March 17, 2022

Brief Summary of Kessan Tanshin (Financial Report)
Advance Residence Investment Corporation (ADR / Securities Code: 3269)
23rd Fiscal Period (August 1, 2021 – January 31, 2022)

1. Summary of Key Financial Data
Operating Revenues
Operating Income
Ordinary Income
Net Income
Earnings per Unit (EPU)
Dividend per Unit (DPU)
FFO per Unit
ROE (semi-annual)

17,313 million yen
8,710 million yen
7,813 million yen
7,812 million yen
5,640 yen
5,692 yen
7,390 yen
6.7 %Total Assets
Net Assets
Net Assets per Unit
NAV per Unit
Net Asset Ratio
End-of-period LTV

459,988 million yen
230,562 million yen
166,470 yen
318,125 yen
50.1 %
48.4 %

2. 23rd Fiscal Period Highlights
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EPU was 5,640 yen increased by 374 yen compared to the previous period due to gains on sales ofproperties and an increase in NOI resulting from property acquisitions and higher occupancy rates.
DPU was 5,692 yen. The gain on sale (319 yen per unit) in this period is retained and a portion of theretained earnings of 128 yen per unit and the periodic drawdown of 242 yen per unit is included in thedividend. It is a 46 yen increase from the previous period, and it is a record high.
Population inflow into Tokyo continues to decline due to a decrease in demand for transfers. As a result,the supply-demand balance has eased, especially for single types in Tokyo 23 wards, and we have eased
our leasing conditions to improve the occupancy rate. As a result, the average occupancy rate during
this period was 96.2% (+0.3pt year-on-year).
On the other hand, there was firm demand for family-type properties, including those in central Tokyo,
new contract rents were higher than year-on-year. However, together with the above-mentioned easingof leasing conditions mainly for single types in Tokyo 23 wards, the final rate of change in replacement
was -0.6% (-1.9% year-on-year), the first negative figure in 7 years since the January 2015 period.
Acquired 2 properties from third parties for a total acquisition price of 3.7 billion yen and sold 2
properties for a total acquisition price of 0.6 billion yen, recording a gain on sale of 0.4 billion yen.
Even in the COVID19 pandemic, there was no change in the lending attitude of financial institutions toADR. We borrowed a total of 19.2 billion yen (average interest expense 0.41%, average procurement
period 8.2 years). As a result, the average interest expense as of the end of the current period was0.61%, which was a reduction from 0.66% in the previous period. In addition, the remaining years wereextended from 4.9 years to 5.0 years, and we were able to further strengthen our financial base.

3. Earnings Forecasts
24th Fiscal Period Forecast(February 1, 2022 to July 31, 2022)

25th Fiscal Period Forecast(August 1, 2022 to January 31, 2023)

Operating Revenues

17,178 million yen

Operating Revenues

17,088 million yen

Operating Income

8,209 million yen

Operating Income

8,235 million yen

Ordinary Income

7,369 million yen

Ordinary Income

7,369 million yen

Net Income

7,368 million yen

Net Income

7,368 million yen

Earnings per Unit (EPU)

5,320 yen

Earnings per Unit (EPU)

5,320 yen

Dividend per Unit (DPU)

5,700 yen

Dividend per Unit (DPU)

5,700 yen

Outstanding No. of Issued Units1.385 million units

Outstanding No. of Issued Units

1.385 million units

Number of Properties

275

Number of Properties

275

Average Period Occupancy

96.5 %

Average Period Occupancy

96.4 %• The above forecasts employ figures that have been calculated based on number of assumptions. The actual net profit and the dividend
may vary due to changes in those assumptions or in other conditions. Therefore, these forecasts do not in no way guarantee the dividend
amounts for the respective periods.

Please contact below with any inquiries you may have on this report.
AD Investment Management Co., Ltd.
TEL: +81-3-3518-0480
FAX: +81-3-3518-0481
ir@adr-reit.com
This document is an English-language summary of the Japanese financial report “Kessan Tanshin” disclosed in Japanese on March 17, 2022.