Advance Residence Investment Corporation
9th Fiscal Period ReportAugust 1, 2014 ~ January 31, 2015

IDEA INSTITUTE INC.
Idea Bldg., 3‐1‐3 Ebisu, Shibuya‐ku, Tokyo 150‐0013 Japan

Certificate of Translation
June 1, 2015

We, the undersigned, hereby certify that the attached document is an accurate andfaithful English translation of the Japanese original performed by a translator
proficient in both Japanese and English.
We hereby express our consent to the inclusion of the attached document and thisCertificate of Translation in the English edition of the 9th Fiscal Period Report of theAdvance Residence Investment Corporation.

Requested By:

Advance Residence Investment Corporation

Translated Document:

9th Fiscal Period Report (English)

IDEA INSTITUTE INC.
President: Keizo Kiyohara
Idea Bldg., 3‐1‐3 Ebisu, Shibuya‐ku,
Tokyo 150‐0013 Japan
TEL: 03‐3446‐8660
FAX: 03‐3446‐3134

Realization of Stable Distribution of
Earnings over the Long Term

Unit-holder Memo

Annual Schedule

Fiscal period-end

January 31 and July 31 of every year

2015. 4General meeting of unit-holders

Held at least once every 2 years

Date for determining unit-holders
exercising voting rights at meeting

The date will be publicly notified in advance2015. 5

Record date for determining
dividend payments

January 31 and July 31 of every year
(Dividends will be paid within 3 months of the record date for determining payments.)

2015. 72015. 9Unit listing

Tokyo Stock Exchange (Securities Code: 3269）

Newspaper for public notice

The Nikkei

Transfer agent

Mizuho Trust & Banking Co., Ltd. 1-2-1 Yaesu, Chuo-ku, Tokyo

Office address
Contact

2015. 10Stock Transfer Agency Department, Main Office Mizuho Trust & Banking Co., Ltd.
1-2-1 Yaesu, Chuo-ku, Tokyo

2015. 11

StockTransfer Agency Department

2016. 1

Mailing address

Mizuho Trust & Banking Co., Ltd.
2-8-4 Izumi, Suginami-ku, Tokyo 168-8507

Phone

0120-288-324 (toll-free in Japan)

Publication of 9th Fiscal Period financial
reportPayment of 9th Fiscal Period dividend
Investment performance briefing forunit-holders
End of 10th Fiscal Period
Announcement of 10th Fiscal Period
results
Publication of 10th Fiscal Period financial
reportPayment of 10th Fiscal Period dividend
General meeting of unit-holders
Investment performance briefing forunit-holders
End of 11th Fiscal PeriodTo Our Unit-holders

drawing on various approaches ADR
managed again to acquire 25 highyielding properties this fiscal period.
Meanwhile, we secured gains on sales bytaking advantage of the seller’s market
in real estate. This involved dispositionof six properties, including an aged
property where the matter of long-term
profitability was a concern, and otherproperties with low yield and unrealized
losses. With this property replacement,
we feel that we were able to further
strengthen ADR’s portfolio.
In terms of property management,
we were able to increase rents, albeit
slightly, for the first time since themerger while continuing to maintain ahigh occupancy rate.
Lastly, ADR’s credit rating was upgraded.
This was in acknowledgement of ourcontinued efforts to strengthen our
financial base through initiatives that
included extending debt duration,
increasing the ratio of fixed-interestrate loans, reducing financing costs andlowering the debt ratio.

We would like to report on the
management results and performanceof Advance Residence Investment
Corporation (ADR) for its 9th Fiscal
Period, or the six months ended January
31, 2015.

As a result, we feel that these
improvements have helped enable us
to attain an operating structure thatwill make it possible to continue paying
distributions exceeding the minimum
dividend per unit of 4,500 yen, a target inplace since the merger, without drawing
down the reserve for dividends.

In the current fiscal period, ADR’s
dividend per unit increased by 537 yencompared with the previous fiscal
period to 5,130 yen, due to significantly
higher-than-expected earnings per unit
(EPU)* generated from gains on sales
associated with property replacements.

guard against future reversal in thebusiness environment. We also thinkthat as a residential J-REIT, we willneed to place greater importance onrenovations, repairs and equipment
renewals to maintain and improve thevalue our properties. To that end, we
will take all measures appropriate, while
giving proper consideration to cash
management.
In the current fiscal period, ADR’s unit
price rose sharply from 245,500 yen at
the end of the previous fiscal period
to 301,500 yen at the end of this fiscal
period (a +22.8% increase over the endof the previous period) as a result offavorable conditions brought about byheightened expectations for domestic
economic recovery.
We would like to take this opportunity
to sincerely thank all of our shareholders
for their support.

Kenji Kousaka
Executive Director

Advance Residence Investment Corporation
President

AD Investment Management Co., Ltd.

Moving forward, we will continue to becommitted to increasing the EPU while
maintaining a conservative stance to

Despite an intensely competitive
property acquisition environment,* Net income / Unit is calculated by dividing net income by the number of units issued and outstanding as of the end of the fiscal period.

Price Movement of Investment Units

Price of investment units (yen)ADR Price ofinvestment units

350,000
Eﬀective date of merger
Mar. 1, 2010

300,000

Great East Japan Earthquake
Mar. 11, 2011

Tokyo Stock
Exchange REIT
Residential Index

252

250,000

200,000

Launched the 3rd follow-on
oﬀeringJan. 8, 2013

268

Launched the 4th follow-on
oﬀeringJan. 9, 2014

Launched the 1st follow-on
oﬀering
Jun. 4, 2010

Launched the 2nd follow-on
oﬀeringJan. 12, 2012

Tokyo Stock
Exchange REIT
Index

205

TOPIX

157

150,000

100
100,000

50,0002010/07

2011/01

2011/072012/01

2012/072013/01

2013/07

2014/01

2014/07

2015/01* The Tokyo Stock Exchange REIT Index, the Tokyo Stock Exchange REIT Residential Index and TOPIX are re-indexed using ADR’s March 2, 2010 unit price of 112,500 yen as the base.

2

Fiscal Highlights
Significant Increases in Revenues, Profits and Dividends
through Replacement of Properties

5,130 yen dividend per unit (+537 yen from previous FP)
Property Replacement
Increase in Portfolio Profitability through Major Property Replacement

Acquisitions
Acquired

25 recently built properties with high yield(@ approx. 22.2 billion yen*)

Dispositions
Sold* Total acquisition price3

6 properties that are aged or low yielding(@ approx. 29.3 billion yen*)As of January 31, 2015

The Largest Portfolio Among Residential J-REITs
Total assets

No. of properties

Number of leasable units

Leasable floor area(based on acquisition price)

240

410.5

properties

billion yen

19,572

units

740,021m2

High Yield and Substantial Unrealized Gains
NOI yield*

Unrealized gain**

5.6

56.0

%

billion yen* NOI: NOI stands for Net Operating Income as a function of revenues and expenses from the real estate business, calculated using the formula: “Revenue from property leasing” – “Expenses fromproperty leasing” + “Depreciation and amortization” + “Loss on retirement of fixed assets”
NOI yield is calculated using the formula: “Annualized NOI” ÷ “Book value at the end of fiscal period” When calculating the annualized NOI, the total actual NOI during the period is calculated
according to the number of operating days.
** Unrealized gain is the appraisal value at the end of the fiscal period less the book value at the end of the fiscal period.

Investment Region

Building Age

Walking Minutes to Train Station

Tenant Category(% based on acquisition price)(% based on acquisition price)(% based on acquisition price)(% based on no. of units)

Major
Regional
Cities20%

Tokyo
Metropolitan Area

Over 15 min. 1%

Under 5 yrs
Over 10 yrs

Tokyo 23 Wards

Over 5 min.
Under 10 min.

36%

Under 5 min.

56%

Individual

45%

Under 10 yrs 74%

24.8% (4,849 units)
15.5% (3,038 units)

Under 100K yen

53.1% (10,394 units)

Under 150K yen

22.6% (4,432 units)
20.2% (3,959 units)

Under 250K yen

2.5% (487 units)

Large

1.9% (374 units)

Under 300K yen

Dormitory

1.9% (376 units)

Under 500K yen

1.1% (220 units)

Oﬃce/retail

0.7% (132 units)

Over 500K yen

0.4% (80 units)

0Tokyo Central
7 Wards“Student” indicates the proportion ofcontracts for student dormitories andstudent apartments.

Rents (% based on no. of units)
55.2% (10,803 units)Compact

Pass-through type 75%

Under 10 min. 92%

Unit Type (% based on no. of units)
Single

3,000
Central Tokyo
excl. 7 Wards

6,000

9,000

Tokyo
Metropolitan Area

30%

16%

71%

Tokyo 23 Wards Total 70%

Corporate

Guaranteed rentOver 5 yrs to 10 yrs

31%

Family9%

7%

Average
9.2 yrs

39%

Student

10 to 15 min.

26%

Tokyo Central
7 Wards

10%

3%

12,000Major Regional
Cities0Single3,000
Compact

Family

6,000

9,000

12,000Large

DormitoryOﬃce/retail4Steady External Growth190

No. of properties

190

5.4%

204

210

221

240

5.5%

5.5%

5.6%

5.6%

393.8 bn yen

401.8 bn yen

417.6 bn yen

410.5 bn yen
19.8%
10.0%

5.3%

NOI yield

367.9 bn yen

367.9 bn yen

Major Regional Cities

13.3%
11.2%

13.3%
11.2%

15.1%
10.7%

15.2%
10.5%

16.7%
10.1%

Tokyo Metropolitan

29.1%

29.1%

29.3%

29.3%

28.8%

30.8%

46.4%

46.4%

44.9%

44.9%

44.4%

39.4%

FP 07-2012

FP 01-2013

FP 07-2013

FP 01-2014

FP 07-2014

FP 01-2015

Central Tokyo excl. 7 Wards
Tokyo Central 7 Wards

Increase in Rent Levels
The First Rent Increase Since the Merger - Portfolio Rent Up by +0.05%** Increase in rent per tsubo (1 tsubo = 3.3m2) from the beginning to the end the fiscal period for units both occupied at the beginning and the end of the fiscal period.

High Occupancy Rate
4th FP
96.2%

5th FP
95.9%

6th FP
96.6%

7th FP
96.4%

8th FP
96.4%

9th FP
96.1%

100%

95%

5

Tokyo Central 7 Wards

Central Tokyo excl. 7 Wards

/11

/0
1
15
20

14
20

/0
9
14

7

Tokyo Metropolitan Area

20

20
14
/0

5
/0
14
20

/0
3
20

14

/0
1
14
20

/11
13
20

7

9
/0
20
13

5

/0
13
20

/0
13
20

/0
3
13
20

/0
1
13
20

9

7

/11
12
20

/0
20
12

/0

5

Overall portfolio

20
12

/0
12
20

20

12

/0
3

90%

Major Regional Cities

Credit Rating Upgraded
JCR’s* Credit Rating: from AA‐ to AA* Japan Credit Rating Agency, Ltd.

Financial Base that Withstands Financial Volatility

Debt Duration

1.46%

2.9 yrs

82%

Average Interest Rate

1.35%

3.4 yrs

FP 07-2012

87%

FP 01-2013

Fixed Interest Ratio

1.28%

3.8 yrs

93%

FP 07-2013

1.26%

3.8 yrs

93%

FP 01-2014

1.23%

95%

4.1 yrs

1.21%

100%

4.1 yrs

FP 07-2014

FP 01-2015

Operating Structure Enabling Generation of EPU Above 4,500 Yen
New Dvidend Policy: EPU=DPU (minimum DPU 4,500 yen*)* There is no guarantee as to actual dividend amounts. The actual dividends will be determined by ADR’s Board of Directors, upon full consideration of various factors.

Stable Dividends
Drawdown from Dividend Reserve(in yen per unit)

Dividend Paid from Net Income

4,724
4,500 yen

4,597

4,615

4,593

249

329

200

70

4,192

4,255

4,267

4,415

4,523

FP 07-2012

FP 01-2013

FP 07-2013

FP 01-2014

FP 07-2014

531

4,505

5,130
60
5,070

FP 01-20156

Management Policies Going Forward
External Growth

Even though the property acquisition market remains highly competitive, we will continue aiming to acquire
accretive properties by avoiding unnecessary competition through the following methods:• Utilize our sponsor’s pipeline to primarily acquire sponsor-developed properties.
• Acquire properties directly from third parties, by using the abundant trading information that we are able togather.
At the same time, given the booming property market, we will continue to seek opportunities to replace
properties to strengthening the portfolio’s competitive advantages and enhancing its value.

Internal Growth

We will work to maintain and improve rent revenues by increasing rents particularly upon tenant replacement for
properties with high occupancy, actively seek higher key money income and take steps to lower leasing expenses
through efficient utilization.
We will also continue working to maintain and enhance the competitive advantages of our properties by carrying
out large-scale renovations and appropriate upgrades.

Finance Policy

As we closely monitor interest-rate trends, we maintain our policy to further diversify debt maturities while
continuing to finance in fixed-rate debts with longer durations. This policy will strengthen the financial base of
ADR and enable it to respond more flexibly to future financial market volatilities.

Dividend Payout Strategy

For the two fiscal periods ending July 2015 and January 2016, we expect to achieve EPU of 4,540 yen and
4,510 yen, respectively, thereby exceeding the 4,500-yen threshold.
Going forward, under the new dividend payout policy the dividend per unit is to generally mirror the EPU when
EPU exceeds 4,500 yen.
On the other hand, if the EPU falls below 4,500 yen, the policy* will be to generally maintain a dividend per unitof 4,500 yen by drawing down the dividend reserve.
* However, there is no guarantee as to actual dividend amounts, which will ultimately be determined by ADR’s Board of Directors, upon full consideration of various factors.

7

Sustainability
Building a Sustainable Society and
Further Enhancing Unit-holders’ Value
Environmental Considerations▲ ▲Taking steps to conserve energy and water
Extending economic life of buildings and reducing carbon
footprint through implementation of large-scale renovations
and upgrades

Enhancing Tenant Satisfaction▲ ▲ ▲Carrying out tenant-satisfaction surveys
Providing tenant services (RESIDIA customer support hotline, etc.)
Posting emergency maps

Contribution to Local Communities
Installing automatedexternal defibrillators(AEDs)

Installing vending machines that
accept charitable donations

DBJ Green Building Certification*
ADR was awarded DBJ Green
Building Certification* in March
2015, for three properties under
its management

Participation in the GRESB Survey
In 2014, ADR became the first residential J-REIT to participate in the
Global Real Estate Sustainability Benchmark (GRESB) survey▲ ▲Initiatives of the AssetManagement Company▲ ▲▲Establishing a sustainability policy
Implementing more stringent decision-making
processes
Improving the compliance and risk control framework
Enhancing business resilience (awarded Development
Bank of Japan’s BCM rating***)Enhancing employee satisfaction*

The Development Bank of Japan (DBJ) devised the DBJ Green Building Certification program, under which it awards certification for real estate managed in a manner demonstrating due
consideration for environmental performance and various social imperatives. For details, refer to: http://igb.jp/index.html** Launched by a group of European pension funds, the Global Real Estate Sustainability Benchmark (GRESB) assesses sustainability performance of real estate portfolios around the globe.
*** Under the Development Bank of Japan’s (DBJ) Business Continuity Management (BCM) rating program, the DBJ uses its proprietary rating system to assess companies on their disasterprevention and business continuity measures, and identifies those that demonstrate excellence in that regard.

8

I. Asset Management ReportManagement’s Discussion and Analysis
1 Summary of Selected Financial Data
Fiscal Period
Operating Operating revenues
results(Rental revenue)(Gain on real estate sales)

7th FP

8th FP

9th FP

From: Aug. 1, 2013
To: Jan. 31, 2014

From: Feb. 1, 2014
To: Jul. 31, 2014

From: Aug. 1, 2014
To: Jan. 31, 2015

12,194

13,493

13,794

14,66815,633

million yen

12,155

13,462

13,756

14,59014,738b

million yen

–

–

–

–

839

million yen

5,773

6,517

6,658

7,164

7,474

(Rental business expenses)cmillion yen

4,557

5,343

5,366

5,749

5,817

(Loss on real estate sales)dmillion yen

–

–

–

–

185

(Impairment loss)emillion yen

–

–

–

–

–

million yen

6,420

6,976

7,136

7,504

8,158
6,591

Ordinary incomefmillion yen

4,681

5,292

5,475

5,880

Net incomegmillion yen

4,681

5,291

5,475

5,880

6,591

Total assetshmillion yen

383,476

410,989

418,785

435,215

430,509

Interest-bearing liabilities

imillion yen

206,166

210,269

218,116

221,799

215,799

Net assets

jmillion yen

172,640

195,446

195,220

207,757

208,378

Paid-in Capitalkmillion yen

80,087

102,557

102,557

114,936

114,936

Total dividendslmillion yen

4,955

5,700

5,722

5,970

6,669

Payout ratio
Total number of units issued andoutstanding
Net assets per unit

l/g

%

105.9

107.7

104.5

101.6

101.2

m

units

1,100,000

1,240,000

1,240,000

1,300,000

1,300,000

j/m

yen

156,945

157,617

157,436

159,813160,290

yen

4,255

4,270

4,415

4,526

5,070

yen

4,505

4,597

4,615

4,593

5,130

Dividend from earnings per unit

yen

4,505

4,597

4,615

4,593

5,130

Dividend in excess of earnings per unit

yen

0

0

0

0

0

(Note 3)

%

4.7

4.7

4.2

3.8

3.4

(g+q)/(k+i)(Note 3)

%

4.7

4.9

4.8

5.0

5.5

(g+q)/(m×r+i)(Note 3)

%

3.2

3.4

3.2

3.1

3.0

Net income per unit
Dividend per unit

Financial
indicators

6th FP
From: Feb. 1, 2013
To: Jul. 31, 2013

million yen

Operating income

Per unit
figures

5th FP
From: Aug. 1, 2012
To: Jan. 31, 2013aTotal operating expenses

Balancesheet
figuresunits

Annualized dividend yield
Return on investment(Paid-in Capital)
Return on investment(market capitalization)
FFO per unit
Annualized(Note 2)l/m

(g-b+d+e+q)/mn

FFO multiple
Ratio of ordinary income to total
assetsAnnualized

r/nEquity ratio

j/hReturn on equity

g/j

f/h

yen

6,152

6,109

6,298

6,413

6,504

yen

12,203

12,321

12,494

12,932

12,903

times

15.6

16.1

17.4

19.0

23.4

(Note 4)

%

1.2

1.3

1.3

1.4

1.5

(Note 3)

%

2.4

2.7

2.6

2.8

3.0

%

45.0

47.6

46.6

47.7

48.4

(Note 5)

%

2.7

2.9

2.8

2.9

3.2

(Note 3)

%

5.4

5.8

5.6

5.9

6.3

%

53.8

51.2

52.1

51.0

50.1

(Note 3)

Annualized
Ratio of interest-bearing liabilities tototal assets
DSCR
Net income before interest anddepreciation
Interest expenses

o/p

times

5.6

6.6

6.7

7.2

7.7

o

million yen

8,243

8,940

9,177

9,686

10,476

million yen

1,476

1,364

1,367

1,349

1,365

NOI

a−c+q

(Note 6) million yen

9,681

10,401

10,722

11,295

11,438Depreciation and amortizationq(Note 8) million yen

Unit price at end of period

r

i/h

p

Annualized NOI yield(Note 3, 7)

%
yen

5.2

5.4

5.3

5.5

5.3

2,085

2,284

2,335

2,457

2,519

190,100

198,100

217,200

245,500

301,500

Notes 1. Operating revenues do not include consumption tax. Amounts are rounded down to the nearest specified unit. Percentage figures are rounded to the first decimal place. The
same applies for the rest of this report unless otherwise specified.
2. The net income per unit is calculated by dividing net income by the daily weighted average number of units issued and outstanding.
3. The annualized figures are calculated based on 1 year being 365 days, with accounting calculation periods of 184 days for the 5th Fiscal Period, 181 days for the 6th Fiscal Period,
184 days for the 7th Fiscal Period, 181 days for the 8th Fiscal Period, and 184 days for the 9th Fiscal Period.
4. Ratio of ordinary income to total assets = Ordinary income ÷ (Total assets at beginning of period + Total assets at end of period) ÷ 2 × 100
5. Return on equity = Net income ÷ (Net assets at beginning of period + Net assets at end of period) ÷ 2 × 100
6. In the calculation of NOI, the depreciation and amortization is limited to what is included in rental business expenses.
7. Annualized NOI yield = Total annualized NOI ÷ Total property acquisition price		 (The annualized NOI is the sum of per property NOI annualized by taking into account the actual number of days of operation for each property.)
8. Depreciation and amortization includes depreciation and amortization of intangible assets in addition to depreciation of property, plant and equipment.

92 Investment Environment and Operating Performance

ADR’s medium-term objective since the merger has been to achieve consistent Earnings Per Unit (EPU) of 4,500 yen. The initiatives
listed below were undertaken during the current fiscal period, with the aim of achieving that target.
(i) Enhancing portfolio profitability through replacement of assets under management
ADR acquired 25 properties (total acquisition price of 22.2 billion yen) and sold 6 properties (total initial acquisition price of 29.3
billion yen).
(ii) Raising rent levels and improving leasing-related income and expenses
ADR maintained high occupancy rates that averaged 96.1% during the period, while also raising rent levels and improving leasingrelated income and expenses.

(iii) Strengthening ADR’s financial foundation
ADR took steps toward extending debt duration, achieving a higher ratio of fixed interest rate borrowings, and diversifying debt
maturities.
The results of these initiatives in the current fiscal period are outlined below. Moreover, we believe that the initiatives pursued in thecurrent fiscal period have resulted in an earnings structure that will enable ADR to consistently generate an EPU above 4,500 yen,
thereby achieving ADR’s medium-term objective.
(million yen)

(Reference)

9th FP Resultsfrom the Difference from thePrevious FP Results Initial forecast (Note 1) (ended January 31, 2015) Difference
previous FP
initial earnings forecast
Operating revenues

14,668

14,545

Operating income

7,504

7,380

Ordinary income

5,880

5,811

Net income

5,880

5,811

Net income / Unit

4,523 yen

4,470 yen

Dividend Per Unit

4,593 yen

4,500 yen

15,633+964+1,087

+653

+777

6,591

+711

+779

+711

+779

5,070 yen+547 yen (Note 2)+600 yen (Note 2)+537 yen+630 yen

8,158
6,591

5,130 yen

Notes 1. The initial forecast refers to the earnings forecasts for the 9th Fiscal Period disclosed in the “Brief Summary of Kessan Tanshin” for the 8th Fiscal Period, dated September 8,
2014. The same holds true hereafter.
2. Net income / Unit is calculated by dividing net income by the number of units issued and outstanding as of the end of the fiscal period. Differences of Net income / Unit andDividend Per Unit figures from the previous fiscal period and Initial earnings forecast figures do not take into account decimals.

During the current fiscal period, ADR generated a net gain on sales (Note 3) of 654 million yen due to disposition of six properties, while
also making new acquisitions of 25 properties. Consequently, we achieved substantial gains in revenue and income compared withboth the previous fiscal period and our initial forecasts (Note 4). Moreover, because EPU of 5,070 yen significantly exceeded our initial
forecast of 4,470 yen, dividends per unit is accordingly increased by 630 yen over the initial 4,500-yen forecast to 5,130 yen.
3. The net gain on sales is derived by subtracting loss on real estate sales from gain on real estate sales for the current period. The same holds true hereafter.
4. The initial forecasts were calculated based on the assumption that only one property acquisition, and as such purchases of the other 24 properties and the six property dispositions
were not factored into those forecasts.

a) External Growth – Enhancing profitability of the portfolio through replacement of assets under management –Despite an intensely competitive environment in the property acquisition market, ADR has managed to avoid excessive competition
primarily by leveraging its own sourcing network and bridge fund schemes (Note 5), and acquired 25 properties during the current fiscal
period (total acquisition price of 22.2 billion yen, and an average assumed NOI yield (Note 6) of 5.9%).
On the other hand, ADR sold a total of six properties by taking advantage of the seller’s market for property transactions (initialacquisition price of 29.3 billion yen, and 4.4% average actual book-value NOI yield in fiscal period ended July 2014 (Note 6)). The
dispositions included Tokyo Student-House Hiyoshidai (built in 1969), which had posed challenges in terms of maintaining long-term
profitability due to the age of the structure, and properties in high-rent zones where any recovery in rent levels would likely involve
considerable time (Motoazabu Place and four other properties).
The property replacements, in addition to generating a net gain on sales for the current period of 654 million yen, increased the
profitability of the portfolio, improved the quality of the portfolio (by lowering the average building age), increased the unrealized
profit and lowered the LTV, thereby enlarging the acquisition capacity. Therefore, we believe that the replacement has enhanced
profitability and increased unit-holder value, and contributed in fulfilling ADR’s basic management motto of “realization of stable
distribution of earnings for the long term.” As a result of these actions, ADR continues to maintain the largest portfolio among theresidential J-REITs, with holdings of 240 properties valued at 410.5 billion yen as of the end of the current fiscal period.

10

I. Asset Management Report

Furthermore, in January 2015, ADR made the decision to acquire nine new properties by drawing on bridge funds (Note 5) and thesponsor pipeline (total acquisition price of 13.6 billion yen, and an average assumed NOI yield (Note 6) of 5.2%). Slated for acquisition in
March and April of 2015, the 9 properties are all recently constructed and located within the 23 wards of Tokyo, and as such we
expect that they will generate stable revenues over the long run. Going forward, we aim to continue acquiring properties that will
improve the profitability and asset value of our portfolio by taking advantage of our sponsor pipeline consisting mainly of sponsordeveloped properties and direct acquisition from the market using our own networks.
5. The bridge funds are property funds involving a tokumei kumiai (TK) operator in which ADR maintains TK equity interests, and whereby ADR maintains right of first refusal withrespect to the underlying assets. Right of first refusal with respect to underlining properties is secured through acquisition of the TK equity interest.
6. The average assumed NOI yield for the acquired properties is calculated by dividing the total NOI listed in the appraisal report at the time of acquisition by the total (estimated)acquisition price. The average actual book-value NOI yield is calculated by dividing the total annualized NOI of the fiscal period by the total book value as of the end of that fiscal
period.

b) Internal Growth – Raising rent and improving leasing-related income and expenses –We were able to get a clear confirmation that the rents have bottomed out during the current fiscal period, with the fiscal end rentchange turning positive, marking the first such increase since the merger   (Note 7) while maintaining the average occupancy rate at ahigh 96.1% level. In addition, we took steps to improve future property revenues by pursuing greater cost efficiency in leasing
expenses for properties with higher occupancy rates.
We also continued to install LED lighting in several properties, while working on eight properties with the aim of maintaining andstrengthening their competitive advantages. The work involved large-scale renovation of common areas and exteriors, along withsuch upgrades on individual apartment units as replacing room fixtures and changing room layouts. As a result, we were able to keep
the properties from becoming outdated, and in the majority of the units we were able to attract new tenants at significantly higher
rents than previously. Although our property portfolio will age as assets are held longer, ADR is committed to maintaining andenhancing the value of such assets by ensuring that work is adequately performed on our properties.
7. The rent “per tsubo” (1 tsubo = 3.3m2) at the beginning and the end of the fiscal periods is compared for units occupied at both the beginning and the end of the fiscal periods.

c) Finance Policy – Strengthening ADR’s financial base and improving its credit ratings –To assure a stable distribution of earnings over the long term, we strive for longer maturities, diversified repayment dates and fixedinterest rates in our debt financing. We were again able to achieve longer duration and lower interest rates on our debt refinancing
and on our new debts for funding property acquisitions this fiscal period. Moreover, we made an early repayment on existing shortterm loans of 29.2 billion yen using the proceeds from disposition of the six properties. As a result, ADR’s average remaining durationof loans and bonds (Note 8) as of the end of the current fiscal period was 4.1 years, the ratio of fixed interest rate debts (Note 9) was 99.8%,
and the average interest rate (Note 10) was 1.21%. In addition, repayment amounts of loans and bonds for each fiscal period are below thetotal amount of committed lines of credit (20 billion yen) at the end of this period, thereby maintaining a debt structure withdiversified maturity.
With the aforementioned early repayment of loans and bonds, ADR’s total asset LTV (Note 11) was 50.1%, and appraisal LTV (Note 11) was
47.2% as of the end of the fiscal period. ADR’s current policy is to manage the appraisal LTV within the range of high-40s to 53%. Even
after completion of the property acquisitions slated for March and April 2015, appraisal LTV will remain around 48.6%, which is wellwithin the aforementioned range (high-40s to 53%) and maintain a certain amount of acquisition capacity.
On January 13, 2015, in light of the initiatives undertaken by ADR as described above along with ADR’s track record of managing its
finances, Japan Credit Rating Agency, Ltd. (JCR) announced that it had upgraded ADR’s credit rating to an ‘AA’ (stable) rating, fromthe previous ‘AA–’ (positive) rating.
8. Calculations are made on the assumption that the entire balance of the borrowings is repaid in lump sums on the final repayment dates, including the amortized loans.
9. If floating interest-rate loans are hedged using interest-rate swaps, the loans are treated as fixed interest-rate loans for the principal amount of the swap.
10. The fixed interest rate after the application of interest-rate swap is used in calculating the average interest rate.
11. The formulas for calculating total asset LTV and appraisal LTV are provided below.
Total asset LTV = Outstanding interest-bearing liabilities ÷ Total assets
Appraisal LTV = Outstanding loans and bonds ÷ Total appraisal value of property holdings

3 Management Policies and Challenges Going Forward

ADR aims to achieve steady EPU growth by consistently implementing the strategies outlined below.

a) External Growth
Given the still highly competitive nature of the property acquisition environment, we will avoid unnecessary competition by acquiringsponsor-developed properties and directly acquiring properties on the open market, drawing on the abundance of trading informationthat we are able to access, with the aim of acquiring properties that enhance the profitability of our portfolio.
Meanwhile, we will continue to take advantage of any opportunity arising from the buoyant property market by replacing properties toenhance the quality of the portfolio and to strengthen the portfolio’s competitive advantages.

b) Internal Growth
For properties with high occupancy, we will work to raise rents particularly at the time of tenant replacement. In addition, we will aim
to maintain and improve property revenues by achieving greater cost efficiency with respect to leasing expenses and making greater
efforts to ensure key money income.
We will also keep working to maintain and enhance the competitive advantages of our properties by implementing timely upgrades
and large-scale renovations.

11c) Finance Policy
As we closely monitor interest-rate trends, we maintain our policy to further diversify debt maturities while continuing to finance in
fixed-rate debts with longer durations. This policy will strengthen the financial base of ADR and enable it to respond more readily tofuture financial market volatilities.

d) Dividend Payout Strategy
ADR has maintained a policy of keeping the dividend per unit above 4,500 yen by drawing down the dividend reserve according to
the initially disclosed payout policy for each fiscal period, until it was confident of consistently earning an EPU of 4,500 yen, thereby
achieving its medium-term goal.
As disclosed in the “Brief Summary of Kessan Tanshin” for the 9th Fiscal Period, we expect ADR to consistently earn an EPU above
the 4,500-yen threshold in both the 10th Fiscal Period (February 1, 2015 to July 31, 2015) and the 11th Fiscal Period (August 1, 2015 toJanuary 31, 2016).
Therefore, going forward, a new dividend payout policy will be initiated, where the dividend per unit will in principle mirror the EPU
when EPU exceeds 4,500 yen. On the other hand, if EPU falls below 4,500 yen, dividend per unit will in principle be maintained at
4,500 yen by drawing down the dividend reserve (Note 12).
12. However, this is not a guarantee as to the actual amount of dividend payments. The dividend payments will ultimately be determined by ADR’s Board of Directors for each fiscal
period.

4 Equity Finances

The following are changes in paid-in capital and number of units issued and outstanding over the last 5 years.
Number of units issued and outstanding (units)
Increase
Balance
Consolidation-type merger
March 1, 2010
722,306
722,306
June 28, 2010
Follow-on offering
240,000
962,306
July 30, 2010
Third-party allotment
17,694980,000
February 1, 2012
Follow-on offering
110,000
1,090,000
February 29, 2012
Third-party allotment
10,0001,100,000
Follow-on offering
February 1, 2013
135,000
1,235,000
February 27, 2013
Third-party allotment
5,000
1,240,000
February 3, 2014
Follow-on offering
58,0001,298,000
February 26, 2014
Third-party allotment
2,000
1,300,000
Date

Remarks

Paid-in Capital (million yen)
Notes
Increase
Balance136,26236,262
2
26,35562,6183
1,943
64,561
4
14,23178,7935
1,293
80,087
6
21,667
101,7547
802
102,557
8
11,967
114,5249
412
114,936

Notes 1. ADR was established through the consolidation-type merger between former Advance Residence Investment Corporation (the “former ADR”) and Nippon Residential Investment
Corporation (NRI) on March 1, 2010. Upon its establishment, ADR allotted and delivered 3 ADR units per 1 former ADR unit and allotted and delivered 2 ADR units per 1 NRI unit.
2. ADR issued new units through public offering at an offer price of 113,684 yen (paid-in amount: 109,816 yen) per unit to procure funds for new property acquisitions as well as
partly funding repayment of loans and redemption of investment corporation bonds.
3. ADR issued new units by way of third-party allotment with Mizuho Securities Co., Ltd. as the allottee at a paid-in amount of 109,816 yen per unit to procure funds for new
property acquisitions as well as partly funding repayment of loans and redemption of investment corporation bonds.
4. ADR issued new units through public offering at an offer price of 133,770 yen (paid-in amount: 129,379 yen) per unit to procure funds for new property acquisitions and for otherpurposes.
5. ADR issued new units by way of third-party allotment with Mizuho Securities Co., Ltd. as the allottee at paid-in amount of 129,379 yen per unit to procure funds for new property
acquisitions and for other purposes.
6. ADR issued new units through public offering at an offer price of 165,945 yen (paid-in amount: 160,498 yen) per unit to procure funds for new property acquisitions and forother purposes.
7. ADR issued new units by way of third-party allotment with Mizuho Securities Co., Ltd. as the allottee at paid-in amount of 160,498 yen per unit to procure funds for new
property acquisitions and for other purposes.
8. ADR issued new units through public offering at an offer price of 213,330 yen (paid-in amount: 206,328 yen) per unit to procure funds for new property acquisitions and for otherpurposes.
9. ADR issued new units by way of third-party allotment with Mizuho Securities Co., Ltd. as the allottee at paid-in amount of 206,328 yen per unit to procure funds for new
property acquisitions and for other purposes.

Market Price of Units
The following are the highs and lows of ADR’s unit closing prices on the Tokyo Stock Exchange.
Fiscal Period
Period-end

5th FP

6th FP

7th FP

8th FP

9th FP

January 2013

July 2013

January 2014

July 2014

January 2015

High

190,100 yen

257,900 yen

229,800 yen

263,600 yen

321,000 yen

Low

150,500 yen

182,200 yen

194,300 yen

206,500 yen

245,800 yen

12

I. Asset Management Report
5 Distribution to Unit-holders

In accordance with the distribution policy provided in Article 32, Item 1 of ADR’s Articles of Incorporation, we shall deliver dividends
in excess of an amount equivalent to 90% of the amount of ADR’s earnings available for dividends as stipulated in Article 67-15 of the
Act on Special Measures Concerning Taxation. In addition, ADR may use the reserve for dividends in order to provide stable dividend
payouts going forward, and shall decide to increase dividends in accordance with the better-than-expected results.
Based on the policy above, ADR decided that the unappropriated retained earnings of 6,591,081 thousand yen plus 77,918 thousand
yen drawdown of reserve for dividends to arrive at 6,669,000 thousand yen will be distributed as dividends of earnings, which is
5,130 yen per unit.
(thousand yen)

5th FP

6th FP

7th FP

8th FP

9th FP

From: Aug. 1, 2012
To: Jan. 31, 2013

From: Feb. 1, 2013
To: Jul. 31, 2013

From: Aug. 1, 2013
To: Jan. 31, 2014

From: Feb. 1, 2014
To: Jul. 31, 2014

From: Aug. 1, 2014
To: Jan. 31, 2015

Total amount of unappropriatedretained earnings

4,681,376

5,291,809

5,475,039

5,880,040

6,591,081

Accumulated amount of earnings

34,376,971

33,968,500

33,720,940

33,630,081

33,552,162

Total amount of dividends of cash
(Dividend Per Unit)

4,955,500(4,505 yen)

5,700,280(4,597 yen)

5,722,600(4,615 yen)

5,970,900(4,593 yen)

6,669,000(5,130 yen)

4,955,500

5,700,280

5,722,600

5,970,900

6,669,000(4,505 yen)

(4,597 yen)

(4,615 yen)

(4,593 yen)

(5,130 yen)

–

–

–

–

–

(0 yen)(0 yen)(0 yen)(0 yen)(0 yen)Fiscal Period

Of which, total amount ofdividends of earnings(Dividend from earnings per unit)
Of which, total amount of capital
reimbursement(Capital reimbursement per unit)

6 Significant Subsequent Events
Not applicable.

13

Overview of the Investment Corporation
1 Paid-in Capital

The total number of units authorized, total number of units issued and outstanding, paid-in capital and number of unit-holders as ofJanuary 31, 2015 are as follows.
Fiscal Period
Period-end
Total number of units
authorized
Total number of units
issued and outstanding
Paid-in capital (Note)

6th FP

5th FP

7th FP

8th FP

9th FP

January 2013

July 2013

January 2014

July 2014

January 2015

6,000,000 units

6,000,000 units

6,000,000 units

6,000,000 units

6,000,000 units

1,100,000 units

1,240,000 units

1,240,000 units

1,300,000 units

1,300,000 units

80,087 million yen

102,557 million yen

102,557 million yen

114,936 million yen

114,936 million yen

23,01523,413

21,98022,11820,440

Number of unit-holders(Note) The paid-in capital on the balance sheets as of January 31, 2015 includes capital surplus of 53,220 million yen.

2 Major Unit-holders

The following are the major unit-holders as of January 31, 2015.

Name

Address

Number of units Percentage ofheld (units)
issued units (%)

Japan Trustee Services Bank, Ltd.
(Trust Account)

1-8-11 Harumi, Chuo-ku, Tokyo359,290

27.63

The Master Trust Bank of Japan, Ltd.
(Trust Account)

2-11-3 Hamamatsucho, Minato-ku, Tokyo

118,722

9.13

Trust & Custody Services Bank, Ltd.
(Securities Investment Trust Account)

1-8-12 Harumi, Chuo-ku, Tokyo
Harumi Island Triton Square Office Tower Z

75,014

5.77

The Nomura Trust and Banking Co., Ltd.
(Investment Trust Account)

2-2-2 Otemachi, Chiyoda-ku, Tokyo

51,3503.95

ITOCHU Corporation

2-5-1 Kita-Aoyama, Minato-ku, Tokyo

34,8002.67

Nomura Securities Co., Ltd.

1-9-1 Nihonbashi, Chuo-ku, Tokyo

22,782

1.75

Mizuho Trust & Banking Co., Ltd.

1-2-1 Yaesu, Chuo-ku, Tokyo

18,125

1.39

Trust & Custody Services Bank, Ltd.
(Money Trust Tax Account)

1-8-12 Harumi, Chuo-ku, Tokyo
Harumi Island Triton Square Office Tower Z

17,4701.34

State Street Bank - West Pension Fund
Clients - Exempt

1776 Heritage Drive, North Quincy,
MA 02171 U.S.A.

13,820

1.06

Fuji Fire and Marine Insurance Co., Ltd.

1-18-11 Minamisenba, Chuo-ku, Osaka-city, Osaka

13,2781.02

724,651

55.74

Total

(Note) “Percentage of issued units” (number of units held as a percentage of total number of units issued and outstanding) is rounded down to two decimal places.

14

I. Asset Management Report
3 Directors and Independent Auditor

1. The executive director, supervisory directors and independent auditor as of January 31, 2015 are as follows.

Title

Name

Primary concurrent positions

Executive
director

Kenji Kousaka (Note 1)

Supervisory
director

Hidejiro Matsuda

Supervisory
director

Yoshiki Oshima

Independent
auditor

Deloitte Touche Tohmatsu LLC

Total amount of compensationfor each title during the fiscal
period (thousand yen)

President, AD Investment Management Co., Ltd.

– (Note 2)

President, Hidejiro Matsuda CPA Office

1,200

Auditor, TYO Inc.
President, Akasaka Law Office L.P.C.

1,200
16,850 (Note 3)

Notes 1. Kenji Kousaka concurrently serves as president of ADR’s asset management company, AD Investment Management Co., Ltd. (ADIM), and executive director of ADR. The
Commissioner of the Financial Services Agency was notified of the concurrent holding of positions on March 5, 2008 pursuant to the provisions of Article 31-4, Paragraph 4 of
the Financial Instruments and Exchange Act (Article 31-4, Paragraph 1 of the said Act as of the date of this document) prior to its revision made by the provisions of Article 1 of
the Act for Amendment to the Financial Instruments and Exchange Act. (Act No. 65 of 2008).
2. The executive director does not receive compensation from ADR.
3. The compensation paid to the independent auditor includes compensation for services other than those prescribed in Article 2, Paragraph 1 of the Certified Public Accountants
Act (1,350 thousand yen).

2. Policy for dismissal or refusal of reappointment of independent auditor
The Board of Directors of ADR shall investigate the dismissal of independent auditors pursuant to the provisions of the Act on
Investment Trusts and Investment Corporations (Act No. 198 of 1951; as amended), and consider refusal of its reappointment bycomprehensively taking into account the quality of audit, audit compensation and other factors.

4 Asset Management Company, Asset Custodian and Administrative AgentsThe following is the list of the asset management company, asset custodian and administrative agents as of January 31, 2015.
Delegation

Name

Asset management company

AD Investment Management Co., Ltd.

Asset custodian

Sumitomo Mitsui Trust Bank Limited

Administrative agent

management of register of unit-holders

Administrative agent

management of special accounts

Administrative agent

accounting, taxation, institutional operations

Mizuho Trust & Banking Co., Ltd.
Mizuho Trust & Banking Co., Ltd.
Mitsubishi UFJ Trust and Banking Corporation
Sumitomo Mitsui Trust Bank Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.

Administrative agent

administration for investment corporation bonds

Sumitomo Mitsui Trust Bank Limited
Mizuho Bank, Ltd.

15

Assets Under Management
1 Composition of the Investment Corporation’s Assets
Type of asset

Investment regions

8th Fiscal Period (as of July 31, 2014)

9th Fiscal Period (as of January 31, 2015)

Total amount held(million yen) (Note 6)

Total amount held(million yen) (Note 6)

As a % of total
assets (Note7)

As a % of total
assets (Note7)

Tokyo Central 7 Wards(Note 2)

108,49424.9

91,265

21.2

Tokyo 23 Wards(Note 3)

92,91921.4

97,91922.7

Tokyo Metropolitan Area (Note 4)

24,420

5.6

23,210

5.4

Major Regional Cities

41,275

9.5

53,203

12.4

267,11061.4

265,598

61.7(Note 2)

72,294

16.6

65,849

15.3

Tokyo 23 Wards
Realestate (Note 1) Tokyo Metropolitan Area (Note 4)

24,975

5.7

26,067

6.1

15,835

3.6

16,334

3.8

27,5896.3

27,4476.4

140,695

32.3

135,698

31.5

546

0.1

236

0.1

Real
estate intrust (Note 1)(Note 5)

Subtotal
Tokyo Central 7 Wards(Note 3)Major Regional Cities(Note 5)

Subtotal
TK property fund equity interests(Note 8)Deposits and other assets

26,863

6.2

28,974

6.7

Sum total of total amount of assets

435,215100.0

430,509

100.0

Notes 1. The real estate in trust and real estate are mainly apartment buildings.
2. “Tokyo Central 7 Wards” represents the Minato, Chiyoda, Shibuya, Shinjuku, Meguro, Setagaya and Shinagawa Wards of Tokyo.
3. “Tokyo 23 Wards” represents the Tokyo 23 wards other than the Tokyo Central 7 Wards.
4. “Tokyo Metropolitan Area” represents Tokyo (excluding the 23 wards of Tokyo) and Kanagawa, Saitama and Chiba prefectures.
5. “Major Regional Cities” represents major cities designated by government ordinance and similar cities excluding those in the Tokyo Metropolitan Area.
6. “Total amount held” is based on the amount recorded on the balance sheet (total amount of book value after depreciation in the case of real estates) as of the date of closingof accounts, and is rounded down to the nearest million yen.
7. “As a percentage of total assets” is the balance sheet amount of the applicable real estates expressed as a percentage of the total amount of assets, rounded to one decimal
place.
8. The “TK property fund equity interests” in the 8th Fiscal Period are ADR’s tokumei kumiai (TK) equity interests with respect to ADR’s TK investment in Godo Kaisha RISING3, theoperator, and ADR’s TK investment in Godo Kaisha Rising4, the operator.
		 The “TK property fund equity interests” in the 9th Fiscal Period are ADR’s TK equity interests with respect to ADR’s TK investment in Godo Kaisha RISING4, the operator.
9. Amounts less than the specified unit are rounded down and percentages are rounded off. Due to this, the sum total of respective figures does not necessarily add up to the sum
total indicated in the table above. The same applies for the rest of this report unless otherwise specified.

P-96 RESIDIA Nakaochiai

16

I. Asset Management Report
2 Principal Assets Held

The following summarizes the principal assets held by ADR as of January 31, 2015 (the top 10 properties with the highest book value
at the end of the fiscal period).

Book value(million yen)

Name of real estate

Leasable floor Leased floor
area
area
(m2)
(m2)

Occupancyrate(%)

As a % of total
revenue fromproperty Primary usage
leasing (Note)RESIDIA TOWER Meguro-Fudomae

15,57321,019.77

21,019.77

100.0

3.2 Apartments

Pacific Royal Court Minato Mirai
Ocean Tower

12,55926,082.53

25,782.04

98.8

4.1 Apartments

Park Tower Shibaura Bayward Urban
Wing

9,171

13,490.67

12,856.68

95.3

2.2 Apartments

RESIDIA TOWER Kami-Ikebukuro

8,591

31,250.61

30,216.65

96.7

5.0 Apartments

RESIDIA Nishi-Azabu

6,529

7,078.64

6,603.82

93.3

1.4 Apartments

RESIDIA Mejiro

6,194

13,069.70

12,708.87

97.2

1.6 Apartments

RESIDIA TOWER Azabujuban

6,056

7,207.18

6,619.53

91.8

1.2 Apartments

RESIDIA Nihonbashi-Bakurocho

5,247

8,502.12

8,502.12

100.0

1.2 Apartments

RESIDIA Higashi-Ginza

5,129

4,871.02

4,871.02

100.0

1.0 Apartments

RESIDIA Yutenji

5,124

5,423.36

5,390.70

99.4

1.1 Apartments

80,177

137,995.60

134,571.20

–

Total

22.0

–

(Note) “As a percentage of total revenue from property leasing” is the percentage arrived at by dividing the revenue from property leasing of respective properties by the total revenue
from property leasing of the entire portfolio.

3 Real Estate Portfolio

The following are the itemized assets held by ADR as of January 31, 2015.

Propertyno.

Name of real estate(Note 1)

Location

8th Fiscal Period
9th Fiscal Period(Feb. 1, 2014 ~ Jul. 31, 2014)(Aug. 1, 2014 ~ Jan. 31, 2015)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
endof period period (thousand yen) of total rent
(thousand
yen)
of
total
rent
end
of
period(million yen)period (%)(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)(Note 3)(Note 4)RESIDIA Yoyoginomori

Shibuya-ku, Tokyo

P-16 RESIDIA Shinjuku East III

Shinjuku-ku, Tokyo

743

787

1

92.5

23,586

0.2

1

85.0

20,873

0.1

Shibuya-ku, Tokyo

Beneficiaryinterests in trust

572

678

1

100.0

17,944

0.1

1

100.0

17,944

0.1

Shinjuku-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

1,331

1,560

1

90.3

42,683

0.3

1

94.0

43,3300.3

P-2

RESIDIA Shimazuyama

Shinagawa-ku, Tokyo

P-3

RESIDIA Nakameguro

Meguro-ku, Tokyo

P-4

RESIDIA Setagaya-Tsurumaki

Setagaya-ku, Tokyo

P-7

RESIDIA Ikejiriohashi

Setagaya-ku, Tokyo

P-9

RESIDIA Kudanshita

Chiyoda-ku, Tokyo

P-10 RESIDIA Hatagaya

Shibuya-ku, TokyoRESIDIA Sakurajosui

Setagaya-ku, Tokyo

P-14 RESIDIA Kita-Shinagawa

Shinagawa-ku, Tokyo

P-13
P-15

Leopalace Udagawacho
P-19
Mansion
P-21

17(Note 3)

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

RESIDIA Shinjuku East II

P-22 RESIDIA Shinjuku East

Shinjuku-ku, Tokyo

P-23 RESIDIA Kanda-Iwamotocho

Chiyoda-ku, Tokyo

P-24 RESIDIA Azabujuban II

Minato-ku, Tokyo

P-25 RESIDIA Ebisu

Shibuya-ku, Tokyo

2,466

2,940

1

88.7

86,370

0.6

1

86.9

82,207

0.6

1,489

1,890

1

100.0

47,256

0.3

1

100.0

47,256

0.3

1,163

1,170

1

100.0

35,842

0.2

1

100.0

36,124

0.3

1,196

1,290

1

95.0

36,659

0.3

1

93.5

35,956

0.3

2,103

2,360

1

98.9

71,002

0.5

1

97.5

69,616

0.5

1,087

1,130

1

98.1

32,007

0.2

1

97.4

31,792

0.2

1,085

1,220

1

96.0

34,476

0.2

1

98.1

33,670

0.2

2,614

2,820

1

100.0

75,888

0.5

1

100.0

75,888

0.5

720

669

1

97.0

19,062

0.1

1

100.0

19,646

0.1

902

985

1

94.1

30,066

0.2

1

94.1

29,962

0.2

1,446

1,860

1

97.1

55,981

0.4

1

95.7

53,743

0.4

844

930

1

94.6

27,377

0.2

1

100.0

32,345

0.2

561

624

1

93.9

18,068

0.1

1

77.5

15,8010.1

Propertyno.

Name of real estate(Note 1)

Location

8th Fiscal Period
9th Fiscal Period(Aug. 1, 2014 ~ Jan. 31, 2015)(Feb. 1, 2014 ~ Jul. 31, 2014)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
end of period period (%) (thousand yen) of total rent end of period period (thousand yen) of total rent
(million yen)
(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)(Note 3)(Note 3)(Note 4)

P-26 RESIDIA Meguro

Shinagawa-ku, Tokyo

Beneficiaryinterests in trust

732

702

1

92.4

19,634

0.1

1

95.8

19,682

0.1

P-29 RESIDIA Hiroo II

Shibuya-ku, Tokyo

Real estate

1,577

1,900

1

95.1

53,669

0.4

1

96.5

51,2100.4

P-30 Pianetta Shiodome

Minato-ku, Tokyo

1,855

2,080

1

97.4

63,061

0.4

1

97.3

63,448

0.5

318

368

1

88.3

11,751

0.1

1

90.3

11,134

0.1

315

366

1

100.0

10,901

0.1

1

92.7

10,884

0.1

352

399

1

91.3

11,550

0.1

1

95.7

11,846

0.1

P-33 RESIDIA Nishi-Shinjuku

Shinjuku-ku, Tokyo

P-34 RESIDIA Kyodo

Setagaya-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

274

312

1

93.8

9,981

0.1

1

93.9

9,992

0.1

P-35 RESIDIA Oimachi

Shinagawa-ku, Tokyo

Real estate

898

1,010

1

93.8

32,925

0.2

1

100.0

32,1670.2

P-36 RESIDIA Ebisu II

Shibuya-ku, Tokyo

Real estate

2,228

2,620

1

68.4

69,131

0.5

1

96.3

52,642

0.4

P-37 RESIDIA Kamiochiai

Shinjuku-ku, Tokyo

Real estate

1,127

1,330

1

96.4

42,034

0.3

1

97.5

40,807

0.3

P-38 RESIDIA Higashi-Shinagawa

Shinagawa-ku, Tokyo

Real estate

1,963

2,270

1

96.6

67,930

0.5

1

97.5

66,317

0.5

P-39 RESIDIA Meguro II

Meguro-ku, Tokyo

Real estate

1,160

1,270

1

89.4

35,398

0.2

1

90.0

35,1990.3

P-40 RESIDIA Toranomon

Minato-ku, Tokyo

Real estate

1,271

1,470

1

93.7

40,368

0.3

1

98.4

41,083

0.3

P-41 RESIDIA Shin-Ochanomizu

Chiyoda-ku, Tokyo

Real estate

1,123

1,270

1

96.9

37,895

0.3

1

98.5

37,744

0.3

P-42 RESIDIA Kagurazaka

Shinjuku-ku, Tokyo

Real estate

887

1,000

1

87.2

28,380

0.2

1

94.6

30,0190.2

P-43 RESIDIA Oimachi II

Shinagawa-ku, Tokyo

Real estate

1,013

1,200

1

94.9

34,167

0.2

1

97.5

33,791

0.2

P-45 RESIDIA Jiyugaoka

Meguro-ku, Tokyo

Beneficiaryinterests in trust

1,005

1,120

1

97.1

33,282

0.2

1

97.0

32,731

0.2

P-47 RESIDIA Suidobashi

Chiyoda-ku, Tokyo

Real estate

2,211

2,500

1

89.8

73,358

0.5

1

100.0

74,1300.5

P-48 RESIDIA TOWER Nogizaka

Minato-ku, Tokyo

Real estate

3,521

3,490

1

91.1

95,820

0.7

1

98.8

94,283

0.7

P-49 RESIDIA Akasaka

Minato-ku, Tokyo

Real estate

1,134

1,240

1

95.5

38,050

0.3

1

90.3

37,6790.3

P-50 RESIDIA Nishi-Azabu

Minato-ku, Tokyo

6,529

7,030

1

92.2 203,194

1.4

193.3 202,286

1.4

RESIDIA Daikanyama

Shibuya-ku, Tokyo

2,043

1,970

1

94.9

55,104

0.4

1

90.7

51,135

0.4

Shinjuku-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

2,395

2,720

1

90.6

75,247

0.5

1

98.0

77,954

0.6

Minato-ku, Tokyo

Beneficiaryinterests in trust

3,535

3,840

1

92.1 108,071

0.7

191.7 104,718

0.7

Shinagawa-ku, Tokyo

Real estate

15,573

17,3001

100.0 455,394

3.1

1100.0 454,158

3.2

P-56 RESIDIA Sangenjaya

Setagaya-ku, Tokyo

Real estate

2,616

3,140

1

95.2

87,983

0.6

1

99.1

86,694

0.6

P-58 RESIDIA Minami-Aoyama

Minato-ku, Tokyo

Real estate

719

492

1

84.1

15,170

0.1

1

93.9

15,756

0.1

P-59 RESIDIA Kanda-Higashi

Chiyoda-ku, Tokyo

Real estate

1,541

1,880

1

98.0

57,084

0.4

1

98.5

58,1890.4

P-60 RESIDIA Higashi-Azabu

Minato-ku, Tokyo

Real estate

1,375

1,390

1

93.2

37,025

0.3

1

90.0

38,6300.3

P-61 RESIDIA Ebisu-Minami

Shibuya-ku, Tokyo

Real estate

1,971

2,000

1

90.7

53,115

0.4

1

87.5

54,647

0.4

P-31

RESIDIA Komazawadaigaku

Setagaya-ku, Tokyo

P-32 RESIDIA Yoyogi

Shibuya-ku, Tokyo

P-51

P-52 RESIDIA Ichigaya
RESIDIA RoppongiP-53
Hinokichokoen
RESIDIA TOWER MeguroP-55
FudomaeP-62 RESIDIA TOWER Azabujuban

Minato-ku, Tokyo

Real estate

6,056

5,740

1

86.6 172,709

1.2

191.8 173,515

1.2

P-63 RESIDIA Shibuya

Shibuya-ku, Tokyo

Real estate

1,222

1,400

1

95.4

37,095

0.3

1

87.9

38,982

0.3

P-64 RESIDIA Nakanobu

Shinagawa-ku, Tokyo

1,805

2,160

1

98.3

63,821

0.4

1

90.7

60,533

0.4

P-65 RESIDIA Azabudai

Minato-ku, Tokyo

1,568

1,680

1

93.3

46,377

0.3

1

98.4

47,4690.3

P-66 RESIDIA Shibadaimon II

Minato-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

1,688

1,740

1

93.9

49,401

0.3

1

95.9

48,701

0.3

P-67 RESIDIA Kanda

Chiyoda-ku, Tokyo

Real estate

1,108

1,300

1

100.0

38,284

0.3

1

94.9

38,8390.3

P-68 RESIDIA Sangenjaya II

Setagaya-ku, Tokyo

Real estate

1,241

1,400

1

94.3

40,145

0.3

1

100.0

39,8790.3

P-69 RESIDIA Nishi-Shinjuku II

Shinjuku-ku, Tokyo

Real estate

1,756

2,060

1

93.1

57,341

0.4

1

89.9

56,522

0.4

P-70 RESIDIA Hiroo-Minami

Shibuya-ku, Tokyo

Real estate

890

965

1

100.0

26,470

0.2

1

96.2

25,961

0.2

P-72 RESIDIA Mejiro-Otomeyama

Shinjuku-ku, Tokyo

937

1,030

1

89.1

33,220

0.2

1

79.1

28,9880.2

P-73 RESIDIA Shibaura

Minato-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust

4,489

5,200

1

94.1 164,233

1.1

194.7 161,310

1.2

P-74 RESIDIA Gotenyama

Shinagawa-ku, Tokyo

Real estate

899

858

1

91.7

25,556

0.2

1

100.0

26,4430.2

P-75 RESIDIA Yutenji

Meguro-ku, Tokyo

Beneficiaryinterests in trust

5,124

5,580

1

91.7 150,272

1.0

199.4 148,323

1.1Park Tower Shibaura Bayward Minato-ku, Tokyo
P-76
Urban Wing

Beneficiaryinterests in trust

9,171

10,2001

93.0 295,328

2.0

195.3 301,509

2.2

18

I. Asset Management Report

Propertyno.

Name of real estate

Location(Note 1)

8th Fiscal Period
9th Fiscal Period(Aug. 1, 2014 ~ Jan. 31, 2015)(Feb. 1, 2014 ~ Jul. 31, 2014)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
end of period period (%) (thousand yen) of total rent end of period period (thousand yen) of total rent
(million yen)
(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)(Note 3)(Note 3)(Note 4)

Meguro-ku, Tokyo

P-81 Windsor House Hiroo

Shibuya-ku, Tokyo

P-84 RESIDIA Kita-Shinjuku

Shinjuku-ku, Tokyo

Real estate

1,408

1,520

1

92.3

40,369

0.3

1

88.4

41,803

0.3

P-85 RESIDIA Komazawa

Setagaya-ku, Tokyo

860

1,120

1

100.0

28,095

0.2

1

100.0

28,0950.2

P-86 RESIDIA Shibaura KAIGAN

Minato-ku, Tokyo

2,404

2,970

1

97.7

92,738

0.6

1

92.9

89,803

0.6

P-87 RESIDIA Ichigaya-Yakuoji

Shinjuku-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

2,064

2,420

1

100.0

60,950

0.4

1

100.0

59,9200.4

P-88 RESIDIA Yoga

870

919

1

92.7

29,170

0.2

1

92.7

28,038

0.2

1,679

1,390

1

100.0

49,320

0.3

1

100.0

46,652

0.3

Setagaya-ku, Tokyo

Real estate

1,595

1,790

1

94.5

49,939

0.3

1

90.6

48,991

0.3

P-89 RESIDIA TOWER Nakameguro Meguro-ku, Tokyo

Real estate

3,419

3,960

1

97.0 109,809

0.8

1

97.1 108,915

0.8P-90 RESIDIA Sasazuka II

Shibuya-ku, Tokyo

3,805

4,210

1

95.1 120,090

0.8

194.7 116,058

0.8

979

1,160

1

85.8

32,132

0.2

1

100.0

29,406

0.2

794

937

1

94.9

28,616

0.2

1

95.4

27,544

0.2

1,266

1,510

1

92.9

44,809

0.3

1

97.8

41,679

0.3

1,655

1,950

1

96.9

60,866

0.4

1

93.8

53,555

0.4

1,512

1,840

1

82.0

52,341

0.4

1

90.4

46,903

0.3

3,835

4,200

1

94.6 116,463

0.8

197.4 117,462

0.8

1,146

1,320

1

91.9

35,453

0.2

1

98.0

35,438

0.3

1,754

1,800

1

95.2

40,512

0.3

1

80.8

42,9290.3

P-97 RESIDIA Nakameguro II

Meguro-ku, Tokyo

P-98 Artis Court Minamiaoyama

Minato-ku, Tokyo

P-99 RESIDIA Yotsuya Sanchome

Shinjuku-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

2,145

2,530

1

93.0

79,622

0.5

1

93.1

79,744

0.6

Minato-ku, Tokyo

Beneficiaryinterests in trust

960

981

–

–

–

–

1

84.8

6,147

0.0

Shibuya-ku, Tokyo

Real estate

654

683

–

–

–

–

1

100.0

4,679

0.0

Shinjuku-ku, Tokyo

P-91 RESIDIA Meguro III

Meguro-ku, Tokyo

P-92 RESIDIA Jiyugaoka II

Setagaya-ku, Tokyo

P-93 RESIDIA Kudanshita II

Chiyoda-ku, Tokyo

P-94 RESIDIA Omori II

Shinagawa-ku, Tokyo

P-95 RESIDIA Shirokane-Takanawa

Minato-ku, Tokyo

P-96 RESIDIA Nakaochiai

Shinjuku-ku, TokyoRESIDIA Takanawa
P-100
Katsurazaka (Note 1)
P-101 RESIDIA Ebisu III (Note 1)

C-2

RESIDIA Kamata

Ota-ku, Tokyo

C-3

RESIDIA Ikebukuro

Toshima-ku, Tokyo

C-4

RESIDIA Bunkyo-Hongo

Bunkyo-ku, Tokyo

C-5

RESIDIA Asakusabashi

Taito-ku, Tokyo

C-6

Maison Eclairee Ekoda

Nerima-ku, Tokyo

C-7

RESIDIA Ueno-Okachimachi

Taito-ku, Tokyo

C-8

RESIDIA Bunkyo-Hongo II

Bunkyo-ku, Tokyo

C-9

RESIDIA Ryogoku

Sumida-ku, Tokyo

C-10 RESIDIA Higashi-Ginza

Chuo-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

P-102 RESIDIA Shinjuku Gyoen(Note 1)

C-1

RESIDIA Mitsukoshimae

Chuo-ku, Tokyo

735

757

–

–

–

–

1

92.5

5,058

0.0

1,657

2,260

1

95.4

66,831

0.5

1

97.6

65,578

0.5

2,257

3,260

1

96.9

99,378

0.7

1

98.7

97,846

0.7

1,434

1,660

1

100.0

46,547

0.3

1

100.0

45,936

0.3

1,597

1,980

1

100.0

50,527

0.3

1

100.0

51,090

0.4

972

1,270

1

100.0

39,092

0.3

1

100.0

39,341

0.3

930

995

1

97.8

36,134

0.2

1

94.6

35,456

0.3

2,957

3,490

1

96.4 101,609

0.7

1

94.2

98,550

0.7

1,582

1,710

1

100.0

49,081

0.3

1

97.8

47,687

0.3

873

1,050

1

100.0

32,232

0.2

1

100.0

31,702

0.2

5,129

5,270

1

100.0 136,7640.9

1100.0 136,847

1.0

Chuo-ku, Tokyo

Beneficiaryinterests in trust

3,049

3,490

1

100.0

99,030

0.7

1

98.3

97,871

0.7

1,900

1,890

1

98.9

56,399

0.4

1

96.8

55,791

0.4

4,103

4,150

1

93.0 119,942

0.8

1

98.1 114,780

0.8

844

856

1

100.0

27,659

0.2

1

100.0

25,459

0.2

1,804

2,050

1

91.4

58,061

0.4

1

98.4

58,260

0.4

524

664

1

93.5

22,491

0.2

1

100.0

21,544

0.2

333

447

1

100.0

15,178

0.1

1

86.7

15,133

0.1

Bunkyo-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

959

1,110

1

92.0

32,977

0.2

1

94.4

31,9970.2

Chuo-ku, Tokyo

Real estate

1,375

1,690

1

96.3

50,656

0.3

1

98.2

51,0300.4

C-23 RESIDIA Sasazuka

Suginami-ku, Tokyo

Beneficiaryinterests in trust

1,813

1,980

1

86.3

60,448

0.4

1

91.1

56,532

0.4

C-24 RESIDIA Kyobashi

Chuo-ku, Tokyo

Real estate

1,157

1,390

1

100.0

38,001

0.3

1

100.0

38,424

0.3

C-12

RESIDIA NihonbashiNingyocho II

C-13

RESIDIA Omori-Higashi

Ota-ku, Tokyo

C-15

RESIDIA Kinshicho

Sumida-ku, Tokyo

C-16 RESIDIA Negishi

Taito-ku, TokyoRESIDIA Shinkawa

Chuo-ku, Tokyo

C-18 RESIDIA Kami-Ikebukuro

Toshima-ku, Tokyo

C-19 RESIDIA Shin-nakano

Nakano-ku, Tokyo

C-17

C-21

RESIDIA Bunkyo-Yushima II

C-22 RESIDIA Tsukiji

19

Beneficiaryinterests in trust
Real estate andleasehold rights
to real estate

P-79 RESIDIA Kamimeguro

Propertyno.

Name of real estate(Note 1)

Location

8th Fiscal Period
9th Fiscal Period(Aug. 1, 2014 ~ Jan. 31, 2015)(Feb. 1, 2014 ~ Jul. 31, 2014)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
end of period period (%) (thousand yen) of total rent end of period period (thousand yen) of total rent
(million yen)
(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)(Note 3)

1,222

Kita-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

Toshima-ku, Tokyo

Real estate

C-25 RESIDIA Tamagawa

Ota-ku, Tokyo

C-26 RESIDIA Korakuen

Bunkyo-ku, Tokyo

C-27 RESIDIA Ginza-Higashi

Chuo-ku, Tokyo

C-28 RESIDIA Oji
C-29 RESIDIA Mejiro II(Note 3)(Note 4)

1,500

1

100.0

40,911

0.3

1

100.0

41,973

0.3

568

681

1

100.0

21,616

0.1

1

100.0

20,930

0.1

1,895

2,290

1

100.0

59,459

0.4

1

100.0

60,443

0.4

811

966

1

100.0

34,584

0.2

1

100.0

34,584

0.2

1,002

1,120

1

93.6

36,157

0.2

1

98.6

35,722

0.3

RESIDIA Tsukishima

Chuo-ku, Tokyo

Real estate

1,048

1,210

1

80.7

34,139

0.2

1

94.8

35,761

0.3

C-32 RESIDIA Kamata II

Ota-ku, Tokyo

Real estate

1,306

1,550

1

95.0

45,922

0.3

1

93.9

45,1470.3

C-33 RESIDIA Tsukishima II

Chuo-ku, Tokyo

Beneficiaryinterests in trust

2,351

2,740

1

93.8

80,205

0.5

1

95.2

79,495

0.6

C-34 RESIDIA Kinshicho II

Sumida-ku, Tokyo

Real estate

2,291

2,460

1

91.7

75,274

0.5

1

94.1

73,457

0.5

C-35 RESIDIA Bunkyo-Otowa

Bunkyo-ku, Tokyo

3,157

3,590

1

100.0 107,463

0.7

1100.0 107,517

0.8

C-36 RESIDIA Bunkyo-Sengoku

Bunkyo-ku, Tokyo

660

808

1

87.8

23,990

0.2

1

100.0

24,6370.2

C-37 RESIDIA Bunkyo-Yushima

Bunkyo-ku, Tokyo

988

1,210

1

100.0

36,987

0.3

1

92.7

37,2600.3

C-38 RESIDIA Ikegami

C-31

Ota-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

358

388

1

86.9

14,145

0.1

1

96.7

12,828

0.1

RESIDIA NihonbashiC-39
Ningyocho

Chuo-ku, Tokyo

Beneficiaryinterests in trust

524

691

1

91.6

20,769

0.1

1

86.7

20,8500.1

C-40 RESIDIA Bunkyo-Sengoku II

Bunkyo-ku, Tokyo

Real estate

1,381

1,530

1

100.0

45,378

0.3

1

95.9

45,202

0.3

C-41 RESIDIA Iriya

Taito-ku, Tokyo

Beneficiaryinterests in trust

921

1,100

1

97.7

36,472

0.2

1

88.8

35,864

0.3

C-42 RESIDIA Nihonbashi-Hamacho Chuo-ku, Tokyo

Real estate

1,272

1,460

1

93.3

40,327

0.3

1

93.4

43,1880.3

C-43 RESIDIA Shin-Okachimachi

Taito-ku, Tokyo

Real estate

1,794

1,980

1

92.8

56,546

0.4

1

94.0

57,581

0.4

C-44 RESIDIA Chidoricho

Ota-ku, Tokyo

Real estate

1,238

1,380

1

88.3

42,730

0.3

1

95.0

42,578

0.3

1,241

1,400

1

92.8

41,107

0.3

1

93.6

41,522

0.3

6,194

6,840

1

96.5 218,529

1.5

197.2 224,696

1.6

641

740

1

89.4

28,156

0.2

1

93.3

25,6680.2

C-45 RESIDIA Shinkawa II

Chuo-ku, Tokyo

C-46 RESIDIA Mejiro

Toshima-ku, Tokyo

C-47 RESIDIA Kasai

Edogawa-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

RESIDIA NihonbashiC-48
Bakurocho

Chuo-ku, Tokyo

Real estate

5,247

6,440

1

100.0 164,014

1.1

1100.0 165,016

1.2

C-49 RESIDIA Suginami-Honancho

Suginami-ku, Tokyo

3,765

4,930

1

100.0 137,073

0.9

1100.0 136,480

1.0

C-50 RESIDIA Shin-Itabashi

Itabashi-ku, TokyoRESIDIA Kiba

Koto-ku, Tokyo

C-52 RESIDIA Bunkyo-Yushima III

Bunkyo-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

RESIDIA BunkyoC-53
Honkomagome

Bunkyo-ku, Tokyo

Real estate

2,365

2,770

1

94.4

83,222

0.6

1

97.9

80,814

0.6

C-54 RESIDIA Tsukishima III

Chuo-ku, Tokyo

2,564

3,420

1

95.4

93,722

0.6

1

99.3

92,4590.7

C-55 RESIDIA Minamisenjyu

Arakawa-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust

2,608

3,450

1

94.6 160,180

1.1

195.1 153,642

1.1

C-56 RESIDIA Ogikubo

Suginami-ku, Tokyo

Real estate

1,794

2,110

1

98.0

61,956

0.4

1

97.9

61,842

0.4

C-57 RESIDIA Monzennakacho

Koto-ku, Tokyo

1,004

1,130

1

100.0

35,562

0.2

1

100.0

35,526

0.3

C-58 RESIDIA Ochanomizu

Bunkyo-ku, Tokyo

2,115

2,650

1

85.5

73,128

0.5

1

96.4

71,016

0.5

1,161

1,380

1

97.4

41,513

0.3

1

100.0

41,429

0.3

1,081

1,280

1

91.8

38,487

0.3

1

97.3

36,957

0.3

1,818

2,240

1

95.5

65,426

0.4

1

94.6

61,132

0.4

2,352

2,720

1

97.1

81,356

0.6

1

97.1

80,330

0.6

676

789

1

100.0

25,437

0.2

1

100.0

25,414

0.2

959

1,150

1

94.6

33,447

0.2

1

98.4

32,850

0.2

C-51

880

1,140

1

100.0

29,739

0.2

1

100.0

29,739

0.2

1,973

2,690

1

94.8

82,572

0.6

1

98.1

77,594

0.6

1,127

1,390

1

87.6

36,471

0.2

1

100.0

37,982

0.3

C-61 RESIDIA Kachidoki

Chuo-ku, Tokyo

C-62 RESIDIA Bunkyo-Otowa II

Bunkyo-ku, Tokyo

C-63 RESIDIA Kinshicho III

Koto-ku, Tokyo

C-64 RESIDIA Kamata III

Ota-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

RESIDIA TOWER KamiC-65
Ikebukuro

Toshima-ku, Tokyo

Beneficiaryinterests in trust

8,591

10,4001

96.4 704,785

4.8

196.7 696,566

5.0

C-66 RESIDIA Takashima-Daira

Itabashi-ku, Tokyo

Real estate

536

584

1

100.0

16,880

0.1

1

100.0

16,882

0.1

C-67 RESIDIA Shimura-Sakaue

Itabashi-ku, Tokyo

Real estate

617

657

1

100.0

18,084

0.1

1

100.0

18,084

0.1

C-59 RESIDIA Omori

Ota-ku, Tokyo

C-60 RESIDIA Nakamurabashi

Nerima-ku, Tokyo

20

I. Asset Management Report

Propertyno.

Name of real estate(Note 1)

Location

8th Fiscal Period
9th Fiscal Period(Aug. 1, 2014 ~ Jan. 31, 2015)(Feb. 1, 2014 ~ Jul. 31, 2014)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
end of period period (%) (thousand yen) of total rent end of period period (thousand yen) of total rent
(million yen)
(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)(Note 3)C-68 RESIDIA Shimura-Sakaue II

Itabashi-ku, Tokyo

Beneficiaryinterests in trust

C-69 RESIDIA Shimura-Sakaue III

Itabashi-ku, Tokyo

Real estate

C-70 RESIDIA Ikebukuro West

Itabashi-ku, TokyoRESIDIA Ojima

Koto-ku, Tokyo(Note 3)(Note 4)

1,280

1

100.0

35,938

0.2

1

100.0

35,942

0.3

440

472

1

100.0

13,608

0.1

1

100.0

13,620

0.1

1,148

1,260

1

93.4

43,011

0.3

1

98.1

44,268

0.3

1,320

1,420

1

95.6

43,088

0.3

1

100.0

43,250

0.3

1,216

1,230

–

–

–

–

1

97.7

25,783

0.2

1,810

1,810

–

–

–

–

1

94.4

21,4300.2

C-72 RESIDIA Machiya

Arakawa-ku, Tokyo

C-73 RESIDIA Ueno-Ikenohata

Taito-ku, Tokyo

C-74 RESIDIA Nerima

Nerima-ku, Tokyo

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

529

585

–

–

–

–

1

100.0

5,728

0.0

Chuo-ku, Tokyo

Beneficiaryinterests in trust

407

430

–

–

–

–

1

78.0

2,866

0.0

Nakano-ku, Tokyo

Real estate

698

719

–

–

–

–

1

94.9

4,947

0.0

Suginami-ku, Tokyo

Real estate

497

520

–

–

–

–

1

100.0

3,221

0.0

Ota-ku, Tokyo

Beneficiaryinterests in trust

1,389

1,420

–

–

–

–

1

86.6

9,540

0.1

C-71

RESIDIA Higashi
C-75
Nihonbashi (Note 1)
C-76 RESIDIA Nakano(Note 1)

C-77 RESIDIA Ogikubo II (Note 1)
RESIDIA Minami
C-78
Yukigaya (Note 1)

S-11

Tokyo Student-House WAKO

Wako-shi, Saitama

S-12

RESIDIA Kokubunji

Kokubunji-shi, Tokyo

S-14

RESIDIA Yokohama-Kannai

Yokohama-shi, Kanagawa

S-15

RESIDIA Okurayama

Yokohama-shi, Kanagawa

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

S-16

RESIDIA Musashikosugi

Kawasaki-shi, Kanagawa

Real estate

1,520

1,740

1

99.0

56,516

0.4

1

96.8

55,771

0.4

Funabashi-shi, Chiba

Beneficiaryinterests in trust

2,601

2,890

1

100.0

93,160

0.6

1

100.0

94,6030.7

Beneficiaryinterests in trust
Real estate andYokohama-shi, Kanagawa leasehold rights toreal estate
Beneficiary
Yachiyo-shi, Chibainterests in trust

1,436

1,490

1

89.8

45,836

0.3

1

98.0

47,3230.3

12,55915,4001

99.4 570,3403.9

198.8 574,862

4.1

825

822

1

86.0

0.3

1

85.8

0.3

S-22 Life & Senior House Kohoku II

Yokohama-shi, Kanagawa

Real estate

1,590

2,050

1

100.0

70,704

0.5

1

100.0

70,704

0.5

S-23 College Court Tanashi

Nishi-Tokyo-shi, Tokyo

798

1,050

1

100.0

32,760

0.2

1

100.0

32,7600.2

S-30 RESIDIA Sagamihara

Beneficiaryinterests in trust
Beneficiary
Urayasu-shi, Chibainterests in trust
Beneficiary
Ichikawa-shi, Chibainterests in trust
Beneficiary
Urayasu-shi, Chibainterests in trust
Beneficiary
Ichikawa-shi, Chibainterests in trust
Beneficiary
Kawasaki-shi, Kanagawa
interests in trust
Beneficiary
Yokohama-shi, Kanagawa interests
in trust
Beneficiary
Sagamihara-shi, Kanagawa interests
in trust

RESIDIA YokohamaBashamichi

Yokohama-shi, Kanagawa

Beneficiaryinterests in trust

Atsugi-shi, Kanagawa

S-2

Chester House Kawaguchi

Kawaguchi-shi, Saitama

S-4

RESIDIA Higashi-Matsudo

Matsudo-shi, Chiba

S-5

RESIDIA Shin-Yokohama

Yokohama-shi, Kanagawa

S-7

RESIDIA Chofu

Chofu-shi, Tokyo

S-17

RESIDIA Funabashi I
RESIDIA Funabashi II

S-19 RESIDIA Kichijoji
Pacific Royal Court Minato
S-20
Mirai Ocean Tower
S-21

Maison Yachiyodai

S-24 RESIDIA Urayasu
S-25 RESIDIA Minami-Gyotoku
S-26 RESIDIA Urayasu II
S-27 RESIDIA Gyotoku
S-28 RESIDIA Kawasaki
S-29 Cocofump Hiyoshi

S-31

S-32 RESIDIA Hon-Atsugi (Note 1)

21

1,150

Musashino-shi, Tokyo

R-2

RESIDIA Imadegawa

Kyoto-shi, Kyoto

R-4

RESIDIA Higashi-Sakura

Nagoya-shi, Aichi

R-5

RESIDIA Kameyama

Kameyama-shi, Mie

R-6

RESIDIA Ryokuchikoen

Toyonaka-shi, Osaka

732

715

1

87.2

28,026

0.2

1

100.0

29,002

0.2

1,068

1,130

1

97.7

43,617

0.3

1

100.0

42,385

0.3

1,831

1,900

1

100.0

61,357

0.4

1

100.0

61,506

0.4

1,104

1,140

1

93.8

34,683

0.2

1

94.6

33,689

0.2

708

720

1

100.0

26,182

0.2

1

100.0

26,182

0.2

494

550

1

94.1

19,705

0.1

1

84.7

16,624

0.1

1,586

1,780

1

94.0

55,780

0.4

1

98.4

56,180

0.4

740

864

1

100.0

27,037

0.2

1

100.0

28,1390.2

39,98939,341

2,154

2,600

1

98.9

84,260

0.6

1

97.7

82,130

0.6

852

1,000

1

98.8

35,657

0.2

1

98.8

35,185

0.3

832

968

1

97.3

31,912

0.2

1

97.3

31,731

0.2

788

919

1

98.7

33,319

0.2

1

96.0

32,534

0.2

1,686

2,050

1

99.2

63,621

0.4

1

93.1

60,934

0.4

1,066

1,160

1

100.0

45,000

0.3

1

100.0

45,000

0.3

1,124

1,170

–

–

–

–

1

100.0

13,572

0.1

775

825

–

–

–

–

1

100.0

10,916

0.1

Real estate

663

669

–

–

–

–

1

88.7

4,946

0.0

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

1,551

1,630

1

100.0

63,767

0.4

1

100.0

62,762

0.4

1,114

1,330

1

94.4

47,263

0.3

1

95.7

47,743

0.3

1,576

1,180

1

97.1

60,378

0.4

1

97.1

60,492

0.4

926

925

1

98.0

32,682

0.2

1

88.1

30,841

0.2

Propertyno.

Name of real estate(Note 1)

Location

8th Fiscal Period
9th Fiscal Period(Aug. 1, 2014 ~ Jan. 31, 2015)(Feb. 1, 2014 ~ Jul. 31, 2014)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
end of period period (%) (thousand yen) of total rent end of period period (thousand yen) of total rent
(million yen)
(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)(Note 3)

R-8

RESIDIA Kobe Port Island(South Bldg.; Centre Bldg.)
RESIDIA Kobe Port Island(North Bldg.)

Kobe-shi, Hyogo

Beneficiaryinterests in trust

3,578

Fukuoka-shi, Fukuoka

Real estate

1,172

RESIDIA Tenjinbashi

Osaka-shi, Osaka

Beneficiaryinterests in trust814

R-10 RESIDIA Hakata
R-11

3,760

(Note 3)1

100.0 125,458

1,280

1

100.0

51,587

1,010

1

96.3

36,5600.9(Note 4)1

100.0 125,458

0.9

0.4

1

100.0

50,752

0.4

0.3

1

95.6

35,2840.3

R-12 RESIDIA Sannomiya-Higashi

Kobe-shi, Hyogo

Real estate

2,050

2,540

1

95.5

90,736

0.6

1

91.2

87,017

0.6

R-13 KC21 Building

Sendai-shi, Miyagi

Real estate

911

1,030

1

97.1

42,289

0.3

1

89.0

39,9100.3

R-14 RESIDIA Utsubokoen

Osaka-shi, Osaka

Real estate

1,093

1,370

1

91.9

46,674

0.3

1

96.0

45,841

0.3

R-15 RESIDIA Kyoto-Ekimae

Kyoto-shi, Kyoto

Beneficiaryinterests in trust

1,849

2,260

1

99.3

77,186

0.5

1

97.5

76,1320.5

R-16 RESIDIA Takaoka

Nagoya-shi, Aichi

Real estate

2,210

2,840

1

100.0

89,350

0.6

1

95.7

90,3930.6

R-17 RESIDIA Hibino

Nagoya-shi, Aichi

1,216

1,430

1

96.7

67,641

0.5

1

94.3

66,612

0.5

872

1,060

1

100.0

39,744

0.3

1

96.4

39,201

0.3

R-19 RESIDIA Tenjin-Minami

Fukuoka-shi, Fukuoka

R-20 RESIDIA Hakataeki-Minami

Fukuoka-shi, Fukuoka

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

297

362

1

96.4

15,997

0.1

1

94.8

15,4890.1

R-21 Mare

Nagoya-shi, Aichi

Real estate

633

756

1

88.8

25,811

0.2

1

97.4

27,7800.2

R-24 RESIDIA Minami-Ichijo

Sapporo-shi, Hokkaido

Real estate

1,527

1,860

1

98.6

75,269

0.5

1

98.5

76,8580.5

R-25 RESIDIA Odori-Nishi

Sapporo-shi, Hokkaido

Real estate

1,252

1,320

1

100.0

58,309

0.4

1

99.3

58,1630.4

R-26 RESIDIA Kita-Sanjo

Sapporo-shi, Hokkaido

Real estate

1,047

1,270

1

100.0

50,463

0.3

1

97.5

49,8680.4

R-27 RESIDIA Shirakabe-Higashi

Nagoya-shi, Aichi

Real estate

784

858

1

96.7

32,203

0.2

1

93.8

31,8120.2

R-29 RESIDIA Uzumasa

Kyoto-shi, Kyoto

Real estate

670

721

1

91.3

36,902

0.3

1

95.9

34,7350.2

R-30 RESIDIA Izumi

Nagoya-shi, Aichi

Real estate

3,469

3,960

1

96.0 140,880

1.0

193.3 139,968

1.0

R-31 RESIDIA Maruyama Kita-Gojo

Sapporo-shi, Hokkaido

Real estate

988

1,090

1

98.4

44,692

0.3

1

98.4

45,0840.3

R-32 RESIDIA Tokugawa

Nagoya-shi, Aichi

Real estate

713

818

1

95.9

28,926

0.2

1

100.0

29,6950.2

R-34 RESIDIA Odori-Koen

Sapporo-shi, Hokkaido

Real estate

1,898

2,310

1

99.0

95,225

0.7

1

99.0

91,8340.7

R-35 RESIDIA Tanimachi

Osaka-shi, Osaka

Real estate

1,146

1,500

1

86.0

47,182

0.3

1

95.6

46,0880.3

R-36 RESIDIA Hisaya-Oodori

Nagoya-shi, Aichi

657

863

1

93.4

30,103

0.2

1

94.1

29,027

0.2

531

708

1

100.0

25,975

0.2

1

100.0

23,914

0.2

498

621

1

100.0

21,839

0.1

1

100.0

21,8420.2

R-37 RESIDIA Sendai-Miyamachi

Sendai-shi, Miyagi

R-38 RESIDIA Hirosedori

Sendai-shi, Miyagi

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

R-39 RESIDIA Edobori

Osaka-shi, Osaka

Real estate

1,453

1,770

1

97.0

58,664

0.4

1

96.1

60,8480.4

R-40 RESIDIA Kyomachibori

Osaka-shi, Osaka

Real estate

1,045

1,260

1

94.8

42,142

0.3

1

93.9

42,4420.3

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

1,002

1,220

1

100.0

42,731

0.3

1

97.7

40,482

0.3

2,386

2,860

1

95.0 105,5340.7

193.0 101,757

0.7

1,214

1,530

1

96.9

56,642

0.4

1

99.2

56,002

0.4

2,751

3,440

1

93.3 122,277

0.8

194.2 120,505

0.9

913

1,050

1

97.9

42,578

0.3

1

100.0

41,262

0.3

1,955

2,240

1

94.5

75,448

0.5

1

91.4

73,1200.5

R-41 RESIDIA Esaka

Suita-shi, Osaka

R-42 RESIDIA Nishijin

Fukuoka-shi, Fukuoka

R-43 RESIDIA Tsurumai

Nagoya-shi, Aichi

R-44 RESIDIA Kobe-Isogami

Kobe-shi, Hyogo

R-45 RESIDIA Kita-Nijyo East

Sapporo-shi, Hokkaido

R-46 RESIDIA Shinsaibashi West

Osaka-shi, Osaka

R-47 RESIDIA Marunouchi

Nagoya-shi, Aichi

R-48 RESIDIA Sapporo-Ekimae

Sapporo-shi, Hokkaido

R-49 RESIDIA Gosho-Higashi

Kyoto-shi, Kyoto

R-50 RESIDIA Rakuhoku

Kyoto-shi, Kyoto

R-51 RESIDIA Miyakojima I&II

Osaka-shi, Osaka

Real estate

R-52 RESIDIA TOWER Sendai

Sendai-shi, Miyagi

Beneficiaryinterests in trust

994

1,140

1

92.1

40,863

0.3

1

93.4

40,331

0.3

1,514

1,970

1

100.0

77,227

0.5

1

98.9

76,085

0.5

1,250

1,420

1

93.6

47,859

0.3

1

91.6

45,425

0.3

892

941

1

85.1

34,735

0.2

1

84.0

30,694

0.2

3,378

4,180

1

96.8 152,360

1.0

196.4 152,257

1.1

1,804

1,850

1

98.4

0.5

1

100.0

0.5

68,464

70,14922

I. Asset Management Report

Propertyno.

Name of real estate

8th Fiscal Period
9th Fiscal Period(Aug. 1, 2014 ~ Jan. 31, 2015)(Feb. 1, 2014 ~ Jul. 31, 2014)
Appraisal
Book value at value
at end Total number
Total number Occupancy
Type of the end of the
Occupancy
ownership fiscal period of period of tenants at rate at end of Rental revenue Percentage of tenants at rate at end of Rental revenue Percentage(millionyen)
end of period period (%) (thousand yen) of total rent end of period period (thousand yen) of total rent
(million yen)
(Note 2)
(Note 5)(Note 5)revenue (%) (tenants)
revenue (%)(tenants)(%)(Note 4)

Location(Note 1)

(Note 3)

R-53 RESIDIA Higashi-Sakura II

Nagoya-shi, Aichi

R-54 RESIDIA Tsutsujigaoka

Sendai-shi, Miyagi

R-55 RESIDIA Kobe-Motomachi

Kobe-shi, Hyogo

R-56 RESIDIA Sendai-Honcho

Sendai-shi, Miyagi

R-57 RESIDIA Sendai-Haranomachi

Sendai-shi, Miyagi

R-58 RESIDIA Minami-Ichijo East

Sapporo-shi, Hokkaido

R-59 RESIDIA Shin-Osaka

Osaka-shi, Osaka

R-60 RESIDIA Okayama-Ekimae

Okayama-shi, Okayama

R-61 RESIDIA Kyoto Okazaki

Kyoto-shi, Kyoto

R-62 RESIDIA Sendai-Ichibancho

Sendai-shi, Miyagi

R-63 RESIDIA Kita-Nijyo East II

Sapporo-shi, Hokkaido

R-64 RESIDIA Takamiya

Fukuoka-shi, Fukuoka

R-65 RESIDIA Soen

Sapporo-shi, Hokkaido

R-66 RESIDIA Tenjin

Fukuoka-shi, Fukuoka

R-67 RESIDIA Yakuin-O-dori

Fukuoka-shi, Fukuoka

R-68 RESIDIA Hakata II

Fukuoka-shi, Fukuoka

R-69 RESIDIA Kego

Fukuoka-shi, Fukuoka

R-70 RESIDIA Shirakabe (Note 1)

Nagoya-shi, Aichi

Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust
Beneficiaryinterests in trust

Total(Note 3)(Note 4)

2,955

3,470

1

92.8 118,996

0.8

191.8 124,724

0.9

1,858

2,170

1

99.0

78,727

0.5

1

98.9

81,139

0.6

1,089

1,260

1

97.6

45,090

0.3

1

97.8

46,343

0.3

1,157

1,450

1

96.2

49,678

0.3

1

99.2

51,247

0.4

619

791

1

100.0

29,296

0.2

1

94.4

29,935

0.2

1,108

1,240

1

100.0

46,074

0.3

1

94.7

46,982

0.3

2,859

3,130

–

–

–

–

1

100.0

90,352

0.6

829

885

–

–

–

–

1

100.0

11,132

0.1

242

284

–

–

–

–

1

100.0

2,979

0.0

1,148

1,220

–

–

–

–

1

100.0

13,514

0.1

582

664

–

–

–

–

1

96.1

8,514

0.1

515

541

–

–

–

–

1

100.0

5,951

0.0

418

475

–

–

–

–

1

98.3

6,684

0.0

1,177

1,240

–

–

–

–

1

94.3

12,582

0.1

1,173

1,260

–

–

–

–

1

94.5

13,104

0.1

1,424

1,470

–

–

–

–

1

98.4

15,683

0.1

890

1,000

–

–

–

–

1

97.9

11,433

0.1

–

–

–

1

95.3

8,291

0.1

95.9 14,590,450

100.0

240

96.5 13,997,685

100.0

987

1,010

–

401,297457,329

221

Notes 1. Properties that have been or will be renamed are as listed in the table below. The names of respective properties on the date of account closing are not necessarily the same as
the new names of each of the properties shown in the table. Names of properties remain unchanged unless stated otherwise, below.
Property no.

Former name

New name

Date of name change(scheduled)

P-100

Belle Face Takanawa Katsurazaka

RESIDIA Takanawa Katsurazaka

March 2, 2015

P-101

Belle Face Ebisu

RESIDIA Ebisu III

March 2, 2015

P-102

Belle Face Shinjuku Gyoen

RESIDIA Shinjuku Gyoen

March 2, 2015

C-75

Belle Face Higashi Nihonbashi

RESIDIA Higashi Nihonbashi

March 2, 2015

C-76

Belle Face Nakano

RESIDIA Nakano

March 2, 2015

C-77

Belle Face Takaido

RESIDIA Ogikubo II

April 15, 2015

C-78

Belle Face Minami Yukigaya

RESIDIA Minami Yukigaya

March 2, 2015

S-32

Belle Face Hon-Atsugi

RESIDIA Hon-Atsugi

March 2, 2015

R-70

Belle Face Shirakabe

RESIDIA Shirakabe

March 2, 2015

2. “Appraisal value at end of period” is the appraisal value or survey-based value provided by a real estate appraiser as of January 31, 2015, the valuation date, pursuant to ADR’s
Articles of Incorporation and the “Regulations Concerning Accounting of Investment Corporations” issued by the Cabinet Office.
3. “Total number of tenants,” tenants that have executed a master lease agreement with a master lessee are counted as 1.
		 The “Total” column for “Total number of tenants” indicates the sum total number of master lease agreements, concluded with 13 master lessees, as a master lease agreement
is executed for all assets held by ADR as of January 31, 2015.
4. “Occupancy rate” is calculated by using the formula: “Leased floor area” ÷ “Leasable floor area” × 100.
5. “Rental revenue” is the rental revenue of respective real estate for the fiscal period under review.

23

4 Securities Portfolio

The following are securities held by ADR as of January 31, 2015.

Name

Type of asset Quantity

Book value(thousand yen)
Unit
price

AmountAssessed value(thousand yen) (Note 1) Gain (Loss) on
Notes
valuation
Unit(thousand yen)Amountprice

TK equity interest with Godo
Kaisha RISING4 as operator (Note 2)

TK property
fund equity
interests––

236,921–234,433-2,488

–

Total

–

–

–

236,921–234,433-2,488–Notes 1. The “Assessed value” is the value quoted by the TK operator pursuant to regulations provided by The Investment Trusts Association, Japan.
2. TK property fund owns the real estate beneficiary interests in trust for “Chester Court Ochanomizu,” “Chester House Iwamotocho (RESIDIA Kanda-Iwamotocho II),” “Chester
House Shinagawa (RESIDIA Shinagawa),” “Chester Court Asakusabashi (RESIDIA Nihonbashi-Bakurocho III),” “Chester House Akihabara (RESIDIA Akihabara)” and “Chester
House Azumabashi (RESIDIA Asakusabashi).” Also, ADR has concluded contracts for acquisition of the aforementioned assets as of January 29, 2015. Following thoseacquisitions, ADR plans to rename the respective properties to the names shown in parentheses.
3. Other than the above, ADR holds real estate beneficiary interests in trust that are securities as defined in Article 2, Paragraph 2, Item 1 of the Financial Instruments and ExchangeAct. For convenience of reference, however, the underlying real estate in trust of those beneficiary interests in trust is included in “3. Real Estate Portfolio.”

5 Specified Transactions

The following is the status of ADR’s specified transactions as of January 31, 2015.
(thousand yen)Contract amount (Note 1)
Account

Type

Of which,exceeding 1 year

Fair value (Notes 2, 3)

Transaction other than Interest-rate swap transaction
market transaction
Payable fixed; Receivable floating

154,925,488

143,925,488-2,163,669

Total

154,925,488

143,925,488-2,163,669

Notes 1. The contract amount is based on notional principal.
2. The fair value is based on the calculation conducted by the counterparty to the relevant transaction on the basis of the going rate of interest.
3. Special provisions for interest-rate swaps are applied to the amount of fair value based on the “Accounting Standard for Financial Instruments” (issued by the AccountingStandards Board of Japan (ASBJ) on March 10, 2008; ASBJ Statement No. 10). Accordingly, the fair value is not reflected to the balance sheets.

6 Other Assets

Real estate and real estate beneficiary interests in trust are all listed in “3. Real Estate Portfolio.” As of January 31, 2015, there are no
major specified assets in the portfolio that are key investment targets of ADR other than those listed in that section and earlier in “4.
Securities Portfolio.”

7 Assets Held by Country and Region

There are no applicable matters concerning countries and regions other than Japan.

24

I. Asset Management Report

Capital Expenditures
1 Planned Capital Expenditures

The following table lists the major capital expenditures for renovations currently planned for the real estate and real estate
beneficiary interests in trust ADR owns. The estimated amount includes portions that are to be recorded as expenses for accounting
purposes.
(million yen)

Name of real estate(Location)

Estimated amounts

PurposeEstimated Duration

RESIDIA Kokubunji(Kokubunji-shi, Tokyo)

Major repair work

From: Nov. 2014
To: Feb. 2015

32

7

7

RESIDIA Shinjuku East
(Shinjuku-ku, Tokyo)

Major repair work

From: Feb. 2015
To: Jul. 2015

28

–

–

RESIDIA Azabujuban II(Minato-ku, Tokyo)

Major repair work

From: Feb. 2015
To: Jul. 2015

24

–

–

RESIDIA Roppongi-Hinokichokoen(Minato-ku, Tokyo)

Value-enhancement workon individual units

From: Feb. 2015
To: Jul. 2015

20

–

–

RESIDIA Shibaura(Minato-ku, Tokyo)

Value-enhancement workon individual units

From: Feb. 2015
To: Jul. 2015

17

–

–

Total
amounts

Payment for the Cumulative
current period amount paid

2 Capital Expenditures for the Current Period

The following table lists the major capital expenditures for renovations ADR conducted in the current period. The total capital
expenditures during this fiscal period were 488 million yen for the entire portfolio and, when combined with repairs and maintenancecost of 452 million yen, were 941 million yen.
(million yen)

Name of real estate(Location)

PurposeAmount paid

RESIDIA Mejiro(Toshima-ku, Tokyo)

Major repair work

From: Jun. 2014
To: Nov. 2014

176

RESIDIA Sasazuka(Suginami-ku, Tokyo)

Major repair work

From: Aug. 2014
To: Dec. 2014

83

RESIDIA Miyakojima I&II
(Osaka-shi, Osaka)

Repairs to external walls

From: Sep. 2014
To: Jan. 2015

47

Other real estate

Renovations
Total

25

Implementation period

181
488

3 Cash Reserves for Upgrades and Renovations

Based on medium- to long-term upgrades and renovation plans for each property, ADR sets aside the following cash reserves,
derived from cash flows of depreciation and amortization (including those accompanying retained earnings), to fund large-scale
repair work and upgrades.
(million yen)

Fiscal Period
Balance of reserves at beginning of period

5th FP

From: Aug. 1, 2012
To: Jan. 31, 2013

6th FP

From: Feb. 1, 2013
To: Jul. 31, 2013

7th FP

From: Aug. 1, 2013
To: Jan. 31, 2014

8th FP

From: Feb. 1, 2014
To: Jul. 31, 2014

9th FP

From: Aug. 1, 2014
To: Jan. 31, 2015

1,704

1,671

1,625

1,684

1,618

Amount of reserves during period

320

357

455

524

565

Reversal of reserves during period

353

403

397

590

569

1,671

1,625

1,684

1,618

1,614

Amount carried forward to next period

R-47 RESIDIA Marunouchi

26

I. Asset Management Report

Expenses and Liabilities
1 Entrustment Expenses(thousand yen)

Item(a) Asset management fee

8th FP

9th FP(Note 2)

949,870

1,117,526 (Note 3)(b) Asset custody fee

9,478

9,619

(c) Administrative service fees

62,733

63,148(Note 1)(d) Directors’ compensations

2,400

2,400

390,097

279,945

1,414,581

1,472,640(e) Other
Total

Notes 1. The asset management fee is the sum total of management fee 1, management fee 2, and management fee 3.
2. Aside from the amounts indicated above, a total of 160,954 thousand yen has been paid as acquisition fee and included in the price of properties acquired.
3. Aside from the amounts indicated above, a total of 236,600 thousand yen has been paid as acquisition fee and included in the price of properties acquired, and a total of
146,800 thousand yen has been paid as disposition fee and factored into the gain (loss) on real estate sales.

2 Loans

The following lists the outstanding investment corporation bonds issued by ADR as of January 31, 2015.
Classification
Lenders
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Short-termloans payable

Sumitomo Mitsui Trust Bank Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
Mizuho Bank, Ltd.

Drawdown date
September 29, 2014
November 12, 2014
December 4, 2014
December 19, 2014

Subtotal

–

–

–

–

–

–

–

–

–

–

–

–

–

–

–
2,304

RepaymentUsemethodSeptember 29, 2015––

November 12, 2015 Lump-sum (Note 3) Unsecured
repayment
Unguaranteed
at maturity(Note 3)
December 4, 2015–

December 18, 2015

2.70%

June 25, 2015

(Note 3)(Note 3)Lump-sum
repayment (Note 5)
at maturity

2,304

Development Bank of Japan Inc.

October 22, 2009

3,429

–

–

(Note 8)Development Bank of Japan Inc.

February 17, 2011

13

13

1.86%

(Note 9)The Bank of Tokyo-Mitsubishi UFJ, Ltd.

1,600

–

Resona Bank, Limited

2,000

–

1,000

–

–

January 31, 2015

(Note 5)

December 18, 2015

(Note 5)

December 18, 2015

(Note 3)

August 31, 2011

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
Mitsubishi UFJ Trust and Banking
Corporation

August 31, 2011

700

–

–

500

–

500

–

1,000

1.16%
(Note 2)The Norinchukin Bank

–

1,000

The Bank of Fukuoka, Ltd.

–

1,000

Aozora Bank, Ltd.

–

2,000

1.16%

–

1,000

(Note 2)2,400–

Sumitomo Mitsui Banking Corporation

August 31, 2011

Aozora Bank, Ltd.

November 18, 2011

The Norinchukin Bank

December 26, 2011–

Mizuho Trust & Banking Co., Ltd.

February 8, 2012

1,000
500

–

500

–

300

–

2,700

–

The Yamaguchi Bank, Ltd.
The Tokyo Tomin Bank, Ltd.

February 8, 2012

The Iyo Bank, Ltd.
Mizuho Trust & Banking Co., Ltd.
The Gunma Bank, Ltd.

April 3, 2012
May 31, 2012

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
Resona Bank, Limited
The Nishi-Nippon City Bank Ltd.

June 25, 2012

Installment(Note 6)(Note 6)

Lump-sum
repayment (Note 6)
at maturity (Note 5)–

October 31, 2014––

December 18, 2015––

July 31, 2015

(Note 6)–

July 31, 2015

(Note 6)–

March 31, 2015

(Note 3)

May 29, 2015

(Note 5)

August 31, 2015

(Note 5)

1,000

1,000

–

700

Remarks–

June 25, 2008

Aozora Bank, Ltd.

27–

Repayment date

Development Bank of Japan Inc.

The Bank of Fukuoka, Ltd.

Current
portion of
long-termloans payable

Balance at start Balance at end
Interest rateof the 9th FPof 9th FP(Note 1)(million yen)(million yen)

0.84%
(Note 2)

–

500

0.85%

–

1,000

(Note 2)–800

Unsecured
UnguaranteedClassification
Lenders
Current
portion of
long-termloans payable

Drawdown date

Repayment date

RepaymentUsemethodRemarks

The Hiroshima Bank, Ltd.

November 20, 2012

–

500

0.48%

November 30, 2015

Tokio Marine & Nichido Fire Insurance Co., Ltd.

December 28, 2012

–

500

0.60%

December 18, 2015 Lump-sum (Note 5) Unsecured
repayment
Unguaranteed
at maturity (Note 5)
November 30, 2015

Mizuho Bank, Ltd.
Mizuho Trust & Banking Co., Ltd.

September 24, 2013

Subtotal

–

–

–

–

19,44814,318

956

956

1.90%
1.86%

Development Bank of Japan Inc.

November 25, 2010

Development Bank of Japan Inc.

February 17, 2011

205

198

March 1, 2011

1,083

1,083

Mizuho Bank, Ltd.

–

1.68%
(Note 2)The Bank of Tokyo-Mitsubishi UFJ, Ltd.

492

492

Sumitomo Mitsui Trust Bank Limited

492

492

1.68%

2,264

2,264

(Note 2)

Sumitomo Mitsui Banking Corporation

March 1, 2011

Shinsei Bank, Limited

295

295

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

500

500

Sumitomo Mitsui Trust Bank Limited

March 10, 2011

Shinsei Bank, Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.

500

500

700

700

3,500

3,500

April 28, 2011

3,700

3,700

2,000

2,000

Mitsubishi UFJ Trust and Banking
Corporation

May 31, 2011

2,500

2,500

Sumitomo Mitsui Banking Corporation

June 30, 2011

2,700

2,700

Mitsubishi UFJ Trust and Banking
Corporation
Sumitomo Mitsui Trust Bank Limited

Sumitomo Mitsui Trust Bank Limited

June 30, 2011

890

890

1.69%
(Note 2)1.75%
(Note 2)

1.52%
(Note 2)

1.59%
(Note 2)

1.76%
(Note 2)The Bank of Tokyo-Mitsubishi UFJ, Ltd.

500–

Sumitomo Mitsui Trust Bank Limited

500

–

1,000

–

The Norinchukin Bank

1,000

–

The Bank of Fukuoka, Ltd.

1,000

–

500

500

1.31%

500

500

(Note 2)

2,000

–

1,000

–

2,000

2,000

750

750

1.31%

750

750

(Note 2)

1,000

1,000

Mitsubishi UFJ Trust and Banking
Corporation

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
Long-termloans payable

Balance at start Balance at end
Interest rateof the 9th FPof 9th FP(Note 1)(million yen)(million yen)Aozora Bank, Ltd.
Sumitomo Mitsui Banking Corporation
Resona Bank, Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
Mitsubishi UFJ Trust and Banking
Corporation

August 31, 2011

August 31, 2011
August 31, 2011
August 31, 2011
September 1, 2011
September 29, 2011

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

1,300

1,300

Sumitomo Mitsui Trust Bank Limited

1,300

1,300

1,000

1,000

1,900

1,900

Mizuho Bank, Ltd.

November 30, 2011

Mitsubishi UFJ Trust and Banking
Corporation
The Norinchukin Bank

December 26, 2011

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

2,000

–

300

300

–

–
1.31%
(Note 2)

1.62%
(Note 2)

1.57%
(Note 2)–

Sumitomo Mitsui Trust Bank Limited

300

300

Sumitomo Mitsui Banking Corporation

450

450

1.17%

450

450

(Note 2)The Norinchukin Bank

2,500

2,500

Mitsui Sumitomo Insurance Co., Ltd.

1,000

1,000

1,500

1,500

450

450

1,550

1,550

900

900

Mizuho Bank, Ltd.

Taiyo Life Insurance Company

December 26, 2011

December 26, 2011

Sumitomo Mitsui Banking Corporation
Mizuho Bank, Ltd.

January 25, 2012

Resona Bank, Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.

500

500

Sumitomo Mitsui Trust Bank Limited

500

500

Sumitomo Mitsui Banking Corporation

650

650

Mizuho Bank, Ltd.

500

500

900

900

Development Bank of Japan Inc.

1,000

1,000

Shinsei Bank, Limited

1,500

1,500

Mitsubishi UFJ Trust and Banking
Corporation

January 25, 2012

1.21%
1.11%
(Note 2)

1.43%
(Note 2)

(Note 6)

Lump-sum
November 24, 2017 repayment (Note 5)
at maturity(Note 9)Installment (Note 6)

February 29, 2016

(Note 3)February 29, 2016

(Note 3)February 29, 2016

(Note 3)

April 28, 2017

(Note 5)February 29, 2016

(Note 3)June 30, 2017

(Note 5)June 29, 2018

(Note 5)

December 18, 2015

(Note 5)January 31, 2017

(Note 5)

December 18, 2015

(Note 3)January 31, 2017

Lump-sum
repayment (Note 3)
at maturity

January 31, 2017

(Note 3)September 28, 2018

(Note 3)

November 30, 2018

(Note 5)

December 18, 2015

(Note 5)

November 30, 2016

(Note 5)

November 30, 2016

(Note 5)

July 29, 2016

(Note 5)

July 31, 2018

(Note 5)

Unsecured
Unguaranteed28

I. Asset Management Report

Classification
Lenders

Drawdown date

Resona Bank, Limited

1,000

1,000

The Bank of Fukuoka, Ltd.

2,000

2,000

500

500

The Tokyo Tomin Bank, Ltd.

500

500

The Iyo Bank, Ltd.

300

300

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

500

500

The Yamaguchi Bank, Ltd.

Sumitomo Mitsui Trust Bank Limited

February 8, 2012

February 8, 2012

Shinsei Bank, Limited
The Bank of Tokyo-Mitsubishi UFJ, Ltd.

February 28, 2012

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited

500

1,000

1,000

2,850

2,850

800

800

800

800
2,800

Mitsubishi UFJ Trust and Banking
Corporation

1,600

1,600

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

1,500

1,500

2,100

2,100

Sumitomo Mitsui Banking Corporation

800

800

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

700–

Sumitomo Mitsui Trust Bank Limited

500

–

1,000

–

Sumitomo Mitsui Trust Bank Limited

Resona Bank, Limited

April 27, 2012

April 27, 2012

June 25, 2012

The Nishi-Nippon City Bank Ltd.
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited

June 29, 2012

Aozora Bank, Ltd.
Taiyo Life Insurance Company
The Kagawa Bank, Ltd.

September 19, 2012
September 21, 2012

800

–

1,200

1,200

800

800

700

700

1,500

1,500

500

500

1.11%
(Note 2)1.42%
(Note 2)

1.23%

1.10%
(Note 2)1.20%
(Note 2)–

1.25%
(Note 2)

0.94%
0.77%
(Note 2)

0.92%

Repayment date

RepaymentUsemethodJuly 29, 2016

(Note 6)

July 31, 2018

(Note 6)

February 28, 2018

(Note 3)

August 31, 2017

(Note 5)

April 27, 2018

(Note 5)

August 31, 2015

(Note 5)June 28, 2019

(Note 5)September 29, 2017

(Note 7)

April 28, 2016

(Note 6)

September 29, 2017

(Note 6)(Note 6)

Remarks

The Kagawa Bank, Ltd.

September 21, 2012

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

September 21, 2012

450

450

1.16%

September 30, 2019

Sumitomo Mitsui Trust Bank Limited

September 21, 2012

450

450

1.16%

Mitsubishi UFJ Trust and Banking
Corporation

November 20, 2012

1,000

1,000

September 30, 2019 Lump-sum (Note 6) Unsecured
repayment
Unguaranteed
November 29, 2019 at maturity (Note 6)

The Hiroshima Bank, Ltd.

November 20, 2012500–

The Hiroshima Bank, Ltd.

November 20, 2012

Sumitomo Mitsui Banking Corporation
Mizuho Bank, Ltd.

November 20, 2012

500

500

500

500

(Note 2)

1.03%
(Note 2)–0.79%
(Note 2)

1,200

1,200

0.95%

1,200

1,200

(Note 2)

November 30, 2015

(Note 6)

November 30, 2017

(Note 6)

November 29, 2019

(Note 6)Development Bank of Japan Inc.

November 30, 2012

600

600

0.74%

May 31, 2017

(Note 6)Development Bank of Japan Inc.

November 30, 2012

2,200

2,200

1.23%

November 29, 2020

(Note 5)Development Bank of Japan Inc.

November 30, 2012

2,200

2,200

1.40%

November 29, 2021

(Note 5)Tokio Marine & Nichido Fire Insurance Co.,Ltd.

December 28, 2012

500

–

–

December 18, 2015

(Note 5)Tokio Marine & Nichido Fire Insurance Co.,Ltd.

December 28, 2012

1,000

1,000

0.72%

March 31, 2017

(Note 5)

July 25, 2019

(Note 5)(Note 3)

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

2,703

2,703

Sumitomo Mitsui Trust Bank Limited

3,595

3,595

1,799

1,799

Mitsubishi UFJ Trust and Banking
Corporation

January 25, 2013

Aozora Bank, Ltd.

1.28%
(Note 2)903

903

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

March 29, 2013

1,200

1,200

0.81%

March 24, 2020

Sumitomo Mitsui Trust Bank Limited

March 29, 2013

1,200

1,200

0.82%

March 24, 2020

(Note 3)

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

March 29, 2013

1,300

1,300

0.81%

March 24, 2020

(Note 5)

Sumitomo Mitsui Trust Bank Limited

March 29, 2013

1,300

1,300

0.82%

March 24, 2020

(Note 5)Development Bank of Japan Inc.

March 29, 2013

1,150

1,150

1.08%

March 24, 2021

(Note 4)920

920

March 29, 2013

1,830

1,830

March 24, 2020

(Note 5)

1,370

1,370

1,000

1,000

February 28, 2018

(Note 3)

2,000

2,000

October 29, 2021

(Note 5)

Sumitomo Mitsui Trust Bank LimitedAozora Bank, Ltd.
Resona Bank, Limited
The Bank of Fukuoka, Ltd.

April 19, 2013

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited
Sumitomo Mitsui Banking Corporation

29

500

2,800

Sumitomo Mitsui Banking Corporation

Long-termloans payable

Balance at start Balance at end
Interest rateof the 9th FPof 9th FP(Note 1)(million yen)(million yen)

April 30, 2013

2,600

2,600

1,500

1,500

0.88%
(Note 2)0.79%
(Note 2)

1.25%
(Note 2)Classification
Lenders
Mizuho Bank, Ltd.
Aozora Bank, Ltd.
Resona Bank, Limited
Mizuho Trust & Banking Co., Ltd.
The Norinchukin Bank
The Nishi-Nippon City Bank Ltd.
The Nishi-Nippon City Bank Ltd.
The 77 Bank, Ltd.
Mizuho Bank, Ltd.
Mizuho Trust & Banking Co., Ltd.

June 25, 2013
June 25, 2013
September 13, 2013
September 13, 2013
September 13, 2013
September 24, 2013

Balance at start Balance at end
Interest rateof the 9th FPof 9th FP(Note 1)(million yen)(million yen)
1.63%

2,160

2,160

1,379

1,379

1.54%

919

919

(Note 2)

(Note 2)

1,000

1,000

1.07%

1,000

1,000

(Note 2)

500

500

500

500

0.77%

500

500

(Note 2)

1,140

–

570

–

Sumitomo Mitsui Trust Bank Limited

November 15, 2013

2,600

2,600

Sumitomo Mitsui Banking Corporation

November 15, 2013

3,550

3,550

Aozora Bank, Ltd.

November 29, 2013

1,800

1,800

0.92%
(Note 2)–
1.47%
(Note 2)

1.37%
(Note 2)

1.16%
(Note 2)

1.32%

Shinsei Bank, Limited

December 19, 2013

1,000

1,000

Shinsei Bank, Limited

December 19, 2013

700

700

The Yamaguchi Bank, Ltd.

December 19, 2013

500

500

The Yamaguchi Bank, Ltd.

December 19, 2013

500

500

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

February 17, 2014

500

500

500

500

1.44%

500

500

(Note 2)The Bank of Tokyo-Mitsubishi UFJ, Ltd.

455

455

Sumitomo Mitsui Trust Bank Limited

455

455

1.28%

1,120

1,120

(Note 2)

Mizuho Bank, Ltd.

1,630

1,630

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

1,200

1,200

Sumitomo Mitsui Trust Bank Limited

2,100

2,100

1.08%

2,000

2,000

(Note 2)The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited

Long-termloans payable

Drawdown date

Sumitomo Mitsui Banking Corporation

Mizuho Bank, Ltd.

February 17, 2014

February 17, 2014

February 17, 2014

Mizuho Trust & Banking Co., Ltd.
Mizuho Bank, Ltd.
Mizuho Trust & Banking Co., Ltd.
Mitsubishi UFJ Trust and Banking
Corporation
Mizuho Bank, Ltd.
Mizuho Trust & Banking Co., Ltd.
Aozora Bank, Ltd.
The Nishi-Nippon City Bank Ltd.

February 17, 2014

February 17, 2014
August 1, 2014

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Trust Bank Limited

August 1, 2014

The Nishi-Nippon City Bank Ltd.

500

500

2,900

2,900

1,500

1,500

270

270

(Note 2)1.10%
(Note 2)0.93%
(Note 2)0.85%
(Note 2)

1.59%
(Note 2)0.89%
(Note 2)

2,900

2,900

0.74%

2,350

2,350

(Note 2)

–

900

0.58%

–

400

(Note 2)

–

707

–

393

–

400

Development Bank of Japan Inc.

September 30, 2014

–

1,500

Development Bank of Japan Inc.

September 30, 2014

–

1,850

0.82%
(Note 2)

1.02%
(Note 2)

1.18%
(Note 2)

0.85%

Aozora Bank, Ltd.

October 31, 2014

–

1,000

Aozora Bank, Ltd.

October 31, 2014–

700

Aozora Bank, Ltd.

October 31, 2014

–

700

–

500

0.57%

–

500

(Note 2)

–

600

–

500

–

500

Resona Bank, Limited
The Bank of Fukuoka, Ltd.

January 30, 2015

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Resona Bank, Limited
The Bank of Fukuoka, Ltd.

January 30, 2015

(Note 2)0.76%
(Note 2)0.42%
(Note 2)0.63%
(Note 2)

Repayment date

RepaymentUsemethodDecember 22, 2021

(Note 5)June 25, 2021

(Note 5)September 30, 2020

(Note 3)September 30, 2019

(Note 3)September 28, 2018

(Note 3)

November 30, 2015

(Note 5)

November 15, 2023

(Note 5)

November 15, 2022

(Note 5)

November 26, 2021

(Note 3)June 17, 2022

(Note 3)June 18, 2021

(Note 3)June 18, 2020

(Note 3)

December 18, 2019

(Note 3)February 14, 2025

(Note 5)February 16, 2024

(Note 5)February 16, 2023

Remarks

Lump-sum (Note 5)
Unsecured
repayment
Unguaranteed
at maturity

February 16, 2022

(Note 5)February 16, 2021

(Note 5)February 14, 2020

(Note 5)January 29, 2021

(Note 3)

July 29, 2022

(Note 3)September 29, 2023

(Note 5)September 30, 2024

(Note 5)October 31, 2022

(Note 5)

April 28, 2022

(Note 5)October 31, 2019

(Note 5)January 29, 2021

(Note 5)June 30, 2021

(Note 5)30

I. Asset Management Report

Classification

Drawdown dateLenders

Balance at start Balance at end
Interest rateof the 9th FPof 9th FP(Note 1)(million yen)(million yen)

The Bank of Tokyo-Mitsubishi UFJ, Ltd.
Long-termloans payable

January 30, 2015

Aozora Bank, Ltd.
Resona Bank, Limited
Subtotal
Total

–

1,000

–

700

–

1,000

164,846

163,980

184,295

178,298

0.89%(Note 2)

Repayment date

RepaymentUsemethodJanuary 31, 2023

Lump-sum
Unsecured
repayment (Note 5)
Unguaranteed
at maturity

Remarks

Notes 1. “Interest rate” is the borrowing interest rate (weighted average of balance at the end of the fiscal period) for each loan agreement, rounded to the second decimal place.
2. For loans where an interest-rate swap transaction has been made for the purpose of hedging the risk of interest-rate fluctuations, the fixed rate resulting from the swap
transaction is listed.
3. The funds are used for acquiring specified assets.
4. The funds are used for acquiring specified assets and repaying existing loans.
5. The funds are used for repaying existing loans.
6. The funds are used for redeeming existing investment corporation bonds.
7. The funds are used to repay existing loans and redeem existing investment corporation bonds.
8. The loan contract requires that the first repayment shall be on the last day of February 2010 and subsequent repayments shall be at the end of every February, May, August andNovember thereafter, each in the amount of 62,500 thousand yen of principal, until lump-sum repayment of the remaining principal on September 30, 2014.
9. The loan contract requires that the first repayment shall be on the last day of April 2011 and subsequent repayments shall be at the end of every January, April, July and October
thereafter, each in the amount of 3,375 thousand yen of principal, until lump-sum repayment of the remaining principal on February 17, 2016.

3 Investment Corporation Bonds

The following lists the outstanding investment corporation bonds issued by ADR as of January 31, 2015.

Series (Note 1)

Issue Date

Balance at start of
the 9th FP(million yen)

Balance at end ofInterest rate
Redemption date
9th FP(%)(million yen)

Advance Residence Investment
Corporation
ADR Bond #13 (Unsecured)

2011
Sep. 12

8,000

8,000

1.27

Advance Residence Investment
Corporation
ADR Bond #14 (Unsecured)

2011
Sep. 12

2,000

2,000

Advance Residence Investment
Corporation
ADR Bond #15 (Unsecured)

2012
Apr. 26

4,000

Advance Residence Investment
Corporation
ADR Bond #16 (Unsecured)

2012
Apr. 26

Advance Residence Investment
Corporation
ADR Bond #17 (Unsecured)

Redemption method

Use

Remarks

2016
Sep. 12

Lump-sum repayment
at maturity(Note 3)

Unsecured

1.68

2018
Sep. 12

Lump-sum repayment
at maturity(Note 3)

Unsecured

4,000

0.86

2015
Apr. 24

Lump-sum repayment
at maturity(Note 2)

Unsecured

4,000

4,000

1.08

2017
Apr. 26

Lump-sum repayment
at maturity(Note 2)

Unsecured2012
Sep. 12

8,000

8,000

0.87

2017
Sep. 12

Lump-sum repayment
at maturity(Note 3)

Unsecured

Advance Residence Investment
Corporation
ADR Bond #18 (Unsecured)2012
Sep. 12

4,000

4,000

1.23

2019
Sep. 12

Lump-sum repayment
at maturity(Note 3)

Unsecured

Advance Residence Investment
Corporation
ADR Bond #19 (Unsecured)

2013
Apr. 25

3,000

3,000

1.32

2023
Apr. 25

Lump-sum repayment
at maturity(Note 2)

Unsecured

Advance Residence Investment
Corporation
ADR Bond #20 (Unsecured)

2013
Nov. 14

2,000

2,000

1.41

2025
Nov. 14

Lump-sum repayment
at maturity(Note 2)

Unsecured

Advance Residence Investment
Corporation
ADR Bond #21 (Unsecured)

2014
Apr. 28

2,500

2,500

1.04

2024
Apr. 26

Lump-sum repayment
at maturity(Note 2)

Unsecured

37,50037,500Total

Notes 1. The bonds come with pari passu clause among specified investment corporation bonds.
2. The funds are used for repaying existing loans.
3. The funds are used for redeeming existing investment corporation bonds.

4 Short-Term Investment Corporation Bonds
Not applicable.

5 Subscription rights for new investment units
Not applicable.

31

Acquisitions and Disposals in the 9th Fiscal Period
1 Acquisitions and Disposals of Properties and Asset-Backed Securities
Acquisition
Propertyno.

Name of real estate

R-59 RESIDIA Shin-Osaka
C-72 RESIDIA Machiya
C-73 RESIDIA Ueno-Ikenohata
C-74 RESIDIA Nerima
R-60 RESIDIA Okayama-Ekimae
R-61 RESIDIA Kyoto Okazaki
R-62 RESIDIA Sendai-Ichibancho
R-63 RESIDIA Kita-Nijyo East II
R-64 RESIDIA Takamiya
R-65 RESIDIA Soen
R-66 RESIDIA Tenjin
R-67 RESIDIA Yakuin-O-doriR-68 RESIDIA Hakata II
R-69 RESIDIA Kego
S-30 RESIDIA Sagamihara
S-31 RESIDIA Yokohama-Bashamichi
P-100 RESIDIA Takanawa Katsurazaka
P-101 RESIDIA Ebisu III
P-102 RESIDIA Shinjuku Gyoen
C-75 RESIDIA Higashi Nihonbashi
C-76 RESIDIA Nakano
C-77 RESIDIA Ogikubo II
C-78 RESIDIA Minami Yukigaya
R-70 RESIDIA ShirakabeS-32 RESIDIA Hon-Atsugi
P-5 RESIDIA Azabujuban
P-77 Motoazabu Place
P-78 RESIDIA TOWER Roppongi
P-80 RESIDIA Yoyogikoen
RESIDIA Daikanyama
P-83 Sarugakucho/
Daikanyama Parkside Village
Tokyo Student-House
S-1
HIYOSHIDAI
Total

Acquisition dateAugust 1, 2014
September 29, 2014
November 12, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 4, 2014
December 19, 2014
December 19, 2014
December 19, 2014
December 19, 2014
December 19, 2014
December 19, 2014
December 19, 2014
December 19, 2014
December 19, 2014––––

Dispositions
Acquisition
Price (Note 1)(million yen)

Disposition date

2,644
1,168
1,700
502
772
227
1,083
538
488
384
1,122
1,123
1,358
834
1,050
735
900
611
687
378
652
460
1,299
907
606
–
–
–
–

–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
January 22, 2015
January 22, 2015
January 22, 2015
January 22, 2015–

– January 22, 2015–

– January 28, 2015
22,235–

Disposition
Gain (Loss)
Book value
price (Note 1)
on sales(million yen)(million yen)(million yen)

–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–

–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–

–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–

(Note 2)

25,310

-185

3,800

2,934

839

29,36028,244654

25,560Note 1. “Acquisition price” or “Disposition price” is the purchase or sale price entered in the transaction agreements, and does not include the various expenses, such as broker
commission, and taxes and duties, required in the acquisition or disposition of the concerned real estate.
2. Buyer consent has not been granted for disclosure of respective disposition prices for RESIDIA Azabujuban, Motoazabu Place, RESIDIA TOWER Roppongi, RESIDIA Yoyogikoen,
and RESIDIA Daikanyama-Sarugakucho / Daikanyama Parkside Village.

2 Acquisitions and Disposals of Other Assets

Not applicable. Major assets other than the above-mentioned properties and asset-backed securities are mostly bank deposits orbank deposits within trust assets.

32

I. Asset Management Report
3 Appraisal Values of Specified Assets
1) Real Estate

Acquisition
Type of Property
or
asset
no.
disposition

Real
Acquisition estatein trust

33

Name of property

Acquisition Acquisition orAppraisal
disposition
or
value
price
disposition(million yen)(million yen)dateAppraisal institutionPriceappraisal
date

R-59

RESIDIA Shin-Osaka2014
Aug. 1

2,644

3,060

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Mar. 31

C-72

RESIDIA Machiya

2014
Sep. 29

1,168

1,230

Morii Appraisal &Investment Consulting, Inc.

2014
Aug. 31

C-73

RESIDIA Ueno-Ikenohata

2014
Nov. 12

1,700

1,810

Morii Appraisal &Investment Consulting, Inc.

2014
Sep. 30

C-74

RESIDIA Nerima

2014
Dec. 4502

573

Morii Appraisal &Investment Consulting, Inc.

2014
Oct. 31

R-60

RESIDIA Okayama-Ekimae

2014
Dec. 4772

871

Morii Appraisal &Investment Consulting, Inc.

2014
Oct. 31

R-61

RESIDIA Kyoto Okazaki

2014
Dec. 4

227

278

Morii Appraisal &Investment Consulting, Inc.

2014
Oct. 31

R-62

RESIDIA Sendai-Ichibancho

2014
Dec. 4

1,083

1,200

Morii Appraisal &Investment Consulting, Inc.

2014
Oct. 31

R-63

RESIDIA Kita-Nijyo East II

2014
Dec. 4

538

654

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Oct. 31

R-64

RESIDIA Takamiya

2014
Dec. 4488

533

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Oct. 31

R-65

RESIDIA Soen

2014
Dec. 4384

468

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Oct. 31

R-66

RESIDIA Tenjin

2014
Dec. 4

1,122

1,220

Japan Real Estate Institute2014
Oct. 31

R-67

RESIDIA Yakuin-O-dori2014
Dec. 41,123

1,240 Japan Real Estate Institute2014
Oct. 31

R-68

RESIDIA Hakata II

2014
Dec. 4

1,358

1,440

Japan Real Estate Institute2014
Oct. 31

R-69

RESIDIA Kego2014
Dec. 4

834

988

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Oct. 31

S-30

RESIDIA Sagamihara

2014
Dec. 4

1,050

1,150

Morii Appraisal &Investment Consulting, Inc.

2014
Oct. 31

S-31

RESIDIA Yokohama-Bashamichi

2014
Dec. 4735

813

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Oct. 31P-100 RESIDIA Takanawa Katsurazaka

2014
Dec. 19

900

959

2014
Morii Appraisal &Investment Consulting, Inc. Nov. 30

P-102 RESIDIA Shinjuku Gyoen

2014
Dec. 19

687

740

2014
Morii Appraisal &Investment Consulting, Inc. Nov. 30

C-75

RESIDIA Higashi Nihonbashi

2014
Dec. 19

378

421

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

C-78

RESIDIA Minami Yukigaya

2014
Dec. 19

1,299

1,390

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

Acquisition
Type of Property
or
asset
no.
dispositionRealestatein trust

AcquisitionRealestateRealestateDispositionRealestatein trust

Name of property

Acquisition Acquisition orAppraisal
disposition
or
value
price
disposition(million yen)(million yen)dateAppraisal institutionPriceappraisal
date

2014
Dec. 19

907

989

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

P-101 RESIDIA Ebisu III

2014
Dec. 19

611

667

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

C-76

RESIDIA Nakano

2014
Dec. 19

652

703

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

C-77

RESIDIA Ogikubo II

2014
Dec. 19460

508

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

S-32

RESIDIA Hon-Atsugi

2014
Dec. 19

606

669

Morii Appraisal &2014
Investment Consulting, Inc. Nov. 30

P-78

RESIDIA TOWER Roppongi

2015
Jan. 225,790

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Jul. 31

P-5

RESIDIA Azabujuban

2015
Jan. 221,840

Chuo Real Estate Appraisal
Co., Ltd.

2014
Jul. 31

P-77

Motoazabu Place2015
Jan. 22

6,110

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Jul. 31

R-70

RESIDIA Shirakabe

25,560(Note 3)

P-80

RESIDIA Yoyogikoen

2015
Jan. 22752

DAIWA REAL ESTATEAPPRAISAL Corporation

2014
Jul. 31

P-83

RESIDIA Daikanyama
Sarugakucho/
Daikanyama Parkside Village

2015
Jan. 226,040

Morii Appraisal &Investment Consulting, Inc.

2014
Jul. 31

S-1

Tokyo Student-HouseHIYOSHIDAI

2015
Jan. 28

3,800

Chuo Real Estate Appraisal
Co., Ltd.

2014
Oct. 31

3,800

Notes 1. “Acquisition price” or “Disposition price” is the purchase or sale price entered in the transaction agreements, and does not include the various expenses, such as broker
commission, and taxes and duties, required in the acquisition or disposition of the concerned real estate.
2. With the Act on Investment Trusts and Investment Corporations revised on November 24, 2011, price assessment is no longer necessary in cases where a real estate appraisal is
carried out prior to the acquisition or disposition of specific assets (land, buildings, rights to land or buildings, or anything deemed to be an asset by government ordinance).
Therefore, the price assessment for the properties listed above is not carried out.
3. Buyer consent has not been granted for disclosure of respective disposition prices for RESIDIA Azabujuban, Motoazabu Place, RESIDIA TOWER Roppongi, RESIDIA Yoyogikoen,
and RESIDIA Daikanyama-Sarugakucho / Daikanyama Parkside Village.

2) Others
For transactions conducted by ADR other than the transactions listed above in “1) Real Estate” that require assessments pursuant to
the provisions of Article 201 of the Act on Investment Trusts and Investment Corporations, ADR entrusts Deloitte Touche Tohmatsu
LLC with the assessment.

34

I. Asset Management Report
4 Transactions with Interested Parties

1) Transactions
Purchases, sales and other transactions of specified assets involving interested parties during the 9th Fiscal Period are listed below.
Transaction amountClassification
Total amount (9th FP)

Purchase amountSale amount

22,235,460 thousand yen

29,360,000 thousand yen

Breakdown of transaction with interested parties
K.K. Edwin

1,700,000 thousand yen (7.6%)

G.K. Hiyoshi Properties- thousand yen (-%)
1,700,000 thousand yen (7.6%)

Total- thousand yen (-%)
3,800,000 thousand yen (12.9%)
3,800,000 thousand yen (12.9%)

2) Amount of Commission Fees Paid
The following are the commission fees paid to interested parties in the 9th Fiscal Period.

Classification

Total amount ofcommission fees(A)(thousand yen)

Real estate transaction fees

143,590

Trust beneficiary interests
transaction fees

458,531

Property management fees

Breakdown of transaction with interested parties
Payee

Amount paid(B)(thousand yen)Share(B)/(A)(%)

ITOCHU Property Development, Ltd.

73,72051.3

ITOCHU Corporation

51,00011.1

ITOCHU Property Development, Ltd.

203,08144.3

1,225,331

ITOCHU Urban Community Ltd.

701,716

57.3

Other rental expenses

138,827

ITOCHU Urban Community Ltd.

72,831

52.5

Advertising expenses

5,343

ITOCHU Urban Community Ltd.

3,210

60.1

ITOCHU Urban Community Ltd.

29,062

23.1

90

0.1

Other fees

125,644

ITOCHU Human Resources & General
Affairs Services Inc.

Notes 1. Transactions are not disclosed if by form or name the transactions went through interested parties but where the actual counterparty is clearly a third party.
2. K.K. Edwin, G.K. Hiyoshi Properties, ITOCHU Property Development, Ltd., ITOCHU Corporation, ITOCHU Urban Community Ltd., and ITOCHU Human Resources & General Affairs
Services Inc. are interested parties of the asset management company that have signed an asset management agreement with ADR as stipulated in Article 201, Paragraph 1 of
the Act on Investment Trusts and Investment Corporations and Article 123 of the Enforcement Order thereof, with which ADR engaged in transactions in the 9th Fiscal Period.

5 Transactions with the Asset Management Company Pertaining to Business Operated by the
Asset Management Company as Subsidiary Business

There are no such transactions, as the asset management company conducts no concurrent operations in the area of type I financial
instruments business, type II financial instruments business, building lots and buildings transaction business or real estate specified
joint enterprise.

35

Accounts
1 Assets, Liabilities, Principal, Income and Losses

Please refer to the accompanying “II. Balance Sheets,” “III. Statements of Income,” “IV. Statements of Changes in Unit-holders’Equity,” “V. Notes to Financial Statements” and “VI. Statements of Cash Distributions.”

2 Change in Depreciation Calculation Method
Not applicable.

3 Change in Method of Valuation of Properties
Not applicable.

4 Beneficiary Certificates of Self-Managed Investment Trust
Not applicable.

5 Disclosure Relating to Overseas Real Estate Holding Companies and Real Estate Holdings ofSuch Companies

Not applicable.

Other
1 Notice

There were no material issues related to the execution or modification of major agreements approved by ADR’s Board of Directors
during the current fiscal period.

2 Other

Unless otherwise stated, monetary amounts are rounded down and percentage figures are rounded to the nearest specified unit inthis document.

36

II. Balance Sheets(thousand yen)

8th Fiscal Period (Reference)
July 31, 2014
AssetsCurrent assets
Cash and deposits
Cash and deposits in trust
Operating accounts receivable
Securities
Prepaid expenses
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Structures
Accumulated depreciation
Structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Buildings in trust
Accumulated depreciation
Buildings in trust, net
Structures in trust
Accumulated depreciation
Structures in trust, net
Machinery and equipment in trust
Accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Construction in progress including trust accounts
Total property, plant and equipment
Intangible fixed assets
Leasehold rights
Leasehold rights in trust
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term prepaid expenses
Guarantee deposits
Paid tenant guarantees
Other
Total investments and other assets
Total noncurrent assets
Deferred assets
Investment unit issuance expenses
Investment corporation bond issuance costs
Total deferred assets
Total assets

37

9th Fiscal Period
January 31, 2015

7,592,567
8,134,558
285,946
8,000,000
449,187
28,567-29,547
24,461,279

11,661,031
8,061,799
292,801
5,850,000
365,641
318,543-13,636
26,536,181

74,963,255-6,869,192
68,094,062
17,665-2,25915,406
27,666-2,41525,250125,748-65,935
59,812
71,429,166
137,491,244-13,507,775
123,983,468
159,233-71,119
88,114
144,303-58,914
85,388563,615-361,207
202,407
141,013,941
23,452405,020,472

73,371,622-7,421,375
65,950,247
17,825-2,81015,01526,421-3,52022,901
141,479-70,644
70,83568,567,810
141,745,114-13,799,597
127,945,517
165,844-72,588
93,256145,997-63,828
82,169516,310-328,128
188,181
135,599,491
7,452
398,542,878

1,071,902
1,717,340
4,162
2,793,405

1,071,902
1,682,903
1,136
2,755,942

546,342
783,105
469,288995,717
1,602
2,796,056
410,609,935

236,921844,724
475,017995,717
1,654
2,554,034
403,852,856

15,036
129,162
144,198435,215,413

9,352
110,836
120,188430,509,226

(thousand yen)

8th Fiscal Period (Reference)
July 31, 2014
Liabilities
Current liabilities
Operating accounts payable
Current portion of investment corporation bonds
Current portion of long-term loans payable
Accounts payable – otherAccrued expenses
Accrued consumption taxes
Advances received
Other
Total current liabilities
Noncurrent liabilities
Investment corporation bondLong-term loans payable
Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Total noncurrent liabilities
Total liabilities
Net assets
Unit-holders’ equity
Paid-in Capital
SurplusCapital surplus
Reserve for dividends
Unappropriated retained earnings (undisposed loss)
Total surplus
Total unit-holders’ equity
Total net assets
Total liabilities and net assets*1

9th Fiscal Period
January 31, 2015

218,9444,000,000
19,448,195
1,214,306
190,194
11,11976,36435,56025,194,685

211,264
4,000,000
14,318,311
1,535,770
199,576
406,168
108,61235,467
20,815,170

33,500,000
164,846,901
1,251,239
2,664,629
202,262,769
227,457,454

33,500,000
163,980,151
1,233,673
2,602,090
201,315,915
222,131,085

114,936,698

114,936,698

53,220,279
33,720,940
5,880,040
92,821,260
207,757,958
207,757,958
435,215,413

53,220,279
33,630,081
6,591,081
93,441,442
208,378,140
208,378,140
430,509,226

*1

38

III. Statements of Income(thousand yen)

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

Operating revenues
Rental revenue – real estate*1

Dividends income

14,590,450*1

78,198Gain on real estate sales–

Total operating revenue

14,668,649

14,738,638
55,284*2

839,417
15,633,341

Total operating expenses
Expenses related to rent business

5,749,489*1

5,817,162

Loss on real estate sales–*3

185,113

Asset management fee

949,870

1,117,526

Asset custody fee

9,478

9,619

Administrative service fees

62,733

63,148

Directors’ compensations

2,400

2,400

Taxes and dues

178,510

103,411

Provision of allowance for doubtful accounts

18,158

–

296

135

Bad debts expenses*1

Other operating expenses

193,132

176,399

Total operating expenses

7,164,070

7,474,916

7,504,578

8,158,424

10,862

9,714

Operating income
Non-operating income
Interest income
Interest on securities

2,600

2,346

Claim compensation income

22,838–

Reversal of distribution payable

3,281

2,452

–

14,065

Other

3,863

178

Total non-operating income

43,44628,7581,145,316

1,150,730

Interest expenses on investment corporation bonds

204,167

215,017

Amortization of investment unit issuance expenses

5,684

5,684

Amortization of investment corporation bond issuance costs
Other offering costs associated with the issuance ofinvestment units
Borrowing-related expenses

18,04718,325

11,587–

280,430

204,815

2,145

921

1,667,379

1,595,495

Ordinary income

5,880,645

6,591,686

Income before income taxes

5,880,645

6,591,686

605

605

Reversal of allowance for doubtful accounts

Non-operating expenses
Interest expenses

Other
Total non-operating expenses

Income taxes – current
Total income taxes

39

605

605

Net income

5,880,040

6,591,081

Unappropriated retained earnings (undisposed loss)

5,880,040

6,591,081

IV. Statements of Changes in Unit-holders’ Equity

8th Fiscal Period (Reference) (from February 1, 2014 to July 31, 2014)

(thousand yen)

Unit-holders’ equity
Surplus
Paid-in
CapitalBalance at the beginningof current period

102,557,018

CapitalsurplusReserve fordividends

Unappropriatedretained earnings(undisposed loss)

53,220,279

33,968,500

5,475,039

Total net
assetsTotal surplus

Total unitholders’equity92,663,819

195,220,837

195,220,837

12,379,680

12,379,680

Changes of items during
the period
Issuance of new
investment units

12,379,680

Reversal of reserve fordividends-247,560

247,560–––

Dividends from surplus-5,722,600-5,722,600-5,722,600-5,722,600

Net income

5,880,040

5,880,040

5,880,040

5,880,040

Total changes of items
during the period

12,379,680–-247,560

405,001

157,440

12,537,120

12,537,120

Balance at the end ofcurrent period

114,936,698

53,220,279

33,720,940

5,880,040

92,821,260

207,757,958

207,757,958

9th Fiscal Period (from August 1, 2014 to January 31, 2015)

(thousand yen)

Unit-holders’ equity
Surplus
Paid-in
Capital

Total net
assetsTotal surplus

Total unitholders’equityCapitalsurplusReserve fordividends

Unappropriatedretained earnings(undisposed loss)

53,220,279

33,720,940

5,880,040

92,821,260

207,757,958

207,757,958-90,859

90,859–––Dividends from surplus-5,970,900-5,970,900-5,970,900-5,970,900

Net income

6,591,081

6,591,081

6,591,081

6,591,081

Balance at the beginningof current period

114,936,698

Changes of items during
the period
Reversal of reserve fordividends

Total changes of items
during the period––-90,859

711,040

620,181620,181620,181

Balance at the end ofcurrent period

114,936,698

53,220,279

33,630,081

6,591,081

93,441,442

208,378,140

208,378,140

40

V. Notes to Financial Statements

Notes on Matters Concerning Significant Accounting Policies

41

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

1. Standards and method ofvaluation of securities(1) Held-to-maturity debentures
Carried at amortized cost (straight-line basis).
(2) Available-for-sale securities
Non-marketable securities
Stated at cost determined by the moving
average method.
For investments in TK property fund, ADR
adopts the method of factoring in the net
amount of TK property fund income (loss) inproportion to its equity interests.

(1) Held-to-maturity debentures
Carried at amortized cost (straight-line basis).
(2) Available-for-sale securities
Non-marketable securities
Stated at cost determined by the moving
average method.
For investments in TK property fund, ADR
adopts the method of factoring in the net
amount of TK property fund income (loss) inproportion to its equity interests.

2. Method of depreciation of
noncurrent assets(1) Property, plant and equipment (including
assets in trust)Calculated on a straight-line basis.
The useful life of the main items of property,
plant and equipment are as follows:
5~46 years
Buildings
Structures
6~50 years
Machinery and equipment
10~15 years
Tools, furniture and fixtures
2~15 years(2) Intangible assets
Calculated on a straight-line basis.
The useful life of the main items of intangible
assets are as follows:
23~65 years
Leasehold rights in trust
Software3~5 years(3) Long-term prepaid expenses
Calculated on a straight-line basis.

(1) Property, plant and equipment (including
assets in trust)Calculated on a straight-line basis.
The useful life of the main items of property,
plant and equipment are as follows:
5~46 years
Buildings
Structures
6~50 years
Machinery and equipment
10~15 years
Tools, furniture and fixtures
2~15 years(2) Intangible assets
Calculated on a straight-line basis.
The useful life of the main items of intangible
assets are as follows:
23~65 years
Leasehold rights in trust
Software3~5 years(3) Long-term prepaid expenses
Calculated on a straight-line basis.

3. Method of accounting fordeferred assets(1) Unit issuance expenses
Amortized on a straight-line basis(over 3 years).
(2) Investment corporation bond issuance costs
Amortized on a straight-line basis over theperiod up to redemption of the investment
corporation bonds.

(1) Unit issuance expenses
Amortized on a straight-line basis(over 3 years).
(2) Investment corporation bond issuance costs
Amortized on a straight-line basis over theperiod up to redemption of the investment
corporation bonds.

4. Standards of recording
allowances

Allowance for doubtful accounts
For allowance for doubtful accounts against
possible losses arising from default on
receivables, uncollectable amount is estimatedand recorded by investigating collectability
based on historical loan loss ratios for general
receivables and on a case-by-case examination
for doubtful and other specific receivables.

Allowance for doubtful accounts
For allowance for doubtful accounts against
possible losses arising from default on
receivables, uncollectable amount is estimatedand recorded by investigating collectability
based on historical loan loss ratios for general
receivables and on a case-by-case examination
for doubtful and other specific receivables.

5. Standards of recording
revenue and expenses

Method of accounting for property taxes
For property, urban planning and depreciable
asset taxes on real estate held, ADR adopts themethod of charging the corresponding amountsof assessed taxes in the fiscal period underreview as expenses related to rent business.
Furthermore, for the pro rata portion ofproperty taxes ADR paid to the sellers uponacquisition of real estate properties, ADR
includes the amount in the acquisition cost
instead of recording it as expenses related torent business. The amount equivalent toproperty taxes included in the acquisition costof real estate properties in the fiscal period
under review is 68,716 thousand yen.

(1) Method of accounting for property taxes
For property, urban planning and depreciable
asset taxes on real estate held, ADR adopts themethod of charging the corresponding amountsof assessed taxes in the fiscal period underreview as expenses related to rent business.
Furthermore, for the pro rata portion ofproperty taxes ADR paid to the sellers uponacquisition of real estate properties, ADR
includes the amount in the acquisition cost
instead of recording it as expenses related torent business. The amount equivalent toproperty taxes included in the acquisition costof real estate properties in the fiscal period
under review is 9,159 thousand yen.

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015(2) Method of accounting for gain (loss) on realestate sales
For gain (loss) on real estate sales, ADR
generally does not offset such losses against
such gains by calculating figures on the basisof individual properties. Instead, ADR offsets
gains and losses within groups of properties
with respect to cases where ADR sells multiple
properties to a single party, under a single
contract and in a single fiscal period.

6. Method of hedge
accounting(1) Method of hedge accounting
Exemption accounting is applied.
(2) Hedging instruments and hedged items
Hedging instruments
Interest-rate swap transaction
Hedged items
Loans(3) Hedging policy
ADR conducts derivative transactions tohedge risks stipulated in ADR’s Articles ofIncorporation in accordance with its financial
policy.
(4) Method for assessing the effectiveness ofhedging
Assessment of the effectiveness is omitted as
the relevant transactions meet therequirements for special accounting.

(1) Method of hedge accounting
Exemption accounting is applied.
(2) Hedging instruments and hedged items
Hedging instruments
Interest-rate swap transaction
Hedged items
Loans(3) Hedging policy
ADR conducts derivative transactions tohedge risks stipulated in ADR’s Articles ofIncorporation in accordance with its financial
policy.
(4) Method for assessing the effectiveness ofhedging
Assessment of the effectiveness is omitted as
the relevant transactions meet therequirements for special accounting.

7. Other significant mattersthat serve as basis for
preparing financial
statements(1) Method of accounting for beneficiaryinterests in trust in real estate properties
For beneficiary interests in trust in real estate,
all accounts of assets and liabilities withintrust assets as well as all accounts of revenue
and expenses incurred from the trust assets
are recorded in the relevant account titles on
the balance sheets and statements of income.
The following material titles of the trust
assets recorded in the relevant account titles
are separately stated on the balance sheets.
(i) Cash and deposits in trust(ii) Buildings in trust; structures in trust;machinery and equipment in trust;
tools, furniture and fixtures in trust;land in trust; construction in progressincluding trust accounts; and leasehold
rights in trust(iii) Paid tenant guarantees(iv) Tenant leasehold and security deposits
in trust(2) Method of accounting for consumption taxes.
National and local consumption taxes are
excluded from business transaction amounts.
However, accounting for fixed assets anddeferred assets includes national and local
consumption taxes levied on them.

(1) Method of accounting for beneficiary interests
in trust in real estate properties
For beneficiary interests in trust in real estate,
all accounts of assets and liabilities withintrust assets as well as all accounts of revenue
and expenses incurred from the trust assets
are recorded in the relevant account titles on
the balance sheets and statements of income.
The following material titles of the trust assets
recorded in the relevant account titles are
separately stated on the balance sheets.
(i) Cash and deposits in trust(ii) Buildings in trust; structures in trust;machinery and equipment in trust;
tools, furniture and fixtures in trust;land in trust; construction in progressincluding trust accounts; and leasehold
rights in trust(iii) Paid tenant guarantees(iv) Tenant leasehold and security deposits
in trust(2) Method of accounting for consumption taxes.
National and local consumption taxes are
excluded from business transaction amounts.
However, accounting for fixed assets anddeferred assets includes national and local
consumption taxes levied on them.

42

V. Notes to Financial Statements

Notes to Balance Sheets
8th Fiscal Period (Reference)
July 31, 2014

9th Fiscal Period
January 31, 2015

*1 Minimum net assets as stipulated in Article 67, Paragraph 4 of the
Act on Investment Trusts and Investment Corporations
50,000 thousand yen*1 Minimum net assets as stipulated in Article 67, Paragraph 4 of the
Act on Investment Trusts and Investment Corporations
50,000 thousand yen

2. ADR has signed term loan commitment agreements with its banks ofaccount.

2. ADR has signed term loan commitment agreements with its banks ofaccount.

Revolving line of credit

20,000,000 thousand yenLine of credit used

- thousand yenLine of credit left unused

20,000,000 thousand yen

Revolving line of credit

20,000,000 thousand yenLine of credit used

- thousand yenLine of credit left unused

20,000,000 thousand yen

3. Contingent liabilities
ADR has concluded transaction agreements for acquisitions of theproperties listed below. However, in the event that a transaction
agreement for any such property is cancelled for reasons attributableto ADR (as the buyer), then ADR must make payment of a cancellation
penalty amounting to 20% of the transaction price.

—

Name of property

Transaction amountRESIDIA Minami Shinagawa

1,177 million yen

RESIDIA Omori III(Artis Omori-Kita) (Note)

1,395 million yen

RESIDIA Nihonbashi-Bakurocho II

1,975 million yen

Total

4,547 million yen(Note) ADR plans to rename this property after acquiring it. Therefore,
the property’s new name after the name change is listed here,
and its current name as of the date of this report is shown inparentheses.

Notes to Statements of Income
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

*1 Breakdown of operating income (loss) from property leasing
activities(thousand yen)

A. Revenue from property leasing
Rental revenue – real estate
Rent income
Facility charge
Parking fee
Subtotal
Other revenue related to property leasing
Income from leasing rights
Other
Subtotal
Total revenue from property leasing
B. Expenses from property leasing Rental
expenses
Expenses related to rent business
Property taxes
Property management fees
Utilities
Repairs and maintenanceInsurance
Trust fee
Other rental expenses
Depreciation and amortization
Total expenses from property leasing
C. Operating income from property leasing
(A−B)

43

13,049,054
574,352
436,819
14,060,226
50,519479,705
530,224
14,590,450

705,517
1,023,492
269,552
451,538
26,55965,122753,6112,454,095
5,749,489
8,840,961*1 Breakdown of operating income (loss) from property leasing
activities(thousand yen)

A. Revenue from property leasing
Rental revenue – real estate
Rent income
Facility charge
Parking fee
Subtotal
Other revenue related to property leasing
Income from leasing rights
Other
Subtotal
Total revenue from property leasing
B. Expenses from property leasing Rental
expenses
Expenses related to rent business
Property taxes
Property management fees
Utilities
Repairs and maintenanceInsurance
Trust fee
Other rental expenses
Depreciation and amortization
Total expenses from property leasing
C. Operating income from property leasing(A−B)

13,262,199
590,961444,809
14,297,970
56,695383,973440,668
14,738,638

749,299
989,026
278,926
452,387
26,534
66,732
737,6172,516,637
5,817,162
8,921,476

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015—

*2 Breakdown of gain on real estate sales(Tokyo Student-House HIYOSHIDAI)
Proceeds from sales of real estate
Cost of sales of real estate
Other disposition expenses
Gain on real estate sales—*3 Breakdown of loss on real estate sales(thousand yen)

3,800,000
2,934,878
25,703
839,417(thousand yen)

(RESIDIA Azabujuban, Motoazabu Place, RESIDIA TOWER
Roppongi, RESIDIA Yoyogikoen, RESIDIA DaikanyamaSarugakucho / Daikanyama Parkside Village)
Proceeds from sales of real estate
25,560,000
Cost of sales of real estate
25,310,306
Other disposition expenses
434,807
Loss on real estate sales
185,113
Buyer consent has not been granted for disclosure of individual
disposition prices. The loss on real estate sales of 185,113 thousand
yen comprises a loss on real estate sales of 2,440,592 thousand
yen, against an offsetting gain on real estate sales of 2,255,478
thousand yen.

Notes to Statements of Changes in Unit-holders’ Equity
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

Total number of units authorized and total number of units issued andoutstanding
Total number of units authorized
6,000,000 units
Total number of units issued and outstanding
1,300,000 units

Total number of units authorized and total number of units issued andoutstanding
Total number of units authorized
6,000,000 units
Total number of units issued and outstanding
1,300,000 units

Notes on Tax-Effect Accounting
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

1. Breakdown of primary causes for occurrence of deferred tax assets
and deferred tax liabilities

1. Breakdown of primary causes for occurrence of deferred tax assets
and deferred tax liabilities(thousand yen)

(Deferred tax assets)
Amount in excess of provision of allowancefor doubtful accounts
Valuation difference on amount received at merger
Deficit brought forward
Other
Subtotal
Allowance for valuation
Total deferred tax assets
Net deferred tax assets

10,093
12,977,171
1,483,134
37,687
14,508,086-14,508,086––

2. Breakdown of significant components that caused a difference
between statutory income tax rate and effective income tax rate after
application of tax-effect accounting(%)

Statutory income tax rate
(Adjustments)
Increase (decrease) in allowance for valuation
Increase (decrease) from tax rate change
Deductible dividend amount
Other
Effective income tax rate after application oftax-effect accounting

36.59
-1.74
0.18
-35.06
0.03
0.01(thousand yen)

(Deferred tax assets)
Amount in excess of provision of allowancefor doubtful accounts
Valuation difference on amount received at merger
Deficit brought forward
Other
Subtotal
Allowance for valuation
Total deferred tax assets
Net deferred tax assets

4,658
11,405,326
1,483,134
79,255
12,972,374-12,974,374––

2. Breakdown of significant components that caused a difference
between statutory income tax rate and effective income tax rate after
application of tax-effect accounting(%)

Statutory income tax rate
(Adjustments)
Increase (decrease) in allowance for valuation
Deductible dividend amount
Other
Effective income tax rate after application oftax-effect accounting

34.16-23.30-10.86
0.01
0.01

44

V. Notes to Financial Statements

Notes on Fixed Assets Used Under Lease
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

1. Finance lease transactions (as lessee)
Finance lease transactions without ownership transfer tolessee(1) Leased property
Software – intangible fixed asset(2) Depreciation method of leased property
Calculated on a straight-line basis over the lease period as
the useful life, without residual value.
Of the finance lease transactions without ownershiptransfer to lessee, those with the lease transaction startdate falling on a date earlier than July 1, 2008 are subject toaccounting in accordance with the method adopted forordinary rental transactions. The details are as follows:

1. Finance lease transactions (as lessee)
Finance lease transactions without ownership transfer tolessee(1) Leased property
Software – intangible fixed asset(2) Depreciation method of leased property
Calculated on a straight-line basis over the lease period as
the useful life, without residual value.
Of the finance lease transactions without ownershiptransfer to lessee, those with the lease transaction startdate falling on a date earlier than July 1, 2008 are subject toaccounting in accordance with the method adopted forordinary rental transactions. The details are as follows:(As lessee)(1) Acquisition value equivalent, accumulated depreciationequivalent and period-end balance equivalent of the leased
properties(As lessee)(1) Acquisition value equivalent, accumulated depreciationequivalent and period-end balance equivalent of the leased
properties

Acquisition Accumulated Period-end
balancedepreciation
value
equivalentequivalentequivalentAcquisition Accumulated Period-end
balancedepreciation
value
equivalentequivalentequivalent(thousand yen)Tools, furnitureand fixtures intrust
Subtotal

6,974

4,964

2,009

6,974

4,964

2,009

Tools, furnitureand fixtures intrust
Subtotal

6,974

5,319

1,654

6,974

5,319

1,654

(Note) Acquisition value equivalent is calculated using theinclusive-of-interest method, as the period-end
balance of future lease payments payable accounts
for only a small proportion of the period-end
balance of property, plant and equipment.
(2) Period-end balance equivalent of future lease payments
PayableDue within 1 year
709 thousand yen
Due after 1 year
1,300 thousand yen
Total
2,010 thousand yen(Note) Acquisition value equivalent is calculated using theinclusive-of-interest method, as the period-end
balance of future lease payments payable accounts
for only a small proportion of the period-end
balance of property, plant and equipment.
(2) Period-end balance equivalent of future lease payments
PayableDue within 1 year
709 thousand yen
Due after 1 year
946 thousand yen
Total
1,655 thousand yen(3) Lease payments paid and depreciation equivalent
Lease payments paid
354 thousand yen
Depreciation equivalent
354 thousand yen(3) Lease payments paid and depreciation equivalent
Lease payments paid
354 thousand yen
Depreciation equivalent
354 thousand yen(4) Calculation method of depreciation equivalent
Calculated on a straight-line basis over the lease period as
the useful life, without residual value.

(4) Calculation method of depreciation equivalent
Calculated on a straight-line basis over the lease period as
the useful life, without residual value.

2. Operating lease transactions(As lessee)
Future lease payments payable
Due within 1 year
Due after 1 year
Total

706,812 thousand yen
14,692,017 thousand yen
15,398,829 thousand yen

Furthermore, estimated amounts are used for transactions inwhich the lease amount is not finalized.
(As lessor)
Future lease payments payable
Due within 1 year
4,365,492 thousand yen
Due after 1 year
8,838,258 thousand yen
Total
13,203,751 thousand yen

45(thousand yen)

2. Operating lease transactions(As lessee)
Future lease payments payable
Due within 1 year
Due after 1 year
Total

707,340 thousand yen
14,349,325 thousand yen
15,056,665 thousand yen

Furthermore, estimated amounts are used for transactions inwhich the lease amount is not finalized.
(As lessor)
Future lease payments payable
Due within 1 year
4,574,849 thousand yen
Due after 1 year
9,187,330 thousand yen
Total
13,762,179 thousand yen

Notes on Financial Instruments
8th Fiscal Period (from February 1, 2014 to July 31, 2014) (Reference)
1. Matters concerning status of financial instruments(1) Policy for financial instruments usage
In order to secure stable earnings and steady growth of assets under management, ADR procures funds through debt financing, issuance ofinvestment corporation bonds (including short-term investment corporation bonds; same for below), issuance of units and other means offinance upon such occasions as purchasing real estate properties and repaying debts.
ADR may use derivatives only for the purpose of hedging the risk of interest rate fluctuations and other risks arising from liabilities.
With regard to surplus funds, ADR will manage them as bank deposits, savings, negotiable deposits and Japanese Government Bonds as arule, in consideration of safety and stability.
(2) Description of financial instruments and associated risks, and risk management structure
Funds from debt financing and investment corporation bonds are used primarily to fund the acquisition of real estate properties, repay
existing debts or redeem existing investment corporation bonds. With regard to such funds, ADR is exposed to liquidity risks where it may
not be able to find alternative financing means upon repayment or redemption maturity. ADR manages the risks through monthly review of
payment schedules to monitor the cash positions, and limits the risks by securing cash reserves, spreading out the debt repayment and bondredemption dates, diversifying the lending financial institutions, signing term loan commitment agreements, and procuring funds throughvarious means including issuance of units.
In addition, ADR limits the risk of interest rate fluctuations to which debt financing and investment corporation bonds with floating interest
rates are exposed, by utilizing derivatives (interest-rate swap transactions).
Deposits are exposed to the risk of failure of the financial institutions holding the deposits and other credit risks. ADR limits the risks by
setting certain limits to the duration of deposits and a minimum credit rating for the financial institutions holding the deposits, and by
diversifying the financial institutions holding the deposits.
(3) Supplementary explanation on fair value of financial instruments
The fair value of financial instruments, aside from values based on market price, may include values based on reasonable calculations when
there is no market price. Certain assumptions are adopted in calculating those values, and there may be cases where the values will vary
when different assumptions are adopted. As for the contract value and other conditions of derivatives transactions, the value itself is not anindicator showing the market risks related to such transactions.
2. Fair values of financial instruments
The following are the book values recorded on the balance sheets, fair values and their difference as of July 31, 2014.
(thousand yen)Book value

Fair value

Difference(1) Cash and deposits

7,592,567

7,592,567–(2) Cash and deposits in trust

8,134,558

8,134,558–(3) Securities

8,000,000

8,000,000–(4) Current portion of investment corporation bonds(4,000,000)(4,016,400)

16,400(5) Current portion of long-term loans payable(19,448,195)(19,574,644)

126,449(6) Investment corporation bond

(33,500,000)(34,325,650)

825,650(7) Long-term loans payable(164,846,901)(167,604,802)

2,757,901–-1,926,145-1,926,145(8) Derivative transactions (Note 2)

Notes 1. Items that are charged to liabilities are shown in parentheses ( ).
2. Special provisions for interest rate swaps are applied to the amount of fair value based on the “Accounting Standard for Financial
Instruments” (issued by the Accounting Standards Board of Japan (ASBJ) on March 10, 2008; ASBJ Statement No. 10).
Accordingly, the fair value is not reflected to the balance sheets.
3. Calculation method for fair value of financial instruments(1) Cash and deposits; (2) Cash and deposits in trust
As these are settled within a short period of time, the fair value is approximately equal to book value and is thus stated at thatbook value.
(3) Securities
As these are negotiable deposits and settled within a short period of time, the fair value is approximately equal to book value
and is thus stated at that book value.
(4) Current portion of investment corporation bonds, (6) Investment corporation bonds
The fair value of these is calculated based on the reference value quoted by the Japan Securities Dealers Association.
However, when there is no reference value, the fair value of these is calculated based on the present value found by
discounting the sum total amount of principal and interest by the interest rate assumed as being applicable in the event ofdrawdown of a similar debt financing.
(5) Current portion of long-term loans payable; (7) Long-term loans payable
The fair value of these is calculated based on the present value found by discounting the sum total amount of principal andinterest by the interest rate assumed as being applicable in the event of drawdown of a similar debt financing.
(8) Derivative transactions(i) Transactions for which hedge accounting is not applied
Not applicable.

46

V. Notes to Financial Statements(thousand yen)(ii) Transactions for which hedge accounting is applied
The following is the contract amount or amount equivalent to the principal provided in the contract, etc. as of the closingof accounts for each method of hedge accounting.
Contract amount (*1)
Method of hedge
Type of derivative
Fair value (*2, 3)
Main hedged item
Of which,accounting
transaction
exceeding 1 year
Interest-rate swap
Special provisions for transaction
Long-term loans
160,225,488
153,925,488-1,926,145
interest-rate swaps
Payable fixed;
payableReceivable floating(*1) The contract amount is based on notional principal.
(*2) The fair value is based on the calculation conducted by the counterparty to the relevant transaction on the basis of thegoing rate of interest.
(*3) Special provisions for interest rate swaps are applied to the amount of fair value based on the “Accounting Standard for
Financial Instruments” (issued by the Accounting Standards Board of Japan (ASBJ) on March 10, 2008; ASBJ Statement
No. 10). Accordingly, the fair value is not reflected to the balance sheets.
4. Financial instruments for which discerning of fair value is recognized to be extremely difficult
Investment securities
TK property fund equity interests (carrying amount: 546,342 thousand yen) are not subject to disclosure of fair value because
discerning of fair value is recognized to be extremely difficult since there is no market price for them.
5. Amount of redemption of monetary claims and securities scheduled to be due after closing of accounts
Due within 1 year

Cash and deposits
Cash and deposits in trust
Securities
Total

7,592,567
8,134,558
8,000,000
23,727,125

Due after 1 year, Due after 2 years, Due after 3 years, Due after 4 years,
Due after 5 years
but within 2 years but within 3 years but within 4 years but within 5 years

–
–
–
–

–
–
–
–

–
–
–
–

–
–
–
–

–
–
–
–

6. Amount of repayment of investment corporation bonds, loans payable, and other interest-bearing loans scheduled to be due
after closing of accounts
Due within 1 year

Current portion of investment
corporation bonds
Current portion of long-termloans payable
Investment corporation bondLong-term loans payable
Total

Due after 1 year, Due after 2 years, Due after 3 years, Due after 4 years,
Due after 5 years
but within 2 years but within 3 years but within 4 years but within 5 years

4,000,000

–

–

–

–

–

19,448,195

–

–

–

–

–

–
–
23,448,195–
31,442,572
31,442,572

12,000,000
24,500,000
36,500,000

8,000,000
26,146,329
34,146,329

2,000,000
19,200,000
21,200,000

11,500,000
63,558,000
75,058,000

9th Fiscal Period (from August 1, 2014 to January 31, 2015)
1. Matters concerning status of financial instruments(1) Policy for financial instruments usage
In order to secure stable earnings and steady growth of assets under management, ADR procures funds through debt financing, issuance ofinvestment corporation bonds (including short-term investment corporation bonds; same for below), issuance of units and other means offinance upon such occasions as purchasing real estate properties and repaying debts.
ADR may use derivatives only for the purpose of hedging the risk of interest rate fluctuations and other risks arising from liabilities.
With regard to surplus funds, ADR will manage them as bank deposits, savings, negotiable deposits and Japanese Government Bonds as arule, in consideration of safety and stability.
(2) Description of financial instruments and associated risks, and risk management structure
Funds from debt financing and investment corporation bonds are used primarily to fund the acquisition of real estate properties, repay
existing debts or redeem existing investment corporation bonds. With regard to such funds, ADR is exposed to liquidity risks where it may
not be able to find alternative financing means upon repayment or redemption maturity. ADR manages the risks through monthly review of
payment schedules to monitor the cash positions, and limits the risks by securing cash reserves, spreading out the debt repayment and bondredemption dates, diversifying the lending financial institutions, signing term loan commitment agreements, and procuring funds throughvarious means including issuance of units.
In addition, ADR limits the risk of interest rate fluctuations to which debt financing and investment corporation bonds with floating interest
rates are exposed, by utilizing derivatives (interest-rate swap transactions).
Deposits are exposed to the risk of failure of the financial institutions holding the deposits and other credit risks. ADR limits the risks by
setting certain limits to the duration of deposits and a minimum credit rating for the financial institutions holding the deposits, and by
diversifying the financial institutions holding the deposits.
(3) Supplementary explanation on fair value of financial instruments
The fair value of financial instruments, aside from values based on market price, may include values based on reasonable calculations when
there is no market price. Certain assumptions are adopted in calculating those values, and there may be cases where the values will vary
when different assumptions are adopted. As for the contract value and other conditions of derivatives transactions, the value itself is not anindicator showing the market risks related to such transactions.

47

2. Fair values of financial instruments
The following are the book values recorded on the balance sheets, fair values and their difference as of January 31, 2015.
(thousand yen)Book value

Fair value

Difference(1) Cash and deposits

11,661,031

11,661,031–(2) Cash and deposits in trust

8,061,799

8,061,799–(3) Securities

5,850,000

5,850,000–(4) Current portion of investment corporation bonds(4,000,000)(4,005,600)

5,600(5) Current portion of long-term loans payable(14,318,311)(14,412,837)

94,526(6) Investment corporation bond

(33,500,000)(34,503,386)

1,003,386(7) Long-term loans payable(163,980,151)(166,989,956)

3,009,805–-2,163,669-2,163,669(8) Derivative transactions (Note 2)

Notes 1. Items that are charged to liabilities are shown in parentheses ( ).
2. Special provisions for interest rate swaps are applied to the amount of fair value based on the “Accounting Standard for Financial
Instruments” (issued by the Accounting Standards Board of Japan (ASBJ) on March 10, 2008; ASBJ Statement No. 10).
Accordingly, the fair value is not reflected to the balance sheets.
3. Calculation method for fair value of financial instruments(1) Cash and deposits; (2) Cash and deposits in trust
As these are settled within a short period of time, the fair value is approximately equal to book value and is thus stated at thatbook value.
(3) Securities
As these are negotiable deposits and settled within a short period of time, the fair value is approximately equal to book value
and is thus stated at that book value.
(4) Current portion of investment corporation bonds, (6) Investment corporation bonds
The fair value of these is calculated based on the reference value quoted by the Japan Securities Dealers Association.
However, when there is no reference value, the fair value of these is calculated based on the present value found by
discounting the sum total amount of principal and interest by the interest rate assumed as being applicable in the event ofdrawdown of a similar debt financing.
(5) Current portion of long-term loans payable; (7) Long-term loans payable
The fair value of these is calculated based on the present value found by discounting the sum total amount of principal andinterest by the interest rate assumed as being applicable in the event of drawdown of a similar debt financing.
(8) Derivative transactions(i) Transactions for which hedge accounting is not applied
Not applicable.
(ii) Transactions for which hedge accounting is applied
The following is the contract amount or amount equivalent to the principal provided in the contract, etc. as of the closingof accounts for each method of hedge accounting.
Method of hedge
accounting

Type of derivativetransaction

Main hedged item

Special provisions forinterest-rate swaps

Interest-rate swap
transaction
Payable fixed;
Receivable floating

Long-term loans
payableContract amount (*1)
Of which,exceeding 1 year
154,925,488

143,925,488

Fair value (*2, 3)-2,163,669(*1) The contract amount is based on notional principal.
(*2) The fair value is based on the calculation conducted by the counterparty to the relevant transaction on the basis of thegoing rate of interest.
(*3) Special provisions for interest rate swaps are applied to the amount of fair value based on the “Accounting Standard for
Financial Instruments” (issued by the Accounting Standards Board of Japan (ASBJ) on March 10, 2008; ASBJ Statement
No. 10). Accordingly, the fair value is not reflected to the balance sheets.
4. Financial instruments for which discerning of fair value is recognized to be extremely difficult
Investment securities
TK property fund equity interests (carrying amount: 236,921 thousand yen) are not subject to disclosure of fair value because
discerning of fair value is recognized to be extremely difficult since there is no market price for them.
5. Amount of redemption of monetary claims and securities scheduled to be due after closing of accounts
Due within 1 year

Cash and deposits
Cash and deposits in trust
Securities
Total

11,661,031
8,061,799
5,850,000
25,572,831

Due after 1 year, Due after 2 years, Due after 3 years, Due after 4 years,
Due after 5 years
but within 2 years but within 3 years but within 4 years but within 5 years

–
–
–
–

–
–
–
–

–
–
–
–

–
–
–
–

–
–
–
–

48

V. Notes to Financial Statements(thousand yen)

6. Amount of repayment of investment corporation bonds, loans payable, and other interest-bearing loans scheduled to be due
after closing of accounts
Due within 1 year

Current portion of investment
corporation bonds
Current portion of long-termloans payable
Investment corporation bondLong-term loans payable
Total

Due after 1 year, Due after 2 years, Due after 3 years, Due after 4 years,
Due after 5 years
but within 2 years but within 3 years but within 4 years but within 5 years

4,000,000

–

–

–

–

–

14,318,311

–

–

–

–

–

–
–
18,318,311

8,000,000
27,725,822
35,725,822

12,000,000
22,956,329
34,956,329

2,000,000
24,190,000
26,190,000

4,000,000
17,700,000
21,700,000

7,500,000
71,408,000
78,908,000

Notes on Value of Rental Properties
8th Fiscal Period (from February 1, 2014 to July 31, 2014) (Reference)
ADR mainly owns rental residential properties in Tokyo and other regions. The following are the book value, amount of change during the period
and fair value of these properties.
(thousand yen)

Balance at start of the 9th FP
393,430,346

Book value (Note 1)
Amount of change during theperiod (Note 2)
14,379,369

Balance at end of 9th FP
407,809,716

Period-end fair value (Note 3)
443,096,000

Notes 1. The book value is cost of acquisition less accumulated depreciation.
2. The amount of change during the period is mainly attributable to increase from the acquisition of 11 real estate beneficiaryinterests in trust (16,499,601 thousand yen); the decrease is mainly a result of posting of depreciation.
3. The period-end fair value is the appraisal or assessment value provided by an outside real estate appraiser.
For the 8th Fiscal Period operating income from property leasing, please refer to the aforementioned “Notes to Statements of Income.”
9th Fiscal Period (from August 1, 2014 to January 31, 2015)
ADR mainly owns rental residential properties in Tokyo and other regions. The following are the book value, amount of change during the period
and fair value of these properties.
(thousand yen)

Balance at start of the 9th FP
407,809,716

Book value (Note 1)
Amount of change during theperiod (Note 2)-6,512,031

Balance at end of 9th FP
401,297,684

Period-end fair value (Note 3)
457,329,000

Notes 1. The book value is cost of acquisition less accumulated depreciation.
2. The amount of change during the period is mainly attributable to increases from the acquisition of four real estate properties(2,517,753 thousand yen) and the acquisition of 21 real estate beneficiary interests in trust (21,248,127 thousand yen); anddecreases as a result of disposition of one real estate property (6,791,368 thousand yen), disposition of five real estate beneficiaryinterests in trust (21,453,817 thousand yen), and posting of depreciation.
3. The period-end fair value is the appraisal or assessment value provided by an outside real estate appraiser.
For the 9th Fiscal Period operating income from property leasing, please refer to the aforementioned “Notes to Statements of Income.”

49Notes on Transactions with Related Parties
8th Fiscal Period (from February 1, 2014 to July 31, 2014) (Reference)

Classification

Business
Name of related party description or
occupation

Interested
parties

ITOCHU Urban
Community Ltd.

Asset
custodian

Sumitomo Mitsui
Trust Bank Limited

Share of units
Nature of transaction
held in ADR

Real estateleasingbusiness
Bankingbusiness andtrust business––Transaction
amount(thousand yen)

Expenses forbuilding
management (Note 1)
Borrowing(repayment) offunds (Note 2)

738,408

Account

Period-end
balance(thousand yen)

Operatingaccounts
payable55,221

4,980,000 Long-term(4,191,097) loans payable

28,152,286

Transaction terms and conditions, and policy on determining transaction terms and conditions
Note 1. Transaction terms and conditions are negotiated and decided based on market price.
2. Interest rates on borrowings are reasonably determined based on market interest rates.
9th Fiscal Period (from August 1, 2014 to January 31, 2015)

Classification

Business
Name of related party description or
occupation

Interested
parties

ITOCHU Urban
Community Ltd.

Real estateleasingbusinessAssetcustodian

Sumitomo Mitsui
Trust Bank Limited

Bankingbusiness andtrust business

Share of units
Nature of transaction
held in ADR

Transaction
amount(thousand yen)–

Expenses forbuilding
management (Note 1)

701,716–

Borrowing(repayment) offunds (Note 2)

7,193,000(6,800,000)

Account

Period-end
balance(thousand yen)

Operatingaccounts
payableCurrent portionof long-termloans payable
Long-termloans payable

60,5181,000,000
27,545,286

Transaction terms and conditions, and policy on determining transaction terms and conditions
Note 1. Transaction terms and conditions are negotiated and decided based on market price.
2. Interest rates on borrowings are reasonably determined based on market interest rates.

Notes on Per Unit Information
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014
Net assets per unit

159,813 yen

Net income per unit

4,526 yen

The net income per unit was calculated by dividing net income by
the day-weighted average number of units issued and outstanding
for the fiscal period.
The diluted net income per unit was not stated as there are no
diluted units since no warrants and convertible bonds were
outstanding.

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015
Net assets per unit

160,290 yen

Net income per unit

5,070 yen

The net income per unit was calculated by dividing net income by
the day-weighted average number of units issued and outstanding
for the fiscal period.
The diluted net income per unit was not stated as there are no
diluted units since no warrants and convertible bonds were
outstanding.

(Note) The following numbers were used to calculate the earnings per unit.
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014
Net income (thousand yen)

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

5,880,040

6,591,081––

Net income attributable to common unit (thousand yen)

5,880,040

6,591,081

Average number of units during the period (units)

1,299,083

1,300,000

Amount not attributable to common unit-holders (thousand yen)

Significant Subsequent Events
9th Fiscal Period (from August 1, 2014 to January 31, 2015)
Not applicable.

50VI. Statements of Cash Distributions(yen)

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014
I. Unappropriated retained earnings

5,880,040,999

6,591,081,560

II. Reversal of reserve for dividends

90,859,001

77,918,440

5,970,900,000

6,669,000,000(Amount of dividends per unit)(4,593)(5,130)

IV. Retained earnings carried forward

00

Method of calculation of amount ofdividends

In accordance with the distribution policy
provided in Article 32, Item 1 of ADR’s Articles
of Incorporation, we shall deliver dividends inexcess of an amount equivalent to 90% of theamount of ADR’s earnings available fordividends as stipulated in Article 67-15 of the
Act on Special Measures Concerning Taxation.
In addition, ADR may use reserve for dividends
in order to make stable dividend payouts into
the future, and shall investigate an increase individends in accordance with the performance
when it has achieved good operating results.
Based on the policy above, ADR decided on
dividends of earnings totaling 5,970,900,000 yen
for the 9th Fiscal Period, which was arrived at byadding reversal of reserve for dividends of
90,859,001 yen to the unappropriated retained
earnings of 5,880,040,999 yen.
Furthermore, ADR does not distribute cash inexcess of earnings, as provided in Article 32,
Item 2 of its Articles of Incorporation.

In accordance with the distribution policy
provided in Article 32, Item 1 of ADR’s Articles
of Incorporation, we shall deliver dividends inexcess of an amount equivalent to 90% of theamount of ADR’s earnings available fordividends as stipulated in Article 67-15 of the
Act on Special Measures Concerning Taxation.
In addition, ADR may use reserve for dividends
in order to make stable dividend payouts into
the future, and shall investigate an increase individends in accordance with the performance
when it has achieved good operating results.
Based on the policy above, ADR decided on
dividends of earnings totaling 6,669,000,000
yen for the 9th Fiscal Period, which was arrived
at by adding reversal of reserve for dividends of
77,918,440 yen to the unappropriated retained
earnings of 6,591,081,560 yen.
Furthermore, ADR does not distribute cash inexcess of earnings, as provided in Article 32,
Item 2 of its Articles of Incorporation.

III. Amount of dividends

R-53 RESIDIA Higashi-Sakura II

51

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

VII. Independent Auditor’s Report

This is a copy of the independent auditor’s report issued originally for the Japanese statutory report, presenting the opinion that it presents fairly,
in all material respects, the financial position and the results of operations for the period for which it was prepared.

Disclaimer

This financial report is an English translation of a Japanese financial report originally made available in Japan in accordance with the Act on Investment Trusts and Investment
Corporations of Japan. This English-language financial report has been prepared solely for the convenience of readers outside Japan and is not intended to constitute a
document for an offer to sell, or seeking an offer to buy, any securities of Advance Residence Investment Corporation.
English terms for Japanese legal, accounting, tax and business concepts used herein may not be precisely identical to the concept of the equivalent Japanese terms. With
respect to any and all terms herein, including without limitation, financial statements, if there exist any discrepancies in the meaning or interpretation thereof between theoriginal Japanese documents and English translation contained herein, the original Japanese documents will always govern the meaning and interpretation.
Although every effort is made to provide accurate translation, neither Advance Residence Investment Corporation, AD Investment Management Co., Ltd. nor any of theirrespective directors, officers, employees, partners, unit-holders, agents, affiliates nor their advisors shall be responsible or liable for the completeness, appropriateness, or
accuracy of English translations or the selection of the portion(s) of any document(s) translated into English.
The financial statements of Advance Residence Investment Corporation have been prepared in accordance with generally accepted accounting principles in Japan (JapaneseGAAP), which may materially differ in certain respects from the generally accepted accounting principles of other jurisdictions.
This fiscal report contains forward-looking statements. These statements appear in a number of places in this fiscal report and include statements regarding the intent,
belief, or current and future expectations of Advance Residence Investment Corporation or AD Investment Management Co., Ltd. with respect to its business, financial
condition and results of operations. In some cases, you can identify forward-looking statements by terms such as “may,” “will,” “should,” “would,” “expect,” “plan,”“anticipate,” “believe,” ”estimate,” “predict,” “potential,” or the negative of these terms or other similar terminology. These statements are not guarantees of future
performance and are subject to various risks and uncertainties. Actual results, performance or achievements, or those of the industries in which we operate, may differ
materially from any future results, performance or achievements expressed or implied by these forward‐looking statements. In addition, these forward-looking statements
are necessarily dependent upon assumptions, estimates and data that may be incorrect or imprecise and involve known and unknown risks and uncertainties. Accordingly,
readers of this document should not interpret the forward-looking statements included herein as predictions or representations of future events or circumstances.
Potential risks and uncertainties also include those identified and discussed in this document. Given these risks and uncertainties, readers of this document are cautioned not toplace undue reliance on forward‐looking statements, which are only valid as of the date of the information published herein. We disclaim any obligation to update or, except in
the limited circumstances required by the Tokyo Stock Exchange, announce publicly any revisions to any of the forward-looking statements contained in these documents.

52

VIII. (Reference Information) Statements of Cash Flows(thousand yen)

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014
Net cash provided by (used in) operating activities
Income before income taxes
Depreciation and amortization
Amortization of investment unit issuance expenses
Amortization of investment corporation bond issuance costs
Other offering costs associated with the issuance of investment units
Increase (decrease) in allowance for doubtful accounts
Interest income
Interest expenses
Interest expenses on investment corporation bonds
Decrease (increase) in operating accounts receivable
Decrease (increase) in prepaid expenses
Increase (decrease) in accrued consumption taxes
Increase (decrease) in operating accounts payable
Increase (decrease) in accounts payable–other
Increase (decrease) in accrued expenses
Increase (decrease) in advances received
Loss on sales of property, plant and equipment
Loss on sales of property, plant and equipment in trust
Decrease (increase) in long-term prepaid expenses
Other
SubtotalInterest income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Net cash provided by (used in) investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of securities
Proceeds from sales of securities
Purchase of property, plant and equipment
Purchase of property, plant and equipment in trust
Proceeds from tenant leasehold and security deposits, net
Proceeds from tenant leasehold and security deposits in trust, net
Proceeds from reimbursement of investment securities
Repayments of long-term deposits received
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Increase in short-term loans payable
Decrease in short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds from issuance of investment corporation bonds
Payments for investment corporation bond issuance costs
Proceeds from issuance of investment units
Payments for investment unit issuance expenses
Other offering costs associated with the issuance of investment units
Repayments of finance lease obligations
Dividends paid
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*1

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

5,880,645
2,457,120
5,684
18,047
11,587
13,079-13,462
1,145,316
204,167
7,994-118,460-22,127
4,264
98,402-19,712
12,229––-140,705
1,901
9,545,973
6,911-1,345,693-9,442
8,197,748

6,591,686
2,519,663
5,684
18,325–-15,911-12,061
1,150,730
215,017-6,85583,545395,048
1,980
304,481
19,67332,247
6,791,368
21,453,817-61,618-293,198
39,193,625
7,554-1,376,038
3,947
37,829,088-4,001,500
5,000,000-8,000,000–-62,725-16,784,737
3,164
166,278
478,436-4,300-23,205,384-7,000,000
4,001,500-3,000,000
8,000,000-2,609,195-21,631,111-17,565-62,538
305,502–-22,013,408

3,850,000-6,410,000
20,880,000-17,134,499
2,500,000-16,713
12,379,680-8,158-17,679-2,721-5,723,884
10,296,023-4,711,612
16,437,238
11,725,625

20,500,000-20,500,000
13,850,000-19,846,634
–
–
–
–
–
-2,721-5,969,119-11,968,474
3,847,205
11,725,625
15,572,831*1

(Note) The Statements of Cash Flows has been prepared based on the “Regulations Concerning Terminology, Forms, and Preparation Methods of Financial Statements” (Ministry of
Finance Regulation No.59, 1963), and is attached as reference information. The Statements of Cash Flows has not been audited by the independent auditor, as it is not subject toaudit by an independent auditor under the provisions of Article 130 of the Act on Investment Trusts and Investment Corporations.

53

Notes on Matters Concerning Significant Accounting Policies

Scope of funds in Statements of CashFlows

8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

The funds (cash and cash equivalents) in theStatements of Cash Flows consist of cash on
hand and cash in trust; deposits that can bewithdrawn at any time and deposits in trust;and short-term investments with a maturityof 3 months or less from the date ofacquisition, which are readily convertible tocash and bear only an insignificant risk ofprice fluctuation.

The funds (cash and cash equivalents) in theStatements of Cash Flows consist of cash on
hand and cash in trust; deposits that can bewithdrawn at any time and deposits in trust;and short-term investments with a maturityof 3 months or less from the date ofacquisition, which are readily convertible tocash and bear only an insignificant risk ofprice fluctuation.

Notes to Statements of Cash Flows
8th Fiscal Period (Reference)
From: Feb. 1, 2014
To: Jul. 31, 2014

9th Fiscal Period
From: Aug. 1, 2014
To: Jan. 31, 2015

*1 Relationship between the cash and cash equivalents at end of
period in the Statements of Cash Flows and the amounts of thecorresponding accounts on the Balance Sheets*1 Relationship between the cash and cash equivalents at end of
period in the Statements of Cash Flows and the amounts of thecorresponding accounts on the Balance Sheets(thousand yen)

Cash and deposits
Cash and deposits in trust
Time deposits with holding
period over 3 months
Securities held no longer than
3 months
Cash and cash equivalents

7,592,567
8,134,558-4,001,500–
11,725,625(thousand yen)

Cash and deposits
Cash and deposits in trust
Time deposits with holding
period over 3 months
Securities held no longer than
3 months
Cash and cash equivalents

11,661,031
8,061,799-7,000,000
2,850,000
15,572,831

C-49 RESIDIA Suginami-Honancho

54

Portfolio Map
66
69

Itabashi-ku

68

67

Adachi-ku
28

Nerima-ku

70
74

60

6

50

Kita-ku
18

3

96 72
37

76
84

Shinjuku

69

49
23 90

32

10

99

13
34
68

Setagaya-ku
88

4

7

56

79
31
92

93
47

9

104
41

49
98
58 48 53

63

50

101
51
81
36
25 29
89 3 61
97 26 70
39
91
75

24

67

2

55

45

59

79
105
23

7 43

5

48 75
1 39 4224 12 45
17

9

61

15

Edogawa-ku

Kinshicho
34

82 83
22 27
10 Chuo-ku 57
54
31
76

80

Sumida-ku

Ueno

63

71

Koto-ku
51

33

47

Minato-ku 73

MeguroMeguro-ku

40
30
65 60
66
62

41

73

Tokyo

Shibuya

85

58
26
21
4 8 37 52

Chiyoda-ku

Shibuya-ku
19

16

52

15

Katsushika-ku
55

Taito-ku

53

Bunkyo-ku

6287

21 102
22 16

33

19

Suginami-ku

29 46 35

36
40

Shinjuku-ku 42

56
77

Arakawa-ku

Ikebukuro

Toshima-ku
Nakano-ku

72

65

43

86
95
100 Shinagawa

74

14
106
103 38
94

35

Shinagawa-ku

64
78

81
59

44
38

25

64

Kamata

P-2
P-3
P-4
P-7
P-9
P-10
P-13
P-14
P-15
P-16
P-19
P-21
P-22
P-23
P-24
P-25
P-26
P-29
P-30
P-31
P-32
P-33
P-34
P-35
P-36
P-37

55

RESIDIA Shimazuyama
RESIDIA Nakameguro
RESIDIA Setagaya-Tsurumaki
RESIDIA Ikejiriohashi
RESIDIA Kudanshita
RESIDIA Hatagaya
RESIDIA Sakurajosui
RESIDIA Kita-Shinagawa
RESIDIA Yoyoginomori
RESIDIA Shinjuku East III
Leopalace Udagawacho Mansion
RESIDIA Shinjuku East II
RESIDIA Shinjuku EastRESIDIA Kanda-Iwamotocho
RESIDIA Azabujuban II
RESIDIA Ebisu
RESIDIA Meguro
RESIDIA Hiroo II
Pianetta Shiodome
RESIDIA Komazawadaigaku
RESIDIA Yoyogi
RESIDIA Nishi-Shinjuku
RESIDIA Kyodo
RESIDIA Oimachi
RESIDIA Ebisu II
RESIDIA Kamiochiai

P-38
P-39
P-40
P-41
P-42
P-43
P-45
P-47
P-48
P-49
P-50
P-51
P-52
P-53
P-55
P-56
P-58
P-59
P-60
P-61
P-62
P-63
P-64
P-65
P-66
P-67

: Tokyo Central 7 Wards
C : Tokyo 23 Wards
P

13

RESIDIA Higashi-Shinagawa
RESIDIA Meguro II
RESIDIA Toranomon
RESIDIA Shin-Ochanomizu
RESIDIA Kagurazaka
RESIDIA Oimachi II
RESIDIA Jiyugaoka
RESIDIA Suidobashi
RESIDIA TOWER Nogizaka
RESIDIA Akasaka
RESIDIA Nishi-Azabu
RESIDIA Daikanyama
RESIDIA Ichigaya
RESIDIA Roppongi-Hinokichokoen
RESIDIA TOWER Meguro-Fudomae
RESIDIA Sangenjaya
RESIDIA Minami-Aoyama
RESIDIA Kanda-Higashi
RESIDIA Higashi-Azabu
RESIDIA Ebisu-Minami
RESIDIA TOWER Azabujuban
RESIDIA Shibuya
RESIDIA Nakanobu
RESIDIA Azabudai
RESIDIA Shibadaimon II
RESIDIA Kanda

P-68
P-69
P-70
P-72
P-73
P-74
P-75
P-76
P-79
P-81
P-84
P-85
P-86
P-87
P-88
P-89
P-90
P-91
P-92
P-93
P-94
P-95
P-96
P-97
P-98

2
32

Ota-kuRESIDIA Sangenjaya II
RESIDIA Nishi-Shinjuku II
RESIDIA Hiroo-Minami
RESIDIA Mejiro-Otomeyama
RESIDIA Shibaura
RESIDIA Gotenyama
RESIDIA Yutenji
Park Tower Shibaura Bayward
Urban Wing
RESIDIA Kamimeguro
Windsor House Hiroo
RESIDIA Kita-Shinjuku
RESIDIA Komazawa
RESIDIA Shibaura KAIGANRESIDIA Ichigaya-Yakuoji
RESIDIA Yoga
RESIDIA TOWER Nakameguro
RESIDIA Sasazuka II
RESIDIA Meguro III
RESIDIA Jiyugaoka II
RESIDIA Kudanshita II
RESIDIA Omori II
RESIDIA Shirokane-Takanawa
RESIDIA Nakaochiai
RESIDIA Nakameguro II
Artis Court Minamiaoyama

P-99
P-100
P-101
P-102
P-103
P-104
P-105
P-106
C-1
C-2
C-3
C-4
C-5
C-6
C-7
C-8
C-9
C-10
C-12
C-13
C-15
C-16
C-17
C-18
C-19
C-21

RESIDIA Yotsuya Sanchome
RESIDIA Takanawa Katsurazaka
RESIDIA Ebisu III
RESIDIA Shinjuku Gyoen
RESIDIA Minami Shinagawa
Chester Court Ochanomizu
RESIDIA Kanda-Iwamotocho II
RESIDIA Shinagawa
RESIDIA Mitsukoshimae
RESIDIA Kamata
RESIDIA Ikebukuro
RESIDIA Bunkyo-Hongo
RESIDIA Asakusabashi
Maison Eclairee Ekoda
RESIDIA Ueno-Okachimachi
RESIDIA Bunkyo-Hongo II
RESIDIA Ryogoku
RESIDIA Higashi-Ginza
RESIDIA Nihonbashi-Ningyocho II
RESIDIA Omori-Higashi
RESIDIA Kinshicho
RESIDIA Negishi
RESIDIA Shinkawa
RESIDIA Kami-Ikebukuro
RESIDIA Shin-nakano
RESIDIA Bunkyo-Yushima II

C-22
C-23
C-24
C-25
C-26
C-27
C-28
C-29
C-31
C-32
C-33
C-34
C-35
C-36
C-37
C-38
C-39
C-40
C-41
C-42
C-43
C-44
C-45
C-46
C-47
C-48

RESIDIA Tsukiji
RESIDIA Sasazuka
RESIDIA Kyobashi
RESIDIA Tamagawa
RESIDIA Korakuen
RESIDIA Ginza-Higashi
RESIDIA Oji
RESIDIA Mejiro II
RESIDIA Tsukishima
RESIDIA Kamata II
RESIDIA Tsukishima II
RESIDIA Kinshicho II
RESIDIA Bunkyo-Otowa
RESIDIA Bunkyo-Sengoku
RESIDIA Bunkyo-Yushima
RESIDIA Ikegami
RESIDIA Nihonbashi-Ningyocho
RESIDIA Bunkyo-Sengoku II
RESIDIA Iriya
RESIDIA Nihonbashi-Hamacho
RESIDIA Shin-Okachimachi
RESIDIA Chidoricho
RESIDIA Shinkawa II
RESIDIA Mejiro
RESIDIA Kasai
RESIDIA Nihonbashi-Bakurocho

S: Major Regional Cities

R: Tokyo Metropolitan Area

Kita-ku

Saitama

SapporoKashiwa

JRA Sapporo Yanaga Hokkaido
Racecourse Museum

2

Kawaguchi

11

Chiba

4

Nishi-ku

Higashi-Matsudo

Tachikawa

19

12

17
25

7

26

Hachioji

21

27

24

Sendai Sen

Musashikosugi
16

30

22

29

Shin-Yokohama

Kanagawa

Yokohama

28

37

Aoba-ku

20
31

zan

ine
ine n Lin L nse
a
M
ka
ku
hin
ho
To
uS
k
ho 57
To

54

62

SendaiTohokuUniversity

14

Lin
e

56

38

Aobayama Park

32

52
13

Sendai City
Athletic Stadium

Wakabayashi-ku

Taihaku-ku

20

Nagoya

8

C-75
C-76
C-77
C-78
C-79
C-80
C-81
C-82
C-83
S-2
S-4
S-5
S-7
S-11
S-12
S-14
S-15
S-16
S-17
S-19
S-20
S-21
S-22
S-23
S-24

RESIDIA Higashi Nihonbashi
RESIDIA Nakano
RESIDIA Ogikubo II
RESIDIA Minami Yukigaya
RESIDIA Akihabara
RESIDIA Asakusa-Azumabashi
RESIDIA Omori III
RESIDIA Nihonbashi-Bakurocho II
RESIDIA Nihonbashi-Bakurocho III
Chester House Kawaguchi
RESIDIA Higashi-Matsudo
RESIDIA Shin-Yokohama
RESIDIA Chofu
Tokyo Student-House WAKORESIDIA Kokubunji
RESIDIA Yokohama-Kannai
RESIDIA Okurayama
RESIDIA Musashikosugi
RESIDIA Funabashi I&II
RESIDIA Kichijoji
Pacific Royal Court
Minato Mirai Ocean Tower
Maison YachiyodaiLife & Senior House Kohoku II
College Court Tanashi
RESIDIA Urayasu

S-25
S-26
S-27
S-28
S-29
S-30
S-31
S-32
R-2
R-4
R-5
R-6
R-8
R-10
R-11
R-12
R-13
R-14
R-15
R-16
R-17
R-19
R-20
R-21
R-24
R-25

46

11
39 14
40 35

Osaka M Ka

RESIDIA Minami-Gyotoku
RESIDIA Urayasu II
RESIDIA Gyotoku
RESIDIA Kawasaki
Cocofump Hiyoshi
RESIDIA Sagamihara
RESIDIA Yokohama-Bashamichi
RESIDIA Hon-Atsugi
RESIDIA Imadegawa
RESIDIA Higashi-Sakura
RESIDIA Kameyama
RESIDIA Ryokuchikoen
RESIDIA Kobe Port Island
RESIDIA Hakata
RESIDIA Tenjinbashi
RESIDIA Sannomiya-Higashi
KC21 Building
RESIDIA Utsubokoen
RESIDIA Kyoto-Ekimae
RESIDIA Takaoka
RESIDIA Hibino
RESIDIA Tenjin-Minami
RESIDIA Hakataeki-Minami
Mare
RESIDIA Minami-Ichijo
RESIDIA Odori-Nishi

Higashi-ku

453

Kameyama

ain ns
Linai
e

R-26
R-27
R-29
R-30
R-31
R-32
R-34
R-35
R-36
R-37
R-38
R-39
R-40
R-41
R-42
R-43
R-44
R-45
R-46
R-47
R-48
R-49
R-50
R-51
R-52
R-53

Naka-ku 43

70
16

ine

Okayama

51

L
Main

44

i
nsa e
Ka in Lin
a
M

aido

Kobe 55 12 Tokaido Main Line

6
41
59

21 30
36

International
Hotel Nagoya

Tok

Mt. Maya

achi
Katam
Line

RESIDIA Suginami-Honancho
RESIDIA Shin-Itabashi
RESIDIA Kiba
RESIDIA Bunkyo-Yushima III
RESIDIA Bunkyo-Honkomagome
RESIDIA Tsukishima III
RESIDIA Minamisenjyu
RESIDIA Ogikubo
RESIDIA Monzennakacho
RESIDIA Ochanomizu
RESIDIA Omori
RESIDIA Nakamurabashi
RESIDIA Kachidoki
RESIDIA Bunkyo-Otowa II
RESIDIA Kinshicho III
RESIDIA Kamata III
RESIDIA TOWER Kami-Ikebukuro
RESIDIA Takashima-DairaRESIDIA Shimura-Sakaue
RESIDIA Shimura-Sakaue II
RESIDIA Shimura-Sakaue III
RESIDIA Ikebukuro WestRESIDIA Ojima
RESIDIA Machiya
RESIDIA Ueno-Ikenohata
RESIDIA Nerimaeyo
San sen Lin
kan
Shin

Mt. Rokko

64

60

C-49
C-50
C-51
C-52
C-53
C-54
C-55
C-56
C-57
C-58
C-59
C-60
C-61
C-62
C-63
C-64
C-65
C-66
C-67
C-68
C-69
C-70
C-71
C-72
C-73
C-74

47

27 32

e

10

Nagoya Castle

Kyoto

68 Hakata-ku

a
im e
sh in
go in L
Ka Ma

Fukuoka City
Botanical Garden

HakataNagoya Dome

50 61
49 15

ine
Nara L67

Mt. Myoken

Nagoya2

Lin

Sanin Main Line

HakataWard Oﬃce

19

29

Mt. KenpioTokaidsen Line
an
Shink

Chuo-ku 69

Osaka

M
ain

Prefectural
Government
Oﬃce

Ch
uo

e
o Lin
ny sen
a
S an
k
in
Sh

Fukuoka Fukuoka

42

Kawasaki
15

5

SawarakukodChuo-ku

Kichijyoji

66

Shiroishi-ku
ate
Ma
in L
ine

Ha

48 26
31 Clock Tower
63 45
34 25 24 58

23

Tokyo

Sapporo65

5

Tsu City

RESIDIA Kita-Sanjo
RESIDIA Shirakabe-Higashi
RESIDIA Uzumasa
RESIDIA Izumi
RESIDIA Maruyama Kita-Gojo
RESIDIA Tokugawa
RESIDIA Odori-Koen
RESIDIA Tanimachi
RESIDIA Hisaya-Oodori
RESIDIA Sendai-Miyamachi
RESIDIA Hirosedori
RESIDIA Edobori
RESIDIA Kyomachibori
RESIDIA Esaka
RESIDIA Nishijin
RESIDIA Tsurumai
RESIDIA Kobe-Isogami
RESIDIA Kita-Nijyo EastRESIDIA Shinsaibashi WestRESIDIA Marunouchi
RESIDIA Sapporo-Ekimae
RESIDIA Gosho-Higashi
RESIDIA Rakuhoku
RESIDIA Miyakojima I&II
RESIDIA TOWER Sendai
RESIDIA Higashi-Sakura II

17
R-54
R-55
R-56
R-57
R-58
R-59
R-60
R-61
R-62
R-63
R-64
R-65
R-66
R-67
R-68
R-69
R-70

RESIDIA Tsutsujigaoka
RESIDIA Kobe-Motomachi
RESIDIA Sendai-Honcho
RESIDIA Sendai-Haranomachi
RESIDIA Minami-Ichijo EastRESIDIA Shin-Osaka
RESIDIA Okayama-Ekimae
RESIDIA Kyoto Okazaki
RESIDIA Sendai-Ichibancho
RESIDIA Kita-Nijyo East II
RESIDIA Takamiya
RESIDIA Soen
RESIDIA Tenjin
RESIDIA Yakuin-O-dori
RESIDIA Hakata II
RESIDIA KegoRESIDIA Shirakabe… Properties slated for acquisition in
FP ending July 2015 (10th FP)

56

Portfolio List
As of January 31, 2015

Tokyo Central 7 Wards

Investment Property
regionno.

57

Name of property

Location

Construction
completion date

Leasable
floor area(m2)

Number ofleasable units

AcquisitionPrice(million yen)

Investment
ratio

PML

P-2

RESIDIA Shimazuyama

Shinagawa-ku, Tokyo

December 2004

3,474.37

115

2,860

0.70%

4.3%

P-3

RESIDIA Nakameguro

Meguro-ku, Tokyo

February 2005

1,694.18

88

1,730

0.42%

2.6%

P-4

RESIDIA Setagaya-Tsurumaki

Setagaya-ku, Tokyo

March 2002

1,769.67

28

1,229

0.30%

7.3%

P-7

RESIDIA Ikejiriohashi

Setagaya-ku, Tokyo

August 2005

1,423.38

42

1,230

0.30%

3.1%

P-9

RESIDIA Kudanshita

Chiyoda-ku, Tokyo

March 2004

2,845.89

86

2,270

0.55%

2.9%

P-10

RESIDIA Hatagaya

Shibuya-ku, Tokyo

February 2006

1,129.72

35

1,130

0.28%

7.3%

P-13

RESIDIA Sakurajosui

Setagaya-ku, Tokyo

July 2006

1,201.37

39

1,120

0.27%

7.0%

P-14

RESIDIA Kita-Shinagawa

Shinagawa-ku, Tokyo

February 2007

2,897.99

120

2,720

0.66%

4.3%

P-15

RESIDIA Yoyoginomori

Shibuya-ku, Tokyo

March 2007

723.10

22

732

0.18%

4.4%

P-16

RESIDIA Shinjuku East III

Shinjuku-ku, Tokyo

February 2009

818.74

39

750

0.18%

4.3%

P-19

Leopalace Udagawacho Mansion

Shibuya-ku, Tokyo

August 2001

623.80

30

588

0.14%

8.2%

P-21

RESIDIA Shinjuku East II

Shinjuku-ku, Tokyo

February 2004

1,743.06

54

1,380

0.34%

4.8%

P-22

RESIDIA Shinjuku East

Shinjuku-ku, Tokyo

August 2000

1,219.08

48

941

0.23%

5.3%

P-23

RESIDIA Kanda-Iwamotocho

Chiyoda-ku, Tokyo

February 2004

2,354.20

65

1,520

0.37%

4.1%

P-24

RESIDIA Azabujuban II

Minato-ku, Tokyo

February 2001

1,018.71

37

874

0.21%

3.1%

P-25

RESIDIA Ebisu

Shibuya-ku, Tokyo

January 2001

653.04

26

554

0.13%

3.0%

P-26

RESIDIA Meguro

Shinagawa-ku, Tokyo

October 1999

701.01

20

722

0.18%

6.2%

P-29

RESIDIA Hiroo II

Shibuya-ku, Tokyo

November 2005

1,733.63

76

1,660

0.40%

2.9%

P-30

Pianetta Shiodome

Minato-ku, Tokyo

February 2005

2,274.19

67

1,950

0.47%

5.3%

P-31

RESIDIA Komazawadaigaku

Setagaya-ku, Tokyo

October 2004

488.51

18

333

0.08%

8.5%

P-32

RESIDIA Yoyogi

Shibuya-ku, Tokyo

February 2005

464.64

16

326

0.08%

11.0%

P-33

RESIDIA Nishi-Shinjuku

Shinjuku-ku, Tokyo

February 2005

478.57

19

363

0.09%

9.9%

P-34

RESIDIA Kyodo

Setagaya-ku, Tokyo

February 2005

509.66

15

286

0.07%

10.6%

P-35

RESIDIA Oimachi

Shinagawa-ku, Tokyo

December 2005

1,249.56

48

947

0.23%

4.3%

P-36

RESIDIA Ebisu II

Shibuya-ku, Tokyo

January 2006

2,194.56

61

2,280

0.56%

3.4%

P-37

RESIDIA Kamiochiai

Shinjuku-ku, Tokyo

September 2006

1,740.50

70

1,180

0.29%

4.8%

P-38

RESIDIA Higashi-Shinagawa

Shinagawa-ku, Tokyo

August 2006

2,588.01

122

2,040

0.50%

4.0%

P-39

RESIDIA Meguro II

Meguro-ku, Tokyo

January 2006

1,448.84

34

1,190

0.29%

6.5%

P-40

RESIDIA Toranomon

Minato-ku, Tokyo

September 2006

1,353.41

63

1,320

0.32%

3.3%

P-41

RESIDIA Shin-Ochanomizu

Chiyoda-ku, Tokyo

March 2006

1,422.45

52

1,160

0.28%

2.8%

P-42

RESIDIA Kagurazaka

Shinjuku-ku, Tokyo

August 2006

1,182.34

52

918

0.22%

2.1%

P-43

RESIDIA Oimachi II

Shinagawa-ku, Tokyo

July 2007

1,321.76

40

1,050

0.26%

4.8%

P-45

RESIDIA Jiyugaoka

Meguro-ku, Tokyo

March 2002

1,435.93

28

1,050

0.26%

7.3%

P-47

RESIDIA Suidobashi

Chiyoda-ku, Tokyo

December 2004

3,039.14

65

2,310

0.56%

2.3%

P-48

RESIDIA TOWER Nogizaka

Minato-ku, Tokyo

August 2004

3,485.00

68

3,660

0.89%

3.5%

P-49

RESIDIA Akasaka

Minato-ku, Tokyo

May 2004

1,352.02

37

1,180

0.29%

8.3%

P-50

RESIDIA Nishi-Azabu

Minato-ku, Tokyo

July 2004

7,078.64

125

6,780

1.65%

2.8%

P-51

RESIDIA Daikanyama

Shibuya-ku, Tokyo

July 2004

2,067.08

42

2,150

0.52%

4.0%

P-52

RESIDIA Ichigaya

Shinjuku-ku, Tokyo

August 2004

3,003.34

85

2,500

0.61%

3.6%

P-53

RESIDIA Roppongi-Hinokichokoen

Minato-ku, Tokyo

September 1999

4,803.29

88

3,570

0.87%

6.8%

P-55

RESIDIA TOWER Meguro-Fudomae

Shinagawa-ku, Tokyo

January 2007

21,019.77

358

16,500

4.02%

1.8%

P-56

RESIDIA Sangenjaya

Setagaya-ku, Tokyo

January 2005

2,847.19

78

2,760

0.67%

2.7%

P-58

RESIDIA Minami-Aoyama

Minato-ku, Tokyo

March 2005

782.33

13

728

0.18%

2.0%

P-59

RESIDIA Kanda-Higashi

Chiyoda-ku, Tokyo

October 2003

2,544.25

64

1,620

0.39%

3.4%

P-60

RESIDIA Higashi-Azabu

Minato-ku, Tokyo

April 2006

1,582.54

31

1,430

0.35%

3.2%

P-61

RESIDIA Ebisu-Minami

Shibuya-ku, Tokyo

March 2007

2,023.88

39

2,020

0.49%

7.1%

P-62

RESIDIA TOWER Azabujuban

Minato-ku, Tokyo

January 2003

7,207.18

113

6,190

1.51%

0.7%

P-63

RESIDIA Shibuya

Shibuya-ku, Tokyo

June 2006

1,285.42

40

1,250

0.30%

3.5%

P-64

RESIDIA Nakanobu

Shinagawa-ku, Tokyo

November 2005

2,855.06

65

1,880

0.46%

3.4%

P-65

RESIDIA Azabudai

Minato-ku, Tokyo

February 2006

1,732.06

47

1,610

0.39%

4.6%

P-66

RESIDIA Shibadaimon II

Minato-ku, Tokyo

August 2006

2,023.20

48

1,740

0.42%

3.3%

P-67

RESIDIA Kanda

Chiyoda-ku, Tokyo

June 2006

1,534.57

43

1,140

0.28%

4.9%

P-68

RESIDIA Sangenjaya II

Setagaya-ku, Tokyo

March 2006

1,933.54

34

1,280

0.31%

4.4%

P-69

RESIDIA Nishi-Shinjuku II

Shinjuku-ku, Tokyo

May 2007

2,478.31

74

1,830

0.45%

10.9%

P-70

RESIDIA Hiroo-Minami

Shibuya-ku, Tokyo

August 2007

1,035.75

26

923

0.22%

2.8%

P-72

RESIDIA Mejiro-Otomeyama

Shinjuku-ku, Tokyo

December 2002

1,679.94

19

974

0.24%

4.9%

P-73

RESIDIA Shibaura

Minato-ku, Tokyo

September 1991

8,508.36

154

4,670

1.14%

2.8%

P-74

RESIDIA Gotenyama

Shinagawa-ku, Tokyo

January 2007

1,228.15

16

930

0.23%

7.9%

P-75

RESIDIA Yutenji

Meguro-ku, Tokyo

August 2006

5,423.36

118

5,260

1.28%

7.8%

P-76

Park Tower Shibaura Bayward Urban Wing

Minato-ku, Tokyo

May 2005

13,490.67

191

9,570

2.33%

3.6%

P-79

RESIDIA Kamimeguro

Meguro-ku, Tokyo

January 1993

1,473.68

16

878

0.21%

7.7%

P-81

Windsor House Hiroo

Shibuya-ku, Tokyo

June 2003

2,172.91

12

1,750

0.43%

4.8%

P-84

RESIDIA Kita-Shinjuku

Shinjuku-ku, Tokyo

February 1997

2,173.62

26

1,460

0.36%

8.8%

P-85

RESIDIA Komazawa

Setagaya-ku, Tokyo

October 2008

1,182.47

59

870

0.21%

10.0%

P-86

RESIDIA Shibaura KAIGAN

Minato-ku, Tokyo

January 2010

3,898.10

72

2,400

0.58%

4.4%

P-87

RESIDIA Ichigaya-Yakuoji

Shinjuku-ku, Tokyo

August 2008

2,169.57

98

2,070

0.50%

3.0%

P-88

RESIDIA Yoga

Setagaya-ku, Tokyo

June 2008

1,996.81

66

1,523

0.37%

10.3%

P-89

RESIDIA TOWER Nakameguro

Meguro-ku, Tokyo

March 2007

3,989.13

70

3,300

0.80%

2.4%

As of January 31, 2015

Tokyo 23 Wards

Tokyo Central 7 Wards

Investment Property
regionno.

Name of property

Location

Construction
completion date

Leasable
floor area(m2)

Number ofleasable units

AcquisitionPrice(million yen)

Investment
ratio

PML

P-90

RESIDIA Sasazuka II

Shibuya-ku, Tokyo

January 2011

4,548.96

167

3,760

0.92%

4.2%

P-91

RESIDIA Meguro III

Meguro-ku, Tokyo

January 2010

1,206.38

31

950

0.23%

2.6%

P-92

RESIDIA Jiyugaoka II

Setagaya-ku, Tokyo

October 2007

1,127.78

17

778

0.19%

5.4%

P-93

RESIDIA Kudanshita II

Chiyoda-ku, Tokyo

January 2012

1,612.65

48

1,240

0.30%

2.6%

P-94

RESIDIA Omori II

Shinagawa-ku, Tokyo

March 2012

2,171.74

90

1,620

0.39%

2.2%

P-95

RESIDIA Shirokane-Takanawa

Minato-ku, Tokyo

March 2012

1,888.07

53

1,480

0.36%

6.7%

P-96

RESIDIA Nakaochiai

Shinjuku-ku, Tokyo

March 2008

5,529.19

187

3,656

0.89%

(Building A)
2.9%(Building B)
2.9%(Building C)
3.0%

P-97

RESIDIA Nakameguro II

Meguro-ku, Tokyo

August 2006

1,259.45

50

1,119

0.27%

2.7%

P-98

Artis Court Minamiaoyama

Minato-ku, Tokyo

July 2008

1,717.68

23

1,720

0.42%

3.9%

P-99

RESIDIA Yotsuya Sanchome

Shinjuku-ku, Tokyo

May 2009

2,915.94

90

2,090

0.51%

3.8%

P-100

RESIDIA Takanawa Katsurazaka

Minato-ku, Tokyo

March 2006

1,037.58

45

900

0.22%

5.4%

P-101

RESIDIA Ebisu III

Shibuya-ku, Tokyo

March 2006

644.36

26

611

0.15%

3.3%

P-102

RESIDIA Shinjuku Gyoen

Shinjuku-ku, Tokyo

October 2006

844.76

38

687

0.17%

5.2%

C-1

RESIDIA Mitsukoshimae

Chuo-ku, Tokyo

February 2005

2,552.07

105

1,920

0.47%

3.3%

C-2

RESIDIA Kamata

Ota-ku, Tokyo

March 2005

4,110.54

166

2,640

0.64%

4.7%

C-3

RESIDIA Ikebukuro

Toshima-ku, Tokyo

March 2005

2,207.63

60

1,520

0.37%

7.1%

C-4

RESIDIA Bunkyo-Hongo

Bunkyo-ku, Tokyo

July 2005

2,165.35

65

1,680

0.41%

4.6%

C-5

RESIDIA Asakusabashi

Taito-ku, Tokyo

August 2005

1,816.14

47

1,060

0.26%

2.9%

C-6

Maison Eclairee Ekoda

Nerima-ku, Tokyo

March 1993

1,591.71

93

953

0.23%

9.2%

C-7

RESIDIA Ueno-Okachimachi

Taito-ku, Tokyo

February 2006

4,009.27

127

3,160

0.77%

2.1%

C-8

RESIDIA Bunkyo-Hongo II

Bunkyo-ku, Tokyo

January 2006

1,960.40

70

1,623

0.40%

3.6%

C-9

RESIDIA Ryogoku

Sumida-ku, Tokyo

February 2006

1,378.84

48

913

0.22%

9.1%

C-10

RESIDIA Higashi-Ginza

Chuo-ku, Tokyo

September 2006

4,871.02

169

5,251

1.28%

4.3%

C-12

RESIDIA Nihonbashi-Ningyocho II

Chuo-ku, Tokyo

January 2007

3,541.09

137

3,180

0.77%

4.6%

C-13

RESIDIA Omori-Higashi

Ota-ku, Tokyo

August 2007

1,928.71

81

1,980

0.48%

3.8%

C-15

RESIDIA Kinshicho

Sumida-ku, Tokyo

November 2007

4,326.80

157

4,200

1.02%

7.2%

C-16

RESIDIA Negishi

Taito-ku, Tokyo

December 2005

1,571.54

28

856

0.21%

7.7%

C-17

RESIDIA Shinkawa

Chuo-ku, Tokyo

February 2003

2,764.70

83

1,880

0.46%

5.3%

C-18

RESIDIA Kami-Ikebukuro

Toshima-ku, Tokyo

December 2001

979.04

44

558

0.14%

6.4%

C-19

RESIDIA Shin-nakano

Nakano-ku, Tokyo

June 2002

615.28

24

352

0.09%

3.8%

C-21

RESIDIA Bunkyo-Yushima II

Bunkyo-ku, Tokyo

March 2004

1,368.01

63

1,010

0.25%

5.3%

C-22

RESIDIA Tsukiji

Chuo-ku, Tokyo

December 2005

2,043.00

54

1,460

0.36%

3.4%

C-23

RESIDIA Sasazuka

Suginami-ku, Tokyo

March 2000

2,855.98

96

1,800

0.44%

6.9%

C-24

RESIDIA Kyobashi

Chuo-ku, Tokyo

January 2005

1,440.11

52

1,220

0.30%

3.4%

C-25

RESIDIA Tamagawa

Ota-ku, Tokyo

September 2004

2,137.41

98

1,300

0.32%

5.9%

C-26

RESIDIA Korakuen

Bunkyo-ku, Tokyo

October 2004

770.11

31

603

0.15%

3.5%

C-27

RESIDIA Ginza-Higashi

Chuo-ku, Tokyo

September 2004

2,824.17

94

2,000

0.49%

4.0%

C-28

RESIDIA Oji

Kita-ku, Tokyo

February 2005

1,659.09

61

867

0.21%

3.2%

C-29

RESIDIA Mejiro II

Toshima-ku, Tokyo

July 2005

1,450.16

63

1,050

0.26%

2.3%

C-31

RESIDIA Tsukishima

Chuo-ku, Tokyo

February 2006

1,694.38

40

1,100

0.27%

6.8%

C-32

RESIDIA Kamata II

Ota-ku, Tokyo

September 2006

1,929.24

78

1,360

0.33%

4.0%

C-33

RESIDIA Tsukishima II

Chuo-ku, Tokyo

September 2006

3,074.47

105

2,440

0.59%

3.8%

C-34

RESIDIA Kinshicho II

Sumida-ku, Tokyo

January 2008

3,394.21

99

2,380

0.58%

4.7%

C-35

RESIDIA Bunkyo-Otowa

Bunkyo-ku, Tokyo

August 2003

5,970.11

104

3,380

0.82%

4.7%

C-36

RESIDIA Bunkyo-Sengoku

Bunkyo-ku, Tokyo

February 2003

1,104.50

33

707

0.17%

5.0%

C-37

RESIDIA Bunkyo-Yushima

Bunkyo-ku, Tokyo

February 2003

1,623.62

39

1,050

0.26%

6.9%

C-38

RESIDIA Ikegami

Ota-ku, Tokyo

July 2003

764.84

19

378

0.09%

8.5%

C-39

RESIDIA Nihonbashi-Ningyocho

Chuo-ku, Tokyo

March 2004

848.24

25

557

0.14%

5.6%

C-40

RESIDIA Bunkyo-Sengoku II

Bunkyo-ku, Tokyo

April 2005

2,117.47

45

1,440

0.35%

4.1%

C-41

RESIDIA Iriya

Taito-ku, Tokyo

December 2004

1,826.54

49

990

0.24%

5.4%

C-42

RESIDIA Nihonbashi-Hamacho

Chuo-ku, Tokyo

August 2006

1,915.92

45

1,310

0.32%

4.5%

C-43

RESIDIA Shin-Okachimachi

Taito-ku, Tokyo

March 2007

2,531.81

69

1,860

0.45%

3.0%

C-44

RESIDIA Chidoricho

Ota-ku, Tokyo

September 2006

2,105.15

60

1,290

0.31%

5.0%

C-45

RESIDIA Shinkawa II

Chuo-ku, Tokyo

February 2003

2,119.34

36

1,320

0.32%

3.9%

C-46

RESIDIA Mejiro

Toshima-ku, Tokyo

January 1999

13,069.70

162

6,280

1.53%

2.6%

C-47

RESIDIA Kasai

Edogawa-ku, Tokyo

January 2000

2,177.89

29

683

0.17%

7.0%

C-48

RESIDIA Nihonbashi-Bakurocho

Chuo-ku, Tokyo

February 2007

8,502.12

132

5,500

1.34%

2.4%

C-49

RESIDIA Suginami-Honancho

Suginami-ku, Tokyo

February 2009

6,953.96

194

3,834

0.93%

4.3%

C-50

RESIDIA Shin-Itabashi

Itabashi-ku, Tokyo

August 2009

1,413.22

67

888

0.22%

8.6%

C-51

RESIDIA Kiba

Koto-ku, Tokyo

March 2008

3,255.00

155

1,950

0.47%

7.2%

C-52

RESIDIA Bunkyo-Yushima III

Bunkyo-ku, Tokyo

December 2008

1,296.27

52

1,129

0.28%

4.4%

C-53

RESIDIA Bunkyo-Honkomagome

Bunkyo-ku, Tokyo

March 2008

3,488.24

98

2,340

0.57%

3.5%

C-54

RESIDIA Tsukishima III

Chuo-ku, Tokyo

February 2008

3,152.45

119

2,570

0.63%

4.0%

C-55

RESIDIA Minamisenjyu

Arakawa-ku, Tokyo

March 2007

10,097.88

175

2,580

0.63%

5.3%

58

Portfolio List
As of January 31, 2015

Major Regional Cities

Tokyo Metropolitan Area

Tokyo 23 Wards

Investment Property
regionno.

59

Name of property

Location

Construction
completion date

Leasable
floor area(m2)

Number ofleasable units

AcquisitionPrice(million yen)

Investment
ratio

PML

C-56

RESIDIA Ogikubo

Suginami-ku, Tokyo

March 2003

2,830.20

101

1,710

0.42%

4.5%

C-57

RESIDIA Monzennakacho

Koto-ku, Tokyo

February 2005

1,458.45

68

970

0.24%

7.6%

C-58

RESIDIA Ochanomizu

Bunkyo-ku, Tokyo

September 2005

3,164.96

80

2,090

0.51%

4.2%

C-59

RESIDIA Omori

Ota-ku, Tokyo

March 2006

1,528.00

75

1,150

0.28%

1.8%

C-60

RESIDIA Nakamurabashi

Nerima-ku, Tokyo

February 2008

1,501.41

66

1,075

0.26%

4.5%

C-61

RESIDIA Kachidoki

Chuo-ku, Tokyo

February 2008

2,750.82

55

1,805

0.44%

4.9%

C-62

RESIDIA Bunkyo-Otowa II

Bunkyo-ku, Tokyo

February 2008

3,063.83

89

2,268

0.55%

4.0%

C-63

RESIDIA Kinshicho III

Koto-ku, Tokyo

February 2005

1,072.75

51

651

0.16%

9.6%

C-64

RESIDIA Kamata III

Ota-ku, Tokyo

March 2007

1,404.35

53

948

0.23%

3.5%

(Tower Bldg.)
2.9%(Park Bldg.)
2.01%
5.4%
(Annex Bldg.)
5.7%

C-65

RESIDIA TOWER Kami-Ikebukuro

Toshima-ku, Tokyo

March 2009

31,250.61

472

8,250

C-66

RESIDIA Takashima-Daira

Itabashi-ku, Tokyo

February 2007

977.96

45

502

0.12%

4.8%

C-67

RESIDIA Shimura-Sakaue

Itabashi-ku, Tokyo

February 2007

995.37

44

580

0.14%

3.4%

C-68

RESIDIA Shimura-Sakaue II

Itabashi-ku, Tokyo

March 2007

2,066.19

94

1,093

0.27%

5.6%

C-69

RESIDIA Shimura-Sakaue III

Itabashi-ku, Tokyo

March 2007

796.76

36

411

0.10%

5.4%

C-70

RESIDIA Ikebukuro West

Toshima-ku, Tokyo

October 2007

1,996.47

72

1,115

0.27%

3.0%

C-71

RESIDIA Ojima

Koto-ku, Tokyo

November 2007

1,824.39

87

1,282

0.31%

6.1%

C-72

RESIDIA Machiya

Arakawa-ku, Tokyo

August 2009

2,640.34

55

1,168

0.28%

3.2%

C-73

RESIDIA Ueno-Ikenohata

Taito-ku, Tokyo

February 2004

2,426.47

71

1,700

0.41%

3.8%

C-74

RESIDIA Nerima

Nerima-ku, Tokyo

March 2005

1,073.44

34

502

0.12%

3.9%

C-75

RESIDIA Higashi Nihonbashi

Chuo-ku, Tokyo

April 2006

631.56

22

378

0.09%

5.8%

C-76

RESIDIA Nakano

Nakano-ku, Tokyo

November 2006

825.84

30

652

0.16%

4.1%

C-77

RESIDIA Ogikubo II

Suginami-ku, Tokyo

March 2007

735.10

36

460

0.11%

5.1%

C-78

RESIDIA Minami Yukigaya

Ota-ku, Tokyo

March 2008

2,031.36

58

1,299

0.32%

4.4%

S-2

Chester House Kawaguchi

Kawaguchi-shi, Saitama

March 1991

2,023.11

39

770

0.19%

5.5%

S-4

RESIDIA Higashi-Matsudo

Matsudo-shi, Chiba

April 2007

3,431.44

44

1,100

0.27%

4.6%

S-5

RESIDIA Shin-Yokohama

Yokohama-shi, Kanagawa

January 2007

3,277.62

131

1,920

0.47%

5.6%

S-7

RESIDIA Chofu

Chofu-shi, Tokyo

March 2007

1,750.49

41

1,143

0.28%

5.0%

S-11

Tokyo Student-House WAKO

Wako-shi, Saitama

April 1990

1,684.02

127

675

0.16%

10.2%

S-12

RESIDIA Kokubunji

Kokubunji-shi, Tokyo

February 2003

879.44

33

518

0.13%

2.9%

S-14

RESIDIA Yokohama-Kannai

Yokohama-shi, Kanagawa

August 2004

2,359.60

102

1,700

0.41%

8.4%

S-15

RESIDIA Okurayama

Yokohama-shi, Kanagawa

March 1998

1,334.56

64

755

0.18%

5.3%

S-16

RESIDIA Musashikosugi

Kawasaki-shi, Kanagawa

February 2007

2,560.40

68

1,580

0.38%

7.2%
(I) 3.6%

S-17

RESIDIA Funabashi I&II

Funabashi-shi, Chiba

March 2007

4,567.44

172

2,730

0.66%

S-19

RESIDIA Kichijoji

Musashino-shi, Tokyo

March 1995

2,214.73

48

1,380

0.34%

9.1%

S-20

Pacific Royal Court Minato Mirai Ocean Tower

Yokohama-shi, Kanagawa

November 2007

26,082.53

416

14,000

3.41%

4.5%

S-21

Maison Yachiyodai

Yachiyo-shi, Chiba

August 1989

3,506.54

39

882

0.21%

5.4%

S-22

Life & Senior House Kohoku II

Yokohama-shi, Kanagawa

October 2003

5,433.40

78

1,670

0.41%

6.4%

S-23

College Court Tanashi

Nishi-Tokyo-shi, Tokyo

February 2010

1,136.09

91

810

0.20%

7.7%

S-24

RESIDIA Urayasu

Urayasu-shi, Chiba

September 2009

3,692.76

146

2,115

0.52%

6.7%

S-25

RESIDIA Minami-Gyotoku

Ichikawa-shi, Chiba

February 2005

1,785.00

85

823

0.20%

6.6%

S-26

RESIDIA Urayasu II

Urayasu-shi, Chiba

February 2005

1,554.00

74

802

0.20%

7.5%

S-27

RESIDIA Gyotoku

Ichikawa-shi, Chiba

February 2005

1,569.74

75

761

0.19%

6.1%

S-28

RESIDIA Kawasaki

Kawasaki-shi, Kanagawa

March 2007

2,644.73

104

1,670

0.41%

4.7%

S-29

Cocofump Hiyoshi

Yokohama-shi, Kanagawa

January 2010

5,247.90

85

1,050

0.26%

7.5%

S-30

RESIDIA Sagamihara

Sagamihara-shi, Kanagawa

March 2005

2,913.01

111

1,050

0.26%

6.8%

S-31

RESIDIA Yokohama-Bashamichi

Yokohama-shi, Kanagawa

May 2004

1,884.81

27

735

0.18%

11.5%

(II) 3.4%

S-32

RESIDIA Hon-Atsugi

Atsugi-shi, Kanagawa

January 2008

1,215.90

49

606

0.15%

11.0%

R-2

RESIDIA Imadegawa

Kyoto-shi, Kyoto

February 1999

3,714.11

154

1,671

0.41%

10.9%

R-4

RESIDIA Higashi-Sakura

Nagoya-shi, Aichi

February 2006

3,084.03

91

1,290

0.31%

3.4%

R-5

RESIDIA Kameyama

Kameyama-shi, Mie

February 2007

6,065.11

182

1,610

0.39%

4.2%

R-6

RESIDIA Ryokuchikoen

Toyonaka-shi, OsakaMay 2007

2,391.35

44

979

0.24%

R-8

RESIDIA Kobe Port Island

Kobe-shi, Hyogo

September 2007

9,708.00

404

3,740

0.91%

R-10

RESIDIA Hakata

Fukuoka-shi, Fukuoka

March 2002

3,955.24

155

1,220

0.30%

5.7%
(South Bldg.;
Centre Bldg.)
6.8%(North Bldg.)
6.7%
3.4%

R-11

RESIDIA Tenjinbashi

Osaka-shi, Osaka

February 2000

2,113.91

78

871

0.21%

8.3%

R-12

RESIDIA Sannomiya-Higashi

Kobe-shi, Hyogo

November 2005

5,698.03

161

2,220

0.54%

3.2%

R-13

KC21 Building

Sendai-shi, Miyagi

March 1997

2,716.11

79

900

0.22%

2.4%

R-14

RESIDIA Utsubokoen

Osaka-shi, Osaka

January 2006

2,741.46

94

1,170

0.28%

6.6%

R-15

RESIDIA Kyoto-Ekimae

Kyoto-shi, Kyoto

February 2006

4,010.85

116

1,970

0.48%

9.9%

R-16

RESIDIA Takaoka

Nagoya-shi, Aichi

August 2007

5,944.56

198

2,330

0.57%

3.5%

R-17

RESIDIA Hibino

Nagoya-shi, Aichi

April 1992

7,598.40

124

1,340

0.33%

3.9%

R-19

RESIDIA Tenjin-Minami

Fukuoka-shi, Fukuoka

January 2004

3,179.96

56

936

0.23%

4.9%

As of January 31, 2015

Major Regional Cities

Investment Property
regionno.

Name of property

Location

Construction
completion date

Leasable
floor area(m2)

Number ofleasable units

AcquisitionPrice(million yen)

Investment
ratio

PML

R-20

RESIDIA Hakataeki-Minami

Fukuoka-shi, Fukuoka

January 2003

1,606.29

39

324

0.08%

2.7%

R-21

Mare

Nagoya-shi, Aichi

February 2005

1,930.70

38

685

0.17%

5.0%

R-24

RESIDIA Minami-Ichijo

Sapporo-shi, Hokkaido

December 2006

5,928.51

179

1,640

0.40%

0.9%

R-25

RESIDIA Odori-Nishi

Sapporo-shi, Hokkaido

December 2006

4,512.24

103

1,320

0.32%

1.1%

R-26

RESIDIA Kita-Sanjo

Sapporo-shi, Hokkaido

January 2007

3,867.60

100

1,130

0.28%

1.4%

R-27

RESIDIA Shirakabe-Higashi

Nagoya-shi, Aichi

May 2005

2,709.97

33

831

0.20%

4.1%

R-29

RESIDIA Uzumasa

Kyoto-shi, Kyoto

January 2000

3,201.93

48

701

0.17%

13.5%

R-30

RESIDIA Izumi

Nagoya-shi, Aichi

November 2005

9,715.22

122

3,700

0.90%

3.1%

R-31

RESIDIA Maruyama Kita-Gojo

Sapporo-shi, Hokkaido

February 2007

3,920.00

56

1,050

0.26%

1.2%

R-32

RESIDIA Tokugawa

Nagoya-shi, Aichi

December 2006

2,282.49

27

751

0.18%

3.9%

R-34

RESIDIA Odori-Koen

Sapporo-shi, Hokkaido

August 2007

6,230.49

109

2,010

0.49%

0.9%

R-35

RESIDIA Tanimachi

Osaka-shi, Osaka

August 2008

2,655.18

108

1,100

0.27%

7.5%

R-36

RESIDIA Hisaya-Oodori

Nagoya-shi, Aichi

February 2007

1,684.19

57

652

0.16%

4.8%

R-37

RESIDIA Sendai-Miyamachi

Sendai-shi, Miyagi

January 2008

2,005.48

67

529

0.13%

2.5%

R-38

RESIDIA Hirosedori

Sendai-shi, Miyagi

February 2010

1,564.29

63

494

0.12%

2.8%

R-39

RESIDIA Edobori

Osaka-shi, Osaka

February 2007

3,369.51

127

1,400

0.34%

8.7%

R-40

RESIDIA Kyomachibori

Osaka-shi, Osaka

March 2007

2,398.90

84

1,000

0.24%

7.8%

R-41

RESIDIA Esaka

Suita-shi, Osaka

July 2007

2,177.04

68

989

0.24%

4.8%

R-42

RESIDIA Nishijin

Fukuoka-shi, Fukuoka

January 2008

7,282.78

173

2,380

0.58%

2.6%

R-43

RESIDIA Tsurumai

Nagoya-shi, Aichi

February 2008

3,116.98

122

1,206

0.29%

3.6%

R-44

RESIDIA Kobe-Isogami

Kobe-shi, Hyogo

March 2008

6,714.74

196

2,740

0.67%

3.6%

R-45

RESIDIA Kita-Nijyo East

Sapporo-shi, Hokkaido

March 2006

3,808.98

56

894

0.22%

1.1%

R-46

RESIDIA Shinsaibashi West

Osaka-shi, Osaka

February 2007

4,243.06

97

1,921

0.47%

9.1%

R-47

RESIDIA Marunouchi

Nagoya-shi, Aichi

January 2007

2,349.52

86

972

0.24%

2.8%

R-48

RESIDIA Sapporo-Ekimae

Sapporo-shi, Hokkaido

February 2007

6,088.03

168

1,483

0.36%

0.7%

R-49

RESIDIA Gosho-Higashi

Kyoto-shi, Kyoto

September 2007

2,601.26

57

1,227

0.30%

8.9%

R-50

RESIDIA Rakuhoku

Kyoto-shi, Kyoto

March 2008

2,101.83

75

874

0.21%

12.4%

R-51

RESIDIA Miyakojima I&II

Osaka-shi, Osaka

September 2006

12,724.11

178

3,232

0.79%

7.1%

R-52

RESIDIA TOWER Sendai

Sendai-shi, Miyagi

January 2008

5,088.45

67

1,705

0.42%

2.3%

R-53

RESIDIA Higashi-Sakura II

Nagoya-shi, Aichi

February 2006

8,467.67

127

2,862

0.70%

3.1%

168

1,796

0.44%

(EAST)
2.6%(WEST)
2.7%

2,373.77

85

1,052

0.26%

5.8%

3,143.80

105

1,117

0.27%

2.3%

September 2007

2,111.76

72

593

0.14%

2.1%

Sapporo-shi, Hokkaido

January 2008

4,063.96

85

1,062

0.26%

1.1%

RESIDIA Shin-Osaka

Osaka-shi, Osaka

February 2014

5,300.36

208

2,644

0.64%

6.2%

R-60

RESIDIA Okayama-Ekimae

Okayama-shi, Okayama

March 2004

3,063.96

108

772

0.19%

1.7%

R-61

RESIDIA Kyoto Okazaki

Kyoto-shi, Kyoto

March 2005

621.98

23

227

0.06%

14.1%

R-62

RESIDIA Sendai-Ichibancho

Sendai-shi, Miyagi

March 2006

3,184.61

103

1,083

0.26%

2.4%

R-63

RESIDIA Kita-Nijyo East II

Sapporo-shi, Hokkaido

February 2007

2,296.58

51

538

0.13%

1.2%

R-64

RESIDIA Takamiya

Fukuoka-shi, Fukuoka

February 2007

1,556.02

51

488

0.12%

6.1%

R-65

RESIDIA Soen

Sapporo-shi, Hokkaido

February 2007

1,944.70

60

384

0.09%

1.4%

R-66

RESIDIA Tenjin

Fukuoka-shi, Fukuoka

May 2007

3,175.04

88

1,122

0.27%

3.4%

R-67

RESIDIA Yakuin-O-dori

Fukuoka-shi, Fukuoka

June 2007

3,221.40

91

1,123

0.27%

4.5%

R-68

RESIDIA Hakata II

Fukuoka-shi, Fukuoka

September 2007

3,592.60

124

1,358

0.33%

1.8%

R-69

RESIDIA Kego

Fukuoka-shi, Fukuoka

January 2008

2,293.82

86

834

0.20%

2.3%

R-70

RESIDIA Shirakabe

Nagoya-shi, Aichi

March 2008

2,449.20

70

907

0.22%

4.4%

19,572

410,535

100.00%

2.4%

Number ofleasable units

AcquisitionPrice(million yen)

R-54

RESIDIA Tsutsujigaoka

Sendai-shi, Miyagi

November 2006

5,415.90

R-55

RESIDIA Kobe-Motomachi

Kobe-shi, Hyogo

January 2007

R-56

RESIDIA Sendai-Honcho

Sendai-shi, Miyagi

June 2007

R-57

RESIDIA Sendai-Haranomachi

Sendai-shi, Miyagi

R-58

RESIDIA Minami-Ichijo East

R-59

Total
Properties slated for acquisition in FP ending July 2015 (10th FP)

Tokyo 23
Wards

Tokyo
Central 7
Wards

Investment Property
regionno.

Name of property

Location

Construction
completion date

Leasable
floor area
(m2)

P-103

RESIDIA Minami Shinagawa

Shinagawa-ku, Tokyo

October 2013

1,515.01

50

1,177

P-104

Chester Court Ochanomizu

Chiyoda-ku, Tokyo

March 2007

3,756.36

118

3,117

P-105

RESIDIA Kanda-Iwamotocho II

Chiyoda-ku, Tokyo

April 2007

1,841.16

48

1,280

P-106

RESIDIA Shinagawa

Shinagawa-ku, Tokyo

June 2007

1,224.18

36

980

C-79

RESIDIA Akihabara

Taito-ku, Tokyo

April 2007

1,415.80

40

977

C-80

RESIDIA Asakusa-Azumabashi

Sumida-ku, Tokyo

September 2007

1,323.50

60

876

C-81

RESIDIA Omori III

Ota-ku, Tokyo

December 2012

1,586.48

65

1,395

C-82

RESIDIA Nihonbashi-Bakurocho II

Chuo-ku, Tokyo

April 2014

2,412.99

77

1,975

C-83

RESIDIA Nihonbashi-Bakurocho III

Chuo-ku, Tokyo

March 2008

2,735.04

55

1,833

549

13,610Total

Notes 1. In the “Investment region” column, “Tokyo Central 7 Wards” indicates the Minato, Chiyoda, Shibuya, Shinjuku, Meguro, Setagaya and Shinagawa wards of Tokyo; “Tokyo 23 Wards”
indicates the Tokyo 23 wards other than the Tokyo Central 7 Wards; “Tokyo Metropolitan Area” indicates Tokyo (excluding the Tokyo 23 wards) and Kanagawa, Saitama and Chiba
prefectures; and “Major Regional Cities” indicates cabinet order-designated and similar cities excluding cities in the Tokyo Metropolitan Area.
2.	In the “Construction completion date” column, if there are multiple buildings in a property where the completion dates differ, the listed completion date is calculated by averaging eachbuilding’s completion date weighted by the respective building’s total floor space.
3. In the “Acquisition price” column, monetary amounts are rounded down to the nearest million yen. Accordingly, the sum total of the itemized figures does not necessarily add up to the“Total” amount entered in the foregoing table.

60

Asset Management Company Profile
AD Investment Management Co., Ltd.
Hitotsubashi SI Building 9F, 3-26 Kanda Nishiki-cho, Chiyoda-ku, Tokyo*
Executive Director

President

Kenji Kousaka

Executive Director

Takeshi Takano

Managing Director

Junichi Shoji

Director

Tomoyuki Kimura

Director

Hiroshi Kawakami

Director (non-executive)

Yoshinori Komoto

Director (non-executive)

Kouji Fukaki

Director (non-executive)

Masatoshi Maki

Statutory Auditor

Hiromasa Yamamoto

Statutory Auditor (non-executive) Kaori Iwasawa* The company will move to a new location in June 2015. The address following the relocation is as follows.
Jinbocho Mitsui Building 17F, 1-105 Jinbocho, Chiyoda-ku, Tokyo

Description ofbusiness
Company history

Investment management businessFeb. 2, 2005
Established as Japan Residential Management Co., Ltd.
Apr. 9, 2005

Obtained building lots and buildings transaction business license (Tokyo Governor License (3) No. 84325)

May 17, 2005

Changed trade name to AD Investment Management Co., Ltd.
Obtained discretionary transaction agent and other approval under Building Lots and Buildings Transaction BusinessAct (Minister of Land, Infrastructure, Transport and Tourism Approval No. 37)
Obtained investment trust settlor business approval under Act on Investment Trusts and Investment Corporations(Prime Minister Approval No. 49)
Registered as financial instruments business operator (Director-General of Kanto Local Finance Bureau (Kinsho)
Registration No. 309)

June 23, 2005
Sep. 8, 2005
Sep. 30, 2007
Mar. 1, 2010

Merged with Pacific Residential Corporation in absorption-type merger

Aug. 5, 2013

Registered as first-class authorized architect office (Tokyo Metropolitan Registration No. 58856)

Shareholder
composition

Name

No. of Shares

Voting Rights (%)

ITOCHU Corporation

4,080

66.0

ITOCHU Property Development, Ltd.

1,200

19.4

Aozora Bank, Ltd.

180

2.9

Mizuho Trust & Banking Co., Ltd.

180

2.9

Sumitomo Mitsui Banking Corporation

180

2.9

Sumitomo Mitsui Trust Bank Limited

180

2.9

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

180

2.9

6,180

100.0

Total

(Note) “% share” in the table above is the shareholding (number of shares held) as a percentage of total number of shares issued
and outstanding.

61

Investor Information
Unit-holder Composition
As of January 31, 2015

1st FP

50.3%(ended January 2011)

2nd FP

7.5%

53.3%

(ended July 2011)

3rd FP

7.0%

49.6%

(ended January 2012)

4th FP
5th FP

6th FP(ended July 2013)

62.8%

8th FP

65.1%(ended July 2014)

9th FP0%

No. of unit-holders(share)

12.0%

18.3%
5.0%

50%

13.4%

19.6%

5.5%

25%

(share)

16.2%

23.2%
5.6%

Japanese Financial Institutions Other Japanese(including Securities Companies) Corporations

No. of Units

17.3%

22.1%

70.0%

(ended January 2015)

24.7%
6.0%

7th FP(ended January 2014)

17.1%

6.6%

57.4%

16.9%

26.5%

6.8%

55.0%

(ended January 2013)

19.2%

22.8%

6.8%

51.2%

(ended July 2012)

23.0%

11.1%

15.0%

9.9%

75%

Foreign Corporations
and Individuals(share)100%

Domestic Individuals
and Others

Total(share)(share)910,577

70.0%

65,621

5.0%

195,13115.0%

128,6719.9%

1,300,000

100.0%

182

0.9%

290

1.4%

240

1.2%

19,72896.5%

20,440100.0%

Inquiries

Dividends

For the following inquiries, please contact the
securities company where you have your trading
account.
• Change in account address, name and otherregistered details• Designation or change of dividend transfer account• Requests for documents required for the
aforementioned procedures

Dividends can be collected by bringing the “unit-holder
dividend receipt” to your nearest Japan Post Bank
office or a bank agent post office in Japan. If thecollection period has elapsed, please make yourcollection by designating the collection method on theback of the “unit-holder dividend receipt” and mailingit to Mizuho Trust & Banking’s Stock Transfer Agency
Department or bringing it to a Mizuho Trust & Banking,Mizuho Securities main or branch office. (Note: If thepayment processing does not take place on thepremises of the office you have visited, it may take a
few days to collect.) If you wish to designate a banktransfer for future dividend payments, please contact
your securities company.

Inquiries regarding ADR
For information on ADR, please visit ADR’s website at
the address shown below, or directly contact the AssetManagement Company.
Website:Email:
Investor relations (phone):
Fax:

www.adr-reit.co.jp
ir@adr-reit.co.jp+81-3-3518-0432+81-3-3518-0481

62

www.adr-reit.com

3-26 Kanda Nishiki-cho, Chiyoda-ku, Tokyo