Ichigo Preserves and Improves Real Estate[Provisional Translation Only]
This English translation of the original Japanese document is provided solely for information purposes.
Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

September 26, 2016
REIT Issuer
Ichigo Hotel REIT Investment Corporation (3463)
1-1-1 Uchisaiwaicho, Chiyoda-ku, Tokyo
Representative: Osamu Miyashita, Executive Director
www.ichigo-hotel.co.jp/english
Asset Management Company
Ichigo Investment Advisors Co., Ltd.
Representative: Wataru Orii, President
Inquiries: Hiroto Tajitsu, Head of Administration
Tel: +81-3-3502-4892

Ichigo Hotel REIT Operating Results – August 2016
Ichigo Hotel REIT hereby announces its August 2016 operating results:
Total RevPAR, Occupancy, ADR, and Revenue

RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)

August2016 (A)August2015 (B)

Difference(A-B)

7,874
91.0
8,655
812.0

7,970
93.4
8,530
819.4

-97
-2.5
+125-7.4

YOY
Change-1.2 %-2.6 %+1.5 %-0.9 %

RevPAR, Occupancy, ADR, and Revenue by Hotel

Smile Hotel
Kyoto Shijo

Hotel Vista
Premio Kyoto

Hotel Wing
InternationalNagoya

August2016 (A)August2015 (B)

Difference(A-B)

9,403
100.0
9,401
42.5
12,201
94.0
12,974
34.6
4,690
79.7
5,882
36.9

11,213
100.2
11,19050.3
11,107
93.8
11,83930.9-1,810-0.2-1,789-7.8+1,095+0.2+1,135+3.7

RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
1

YOYChange-16.1 %
-0.2 %-16.0 %
-15.5 %
+9.9 %+0.2 %+9.6 %+12.0 %

Nest Hotel
Sapporo Ekimae

Chisun Inn Osaka
HommachiComfort Hotel
Hamamatsu

Nest Hotel
Sapporo Odori

Valie Hotel Tenjin

Nest Hotel Osaka
Shinsaibashi

Comfort Hotel
CentralInternational
Airport

Smile HotelTokyo Asagaya

Nest Hotel Naha

August2016 (A)August2015 (B)

Difference(A-B)

11,32098.5
11,494
66.9
8,501
89.9
9,458
34.3
5,673
85.7
6,620
34.5
13,80898.7
13,986
54.9
8,878
85.7
10,363
22.8
8,566
93.8
9,128
87.68,215
91.6
8,967
98.7
7,873
98.7
7,976
28.1
11,30895.5
11,84086.2

10,823
98.3
11,009
64.3
8,759
93.5
9,368
35.3

+497
+0.2
+484
+2.7
-258
-3.6
+91
-1.0

+4.6 %+0.2 %+4.4 %+4.1 %-2.9 %-3.9 %+1.0 %-2.9 %

13,91996.6
14,403
55.5
7,642
93.2
8,191
19.4
9,356
98.7
9,477
96.2
8,248
93.0
8,866
99.7
8,172
100.0
8,172
29.5
10,29995.1
10,825
80.2

-110
+2.1
-417
-0.5
+1,236-7.5+2,171+3.4-791-4.9-348-8.6-33-1.4+101-1.0-299-1.3-196-1.4+1,009+0.4+1,015+6.0-0.8 %+2.2 %-2.9 %-1.0 %+16.2 %
-8.1 %+26.5 %
+17.3 %
-8.4 %-5.0 %-3.7 %-9.0 %-0.4 %-1.5 %+1.1 %-1.0 %-3.7 %-1.3 %-2.4 %-4.6 %+9.8 %+0.4 %+9.4 %+7.5 %

RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
ADR (JPY)
Revenue (JPY million)

2YOYChangeAugust
2016 (A)August2015 (B)

Difference
(A-B)

6,727
93.0
7,235
20.7
5,174
84.4
6,132
43.3
6,705
90.6
7,404
45.1
5,900
89.2
6,611
24.4
6,037
89.5
6,748
20.0
4,909
86.2
5,698
30.6

6,667
98.4
6,774
20.7
4,298
73.7
5,835
39.0
5,419
90.1
6,013
34.9
5,880
93.6
6,284
24.3
5,582
89.1
6,267
18.4
6,806
92.7
7,338
41.6

+60-5.4+461-0.1+876+10.7+296+4.3+1,286+0.4+1,391+10.2+21-4.3+328+0.1+455+0.4+481+1.6-1,897-6.6-1,640-11.0

RevPAR (JPY)
Occupancy (%)
Smile Hotel
Asakusa
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
Nest Hotel
Matsuyama
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
Comfort Hotel
Okayama
ADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
Comfort Hotel
KushiroADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Occupancy (%)
Comfort Hotel
SuzukaADR (JPY)
Revenue (JPY million)
RevPAR (JPY)
Other (Hotel
Kobe Suave Asuta Occupancy (%)& Hotel Livemax
ADR (JPY)
NihonbashiHakozaki)
Revenue (JPY million)

YOY
Change+0.9 %-5.5 %+6.8 %-0.3 %+20.4 %
+14.6 %
+5.1 %+11.0 %
+23.7 %
+0.5 %+23.1 %
+29.1 %
+0.4 %-4.6 %+5.2 %+0.5 %+8.2 %+0.4 %+7.7 %+8.6 %-27.9 %
-7.1 %-22.4 %
-26.4 %

Notes:
1. The above data is as provided by the hotel operators or as calculated by Ichigo
Investment Advisors based on information provided by the hotel operators. The
data has not been audited and thus its accuracy cannot be guaranteed and may not
match data disclosed in future Financial Reports.
2. RevPAR or Revenue Per Available Room is calculated per the following formula:
RevPAR = Total revenue from accommodations (excluding restaurant charges andother non-accommodation service fees) / number of available guest rooms.
3. Occupancy is calculated per the following formula:
Occupancy = Total number of guest rooms occupied during the period /(total number of guest rooms * number of days hotel was in operation during theperiod)
Occupancy may exceed 100% in the following cases: 1) a guest had pre-paid for aguest room but checked out early, allowing the guest room to be occupied by adifferent guest; or 2) a guest room is occupied for less than one day by different
guests.

34.

5.

6.
7.

8.

9.

ADR or Average Daily Rate is calculated per the following formula:
ADR = Total revenue from accommodations (excluding restaurant charges and othernon-accommodation service fees) / number of guest rooms occupied during theperiod.
Revenue is revenue from accommodations and accommodation-related services only.
Rent from retail tenants at Hotel Vista Premio Kyoto, Chisun Inn Osaka Hommachi,
and Smile Hotel Tokyo Asagaya is not included.
Past data for Hotel Wing International Nagoya and Comfort Hotel Hamamatsu are notincluded above, as the hotel operators have not given consent to disclose the data.
Because the Comfort Hotels (Hamamatsu, Central International Airport, Okayama,Kushiro, and Suzuka) pay fixed rents, changes in their operating results(increases/decreases in RevPAR, etc.) do not impact the rent that Ichigo Hotel REIT
receives.
Data for Hotel Kobe Suave Asuta and Hotel Livemax Nihonbashi Hakozaki are
included in “Other,” because the hotel operators did not provide consent to disclose
hotel-specific data.
With regards to the ten assets newly acquired on August 17, 2016, the above data are
the operating results for the full month of August.

Explanation of Changes
RevPAR decreased year-on-year for Smile Hotel Kyoto Shijo, Hotel Wing International
Nagoya, Comfort Hotel Hamamatsu, and Hotel Suave Kobe Asuta. Occupancy
temporarily decreased at Hotel Wing International Nagoya due to unavailability of guest
rooms during renovations that are scheduled to complete this October.
Value-Add Actions
At Hotel Wing International Nagoya, Ichigo Hotel REIT and its hotel operator partner
have been jointly renovating and upgrading the guest rooms since May, with Ichigo
Hotel REIT covering the expenses for a new modular bathroom in each guest room. The
renovated guest rooms have been made available to guests as soon as each renovation iscomplete.
While Hotel Wing International Nagoya generates stable revenues owing to occupancy
in excess of 90%, these guest room upgrades will support the hotel’s competitivenessand profitability over the long term. The renovated guest rooms incorporate modern
Japanese design elements that are proving attractive both to the hotel’s existing guest
base and the increasing number of global tourist visitors coming to Japan. Ichigo Hotel
REIT expects to complete all of the room upgrades in early October.
Ichigo Hotel REIT will continue to work closely with its hotel operator partners incarrying out value-add capex that increases guest satisfaction and drives higher
earnings.

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