Creating peace of mind through honest and committed management.

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

May 7, 2012
REIT Issuer
Ichigo Real Estate Investment Corporation (8975)
1-1-1, Uchisaiwaicho, Chiyoda-ku, Tokyo
Representative: Yoshihiro Takatsuka, Executive Director
Asset Management Company
Ichigo REIT Management Co., Ltd.
Representative: Wataru Orii, President & Representative Director
Inquiries: Masaya Hiruta, Senior Executive Managing Director
Tel: 03-3502-4891

SMBC and Mizuho Trust-Led Refinancing and Repayment of Existing LoansIchigo Real Estate Investment Corporation (“Ichigo REIT”) today executed a refinancing andrepayment of existing loans. Details are per the below.
1. Reason for Refinancing
Following its merger with the former Ichigo Real Estate Investment Corporation on November
1, 2011, Ichigo REIT has been proactively taking actions to further its growth as acomprehensive J-REIT and pursue stable and steady profitability. Ichigo REIT has defined theperiod until October 2012 as “Stage I” under this growth strategy, aiming to lay the foundation
for growth by strengthening its financial position, broadening its lender base, and reducing
borrowing costs.
Per this strategy, Ichigo REIT has decided to refinance three existing loans. Sumitomo Mitsui
Banking Corporation (SMBC) and Mizuho Trust & Banking Co., Ltd. are serving as joint
arrangers for new 3-year and 5-year loans with a five Japanese bank syndicate. This refinancing
will broaden and strengthen Ichigo REIT’s lender base. These long-term loans also extend anddiversify Ichigo REIT’s debt maturities, further strengthening Ichigo REIT’s financial position.
Ichigo REIT is also financing these loans at lower interest rates than the existing loans, so thelowered borrowing costs will contribute to dividend increases and enhancement of unitholders’value over time.

12. Details of New Loans(1) Term Loan 1 (3 years)
Lenders

Sumitomo Mitsui Banking Corporation,
Mizuho Trust & Banking Co., Ltd., Aozora Bank, Ltd.,
Shinsei Bank, Limited, Resona Bank, Limited

Loan Amount

JPY 5,497 million

Use of Proceeds

Repayment of existing loans

Loan Date

May 9, 2012 (expected)

Principal Repayment Date

Final business day of April 2015

Principal Repayment Terms

6,875,000 yen of principal will be repaid on each Partial
Principal Repayment Date, and the remainder will be
repaid in full on the Principal Repayment Date.

Partial Principal Repayment Date

Same as the Interest Payment Date

Interest Rate

3M JPY TIBOR + 1.10%

Interest Payment Date

Final business day of January, April, July and Octoberfollowing the Loan Date (The first payment date will be
end of July, and the last payment date will be the same as
the Principal Repayment Date.)

Collateralized

Yes(Note) The interest rate will be 1.4136% for the period from May 9, 2012 to July 30, 2012. Theinterest rate after July 31, 2012 will be disclosed as soon as determined.
(2) Term Loan 2 (5 years)
Lenders

Sumitomo Mitsui Banking Corporation,Mizuho Trust & Banking Co., Ltd., Aozora Bank, Ltd.,
Shinsei Bank, Limited, Resona Bank, Limited

Loan Amount

JPY 5,497 million

Use of Proceeds

Repayment of existing loans

Loan Date

May 9, 2012 (expected)

Principal Repayment DateFinal business day of April 2017

Term of Repayment

6,875,000 yen of principal will be repaid on each Partial
Principal Repayment Date, and the remainder will be
repaid in full on the Principal Repayment Date.

Partial Principal Repayment Date

Same as the Interest Payment Date

Interest Rate

1.91575% p.a.

Interest Payment Date

Final business day of January, April, July and Octoberfollowing the Loan Date (The first payment date will beend of July, and the last payment date will be the same as
the Principal Repayment Date.)

CollateralizedYes23. Details of Existing Loans(1) Tokyo Star Loan (Term Loan 5)
Lender

The Tokyo Star Bank, Limited

Outstanding Balance
before Repayment

JPY 5,494 million

Outstanding Balance
after Repayment

None

Loan Date

January 29, 2010

Repayment Date

May 9, 2012

Initial Repayment Date

January 29, 2013

Interest Rate

3.0750% p.a.

CollateralizedYes(2) Tokyo Star Loan (Term Loan 6)
Lender

The Tokyo Star Bank, Limited

Outstanding Balance
before Repayment

JPY 3,700 million

Outstanding Balance
after Repayment

None

Loan Date

March 31, 2010

Repayment Date

May 9, 2012

Initial Repayment Date

Final business day of March 2013

Interest Rate

3.1875% p.a.

CollateralizedYes(3) Mizuho Trust Loan (Loan backed by Trust Assets) / ORIX Trust LoanLender

ORIX Bank Corporation

TrusteeMizuho Trust & Banking Co., Ltd.

Outstanding Balance
before Repayment

JPY 1,800 million

Outstanding Balance
after Repayment

None

Loan Date

September 17, 2010

Repayment Date

May 9, 2012

Initial Repayment Date

March 14, 2014

Interest Rate

3M JPY TIBOR + 2.60%

CollateralizedYes

Due to the repayment of Mizuho Trust Loan (Loan backed by Trust Assets) / ORIX Trust Loan,
Ichigo REIT will terminate an interest rate cap agreement, which was purchased for this loan tohedge against any interest rate increase. Details of the agreement are as follows.
Interest Rate Cap Agreement to be Terminated3BuyerMizuho Trust & Banking Co., Ltd.

Seller

The Hongkong and Shanghai Banking Corporation
Limited, Tokyo Branch

Principal AmountJPY 1.80 billion(Initial Principal Amount: JPY 2.05 billion)

4. Future Outlook
This refinancing will decrease borrowing costs. At the same time, it will generate one-time
expenses, such as the immedia te amortization of the unamortized portion of up-front fees on
the existing loans. Therefore, the impact of this refinancing on Ichigo REIT’s performance
forecasts for the fiscal period ending October 2012 (May 1, 2012 – October 31, 2012) is
expected to be minimal, and there is no change in dividend forecast.
5. OtherRisks related to this transaction have no material impact on the “Investment Risks” as describedin the latest Securities Report (submitted on January 27, 2012).

Reference
Outstanding Loan Balance (as of May 9, 2012)(million yen)
GE Japan Corporation
Aozora Bank, Ltd.
Gibraltar Life Insurance Co., Ltd.
Sumitomo Mitsui Banking Corporation
Mizuho Trust & Banking Co., Ltd.
Resona Bank, Limited
Mizuho Trust & Banking Co., Ltd. (Loan Backed by Trust Assets)/ Prudential LPS
Tokyo Star Bank
Shinsei Bank, Limited
The Kagawa Bank, Ltd.
Total

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Balance
28,460
5,703
3,800
3,000
3,000
2,994
2,936
2,925
2,000
1,437
56,256

Distribution of Repayment Dates (as of May 9, 2012)(million yen)
40,00028,46030,00020,000

8,107

10,000

5,421

5,366

3,664

2,732

2,0000
Oct 2012

Apr 2013

Oct 2013

Apr 2014

Oct 2014

Apr 2015

Oct 2015

Apr 2016

Oct 2016

Apr 2017

This document is being distributed today to the Kabuto Club (the press club of the TSE) as well as to thepress club for the Ministry of Land, Infrastructure, Transport, and Tourism and the press club for specialty
construction newspapers at the Ministry of Land, Infrastructure, Transport, and Tourism.

Website of Ichigo REIT: www.ichigo-reit.co.jp/english

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