As of January 21, 2016

Daiwa Office Investment Corporation
Earnings Announcement for the 20th Fiscal Period(Fiscal Period ended November 2015)

Contents
Section 1

Section 3

Fiscal Period ended November 2015 (20th Fiscal Period)
Performance Highlights and Forecasts

External Growth

Topics of Fiscal Period ended November 2015 ・・・・・・

4

Properties Acquired after Sponsor Change ・・・・・・・・・ 23

Changes in Rent Revenue ・・・・・・・・・・・ ・・・・・・・・・・・

5

Changes in Dividends ・・・・・・・・・・・・・・・・・・・・・・・・・・・

6

Properties Acquired in the Fiscal Period ended Nov 2015
(20th FP) ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 25

Changes in Asset Size and Trading Performance ・・ 22

Highlights of the Fiscal Period ended Nov 2015 (20th FP)

Acquisition/Sale Policy and Status of Deliberation

・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 7

for Property Acquisitions ・・・ ・・・・・・・・・・・・・・・・・・・・ 26

Highlights of Forecasts for the Fiscal Periods ending May
and Nov 2016 (21st and 22nd FP) ・・・・・・・・・・・・・・・・・ 8

Section 2

Section 4

Financial Strategy
Status of Interest-bearing Liabilities ・・・・・・・・・・・・・・・ 28

Internal Growth
Leasing Market of Tokyo Office Buildings ・・・・・・・・・・・・ 10

Unitholders as of the End of the Nov 2015 (20th) Fiscal
Period ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 31

Analyses of Leasing Income ・・・・・・・・・・・・・・・・・・・・・・・ 11

Environmental Efforts ・・・・・・・・・・・・・・・・・・・・・・・・・・・ 32

Portfolio Map: Increase and Decrease in Unit

Activities in the Fiscal Period ending May 2016 (21st FP)
・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 33

Contract Rent Compared with Previous Fiscal Period ・・15
Performance of Shinjuku Maynds Tower & E SPACETOWER・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・16

Appendix

Internal Growth Strategies ・・・・・・・・・・・・・・・・・・・・・・・・・ 17
Properties Acquired in the Fiscal Period ended Nov 2015
(20th FP) - Leasing Improvement Case - ・・・・・・・・・・・・ 18
Measures to Increase Portfolio Value ・・・・・・・・・・・・・・・ 19
Challenges for Internal Growth in the Fiscal Period ending
May 2016 (21st FP) ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 20This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

1Disclaimer

This material is solely for the purpose of providing information and is not intended for the purpose ofoffering or soliciting investment, or as a recommendation to purchase or sell any specific product.
Please refer any inquiries on potential purchases of the investment units of Daiwa Office Investment
Corporation to a securities dealer.
This document is not intended to provide information to meet the requirements of Japan’s new
Financial Instruments and Exchange Act or Act on Investment Trusts and Investment Corporations, or
any associated cabinet orders, cabinet office ordinances, rules, or any rules governing companies
listed on the Tokyo Stock Exchange, or any other applicable rules, nor is it a disclosure document orstatement of financial performance prepared in accordance with the provisions of any of the foregoing.
This document contains forward-looking statements. However, these forward-looking statements are
based on certain assumptions and judgments made using currently available information, and there
are a number of known and unknown risks and uncertainties. These forward-looking statements are
not a guarantee of future performance or management results of Daiwa Office Investment
Corporation, and actual results may materially differ from any explicit or implicit forecasts contained
herein.
Although the information contained in this document is the best available at the time of publication, no
assurances can be given regarding the accuracy and certainty of this information. The content of thisdocument may be modified or withdrawn without prior notice.
Reproduction or use of the contents included in this document without prior approval is prohibited.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

2Section 1
Fiscal Period ended November 2015
(20th Fiscal Period)
Performance Highlights and Forecasts

Topics of 20th Fiscal Period ended November 2015

█ Favorable Opportunity for Expanding Internal Growth
Average Contract Rent at the end of November 2015 (Note 1): 18,738 yen (% and amount of change from theend of May 2015: +64 yen, +0.3%)<Average Contract Rent of the existing 47 properties (Note 2) at the end of November 2015: 18,817 yen (Note 1)(% and amount of change from the end of May 2015: +143 yen, +0.8%)>
 Occupancy Rate at end of the 20th FP: 98.3% (20th FP Expected Occupancy Rate estimated in July 2015:
96.7%)(Occupancy Rate at the end of the 19th FP: 97.3%)
█ Property Acquisition

Acquired 3 properties during the 20th FP
River Gate (Acquisition date: June 2, 2015; Acquisition price: 28,000 million yen)Daiwa Hatchobori ekimae (Acquisition date: September 11, 2015; Acquisition price: 2,871 million yen)Daiwa Hatchobori ekimae West (Acquisition date: September 11, 2015; Acquisition price: 1,647 million yen)

█ Financial SituationLTV (based on total assets): 41.7% (end of 19th FP: 44.3%)
Average remaining debt years at the end of the Fiscal Period: 4.6 years (end of 19th FP: 4.7 years)
Ratio of fixed interest: 76.2% (end of 19th FP: 68.9%)

Note 1: Average contract rent is, as a rule, calculated after excluding all non-office uses such as retail, residence and warehouse.
Note 2: Excluding properties acquired/sold in 20th FP
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

4

Changes in Rent Revenue
Changes in increase/decrease of period-on-period rents andcommon area fees (external growth/internal growth)(Million Yen)
11,000External growth (acquisition/full contribution from properties sold)■ External growth (Full contribution by properties acquired/disposed)■ External
growth(During-the-period
contribution by properties
acquired/disposed)
External
growth(acquisition/during‐the‐period
contribution
from properties sold)■ Internal growth (increase/decrease of rents of existing properties)

Internal growth (increase/decrease of rents of existing properties)

10,000

267
839

9,000

282
176
148
215
349

8,000

511
77
7,000
29

261

64

6
‐55

347
190

278
‐70

6,000

5,0000Note

15th FP

16th FP

17th FP

18th FP

19th FP

20th FP

External growth (Full contribution by properties acquired / disposed) indicates the full contribution to the revenue of current fiscal period by the change
in rents and common area fees of properties acquired or disposed in the previous fiscal period.
External growth (During-the-period contribution by properties acquired / disposed) indicates the full contribution to the revenue of current fiscal periodby the change in rents and common area fees of properties acquired or disposed in the current fiscal period.
Internal growth (increase/decrease of rents of existing properties) indicates the period-on-period change in rents and common area fees of existing
properties.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

5

Changes in Dividends
Changes in Dividends per Unit (Forecast/Actual)(Yen)
12,0009,000
Forecast from a year earlier
10,000

Forecast from six months earlier

6,550

7,400
6,009
8,000

Actual dividends

5,500

6,847
4,850

4,154
3,903
5,246

6,000

2,843
3,176
4,000

3,240

3,180
3,280

3,600

4,850

4,100

5,107

5,350

6,250

5,500

6,542

7,200
7,478

7,300
7,540
7,621

7,570
7,820

8,328

9,350

8,700

9,688

9,750

9,900

9,850

9,142

8,256

5,986

4,464

3,671

2,000

0
8th FP

9th FP

10th FP

11th FP

12th FP

13th FP

14th FP

15th FP

16th FP

17th FP

18th FP

19th FP

20th FP

21st FP

22nd FPThis document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

6

Highlights of the Fiscal Period ended Nov 2015 (20th FP)█ Results of the 20th Fiscal Period
19th Fiscal Period 20th Fiscal Period(ended May 2014) (ended Nov. 2015)(Million Yen)

Difference

Operating Revenue

10,387

11,837+1,450Operating Expense

5,617

6,223

+606

Operation Income

4,770

5,614

+844

750

938

+187

Ordinary Income

4,032

4,689

+657

Net Income

4,031

4,688

+657

9,142 yen

9,688 yen+546 yen

506,681 yen

545,661 yen+38,980 yen

97.3%

98.3%

+1.0%

97.6%

96.8%

- 0.8%

3.6%

3.9%

+0.3%

Non-Operating Expense

Dividend per Unit
NAV per Unit*
Period End Occupancy
Rate
Period Average Occupancy
Rate**NOI Yield (annualized)****NAV per unit = (Unitholders’ equity +Total appraisal value at the end of fiscal period − Total
property book value at the end of fiscal period) / Number of investment units issued andoutstanding** Period average occupancy rate is calculated based on occupancies at the end of months during
each fiscal period.
*** NOI Yield (annualized) calculated based on book value(Million Yen)

(Reference)
20th Fiscal Period
Comparison of
forecasts with results (announced Jul. 19th Fiscal Period
2015)
of 20th Fiscal Period
Operating Revenue
11,755
11,837

Difference+82

Operating Expense

6,285

6,223

- 62

Net Income

4,525

4,688

+163

Dividend per Unit

9,350 yen

9,688 yen+338 yenOccupancy Rate

96.7%

98.3%

1.6%

Increase factors:
Revenue (rents and common area fees) from 3 properties
acquired during the period
Full contribution of revenue (rents and common area fees)from 6 properties acquired in the previous period****Revenue (rents and common area fees) from 41 existing
properties
Utilities revenue
Decrease factors:
Gain on 5 properties sold in the previous fiscal period
Revenue (rents and common area fees) from 5 properties
sold in the previous fiscal period
Increase factors:
Depreciation
Utilities revenue
Asset management fees
Outsourcing expense
Repair cost
Decrease factors:
Advertising expense
Other commission paid
Increase factors:
Investment unit issuance cost
Interest expense(+839 million)(+476 million)(+282 million)(+224 million)(-240 million)(-209 million)(+149 million)(+134 million)(+129 million)(+98 million)(+93 million)(-30 million)(-27 million)(+160 million)(+25 million)**** 41 existing properties are properties held (50 properties) as of the end of the20th Fiscal Period (ended November 2015) less the 6 properties acquired during
the 19th Fiscal Period (ended May 2015) and 3 properties acquired during the20th Fiscal Period.

Increase factors:
Revenue (rents and common area fees) from 2 properties
acquired during the period***Revenue (rents and common area fees) from 48 existing
properties
Increase factors:
Outsourcing expense
Repair cost
Decrease factors:
Utilities revenue(+49 million)(+7 million)(+66 million)(+22 million)(-138 million)*****48 existing properties are the 50 properties as of the end of the 20th Fiscal Period
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,(ended November 2015) less the properties acquired during the 20th Fiscal Period
nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.
(Daiwa Hatchobori ekimae and Daiwa Hatchobori ekimae West).

7

Highlights of Forecasts for the Fiscal Periods ending May andNov 2016 (21st and 22nd FP)█ The 21st Fiscal Period(Forecast)

21st FP Forecast
Ending May 2016

Difference from20th FP

Operating Revenue

11,922+84

Operating Expense

6,354

+130

Operation Income

5,567

-46

Non-Operating Expense

798

-140

Net Income

4,767

+78

Dividend per Unit

9,850 yen+162 yenOccupancy Rate

98.3%

0.0%

Expected Period Average
Occupancy Rate*

97.8%

+1.0%

Expected NOI Yield (annualized)**

3.9%

0.0%

█ The 22nd Fiscal Period(Forecast)Difference from21st FP

Operating Revenue

12,132+210

Operating Expense

6,530

+176

Operation Income

5,601

+34

808

+9

4,791

+24

Dividend per Unit

9,900 yen

+50 yenOccupancy Rate

96.5%

-1.8%

Net Income

Increase factors:
Repair cost
Depreciation
Utilities revenue
Decrease factors:
Outsourcing expense(Million Yen)

22nd FP Forecast
Ending Nov. 2016

Non-Operating Expense

Increase factors:***Revenue (rents and common area fees) from 47 existing
properties
Revenue (rents and common area fees) from 3 properties
acquired in the previous period
Decrease factors:
Utilities revenue(Million Yen)(+111 million)(+103 million)(-136 million)(+130 million)(+23 million)(11 million)(43 million)

Increase factors:
Interest expense
Decrease factors:
Investment unit issuance cost(-160 million)

Increase factors:
Revenue (rents and common area fees) from 50 existing
properties
Utilities revenue(+142million)(+126 million)

Increase factors:
Tax and public due
Utilities revenue
Asset management fees
Depreciation
Decrease factors:
Repair cost
Increase factors:
Interest expense(+19 million)(+172 million)(+48 million)(+31 million)(+26 million)(-123million)(+11 million)

Period average occupancy rate is calculated based on occupancies at the end ofmonths during each fiscal period.
** Expected NOI Yield (annualized) is calculated based on the book value for the
20th Fiscal Period for existing properties, and is based on the acquisition price for
newly acquired properties
Expected NOI Yield (annualized)**
3.9%
0.0%
*** 47 existing properties in the 21st Fiscal Period are the 50 properties as of the endof the 20th Fiscal Period less the 3 properties acquired during the 20th Fiscal
This document is not a material disclosed in compliance with the Financial Instruments
Period. and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

Expected Period Average
Occupancy Rate*

*

96.7%

-1.1%

8

Section 2
Internal Growth

Leasing Market of Tokyo Office Buildings
Rent(Yen / Tsubo)

Leasing Market of Tokyo Office Buildings(Yen / Tsubo)
24,000Trend of Office Rent and Vacancy
Rate of 5 Central Wards of Tokyo(賃料)(Rent)

10.0%
27,00022,0008.0%

20,000

6.0%
3.58%

18,0004.0%

2008/9(Vacancy Rate)

25,000

Ｂクラスビル
B Class Bldg.
2007/9

ＡクラスビルA Class Bldg.

2001/6

2000/1

23,000Rental Market Clockレンタル・マーケット・クロック(conceptual
chart)(イメージ図)17,497 yen

16,000

2.0%
Existing Building Average Rent (left axis)
Existing Building Vacancy Rate (right axis)

21,00014,000'16/01'15/01'14/01'13/01'12/01'11/01'10/01'09/01'08/01'07/01'06/01'05/01'04/01'03/01'02/01'01/010.0%
19,000(Data): Miki Shoji

Predicted
figures(Tsubo)400,000

9.0%
7.5%

200,000

6.0%

100,000

4.5%

0

3.0%
Floor area of new demands

'01
'02
'03
'04
'05
'06
'07
'08
'09
'10
'11
'12
'13
'14
'15
'16
'17
'18
'19
'20

(200,000)

Floor area of new supplies
Vacancy Rate

(Data): CBRE “Office market medium term forecast 2014-2020”

From
To
Change in rent area(tsubo)Change in percentage

300,000(100,000)

2003/10Rent and vacancy rate of large scalebuildings* of 5 Central Wards of Tokyo

2014/6
2014/12203,413
4.1%

2014/122015/634,5690.7%

2015/6
2015/1228,0470.5%

2011/122015/1217,0002015/6
2008/915,0002007/9

Office Buildings of 5 Central Wardsof Tokyo 2012/7

2014/6

2014/122012/122013/12
2000/1

2001/6

2003/10
2011/1213,0002015/121.5%
0.0%

2013/12
2014/63772198.3%

2014/6
2014/122012/7
2013/122015/6

11,000
0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

(Data): Sanko Estate compiled by Daiwa Real Estate Asset Management Vacancy Rate
* Large scale buildings: A floor area of 200 tsubos (661.2m2) or more.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

10Analyses of Leasing Income (1)- Diversification of Tenants and Transition of New Lease and Cancellations Transition of New Leases andCancellations and its Reasons**

Period-end Occupancy Rate
(Cases)60

Occupancy Rate (Actual)
Expected Occupancy Rate

44

Expected Occupancy Rate (as of disclosure in July 2015)

30

17

20
6

-20

22nd FP

21st FP

20th FP

19th FP

18th FP

17th FP

16th FP

15th FP

14th FP

13th FP

Cancellations

20th FP

19th FP

18th FP

17th FP

12th FP

11th FP-53

Net New Leases

Previous
numberof leases：8

20th Period

12th FP

10th FP

9th FP

8th FP

7th FP-12.0%-14.7%

11th FP-10% -3.9%-13 -11-24-25 -26

New Leases-2.4%-1.7%-1.4%
-2.8%
-3.9%
-3.1%
-5.7%
-5.9% -6.3%-5.3% -6.1%
-7.3%

11

2

-20

10th FP

-60

15

-31

0%
-3.4%

12

-40

9th FP

9.8%8.2%
4.3%
5.7%4.4%6.1% 6.2%
3.2%3.3%
2.0% 1.4%
1.2%

7.2%7.4%
10%
3.9%

12

-15 -13-24

Expected Rate of New Leases
Rate of New Leases

22

18

9

-14 -12-20

8th FP

Expected Rate of Cancellations
Rate of Cancellations

13

25

24

16th FP

22nd FP

21st FP

20th FP

19th FP

18th FP

17th FP

16th FP

15th FP

14th FP

13th FP

12th FP

11th FP

9th FP

8th FP

7th FP

0

13.4%

-20%

16

18

-2

Rate of New Leases and Cancellations*
20%

18

4

85.7%

85%

43

31

15th FP90%

33

14th FP

95%

40

42

38

13th FP

98.3% 98.3%
97.2%
96.5%
96.4%
96.4%
95.9% 95.4%
94.3%
97.3%
96.6%
96.3%
92.8%
96.7%
95.0%
92.4%

97.7%

10th FP

100%

Space
BetterCost
Space
Consolidation
Reduction Location
Reduction Expansion

Other

Total

New Leases

1

17

1

0

3

0

22

Cancellations

2

2

2

1

0

4

11

** Excluding residence and warehouse tenants.

**Transition of rate of new leases and cancellations areas to the total rentable area.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

11Analyses of Leasing Income (2) - Improvement in Basic Strength  Basic strength (profitability driven by realization of internal growth) has steadily improved due tocontract renewals and tenant replacement in the 19th FP and 20th FP
 Increase in rent revenue due to improved basic strength leads almost directly to an increase in
distributable income.
Monthly Rent Increase Due to Contract Renewal/Tenant Replacement
Contract Renewal(Please see p.13 for details)

Tenant Replacement(Please see p.14 for details.)

Total

19th FP

5,862 thousand yen/month

3,527 thousand yen/month

9,389 thousand yen/month

20th FP

7,938 thousand yen/month

6,438 thousand yen/month

14,376 thousand yen/month

Increase in Dividend Resource Due to Improved Basic Strength
Total Rent
Revenue (rents
and common areafees) (6 months)

Percentage of Total Rent Revenue(rents and common area fees)*1

Growth rate of dividend
resource*2

6 months

Annualized

6 months

Annualized

19th FP

8,806 million yen

0.6%

1.3%

1.5%

3.1%

20th FP

10,196 million yen

0.8%

1.7%

2.1%

4.3%

*1 Obtained by dividing the amount of rent increase (increased amount of monthly rent x 6 months) due to the improved basic strength in each fiscal period by rent revenue(rents and common area fees) in the respective fiscal period.
*2 Obtained by dividing the amount of rent increase (increased amount of monthly rent x 6 months) due to the improved basic strength in each fiscal period by net income in
the prior fiscal period to the respective fiscal period.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

12Analyses of Leasing Income (3)- Changes in Amounts of Rent Increase/Decrease of Contract Renewal Tenants █ Changes in Rent Increase/Decrease Rate of Contract Renewal Tenants (sections)Contract Renewal Area

15.0%

█ The 20th Fiscal Period Contract Renewal Tenants*The ratio of areas for which contract was
Cancellation from Nonrenewed in the 20th FP(through Nov.2015) toContract Renewal Area
the total rentable area (281,321.87m2) as of
1.7%
end May 2015.
Non Contract Renewal
Area (Excluding
cancellation), 82.3%

Contract Renewal Area
16.0%

10.0%

4.5%

5.0%
0.0%

2.5%

5.0%

‐5.2%

61.1%

37.4%

70.8%

26.5%

19th FP

18th FP 4.8% 8.6%

*

*

2.7%

‐25.0%‐7.0%‐10.2%‐7.0%

16th FP 10.0% 4.6%

77.1%

8.2%

15th FP

14.4% 3.1%

70.3%

12.3%

14th FP

18.9%

67.3%

13.8%

13th FP
0%

0.0%
40.6%

0.8%

20%

40%

Decrease

Increase

80%

Unchanged

Cancellation█ Contract Renewal Periods (based on rentable area)
Expected renewals
30.0%
25.0%

24.7%

15.0%
10.0%

18.6%
16.0%

0.0%

0.0%

‐4.9%

Decrease rate
Rent increase/decrease rate

‐22.7%
15th FP

16th FP

17th FP

18th FP

19th FP

20th FP*The above indicates rate of increase/decrease in rents against pre-renewal rents for lease
contracts which reached renewed agreements during each FP.
Rent increase/decrease rate is calculated based on netted amount for increased/decreased rents.

█ Status of Upward Rent Revisions(Breakdown of upward revision magnitude for monthly rents in the 20th FP)

100%* Of the increase in the 17th FP, 14.1% was due to some tenants’ switching from subleaseto master lease agreements and 7.9% was thanks to negotiations with tenants.

20.0%

9.0%

4.0%

54.6%
60%

5.2%

Increase rate

‐22.7%

14th FP

12.1%

57.4%

14.1%

‐20.0%

19.9%

66.7%

17th FP 8.5% 7.9%

1.3%

4.3%

‐6.5%

‐5.0%

‐15.0%

20th FP

5.2%

1.0%

0.0%

‐10.0%

9.0%

9.8%

19.6%

17.0%

5.0%
0.0%

20th FP
21st FP
22nd FP
23rd FP
24th FP*The ratio of areas scheduled for contract renewal in each period to the total
rentable area (319,855.26m2) as of end November 2015.

2% or more 15% or more
6%
but lessthan 5%22% Increase rate of 10% or more
but lessmonthly rent
9.0％
than 15%(Previous FP:
32%
5.2%)
5% or more
but lessthan 10%40%

Properties with rent increase
SHIBUYA EDGE
Daiwa Kudan
E SPACE TOWER
Daiwa Nihonbashi Hongokucho
Daiwa Akasaka
Daiwa Shibuya Miyamasuzaka
Azabu Green Terrace
Glass City Shibuya
River Gate
Daiwa Shinagawa North, etc.
Increased amount of monthly
rent
7,938 thousand yen/month*Percentage figures are based on total monthly rent.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

13

Analyses of Leasing Income (4)- Increase/Decrease in Rent Due to New Leases and Cancellations Monthly Rent Increase/Decrease Due to Tenant Replacement(compared to the previous tenant for the same leasing area)

100

24,00090
78.06 78.52 78.85
80

21,00017,799 18,674

18,00018,738Average Contract Rent*

15,00020th FP

19th FP

18th FP

17th FP

16th FP

15th FP

14th FP

13th FP

12th FP

11th FP

10th FP

9th FP

12,000706050

Unit rent index(period-on-period comparison, right axis)**8th FP(Previous FP:
10.1%)

27,000

7th FP

10% ormore butless than20%
47%

20% ormore butless than30%
31%

30,000

6th FP

Increase rateof monthly
rent
14.0%

30% ormore
7%

5th FPOver 0%
but lessthan 10%
4%* The contract rent of 47 existing properties in
the 20th Fiscal Period was 18,817 yen(period-on-period change of 143 yen)

(Yen / Tsubo)

4th FP

Unchanged
3%Less than0%
8%

Average Contract Rent and Market Rent

40

* Average contract rent is the average of monthly contract rent from tenants at theend of each period.
** Unit rent index is the earning rates of unit rent of individual properties indexed withthe figure at the end of the 7th FP as 100.
*Percentage figures are based on total monthly rent.

Properties with rent increase
due to tenant replacement
Daiwa Ginza
Daiwa Minami-Aoyama
Daiwa Kudan
E SPACE TOWER
shinyon curumu

Daiwa Shibuya DogenzakaaDaiwa Akasaka
Daiwa Ebisu 4-chome
Glass City Shibuya
Daiwa Shinagawa North,etc.

Increased amount of monthly rent
6,438 thousand yen/month

Attribution Analysis / Monthly Contract Rent*(Million Yen)

1,850
1,800
1,750
1,700
1,650
1,600
1,550
1,500
1,450
1,400

+151

1,595

Decrease by
Rent
Revisions+7
Increase by
Rent
Revisions

End of 19th FP
Monthly Contract Rent

0

+81

1,803

-32

Decrease by Increase by
Tenants’ New Acquisition
Increase by
Cancellations
New Leases

End of 20th FP
Monthly Contract Rent

* Monthly Contact Rent is a total of final rent from contracting tenants at the end of the Fiscal
Period. Monthly Contract Rent for Shinjuku Maynds Tower was adjusted to 6/7 of the total.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

14

Portfolio Map: Increase and Decrease in Unit Contract Rent
Compared with Previous Fiscal Period
Comparison with previous Fiscal Period
Increase and decrease of unit contract rent

5 Central Wards of Tokyo

Greater Tokyo

Unit rent increase： 18 buildings
indicates
increasefor the second consecutive period
2

Daiwa Higashi Ikebukuro

3 indicates increase for the third consecutive period

Toshima Ward

Unit rent decrease：

Integral Tower

3 buildings

3 indicates decrease for the third consecutive period
Unit rent maintained ： 25 buildings

Meguro Place Tower
Daiwa Osaki 3-chome

2

Daiwa Shinagawa NorthLAQUAS Higashi Shinjuku

Shinjuku Maynds Tower
ShibuyaWard

Daiwa Sarugakucho
Shinjuku Ward Daiwa Misakicho
Daiwa Jinbocho 3-chome 3 2 Daiwa Jimbocho
Daiwa Kudan 2
shinyon curumu
Daiwa Kodenmacho
Chiyoda Ward
Daiwa Nihonbashi Hongokucho
Daiwa Nihonbashi Horidomecho
Daiwa Kojimachi 4-chome
Daiwa Jingumae
Daiwa Akasaka
Daiwa Ginza Annex
Daiwa Ginza 3
Concept Aoyama
Daiwa Minami Aoyama

Chuo
Ward

Daiwa Kayabacho Build.
Daiwa Kyobashi
Koto

Daiwa Tsukijiekimae
ＳＨＩＢＵＹＡ
Daiwa Tsukiji
ＥＤＧＥ
Daiwa Shibuya Miyamasuzaka
Daiwa Shimbashi
Daiwa Nishi-Shimbashi
510
E SPACE TOWER 3
Daiwa Onarimon
Daiwa Tsukishima
Daiwa Shibuya Dogenzaka 3
Shinsen Place
Daiwa A Hamamatsucho
Glass City Shibuya
Daiwa
Shibadaimon
2
Daiwa Azabudai
Minato Ward
Daiwa Shibaura
Azabu Green Terrace

Daiwa Kamiooka

Ward

Regional Cities
Daiwa Meieki
Kitahama Grand Building
3
Daiwa Minami-Senba

As of November 30, 2015•

(Note) Properties acquired in the 20th Fiscal Period and Daiwa Ebisu 4-chome are not included.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

15Performance of Shinjuku Maynds Tower & E SPACE TOWER█ Shinjuku Maynds Tower

Office Building Supply in the 23
Wards of Tokyo

Shinjuku Maynds Tower Occupancy Rate

99.9%
80%

99.9%

98.3%

98.8%

94.7%

94.9%

100%

95.7%

(Million Yen)
2,800
99.9%
2,600

99.0%
96.1%

94.0%

2011-2014

2,400

60%
40%

Occupancy rate at end of period (left axis)
Occupancy rate (forecast) (left axis)

20%

OthersChiyoda Ward
1230,000m2 1,590,000m2

2,200
2,000

Rent revenue (right axis)

22nd FP

21st FP

20th FP

19th FP

18th FP

17th FP

16th FP

15th FP

Acquisition price 133,800 million yen

14th FP

2-chome, Yoyogi,
Shibuya-ku

13th FP

12th FP

Address

Shibuya Ward
210,000m2
Chuo Ward
Shinjuku Ward2
560,000m2
410,000m
Minato Ward
650,000m2

1,800

0%

E SPACE TOWER Occupancy Rate

█ E SPACE TOWER

100.0%

100.0%

100%
80%

100.0%

100.0%

89.3%

100.0%

100.0%

100.0%

100.0%

96.4%

89.1%

100.0%

900
800
700

60%
Occupancy rate at end of period (left axis)

40%

Occupancy rate (forecast) (left axis)

20%

2015-2018(Million Yen)

600
500

Others550,000m2
Shibuya Ward
250,000m2
Shinjuku Ward
240,000m2

Chiyoda Ward
1,440,000m2

Rent revenue (right axis)

400

Acquisition price 24,000 million yen* E SPACE TOWER was acquired in July 2011

22nd FP

21st FP

20th FP

19th FP

18th FP

17th FP

16th FP

15th FP

14th FP

13th FP

3 Maruyama-cho,Shibuya-ku

12th FP

Address

Upon Acquisition0%

Minato Ward
960,000m2

Chuo Ward
590,000m2

Source : Mori Trust Large scale properties are offices
with total floor area of 10,000m2 or more.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

16Internal Growth Strategies
Continuous internal growth and maximization of asset
value through “Bonji-Tettei”

Accurate
grasp ofpresent
situations•In depth understanding of the leasing market•Capturing real opinions of occupying tenants•Specializing updated features of portfolio properties•Determined budget control•Proactive interactions with brokers•Accompanying to new tenant viewings•Frequent visit on tenants
Activities for •Conducing tenant satisfaction surveys
internal•Thorough examination of properties
growth•Solid numerical analysis in detail•Prompt and appropriate strategic lease-up•Realizing stable revenue over a long-term by building
Realization up solid relationship with tenantsof internal •Reliable cost control based on rigorous repair plans,
growthetc.

Aims to maximize asset value

Office Management Team
(9 members)

Aims at maximizing asset value with assigning
the specialist group personnel in charge toeach of all properties in the investment
corporation’s portfolio.

Teruaki Saito
Assetmanagement
work history: 9
years 11 months

Takafumi Ushiku
Assetmanagement
work history: 11
years 3 months

TadashiMatsumoto
Asset management
work history: 5 years
1 monthKeitaro Kumagai
Assetmanagement
work history: 2
year 10 months

Kotaro Ishii
Assetmanagement
work history: 9
years 8 months

Chie Kamimura
Asset
management
work history: 9
years 6 months

Yuuki Kobatake
Assetmanagement
work history: 3
years 2 months

Takashi Aiso
Assetmanagement
work history: 1
year 2 months

Taku Narahara
Assetmanagement
work history: 9
years 4 months(Note) “Asset management work history” is the number of years engaged in the relevant work (as ofend of December 2015) and does not indicate the number of years employed at the asset
management company.

Investment Planning Team Middle office work: Budget and performance(2 members)
management for the portfolios

Construction Management
Team (1 member)Engineering: Formulation and implementation of
construction planning of the assets

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

17

Properties Acquired in the Fiscal Period ended Nov 2015
(20th FP) - Leasing Improvement Case █ River Gate
Acquisition Price: 28,000 million yen (Acquisition Date: June 2, 2015)

Initiatives for leasing strategy

Location

Nihonbashi Hakozakicho Chuo-ku, T okyo

Appraisal Value

29,700 million yen (Note 1)

Site Area

7,088.66㎡

Construction Date

February 1994

Structure/Floor

S SRC RC B2/20F

Occupancy Rate

80.8% (Note 2)

Total Floor Area

53,790.26㎡

Number of Tenants

87 (Note 3)

Upon AcquisitionNOI Yield(Note 4)
Appraisal

4.5％
NOI Yield

5.0％

Assumed Occupancy
Rate

94.3％
Assumed Occupancy
Rate

95.0％

Mid-term(Note 5)NOI Yield

4.7％

 The occupancy rate at the time of acquisition was 80.8%. Vacant
floor space was approximately 1,700 tsubos, or equivalent to 2.5
floors.
 Started leasing activities upon concluding the purchaseagreement in order to take in needs for consolidating sales bases
from companies covering wide areas by utilizing the size of its
standard floor space of about 600 tsubos.

Assumed Occupancy
Rate

94.3％

Depreciation (Note 6) 1.1％

(Note 1) As of April 1, 2015. (Note 2) As of June 2, 2015. (Note 3) As of June 2, 2015, including 71 rental units. (Note 4) Upon Acquisition indicates figures obtained by using ex pected annual
balance of pay ments under the assumed occupancy rate, calculated based on the lease agreement upon acquisition, etc. w hile taking into account the accrual of tax and public due, etc. (Note5) Mid-term indicates estimated figures for normal operation period (w ith assumed occupancy rate) after acquisition, obtained by deducting rent business-related ex penses from rent rev enue
assumed under rents ov er a medium term, and do not represent forecast figures for the current period or the nex t period onw ard. (Note 6) Depreciation indicates a figure obtained by div iding thetotal amount of depreciation (6-month equiv alent) ex pected to be posted upon property acquisition and depreciation (for 6 months) ex pected to be posted in the follow ing fiscal period by the Received several applications from new tenants within two monthsof the acquisition and was also able to solicit floor expansion fromexisting tenants. As a result, the occupancy rate improved to95.3% at the end of the 20th Fiscal Period from 80.8% at the timeof acquisition. The vacant section was successfully leased with arent level surpassing the rent level initially assumed at the time ofacquisition by an average of around 10%.
 Continuing to focus on early leasing for the remaining space ofabout 300 tsubos (equivalent to half a floor space).

acquisition price.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

18

Measures to Increase Portfolio Value█ Strategic Renewal Works█ Measures to Improve Customer Satisfaction■ Renovation of the elevator hall

■ Distribution of calendars to office
workers

・Daiwa Shibuya Miyamasuzaka(Before)(After)・Shinjuku Maynds Tower[Date] December 14, 2015

█ Coexistence with Local Societies■ Participated in “Shinjuku Minamirumi”
・Shinjuku Maynds Tower[Period] November 11, 2015 – February 14, 2016

■ Renewal of restrooms
・Daiwa Shibuya Miyamasuzaka(Before)(After)Shinjuku Maynds Tower participated in “Shinjuku Minamirumi” (annual
event held for the third time) organized by Odakyu Electric Railway Co,
Ltd., Takashimaya Co., Ltd., East Japan Railway Company and Daiwa
Securities, and displayed illumination with a theme of “stars.”＜Front side＞＜Christmas tree＞＜Plants＞

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

19Challenges for Internal Growth in the Fiscal Period ending
May 2016 (21st FP)

Occupancyrate

 Aim for period-end occupancy rate higher

than the current forecast (98.3%) in the
21st Fiscal Period.

Out of floor space subject to renewal in the20th Fiscal Period, rent increases wererealized for 37.4%.
 In the 21st Fiscal Period, will put forth
efforts to conduct activities that accompany“improvement in tenant satisfaction” to gain
further understanding of existing tenants.


Floor spacesubject to rent
increase

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

20Section 3External GrowthChanges in Asset Size and Trading Performance
Aim to achieve medium-term goal of asset size of 500 billion yen(Billion Yen)
80%

550
Total Acquisition Price

500.0

LTV (Based on Total Asset)

500
70%
445.7

450
413.2

352.7
311.3
278.1
265.0

28.1%

150

40.6%

[Acquisition Property]
E SPACE TOWER[Acquisition Properties]
Daiwa Nishi-Shimbashi
Daiwa Kudan

0

8th FP

9th FP

10th FP

11th FP

12th FP

13th FP

41.7%

40.2%

37.5%

40%

[Acquisition Property]
Integral Tower[Acquisition Property]
Daiwa Osaki 3-chome[Acquisition Properties]
Daiwa Kayabacho Building
Daiwa Jinbocho 3-chome

44.3%

43.0%

34.4%

[Acquisition Property]
Daiwa Nihonbashi
Hongokucho

100
50

34.2%

28.9%

25.5%

[Acquisition Property]
Daiwa Jimbocho

50%

314.9

269.1

34.0%

25.3%

313.2

287.3

250
200

364.0

332.0

350
300

60%

387.5

400

[Acquisition Properties]
Daiwa Shibuya Dogenzaka
Daiwa Akasaka
Daiwa Shibuya Miyamasuzaka[Acquisition Properties]
shinyon curumu
Daiwa Meieki
Daiwa Kamiooka

14th FP

15th FP

16th FP[Acquisition Properties]
Daiwa Ebisu 4-chome
LAQUAS Higashi Shinjuku
Concept Aoyama
Shinsen Place
Glass City Shibuya
Meguro Place Tower[Acquisition Properties]
Azabu Green Terrace
Kitahama Grand Building

17th FP

18th FP

30%

20%[Acquisition Properties]
River Gate
Daiwa Hatchobori ekimae
Daiwa Hatchobori ekimaeWest

19th FP

20th FP

MediumTerm
Goal

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

10%

0%

22

Properties Acquired after Sponsor Change (1)Acquisition Period

Property Name

RegionAcquisition dateSeller (Note)

Acquisition Price

9th Fiscal Period Daiwa Jimbocho

5 Central Wards of Tokyo

March 10, 2010

ORIX JREIT Inc.

4,150 million yen

10th Fiscal Period Daiwa Nishi-Shimbashi

5 Central Wards of Tokyo

August 13, 2010

Japan Core Asset II Ltd.

5,000 million yen

10th Fiscal Period Daiwa Kudan

5 Central Wards of Tokyo

September 2, 2010

Shining Nova the Fifth B TMK

4,000 million yen

11th Fiscal Period Daiwa Kayabacho Building

5 Central Wards of Tokyo

March 25, 2011

Daiwa Property Co., Ltd.

5,600 million yen

11th Fiscal Period Daiwa Jimbocho 3-chome

5 Central Wards of Tokyo

March 29, 2011

Tokyu Land Corporation

3,550 million yen

12th Fiscal Period E SPACE TOWER

5 Central Wards of Tokyo

July 8, 2011

Endeavor Realty Fund Ltd.

24,000 million yen

13th Fiscal Period Daiwa Nihonbashi Hongokucho

5 Central Wards of Tokyo

May 11, 2012

Tosei Corporation

1,721 million yen

14th Fiscal Period Daiwa Osaki 3-chome

Greater Tokyo

September 18, 2012

MCR Six GK

1,650 million yen

15th Fiscal Period Daiwa Meieki

Other Regions

February 1, 2013

Domestic Special purpose company

5,300 million yen

15th Fiscal Period Daiwa Kamiooka

Greater Tokyo

March 1, 2013

Shimizu Corporation

2,000 million yen

15th Fiscal Period shinyon curumu

5 Central Wards of Tokyo

December 3, 2012, April 12, 2013

Two Domestic Industrial Companies

9,650 million yen

16th Fiscal Period Daiwa Shibuya Dougenzaka

5 Central Wards of Tokyo

July 3, 2013

Domestic Special purpose company

4,500 million yen

16th Fiscal Period Daiwa Akasaka

5 Central Wards of Tokyo

August 9, 2013

Hakuba Capital 1 TMK

9,200 million yen

16th Fiscal Period Daiwa Shibuya Miyamasuzaka

5 Central Wards of Tokyo

September 27, 2013

E Buildings Limited Liability Company

7,000 million yen

Greater Tokyo

May 29, 2014

Ogikubo Building Y. K.

15,220 million yen

5 Central Wards of Tokyo

July 4, 2014

Azabu Green Terrace GK

14,000 million yen

Other Regions

August 1, 2014

GK North Beach

9,481 million yen

19th Fiscal Period Daiwa Ebisu 4-chome

5 Central Wards of Tokyo

December 1, 2014

Domestic industrial company

4,135 million yen

19th Fiscal Period LAQUAS Higashi Shinjuku

5 Central Wards of Tokyo

December 3, 2014

Higashi Shinjuku Building TMK

8,450 million yen

19th Fiscal Period Concept Aoyama

5 Central Wards of Tokyo

March 2, 2015

Domestic Special purpose company

9,800 million yen

19th Fiscal Period Shinsen Place

5 Central Wards of Tokyo

March 2, 2015

Domestic Special purpose company

4,800 million yen

19th Fiscal Period Glass City Shibuya

5 Central Wards of Tokyo

May 1, 2015

Glass City TMK

16,000 million yen

19th Fiscal Period Meguro Place Tower

Greater Tokyo

May 1, 2015

Meguro Place TMK

5,600 million yen

20th Fiscal Period River Gate

5 Central Wards of Tokyo

June 2, 2015

Temuzu (TMK)

28,000 million yen

20th Fiscal Period Daiwa Hatchobori ekimae

5 Central Wards of Tokyo

September 11, 2015

Domestic Industrial company

2,871 million yen

20th Fiscal Period Daiwa Hatchobori ekimae West

5 Central Wards of Tokyo

September 11, 2015

Domestic Industrial company

1,647 million yen

17th Fiscal Period Integral Tower
18th Fiscal Period Azabu Green Terrace
18th Fiscal Period Kitahama Grand Building

Total

207,325 million yen
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

23

Properties Acquired after Sponsor Change (2)Acquisition Period

9th Fiscal Period

10th Fiscal Period

11th Fiscal Period

12th Fiscal Period

13th Fiscal Period

14th Fiscal Period

15th Fiscal Period

Daiwa Jimbocho

Daiwa
Nishi-Shimbashi

Daiwa Kudan

Daiwa Kayabacho

Daiwa Jimbocho3-chomeE SPACE TOWER

Daiwa Nihonbashi
Hongokucho

Daiwa Osaki
3-chomeshinyon curumu

Address

Chiyoda-ku, Tokyo

Minato-ku, Tokyo

Chiyoda-ku, Tokyo

Chuo-ku, Tokyo

Chiyoda-ku, Tokyo

Shibuya-ku, Tokyo

Chuo-ku, Tokyo

Shinagawa-ku, Tokyo

Shibuya-ku, Tokyo

Acquisition Price

4,150 million yen

5,000 million yen

4,000 million yen

5,600 million yen

3,550 million yen

24,000 million yen

1,721 million yen

1,650 million yen

Seller

ORIX JREIT Inc.

Japan Core Asset II
Ltd.

Shining Nova theFifth B TMK

Daiwa Property Co..
Ltd.

Tokyu Land
Corporation

Endeavor Realty
Fund Ltd.

Tosei Corporation

MCR Six GK

Acquisition date

March 10, 2010

August 13, 2010

September 2, 2010

March 25, 2011

March 29, 2011

July 8, 2011

May 11, 2012

September 18, 2012

Property Name

Acquisition Period

15th Fiscal Period

Daiwa Meieki

Daiwa Kamiooka

Nagoya-shi, Aichi
5,300 million yen
Domestic Special
purpose company

Yokohama-shi, Kanagawa

17th Fiscal Period

16th Fiscal Period

18th Fiscal Period

9,650 million yen
Two Domestic Industrial
Companies
December 3, 2012
April 12, 2013

19th Fiscal Period

Azabu Green
Terrace

Kitahama Grand
Building

Daiwa Ebisu 4chome

Osaka-shi, Osaka
9,481 million yen

Ogikubo Building Y.
K.

Minato-ku, Tokyo
14,000 million yen
Azabu Green
Terrace GK

Shibuya-ku, Tokyo
4,135 million yen
Domestic industrial
company

May 29, 2014

July 4, 2014

August 1, 2014

19th Fiscal Period

20th Fiscal Period

Shinsen PlaceRiver Gate

Daiwa Hatchobori
ekimaeDaiwa Shibuya
Dogenzaka

Daiwa Akasaka

Daiwa Shibuya
Miyamasuzaka

Integral Tower

Shibuya-ku, Tokyo
4,500 million yen
Domestic Special
purpose company

Minato-ku, Tokyo
9,200 million yen

Shibuya-ku, Tokyo
7,000 million yen

Suginami-ku, Tokyo
15,220 million yen

Hakuba Capital 1
TMK

E Buildings Limited Liability
Company

July 3, 2013

August 9, 2013

September 27, 2013

Property Name

Address
Acquisition Price
SellerAcquisition dateFebruary 1, 2013

2,000 million yen
Shimizu Corporation
March 1, 2013

Acquisition Period

LAQUAS Higashi
Shinjuku

Concept Aoyama

Glass City Shibuya Meguro Place Tower

GK North Beach

Daiwa Hatchobori
ekimae West

Total

Property Name

Address
Acquisition Price
SellerAcquisition date

December 1, 2014

Shinjuku-ku, Tokyo
8,450 million yen
Higashi Shinjuku
Building TMK

Shibuya-ku, Tokyo
9,800 million yen
Domestic Special
purpose company

Shibuya-ku, Tokyo
4,800 million yen
Domestic Special
purpose company

Shibuya-ku, Tokyo

Meguro-ku, Tokyo
5,600 million yen

Chuo-ku, Tokyo

Chuo-ku, Tokyo

Chuo-ku, Tokyo

16,000 million yen

28,000 million yen

2,871 million yen

1,647 million yen

Glass City TMK

Meguro Place TMK

Temuzu TMK

Domestic industrial
company

Domestic industrial
company－

December 3, 2014

March 2, 2015

March 2, 2015

May 1, 2015

May 1, 2015

June 2, 2015

September 11, 2015

September 11, 2015－－
207,325 million yen(Note) The sum of ; i) the total acquisition price from the time of the above sponsor change up to September 11, 2015 and ii) prices for additional
acquisition of existing properties or of the site in existing properties during the same period, is 207,745 million yen. “Ltd.” and “TMK” (Tokutei
Mokuteki Kaisha) in sellers’ names refer to a limited liability company and special purpose company, respectively.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

24

Properties Acquired in the Fiscal Period ended Nov 2015
(20th FP)
█ Daiwa Hatchobori ekimae█ Daiwa Hatchobori ekimae West

Acquisition Price : 2,871 million yen (Acquisition Date: Sep. 11, 2015)

Acquisition Price : 1,647 million yen (Acquisition Date: Sep. 11, 2015)

Daiwa Hatchobori ekimae
Daiwa Hatchobori ekimae West
Hatchobori Sta.

Location

Hatchobori, Chuo-ku, Tokyo Appraisal Value

Site Area

582.33㎡

Occupancy Rate

Total Floor Area4,297.67㎡(Note 4)
Appraisal

NOI Yield

3.7%
NOI Yield

4.4%

3,000 million yen (Note 1)

Construction Date February 2006

Structure/Floor S SRC B1/10F

Upon Acquisition

JR Keiyo Line

100.0% (Note 2)

100.0%
AssumedOccupancy Rate

96.0%

Mid-term(Note 5)
Depreciation(Note 6)

NOI Yield

4.4%

AssumedOccupancy Rate

96.0%

0.7%

(Note 1) As of Aug. 15, 2015. (Note 2) Upon acquisition. (Note 3) Upon acquisition. (Note 4) Upon Acquisition indicates figures obtained by using
expected annual balance of payments under the assumed occupancy rate, calculated based on the lease agreement upon acquisition, etc. while
taking into account the accrual of tax and public due, etc. (Note 5) Mid-term indicates estimated figures for normal operation period (with assumed
occupancy rate) after acquisition, obtained by deducting rent business-related expenses from rent revenue assumed under rents over a medium
term, and do not represent forecast figures for the current period or the next period onward. (Note 6) Depreciation indicates a figure obtained by
dividing the total amount of depreciation (6-month equivalent) expected to be posted upon property acquisition and depreciation (for 6 months)
expected to be posted in the following fiscal period by the acquisition price.

Hatchobori, Chuo-ku, Tokyo Appraisal Value

Site Area

323.53㎡

Upon Acquisition(Note 4)
Appraisal

NOI Yield

3.9%
NOI Yield

4.6%

1,670 million yen (Note 1)

Construction Date February 2006

Structure/Floor SRC B1/9F

Occupancy Rate

Total Floor Area2,198.33㎡

Number of Tenants 9 (Note 3)
AssumedOccupancy Rate

Location

100.0% (Note 2)

Number of Tenants 9 (Note 3)
AssumedOccupancy Rate

100.0%
AssumedOccupancy Rate

96.0%

Mid-term(Note 5)
Depreciation(Note 6)

NOI Yield

4.5%

AssumedOccupancy Rate

96.0%

0.5%

(Note 1) As of Aug. 15, 2015. (Note 2) Upon acquisition. (Note 3) Upon acquisition. (Note 4) Upon Acquisition indicates figures obtained by using
expected annual balance of payments under the assumed occupancy rate, calculated based on the lease agreement upon acquisition, etc. while
taking into account the accrual of tax and public due, etc. (Note 5) Mid-term indicates estimated figures for normal operation period (with assumed
occupancy rate) after acquisition, obtained by deducting rent business-related expenses from rent revenue assumed under rents over a medium
term, and do not represent forecast figures for the current period or the next period onward. (Note 6) Depreciation indicates a figure obtained by
dividing the total amount of depreciation (6-month equivalent) expected to be posted upon property acquisition and depreciation (for 6 months)
expected to be posted in the following fiscal period by the acquisition price.

Transportation accessDaiwa Hatchobori ekimae and Daiwa Hatchobori ekimae West are both located approximately one minute on foot from the closest exit of Hatchobori Station on the JR Keiyo
Line and Tokyo Metro Hibiya Line. Access to multiple train lines is available, as Kayabacho Station on the Tokyo Metro Tozai Line and Hibiya Line, Takaracho Station on the
Toei Subway Asakusa Line and Shintomicho Station on the Tokyo Metro Yurakucho Line are within walking distance of the properties.
Medium-term asset management strategy
Conduct sales strategy reading the trend of the leasing market in Hatchobori area
Aim for improved profits through terms revisions in accordance with the market trend by realizing enhanced relationship with existing tenants and stable occupancy over along-term.
Review management/operation
costs
for appropriate
levelsdisclosed
and work
reduce costs.
This
document
is not a material
in tocompliancewith the Financial Instruments and Exchange Law or any regulation of similar nature,

nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

25

Acquisition/Sale Policy and Status of Deliberation for
Property Acquisitions█ Acquisition/Sale Policy Invest heavily in the five central wards of Tokyo and equivalent area.
 Thoroughly select properties in view of actual demand toward location(distance to station, station power, crowd attraction, surrounding
environment), building specs, etc.
 Target properties to improve growth potential and profitability of ourexisting portfolio.
 Invest in buildings less than 25 years of building age.
 Consider replacements when necessary in consideration of properties’
future competitiveness, profitability, etc.

Distribution Chart of Portfolio Properties
Building Age(Year)

55
50█ Sourcing Strategy Capitalizing on Status as
Non-Real Estate Sponsored REIT

45

 Secure wide-range sourcing route by capitalizing on status as an40

independent style REIT and establishing strong relations withbusiness companies, financial institutions, real estate brokers, etc.
 Target optimum expansion of portfolio based on in-depth data
analysis upon careful selection from among the wide-range
information on properties that comes from diverse sources.

35* Number of grossproposals.

Number of Properties Reviewed for Acquisition
500

120

Number of properties reviewed* (left axis)
Number of properties reviewed in detail (right axis)

416

400

356
268

300

300

264

393

296

25
20

Daiwa
Hatchobori
ekimae West

25

28
17

15

15

26

23

31

0

40

10

20

5

14th
FP

15th
FP

16th
FP

17th
FP

18th
FP

19th
FP

20th
FP

Shinsen Place

Concept Aoyama
Daiwa Hatchobori ekimae

Glass City Shibuya

LAQUAS
Higashi Shinjuku

0
13th
FP

River Gate
Daiwa Ebisu 4-chome

60

200

30

30

80

221

100

100

● : properties acquired in the 20th FP, ● : properties acquired in the 19th FP,● : acquired after the sponsor change.
Distance to station is indicated by calculating 80m as one minute.

Meguro Place Tower

0
0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

Distance to station(minutes)

9.0 10.0 11.0

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

26

Section 4
Financial Strategy

Status of Interest-bearing Liabilities (1)█ Status of Interest-bearing Liabilities

Loan to Value Trend(End of 20th Fiscal Period)(Billion Yen)

280

70.0%

 Ratio of Long and Ratio of Fixed andFloating Borrowings

Interest-bearing liabilities (left axis)

Short-Term Borrowings

LTV (based on Total Asset*) (right axis)

240

60.0%

4.8%
23.8%

200

50.0%

Medium-to-long term, upper-limit
LTV target range
160

76.2%

95.2%

40.0%
固定金利
Fixed
interest

120

30.0%

80

20.0%

Floating interest

Long-term loans payable, etc.
Short-term loans payable andcurrent portion of long-term loans
payable█ Status of Rating
Japan Credit Rating Agency, Ltd. (JCR)40

1st FP
2nd FP
3rd FP
4th FP
5th FP
6th FP
7th FP
8th FP
9th FP
10th FP
11th FP
12th FP
13th FP
14th FP
15th FP
16th FP
17th FP
18th FP
19th FP
20th FP0

10.0%*LTV (based on Total Asset) ＝Total interest-bearing liabilities / Total Asset

0.0%

Long-term issuer
ratingRating outlook: Stable

Rating and Investment Information, Inc. (R&I)

Issuer rating
Rating outlook:
StableThis document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

28

Status of Interest-bearing Liabilities (2)Changes in Procured Years ofInterest-Bearing Liabilities

Repayment Schedule(Million Yen)

(Years)(Years)

18,000Investment Corporation Bond

10.0

16,0009.0
14,000End of period maturity (rightaxis)
Average PROC years (left
axis)

4.7

5.0

4.6
4.5

8.1
4.0

8.0

7.0

12,000

7.0

10,000

6.0
5.0

8,000

3.5
3.0

6.4
5.0

2.5

4.0

2.0

3.0

1.5

2.0

1.0

1.0

0.5

0.0

0.0

6,000

2,000

*Payment dates as of Nov. 30, 2015.

38th FP

37th FP

36th FP

35th FP

34th FP

33rd FP

32nd FP

31st FP

30th FP

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

23rd FP

22nd FP

21st FP0

8th FP
9th FP
10th FP
11th FP
12th FP
13th FP
14th FP
15th FP
16th FP
17th FP
18th FP
19th FP
20th FP

4,000*Dotted line indicates average procured years in the current fiscal
period excluding short-term loans payable.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

29

Status of Interest-bearing Liabilities (3)As of the 20th Fiscal Period
Name of Financial Institutions

BalanceComparison w ith
prev ious period

Balance ratio

Name of Financial Institutions

BalanceComparison w ith
prev ious period

Balance ratio

Sumitomo Mitsui Banking Corporation.

39,900-2,00021.3%

Tokio Marine & Nichido Fire Insurance Co., Ltd.

2,000

0

1.1%

Sumitomo Mitsui Trust Bank, Limited

24,850-1,000

13.3%

Nishi-Nippon City Bank, Ltd.

2,000

+ 2,000

1.1%

Development Bank of Japan Inc.

20,2500

10.8%

The Higashi-Nippon Bank, Limited

1,500

0

0.8%

Mizuho Corporate Bank, Ltd.

18,400+ 1,000

9.8%

Nippon Life Insurance Company

1,300+ 1,000

0.7%

The Bank of Tokyo-Mitsubishi UFJ, Ltd.

14,500+ 2,000

7.7%

The Kagawa Bank, Ltd.

1,000

0

0.5%

Shinsei Bank, Ltd

13,0000

6.9%

The Hiroshima Bank, Ltd.

1,000

0

0.5%

Resona Bank, Limited

11,5000

6.1%

The Yamaguchi Bank, Ltd.

500

0

0.3%

Mitsubishi UFJ Trust and Banking Corporation

6,000

0

3.2%

Taiyo Life Insurance Company

300

0

0.2%

The Bank of Fukuoka, Ltd.

5,500

0

2.9%

Fukoku Mutual Life Insurance Company

200

0

0.1%

Kansai Urban Banking Corporation

5,000

0

2.7%

Total (25 banks)

187,200+ 1,000

100.0%

Mizuho Trust and Banking Co., Ltd.

5,000

0

2.7%

Aozora Bank, Ltd.

4,500

0

2.4%

ORIX Bank Corporation

2,500

0

1.3%

Issuance

The Gunma Bank, Ltd.

2,500

0

1.3%

No. 3 Unsecured Investment Corporation Bond

3,000

0

5 years

The 77 Bank, Ltd.

2,000

0

1.1%

No. 4 Unsecured Investment Corporation Bond

2,100

0

10 years

The Musashino Bank, Ltd.

2,000

0

1.1%

Total Investment Corporation Bonds

5,100

0

-

(Note) The total of Comparison with previous period includes repayment ofloans from The Shizuoka Bank, Ltd. in the amount of 2,000 million
yen, which reached maturity on August 31, 2015.

BalanceComparison with
Balance ratio
previous period

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

30

Unitholders as of the End of the Nov 2015 (20th) Fiscal Period█ Unitholders’ Share by Investor Type
Name of Financial
Institutions

20th Fiscal
Period Numberof Units

19th Fiscal
Period Numberof Units█ List of Top 10 Investors

Changeof Units

Rate*

Individuals

23,982

22,957- 1,025

4.74%

Financial Institutions

187,794

215,414+ 27,620

44.51%

Commercial Bank
Regional Bank
Trust BankLife Insurance
Non-life Insurance
Other Financial
Institutions
Other Domestic
Corporation

Foreigner
Securities
Total

0
2,784
180,818
1,619
192

0
6,725
203,367
1,829
192

0
+ 3,941+ 22,549+ 210
0128,905

128,905026.63%

2

Japan trustee Services Bank, Ltd.
(Trust Account)

78,07978,790+ 711

16.28%

3

Daiwa Securities Group Inc.

59,321

59,3210

12.26%

4

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

44,26852,8808,612

10.93%

5

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

44,34950,7806,431

10.49%

6

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

12,987

17,168+ 4,181

3.55%

7

Mitsubishi UFJ Morgan Stanley
Securities Co., Ltd.

215

4,356

4,141

0.90%

8

BNP Paribas Securities Services
Sydney/Jasdec/Australian Residents

748

3,247

2,499

0.67%

9

State Street Bank -West Pension
Fund Clients- Exempt 505233

1,288

3,151

1,863

0.65%

0

1,965

1,965

0.41%

370,160

400,563

30,40382.76%

0.38%
0.04%
0.68%

191,658

192,037379

39.68%
9.65%

973

6,864

+ 5,891

1.42%

441,000

484,000

43,000100.00%(*) Rounded to the second decimal place.

Rate*

Daiwa Investment Management Inc.

42.02%+ 920+ 10,135

20th Fiscal
19th Fiscal Period
Change ofPeriod Number of
Number of Units
Units
Units

1

1.39%

3,301

46,728Investor Name

0.00%

2,381

36,593No.

BNP Paribas Securities Services
10 Luxembourg/Jasdec/Henderson HHF
Sicav
Total

(*) Rounded to the second decimal place.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

31

Environmental Efforts█

Acquired “Green Star” Rating for 4th Consecutive Year at GRESB 2015
Following the participation in 2012, 2013 and 2014, Daiwa Real Estate Asset Management participated in the 2015 Global Real Estate
Sustainability Benchmark (GRESB) survey for the portfolio of Daiwa Office Investment Corporation and earned the best rating of “Green Star”
from GRESB Survey 2015. Daiwa Real Estate Asset Management received a high evaluation on sustainability from both “Management andPolicy” and “Implementation and Measurement” aspects for the third consecutive year.

█

Shinjuku Maynds Tower Receives DBJ Green Building Certification Upgrade in Fiscal 2015
Under the reevaluation of DBJ Green Building Certification through regularmonitoring conducted by the Development Bank of Japan (DBJ), Shinjuku
Maynds Tower’s certification level was upgraded from three stars (properties
with excellent environmental & social awareness) to four stars (properties with

<Shinjuku Maynds Tower>
Level

exceptionally high environmental & social awareness).

Properties withexceptionally highenvironmental &social awareness

The following two points were highly evaluated in the monitoring this time.
(1) Promotion of energy-saving measures by incorporating green leasing (Note)

Mark(2) Continuous participation in Shinjuku Minamirumi (consideration of andcontribution to surrounding communities)(Note) Green leasing is a method to realize facility renewals of a section
occupied by a tenant under a scheme which brings merits to both thetenant and the owner.

Name

Four stars

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

32

Activities in the Fiscal Period ending May 2016 (21st FP)

Internal Growth→ “Bonji-Tettei”

 Against the backdrop of improvement in the Tokyo
office market environment, achieve internal growth
based on a portfolio centering on properties in Tokyoby thoroughly implementing a hands-on approach.

External Growth→ Acquisition of carefully
selected properties

 Continue to carefully select and actively invest incompetitive properties that contribute to enhancementof portfolio value.

Financial Growth→ Strengthen financial
structure Work to further strengthen financial structure against
the backdrop of possible volatility hike in the financial
market.
 Conduct agile and flexible fund procurement bycapitalizing on strong relationship with lenders.

Corporate Governances
As a REIT on which strict governance is expected, further reinforce readiness concerning internal
control, legal compliance and risk management in order to further assure the trust of unitholders.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

33

Appendix

Change in Investment Unit Price and NAV per Unit
(Yen)

700,000

NAV per Unit

Investment Unit Price (closing price)

600,000

545,661
459,893500,000

449,764
400,000

428,435 422,993 419,285 417,390 416,844 421,941

478,051 506,681

445,466
467,984

300,000

200,000

100,000
平成21年10月
平成22年4月
平成24年10月
平成25年10月
平成26年4月
平成26年10月
平成27年4月
平成27年10月
8th FP
9th FP平成22年10月
10th FP平成23年4月
11th FP平成23年10月
12th FP平成24年4月
13th FP
14th FP平成25年4月
15th FP
16th FP
17th FP
18th FP
19th FP
20th FP* NAV = (Total net assets [after distribution]) – (book value of real estate, etc.) + (market value of real estate, etc. [real estate appraisal value])

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

35

Summary of Results for the Fiscal Period ended Nov 2015
(20th FP) (1) - Balance Sheet █ Comparison with Results of the 19th Fiscal Period
19th Fiscal Period

20th Fiscal Period

Million Yen

Million Yen

Million Yen

Million Yen(%)

23,542

5.4%(%)

19,998

Short-term Loans Payable

9,500

5,500

1,298

Current Portion of Long-term Loans
Payable

8,300

3,700

632

541

6,086

94.5%

440,674

95.7%

Accounts Payables-Other

404,397

93.6%

436,440

94.7%

Advances Received

1,298

1,941

Other Current Liabilities

700

262

76,91585,656

Land and Others (including Trust Property)

327,069

350,753

412

31

Other Tangible Fixed Assets
Intangible Fixed Assets

2,718

Leasehold Rights and Leasehold
Rights in Trust
Other Intangible Fixed Assets
Investments and Other Assets
Leasehold and Security Deposits
Paid in Trust
Long-term Prepaid Expenses
Other Investments and Other Assets

Investment Corporation Bond Issuance Costs

Total Assets

2,717

2,713

2,713

4

3

1,539

0.4%

1,516

113

113

1,304

1,206

120

196

35

Deferred Assets

0.6%

0.0%

35
432,232 100.0%

32

Liabilities

408,654

Building and Others (including Trust Property)

Fixed Liabilities

187,955

Investment Corporation Bonds
Long-term Loans Payable

0.6%

Tenant Leasehold
Deposits
Tenant Leasehold
Deposits in TrustandSecurity

andSecurity

Other Fixed Liabilities

0.3%

Total Liabilities

32
460,705 100.0%

200,215

5,100

5,100

168,400

178,000

8,960

15,531

5,152

1,005

343

578

209,27748.4%

213,005

219,155

243,403

Unappropriated Retained Earnings

4,031

4,689

Valuation, Translation Adjustments and Others

-232

-392

Total Net Assets

222,954

Unitholders' equity

0.0%

43.5%

Total Liabilities and Net Assets

51.6%

432,232 100.0%(%)

12,7892,082

Cash and Deposits in Trust

Tangible Fixed Assets

4.9%

844

16,618Fixed Assets

21,321889

16,703751

Current Liabilities

4.3%

(%)

Operating Accounts Payables

Cash and Deposits

Other Current Assets

Assets20th Fiscal Period

Net Assets

Current Assets

19th Fiscal Period

247,700

2.8%

43.5%

46.2%

53.8%

460,705 100.0%

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

36

Summary of Results for the Fiscal Period ended Nov 2015
(20th FP) (2) - Income Statement █ Comparison with Results of the 19th Fiscal Period █ Comparison with the 20th Fiscal Period Forecasts(Million Yen)

Effective Number of Days of Investment

19th Fiscal Period

20th Fiscal Period

182

183

(Million Yen)

ChangeEffective Number of Days of Investment

10,387

11,837+ 1,450

240

-

- 240

5,617

6,223

+ 606

Expenses related to Rental Business(excluding depreciation)

2,932

3,322

+ 389

Depreciation

1,553

1,703

+ 149

Gain and Loss from Rental Operations(excluding gain on sale)

5,660

6,811

+ 1,151

Operating Income (A-B)

4,770

5,614

Non-operating Expenses

750

20th Period Forecast

20th Fiscal Period

183

183

Change11,755

11,837

+ 82

-

-

0

6,285

6,223

- 62

Expenses related to Rental Business(excluding depreciation)

3,387

3,322

- 64

Depreciation

1,716

1,703

- 12

Gain and Loss from Rental Operations(excluding gain on sale)

6,651

6,811

+ 159

+ 844

Operating Income (A-B)

5,469

5,614

+ 144

938

+ 187

Non-operating Expenses

942

938

-3

582

582

+ 25

608

608

0

4,032

4,689

+ 657

4,527

4,689

+ 162

Extraordinary Income

-

-

-

Extraordinary Income

-

-

-

Extraordinary Expenses

-

-

-

Extraordinary Expenses

-

-

-

4,031

4,688

+ 657

4,525

4,688

+ 163

441,000

484,000+ 43,000

484,000

484,000

-

9,142

9,688

+ 546

9,350

9,688

+ 338

Operating Revenues (A)Gain on Sale
Operating Expenses (B)Interest Expense (including cap amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Unit: Yen)

Operating Revenues (A)Gain on Sale
Operating Expenses (B)Interest Expense (including cap amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Unit: Yen)

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

37

Forecasts for the Fiscal Periods ending May and Nov 2016
(21st and 22nd FP)█ Forecasts for the 21st and 22nd Fiscal Periods(Million Yen)

Effective Number of Days of Investment

20th Fiscal Period(Nov. 30, 2015)

21st Period Forecast(May 31, 2016)

22nd Period Forecast(Nov. 30, 2016)

183

183

183

11,837

11,922

12,132

-

-

-

6,223

6,354

6,530

Expenses related to Rental Business(excluding depreciation)

3,322

3,423

3,556

Depreciation

1,703

1,727

1,753

Gain and Loss from Rental Operations(excluding gain on sale)

6,811

6,771

6,822

Operating Income (A-B)

5,614

5,567

5,601

Non-operating Expenses

938

798

808

608

628

639

4,689

4,769

4,793

Extraordinary Income

-

-

-

Extraordinary Expenses

-

-

-

4,688

4,767

4,791

484,000

484,000

484,000

9,688

9,850

9,900

Operating Revenues (A)Gain on Sale
Operating Expenses (B)Interest Expense (including cap
amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Unit: Yen)

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

38

Major Financial Data

Item
Number of days of investment
Number of properties at end of period

Unit

16th Period

17th Period

18th Period

19th Period

20th Period

Day

183

182

183

182

183

Property

44

44

46

47

50

 NOI

Rent revenue + Other operating revenue –Expenses related to rent business +Depreciation
 FFO

%

Occupancy rate at end of period

96.3

96.4

97.2

97.3

98.3

Average acquisition priceMillion Yen

344,016

352,993

381,872

397,194415,259

NOI (after deduction of gain on sale)

Million Yen

5,890

6,008

6,936

7,213

8,515

Funds from operation (FFO)

Million Yen

4,288

4,368

5,138

5,344

6,392

Return on asset (ROA)

%

1.7

1.6

1.9

1.9

2.0

Return on equity (ROE)

%

3.0

3.0

3.4

3.6

3.8

Capital adequacy ratio at end of period

%

55.5

53.0

55.7

51.6

53.8

Loan-to-Value (LTV) at end of period

%

40.6

43.0

40.2

44.3

41.7

Net income + Depreciation – Gain on sale
 ROA

Annualized ordinary income / Total assets
 ROE

Annualized net income / Net assets
 Loan-to-Value (LTV) at end of fiscal period

Interest-bearing liabilities at end of fiscal
period / Total assets at end of fiscal period

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

39

Status of Interest-bearing Liabilities (As of Nov. 30, 2015)
Date ofadv ance
15/7/31
15/7/31
15/7/31
12/5/21
13/2/28
13/3/29

Due dateTerm

16/7/29
16/7/29
16/7/29
16/5/31
16/8/31
16/5/31

12/5/11
12/5/21
12/5/21
12/5/21
12/5/21
12/9/18
12/9/18
12/9/18
12/9/18
12/9/18
12/11/30
12/12/3
12/12/3
13/1/10
13/2/1
13/2/1
13/2/1
13/2/1
13/2/1
13/2/28
13/2/28
13/3/1
13/4/12
13/4/12
13/4/12
13/4/12
13/4/12
13/6/28
13/6/28
13/6/28
13/7/3

17/5/10
17/5/22
17/5/31
17/5/31
17/5/31
17/8/31
17/8/31
17/8/31
17/8/31
18/2/28
18/2/28
17/11/30
17/11/30
18/2/28
17/11/30
17/11/30
18/2/28
20/2/28
20/2/28
19/2/28
20/2/28
20/2/28
18/5/31
18/5/31
19/5/31
19/11/29
19/11/29
18/8/31
19/8/30
20/8/31
18/8/31
20/8/31
20/11/30
20/11/30

Shinsei Bank, Ltd.(*)(**)
The Higashi-Nippon Bank, Limited(*)

1,000 Fixed
1,000 Fixed

0.787%
0.808%

13/7/3
13/7/3
13/7/3

The Bank of Fukuoka, Ltd.(*)

1,000 Fixed

0.681%

13/7/818/8/31

Sumitomo Mitsui Trust Bank, Limited(*)

1,000 Fixed

0.824%

13/7/8

Sumitomo Mitsui Trust Bank, Limited(*)

4,000 Fixed

0.816%

Shinsei Bank, Ltd.(*)(**)

1,000 Fixed

0.836%

Balance
Interest
Ty pe(million y en)
Rate (%)
Shinsei Bank, Ltd.(*)(**)
1,000 Fixed 0.856%
Tokio Marine & Nichido Fire Insurance Co., Ltd.(*)(**)
1,000 Fixed 0.540%
The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)
2,000 Fixed 0.661%
The Bank of Fukuoka, Ltd.(*)
1,000 Fixed 0.681%
The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)
3,000 Fixed 0.761%
Sumitomo Mitsui Trust Bank, Limited(*)
1,000 Fixed 0.646%
Sumitomo Mitsui Banking Corporation.(*)
1,400 Fixed 0.629%
Mitsubishi UFJ Trust and Banking Corporation(*)
2,000 Fixed 0.622%
Mizuho Bank, Ltd.(*)
4,000 Fixed 0.636%
Sumitomo Mitsui Banking Corporation.(*)
1,400 Fixed 0.636%
ORIX Bank Corporation
1,500 Fixed 0.687%
The Bank of Fukuoka, Ltd.(*)
2,000 Fixed 0.662%
Shinsei Bank, Ltd.(*)(**)
1,000 Fixed 0.737%
Resona Bank, Limited(*)
2,000 Fixed 0.571%
Resona Bank, Limited(*)
2,000 Fixed 0.606%
Sumitomo Mitsui Banking Corporation.(*)
1,000 Fixed 0.606%
Sumitomo Mitsui Banking Corporation.(*)
1,000 Fixed 0.593%
Mitsubishi UFJ Trust and Banking Corporation(*)
3,000 Fixed 0.500%
The Gunma Bank, Ltd.(*)
1,000 Fixed 0.500%
Mizuho Bank, Ltd.(*)
1,000 Fixed 0.642%
Mizuho Bank, Ltd.(*)
3,900 Fixed 0.606%
Sumitomo Mitsui Trust Bank, Limited
2,000 Fixed 0.471%
The Musashino Bank, Ltd.(*)(**)
500 Fixed 0.435%
The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)
2,000 Fixed 0.595%
Mizuho Trust and Banking Co., Ltd.(*)
500 Fixed 0.595%
Dev elopment Bank of Japan Inc.
1,000 Fixed 0.742%
The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)
1,000 Fixed 0.618%
Mizuho Bank, Ltd.(*)
1,500 Fixed 0.585%
The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)
1,000 Fixed 0.585%
Sumitomo Mitsui Banking Corporation.
3,000 Floating T+0.350%
The Bank of Toky o-Mitsubishi UFJ, Ltd.
1,000 Floating T+0.350%
Sumitomo Mitsui Banking Corporation.(*)
2,000 Fixed 0.411%
Mizuho Trust and Banking Co., Ltd.(*)
3,000 Fixed 0.530%
Sumitomo Mitsui Banking Corporation.(*)
2,000 Fixed 0.530%
Sumitomo Mitsui Banking Corporation.(*)
3,500 Fixed 0.618%
Sumitomo Mitsui Banking Corporation.(*)
4,000 Fixed 0.585%
Shinsei Bank, Ltd.
1,000 Floating L+0.325%
Sumitomo Mitsui Banking Corporation.
2,000 Floating T+0.350%
The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)
1,000 Fixed 0.560%

LenderDate ofadv ance
13/7/31
13/8/913/8/913/8/913/8/913/8/913/8/913/9/27
13/9/27
13/9/27
13/9/30
13/9/30
13/11/29
14/3/18
14/3/18
14/3/25
14/3/25
14/3/31
14/3/31
14/3/31
14/3/31
14/5/29
14/5/29
14/5/29
14/5/29
14/5/29
14/5/29
14/5/29
14/5/29
14/5/29
14/5/29
14/7/8
14/7/8
14/7/8
14/7/8
14/7/8
14/7/8
14/7/821/8/31
18/7/31
18/8/31
18/8/31
20/8/31
21/2/26
21/5/31
18/11/30
21/3/31
21/3/31
19/2/28
19/3/29
20/11/30
19/9/30
21/3/31
21/3/31
22/2/28
19/3/29
19/3/29
20/3/31
21/3/31
19/5/31
19/5/31
20/5/29
20/5/29
20/11/30
21/11/30
22/5/31
22/5/31
22/11/30
22/11/30
19/11/29
20/11/30
20/11/30
21/11/30
22/5/31
22/8/31
22/11/30

14/12/1
14/12/1
14/12/1

22/5/31
22/11/30
23/5/31

Due date

Mizuho Bank, Ltd.
Sumitomo Mitsui Banking Corporation.

1,000 Floating T+0.325%
1,000 Floating T+0.350%

Shinsei Bank, Ltd.
Dev elopment Bank of Japan Inc.

1,000 Floating L+0.350%

14/12/1

23/5/31

19/11/29

1,000 Fixed

0.692%

14/12/3

21/11/30

13/7/8

20/5/29

Mitsubishi UFJ Trust and Banking Corporation(*)

1,000 Fixed

0.593%

14/12/3

21/11/30

13/7/31

21/5/31

The Bank of Toky o-Mitsubishi UFJ, Ltd.(*)

1,000 Fixed

0.560%

14/12/3

22/5/31

Term

LenderMizuho Bank, Ltd.
Resona Bank, Limited
Sumitomo Mitsui Trust Bank, Limited
Sumitomo Mitsui Banking Corporation.
Resona Bank, Limited
Dev elopment Bank of Japan Inc.

Long term borrowings

Balance
Interest
Ty pe(million y en)
Rate (%)
2,500 Floating T+0.250%
Sumitomo Mitsui Banking Corporation.
2,000 Floating T+0.250%
Sumitomo Mitsui Trust Bank, Limited
Mizuho Bank, Ltd.
1,000 Floating T+0.250%
Shinsei Bank, Ltd.(*)
2,000 Fixed 0.748%
Aozora Bank, Ltd.(*)
1,500 Fixed 0.519%
200 Fixed 0.533%
Fukoku Mutual Life Insurance Company
Total current maturities of long term borrowings
9,200
1,700 Fixed 1.018%
Dev elopment Bank of Japan Inc.
6,500 Fixed 1.022%
Dev elopment Bank of Japan Inc.
4,000 Fixed 0.859%
Sumitomo Mitsui Banking Corporation.(*)
3,000 Fixed 0.847%
Sumitomo Mitsui Trust Bank, Limited(*)
1,500 Fixed 0.847%
Mizuho Trust and Banking Co., Ltd.(*)
2,550 Fixed 0.962%
Dev elopment Bank of Japan Inc.
1,500 Fixed 0.705%
Sumitomo Mitsui Banking Corporation.(*)
Mizuho Bank, Ltd.(*)
1,000 Fixed 0.705%
The Hiroshima Bank, Ltd.(*)
1,000 Fixed 0.791%
3,400 Fixed 0.691%
Sumitomo Mitsui Trust Bank, Limited(*)
1,950 Fixed 0.600%
Sumitomo Mitsui Trust Bank, Limited(*)
2,000 Fixed 0.847%
Dev elopment Bank of Japan Inc.
Shinsei Bank, Ltd.(*)(**)
2,000 Fixed 0.613%
ORIX Bank Corporation(*)
1,000 Fixed 0.679%
Tokio Marine & Nichido Fire Insurance Co., Ltd.
1,000 Fixed 0.690%
The Yamaguchi Bank, Ltd.
500 Fixed 0.690%
The Higashi-Nippon Bank, Limited(*)
500 Fixed 0.726%
Sumitomo Mitsui Banking Corporation.(*)
2,000 Fixed 0.896%
Sumitomo Mitsui Trust Bank, Limited(*)
1,500 Fixed 0.896%
The Kagaw a Bank, Ltd.(*)
1,000 Fixed 0.814%
Aozora Bank, Ltd.(*)
2,000 Fixed 0.896%
Resona Bank, Limited(*)
2,000 Fixed 0.896%
The Gunma Bank, Ltd.(*)
500 Fixed 0.716%
The Musashino Bank, Ltd.(*)(**)
500 Fixed 0.578%
Aozora Bank, Ltd.(*)
1,000 Fixed 0.878%
Sumitomo Mitsui Trust Bank, Limited(*)
1,500 Fixed 0.844%
Dev elopment Bank of Japan Inc.
1,000 Fixed 0.963%
Kansai Urban Banking Corporation
1,500 Fixed 0.893%
Kansai Urban Banking Corporation(*)(**)
1,500 Fixed 0.677%
Kansai Urban Banking Corporation(*)(**)
2,000 Fixed 0.794%
Dev elopment Bank of Japan Inc.
1,000 Fixed 0.833%
Sumitomo Mitsui Banking Corporation.(*)
1,600 Fixed 0.781%

LenderLong term borrowings

Long term borrowings

Current maturities
of long term
borrowings

Term

Shinsei Bank, Ltd.
The 77 Bank, Ltd.(*)
Dev elopment Bank of Japan Inc.
The Bank of Fukuoka, Ltd.
Sumitomo Mitsui Trust Bank, Limited
Mizuho Bank, Ltd.
Shinsei Bank, Ltd.
Resona Bank, Limited
Sumitomo Mitsui Banking Corporation.

Mizuho Bank, Ltd.
The Bank of Toky o-Mitsubishi UFJ, Ltd.
The Musashino Bank, Ltd.(*)(**)
Nishi-Nippon City Bank, Ltd.
The 77 Bank, Ltd.
Sumitomo Mitsui Banking Corporation.
The Bank of Toky o-Mitsubishi UFJ, Ltd.
Nippon Life Inslance Company
Sumitomo Mitsui Trust Bank, Limited
The Bank of Toky o-Mitsubishi UFJ, Ltd.
Sumitomo Mitsui Banking Corporation.
The Gunma Bank, Ltd.(*)
Nippon Life Inslance Company
Taiy o Life Insurance Company
Total long-term borrow ings
Total borrow ings

Balance
Ty pe(million y en)
1,500 Float
1,500 Float
1,000 Float
1,500 Float
2,500 Float
2,000 Fixed
1,500 Float
1,000 Fixed
1,500 Fixed
1,500 Float
1,500 Float
1,500 Float
1,500 Float
1,500 Float
3,000 Float
2,000 Float
500 Float
1,000 Fixed
2,000 Float
1,000 Float
500 Float
1,000 Fixed
1,000 Float
1,000 Float
1,000 Float
1,000 Float
1,000 Fixed
300 Float
300 Fixed
166,000
175,200

Interest
Rate (%)
T+0.325%
T+0.325%
T+0.325%
T+0.350%
T+0.325%0.710%
L+0.325%
0.479%
0.634%
T+0.300%
T+0.325%
T+0.325%
L+0.325%
T+0.325%
T+0.350%
T+0.325%
T+0.325%
0.349%
L+0.250%
T+0.250%
T+0.350%0.300%
T+0.250%
T+0.325%
T+0.325%
T+0.350%0.443%
T+0.250%
0.541%

Date ofadv ance
14/12/3
14/12/3
14/12/3
14/12/3
15/2/27
15/3/31
15/3/31
15/5/1
15/5/1
15/5/1
15/5/1
15/5/1
15/5/1
15/5/1
15/5/1
15/5/29
15/5/29
15/8/31
15/8/31
15/8/31
15/8/31
15/9/1115/9/1115/9/1115/9/1115/9/11
15/11/30
15/11/30
15/11/30

Due date
22/11/30
22/11/30
22/11/30
23/5/31
23/2/28
22/3/31
23/5/31
21/5/31
22/5/31
23/5/31
23/11/30
23/11/30
23/11/30
23/11/30
24/5/31
23/11/30
23/11/30
20/8/31
22/8/31
22/8/31
24/8/30
19/8/30
22/8/31
24/2/29
24/2/29
24/8/30
22/2/28
22/8/31
22/11/30█ Investment Corporation Bonds
Term
Long-term

BalanceType(million y en)

Interest

Date ofRate (%)

advanceNo. 3 Unsecured Investment Corporation Bond

3,000 Fixed

0.42%

14/9/12

19/9/12

No. 4 Unsecured Investment Corporation Bond

2,100 Fixed

1.00%

14/9/12

24/9/12

LenderTotal Inv estment corporate bonds

Due date

5,100(Note) Both are with pari passu clause among specified investment
corporation bonds.

Note: Fixed Interest Rate and Floating Interest Rate are rounded to the third decimal place(*)
Interest rates that were changed from a floating rate to a fixed rate by concluding the swap agreement are described as fixedinterest rates.
(**) Interest rates are converted based on 1 year=365 days and indicated.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

40

Analyses of Tenants(As of Nov. 30, 2015)

Major Tenants Top 10 List
Tenant Name(*1)

Property

Not disclosed (*)

Daiwa Tsukishima% Share of Industries* of Top 100 Tenants**

Leased Space
( ㎡)
(*2)
6,379.88% of Total Leased
Space
(*3)
1.9%

Fields Corporation

E SPACE TOWER

6,372.30

1.9%

Trend Micro Incorporated

Shinjuku Maynds Tower

6,314.58

1.9%

Securities,
commodity
futures trade
3.2%

Other 16.5%
Information&
Communicati
on 24.2%

Schools 3.2%

Jupiter Shop Channel Co.,Ltd.

River Gate

6,211.77

1.9%

Tokio Marine & Nichido Anshin
Consulting Co., Ltd.

Integral Tower

6,058.41

1.8%

Palsystem Consumers'
Co-operative UnionLAQUAS Higashi Shinjuku

5,985.08

1.8%

Not disclosed (*)

Daiwa Kayabacho Build.

5,899.11

1.8%

EMC Japan

Shinjuku Maynds Tower

5,693.39

1.7%

Mitsubishi UFJ NICOS Co., Ltd.

Kitahama Grand Building

5,418.42

1.6%

Not disclosed (*)

Shinjuku Maynds Tower

5,337.60

1.6%

59,670.54

18.6%

Total

Banks 3.4%
Construction
3.5%
Services
21.5%

Foods 3.7%
Wholesale
5.4%
Real Estate
7.2%
Retail Trade
7.5%* The leased space of top 100 tenants covers 64.8% of total leased
space as of the end of the 20th Fiscal Period.
** Industries are categorized according to TSE’s 33 industry groups.

*1 Not disclosed due to tenant's request.
*2 Leased spaces of the tenants in Shinjuku Maynds Tower are described as the figure equivalent to 6/7, ownership % of the Investment Corporation.
*3 Rounded down to first decimal place.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

41

Appraisal Value Compared to the Previous Fiscal Period (1)(Unit: Million Yen)
Property Name

Compared to
End of 19th Period(*)

Appraisal Value
End of 19th Period

End of 20th Period Difference

ChangeAcquisition
Price

Compared to
Acquisition Price
Difference

ChangeCap Rate
19th Period 20th Period

Daiwa Ginza

15,50015,800+300

1.9%

14,100+1,700

12.1%

4.0%

3.9%

Daiwa Ginza Annex

3,170

3,260

+90

2.8%

3,050

+210

6.9%

3.9%

3.8%

Daiwa Shibaura

7,240

7,350

+110

1.5%

8,265

-915

-11.1%

4.5%

4.3%

Daiwa Minami Aoyama

4,140

4,250

+110

2.7%

4,550

-300

-6.6%

4.3%

4.2%

Daiwa Sarugakucho

3,270

3,270

-

0.0%

3,190

+80

2.5%

4.8%

4.8%

Daiwa A Hamamatsucho

3,070

3,220

+150

4.9%

2,865

+355

12.4%

4.3%

4.1%

Daiwa Jingumae

2,180

2,230

+50

2.3%

2,800

-570

-20.4%

4.2%

4.1%

Daiwa Shibadaimon

2,700

2,860

+160

5.9%

2,578

+282

10.9%

4.1%

3.9%

Daiwa Misakicho

2,560

2,680

+120

4.7%

2,346

+334

14.2%

4.4%

4.2%

Daiwa Shimbashi 510

2,400

2,420

+20

0.8%

2,080

+340

16.3%

4.5%

4.4%

Daiwa Tsukijiekimae

1,490

1,550

+60

4.0%

1,560

-10

-0.6%

4.7%

4.6%

Daiwa Tsukiji

1,330

1,360

+30

2.3%

1,240

+120

9.7%

4.6%

4.5%

Daiwa Tsukishima

8,940

9,080

+140

1.6%

7,840

+1,240

15.8%

4.6%

4.4%

Daiwa Nihonbashi Horidomecho

2,410

2,450

+40

1.7%

2,520

-70

-2.8%

4.5%

4.4%

Daiwa Azabudai

1,700

1,750

+50

2.9%

1,600

+150

9.4%

4.4%

4.3%

Daiwa Kyobashi

3,120

3,180

+60

1.9%

3,460

-280

-8.1%

4.4%

4.3%

Daiwa Kojimachi 4-chome

2,600

2,670

+70

2.7%

2,910

-240

-8.2%

4.1%

4.0%

Daiwa Onarimon

12,60012,800+200

1.6%

13,860-1,060

-7.6%

4.2%

4.1%

Shinjyuku Maynds Tower

113,000

116,000+3,0002.7%

133,800-17,800-13.3%

3.7%

3.6%

SHIBUYA EDGE

4,520

4,650

+130

2.9%

5,900

-1,250-21.2%

4.1%

4.0%

Daiwa Kodemmacho

2,020

2,060

+40

2.0%

2,460

-400

-16.3%

4.7%

4.6%

Daiwa Jimbocho

3,110

3,230

+120

3.9%

4,150

-920

-22.2%

4.5%

4.4%

Daiwa Nishishimbashi

5,060

5,330

+270

5.3%

5,000

+330

6.6%

4.3%

4.1%

Daiwa Kudan

3,220

3,270

+50

1.6%

4,000

-730

-18.3%

4.3%

4.2%

Daiwa Kayabacho Building

7,080

7,460

+380

5.4%

5,600

+1,860

33.2%

3.9%

3.7%

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

42

Appraisal Value Compared to the Previous Fiscal Period (2)(Unit: Million Yen)
Property Name

Compared to
End of 19th Period(*)

Appraisal Value
End of 19th Period

End of 20th Period Difference

Acquisition
Price

ChangeCompared to
Acquisition Price
Difference

ChangeCap Rate
19th Period 20th Period

Daiwa Jinbocho 3-chome

4,170

4,420

+250

6.0%

3,550

+870

24.5%

3.9%

3.7%

E SPACE TOWER

31,00032,300+1,3004.2%

24,000+8,300

34.6%

3.8%

3.6%

Daiwa Nihonbashi Hongokucho

2,000

2,110

+110

5.5%

1,721

+389

22.6%

4.5%

4.3%

shinyon curumu

11,40012,000

+600

5.3%

9,650

+2,350

24.4%

3.8%

3.6%

Daiwa Shibuya Dogenzaka

5,790

6,380

+590

10.2%

4,500

+1,880

41.8%

4.0%

3.8%

Daiwa Akasaka

11,20012,100

+900

8.0%

9,200

+2,900

31.5%

3.8%

3.6%

Daiwa Shibuya Miyamasuzaka

7,840

8,040

+200

2.6%

7,000

+1,040

14.9%

4.0%

3.9%

Azabu Green Terrace

15,60015,700+100

0.6%

14,000+1,700

12.1%

4.1%

4.1%

Daiwa Ebisu 4-chome

4,720

5,120

+400

8.5%

4,135

+984

23.8%

4.2%

4.0%

LAQUAS Higashi Shinjuku

9,400

9,830

+430

4.6%

8,450

+1,380

16.3%

3.8%

3.6%

Concept Aoyama

10,600

11,200

+600

5.7%

9,800

+1,400

14.3%

3.8%

3.6%

Shinsen Place

5,720

6,020

+300

5.2%

4,800

+1,220

25.4%

3.9%

3.7%

Glass City Shibuya

17,00017,500+500

2.9%

16,000+1,500

9.4%

3.8%

3.7%

River Gate-

29,800--28,000+1,800

6.4%

-

4.3%

Daiwa Hatchobori ekimae

-

3,060

-

-

2,871

+189

6.6%

-

3.8%

Daiwa Hatchobori ekimae West

-

1,700

-

-

1,647

+53

3.2%

-

3.9%

Daiwa Higashi-Ikebukuro

3,340

3,490

+150

4.5%

2,958

+532

18.0%

4.7%

4.5%

Daiwa Shinagawa North

5,780

5,790

+10

0.2%

7,710

-1,920-24.9%

4.7%

4.6%

Daiwa Osaki 3-chome

2,120

2,240

+120

5.7%

1,650

+590

35.8%

4.3%

4.1%

Daiwa Kamiooka

2,260

2,420

+160

7.1%

2,000

+420

21.0%

5.1%

4.9%

Integral Tower

16,80017,500+700

4.2%

15,220+2,280

15.0%

4.3%

4.1%

Meguro Place Tower

5,810

6,110

+300

5.2%

5,600

+510

9.1%

4.1%

3.9%

Daiwa Minami-Senba

2,570

2,660

+90

3.5%

4,810

-2,150-44.7%

5.2%

5.1%

Daiwa Meieki

6,840

7,150

+310

4.5%

5,300

+1,850

34.9%

4.7%

4.5%

Kitahama Grand Building

10,60011,000

+400

3.8%

9,481

+1,518

16.0%

4.3%

4.1%

Total(*)

410,990459,820+14,270
3.5%
445,777+14,043
3.2%
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,*Difference and change“Compared
End of the
19th Period”
do Officenot include
the impactof theadvises
properties
acquiredthe 20th Period
nor is itinintended
for thetopurposesof solicitation.
Daiwa
Investment
Corporation
readers
to makeininvestment
decisions at their own judgment.

43

Appraisal Value at End of Fiscal Period (1)(Unit: Million Yen)
Summary of Appraisal Report (End of 20th period)
Property Name

Appraisal Value at
End of 20th Period

Direct Capitalization Method
Value

Cap Rate

DCF Method
Discount
Rate

Value

Terminal
Cap Rate

Integrated Value

Daiwa Ginza

15,800

16,1003.9%

15,500

3.7%

4.1%

13,100Daiwa Ginza Annex

3,260

3,300

3.8%

3,210

3.6%

4.0%

3,420

Daiwa Shibaura

7,350

7,460

4.3%

7,300

4.1%

4.5%

6,170

Daiwa Minami Aoyama

4,250

4,290

4.2%

4,210

4.0%

4.4%

3,620

Daiwa Sarugakucho

3,270

3,310

4.8%

3,220

4.6%

5.0%

1,580

Daiwa A Hamamatsucho

3,220

3,280

4.1%

3,190

3.9%

4.3%

2,030

Daiwa Jingumae

2,230

2,250

4.1%

2,210

3.9%

4.3%

2,250

Daiwa Shibadaimon

2,860

2,940

3.9%

2,830

3.7%

4.1%

1,970

Daiwa Misakicho

2,680

2,710

4.2%

2,660

4.0%

4.4%

1,560

Daiwa Shimbashi 510

2,420

2,500

4.4%

2,380

4.2%

4.6%

1,930

Daiwa Tsukijiekimae*

1,550

1,570

4.6%

1,540

4.6%

4.8%

1,490

Daiwa Tsukiji

1,360

1,350

4.5%

1,370

4.5%

4.7%

1,350

Daiwa Tsukishima

9,080

9,130

4.4%

9,060

4.1%

4.6%

4,950

Daiwa Nihonbashi Horidomecho

2,450

2,490

4.4%

2,410

4.2%

4.6%

1,540

Daiwa Azabudai

1,750

1,760

4.3%

1,740

4.1%

4.5%

1,170

Daiwa Kyobashi

3,180

3,220

4.3%

3,140

4.1%

4.5%

1,920

Daiwa Kojimachi 4-chome

2,670

2,820

4.0%

2,600

3.8%

4.2%

3,850

Daiwa Onarimon

12,80013,100

4.1%

12,5003.9%

4.3%

11,400Shinjyuku Maynds Tower**

116,000

142,000

3.6%

132,000

3.4%

3.8%

105,000

SHIBUYA EDGE

4,650

4,730

4.0%

4,560

3.8%

4.2%

3,320

Daiwa Kodemmacho

2,060

2,080

4.6%

2,030

4.4%

4.8%

1,050

Daiwa Jimbocho

3,230

3,320

4.4%

3,190

4.4%

4.6%

3,090

Daiwa Nishishimbashi

5,330

5,460

4.1%

5,280

3.9%

4.3%

3,970

Daiwa Kudan

3,270

3,360

4.2%

3,250

4.2%

4.4%

3,180

Daiwa Kayabacho Building

7,460

7,590

3.7%

7,410

3.5%

3.9%

5,720

* Discount rate for Daiwa Tsukijiekimae is that of after the 4th fiscal year (4.5% for the first fiscal year and 4.6% for 2nd and 3rd fiscal year).
ThisShinjuku
document
is not Towera material
disclosed
compliancethe Financial
InstrumentsandTheExchange
Law or any
of appraisal
similar nature,**Appraisal value for
Mayndsis indicatedasin6/7of the totalwith
appraisalvalue forthe building.
figure regarding
theregulation
overview ofreport is indicated as
7/7 of the total. nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

44

Appraisal Value at End of Fiscal Period (2)(Unit: Million Yen)
Summary of Appraisal Report (End of 20th period)
Property Name

Appraisal Value at
End of 20th Period

Direct Capitalization Method
Value

Cap Rate

DCF Method
Value

Discount
Rate

Terminal
Cap Rate

Integrated Value

Daiwa Jinbocho 3-chome

4,420

4,520

3.7%

4,370

3.5%

3.9%

3,760

E SPACE TOWER

32,30032,9003.6%

31,600

3.4%

3.8%

29,200Daiwa Nihonbashi Hongokucho

2,110

2,140

4.3%

2,090

4.1%

4.5%

1,510

shinyon curumu

12,00012,1003.6%

11,900

3.4%

3.8%

12,200Daiwa Shibuya Dogenzaka

6,380

6,690

3.8%

6,240

3.6%

4.0%

4,270

Daiwa Akasaka

12,10012,400

3.6%

12,000

3.4%

3.8%

12,300Daiwa Shibuya Miyamasuzaka

8,040

8,080

3.9%

8,000

3.6%

4.0%

8,930

Azabu Green Terrace

15,70015,8004.1%

15,500

3.8%

4.2%

15,200Daiwa Ebisu 4-chome

5,120

5,140

4.0%

5,110

3.8%

4.2%

3,590

LAQUAS Higashi Shinjuku

9,830

10,200

3.6%

9,670

3.4%

3.8%

10,600Concept Aoyama

11,20011,500

3.6%

11,000

3.4%

3.8%

9,290

Shinsen Place

6,020

6,080

3.7%

5,990

3.6%

3.9%

3,650

Glass City Shibuya

17,50017,6003.7%

17,3003.4%

3.8%

16,400River Gate

29,80030,0004.3%

29,6004.0%

4.4%

26,500Daiwa Hatchobori ekimae

3,060

3,210

3.8%

3,000

3.6%

4.0%

3,710

Daiwa Hatchobori ekimae West

1,700

1,780

3.9%

1,670

3.7%

4.1%

1,850

Daiwa Higashi-Ikebukuro

3,490

3,550

4.5%

3,460

4.3%

4.7%

2,160

Daiwa Shinagawa North

5,790

5,830

4.6%

5,740

4.4%

4.8%

4,170

Daiwa Osaki 3-chome

2,240

2,260

4.1%

2,230

3.9%

4.3%

1,480

Daiwa Kamiooka

2,420

2,410

4.9%

2,430

4.7%

5.1%

2,160

Integral Tower

17,50017,900

4.1%

17,3003.9%

4.3%

12,000Meguro Place Tower

6,110

6,340

3.9%

6,010

3.7%

4.1%

5,750

Daiwa Minami-Senba

2,660

2,700

5.1%

2,620

4.9%

5.3%

1,750

Daiwa Meieki

7,150

7,310

4.5%

7,080

4.5%

4.7%

8,120

Kitahama Grand Building

11,00011,300

4.1%

10,9003.9%

4.3%

11,900Total

This document is not a material disclosedwith the Financial- Instruments
and Exchange Law or
nature,459,820 in compliance
491,860
471,600- any regulation- of similar 403,080
nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

45

Portfolio Performance Summary (1)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

Daiw a Ginza

Daiwa Ginza Annex

Daiwa Shibaura

Daiwa Minami Aoy ama

Daiwa Sarugakucho

Daiwa A Hamamatsucho

Daiwa Jingumae

14,100
3,050
8,265
4,550
3,190
2,865
2,800
19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
13,372
13,308
2,845
2,830
8,040
8,022
4,467
4,465
3,220
3,226
2,821
2,827
2,698
2,698
15,50015,800
3,170
3,260
7,240
7,350
4,140
4,250
3,270
3,270
3,070
3,220
2,180
2,230
91.8
93.9
100.0
100.0
99.5
98.7
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
4.53
4.53
3.97
3.97
3.82
3.82
9.19
9.19
7.14
7.14
3.79
3.79
13.33
13.33
Best Property

Best Property

Xy max AlphaBest Property

Property Partners

Best Property

Best Property

182375,771367,353
8,417
110,712
16,46629,155
5,603
27,551433
19,65911,841
265,058
531,573
4.0%
70,6492,680

183
382,686
382,686
095,83014,66828,9005,760
28,007439
6,213
11,841
286,855
572,143
4.3%
70,3890

182
88,00188,0010
22,794
4,071
7,330
1,384
9,080
100
828
0
65,207130,772
4.6%
17,7230183
92,412
92,412
0
23,890
3,992
6,889
1,386
9,106
101
2,414
0
68,522
136,670
4.8%
17,8630

182
219,019
216,998
2,020
63,515
12,76523,2003,319
19,203404
4,602
20
155,503311,862
3.9%
25,492573

183
240,003
238,616
1,386
68,631
12,457
22,626
3,627
19,626407
9,884
0
171,372
341,807
4.3%
25,485436

182
124,553
124,553
030,727
3,554
7,947
1,953
11,715146
5,410
093,825
188,166
4.2%
12,0970183
127,439
123,977
3,462
28,409
4,852
8,757
2,010
11,874151763
099,030
197,519
4.4%
13,0590

182- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
85,510171,491
5.3%- (*6)- (*6)

183- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
83,213
165,971
5.1%- (*6)- (*6)

182
127,409
127,4090
59,775
8,267
10,513
1,925
8,657
183
827
29,40067,633
135,639
4.8%
13,8450

183
132,499
132,499
060,161
8,334
9,884
1,987
8,785
186
1,583
29,40072,337
144,280
5.1%
14,5710

182
54,10854,1080
18,630
3,148
5,613
1,200
6,305
81
2,274
7
35,47871,151
2.6%
7,372
0

183
71,01671,0160
18,362
2,819
6,330
1,409
6,365
83
1,347
7
52,653105,019
3.9%
7,462
0

0

0

0

0

0

0

0

0

- (*6)- (*6)

0000(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

46

Portfolio Performance Summary (2)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)
Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

Daiw a Shibadaimon

Daiw a Misakicho

Daiw a Shimbashi 510

Daiw a Tsukijiekimae

Daiw a Tsukiji

Daiwa A Tsukiji 616（*7）

Daiw a Tsukishima

2,578
2,346
2,080
1,560
1,240
7,840
19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
2,405
2,398
2,205
2,196
2,138
2,131
1,367
1,354
1,177
1,172
7,060
7,006
2,700
2,860
2,560
2,680
2,400
2,420
1,490
1,550
1,330
1,360
8,940
9,080
100.0
100.0
100.0
100.0
99.6
99.6
100.0
100.0
89.2
89.2
100.0
100.0
3.72
3.72
4.24
4.24
5.51
5.51
4.23
4.23
4.98
4.98
4.87
4.87
Best Property

Property Partners

MS Building Suppor

182
82,61582,6150
20,992
5,571
7,146
1,256
6,240
112
665
0
61,623
123,584
5.1%
9,681
0

183
85,67085,670024,111
5,771
7,877
1,287
6,257
116
2,799
0
61,559122,782
5.1%
9,576
0

Best Property182- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
62,974
126,294
5.7%- (*6)- (*6)

183- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
63,294
126,242
5.7%- (*6)- (*6)

182
84,407
84,407
0
21,527
3,778
6,599
1,264
5,555
110
4,218
0
62,879126,105
5.9%
7,146
0

183
85,07485,0740
19,254
3,943
7,403
1,276
5,706
116
807
0
65,819131,278
6.2%
7,594
0

182
56,052
56,052
0
16,697
2,985
6,989
1,200
5,028
96
381
18
39,35478,925
5.8%
13,4700183
56,471
56,4710
16,421
2,998
6,604
1,200
5,074
98
427
18
40,04979,8805.9%
13,4600

Xy max Alpha

182
44,25344,2530
12,920
2,438
3,437
1,200
3,823
54
1,966
0
31,33362,839
5.3%
7,237
0

183
45,66045,660014,988
2,374
3,208
1,200
3,869
58
4,277
0
30,672
61,177
5.2%
7,230
0

MS Building Suppor

94
39,99739,9970
16,903
1,874
4,813
625
8,997
63
529
0
23,093111,037
5.0%
14,0510-

Property Partners

182
281,035
281,035
078,602
8,116
26,6784,221
13,191
301
26,091
0
202,432
405,978
5.8%
52,3870

183
283,096
283,096054,207
8,151
27,062
4,255
13,639305793
0228,889
456,527
6.5%
53,98400

0- (*6)- (*6)

0

0

0

0

0

0

0

-

0

0

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request.
(*7) Properties sold in the 19th fiscal period..
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

47

Portfolio Performance Summary (3)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

Daiwa Nihonbashi Horidomecho

Daiw a Azabudai

Daiwa Nihombashi Honcho（*6）

Daiw a Kyobashi

Daiwa Ginza 1-chome（*6）

Daiwa Kojimachi 4-chome

Daiw a Onarimon

2,520
1,600
3,460
2,910
13,86019th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
2,504
2,496
1,550
1,543
3,327
3,313
2,860
2,851
13,49813,478
2,410
2,450
1,700
1,750
3,120
3,180
2,600
2,670
12,60012,800
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
4.68
4.68
6.64
6.64
4.51
4.51
6.19
6.19
3.89
3.89
Best Property

Best Property

Xy max Alpha

Xy max AlphaBest Property

Best Property

Xy max Alpha

182
75,66075,660020,188
5,319
5,870
1,224
6,564
125
1,085
0
55,471
111,248
4.4%
13,9440

183
81,633
81,6330
18,974
3,906
5,748
1,281
6,720
129
1,187
0
62,658
124,974
5.0%
14,1930

182
52,38850,730
1,658
16,983
3,524
3,800
1,200
4,809
81
3,567
0
35,40471,003
4.6%
8,420
1,658

183
53,47953,4790
12,495
2,417
3,745
1,200
4,912
81
138
0
40,98381,743
5.3%
8,594
0

63
60,52060,520031,113
8,486
7,265
630
13,82097813
029,406
226,751
3.2%
14,8980-

63
19,701
19,7010
16,612
3,343
2,970
414
9,205
48
630
0
3,088
55,602
1.2%
10,0580-

182
96,28496,186
97
25,060
4,633
9,493
1,452
7,027
133
2,320
0
71,223
142,837
4.3%
19,0100183
98,50398,503
0
23,964
4,480
8,877
1,465
7,120
135
1,885
0
74,539148,671
4.5%
19,5360

182
91,276
91,276030,515
4,603
8,588
1,366
14,702130
1,125
060,760121,855
4.3%
11,4400183
91,41991,419033,336
4,489
8,126
1,395
14,948136
4,239
058,083
115,849
4.1%
11,5100182
275,733
275,733
083,355
16,396
26,2002,790
33,647414
3,905
0
192,377
385,8122.9%
30,4070183
331,178
331,178082,283
12,72427,353
3,403
34,931420
3,450
0248,894
496,429
3.7%
30,620
0

0

0

0

0

0

-

0

-

0

0

0

0

0

0

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Properties sold in the 19th fiscal period.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

48

Portfolio Performance Summary (4)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

Shinjyuku Maynds Tower

SHIBUYA EDGE

Daiw a Kodemmacho

Daiw a Jimbocho

Daiw a Nishishimbashi

Daiw a Kudan

Daiwa Kayabacho Building

133,800
5,900
2,460
4,150
5,000
4,000
5,600
19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
130,254
130,383
5,738
5,724
2,417
2,409
4,120
4,101
4,908
4,877
3,848
3,828
5,423
5,395
113,000
116,000
4,520
4,650
2,020
2,060
3,110
3,230
5,060
5,330
3,220
3,270
7,080
7,460
98.8
96.1
100.0
100.0
100.0
100.0
100.0
100.0
96.3
100.0
100.0
100.0
100.0
100.0
2.03
2.03
1.56
1.56
4.19
4.19
5.05
5.05
3.76
3.76
5.51
5.51
4.50
4.50
Xy max Alpha

Xy max Alpha

Property Partners

Japan Property Solutions

Xy max Alpha

Japan Property Solutions

Property Partners

182
2,446,339
2,446,339
0762,752
144,335
295,862
17,355
253,151
3,610
44,543
3,893
1,683,587
3,376,425
2.6%
386,0480183
2,557,822
2,537,759
20,063796,808
134,431
293,383
17,736247,173
3,705
92,547
7,831
1,761,013
3,512,404
2.7%
383,3150

182
118,063
118,063
023,365
4,176
8,103
1,770
7,254
107
1,953
0
94,697
189,916
3.3%
15,9950

183
115,426
115,426
0
24,926
6,292
8,119
1,739
7,250
109
1,416
0
90,499180,504
3.2%
16,1820

182
62,50062,500014,275
2,908
5,275
1,200
3,609
81
377
822
48,22496,714
4.0%
8,921
0

183
64,34064,340014,449
2,852
5,302
1,200
3,637
86
548
822
49,891
99,510
4.1%
9,331
0

182
96,403
96,403032,421
5,991
9,301
1,200
10,609
139
4,918
261
63,982
128,316
3.1%
19,3770

183
103,301
103,301
0
27,034
5,614
8,108
1,200
10,910141
1,019
40
76,266
152,116
3.7%
21,4620

182
138,606
138,606
046,33913,932
12,424
1,837
15,610237
2,295
392,267
185,041
3.8%
33,3870

183
147,221147,221046,34913,65912,062
1,940
15,751240
2,694
0100,872
201,193
4.1%
33,9440

182
101,125
93,484
7,641
24,275
5,470
8,304
1,501
8,456
117
424
0
76,850154,123
4.0%
24,4190183
88,30878,796
9,512
33,915
8,608
8,339
1,391
8,750
119
6,706
0
54,393
108,4882.8%
24,5243,900

182- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
120,911242,487
4.5%- (*6)- (*6)

183- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
148,234
295,658
5.5%- (*6)- (*6)

0

0

0

0

0

0

0

0

0

0

0

0

- (*6)- (*6)(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do notmatch.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

49

Portfolio Performance Summary (5)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)
Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

E SPACE TOWER

Daiwa Jinbocho 3-chome

shinyon curumu

Daiwa Nihonbashi Hongokucho

Daiw a Shibuy a Dogenzaka

Daiw a Akasaka

Daiwa Daiwa Shibuya Miyamasuzaka

3,550
24,000
1,721
9,650
4,500
9,200
7,000
19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
3,488
3,469
23,75323,703
1,667
1,653
9,883
9,847
4,489
4,484
9,305
9,411
7,200
7,207
4,170
4,420
31,00032,3002,000
2,110
11,40012,0005,790
6,380
11,20012,100
7,840
8,040
100.0
100.0
96.4
100.0
100.0
100.0
100.0
100.0
100.0
91.9
85.8
88.4
100.0
100.0
5.33
5.33
3.11
3.11
3.80
3.80
4.44
4.44
3.77
3.77
7.14
7.14
5.64
5.64
Japan Property Solutions

MS Building Suppor

MS Building Suppor

182
99,24899,248025,082
6,013
7,744
1,563
9,322
122
316
0
74,165
148,739
4.3%
19,7220

183
111,538
111,538
0
26,545
5,998
8,249
1,703
9,397
124
1,070
0
84,993
169,5214.9%
19,7240

Xy max Alpha

182
706,695
706,695
0173,715
50,35255,152
7,117
56,336
645
3,607
503
532,980
1,068,889
4.5%
64,1250

183
777,230
777,2300169,901
39,36757,723
7,882
56,895655
7,305
72
607,328
1,211,338
5.1%
64,4640

182
59,671
59,6710
12,422
2,763
3,964
1,200
4,418
76
0
0
47,24894,7575.7%
13,1600183
55,91855,9180
14,128
3,580
3,576
1,200
4,421
76
1,274
0
41,79083,3525.0%
13,1600182
300,364
299,253
1,111
84,341
23,13924,3002,944
33,424326
205
0216,023
433,233
4.4%
35,4410183
309,245309,245083,01420,00525,474
3,188
33,625330390
0226,231451,226
4.6%
35,8300Best Property

182
143,967
143,967
045,994
12,95914,088
1,747
13,570209
3,418
097,973
196,484
4.4%
17,9660183
151,462
147,462
4,000
50,036
10,635
14,6091,738
13,589212
9,251
0101,426
202,298
4.5%
17,8644,000

Xy max Alpha

182
282,847
282,847
0
97,091
20,75938,3293,144
32,824425
1,608
0
185,755
372,532
4.0%
23,0970183
296,961
296,961
0147,998
33,082
43,5303,266
33,109429
34,5790148,962
297,111
3.2%
25,6170

Japan Property Solutions

182
231,356
231,356
067,622
18,24019,2882,776
20,307296
6,668
45
163,734
328,367
4.6%
21,4530183
227,895
227,895
068,37021,50018,026
2,741
19,980300
5,797
24
159,524
318,176
4.4%
22,406
0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

50

Portfolio Performance Summary (6)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

Azabu Green Terrace

Daiw a Ebisu 4-chome

LAQUAS Higashi Shinjuku

Concept Aoyama

Shinsen Place

Glass City Shibuya

River Gate

28,00014,000
4,135
8,450
9,800
4,800
16,00019th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
14,335
14,286
4,171
4,288
8,674
8,642
10,066
10,056
4,934
4,922
16,155
16,12428,21815,60015,700
4,720
5,120
9,400
9,830
10,600
11,2005,720
6,020
17,00017,50029,800
100.0
100.0
0.0
100.0
100.0
100.0
85.9
100.0
100.0
100.0
100.0
100.0
95.3
2.67
2.67
2.44
2.44
4.46
4.46
4.42
4.42
6.21
6.21
1.61
1.61
1.76
Best Property

MS Building Suppor

ITOCHU Urban Community

Xy max AlphaBest Property

MS Building Suppor

MS Building Suppor

182
440,135
438,746
1,388
92,831
27,99852,617
3,955
186
610
7,461
0
347,304
696,516
4.9%
50,2130183452,934
452,934
0
124,520
28,50451,783
3,982
31,865615
7,769
0
328,414655,033
4.6%
50,2860

182- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
10,397
20,8520.5%- (*6)- (*6)

183- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)-39,117-78,020-1.8%- (*6)- (*6)

180
219,543
219,543
025,8639,560
14,282
1,187
13
310
283
226
193,679
392,739
4.5%
32,2900183
227,234
227,234
051,157
10,71917,802
1,277
20,227316
654
158
176,076
351,191
4.1%
32,2900

91
106,858
106,858
0
8,749
4,996
2,177
1,279
2
78
155
60
98,108393,512
3.9%
8,523
0

183
209,064
209,064
029,39915,672
9,390
2,302
0
159
1,873
0
179,665
358,349
3.6%
17,148091- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
64,443
258,482
5.2%- (*6)- (*6)

183- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)- (*6)
125,645
250,604
5.1%- (*6)- (*6)

31
64,61164,611
0
3,416
2,048
0
1,257
10
61
38
0
61,194
720,520
4.5%
5,359
0

183
394,788384,989
9,798
54,461
14,33934,451
4,207
229
377
856
0
340,326
678,792
4.2%
32,1700-182
881,914869,586
12,328233,395
105,978
105,942
8,858
18
1,813
10,71569
648,519
1,300,601
4.6%
148,099
1,118

0

0

- (*6)- (*6)00

0

0- (*6)- (*6)

0

0

-

9,360

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Not disclosed due to tenant's request.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

51

Portfolio Performance Summary (7)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

Daiwa Hatchobori ekimae

Daiw a Kinshicho（*6） Daiwa Higashi-Ikebukuro

Daiwa Hatchobori ekimae West

Benex S-3（*6）

Daiwa Shinagawa North

Daiw a Osaki 3-chome

2,871
1,647
2,958
7,710
1,650
19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
2,984
1,713
2,767
2,745
7,318
7,293
1,663
1,660
3,060
1,700
3,340
3,490
5,780
5,790
2,120
2,240
100.0
100.0
100.0
100.0
90.0
100.0
100.0
100.0
5.89
7.03
3.55
3.55
7.19
7.19
6.14
6.14
ITOCHU Urban Community ITOCHU Urban Community

Best Property

Best Property

Xy max AlphaBest Property

Xy max Alpha-81
34,02634,026
0
6,128
3,340
1,851
534
8
58
300
34
27,898125,715
4.2%
4,969
0

-

81
19,07019,070
0
4,566
2,380
953
533
8
30
625
34
14,50465,357
3.8%
2,067
0

63
48,586
48,586
0
26,795
3,933
7,316
681
14,05484725
021,790183,428
5.5%
15,1690-

182
105,678
105,678
036,923
8,972
13,711
1,650
8,809
232
3,546
0
68,755
137,8885.0%
23,0890

183
117,523
117,523
035,396
9,073
13,068
1,778
8,658
233
2,585
0
82,126
163,804
6.0%
23,2570

94
84,591
84,591045,655
7,868
14,9301,037
20,542188
1,087
038,936200,335
4.7%
25,961
0-

182
188,738
176,838
11,90069,695
12,992
18,433
2,614
18,541352
16,7610
119,042
238,739
3.3%
33,236
11,900183
178,507
178,5070
59,552
16,055
17,965
2,708
18,520354
3,939
9
118,955
237,260
3.3%
33,681
0

182
42,09542,0950
14,840
6,206
3,237
1,200
3,939
68
187
0
27,25554,6603.3%
11,0480183
54,847
54,8470
12,282
2,430
3,833
1,200
3,903
69
845
0
42,56584,897
5.1%
11,232
0

-

0

-

0

0

-

0

0

0

-

0

0

0

0

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do notmatch.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(*6) Properties sold in the 19th fiscal period.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

52

Portfolio Performance Summary (8)Fiscal Period ended May and Nov 2015 (19th and 20th FP Results by Property)
Property Name

Integral Tower

Daiw a Kamiooka

Meguro Place Tow er

Daiw a Minami-Senba

Daiw a Meieki

Kitahama Grand Building

Total （*6）

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (% )PML (% ) (*1)
Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)
Profits from property-related activities (*2)

Rent (incl. common service fees)
Other Revenues (*3)(2) Property-related Ex penses( thousand yen)
Administrative Ex penses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Ex penses
Other Ex penses(3) NOI (=(1)-(2)) (*4) (thousand yen)
Annualized NOI (thousand yen)
NOI Yield (*5)
(Reference) Depreciation and amortization (thousand yen)Repair Work (thousand yen)
Proceeds from Amortization of Leasehold andSecurity (thousand yen)

15,220
5,600
4,810
5,300
413,259445,777
2,000
9,481
19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period 19th Period 20th Period
2,006
1,993
15,21815,183
5,660
5,639
4,705
4,679
5,385
5,350
9,573
9,521
406,699
439,1232,260
2,420
16,80017,500
5,810
6,110
2,570
2,660
6,840
7,150
10,60011,000410,990459,820
100.0
100.0
99.5
99.5
100.0
100.0
100.0
100.0
98.5
100.0
100.0
100.0
97.3
98.3
6.29
6.29
1.18
1.18
1.68
1.68
5.25
5.25
10.31
10.31
3.48
3.48
2.18
1.98
Xy max Alpha

Xy max Alpha

Xy max Alpha

Japan Property Solutions

Xy max Alpha

Japan Property Solutions

182
73,87373,873
021,268
7,630
5,748
1,200
6,443
116
130
0
52,604105,497
5.3%
17,7300183
83,882
83,882
0
19,229
4,434
6,751
1,200
6,358
118
366
0
64,653
128,952
6.5%
17,8540182
550,204
550,204
0152,785
45,42792,364
6,036
236
885
7,655
180
397,418
797,020
5.2%
91,2260183
581,096
581,0960226,405
46,64384,585
6,434
44,231894
43,434
180
354,690
707,443
4.7%
92,3590

31
23,991
23,991
0
2,591
1,850
0
695
15
29
0
0
21,400251,971
4.5%
3,753
0

183
146,812
146,8120
20,555
7,601
10,771
1,835
36
177
132
0
126,256
251,823
4.5%
22,5360

182
100,533
100,533
045,177
19,57011,502
1,465
10,567
232
1,650
188
55,356
111,016
2.4%
32,1920183
90,64390,643041,321
14,45012,684
1,406
10,508237
2,033
049,322
98,3752.1%
32,3260

182
244,181244,181060,54318,016
18,5702,951
19,844386773
0183,637
368,284
6.8%
34,9700183
250,848
250,848
061,50318,36918,576
3,015
20,153390
999
0189,344377,6547.1%
35,0080

182
335,219335,2190
64,66919,80536,706
5,028
0
589
2,443
96
270,550
542,587
5.7%
52,931
0

0

0

0

0

0

0

0

0

0

0

0

-

183
182
183
326,358 10,146,702 11,837,995
326,358 10,112,468 11,777,301
0
34,23460,694
99,314 2,916,779 3,320,246
20,254
673,185
755,329
40,070 1,024,278 1,159,084
4,896
118,088
134,268
32,935
811,787
883,293595
14,355
16,633
465
227,519
320,996
96
47,56550,640227,043 7,229,923 8,517,749
452,846 16,180,616 17,102,560
4.8%
3.8%
3.9%
53,179 1,553,853 1,703,685
0
16,811
9,455
0

0

9,360

(*1) Sompo Japan Nipponkoa Risk Management Inc. has prepared the PML for the 20th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report(December 2015).
(*2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(*3) Other Revenues includes Proceeds for Restoration and Repair Work or Proceeds from Amortization of Leasehold and Security Deposits.
(*4) (3) NOI in this table is calculated by adjusting the Tax and Public Due for the “NOI (after deduction of gain on sale)”aforementioned in the Appendix “Major Financial Data” so the figures do not match.
(*5) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value (including properties sold during the period).
(*6) Properties sold during the 19th FP are not included in the annualized NOI and NOI yield for the 19th FP. The portfolio total in (2) property-related expenses does not include costs related to theInvestment Corporation. Acquisition price is the total sum of those of portfolio properties at the end of each period.
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

53

Overview of Asset Management Company (1)Directors

Company Overview(As of January 1, 2016)

Company Name

Daiwa Real Estate Asset Management Co., Ltd.

Address

6-2-1 Ginza, Chuo-ku, Tokyo

Established

October 21, 2004

Paid-in Capital

200 million yen

Representative Director Akira Yamanouchi

Board of Directors

9
Executive directors: 4 / Executive auditors: 1
Non-executive directors: 2 / Non-executive
auditors: 2(As of January 1, 2016)

President andRepresentative Director
Vice President andRepresentative Director
Vice President andRepresentative Director

Akira Yamanouchi
Yuji Shinotsuka
Yoshiki Nishigaki

Director

Naoyuki Owa

Director (non-executive)

Toshihiro Matsui

Director (non-executive)

Mikita Komatsu

AuditorTamaki Shibayama

No. of Employees

63 (excluding dispatched employees)

Auditor (non-executive)

Masaru Shirataki

Registered Financial
Instruments Firm

Registration No. 355 (Financial Instruments),
Director-General, Kanto Local Finance Bureau(Kinsho)

Auditor (non-executive)

Shinji Kiso

Building Lots andBuildings Transaction
Business License

REITs which entrust the asset management to the Asset Management Company

License No. (3)-83920, Governor of Tokyo

Discretionary Agent for
License No. 34, Minister of Land, Infrastructure,
Real Estate Transaction
Transport and Tourism
Approval
Member of The Investment Trusts Association,
Japan
Member of Japan Investment Advisers
Association Membership
Association
Member of Type II Financial Instruments Firms
Association(As of December 31, 2015)

Daiwa Office Investment
Corporation

Listed REIT focusing on office buildings
Asset size: approximately 445.7 billion yen(50 properties)

Daiwa Residential Private
Investment Corporation

Unlisted REIT focusing on residential properties
Asset size: approximately 78.2 billion yen(47 properties)

Nippon Healthcare
Investment Corporation

Japan’s first listed REIT focusing on healthcare
facilities
Asset size: approximately 18.6 billion yen (21properties)

Total of the three investment
corporations

Asset size: approximately 542.5 billion yen (118
properties)

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

54

Overview of Asset Management Company (2)Organization Chart
Shareholders’ Meeting
Corporate Auditors
Board of Directors
Compliance Committee
Investment Committee(*)*Set up separately for each
investment corporation

Compliance Officer
President andRepresentative Director
Internal Control OfficeAcquisition
Department

Origination
Department

Asset
Management
Department

Private FundManagement
Department

Customer
Relations
Department

Finance
Department

Administration
Department

Office Investment
Team

Office Management
Team

Advisory Team

Finance Team

Residential
Investment Team

Residential
Management Team

Operational
Team

Accounting Team

Healthcare Investment
Team

Healthcare
Management Team

Corporate
Planning
Department

Management
Team

Investment Planning
Team
Construction
Management Team
This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

55

Support System Backed by Daiwa Securities Group
Daiwa Securities Group’s Commitment to the asset management business

Daiwa Securities Group upholds “expansion of the real estate asset management business” in its medium-term management plan and aims tostrategically reinforce the business over the mid-to-long-term.
●Daiwa Securities Group’s Commitment in asset management business
Daiwa Securities Group Inc. upholds “expansion of the real estate asset management business” in Daiwa Securities Group’s medium-term management
plan “Passion for the Best” 2017.
Stance Towards Investments for Growth

Action Plan for Asset Management Division for FY2015
1. Strengthen the management structure and target performance.

Overview of the Daiwa Securities Group
Company Name

2. Build and expand leading funds in both the securities and bank
OTC channels.
3. Develop products suitable for expanding the investor base andlong-term asset building.

Daiwa Securities Group, Inc.

Market Capitalization

Approx. 1,346.4 billion yen (as of the end of
September 2015) (Note 1)(Securities code: 8601)

No. of Employees

13,898 (as of the end of September 2015, No. of
employees at the Group companies)

Commencementof Operations

April 26, 1999 (Note 1)

Assets under Custody

52.4 trillion yen (as of the end of September 2015)(Note 2)

Representative
Director

Takashi Hibino, President and CEO(Note 1)

4. Further strengthen system for timely information distribution andsales support.

Address

5. Further reinforce the real estate asset management business.

(Note 1) Daiwa Securities Group, Inc.
(Note 2) Daiwa Securities Co., Ltd.

GranTokyo North Tower 9-1, Marunouchi
1-chome, Chiyoda-ku, Tokyo (Note 1)

No. of Shops

144 (as of the end of September 2015) (Note 2)

No. of Cash Management
Service Accounts

3,778,000 accounts (as of the end of September2015) (Note 2)This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

56

Competitive Edge
█ Establish highly-transparent business structure Strictly control conflicts of interest with sponsor
 Introduce financial institutions’ rigorous compliance framework
 Ensure high transparency and establish disciplined investment process█ Expand network of collaboration with the Daiwa Securities Group Reduce financing costs and remarkably expand financing capacity by capitalizing on the credit capability of the Daiwa

Securities Group Reinforce leasing activities by capitalizing on the network of the Daiwa Securities Group Improve sourcing capacity by capitalizing on the network of the Daiwa Securities Group█ Secure well-experienced, highly-professional human resources Develop team of outstanding professional staff by capitalizing on the human resources of the Daiwa Securities Group Employ excellent human resources from outside by drawing on the Daiwa Securities Group’s brand power Secure number of employees with a high level of motivation to challenge new business stages

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

57

Memorandum

This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

58This document is not a material disclosed in compliance with the Financial Instruments and Exchange Law or any regulation of similar nature,nor is it intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.