2)

(m2)

date

Leasehold andsecurity deposits

Other relevant info
(contract extension(Note 2)

method, etc.)(Note 2)Not disclosed

34,941.45

April 30, 2019

Not disclosed

Not disclosed

Not disclosed

57,448.03

March 31, 2023

Not disclosed

Not disclosed

In the case of assets with a so-called pass-through master lease agreement where the rent received from the lessee in the master lease agreement is
the same amount as the rent that the lessee receives from the end-tenant, only the end-tenant is shown as the tenant and the master lessee is notshown as the tenant.

(Note 2)

“Annual rent,” “leasehold and security deposits” and “other relevant info (contract extension method, etc.)” are not disclosed, due to unavoidable
circumstances.

J. Top 10 Tenants by Leased Area
The following are those tenants of the assets held at the end of the 1st fiscal period of which rank in
the top ten when a tenant’s leased area is expressed as a percentage of the sum total of the leased area ofthe entire portfolio as at August 31, 2013.
No

1

Tenant nameUse

Fukuyama Transporting Co., Ltd.

Logistics

Property nameLandport Urayasu
Sagamihara Onodai Logistics Center

Total leased area
(m2)

Share
(%)
(Note 1)

92,389.48

10.4

70,311.49

7.9

Izumiya Senrioka
2

Izumiya Co., Ltd.

RetailIzumiya Yao
Izumiya Obayashi

3

Amazon Japan Logistics K.K.

Logistics

Landport Kawagoe

56,377.76

6.3

4

Caterpillar Logistics Services LLC (Note 2)

Logistics

Sagamihara Tana Logistics Center

50,450.00

5.7

43,830.13

4.9

Ota Nitta Logistics Center

42,328.00

4.8

Total for 17 Mitsubishi Motors properties

41,136.96

4.6

5

Yokohama Okadaya Co., Ltd.

Retail6

Mitsui-Soko Logistics Co., Ltd.

Logistics

Yokosuka More’s City
Kawasaki More’s

Retail(land with

7

Not disclosed

8

ASKUL Corporation

Logistics

Landport Itabashi

37,276.71

4.2

9

Otsuka Warehouse Co., Ltd.

Logistics

Landport Urayasu

35,104.40

3.9

10

Shinkai Transport Systems, Ltd.

Logistics

Landport Hachioji

34,896.32

3.9504,101.25

56.7

leaseholdright)

Total for top 10 tenants－ 55 －

Nomura Real Estate Master Fund, Inc. (3285)
Financial Results for the 1st Fiscal Period Ended August 31, 2013

(Note 1)

“Share” is the sum total of leased area of the respective tenant as a percentage of the sum total of leased area of the entire portfolio of assets held by
NMF at the end of this fiscal period. The tenant name is not disclosed for some tenants, due to unavoidable circumstances.

(Note 2)
(Note 3)The company has announced that will changed its trade name to Neovia Logistics Services, LLC.
In the case of assets with a so-called pass-through master lease agreement where the rent received from the lessee in the master lease agreement is
the same amount as the rent that the lessee receives from the end-tenant, end-tenants is shown as an tenant, and lessee is not shown as an tenant.

K. Status of Major Properties
Not applicable.

L. Overview of Leasing to Interested Parties
Tenant name

Property name

Megalos Co., Ltd.

Megalos Kanagawa
Morisia Tsudanuma
GEMS Shibuya

Geo Akamatsu Co., Ltd.

Leased area(m2)
6,217.85
39,301.49
1,791.34

M. Collateral
Not applicable.

③ Other Major Investment Assets
Real estate trust beneficiary interests are all presented together with real estate in “② Investment Real Estate
Properties” above in this report. There are no other investment assets other than those presented in the item.

－ 56 －