[For Translation Purposes Only]
November 16, 2015

For Immediate Release
To Whom It May Concern

Nomura Real Estate Master Fund, Inc.
Securities Code: 3462
Satoshi Yanagita, Executive Director
Asset Management Company:
Nomura Real Estate Asset Management Co., Ltd.
Norio Ambe, President & Chief Executive Officer
Inquiries:
Motomi Uki
Head of NMF Investment Management Group
TEL. +81-3-3365-8767 nmf3462@nomura-re.co.jp

Notice Concerning Decision of Financial Results for the Fiscal Period
Ended September 30, 2015 (Final Fiscal Period) of Respective Consolidated Investment Corporations
and Cash Distributions on Merger
Nomura Real Estate Master Fund, Inc. (“NMF”) announced today the decisions of the financial results for the fiscal period
ended September 30, 2015 (final fiscal period) of the respective consolidated investment corporations; the former Nomura Real
Master Fund, Inc. (the “Former NMF”), Nomura Real Estate Office Fund, Inc. (“NOF”) and Nomura Real Estate Residential
Fund, Inc. (“NRF”; and the Former NMF, NOF and NRF are individually or collectively referred to as the “Consolidated
Investment Corporation” hereinafter) and the cash distribution on merger as follows.
1. Consolidated Investment Corporation’s Financial Results and Cash Distribution on Merger(1) Former NMF’s Financial Results for the Fiscal Period Ended September 30, 2015 (Final Fiscal Period) and Cash Distribution
on Merger

Period ended

September 30

Operating
Revenues

Operating
IncomeOrdinary
Income(Millions of Yen)

(Millions of Yen)

(Millions of Yen)

2,043

1,022

912

Net Income(Millions of Yen)

912

Cash Distribution
on Merger
Per Unit (Yen)548(2) NOF’s Financial Results for the Fiscal Period Ended September 30, 2015 (Final Fiscal Period) and Cash Distribution on
MergerPeriod ended

September 30

Operating
Revenues

Operating
IncomeOrdinary
Income(Millions of Yen)

(Millions of Yen)

(Millions of Yen)

10,853

4,139

2,876

1

Net Income(Millions of Yen)

2,876

Cash Distribution
on Merger
Per Unit (Yen)8,134

(3) NRF’s Financial Results for the Fiscal Period Ended September 30, 2015 (Final Fiscal Period) and Cash Distribution on
MergerPeriod ended

September 30

Operating
Revenues

Operating
IncomeOrdinary
Income(Millions of Yen)

(Millions of Yen)

(Millions of Yen)

3,714

1,578

1,217

Net Income(Millions of Yen)

Cash Distribution
on Merger
Per Unit (Yen)

1,216

7,890

[Notes]1.

The financial results are for the one month period from September 1, 2015 to September 30, 2015 for the Former NMF, the five month period fromMay 1, 2015 to September 30, 2015 for NOF and the four month period from June 1, 2015 to September 30, 2015 for NRF.

2.

Instead of cash distributions for each Consolidated Investment Corporation’s final fiscal period, NMF will make a cash distribution on merger to theunitholders listed or recorded on the final unitholders register of each of the Consolidated Investment Corporations as of the day immediately prior to
the date of incorporation of NMF (excluding each Consolidated Investment Corporation) (the “Allotted Investors”), in an amount equivalent to the cash
distributions for the final fiscal period based on each Consolidated Investment Corporation’s distributable profit (the payment on merger will be (i) theamount of distributable profit of each Consolidated Investment Corporation as of the day immediately prior to the date of incorporation of NMF
divided by (ii) the number of investment units that is obtained by deducting (a) the number of investment units held by the unitholders other than the
Allotted Investors of each Consolidated Investment Corporation from (b) the number of investment units issued and outstanding of each of such
Consolidated Investment Corporation, as of the day immediately prior to the date of incorporation of NMF (amounts less than one yen are roundeddown)).

3.

Amounts less than the stated units are rounded down.

2. Scheduled date of commencement of Cash Distribution on Merger payout
December 18, 2015
【Exhibit】
Reference Material 1 “Reference information of the grounds of Former NMF’s Cash Distribution on Merger”
Reference Material 2 “Reference information of the grounds of NOF’s Cash Distribution on Merger”
Reference Material 3 “Reference information of the grounds of NRF’s Cash Distribution on Merger”*Nomura Real Estate Master Fund, Inc. URL: http://www.nre-mf.co.jp/english/

2≪Former NMF≫
Balance Sheet
Thousands of Yen

As of September 30, 2015
AssetsCurrent assets
Cash and bank deposits
Cash and bank deposits in trust
Rental receivables
Prepaid expenses
Deferred tax assets
Income taxes receivable
Other
Total current assets
Noncurrent assets
Property and equipment
Buildings
Less accumulated depreciation
Buildings, net
Structures
Less accumulated depreciation
Structures, net
Land
Buildings in trust
Less accumulated depreciation
Buildings in trust, net
Structures in trust
Less accumulated depreciation
Structures in trust, net
Tools, furniture and fixtures in trust
Less accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Construction in progress
Total property and equipment
Intangible assets
Leasehold rights in trust
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term prepaid expenses
Long-term deposits
Security deposits
Total investments and other assets
Total noncurrent assets
Deferred assets
Investment
corporation bond issuance costs
投資法人債発行費
繰延資産合計
Total deferred assets
Total assets

3

18,646,153
4,506,863
295,665
270,187
39
7,614
406,029
24,132,554

3,503,532(233,655)
3,269,876
28,932(6,565)22,366
10,923,206
108,585,767(6,871,270)
101,714,497
866,502(353,585)
512,917
55,193(7,097)48,096
143,097,882
23,485
259,612,328
3,827,875
15,597
3,843,473
99,667
521,891
89,205546,095
1,256,859
264,712,661
24,92624,926
288,870,142

Thousands of Yen

As of September 30, 2015

Liabilities
Current liabilities
Trade accounts payable
Short-term debt
Current portion of long-term debt
Other accounts payable
Accrued expenses
Accrued income taxes
Accrued consumption taxes
Rent received in advance
Other current liabilities
Total current liabilities
Long-term liabilities
Investment corporation bonds
Long-term debt
Security deposits from tenants
Security deposits from tenants in trust
Total long-term liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
SurplusRetained earnings
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets

461,067
4,100,000
85,6004,014,587
120,173860
186,322
1,571,344
693
10,540,649
3,000,000
103,121,800
539,511
9,634,583
116,295,895
126,836,545

161,120,405
913,191
913,191
162,033,596
162,033,596
288,870,142

4

Statement of Income and Retained Earnings
Thousands of Yen
Current period
from Sep. 1, 2015
to Sep. 30, 2015
Operating revenues
Rental revenues
Other rental revenues

1,560,006
231,255

Gain on sales of real estate

251,992

Total operating revenues
Operating expenses
Real estate rental expenses
Asset management fees
Asset custody fee
Administrative service fees
Directors' compensations
Other operating expenses
Total operating expenses
Operating profit
Non-operating revenues

2,043,254
827,667
141,877
2,696
11,296
1,200
36,0751,020,813
1,022,441

Cancellation refuns for insurance
Other non-operating revenues
Total non-operating revenues

112

Non-operating expenses
Interest expenses

84,121

Interest expenses on investment corporation bonds
Amortization of investment corporation bond issuance
costs
Loan arrangement fees
Other non-operating expenses
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Retained earnings brought forward
Retained earnings at end of period

2,127
228
22,858583
109,919
912,524
912,524
109(0)
108
912,415776
913,1915

Statement of Changes in Net Assets
Current period (from September 1, 2015 to September 30, 2015)(Unit: thousand yen)
Unitholders' equity
Unitholders'
capitalBalance at the beginning ofcurrent period

SurplusRetainedearnings

161,120,405

Total

Total surplus

unitholders'

Total net assets

equity3,692,657

3,692,657

164,813,062

164,813,062(3,691,881)(3,691,881)(3,691,881)(3,691,881)

912,415

912,415

912,415

912,415－(2,779,465)(2,779,465)(2,779,465)(2,779,465)

161,120,405

913,191

913,191

162,033,596

162,033,596

Changes of items during theperiodCash distribution paid
Net income
Total changes of items
during the period
Balance at the end ofcurrent period

6Statement of Cash Distributions
Current period
from Sep. 1, 2015
to Sep. 30, 2015
I. Retained earnings at end of period
II. Amount of distributions[Amount of distributions per investment
unit]
III. Retained earnings brought forward
Calculating method for distribution amount

913,191,915 yen
912,562,480 yen[548 yen]
629,435 yen
Based on Article 11 of the merger agreement which
Former NMF, NOF and NRF entered into on May
27, 2015, a cash distribution on merger shall be madeto the unitholders of Former NMF listed or recordedon the final unitholders register as of the day
immediately prior to October 1, 2015, the date ofincorporation of the corporation incorporated
through the consolidation-type merger (excluding
Former NMF, NOF, NRF and the unitholders ofFormer NMF who requested the purchase ofinvestment units pursuant to Article 149-3 of the Act
on Investment Trusts and Investment Corporations;the “Unitholders Requesting Purchase”), in an amountarrived at by (i) the amount of distributable profit of
NMF as of the same day divided by (ii) the number ofinvestment units that is obtained by deducting (a) the
number of investment units held by Former NMF,
NOF, NRF and the Unitholders Requesting Purchasefrom (b) the number of investment units issued andoutstanding of Former NMF as of same the day, perunit (amounts less than one yen are rounded down)).
Pursuant to this policy, Former NMF declared
distributions of 912,562,480 yen, the maximum
amount of the integral multiple of 1,665,260 units, thenumber of investment units issued and outstanding,from the retained earnings at end of period as a cash
distribution on merger.

7

≪NOF≫
Balance Sheet
Thousands of Yen

As of September 30, 2015
AssetsCurrent assets
Cash and bank deposits
Cash and bank deposits in trust
Rental receivables
Prepaid expenses
Deferred tax assets
Other
Total current assets
Noncurrent assets
Property and equipment
Buildings
Less accumulated depreciation
Buildings, net
Structures
Less 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
Less accumulated depreciation
Buildings in trust, net
Structures in trust
Less 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
Less accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Lease assets in trust
Accumulated depreciation
リース
Lease assets in trust, net
Other non-operating expenses
Total non-operating expenses
Intangible assets
Leasehold rights in trust
Leasehold rights in trust in trust
Other intangible assets in trust
Total（ intangible assets
Investments
その他（and other assets
Long-term prepaid expenses
Security deposits
Total investments and other assets
Total noncurrent assets
Deferred assets
Investment
corporation bond issuance costs
投資法人債発行費
繰延資産合計
Total deferred assets
Total assets

8

15,039,297
16,205,970
259,027
117,44410
338,439
31,960,191

42,127,949(6,394,532)
35,733,417
109,682(59,148)
50,533815,975(336,574)
479,401
62,003(16,809)45,19486,784,496
100,199,110(27,407,981)
72,791,129
264,791(206,770)
58,021
1,050,622(690,702)
359,919444,739(254,804)
189,934
204,369,361
43,691(19,196)
24,494
101,445
400,987,349
1,900,904
3,232,022
715
5,133,643
100,962
410,890
511,852
406,632,845
84,242
84,242438,677,279

Thousands of Yen

As of September 30, 2015
Liabilities
Current liabilities
Trade accounts payable
Current portion of investment corporation bonds
Current portion of long-term debt
Lease obligations in trust
Other accounts payable
Accrued expenses
Accrued income taxes
Accrued consumption taxes
Rent received in advance
Deposits received
Total current liabilities
Long-term liabilities
Investment corporation bonds
Long-term debt
Lease obligations in trust
Security deposits from tenants
Security deposits from tenants in trust
Total long-term liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
Surplus
Voluntary reserve
Reserve for reduction entry
Total voluntary reserve
Retained earnings
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets

9868,308
10,000,000
22,000,000
8,651
854,649
313,354119
273,344
1,976,431
140,298
36,435,157
24,500,000
140,200,000
17,651
7,146,094
15,917,472
187,781,218
224,216,376

211,430,494

154,176
154,176
2,876,232
3,030,408
214,460,903
214,460,903
438,677,279

Statement of Income and Retained Earnings
Thousands of Yen

Current period
from May 1, 2015
to Sep. 30, 2015
Operating revenues
Rental revenues
Other rental revenues
Total operating revenues
Operating expenses
Real estate rental expenses
Asset management fees
Asset custody fee
Administrative service fees
Directors' compensations
Other operating expenses
Total operating expenses
Operating profit
Non-operating revenues

9,689,493
1,163,533
10,853,026
5,597,079
880,057
25,231
72,7936,000
131,941
6,713,103
4,139,923

Interest income
Insurance Income
Reversal of cash distributions payable
Other non-operating revenues
Total non-operating revenues
Non-operating expenses
Interest expenses

3,005
3,747
3,005
204
9,963
762,994

Interest expenses on investment corporation bonds
Amortization of investment corporation bond issuance
costs
Loan arrangement fees
Other non-operating expenses
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income
Retained earnings brought forward
Retained earnings at end of period

288,981
6,213
84,406130,419
1,273,015
2,876,871
2,876,871
729
4
733
2,876,137
94
2,876,232

10

Statement of Changes in Net Assets
Current period (from May 1, 2015 to September 30, 2015)(Unit: thousand yen)
Unitholders' equity
Surplus
Voluntary retained

Unappropriat

earnings

ed retained

Unitholders' capital

Total

Total net

Total

unitholders'assetssurplusequity3,613,486

3,767,662

215,198,156

215,198,156(3,613,391)(3,613,391)(3,613,391)(3,613,391)

2,876,137

2,876,137

2,876,137

2,876,137

Reserve for

Voluntaryearnings

reduction

retained(undisposed

entry

earnings

loss)

Balance at
beginning of

211,430,494

154,176

154,176

current period
Changes of items
during periodCashdistribution paid
Net income
Total changes of
items during the

－

－

－

(737,253)(737,253)(737,253)(737,253)

211,430,494

154,176

154,176

2,876,232

3,030,408

214,460,903

214,460,903

periodBalance at the endof current period

11Statement of Cash Distributions
Current period
from May 1, 2015
to Sep. 30, 2015
I. Retained earnings at end of period
II.Reversal of voluntary reserve
Reversal of reserve for reduction entry
III. Amount of distributions[Amount of distributions per investment
unit]
IV. Retained earnings brought forward
Calculating method for distribution amount

2,876,232,863 yen
154,176,100 ten
3,030,346,102 yen[8,134 yen]
62,861 yen
Based on Article 11 of the merger agreement which
NOF, Former NMF and NRF entered into on May
27, 2015, a cash distribution on merger shall be madeto the unitholders of NOF listed or recorded on the
final unitholders register as of the day immediately
prior to October 1, 2015, the date of incorporation of
the corporation incorporated through theconsolidation-type merger (excluding NOF, Former
NMF, NRF and the unitholders of NOF whorequested the purchase of investment units pursuant
to Article 149-3 of the Act on Investment Trusts andInvestment Corporations; the “Unitholders Requesting
Purchase”), in an amount arrived at by (i) the amountof distributable profit of NOF as of the same day
divided by (ii) the number of investment units that is
obtained by deducting (a) the number of investment
units held by NOF, Former NMF, NRF and theUnitholders Requesting Purchase from (b) the numberof investment units issued and outstanding of NOF asof same the day, per unit (amounts less than one yen
are rounded down)).
Pursuant to this policy, NOF declared distributions of
3,030,316,102 yen, the maximum amount of theintegral multiple of 372,553 units, the number ofinvestment units issued and outstanding, from theretained earnings at end of period as a cash
distribution on merger.

12

≪NRF≫
Balance Sheet
Thousands of Yen

As of September 30, 2015
AssetsCurrent assets
Cash and bank deposits
Cash and bank deposits in trust
Rental receivables
Prepaid expenses
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Noncurrent assets
Property and equipment
Buildings
Less accumulated depreciation
Buildings,net
Structures
Less accumulated depreciation
Structures, net
Machinery and equipment
Less accumulated depreciation
Machinery and equipment, net
Tools, furniture and fixtures
Less accumulated depreciation
Tools, furniture and fixtures, net

6,908,603
263,156
20,28934,02836
29,470(102)
7,255,483

Land

Buildings in trust
Less accumulated depreciation
Buildings in trust, net
Structures in trust
Less accumulated depreciation
Structures in trust, net
Machinery and equipment in trust
Less accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures in trust
Less accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Construction in progress
Total property and equipment
Intangible assets
Other intangible assets in trust
Total（ intangible assets
Investments
その他（and other assets
Security deposits
Long-term prepaid expenses
Total investments and other assets
Total noncurrent assets
Deferred assets
Investment
corporation bond issuance costs
投資法人債発行費
繰延資産合計
Total deferred assets
Total assets

13

72,156,030(11,312,715)
60,843,315
735,708(511,485)
224,2221,044,566(406,318)
638,247
223,563(80,002)
143,560
81,535,242
6,304,386(1,402,743)
4,901,643
85,344(67,143)
18,20150,041(32,354)
17,686
19,929(5,531)
14,397
9,354,599
6,546
157,697,663
408
408
10,674325
10,999157,709,071
13,314
13,314
164,977,869

Thousands of Yen

Liabilities
Current liabilities
Trade accounts payable
Current portion of investment corporation bonds
Current portion of long-term debt
Other accounts payable
Accrued expenses
Accrued income taxes
Accrued consumption taxes
Rent received in advance
Deposits received
Total current liabilities
Long-term liabilities
Investment corporation bonds
Long-term debt
Security deposits from tenants
Security deposits from tenants in trust
Total long-term liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
Surplus
Voluntary reserve
Reserve for reduction entry
Total voluntary reserve
Retained earnings
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets

14

As of September 30, 2015

226,687
5,000,000
4,790,000
236,363
94,489324
28,604
759,654
5,297
11,141,422
5,000,000
72,950,000
1,241,583
145,059
79,336,642
90,478,064

73,231,053

52,00052,0001,216,750
1,268,750
74,499,804
74,499,804
164,977,869

Statement of Income and Retained Earnings
Thousands of Yen

Current period
from June 1, 2015
to Sep. 30, 2015
Operating revenues
Rental revenues
Other rental revenues
Gain on sales of real estate
Total operating revenues
Operating expenses
Real estate rental expenses
Asset management fees
Asset custody fee
Administrative service fees
Directors' compensations
Bad debts expenses
Other operating expenses
Total operating expenses
Operating profit
Non-operating revenues
Interest income
Insurance Income
Reversal of cash distributions payable
Other non-operating revenues
Total non-operating revenues

3,437,010
232,115
45,7483,714,875
1,630,366
261,330
10,673
17,9074,800
485
210,747
2,136,311
1,578,563
745
1,196
531
1,129
3,602

Non-operating expenses
Interest expenses
Interest expenses on investment corporation bonds
Amortization of investment corporation bond issuance
costs
Loan arrangement fees
Other non-operating expenses
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes

296,902
36,975
4,846
24,712
1,363
364,800
1,217,365
1,217,365
475
158
634

Net income
Retained earnings brought forward

1,216,730

Retained earnings at end of period

1,216,750

20

15

Statement of Changes in Net Assets
Current period (from June 1, 2015 to September 30, 2015)(Unit: thousand yen)
Unitholders' equity
Surplus
Voluntary retained earnings
Unitholders'
capitalReserve for

Voluntary

reduction

retainedentry

earnings

Unappropria

Total

Total net

Total

unitholders'assetssurplusequity1,872,053

1,924,053

75,155,107

75,155,107(1,872,033)(1,872,033)(1,872,033)(1,872,033)

1,216,730

1,216,730

1,216,730

1,216,730

ted retained
earnings(undisposed
loss)

Balance at
beginning of

73,231,053

52,00052,000current period
Changes of items
during periodCashdistribution
paid
Net income
Total changes of
items during the

－

－

－

(655,303)(655,303)(655,303)(655,303)

73,231,053

52,00052,0001,216,750

1,268,750

74,499,804

74,499,804

periodBalance at the endof current period

16

Statement of Cash Distributions
Current period
from June 1, 2015
to Sep. 30, 2015
I. Retained earnings at end of period
II.Reversal of voluntary reserve
Reversal of reserve for reduction entry
III. Amount of distributions[Amount of distributions per investment
unit]
IV. Retained earnings brought forward
Calculating method for distribution amount

1,216,750,727 yen
52,000,000 yen
1,268,712,000 yen（7,890yen）
38,727yen
Based on Article 11 of the merger agreement which
NRF, Former NMF and NOF entered into on May 27,
2015, a cash distribution on merger shall be made to
the unitholders of NRF listed or recorded on the final
unitholders register as of the day immediately prior to
October 1, 2015, the date of incorporation of thecorporation incorporated through the consolidationtype merger (excluding NRF, Former NMF, NOF andthe unitholders of NRF who requested the purchaseof investment units pursuant to Article 149-3 of the
Act on Investment Trusts and Investment
Corporations; the “Unitholders Requesting Purchase”),
in an amount arrived at by (i) the amount of
distributable profit of NRF as of the same day dividedby (ii) the number of investment units that is obtainedby deducting (a) the number of investment units heldby NRF, Former NMF, NOF and the Unitholders
Requesting Purchase from (b) the number ofinvestment units issued and outstanding of NRF as ofsame the day, per unit (amounts less than one yen are
rounded down)).
Pursuant to this policy, NRF declared distributions of
1,268,712,000 yen, the maximum amount of theintegral multiple of 160,800 units, the number ofinvestment units issued and outstanding, from theretained earnings at end of period as a cash
distribution on merger.

17