Translation of Japanese Original
March 10, 2020
To All Concerned Parties
REIT Issuer:
Kenedix Office Investment Corporation
Jiro Takeda, Executive Director(Securities Code: 8972)
Asset Management Company:
Kenedix Real Estate Fund Management, Inc.
Masahiko Tajima, President & CEO
Inquiries:
Hiroaki Momoi
Head of Planning Division
Office REIT Department
TEL: +81-3-5157-6010

Notice Concerning Debt Financing (Series 172) andExecution of an Interest Rate Swap Agreement

Kenedix Office Investment Corporation (“the Investment Corporation”) has announced today, that the Investment
Corporation decided to undertake the debt financing (total of 4,800 million yen) and the execution of an interest rate
swap agreement.
Please see below for the details.
1. Outline of Debt Financing
SeriesLenderAmountInterest Rate
(Note 1) (Note 2)

172-A

Sumitomo Mitsui
Banking Corporation

3,000
millionyen

Base rate(JPY TIBOR
for 1 month)+0.30000%

172-B

Sumitomo Mitsui
Banking Corporation

1,800
millionyen

Contract
Date

March 10,2020Base rate(JPY TIBOR
for 3 months)+0.40000%

Drawdown
Date

Principal
Repayment
Date (Note 1)

Collateral ・Repayment
MethodFebruary 28,
2021

Unsecured,
unguaranteed・Repaymentof principal
in full on
maturity date

March 12,2020
February 28,2026

Note 1: The first interest payment of Series 172-A is due at the end of March 2020, and on the last day of every month thereafter with theprincipal repayment day. The first interest payment of Series 172-B is due at the end of May 2020, and on the last day of every 3 months
thereafter with the principal repayment day. If each interest payment day or the principal repayment day is a non-business day, then theinterest payment or the principal repayment will be due on the next business day and if that next business day is in the next month, thenprevious business day will be applied.
Note 2: The base rates that are applied during interest period for the interest due on each interest payment date for Series172-A shall be calculated
based on Japanese Yen TIBOR for 1 month, which the JBA TIBOR Administration (“the JBATA”) releases two business days before eachinterest payment date and for Series172-B shall be calculated based on Japanese Yen TIBOR for 3 months, which the JBATA releases twobusiness days before each interest payment date.
The Japanese Yen TIBOR of the JBATA is available on the JBATA website (http://www.jbatibor.or.jp/english/rate/).

2. Purpose of Debt Financing
Series 172-A is to apply the fund towards the repayment of Series 98-A (3,000 million yen) with the principal
repayment date of March 12,2020, Series 172-B is to apply the fund towards the repayment of Series 97-C (1,800million yen) with the principal repayment date of March 12,2020.

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3. Interest Rate Swap Agreement(1)Purpose
For a hedge against possible increases in future interest rate of Series172-B among the debt financing withfloating interest rate.
(2)Details of Interest Rate Swap Agreement
Series172-B

Counterparty

Nomura Securities Co.,Ltd.

Notional AmountInterestRate

1,800 million yen

Fixed Interest Rate for
Payment (Note)
Floating Interest Ratefor Receipt-0.03900％
Base rate (JPY TIBOR for 3 months)

Commencement Date

March 12, 2020

Termination Date

February 28, 2026

Payment Date

The first payment is due at the end of May 2020, and on the last day of every 3 months
thereafter with the termination date. (If each payment day is a non-business day, then thepayment will be due on the next business day and if that next business day is in the next month,then previous business day will be applied. )Note: By entering into the interest rate swap agreement, the interest rate on Series 172-B is essentially fixed at 0.36100%.

4. Status of Borrowings and Investment Corporation Bonds after the Debt Financing (as of March 12, 2020)(Millions of yen)

Short-Term Borrowings (Note 1)

Balance before
the Debt Financing
6,000

Balance after
the Debt Financing
9,000

Long-Term Borrowings (Note 2)

176,050

173,050-3,000

182,050

182,050

0Classification

Total Borrowings
Investment Corporation Bonds
Total Borrowings and Investment Corporation Bonds

Difference+3,00010,00010,0000

192,050

192,0500Note 1: Short-term borrowings refer to debt financing with a period less than or equal to one year from the drawdown date to the principal
repayment date. However, the borrowings for which the period until the principal repayment date has surpassed one year because theprincipal repayment date after one year from the drawdown date is not a business day, and for which the principal repayment date has
been moved to a different business day, are included in short-term borrowings.
Note 2: Long-term borrowings refer to debt financing with a period more than one year from the drawdown date to the principal repayment date.

5. OtherFor risks concerning the repayment, etc. of the aforementioned debt financing, there are no significant changes to the“Investment Risks” as described in the Securities Report (submitted on January 30, 2020).
The Investment Corporation’s website: https://www.kdo-reit.com/en/
This notice is the English translation of the Japanese announcement on our website released on March 10, 2020. However, noassurance or warranties are given for the completeness or accuracy of this English translation.

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