Ichigo Hotel REIT Asset Acquisitions
July 22, 2016

Ichigo Hotel REIT Investment Corporation (3463)
Ichigo Real Estate Investment Advisors Co., Ltd.

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

www.ichigo-hotel.co.jp/english

This material is a summary of the following three releases announced on July 22, 2016 detailing Ichigo
Hotel REIT’s acquisitions as described in its Growth Strategy Roadmap:“Issuance of New Shares and Secondary Share Offering”“Acquisition of Ten Hotel Assets”“Earnings and Dividend Forecast Revisions for the January 2017 Fiscal Period and Earnings andDividend Forecasts for the July 2017 Fiscal Period”
These materials are for informational purposes only, and do not constitute or form a part of, and should
not be construed as, an offer to sell or a solicitation of an offer to buy any securities of Ichigo Hotel REIT
Investment Corporation.
These materials may contain forward-looking statements regarding the intent, belief or current
expectations of management of Ichigo Hotel REIT with respect to financial condition and future results ofoperations. These statements are based on certain assumptions founded on currently available
information. Accordingly, such statements are subject to risks, uncertainties and assumptions and there is
no assurance as to actual financial conditions or results of operations. Actual results may vary from thoseindicated in the forward-looking statements. Accordingly, please refrain from relying solely on thesestatements.

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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Ichigo Hotel REIT Growth Strategy Roadmap
Stage I

Stage II

Continuous Dividend Growth via External Growth, Organic Growth, and Strong Financial Base

ExternalGrowth• Quickly achieve JPY100B total asset size by taking fulladvantage of Ichigo’s sponsor support• Invest primarily in stay-only hotels• Acquisition of conversion-feasible assets and lodging
facilities such as serviced apartments• Asset acquisitions via SPCs

OrganicGrowth••• Construct a diversified portfolio to pursue both income
stability and earnings growth• Acquire prime-location full-service hotels and resort hotels inaddition to stay-only hotels• Increase portfolio size and generate scale efficiencies via
acquisitions of newly built hotels in addition to value-add ofexisting hotels

Improve operational efficiency by monitoring operations and providing advice to partner hotel operators
Carry out value-add capex to drive higher rents1

Financing• Minimize expenses via collaboration with operators• Further increase earnings via more favorable lease terms,rebranding, etc.

• Maintain a strong lender base
• Control LTV• Manage interest rate risk
• Prepare to acquire credit rating• Prepare to enter global REIT indices• Acquire credit rating• Diversify financing• Continue to control LTV and manage interest rate risk
• Enter global REIT indices

Lay Foundation for Growth via Increased
Portfolio Scale

Pursue Portfolio Diversification,Stability, and Growth

1 Ichigo Hotel REIT seeks to be strategic and cost-effective in its capex (capital expenditures), and its capex is thus generally expected

to be less thanor equal to depreciation in each period.

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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Acquisition Objectives
Quickly Achieve Portfolio Scale by Taking Full Advantage of Ichigo’sSponsor Support

1■ Grow portfolio size 2.3X from JPY 20B at IPO to JPY 48B■ Increase market capitalization and improve share liquidity via public offering of newshares

Increase Portfolio Quality■ Secure stable cash flows via geographic and asset diversification

2■ Generate core earnings stability with fixed rent leases, while driving earnings upsidewith variable rent leases at hotels benefitting from global tourist demand and risinghotel rates such as in Tokyo, Osaka, Hokkaido, and Okinawa

Execute Growth Strategy Leveraging Ichigo Group’s Strengths

3■ Increase asset profitability via value-add capex, drawing upon Ichigo’s extensive realestate value-add capabilities■ Leverage Ichigo Group’s proprietary sourcing network to generate value-accretive
portfolio growth© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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Acquire 10 Hotels for JPY 27B, Average NOI Yield: 5.5%
Appraisal Value(million yen)

No. of GuestRooms

Name

Hotel Type010

Nest Hotel Osaka Shinsaibashi

Stay-onlyOsaka

7,600

7,660

5.3%

Fixed+Variable

302011

Comfort Hotel Central International
AirportStay-only

Aichi

5,308

5,770

5.0%

Fixed

346012

Smile Hotel Tokyo Asagaya

Stay-only

Tokyo

3,910

3,940

5.0%

Fixed+Variable

112013

Nest Hotel Naha

Stay-only

Okinawa

3,750

3,770

6.2%

Fixed+Variable

193014

Smile Hotel Asakusa

Stay-only

Tokyo

1,920

2,020

5.0%

Fixed+Variable

96015

Nest Hotel Matsuyama

Stay-only

Ehime

1,610

1,640

7.4%

Fixed+Variable

190016

Hotel Livemax
Nihombashi-Hakozaki

Stay-only

Tokyo

1,360

1,410

4.9%

Fixed

48017

Comfort Hotel Okayama

Stay-only

Okayama

1,200

1,220

6.6%

Fixed

208018

Comfort Hotel Kushiro

Stay-only

Hokkaido

300

413

7.7%

Fixed

126019

Comfort Hotel Suzuka

Stay-only

Mie300

370

7.7%

Fixed

105

27,25828,213

Average 5.5%

Total

Location

Acquisition
Price(million yen)No.

NOI Yield

Rent Terms

1,726 Rooms

Notes: Please refer to the July 22, 2016 release “Acquisition of Ten Hotel Assets” for details of the Type, Acquisition Price, Appraisal Value, and NOI Yield.
NOI Yield is calculated vs. Appraisal Value.

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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Rapid Portfolio Growth via Ichigo’s Sponsor Support

8/17/2016 Acquisition

10 Assets JPY 27.2 B

10 Assets
JPY 27.2B
19 Assets
JPY 47.6B

At IPO

9 Assets JPY20.4B

9 Assets
JPY 20.4B

At IPOAcquisition(August 17, 2016)

Post-Acquisition© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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Acquisitions Driving Higher Dividends
Revising Up January 2017 Dividend Forecast andAnnouncing July 2017 Dividend Forecast2,606yenYOY+2,135 yen

YOY+2,446 yen

2,609yen

2,455yen

YOY+154 yen

vs. InitialForecast

471 yenJanuary 2016

2,917yen+311 yen
January 2017
(Initial Forecast)January 2017
(Revised Forecast)

July 2016(Forecast)January Period

July 2017(Newly Announced)

July Period

Notes: Number of days in the January 2016 period: 63 days (November 30, 2015 – January 31, 2016). Please refer to March 16, 2016 release “Earnings and Dividend Forecast
Revisions for the July 2016 and January 2017 Fiscal Periods” for details on the dividend forecasts for the July 2016 and January 2017 periods. Property and city planning taxes forthe 10 acquired assets will be recorded starting in the July 2017 period.

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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MEMO

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

8

MEMO

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

9

MEMO

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

10Disclaimer
These materials are for informational purposes only, and do not constitute or form a part of, and should not be construed as, anoffer to sell or a solicitation of an offer to buy any securities of Ichigo Hotel REIT Investment Corporation (Ichigo Hotel REIT).
These materials may contain forward-looking statements regarding the intent, belief or current expectations of management ofIchigo Hotel REIT with respect to financial condition and future results of operations. These statements are based on certain
assumptions founded on currently available information. Accordingly, such statements are subjects to risks, uncertainties andassumptions and there is no assurance as to actual financial conditions or results of operations. Actual results may vary fromthose indicated in the forward-looking statements. Accordingly, please refrain from solely relying on these statements.
These materials have been created by the management of Ichigo Hotel REIT and Ichigo Real Estate Investment Advisors Co.,
Ltd. (IRE) with the belief that the information contained is accurate. However, there is no assurance given as to the accuracy,
certainty, validity or fairness of any such information. Please note that the content of these materials is subject to revision orretraction without prior notice.
This document is a translation. If there is any discrepancy between the Japanese version and the English translation, theJapanese version shall prevail. No copying or reproduction of these materials or part of these materials is allowed withoutobtaining prior consent from Ichigo Hotel REIT and IRE.

Ichigo Hotel REIT IR Desk
TEL：03-3502-4892 FAX：03-3502-4876
IR_Hotel@ichigo.gr.jp
www.ichigo-hotel.co.jp/english
Ichigo is Japan’s first zero-carbon listed real estate company. We are taking
responsibility for our environmental footprint by offsetting our carbon emissions
and investing in low-carbon technologies such as solar energy.

© 2016 Ichigo Real Estate Investment Advisors Co., Ltd. Ichigo Hotel REIT Investment Corporation All rights reserved.

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