Creating peace of mind through honest and committed management.

February 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 Real Estate Investment Advisors Co., Ltd.
Representative: Wataru Orii, President & Representative Statutory Executive Officer
Inquiries: Hiroto Tajitsu, Head of Administration & Statutory Executive Officer
Tel: +81-3-3502-4892

Earnings and Dividend Forecast Revisions for the January 2016 Fiscal Period
Ichigo Hotel REIT hereby is revising its earnings and dividend forecasts for the January 2016
fiscal period announced in the November 30, 2015 release “Earnings and Dividend Forecasts forthe January 2016, July 2016, and January 2017 Fiscal Periods.”
I.

Earnings and Dividend Forecasts for the January 2016 Fiscal Period

Previous
Forecast (A)Revised Forecast(B)Change (B-A)% Change

Dividendper Share(yen)

Dividend in
Excess ofEarnings
per Share(yen)

33242

066

65

470

0283232

228

0

37.8%

94.1%

97.0%

94.2%

0

Operating
Revenue(millionyen)

Operating
Profit(millionyen)

Recurring
Profit(millionyen)

178

74

34

197

102

19
10.7%

Net
Income(millionyen)(Reference) Number of shares outstanding at the end of January 2016 fiscal period: 138,500 shares(Note 1) Ichigo Hotel REIT’s fiscal periods are February – July and August – January. Ichigo Hotel
REIT’s first period runs from the day the REIT was founded on July 22, 2015 to January
31, 2016. The REIT’s actual operating timeframe during the first period is November 30,
2015, the day of the asset acquisitions, to January 31, 2016.
(Note 2) The forecasts presented above for the January 2016 period are based on certain
preconditions set out below in “Preconditions for the January 2016 Earnings Forecast.”(Note 3) Fractions are rounded off to the nearest full unit. Percentages are rounded to the nearesttenths.

1II. Reasons for the Earnings and Dividend Forecast Revisions
Ichigo Hotel REIT has revised its earnings and dividend forecast to reflect the operating results
for the January 2016 fiscal period. The major factors are as follows:(1) Higher Variable Rents
At the six hotels with variable rents, rental income has increased. Thus, operating revenue isexpected to increase by 16 million yen relative to the previous forecast.
(2) Decreased Operating Expenses and Non-Operating Expenses
Operating expenses are forecast to decrease by 15 million yen and non-operating expenses by
3 million yen.
III. Earnings and Dividend Forecasts for the July 2016 and January 2017 Fiscal Periods
At the current time, the forecasts are unchanged.

2Preconditions for the January 2016 Earnings Forecasts
Item

Preconditions

PeriodJanuary 2016 (First Fiscal Period): July 22, 2015 –January 31, 2016 (194 days)

Portfolio Assets

 9 assets acquired on November 30, 2015.

Operating Revenue

Rental revenue is calculated based on November 2015 - January 2016 actual (unaudited). The
anticipated operating revenue assumes that tenants will fully pay their contractual rents
without delays or default of payments.
 Fixed rent/minimum guaranteed rent: 119 million yen Variable rent: 66 million yen Other rent: 11 million yen (Total rent from retail tenants at Hotel Vista Premio Kyoto andChisun Inn Osaka Hommachi)
Total rental revenue: 197 million yen
Rental expenses, Ichigo Hotel REIT’s principal operating expense, are anticipated as follows: Building maintenance and repair expenses: 16 million yen (of which, repair expense:
1 million yen)
 Depreciation: 50 million yen Other expenses: 1 million yen Total rental expenses: 67 million yen

Operating Expenses

Operating expenses other than rental expenses are anticipated as follows: Total operating expenses other than rental expenses: 27 million yen (of which, asset
management fee: 16 million yen)
 In the previous forecast, operating expenses other than rental expenses were anticipated at
42 million yen. However, since listing-related expenses initially anticipated at 18 million
yen actually amounted to 2 million yen, the anticipated total is now 27 million yen.

Non-OperatingExpenses

Anticipated non-operating expenses are as follows: Interest expenses: 14 million yen Borrowing-related expenses: 12 million yen
 Expenses related to the new share issuance: 4 million yen
 Expenses related to the establishment of Ichigo Hotel REIT: 5 million yen

Borrowings

Total borrowings as of January 31, 2016 is 8,500 million yen.

Dividend per Share Dividends per share are based on the assumption that distribution will comply with thedividend distribution policy stipulated in Ichigo Hotel REIT’s Articles of Incorporation.

Dividend in Excessof Earnings perShare Ichigo Hotel REIT does not plan on making any dividend distribution in excess of earnings
per share or retained earnings.

Other The performance forecasts are based on the assumption that revisions impacting the forecast
figures above will not be made to laws and ordinances, the tax system, accounting
standards, listing rules, rules of the Investment Trusts Association, Japan, etc.
 Performance forecasts are based on the assumption that there will be no unexpectedmaterial change in general economic trends, real estate market conditions, etc.

The forecasts presented above are current figures based on certain preconditions. Accordingly, the actual
operating revenue, operating income, recurring profit, net income, and dividend per share may vary due
to changes in circumstances.

3