(REIT) Financial Report for the Fiscal Period Ended August 2022
REIT Securities Issuer:
Securities Code:
Representative:

October 19, 2022
Listing: Tokyo Stock Exchange
URL: https://xymaxreit.co.jp/en/index.html

XYMAX REIT Investment Corporation
3488
Shotaro Kanemitsu, Executive Director

Asset Management Company: XYMAX REAL ESTATE INVESTMENT ADVISORS Corporation
Representative:
Shotaro Kanemitsu, Representative Director and President
Contact:
Tatsuya Nakayama, Head of Business Planning Division
TEL: +81-3-5544-6880
Scheduled date for submission of securities report:
Scheduled date for commencement of distribution payment:

November 29, 2022
November 18, 2022

Supplementary materials for financial results:
Financial results briefing session:

Yes
Yes (for institutional investors and analysts)

1.

(Amounts are rounded down to the nearest million yen)
Status of Management and Assets for the Fiscal Period Ended August 2022(from March 1, 2022 to August 31, 2022)(1) Results of Operations(% figures are the rate of period-on-period increase (decrease))
Operating revenue
million yen
Fiscal period
ended Aug. 2022
Fiscal period
ended Feb. 2022

Operating income% million yen

Ordinary income

Net income%

million yen%

million yen

%

1,874

16.3

1,121

18.5

1,004

15.3

1,003

15.3

1,611

23.5

946

35.0

871

34.3

870

34.3

Net income per unit

Fiscal period
ended Aug. 2022
Fiscal period
ended Feb. 2022

Ratio ofordinary income tooperating revenue

Ratio ofordinary income tototal assets

Return on equity

yen

%

%

%

4,022

4.0

2.2

53.6

3,895

3.7

2.2

54.1

(2) Distribution
Distribution
per unit(excluding
distribution
in excess ofearnings)
yen

Total
distribution(excluding
distribution
in excess ofearnings)
million yen

Distribution
in excess ofearnings
per unit

Total
distribution
in excess ofearnings

Payout ratio

Ratio ofdistribution to
net assetsyenmillion yen%%
Fiscal period
4,007
1,000
12
2
99.7
3.8
ended Aug. 2022
Fiscal period
3,896
870
100.0
3.7
ended Feb. 2022
(Note 1) Distributions in excess of earnings for the fiscal period ended August 31, 2022 consist only of the allowance fortemporary difference adjustment.
(Note 2) Payout ratio in the above table is calculated by following formula;
Payout ratio = Total Distribution (excluding distributions in excess of earnings) ÷ Net income × 100
In addition, payout ratio for the fiscal period ended August 2022 shall be 100.0% using the formula of Total
Distribution (including distributions in excess of earnings) ÷ Net income × 100(Note 3) Ratio of distributions to net assets in the above table is calculated by following formula;
Ratio of distributions to net assets = Distribution per unit (excluding distributions in excess of earnings)÷{ (Net assets
at beginning of period＋Net assets at end of period)÷ 2}×100
In addition, Ratio of distributions to net assets shall be 3.8% using formula of Distribution per unit (including
distributions in excess of earnings)÷{ (Net assets at beginning of period＋Net assets at end of period)÷ 2}×100

(3) Financial Position

Fiscal period
ended Aug. 2022
Fiscal period
ended Feb. 2022

Total assets
million yen

Net assets
million yen

48,669Equity ratio%

Net assets per unit
yen

26,44054.3

105,90941,24923,45656.9

104,996

Net cashprovided by (used in)operating activities
million yen

Net cashprovided by (used in)investing activities
million yen

Net cashprovided by (used in)financing activities
million yen

Cash andcash equivalents
at end of period
million yen

2,218(7,657)

6,202

4,063

2,583

(3,163)

1,002

3,299

(4) Cash Flows

Fiscal period
ended Aug. 2022
Fiscal period
ended Feb. 2022

2.

Operating Forecasts for the Fiscal Period Ending February 2023 (from September 1, 2022 to February 28, 2023) and Fiscal
Period Ending August 2023 (from March 1, 2023 to August 31, 2023)(% figures are the rate of period-on-period increase (decrease))

Operating revenue Operating income

Ordinary income

Net income

Distribution
per unit(excluding
distribution
in excess ofearnings)

Distribution
in excess ofearnings
per unit

mn yen% mn yen% mn yen% mn yen%yen
yenFiscal period
1,635(12.8)
888(20.8)
779(22.3)
778(22.4)
3,120
ended Feb. 2023
Fiscal period
1,646
0.7
852
(4.0)
764
(2.0)
763
(2.0)
3,058
ended Aug. 2023
(Reference) Forecast net income per unit
(Forecast net income ÷ Forecast total number of investment units issued and outstanding at end of period)
Fiscal period ending February 2023: 3,120 yen
Fiscal period ending August 2023: 3,057 yen* Other(1) Changes in Accounting Policies, Accounting Estimates, and Retrospective Restatements
i. Changes in accounting policies accompanying amendments to accounting standards, etc.:
ii. Changes in accounting policies other than i.:iii. Changes in accounting estimates:
iv. Retrospective restatements:

None
None
None
None

(2) Total number of investment units issued and outstandingi. Total number of investment units issued and outstanding (including treasury investment units) at end of period
Fiscal period ended Aug. 2022
249,650 units
Fiscal period ended Feb. 2022
223,400 units
ii. Number of treasury investment units at end of period
Fiscal period ended Aug. 2022
0 units
Fiscal period ended Feb. 2022
(Note)

0units

For the number of investment units serving as the basis for calculation of net income per unit, please see “Notes on Per Unit Information”
on page 26.

* This Financial Report is not subject to the audit by the certified public accountant and/or audit corporation* Explanation of Appropriate Use of Operating Forecasts, and Other Matters of Special Note
The operating forecasts and other forward-looking statements contained in this document are based on information currently
available to and certain assumptions deemed reasonable by XYMAX REIT. Accordingly, the actual results of operations, etc. may
differ materially due to various factors. Key factors that could affect the actual operational status include a decline in rent revenue,
non-payment of rent and bankruptcy of tenants occupying owned properties, as a result of the further spread of the newcoronavirus infectious diseases (COVID-19) and the prolongation of the period until the contagion converges. Factors affecting
the investment status are not limited to these. In addition, the forecasts are not a guarantee of the amount of distribution. For
the assumptions underlying the operating forecasts, matters of note in the use of the operating forecasts, etc., please see“Assumptions Underlying the Operating Forecasts for the Fiscal Period Ending February 2023 (from September 1, 2022 toFebruary 28, 2023) and Fiscal Period August 2023 (from March 1, 2023 to August 31, 2023)” on page 6. Accordingly, the actual
operating revenue, operating income, ordinary income, net income, distribution per unit and distribution in excess of earnings
per unit may vary due to changes in the circumstances.

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Table of Contents
1. Management Status ............................................................................................................................................................................. 2(1) Overview of the 9th Fiscal Period under Review ........................................................................................................................ 2(2) Outlook for the Next Fiscal Period ................................................................................................................................................ 4
2. Financial Statements ........................................................................................................................................................................... 8(1) Balance Sheet ................................................................................................................................................................................. 8(2) Statement of Income ................................................................................................................................................................... 10(3) Statement of Unitholders’ Equity ............................................................................................................................................... 11(4) Statement of Cash Distribution .................................................................................................................................................. 12(5) Statement of Cash Flows ............................................................................................................................................................. 13(6) Notes on the Going Concern Assumption .................................................................................................................................. 14(7) Notes on Matters Concerning Significant Accounting Policies ................................................................................................. 14(8) Notes on the Financial Statements ............................................................................................................................................. 16(9)Changes in Total Number of Investment Units Issued and Outstanding ................................................................................... 27
3. Reference Information ...................................................................................................................................................................... 28(1) Investment Status ........................................................................................................................................................................ 28(2) Investment Assets ....................................................................................................................................................................... 29-1-

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

1. Management Status(1) Overview of the 9th Fiscal Period under Review
I. Brief History of the Investment Corporation
XYMAX REIT was incorporated under the Act on Investment Trusts and Investment Corporations (Act No. 198 of1951, as amended) (hereinafter, the “Investment Trusts Act”) on September 14, 2017 with XYMAX REAL ESTATEINVESTMENT ADVISORS Corporation (hereinafter, the “Asset Management Company”) as the organizer andcompleted the registration with the Kanto Local Finance Bureau on October 31, 2017 (Registration No. 131 with the
Director-General of the Kanto Local Finance Bureau) Subsequently, XYMAX REIT issued new investment units
through public offering with a payment due date of February 14, 2018, and listed on the Tokyo Stock Exchange, Inc.
(the "Tokyo Stock Exchange") Real Estate Investment Trust Securities Market (stock code: 3488) on February 15,
2018. On March 20, 2018, XYMAX REIT issued new investment units through third-party allotment. In addition,
XYMAX REIT conducted its first public offering on March 1, 2022 and third-party allotment on March 28, 2022.
These resulted in total number of investment units issued and outstanding of 249,650 units as of the last day of the
fiscal period.
XYMAX REIT utilizes the real estate management (Note 1) strengths of the XYMAX Group (Note 2) to conduct
appropriate portfolio management and thereby maximize the value of real estate with the aim of maximizing
unitholder value.
(Note 1) “Real estate management” collectively refers to property management, comprehensive building
maintenance services, and combined property management and comprehensive building maintenanceservices (including cases where contracted with such services in subleasing cases). The same shall apply
hereinafter.
(Note 2) “XYMAX Group” refers to the corporate group comprising XYMAX Corporation and its consolidated
subsidiaries and affiliates accounted for using the equity method. The same shall apply hereinafter.
II.

Management Environments
Regarding the economic climate during the fiscal year under review, real GDP grew 0.9% (up 3.5% annually) in the
April-June quarter of 2022, due in part to a recovery in consumer spending as the outbreak of COVID-19 stabilized
and a large-scale holiday without movement restrictions. With regard to financial markets, according to "Loans andDiscounts Outstanding by Sector" published by the Bank of Japan, total loans outstanding as of the end of June 2022
were 557 trillion yen and loans outstanding for real estate were 93.1 trillion yen, both trending upward and trendingat extremely high levels. We are concerned about the impact on the domestic economy and J-REIT market caused bysuch as rising interest rates in each country, the Ukrainian situation, and future economic developments in Japan andoverseas due to the outbreak of COVID-19. Therefore, we need to continue to closely monitor developments in thecapital and financial markets in the following fiscal year and beyond.
Under such circumstances, the following developments can be seen in the various markets for offices, retail facilities
and hotels that XYMAX REIT mainly invests in, as well as in the real estate trading market.
As for offices, according to the "Office Market Report Tokyo 2022Q2" (Note) published by XYMAX Real Estate InstituteCorporation, the vacancy rate in the 23 wards of Tokyo in the second quarter of 2022 increased by 0.31 percentage
point from the previous quarter to 3.91%. Vacancy rates rose moderately and rents declined slightly, a trend similar
to the previous fiscal year.
Regarding retail facilities, according to the Ministry of Economy, Trade and Industry's Current Survey of Commerce,
retail sales in the second quarter of 2022 increased 2.8% from the same quarter of the previous year. In addition,according to a survey of trends in the service industry conducted by the Statistics Bureau of the Ministry of Internal
Affairs and Communications, restaurant sales increased 30.7% year on year. Recovery in the face-to-face personal
consumption of department stores, restaurants, etc. was conspicuous due to the resumption of economic activities
in the absence of movement restrictions.
As for hotels, according to the Japan Tourism Agency's Accommodation Travel Statistical Survey, the total number ofguests in the first half of 2022 (January to June) increased by 51.6% year-on-year. There was a significant recovery
in the lodging industry as domestic travel became more active due to long-term holidays, such as summer holidays
without movement restrictions.
In the real estate trading market, the real estate market continues to be active and real estate prices remain in a highprice range, against the backdrop of continued strong demand from overseas investors due to factors such as afavorable financing environment and the depreciation of the yen.
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XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(Note) For more information on the survey, please refer to the website (https://soken.xymax.co.jp/) of XYMAX Real Estate InstituteCorporation.

III. Management Status
As of the last day of the fiscal period under review, XYMAX REIT had 18 properties in its portfolio. Its total acquisition
price stood at 43,469 million yen, a total leasable area at 85,317.99 m2 and total leased area at 85,089.45 m2. The
occupancy rate as of the last day of the fiscal period under review was 99.7%.
IV. ESG Initiatives
In March 2022, the Asset Management Company prepared ESG policies and various internal regulations in order tomanage risks and opportunities properly related to XYMAX REIT's ESG, implement them through its real estate
investment and management business, and further promote XYMAX REIT's ESG strategy. In addition, Representative
Director and President of the Asset Management Company is appointed as ESG Chief Executive and he will impel andoversee the establishment of systems for the promotion of ESG and the formulation and implementation of various
policies, objectives, and measures.
Based on this policy, XYMAX REIT is working to acquire Green Building Certification (Note 1) for its properties. On
August 31, 2022, the XYMAX Kiba Koen Building and the Life Kawasaki Miyuki Store were newly ranked S for CASBEE
certification, and the XYMAX Sapporo Odori Building was newly ranked 4 stars for BELS assessment.
As of the end of the fiscal period under review, total of eight CASBEE assessment certifications and a total of three
BELS assessments have been acquired. Consequently, XYMAX REIT have acquired Green Building Certifications for
total of ten properties (Note 2) and is 52.5% (Note 3) of all properties owned by XYMAX REIT.
As part of our efforts for society, we are promoting the installation of disaster relief vendors and digital signage toimprove tenant satisfaction and contribute to the sustainable development of local communities. We are also
continuing measures to combat COVID-19, by alcohol sanitizing and installation of foot stands in common area, andupgrading washbasins to automatic faucets.
(Note 1) “Green Building Certification" refers to CASBEE assessment certification, BELS assessment, DBJ Green
Building certification, or any LEED certification.
(Note 2) XYMAX Higashi-Azabu Building has acquired both CASBEE assessment certification and BELS assessment
certification.
(Note 3) “Acquisition ratio" except “bottom land” is calculated based on the total floor area (Basically calculatedusing Gross Building Area, but calculated using exclusive area owned by XYMAX REIT for the sectional
ownership buildings and, for common ownership buildings shared with third parties calculated bymultiplying the total floor area of the building by the percentage of interest owned by XYMAX REIT).
(Note 4) For more information on XYMAX REIT's ESG initiatives, please refer to XYMAX REIT's website(https://xymaxreit.co.jp/en/esg/index.html)).
V.

Financing Status(Equity Financing)
During the fiscal period under review, XYMAX REIT issued new investment units (25,000 units/2,718 million yen)through a public offering on March 1, 2022 and issued new investment units (1,250 units/135 million yen) througha third-party allotment on March 28, 2022 in order to allocate part of the funds for acquiring new properties, etc.
As a result, the total number of investment units issued and outstanding as of the end of the fiscal period underreview was 249,650 units and the total amount of investment units issued and outstanding was 25,440 million yen.
(Debt Financing)
During the fiscal year under review, XYMAX REIT borrowed a new money of 5,345 million yen on March 2, 2022 toallocate the funds to part of the acquisition of new properties, and repaid short-term loans of 1,100 million yen due
on March 31, 2022.
As a result, the balance of borrowings was 19,945 million yen as of the end of the fiscal year under review.
The ratings that XYMAX REIT has acquired as of the end of the fiscal year are as follows:
Name of the credit rating agency
Rating and Investment Information, Inc.
(R&I)

Details of rating
Issuer Rating: A-3-

Remarks
Rating Direction: Stable

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
VI. Overview of Business Performance
Business performance in the fiscal period under review resulted in operating revenue of 1,874 million yen, operating
income of 1,121 million yen, ordinary income of 1,004 million yen and net income of 1,003 million yen.
Distributions for the current period shall be limited to the amount of profit in accordance with the distribution policy
stipulated in Article 35, Paragraph 1 of the Articles of Incorporation of XYMAX REIT, and shall exceed the amountequivalent to 90/100 of the amount of retained earnings available for distributions as stipulated in Article 67-15 of
the Act on Special Measures Concerning Taxation (Act No. 26 of 1957, including amendments thereafter) of XYMAX
REIT. Based on this policy, the decision was made to distribute, as a distribution of profits, 1,000,347,550 yen, whichis the maximum integral multiple of the total number of investment units issued and outstanding (249,650 units) inan amount not in excess of unappropriated retained earnings. In addition, in accordance with the purpose of theallocation policy stipulated in Article 35, Paragraph 2 of the Regulations of XYMAX REIT, the net assets deduction
item (stipulated in Article 2, Paragraph 2, Item 30 (b) of the Regulations Concerning Accounting of Investment
Corporations) shall have an impact on distributions, for the fiscal period under review, the decision was made to
distribute, as an amount equivalent to 3,135,935 yen of deferred hedge losses, 2,995,800 yen, which is an integral
multiple of the total number of investment units issued and outstanding of 249,650 units, as a distribution pertaining
to the amount of allowance for temporary difference adjustments.
This resulted in distribution per unit of 4,019 yen.
(2) Outlook for the Next Fiscal Period
I. General Management Outlook(A) External Growth Strategy
Capturing wide-ranging real estate sale needs through the customer base of real estate management business
XYMAX REIT aims to capture the real estate sale needs derived from the customer base of the XYMAX Group and leadto opportunities for XYMAX REIT to acquire properties based on the Sponsor Support Agreement between theSponsor, XYMAX Corporation, the Asset Management Company and XYMAX REIT, and the Pipeline Support
Agreement between Max-Realty Corporation and the Asset Management Company.
(B) Internal Growth Strategy
Utilization of the real estate management insight and know-how and network of the XYMAX GroupThrough the sponsor support agreement with XYMAX Group, XYMAX REIT is provided with various real estate
management insight, know-how, databases, management systems, private fund management experience, etc. On thisbasis, XYMAX REIT can and will perform stable and efficient management.
(C) Financial Strategy
Financial management with emphasis on stability and soundness, and LTV ratio control
XYMAX REIT shall execute a financial strategy that places emphasis on stability and soundness and secure agility infund procurement, taking into consideration the securing of stable revenue over the medium to long term, steady
growth in size of assets under management and stability of management.
II.

Significant Subsequent Events
Not applicable.

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XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
III. Operating Forecasts
XYMAX REIT’s operating forecasts for the Fiscal Period Ending February 2023 (from September 1, 2022 to February
28, 2023) and Fiscal Period August 2023 (from March 1, 2023 to August 31, 2023) are as follows:
Distribution
Distribution
per unit
in excess of(excluding
OperatingOperating
Ordinary
Net income
earnings
distribution
revenueincomeincomeper unit
in excess ofearnings)
million yen
million yen
million yen
million yen
yenyen
Fiscal period
1,635
888
779
778
3,120
ending Feb. 2023
Fiscal period
1,646
852
764
763
3,058
ending Aug. 2023
Furthermore, for the assumptions underlying the operating forecasts, please refer to “Assumptions Underlying the
Operating Forecasts for the Fiscal Period Ending February 2023 (from September 1, 2022 to February 28, 2023) andFiscal Period August 2023 (from March 1, 2023 to August 31, 2023)” presented later in this document.
(Note)

The forecast figures above are the current forecast figures calculated under certain assumptions. Accordingly, the actual operating
revenue, operating income, ordinary income, net income, distribution per unit and distribution in excess of earnings per unit mayvary due to changes in the circumstances. In addition, the forecasts are not a guarantee of the amount of distribution.

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XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Assumptions Underlying the Operating Forecasts for the Fiscal Period Ending February 2023 (from September 1, 2022 toFebruary 28, 2023) and Fiscal Period August 2023 (from March 1, 2023 to August 31, 2023)
Item
Accounting
periodAssets undermanagement

Operatingrevenue

Assumption
 Fiscal period ending February 2023 (10th fiscal period)(from September 1, 2022 to February 28, 2023) (181 days)
 Fiscal period ending August 2023 (11th fiscal period)(from March 1, 2023 to August 31, 2023) (184 days) The assumption is that the actual real estate and real estate trust beneficiary rights held by XYMAXREIT as of today (total of 18 properties) (hereinafter, the “current portfolio assets”) will continue to beheld and there will be no acquisition of new properties other than the current portfolio assets throughto the end of the fiscal period ending August 2023 (11th fiscal period).
 Change may arise due to acquisition of new properties other than the current portfolio assets,
disposition of the current portfolio assets, etc.
 Operating revenue from leasing is calculated on the basis of various factors, such as the content of leaseagreements entered into for the current portfolio assets and past tenant and market trends, and by
taking into account various factors, such as the assumed occupancy rate and rent fluctuation projections
based on tenant move-in/move-out and rent level projections.
 Variable rent is budgeted assuming that the negative impact of the spread of COVID-19 will be
prolonged at least more than 12 month onward. Therefore, XYMAX REIT assumes conservatively thatno variable rents occur for both fiscal period ending August 2022(9th fiscal period) and fiscal period
ending February 2023(10th fiscal period) in reference to the operating budget prepared by theoperator.
[Hotel Vista Sendai]
Fixed rent: 20.5 million yen per month
Variable rent: Calculated by multiplying the amount obtained by dividing the total GOP of past 12
month (including the preceding month) by 12 then subtract 21.5 million yen (Note1), by certain
percentage(Note2)(Note1) If the amount obtained becomes negative, the variable rent for the current month shall be 0 yen.
(Note2) The percentage shall not be disclosed because the consent of the Lessee has not been obtained.

OperatingexpensesNon-operating
expenses

Interest-bearing
liabilities

 The assumption is that there will be no delinquent or unpaid rent by tenants and no gain (loss) on salesof real estate properties.
 Of operating expenses, the main components are as follows:
Fiscal period
Fiscal period
ending Feb. 2023
ending Aug. 2023
(10th fiscal period) (11th fiscal period)
Expenses related to leasing business [Total]
589 million yen
628 million yen
Management fees
109 million yen
110 million yen
Repair expenses
49 million yen
47 million yen
Property taxes
133 million yen
153 million yen
Depreciation
159 million yen
165 million yen
Other than expenses related to leasing business
157 million yen
165 million yen[Total]Asset management fees
96 million yen
95 million yen
 Expenses related to leasing business, which are the main operating expenses, are calculated on thebasis of historical data at XYMAX REIT (historical data disclosed by the previous owner, etc. in the caseof periods for which there is no historical data at XYMAX REIT) and by taking into consideration factors
causing fluctuation in expenses.
 Depreciation is calculated using the straight-line method inclusive of incidental expenses, etc.
 Repair expenses are the amount necessary in each fiscal period as assumed on a property-by-property
basis by the Asset Management Company. However, repair expenses possibly increasing in amount or
additionally arising from unforeseeable factors, the amount generally tending to vary materially fromfiscal year to fiscal year and not being an amount that arises periodically, etc. may result in repair
expenses for each fiscal period differing materially from the forecast amount.
 For the fiscal period ending February 2023 (10th fiscal period), interest expenses and other borrowing
related expenses are assumed to be 103 million yen.
 For the fiscal period ending August 2023 (11th fiscal period), interest expenses and other borrowing
related expenses are assumed to be 83 million yen.
 Issuance cost for the issuance of new investment units will be amortized monthly in three-years fromthe month new investment units issued. 4 million yen in fiscal period ending February 2023 (10th fiscal
period) and 4 million yen in fiscal period ending August 2023 (11th fiscal period).
 The assumption is that total interest-bearing liabilities will be 19,715 million yen at the end of the fiscal
period ending February 2023 (10th fiscal period) and 19,715 million yen at the end of the fiscal period
ending August 2023 (11th fiscal period). Short-term loans of 345 million yen and long-term loans of
2,796 million are due in the fiscal period ending February 2023. The assumption is that these loans will
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XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Item

Investment units

Distribution
per unit(excluding
distribution
in excess ofearnings)
Distribution
in excess ofearnings
per unit

Assumption
be repaid with funds on hand and funds procured through loans, etc.
 LTV ratio is expected to be 40.8% at the end of the fiscal period ending February 2023 (10th fiscal
period) and 40.8% at the end of the fiscal period ending August 2023 (11th fiscal period). In addition,
the following formula is used in the calculation of LTV ratio.
LTV ratio = Total interest-bearing liabilities ÷ Total assets × 100
 The assumption is the total number of investment units issued and outstanding is 249,650 units as oftoday and that there will be no change in the number of investment units due to issuance of new
investment units, etc. through to the end of the fiscal period ending August 2023 (11th fiscal period).
 Distribution per unit (excluding distribution in excess of earnings) and distribution in excess ofearnings per unit are calculated on the basis of the forecast total number of investment units issued
and outstanding at the end of the fiscal period ending February 2023 (10th fiscal period) and fiscal
period ending August 2023 (11th fiscal period) of 249,650 units.
 Distribution per unit (excluding distribution in excess of earnings) is calculated based on theassumption that distribution will be in accordance with the cash distribution policy provided in XYMAXREIT’s Articles of Incorporation. The calculation of distribution per unit is based on the assumptionthat fluctuations in the fair value of interest rate swaps have no impact on distributions per unit.
 Distribution per unit (excluding distribution in excess of earnings) may vary due to various factors,
such as fluctuation in rent revenue accompanying change in assets under management, change intenants, etc. or incurrence of unexpected repairs.
 No cash distribution in excess of earnings (distribution in excess of earnings per unit) is scheduled tobe made at this point in time.

 The assumption is that there will be no revision of laws and regulations, tax systems, accounting
Otherstandards, listing regulations provided by Tokyo Stock Exchange, rules provided by The Investment
Trusts Association, Japan, etc. that will impact the forecast figures above.
 The assumption is that there will be no unforeseen material change in general economic trends, realestate market conditions, etc.

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XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

2. Financial Statements(1) Balance Sheet(Unit: thousand yen)
8th fiscal period(As of Feb. 28, 2022)
AssetsCurrent assets
Cash and bank deposits
Cash and bank deposits in trust
Operating accounts receivable
Prepaid expenses
Consumption taxes refund receivable
Other
Total current assets
Non-current assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Structures
Accumulated depreciation
Structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Buildings in trust
Accumulated depreciation
Buildings in trust, net
Structures in trust
Accumulated depreciation
Structures in trust, net
Machinery and equipment in trust
Accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Construction in progress in trust
Total property, plant and equipment
Investments and other assets
Long-term prepaid expenses
Deferred tax assets
Lease and guarantee deposits
Other
Total investments and other assets
Total non-current assets
Deferred assets
Investment unit issuance costs
Total deferred assets
Total assets-8-

9th fiscal period(As of Aug. 31, 2022)

1,219,048
2,080,797
19,412
41,776
6,124
3,367,159

1,540,074
2,523,504
37,046
46,125
162,235
882
4,309,869

308,882(4,701 )
304,181
1,814
(45 )
1,768
10,659(270 )
10,389109,618(91,467 )
18,151
229,752
9,196,322(839,067 )
8,357,255
65,930(7,812 )58,11832,597(11,200 )21,39628,745,430
37,746,444

311,886(8,232 )303,653
1,814
(80 )
1,733
10,659(472 )
10,187
109,618(94,671 )
14,947230,346
10,796,009(907,463 )
9,888,545
61,049(7,655 )53,3930039,429(14,421 )25,00833,661,874
33
44,189,725

54,09813
22,60058,999135,71137,882,156

56,13315
22,60068,921
147,670
44,337,396

41,249,315

22,494
22,494
48,669,759

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

(Unit: thousand yen)
8th fiscal period(As of Feb. 28, 2022)
Liabilities
Current liabilities
Operating accounts payable
Short-term loans payable
Current portion of long-term borrowings
Accounts payable - other
Income taxes payable
Accrued consumption taxes
Advances received
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Derivatives liabilities
Total non-current liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
Surplus
Unappropriated retained earnings(undisposed loss)
Total surplus
Total unitholders' equity
Valuation and translation adjustments
Deferred gains or losses on hedges
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets-9-

9th fiscal period(As of Aug. 31, 2022)

90,854
1,100,000
2,796,000
209,246876
142,898
202,992
2,045
4,544,914

139,620
345,000
2,796,000
155,651922
247,938
5,454
3,690,587

11,804,000
33,3491,410,853
13,248,202
17,793,116

16,804,000
33,3491,698,290
3,135
18,538,775
22,229,363

22,585,746

25,440,013

870,452

1,003,518

870,452
23,456,198

1,003,518
26,443,532*１ 23,456,198
41,249,315(3,135 )(3,135 )*１ 26,440,396
48,669,759

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(2) Statement of Income(Unit: thousand yen)
9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022
Operating revenue
Leasing business revenue
Other leasing business revenue
Gain on sale of real estate property
Total operating revenue
Operating expenses
Expenses related to leasing business
Asset management fees
Asset custody fees
Administrative service fees
Directors’ compensations
Other operating expenses
Total operating expenses
Operating income
Non-operating income
Interest income
Interest on refund
Gain on forfeiture of unclaimed distributions
Total non-operating income
Non-operating expenses
Interest expenses
Borrowing related expenses
Amortization of investment unit issuance costs
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Net income
Retained earnings brought forward
Unappropriated retained earnings (undisposed loss)

1,289,778
102,432*２ 219,655
1,611,865

*１

*１

*１

- 10 -

490,977
113,258
1,056
11,4372,400
45,834
664,965
946,900

1,523,202
125,327*２ 226,287
1,874,817*１*１

557,144
125,416
1,108
12,5492,400
54,210752,828
1,121,988

*１

14
65
56
136

20
108
129

42,79133,00675,797871,239871,239878
0879
870,360
92
870,452

63,45749,8794,425
117,761
1,004,355
1,004,355
925
(2 )
923
1,003,432
86
1,003,518

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(3) Statement of Unitholders’ Equity
8th fiscal period (from September 1, 2021 to February 28, 2022)(Unit: thousand yen)

Unitholders’ equity
SurplusTotal
net assets

Total
unitholders’ equity

Unitholders’ capital

Unappropriatedretained earnings(undisposed loss)

22,585,746

647,952

647,952

23,233,698

23,233,698

Dividends of surplus(647,860)(647,860)(647,860)(647,860)

Net income

870,360

870,360

870,360

870,360-

222,500

222,500

222,500

222,500

22,585,746

870,452

870,452

23,456,198

23,456,198

Balance as of
September 1, 2021
Changes of items
during period

Total changes
during period
Balance as ofFebruary 28, 2022

*1

Total
surplus

9th fiscal period (from March 1, 2022 to August 31, 2022)(Unit: thousand yen)

Valuation and translation
adjustments

Unitholders’ equity
Surplus
Unitholders’capitalBalance as ofMarch 1, 2022
Changes of items during
periodIssuance of new
investment units

22,585,746

Unappropri
ated
retainedearnings(undisposed loss)Total
surplus870,452

870,452

2,854,267

Total
unitholders’equity23,456,198

Deferred
gains orlosses onhedges-Totalvaluation andtranslation
adjustments

Total
net assets-

23,456,198

2,854,267

2,854,267

Dividends of surplus(870,366)(870,366)(870,366)(870,366)

Net income

1,003,432

1,003,432

1,003,432

1,003,432

Net changes of items
other thanunitholder’s equity
Total changes
during period
Balance as ofAugust 31, 2022

*1

(3,135)(3,135)(3,135)2,854,267

133,065

133,065

2,987,333(3,135)(3,135)2,984,197

25,440,013

1,003,518

1,003,518

26,443,532(3,135)(3,135)26,440,396- 11 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(4) Statement of Cash Distribution
Classification
I.
II.

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022

Unappropriated retained earnings
Distributions in excess of earnings[Of which, allowance for temporary
difference adjustments]

870,452,631 yen-

1,003,518,599 yen
2,995,800 yen-

2,995,800 yen

III. Amount of distribution[Amount of distribution per unit]
Of which, distributions of earnings[Of which, distributions of earnings
per unit]
Of which, allowance for temporary
difference adjustments[Of which, distributions in excess ofearnings per unit[allowance fortemporary difference adjustments]]
IV. Retained earnings carried forward
Method of calculation ofamount of distribution

870,366,400 yen[3,896 yen]-

1,003,343,350 yen[4,019 yen]
1,000,347,550 yen[-][4,007 yen]-

2,995,800 yen[-][12 yen]86,231 yen
Pursuant to the cash distribution
policy stipulated in Article 35,
Paragraph 1 of XYMAX REIT’s Articles
ofIncorporation,amountofdistribution must be equal or lessthan the amount of profit and exceed
90% of XYMAX REIT’s distributableprofit that is defined by Article 67-15
of the Act on Special Measures
Concerning Taxation. Based on thispolicy, XYMAX REIT has decided to
distribute 870,366,400 yen, which is
the maximum value of the integral
multiple of the total number of units
issued and outstanding (223,400
units), not exceeding unappropriatedretained earnings.
XYMAX REIT
does not make
distribution in excess of earnings
defined by Article 35, Paragraph 2 of
XYMAX
REIT’s
Articlesof
Incorporation.

3,171,049 yen
Pursuant to the cash distribution
policy stipulated in Article 35,
Paragraph 1 of XYMAX REIT’s Articles
ofIncorporation,amountofdistribution must be equal or lessthan the amount of profit and exceed
90% of XYMAX REIT’s distributableprofit that is defined by Article 67-15
of the Act on Special Measures
Concerning Taxation. Based on thispolicy, XYMAX REIT has decided to
distribute 1,000,347,550 yen, whichis the maximum value of the integral
multiple of the total number of units
issued and outstanding (249,650
units), not exceeding unappropriatedretained earnings.
In addition, in accordance with the
purpose of the allocation policy
stipulated in Article 35, Paragraph 2of the Regulations of XYMAX REIT, thenet assets deduction item (stipulated
in Article 2, Paragraph 2, Item 30 (b)of the Regulations Concerning
Accountingof
Investment
Corporations) shall have an impact on
distributions, for the fiscal period
under review, the decision was madeto distribute, as an amount equivalent
to 3,135,935 yen of deferred hedge
losses, 2,995,800 yen, which is an
integral multiple of the total numberof investment units issued andoutstanding of 249,650 units, as a
distribution pertaining to the amountof allowance for temporary difference
adjustments.
As a result, the distribution perinvestment unit was 4,019 yen.

- 12 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(5) Statement of Cash Flows(Unit: thousand yen)
8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022
Cash flows from operating activities
Income before income taxes
Depreciation
Amortization of investment unit issuance costs
Interest income
Gain on forfeiture of unclaimed distributions
Interest expenses
Decrease (increase) in operating accounts receivable
Decrease (increase) in consumption taxes refund receivable
Decrease (increase) in prepaid expenses
Increase (decrease) in operating accounts payable
Increase (decrease) in accounts payable - other
Increase (decrease) in accrued consumption taxes
Increase (decrease) in advances received
Decrease (increase) in long-term prepaid expenses
Decrease in property, plant and equipment held in trust due to
sale
Other
SubtotalInterest income received
Interest expenses paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of property, plant and equipment in trust
Repayments of tenant leasehold and security deposits in trust
Proceeds from tenant leasehold and security deposits in trust
Net cash provided by (used in) investing activities
Cash flows from financing activities
Increase in short-term loans payable
Decrease in short-term loans payable
Increase in long-term loans payable
Decrease in long-term loans payable
Revenue from issuance of investment units
Dividends paid
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 13 -

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

871,239
142,326(14 )(56 )42,791
8,862
19,212(8,092 )(10,736 )
112,517
142,898(0 )(17,666 )
1,365,9781,004,355
158,887
4,425(20 )(108 )
63,457(17,634 )(162,235 )(4,348 )50,140(53,595 )(142,898 )
44,945(2,034 )1,362,607(42,503 )2,626,756
14(42,756 )(880 )
2,583,133(23,011 )2,282,931
20(63,384 )(879 )
2,218,687(3,306,159 )(31,495 )
174,404(3,163,249 )(3,597 )(7,942,083 )(68,015 )356,243(7,657,452 )

1,100,000(1,770,000 )
5,408,000(3,088,000 )(647,499 )
1,002,500
422,384
2,877,461*１ 3,299,845

345,000(1,100,000 )
5,000,000
2,827,347(869,849 )
6,202,497
763,732
3,299,845*１ 4,063,578

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(6) Notes on the Going Concern Assumption
Not applicable.
(7) Notes on Matters Concerning Significant Accounting Policies
1. Method of depreciation (1) Property, plant and equipment (including trust assets)of non-current assets
The straight-line method is adopted.
Furthermore, the useful life of core property, plant and equipment is as follows:
Buildings
3–63 years
Structures
6–51 years
Machinery and equipment
6–27 years
Tools, furniture and fixtures
2–13 years(2) Long-term prepaid expenses
The straight-line method is adopted.
2.

Accounting for deferred Investment unit issuance costs
Investment unit issuance costs are amortized over a period of 3 years under theassetsstraight-line method.

3.

Standards forrevenue and expense
recognition(1)Accounting standards for revenue
Details of XYMAX REIT's main performance obligations with respect to revenues fromcontracts with customers and the normal time at which such performance obligations
are satisfied (the normal time at which revenues are recognized) are as follows:(i)Sale of real estate, etc.
Real estate and other sales are recorded as revenue when the buyer, who is acustomer, obtains control of the real estate and other assets by fulfilling the delivery
obligations specified in the agreements governing the sale of the real estate.
(ii)Utility reimbursements
Utility revenues are earned based on the supply of electricity, water and othersupplies to the lessee, which is a customer, under real estate and other leaseagreements and associated agreements.
For utilities revenues determined by XYMAX REIT to be an agent, the net amountreceived as electricity, gas, and other charges supplied by other parties, less amounts
paid to such other parties, is recognized as revenues.
(2)Accounting for fixed property tax, etc.
For fixed property tax, city planning tax, depreciable property tax, etc. on real estateor trust beneficiary rights that have real estate as trust assets held, the accounting isthat, of the tax amount assessed and determined, the amount corresponding to thefiscal period is expensed as expenses related to rent business.
Furthermore, the amount equivalent to fixed property tax, etc. in the initial fiscal
period borne by XYMAX REIT upon acquisition of real estate or trust beneficiaryrights that have real estate as trust assets is not recognized as expenses but includedin the cost of acquisition of the concerned real estate, etc. In the fiscal period underreview, amount of fixed property tax, etc. included in the cost of acquisition of the realestate, etc. is 21,580 thousand yen, and 5,883 thousand yen in the previous fiscal
period.

4.

Method ofhedge accounting(1) Hedge accounting approach
Deferral hedge accounting is applied. However, the special treatment is applied forthe interest-rate swap agreement that meet the criteria for special treatment.
(2) Hedging instruments and hedged items
Hedging instruments: Interest rate swap transaction
Hedged items:
Interest on loans(3) Hedging policy
XYMAX REIT conducts derivative transactions for the purpose of hedging the risks
provided in its Articles of Incorporation based on its risk management policy.
(4) Method of assessing the effectiveness of hedging
As for the method of assessment of the effectiveness of the hedge in the period from- 14 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
the inception of the hedge to the time of judgment of its effectiveness, the cumulativechanges in cash flow of the hedged items and hedging instruments are compared anda judgment is made based on changed amount. However, an assessment of theeffectiveness of hedging activities is omitted in the case of interest rate swaps thatmeet the requirements for special treatment.
5.

Scope of funds in the
The funds (cash and cash equivalents) in the statement of cash flows comprise cash onstatement of cash flows hand and cash in trust, demand deposits and bank deposits in trust, and short-term
investments with a maturity of 3 months or less from the date of acquisition that arereadily convertible to cash and that are subject to a low risk of changes in value.

6.

Other matters serving
as the basis for
preparation of thefinancial statements(1) Accounting for trust beneficiary rights that have real estate, etc. as trust assets
Concerning trust beneficiary rights that have real estate, etc. as trust assets held, allaccounts of assets and liabilities within trust assets and all accounts of revenue andexpenses from the trust assets are recognized in the relevant account item of thebalance sheet and the statement of income.
Furthermore, the following material items of the trust assets recognized in therelevant account item are separately listed on the balance sheet.
(i) Cash and bank deposits in trust(ii) Buildings in trust; Structures in trust; Machinery and equipment in trust; Tools,
furniture and fixtures in trust; Land in trust; Construction in progress in trust(iii) Tenant leasehold and security deposits in trust(2) Accounting for non-deductible consumption tax, etc.
Non-deductible consumption tax, etc. on acquisition of assets is included in the costof acquisition of each asset.

- 15 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(8) Notes on the Financial Statements[Notes on the Balance Sheet]*1. Minimum net assets as provided in Article 67, Paragraph 4 of the Act on Investment Trusts and Investment
Corporations
8th fiscal period(As of Feb. 28, 2022)

9th fiscal period(As of Aug. 31, 2022)

50,000 thousand yen

50,000 thousand yen[Notes on the Statement of Income]*1. Breakdown of operating income (loss) from real estate leasing business8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022
A. Operating revenue from real estate leasing business
Lease business revenue
Rent revenue
Common area maintenance revenue
Other lease business revenue
Utility reimbursement
Parking revenue
Other rental revenue

1,136,281
153,496
60,003
31,976
10,452

Total operating revenue from real estate leasing
B. Operating expenses from real estate leasing
Expenses related to leasing businessTax and public dues
Maintenance fees
Utility expenses
Repair expenses
Insurance premiums
Depreciation
Other expenses related to rent business(Unit: thousand yen)
9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

1,289,778

1,357,678
165,523

102,432

83,173
31,971
10,181

1,392,210

137,819
91,25956,32928,881
3,485
142,326
30,875490,977

1,523,202

125,327
1,648,530

136,136
107,084
83,11544,748
3,987
158,887
23,184557,144

Total operating expenses from real estate leasing

490,977

557,144

C. Operating income (loss) from real estate leasing [A-B]

901,232

1,091,385- 16 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
*2. Breakdown of gain on sale of real estate property
8th fiscal period (from September 1, 2021 to February 28, 2022)(Unit: thousand yen)
Renaissance 21 Chihaya（quasi-co-ownership interest 50%）
Revenue on sale of real estate
1,640,000
property
Cost on sale of real estate
1,365,978
property
Other cost on sale54,366
Gain on sale of real estate
219,655
property
9th fiscal period (from March 1, 2022 to August 31, 2022)(Unit: thousand yen)
Renaissance 21 Chihaya（quasi-co-ownership interest 50%）
Revenue on sale of real estate
1,640,000
property
Cost on sale of real estate
1,362,607
property
Other cost on sale51,105Gain on sale of real estate
226,287
property[Notes on the Statement of Unitholders’ Equity]*1. Total number of investment units authorized and total number of investment units issued and outstanding

Total number of investment units authorized
Total number of investment units issued and outstanding

8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

5,000,000 units

5,000,000 units

223,400 units

249,650 units[Notes on the Statement of Cash Flows]*1. Reconciliation of cash and cash equivalents at end of period to the amount of balance sheet items(Unit: thousand yen)
8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

Cash and bank deposits
Cash and bank deposits in trust

1,219,048
2,080,797

1,540,074
2,523,504

Cash and cash equivalents

3,299,845

4,063,578- 17 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

[Notes on Financial Instruments]
1. Matters concerning status of financial instruments(1) Policy for handling financial instruments
XYMAX REIT shall procure funds for acquisition of assets, repayment of liabilities, etc. through issuance ofinvestment units, borrowing from financial institutions, issuance of investment corporation bonds, etc. Dueconsideration shall be given to the balance between agility in fund procurement and financial stability when
procuring funds.
Surplus funds may be invested in securities and monetary claims, but shall be invested as bank deposits as a rulein consideration of security.
Derivative transactions may be utilized only if for the purpose of hedging the risk of fluctuation in interest rates,
etc., but no speculative transactions shall be conducted.
(2) Description of financial instruments and associated risks, and risk management system
Bank deposits are those for investing XYMAX REIT’s surplus funds and are exposed to credit risk, such as failureof the depository financial institutions, but the credit risk is limited by limiting the deposit period to short term
and transacting with depository financial institutions that have high credit rating.
Loans are those for mainly the purpose of acquisition of real estate, etc., repayment of liabilities, etc. and are
exposed to the liquidity risk of not being able to procure substitute funds upon maturity, but the liquidity risk is
mitigated through diversification of fund procurement means and sources, staggering of maturities and securingliquidity on hand and the liquidity risk is also managed by preparing monthly fund management plans and othermeans. In addition, loans with floating interest rates are exposed to the risk of rise in interest rates payable, but
the impact of the rise in market interest rates on XYMAX REIT’s operations is limited by keeping the ratio ofinterest-bearing liabilities to total assets at a low level and maintaining a balance between the ratio of loans withfloating interest rates and the ratio of loans with fixed interest rates.
Derivative transactions are utilized for the purpose of hedging the risk of fluctuation in interest rates payable on
certain loans. As for the method of assessment of the effectiveness of the hedge in the period from the inceptionof the hedge to the time of judgment of its effectiveness, the cumulative changes in cash flow of the hedged items
and hedging instruments are compared and a judgment is made based on changed amount. However, anassessment of the effectiveness of hedging activities is omitted in the case of interest rate swaps that meet therequirements for special treatment. For the hedge accounting approach, hedged items, contract amount, etc.,
please refer to “2. Matters concerning fair value, etc. of financial instruments.”(3) Supplementary explanation to matters concerning fair value, etc. of financial instruments
The fair value of financial instruments is values based on market price, but may otherwise include values based onreasonable calculation when no market price is available. Variable factors are taken into account in the calculationof the concerned values. Accordingly, the concerned values may vary when different assumptions are adopted. In
addition, the contract amount, etc. of derivative transactions in “2. Matters concerning fair value, etc. of financial
instruments” do not itself represent the market risk involved in the derivative transactions.
2. Matters concerning fair value, etc. of financial instruments
The following are the carrying amount and fair value as of February 28, 2022, and the amount of difference between
these. Financial instruments for which estimation of fair value is recognized to be extremely difficult are not includedin the following table. (Please refer to Note 2 below.)(1) Current portion of long-termborrowings(2) Long-term loans payable
Total liabilities

Carrying amount(thousand yen)

Fair value(thousand yen)Amount of difference(thousand yen)

2,796,000

2,796,000-

11,804,000

11,807,985

3,985

14,600,000

14,603,985

3,985

-

-

-

Derivative transactions

The following are the carrying amount and fair value as of August 31, 2022, and the amount of difference between these.
- 18 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Financial instruments for which estimation of fair value is recognized to be extremely difficult are not included in thefollowing table. (Please refer to Note 2 below.)
Carrying amount(thousand yen)

Fair value(thousand yen)Amount of difference(thousand yen)

2,796,000

2,796,000-

16,804,000

16,806,368

2,368

19,600,000

19,602,368

2,368[3,135][3,135]-(1) Current portion of long-termborrowings(2) Long-term loans payable
Total liabilities
Derivative transactions(Note 1) Method of calculation of the fair value of financial instruments and matters concerning derivative transactions
Liabilities(1) Current portion of long-term borrowings, (2) Long-term loans payable
Of long-term loans payable, because those with floating interest rates reflect market interest rates in a short period oftime, the fair value is thought to resemble the book value and thus stated at that book value. However, in the case oflong-term loans payable with floating interest rates that qualify for special treatment for interest rate swaps (pleaserefer to “Notes on Derivative Transaction” presented later in this document) and long-term loans payable with fixedinterest rates, the fair value is calculated based on the present value of their future cash flows discounted by the time
to maturity and rate adjusted for credit risks.
Derivative transactions
Please refer to “Notes on Derivative Transactions” below.
(Note 2) Amount of repayment of Long-term loans scheduled to be due after the end of the fiscal period (February 28, 2022)(Unit: thousand yen)

Long-term loans payable

Due within
1 yearDue after
1 to 2 years

Due after
2 to 3 years

Due after
3 to 4 years

Due after
4 to 5 years

2,796,000

3,426,000

2,902,000

3,456,000

2,020,000

Due after
5 years-

Amount of repayment of Long-term loans scheduled to be due after the end of the fiscal period (August 31, 2022)(Unit: thousand yen)

Long-term loans payable

Due within
1 yearDue after
1 to 2 years

Due after
2 to 3 years

Due after
3 to 4 years

Due after
4 to 5 years

2,796,000

4,376,000

4,302,000

4,856,000

3,270,000

Due after
5 years-［Notes on Derivative Transactions］
1. Derivative transactions to which hedge accounting is not applied
8th fiscal period (as of February 28, 2022)
Not applicable.
9th fiscal period (as of August 31, 2022)
Not applicable.
2. Derivative transactions to which hedge accounting is applied
8th fiscal period (as of February 28, 2022)
The following is the contract amount or the amount equivalent to the principal provided in the contract, etc. at the endof the fiscal period for each hedge accounting approach.
(Unit: thousand yen)
Hedge accounting
approach

Type, etc. of
derivative transaction

Main hedged
item

Special treatment forinterest rate swaps

Interest rate swap
transaction(receive floating; pay fixed)

Long-termloans payable(Note 1)

Contract amount, etc. is based on notional principal.

- 19 -

Contract amount, etc. (Note 1)
Of which,due after 1 year
630,000

630,000

Fair value(Note 2)

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(Note 2)Since those with special treatment for interest rate swaps are treated integrally with hedged long-term loans payable, the fair valuesof such are included in the fair value of said long-term loans payable. (Please refer to [Notes on Financial Instruments] 2. Mattersconcerning fair value, etc. of financial instruments (Note 1) Method of calculation of the fair value of financial instruments andmatters concerning derivative transactions, Liabilities (2) Long-term loans payable.

9th fiscal period (as of August 31, 2022)
The following is the contract amount or the amount equivalent to the principal provided in the contract, etc. at the endof the fiscal period for each hedge accounting approach.
(Unit: thousand yen)Contract amount, etc.
(Note 1)
Main
Type, etc. ofHedge
Calculation method forhedgedderivative
accounting
Of which, Fair value
applicable fair value
item
transaction
approach
due after
1 yearBased on the amountInterest rate
provided byLong-termswap transaction
Principle
982,000
982,000(3,135)counterparty financial(receive floating; loans payable
methodinstitutions
pay fixed)
Interest rate
Special treatment
Long-termswap transaction
for interest rate
630,000
630,000(Note 2)
(receive floating; loans payable
swaps
pay fixed)(Note 1)
(Note 2)Contract amount, etc. is based on notional principal.
Since those with special treatment for interest rate swaps are treated integrally with hedged long-term loans payable, the fair valuesof such are included in the fair value of said long-term loans payable. (Please refer to [Notes on Financial Instruments] 2. Mattersconcerning fair value, etc. of financial instruments (Note 1) Method of calculation of the fair value of financial instruments andmatters concerning derivative transactions, Liabilities (2) Long-term loans payable.

[Notes on Tax-Effect Accounting]
1. Breakdown of main causes for occurrence of deferred tax assets and deferred tax liabilities(Unit: thousand yen)
8th fiscal period(As of Feb. 28, 2022)

9th fiscal period(As of Aug. 31, 2022)

13

15

-

986

13

1,001

Deferred tax assets
Non-deductible accrued enterprise tax
Deferred gains or losses on hedges
Subtotal deferred tax assets
Valuation allowance

2.

-

(986)

Total

13

15

Deferred tax assets, net

13

15

Breakdown of major components that caused any significant differences between the statutory tax rate and theeffective income tax rate after application of tax-effect accounting(Unit: %)Statutory tax rate
[Adjustments]
Distribution deductible for tax purposes
Other
Effective income tax rate after application of tax-effect accounting[Notes on Related-Party Transactions]
1. Parent company, major corporate unitholder, etc.
8th fiscal period (from September 1, 2021 to February 28, 2022)
Not applicable.
- 20 -

8th fiscal period(As of Feb. 28, 2022)

9th fiscal period(As of Aug. 31, 2022)

31.46

31.46

(31.43)0.07(31.43)
0.06

0.10

0.09

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

9th fiscal period (from March 1, 2022 to August 31, 2022)
Not applicable.
2. Affiliated company, etc.
8th fiscal period (from September 1, 2021 to February 28, 2022)
Not applicable.
9th fiscal period (from March 1, 2022 to August 31, 2022)
Not applicable.
3. Fellow subsidiary, etc.
8th fiscal period (from September 1, 2021 to February 28, 2022)
Not applicable.
9th fiscal period (from March 1, 2022 to August 31, 2022)
Not applicable.

- 21 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
4. Director, major individual unitholder, etc.
8th fiscal period (from September 1, 2021 to February 28, 2022)
Percentage of

Capital stock

Description of relationship

Description of voting rights,
business
Description ofetc.
investments
Concurrent
orholding of Description of transaction
held by (in)in capital
occupation(thousand
XYMAX REIT positions, etc. relationshipby directors
yen)
(%)
or

Attribute

Name ofcompany, etc.

Location

Executive
Director of
XYMAX REIT,
and

Executive Director of
Asset
XYMAX REIT, andRepresentative Director and management
fees, etc.
President of
XYMAX REAL ESTATE(Note 3)INVESTMENT ADVISORS(Note 4)
Corporation

Representative

Director

ShotaroKanemitsu--

Director andPresident of
XYMAX
REAL ESTATEINVESTMENTADVISORS
Corporation-

Balance

Transaction

at end ofamount(thousandAccount itemyen)
(Note 2)

145,708

period(thousandyen)(Note 2)

Accounts
payable other124,584(Note 1) The above discloses a related-party transaction which includes a material transaction, among related-party
transactions subject to disclosure.
(Note 2) Of the amounts above, transaction amount does not include consumption tax, etc., while balance at end of period
includes consumption tax, etc.
(Note 3) The amount of asset management fees, etc. is for transactions conducted by Shotaro Kanemitsu as representative of
XYMAX REAL ESTATE INVESTMENT ADVISORS Corporation, and transaction amount is based on the terms andconditions provided in XYMAX REIT’s Articles of Incorporation.
(Note 4) Asset management fees, etc. includes asset acquisition fees of 32,450 thousand yen which counted in the booked
acquisition price.
(Note 5) Transaction terms and conditions are determined based on the actual market situation.
9th fiscal period (from March 1, 2022 to August 31, 2022)

Attribute

Name ofcompany, etc.

Location

Capital stock
Percentage ofor
Description of voting rights,
investmentsetc.
businessin capital
held by (in)or
occupation XYMAX REIT
(thousand
(%)

yen)

Executive
Director of
XYMAX REIT,
and
Representative

Director

ShotaroKanemitsu--

Director andPresident of
XYMAX
REAL ESTATEINVESTMENTADVISORS
Corporation-

Description of relationship

Balance

Transaction
Description ofConcurrent
holding of Description of transaction
positions, etc. relationshipby directors

Executive Director of
Asset
XYMAX REIT, andRepresentative Director and management
fees, etc.
President of
XYMAX REAL ESTATE(Note 3)INVESTMENT ADVISORS(Note 4)
Corporation

amount(thousandyen)

at end of
Account item

(Note 2)201,526

period(thousandyen)(Note 2)

Accounts
payable other137,958(Note 1) The above discloses a related-party transaction which includes a material transaction, among related-party
transactions subject to disclosure.
(Note 2) Of the amounts above, transaction amount does not include consumption tax, etc., while balance at end of period
includes consumption tax, etc.
(Note 3) The amount of asset management fees, etc. is for transactions conducted by Shotaro Kanemitsu as representative of
XYMAX REAL ESTATE INVESTMENT ADVISORS Corporation, and transaction amount is based on the terms andconditions provided in XYMAX REIT’s Articles of Incorporation.
(Note 4) Asset management fees, etc. includes asset acquisition fees of 76,110 thousand yen which counted in the booked
acquisition price.
(Note 5) Transaction terms and conditions are determined based on the actual market situation.

- 22 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

[Notes on Segment Information, Etc.]
1. Segment information
Segment information is omitted, because XYMAX REIT has a single segment, which is the real estate leasing business.
2. Related information
8th fiscal period (from September 1, 2021 to February 28, 2022)(1) Information by product and service
Information by product and service is omitted, because operating revenue to external customers for a single
products and services category is in excess of 90% of operating revenue on the statement of income.
(2) Information by geographic area(i) Operating revenue
Information by geographic area of operating revenue is omitted, because operating revenue to externalcustomers in Japan is in excess of 90% of operating revenue on the statement of income.
(ii) Property, plant and equipment
Information by geographic area of property, plant and equipment is omitted, because the amount of property,
plant and equipment located in Japan is in excess of 90% of the amount of property, plant and equipment on
the balance sheet.
(3) Information by major customer(Unit: thousand yen)

(Note)Name of customer

Operating revenue

Related segment

New Urban Life Holdings Inc.

Not disclosed (Note)

Real estate leasing businessNot disclosed due to unavoidable circumstances in that consent for disclosure has not been obtained from the lessee.

9th fiscal period (from March 1, 2022 to August 31, 2022)(1) Information by product and service
Information by product and service is omitted, because operating revenue to external customers for a single
products and services category is in excess of 90% of operating revenue on the statement of income.
(2) Information by geographic area(i) Operating revenue
Information by geographic area of operating revenue is omitted, because operating revenue to externalcustomers in Japan is in excess of 90% of operating revenue on the statement of income.
(ii) Property, plant and equipment
Information by geographic area of property, plant and equipment is omitted, because the amount of property,
plant and equipment located in Japan is in excess of 90% of the amount of property, plant and equipment on
the balance sheet.
(3) Information by major customer(Unit: thousand yen)

(Note)Name of customer

Operating revenue

Related segment

New Urban Life Holdings Inc.

Not disclosed (Note)

Real estate leasing businessNot disclosed due to unavoidable circumstances in that consent for disclosure has not been obtained from the lessee.

- 23 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
[Notes on Investment and Rental Properties]XYMAX REIT owns office, retail, hotel, and other properties for the purpose of earning revenue from leasing. The
carrying amount, amount of increase (decrease) during period and fair value of these investment and rental properties
are as follows:(Unit: thousand yen)
8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

37,746,444

44,189,692

Balance at beginning of period

35,910,478

37,746,444

Amount of increase (decrease) during period

1,835,966

6,443,247

Balance at the end of the period

37,746,444

44,189,692

48,348,000

54,666,000

Carrying amount

Fair value at the end of the period(Note 1)
(Note 2)

(Note 3)(Note 4)

Carrying amount is the amount of cost of acquisition, less accumulated depreciation.
Of the amount of increase (decrease) during period for 8th fiscal period, the amount of increase is mainly attributable to theacquisition of 1 trust beneficiary right (3,289,783 thousand yen) and capital expenditure (54,488 thousand yen), while the amountof decrease is mainly attributable to the disposition of 1 trust beneficiary right (1,365,978 thousand yen) and depreciation (142,326
thousand yen).. Of the amount of increase (decrease) during period for 9th fiscal period, the amount of increase is mainly
attributable to the acquisitions of 3 trust beneficiary right (7,812,216 thousand yen) and capital expenditure (154,511 thousandyen), while the amount of decrease is mainly attributable to the disposition of 1 trust beneficiary right (1,362,607 thousand yen)and depreciation (158,887 thousand yen).
Fair value at the end of the period is the appraisal value by an outside real estate appraiser. As for Renaissance 21 Chihaya, of whichsales agreement is concluded on January 27, 2022 (50% quasi-co-ownership at the end of the fiscal period under review), XYMAXREIT adopted the sales price as its Fair Value.
Carrying amount does not include Construction in progress in trust.

The income (loss) concerning investment and rental properties is stated in “Notes on the Statement of Income” above.
[Notes on revenue recognition]
1. Disaggregated information on revenue from contracts with customers
8th fiscal period (from September 1, 2021 to February 28, 2022)(Unit: thousand yen)
Disposition of real estate, etc.
Utility revenue
OthersTotal

Revenue from contracts with customers(Note1)
1,640,000
60,0031,700,003

Sales to external customers(Note2) 219,655
60,003
1,332,206
1,611,865(Note 1) Rent revenues subject to Accounting Standard for Lease Transactions (ASBJ Statement No. 13) is excluded from “Revenue fromcontracts with customers” as it is not subject to Accounting Standard for Revenue Recognition. The revenue from contracts withcustomers is mainly revenues from the gain on sales of real estate, etc. and the utilities.
(Note 2) As proceeds from sale of real estate property is recorded as gain or loss on sale of real estate property in the statements of income
and retained earnings, the amount sought by deducting the cost of real estate property sales and other sales expenses from proceedsfrom sale of real estate property according to Article 48-2 of the Calculation Rules for Investment Corporation (Cabinet Office
Ordinances No. 47 in2006).

9th fiscal period (from March 1, 2022 to August 31, 2022)(Unit: thousand yen)
Disposition of real estate, etc.
Utility revenue
OthersTotal

Revenue from contracts with customers(Note1)
1,640,000
83,173
1,723,173

Sales to external customers(Note2) 226,287
83,173
1,565,356
1,874,817(Note 1) Rent revenues subject to Accounting Standard for Lease Transactions (ASBJ Statement No. 13) is excluded from “Revenue fromcontracts with customers” as it is not subject to Accounting Standard for Revenue Recognition. The revenue from contracts withcustomers is mainly revenues from the gain on sales of real estate, etc. and the utilities.
(Note 2) As proceeds from sale of real estate property is recorded as gain or loss on sale of real estate property in the statements of income
and retained earnings, the amount sought by deducting the cost of real estate property sales and other sales expenses from proceedsfrom sale of real estate property according to Article 48-2 of the Calculation Rules for Investment Corporation (Cabinet Office
Ordinances No. 47 in2006).

2. Foundational information for understanding revenues generated from contracts with customers
8th fiscal period (from September 1, 2021 to February 28, 2022)
As indicated in the Summary of Significant Accounting Policies.
- 24 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

9th fiscal period (from March 1, 2022 to August 31, 2022)
As indicated in the Summary of Significant Accounting Policies.
3. Information on relationship of fulfillment of performance obligations based on contracts with customers with cash
flow generated from said contracts and amount and period of revenue expected to be recognized in the next fiscal
period or thereafter from contracts with customers existing at the end of the fiscal period under review(1) Balance of contract assets and contract liabilities, etc.
(Unit: thousand yen)
8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022
Claims generated from contracts with customers(balance at beginning of fiscal year)
Claims generated from contracts with customers(balance at end of fiscal year)
Contract assets (balance at beginning of fiscal year)
Contract assets (balance at end of fiscal year)
Contract liabilities (balance at beginning of fiscal year)
Contract liabilities (balance at end of fiscal year)

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

16,716

16,483

16,48327,381--(2) Transaction value allocated to remaining performance obligations
8th fiscal period (from September 1, 2021 to February 28, 2022)
As of February 28, 2022, the total transaction price allocated to the remaining performance obligations for the sale ofreal estate, etc. was 1,640,000 thousand yen for real estate, etc. for which an agreement to sell was concluded on
January 27, 2022. XYMAX REIT expects to recognize revenue for such remaining performance obligations upondelivery of such property, etc. scheduled on March 31, 2022.
In addition, XYMAX REIT recognizes utility revenue in an amount that is entitled to claim in accordance withparagraph 19 of the Accounting Standard Guidance on revenue recognition as XYMAX REIT is entitled to receive fromthe tenant the amount of consideration that directly corresponds to the value to the tenant, which is the customer, forthe portion of performance completed by the end of the fiscal period under review. Accordingly, XYMAX REIT has
applied the provisions of paragraph 80-22(2) of the Accounting Standard for Revenue Recognition and has notincluded them in the notes to the transaction price allocated to its remaining performance obligations.
9th fiscal period (from March 1, 2022 to August 31, 2022)
XYMAX REIT recognizes utility revenue in an amount that is entitled to claim in accordance with paragraph 19 of the
Accounting Standard Guidance on revenue recognition as XYMAX REIT is entitled to receive from the tenant theamount of consideration that directly corresponds to the value to the tenant, which is the customer, for the portion of
performance completed by the end of the fiscal period under review. Accordingly, XYMAX REIT has applied theprovisions of paragraph 80-22(2) of the Accounting Standard for Revenue Recognition and has not included them in
the notes to the transaction price allocated to its remaining performance obligations.

- 25 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
[Notes on Per Unit Information]
8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

Net assets per unit

104,996 yen

105,909 yen

Net income per unit

3,895 yen

4,022 yen

(Note 1)

Net income per unit for 8th fiscal period is calculated by dividing net income by the period’s daily weighted average number ofinvestment units. In addition, diluted net income per unit is not stated, because there are no diluted investment units.

(Note 2)The basis for calculation of net income per unit is as follows:

8th fiscal period
From: Sep. 1, 2021
To: Feb. 28, 2022

9th fiscal period
From: Mar. 1, 2022
To: Aug. 31, 2022

870,360

1,003,432

Amount not attributable to common unitholders (thousand yen)--

Net income attributable to common investment units (thousand yen)

870,360

1,003,432

Average number of investment units during the period (units)

223,400

249,466

Net income (thousand yen)

[Notes on Significant Subsequent Events]
Not applicable.
[Notes to Allowance for Temporary Difference Adjustments Additions and Reversals]
8th fiscal period (from September 1, 2021 to February 28, 2022)
Not applicable.
9th fiscal period (from March 1, 2022 to August 31, 2022)
1. Reasons, related assets and allowance
Related assets, etc.

ReasonDeferred gains or losses on hedges

Loss on interest-rate swaps recognized at
the end of the fiscal period(Unit: thousand yen)
Allowance for temporary
difference adjustments
2,995

2. Method of reversal
Deferred gains or losses on hedges
Based on changes in the fair value of the hedging instruments, the corresponding amount is scheduled to bereversed.
[Omission of Disclosure]
Disclosure of notes on lease transactions, securities, retirement benefits, equity in net income and asset retirement
obligations is omitted since no substantial need for disclosure in the financial report is recognized.

- 26 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(9)Changes in Total Number of Investment Units Issued and Outstanding
Changes in unitholders’ capital and the total number of investment units issued and outstanding from the incorporationof XYMAX REIT to the last day of the fiscal period under review are as follows:

Date

Description

Total number of investment units
issued and outstanding(units)Increase
Balance(Decrease)

Unitholders’ capital(thousand yen)
Increase(Decrease)

Remarks

Balance

Incorporation throughprivate placement
Capital increase throughpublic offering

3,000

3,000

300,000

300,000(Note 1)

209,905

212,905

21,224,544

21,524,544(Note 2)Mar. 20, 2018

Third-party allotment

10,495

223,400

1,061,201

22,585,746(Note 3)Mar. 1, 2022

Capital increase throughpublic offering

25,000248,400

2,718,350

25,304,096(Note 4)Mar. 28, 2022

Third-party allotment

1,250

249,650

135,917

25,440,013(Note 5)

Sep. 14, 2017
Feb. 14, 2018

(Note 1)
(Note 2)XYMAX REIT was incorporated with issuance of investment units at a paid-in amount of 100,000 yen per unit.
New investment units were issued through public offering at an issue price of 105,000 yen (paid-in amount of 101,115 yen) per unit
for the purpose of procuring funds for acquisition of new properties.

(Note 3)(Note 4)

New investment units were issued with SMBC Nikko Securities Inc. as allottee at a paid-in amount of 101,115 yen per unit.
New investment units were issued through public offering at an issue price of 108,734 yen (paid-in amount of 113,024 yen) per unit

(Note 5)for the purpose of partially procuring funds for the acquisition of new assets.
New investment units were issued with SMBC Nikko Securities Inc. as allottee at a paid-in amount of 108,734 yen per unit.

- 27 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

3. Reference Information(1) Investment Status

Type of asset

Use

Geographic area
(Note 1)

8th fiscal period
As of Feb. 28, 2022
Total amount held(million yen)
(Note 2)

Tokyo
Actual real
Retaileconomic area
estateTotal actual real estateTokyo central
5 wards
Tokyo 23
wards
Office Tokyoeconomic area
Cabinet order
designatedcitiesTokyoeconomic area
Real estate in
Cabinet order
trust
RetaildesignatedcitiesOthersCabinet orderHoteldesignatedcitiesTokyo 23
wards
Other Cabinet order
designatedcitiesTotal real estate in trust
Deposits and other assets(Note 4)
Total assets(Note 1)

(Note 2)

(Note 3)(Note 4)9th fiscal period
As of Aug. 31, 2022

As a percentage Total amount held(million yen)of total assets(Note 2)(%) (Note 3)

As a percentage
of total assets(%) (Note 3)

546

1.3

545

1.1

546

1.3

545

1.1

15,12036.7

15,185

31.2

1,170

2.8

3,262

6.7

2,665

6.5

2,656

5.5

-

-

4,755

9.8

8,277

20.1

8,266

17.0

1,079

2.6

1,077

2.2

3,289

8.0

3,289

6.8

4,234

10.3

4,218

8.7

-

-

932

1.9

1,364

3.3

-

-

37,2003,502
41,249

90.2
8.5
100.0

43,643
4,480
48,669

89.7
9.2
100.0

“Tokyo central 5 wards” refers to Tokyo’s Chiyoda Ward, Chuo Ward, Minato Ward, Shinjuku Ward and Shibuya Ward.
“Tokyo 23 wards” does not include “Tokyo central 5 wards”.
“Tokyo economic area” refers to Tokyo excluding “Tokyo central 5 wards” and “Tokyo 23 wards”, Kanagawa Prefecture, Chiba Prefectureand Saitama Prefecture.
“Total amount held” is based on the carrying amount (in the case of actual real estate and real estate in trust, the depreciated bookvalue) as of the end of each fiscal period, rounded down to the nearest million yen. Furthermore, the total amount held for real estatein trust as “Hotel” includes the book value of movables incidental to hotels. In addition, the total value of real estate held in trust andclassified as “Other” above includes the book value of the movable properties associated with the building.
“As a percentage of total assets” is rounded to one decimal place.
Deposits and other assets include Construction in progress in trust.

8th fiscal period
As of Feb. 28, 2022
Amount(million yen)
(Note 1)

9th fiscal period
As of Aug. 31, 2022

As a percentage of
total assets(%) (Note 2)

Amount(million yen)
(Note 1)

As a percentage of
total assets(%) (Note 2)

Total liabilities

17,79343.1

22,22945.7

Total net assets

23,45656.9

26,44054.3

Total assets

41,249100.0

48,669100.0(Note 1)
(Note 2)The total liabilities, total net assets and total assets amounts are based on the carrying amounts as of the book closing date, rounded
down to the nearest million yen.
“As a percentage of total assets” is rounded to one decimal place.

- 28 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

Classification(2) Investment Assets
I. Itemization of Real Estate and Other Assets in the Portfolio
The assets held by XYMAX REIT (actual real estate or trust beneficiary rights that have real estate as trust assets;hereinafter, may be collectively referred to as the “portfolio assets”) as of August 31, 2022 are as follows:

Asset
no.
(Note
1)

OF-01
OF-02
OF-03
OF-04

Office

OF-05
OF-06

Asset name

XYMAX
Nishi-Shimbashi
Building
XYMAX
Iwamotocho
Building
XYMAX
Shinjuku-Gyoen
Building
XYMAX
Kamiyacho
Building
XYMAX
Higashi-Azabu
Building
XYMAX
Higashi-Ueno
Building

RetailShare ofportfolio(%)(Note 3)

Appraisal value(million yen)
(Note 4)

Ownership status(Note 5)

2,523

3,270

Trust beneficiary
right

9.8

4,420

5,920

Trust beneficiary
right

5,020

11.5

5,070

7,340

Trust beneficiaryrightFeb. 16,
2018

880

2.0

889

1,290

Trust beneficiaryrightMinato-ku,
TokyoFeb. 16,
2018

1,550

3.6

1,597

1,990

Trust beneficiaryright

Taito-ku,Tokyo

Feb. 16,
2018

1,150

2.6

1,166

1,660

Trust beneficiary
right

Location

Minato-ku,
TokyoFeb. 16,
2018

2,500

5.8

Chiyoda-ku,
TokyoFeb. 16,
2018

4,250

Shinjuku-ku,
TokyoFeb. 16,2018

Minato-ku,
TokyoBook value at
end of period(million yen)

OF-07

XYMAX
Hachioji-shi,
Hachioji Building Tokyo

Feb. 16,
2018

2,600

6.0

2,656

3,650

Trust beneficiary
right

OF-08

XYMAX
Mita Building

Minato-ku,
TokyoJul. 1,
2021

668

1.5

684

755

Trust beneficiary
right

OF-09

XYMAX
Sapporo Odori
Building

Sapporo-shi,
HokkaidoMar. 2,
2022

4,707

10.8

4,755

4,920

Trust beneficiary
right

OF-10

XYMAX Kiba
koen Building

Koto-ku.
Tokyo

Mar. 2,
2022

2,003

4.6

2,095

2,150

Trust beneficiary
right

-

-

25,32858.3

25,86032,945-

Subtotal/Average
RT-01

Muza Kawasaki

Kawasaki-shi,
Kanagawa

Feb. 16,
2018

4,100

9.4

4,048

5,540

Trust beneficiary
right

RT-02

Life Kawasaki
Miyuki Store

Kawasaki-shi,
Kanagawa

Feb. 16,
2018

790

1.8

792

970

Trust beneficiary
right

RT-03

Vita SeisekiSakuragaoka

Tama-shi,Tokyo

Feb. 16,
2018

3,100

7.1

3,425

3,900

Trust beneficiary
right

RT-04

Life Fukuizumi
Store

Sakai-shi,
OsakaSep. 1,
2020

1,065

2.5

1,077

1,090

Trust beneficiaryright

Yokohama-shi,
Kanagawa

Jul. 1,
2021

540

1.2

545

631

Actual real estate

Kasugai-shi,
Aichi

Jan. 31,
2022

3,245

7.5

3,289

3,400

Trust beneficiary
right

-

-

12,84029.5

13,17815,531-

Sendai-shi,
MiyagiFeb. 16,
2018

4,400

10.1

4,218

5,170

Trust beneficiaryright and movables
incidental to hotel

-

-

4,400

10.1

4,218

5,170

-

Edogawa-ku,
Tokyo

Mar. 2,
2022

901

2.1

932

1,020

Trust beneficiaryright and movables
incidental to building

Subtotal/Average

-

-

901

2.1

932

1,020

-

Total/Average--

43,469100.0

44,18954,666

-

RT-05

RT-06

The Park House
Totsuka Front(the RetailPortions of 1stand 2nd Floors)
Valor Kachigawa
Store (Leaseholdland) (Note 6)

Subtotal/Average

Hotel

HT-01

Hotel Vista
SendaiSubtotal/Average

Other

Acquisition
price(millionyen)(Note 2)Acquisition
date

OT-02

L-Place
Nishikasai- 29 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
(Note 1)
(Note 2)

(Note 3)(Note 4)(Note 5)(Note 6)

“Asset no.” is the code and number assigned to the portfolio assets of XYMAX REIT property by property according to each type of use. The
code “OF” represents office properties, “RT” represents retail properties, “HT” represents hotel properties and “OT” represents other properties.
“Acquisition price” is the amount (the amount of the sale and purchase price of the asset stated in sales and purchase agreement for eachportfolio asset) not including the various expenses required for the acquisition of the portfolio assets (brokerage fees, property taxes, etc.),rounded down to the nearest million yen. The sale and purchase price does not include consumption tax and local consumption tax.
“Share of portfolio” is the acquisition price of the portfolio asset expressed as a percentage of the total acquisition price of the portfolio assets,rounded to one decimal place.
Appraisal of each property is entrusted to Japan Real Estate Institute, The Tanizawa Sō gō Appraisal Co., Ltd. and Daiwa Real Estate Appraisal
Co., Ltd. “Appraisal value” is the appraisal value stated in each real estate appraisal report with August 31, 2022 as the date of value.
“Ownership status” describes the types of rights held by XYMAX REIT.
Figures for Valor Kachigawa Store represents 50% of quasi-co-ownership owned by XYMAX REIT at the end of the fiscal period under review.

- 30 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
II.

Asset no.

Status of Leasing

Asset nameConstruction Number ofdatetenants(Note 1)
(Note 2)

Operatingrevenue fromleasing(million yen)
(Note 3)

Security deposit/ Guarantee(million yen)
(Note 4)

Leased area(m2)
(Note 5)

Leasable area(m2)
(Note 6)

Occupancy
rate(%)(Note 7)

OF-01

XYMAX
Nishi-Shimbashi Building

Aug. 22,
2000

8

84

108

1,897.92

1,897.92

100.0

OF-02

XYMAX
Iwamotocho Building

Mar. 22,
2001

14

139

178

4,152.40

4,152.40

100.0

OF-03

XYMAX
Shinjuku-Gyoen Building

Feb. 28,
2001

6

188

263

4,792.21

4,792.21

100.0

OF-04

XYMAX
Kamiyacho Building

Apr. 30,
1991

7

45

53

1,205.27

1,205.27

100.0

OF-05

XYMAX
Higashi-Azabu Building

Nov. 30,
1999

6

54

69

2,015.99

2,015.99

100.0

OF-06

XYMAX
Higashi-Ueno Building

Apr. 9,
1999

8

50

71

1,735.29

1,735.29

100.0

OF-07

XYMAX
Hachioji Building

Jan. 26,
1993

23

131

153

5,556.05

5,556.05

100.0

OF-08

XYMAX Mita Building

May 31,
1991

7

20

10

512.87741.41

69.2

OF-09

XYMAX
Sapporo Odori Building

Sep. 30,
2020

6

132

249

3,106.42

3,106.42

100.0

OF-10

XYMAX Kiba koen Building

Oct. 31,
1992

5

60

73

2,587.13

2,587.13

100.0

RT-01

Muza Kawasaki

Dec. 18,
2003

19

177

230

3,703.88

3,703.88

100.0

RT-02

Life Kawasaki Miyuki Store

Jan. 13,
1997

1

Undisclosed(Note 8)

Undisclosed(Note 8)2,677.54

2,677.54

100.0

RT-03

Vita Seiseki-Sakuragaoka

Sep. 17,
1999

1

Undisclosed(Note 8)

Undisclosed(Note 8)27,610.61

27,610.61

100.0

RT-04

Life Fukuizumi Store

Dec. 17,
1996

1

Undisclosed(Note 8)

Undisclosed(Note 8)3,309.29

3,309.29

100.0

RT-05

The Park House Totsuka Front(the Retail Portions of 1st and2nd Floors)

May 23,
2018

5

26

33

861.60861.60

100.0

RT-06

Valor Kachigawa Store(Leasehold land)-

1

Undisclosed(Note 8)

Undisclosed(Note 8)

10,254.55

10,254.55

100.0

HT-01

Hotel Vista Sendai

Mar. 14,2016

1

Undisclosed(Note 8)

Undisclosed(Note 8)

7,066.25

7,066.25

100.0

OT-02

L-Place NishikasaiJun. 15,
1986

1

Undisclosed(Note 8)

Undisclosed(Note 8)2,044.18

2,044.18

100.0

-

120

1,648

1,731

85,089.45

85,317.99

99.7

Total/Average(Note 1)
(Note 2)
(Note 3)(Note 4)(Note 5)(Note 6)(Note 7)(Note 8)

“Construction date” is the date of new construction of the main building stated in the real estate registry.
“Number of tenants” is the total of the number of tenants (the number of end-tenants if a pass-through type master lease contract has beenconcluded) pertaining to the assets based on each lease contract concluded for each asset as of February 28, 2022.
“Operating revenue from leasing” is the total amount of rent revenue, common area maintenance revenue, parking revenue and other revenue(including other lease business revenue) generated from portfolio real estate during the fiscal period, rounded down to the nearest specified
unit. In addition, the total amount of operating revenue from leasing includes revenue from the leasing business of Renaissance 21 Chihaya,
which was sold on March 31, 2022. Operating revenue from leasing for the 9th fiscal period on Renaissance 21 Chihaya are 8 million yen.
“Security deposit / Guarantee” is each asset’s total amount of security deposit and guarantee specified in all lease contracts pertaining to theassets concluded for each asset as of February 28, 2022, rounded down to the nearest specified unit.
“Leased area” is the total leased area based on the lease contract and the building drawing, etc. attached to the lease contract for each asset asof February 28, 2022. Figures for Valor Kachigawa Store represent 50% of quasi-co-ownership, owned by XYMAX REIT at the end of the fiscal
period under review.
“Leasable area” is the total leased area based on the lease contract and the building drawing, etc. attached to the lease contract for each asset
as of August 31, 2022 and the area based on the building drawing, etc. of vacant spaces. Figures for Valor Kachigawa Store represent 50% of
quasi-co-ownership, owned by XYMAX REIT at the end of the fiscal period under review.
“Occupancy rate” is the ratio of leased area to leasable area for each asset as of February 28, 2022, rounded to one decimal place.
Not disclosed due to unavoidable circumstances in that consent for disclosure has not been obtained from the lessee.

- 31 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
III. Summary of Real Estate Appraisal Reports

Classification

Value based on income approach
Asset no.

Asset nameAppraiser(Note 2)

Appraisalvalue(million yen)Valuebased onCapitalization
directrate
capitalization(%)
methodOffice(million yen)

Retail(million yen)

Terminal
capitalization
rate
(%)

XYMAX
Nishi-Shimbashi Building

Tanizawa Sō gō
Appraisal

3,270

3,400

3.4

3,210

3.5

3.6

OF-02

XYMAX
Iwamotocho Building

Japan Real Estate

5,920

5,990

3.3

5,840

3.1

3.4

OF-03

XYMAX
Shinjuku-Gyoen Building

Japan Real Estate

7,340

7,400

3.3

7,270

3.1

3.4

OF-04

XYMAX
Kamiyacho Building

Tanizawa Sō gō
Appraisal

1,290

1,320

3.5

1,270

3.6

3.7

OF-05

XYMAX
Higashi-Azabu Building

Daiwa Real EstateAppraisal

1,990

2,050

3.8

1,960

3.6

4.0

OF-06

XYMAX
Higashi-Ueno Building

Daiwa Real EstateAppraisal

1,660

1,680

3.9

1,650

3.7

4.1

OF-07

XYMAX
Hachioji Building

Japan Real Estate

3,650

3,670

4.6

3,650

4.4

4.7

OF-08

XYMAX Mita Building

Japan Real Estate

755

766

3.7

743

3.3

3.6

OF-09

XYMAX
Sapporo Odori Building

Japan Real Estate

4,920

4,950

3.9

4,890

3.7

4.0

OF-10

XYMAX Kiba koen Building Japan Real Estate

2,150

2,160

4.3

2,140

3.9

4.3

32,94533,386－32,623

－

－

5,540

5,510

4.1

5,550

4.2

4.3

970

983

4.2

964

4.0

4.4

RT-01

Muza Kawasaki

Tanizawa Sō gō
Appraisal

RT-02

Life Kawasaki Miyuki Store

Daiwa Real EstateAppraisal

RT-03

Vita Seiseki-Sakuragaoka

Tanizawa Sō gō
Appraisal

3,900

3,800

5.0

3,940

5.1

5.2

RT-04

Life Fukuizumi Store

Daiwa Real EstateAppraisal

1,090

1,100

4.5

1,080

4.3

4.7

RT-05

The Park House Totsuka
Front(the Retail Portions of 1stand 2nd Floors)

Tanizawa Sō gō
Appraisal

631

635

4.5

629

4.6

4.7

RT-06

Valor Kachigawa Store(Leasehold land) (Note 3)

Tanizawa Sō gō
Appraisal

3,400

－

－

3,400

4.0

4.2

15,531

12,028－15,563

－

－

5,170

5,240

4.9

5,140

4.9

5.0

5,170

5,240

－

5,140

－

－

1,020

1,040

4.5

1,010

4.6

4.7

Subtotal/Average

1,020

1,040

－

1,010

－

－

Total/Average

54,666

51,694－54,336－－

Subtotal/Average

Hotel

Discount
rate
(%)

OF-01

Subtotal/Average

Other

Value
based onDCF
methodHT-01

Hotel Vista Sendai

Tanizawa Sō gō
Appraisal

Subtotal/Average
OT-02(Note 1)
(Note 2)

(Note 3)

L-Place Nishikasai

Tanizawa Sō gō
Appraisal

The date of value for the real estate appraisal reports is August 31, 2022.
“Appraiser” is the name of the appraiser shortened as follows:
Japan Real Estate: Japan Real Estate InstituteTanizawa Sō gō Appraisal: The Tanizawa Sō gō Appraisal Co., Ltd.
Daiwa Real Estate Appraisal: Daiwa Real Estate Appraisal Co., Ltd.
“Appraisal value” and “Value based on DCF method” represent 50% of quasi-co-ownership, owned by XYMAX REIT at the end of the fiscal period
under review.

- 32 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
IV. Summary of Engineering Reports and Seismic Risk Evaluation Reports
Engineering report
Short-term
repair cost
Inspection(thousand yen)date
(Note 2)
(Note 3)

Seismic risk evaluation report
Long-term
repair cost(thousand yen)
(Note 2)
(Note 4)

Asset no.

Asset name

Inspection
company(Note 1)

OF-01

XYMAX
Nishi-Shimbashi Building

Sompo Risk
Management Inc.

Aug. 31,2022-

Tokio Marine &9,525 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

6.1

OF-02

XYMAX
Iwamotocho Building

Sompo Risk
Management Inc.

Aug. 31,2022-

Tokio Marine &20,598 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

5.2

OF-03

XYMAX
Shinjuku-Gyoen Building

Sompo Risk
Management Inc.

Aug. 31,2022-

Tokio Marine &27,487 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

4.5

OF-04

XYMAX
Kamiyacho Building

Earth-Appraisal
Co., Ltd.

Feb. 28,2022-

Tokio Marine &8,546 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

3.8

OF-05

XYMAX
Higashi-Azabu Building

Earth-Appraisal
Co., Ltd.

Feb. 28,2022-

Tokio Marine &7,340 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

3.4

OF-06

XYMAX
Higashi-Ueno Building

Earth-Appraisal
Co., Ltd.

Feb. 28,2022-

Tokio Marine &4,218 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

5.1

OF-07

XYMAX
Hachioji Building

Sompo Risk
Management Inc.

Aug. 31,2022-

Tokio Marine &14,024 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

3.9

OF-08

XYMAX Mita Building

Tokio Marine &Nichido Risk
Consulting Co., Ltd.

Jun.10,2021-

Tokio Marine &5,232 Nichido Risk
Consulting Co., Ltd.

Jun. 2021

2.6

OF-09

XYMAX
Sapporo Odori Building

Tokio Marine dR
Co., Ltd.

Jan. 17,
2022

-

3,466

Tokio Marine dR
Co., Ltd.

Jan. 2022

0.9

OF-10

XYMAX Kiba koen Building

Sompo Risk
Management Inc.

Jan. 18,
2022

-

8,730

Tokio Marine dR
Co., Ltd.

Jan. 2022

10.8

RT-01

Muza Kawasaki

Earth-Appraisal
Co., Ltd.

Feb. 28,2022-

Tokio Marine &15,756 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

1.2

RT-02

Life Kawasaki Miyuki Store

Daiwa Real EstateAppraisal Co., Ltd.

Aug. 31,2022-

Tokio Marine &4,028 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

7.0

RT-03

Vita Seiseki-Sakuragaoka

Daiwa Real EstateAppraisal Co., Ltd.

Aug. 31,2022-

Tokio Marine &147,397 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

2.1

RT-04

Life Fukuizumi Store

Tokio Marine &Nichido Risk
Consulting Co., Ltd.

Aug. 24,
2020-

Tokio Marine &3,626 Nichido Risk
Aug. 2020
Consulting Co., Ltd.

14.7

RT-05

The Park House Totsuka
Front(the Retail Portions of 1stand 2nd Floors)

Sompo Risk
Management Inc.

Jun.10,2021-

Tokio Marine &2,422 Nichido Risk
Consulting Co., Ltd.

Jun. 2021

6.7

HT-01

Hotel Vista Sendai

Daiwa Real EstateAppraisal Co., Ltd.

Aug. 31,2022-

Tokio Marine &12,462 Nichido Risk
Nov. 2017
Consulting Co., Ltd.

1.7

OT-02

L-Place Nishikasai

Sompo Risk
Management Inc.

Jan. 18,
2022

-

3,609

-

298,465

Total(Note 1)

Inspection
company(Note 1)

Tokio Marine dR
Co., Ltd.

Inspection PML value
date
(%)

Jan. 2022

Entire portfolio (Note 5)

9.1
2.5

Inspection company are the names when the inspection was performed.

(Note 2)
(Note 3)

“Short-term repair cost” and “Long-term repair cost” are indicated based on the engineering report.
“Short-term repair cost” refers to the cost for repair or upgrading that has priority over daily maintenance and indicates the total amount of
estimates of repair costs deemed necessary within one year from the date of the engineering report.
(Note 4) “Long-term repair cost” refers to the cost for repair or upgrading to maintain functions and safe operations against the deterioration with age
and indicates the total amount of repair/upgrading costs deemed necessary within 12 years from the date of the engineering report, which isthe annual average calculated by the Asset Management Company, rounded to the nearest thousand yen.
(Note 5) “Entire portfolio” is a PML value for a group of the 17 portfolio assets, obtained in the same manner as for each property based on the seismic
risk evaluation (portfolio) report dated January 2022 prepared by Tokio Marine dR Co., Ltd.
(Note 6) Valor Kachigawa Store does not appear on the above list because the asset is the leasehold land only with no building and is not subject to entire
portfolio PML.

- 33 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
V. Capital Expenditures(A) Schedule of Capital Expenditures
Of capital expenditures associated with renovation work, etc. currently planned for assets held by XYMAX REIT as ofthe end of the fiscal period under review, the following are the major estimated amounts. The estimated construction
costs below may include the portion separately booked as expenses in accounting.
Estimated construction costs(thousand yen)
Total
Amount ofamountpayment
Total
alreadyduringamountpaid
periodName ofreal estate, etc.

Location

PurposeScheduled period

XYMAX
Shinjuku-Gyoen
Building

Shinjuku-ku,
Tokyo

Renewal of air
conditioners

From: January 2023
To: January 2023

53,051--

Tama-shi,Tokyo

Overhaul & partsexchange ofParking A(located on
basement floor)

From: February 2023
To: February 2023

37,924--

Vita SeisekiSakuragaoka(B) Capital Expenditures during the Fiscal Period
The construction work, etc. falling under the category of capital expenditures conducted in the fiscal period underreview for assets held by XYMAX REIT as of the end of the fiscal period under review amounted to 154,511 thousand
yen. Combined with repair expenses booked as expenses in the fiscal period under review (44,748 thousand yen),construction work, etc. totaling 199,260 thousand yen was conducted.
Major construction works as capital expenditure for assets held by XYMAX REIT during the fiscal period under review
are as follows;

Name ofreal estate, etc.
XYMAX
Iwamotocho
Building

Location

PurposeScheduled period

Estimated
construction costs(thousand yen)

Chiyoda-ku,
Tokyo

Renewal of air
conditioners

From: May 2022
To: May 2022

44,079- 34 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
VI. Property Overview and Earnings/Expenses of PropertiesXYMAX Nishi‐Shimbashi Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

2,500 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

76,160Location

2-6-2 Nishi-Shimbashi, Minato-ku,
Tokyo

Other lease businessrevenue

8,655

Lot Number

2-10-30 Nishi-Shimbashi, Minato-ku,
Tokyo, and otherTotal operating revenue
from real estate leasing

84,816

Building Coverage Ratio

80%

Floor-Area Ratio

700%

Tax and public duesLand Use District

Commercial district

Maintenance fees

7,220
5,508

Site Area

402.53 m2

Utility expenses

6,303

Type of ownership

Ownership

Repair expenses

1,961

Construction Date

August 22, 2000

Insurance premiums

Structure/Number of Floors

Reinforced concrete structure withflat roof 9F

Depreciation

Total Floor Area

2,517.50 m2

ArchitectRUI SEKKEISHITSU Co., Ltd.

BuilderTokyo Head Office, Fujiki Komuten Co.,
Ltd.

Type of Ownership

OwnershipLand

Building

ML Company-

PM Company

XYMAX Corporation(2) Operating expenses from real estate leasing

61
2,885

Other expenses related
to lasing business

513

Total operating expenses
from real estate leasing

24,454(3) NOI

63,247(4) Operating income (loss)
from real estate leasing

60,361

Notes:
There is a 2-meter setback from the centerline of the road on the south side of the property. However, the Site Area includes the setback
portion (33.96 m2).

- 35 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Iwamotocho Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

4,250 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

122,126

2-3-3 Iwamotocho, Chiyoda-ku, Tokyo

Other lease businessrevenue

17,037

Total operating revenue
from real estate leasing

139,164

LocationLand

Building

Lot Number

2-175-2 Iwamotocho, Chiyoda-ku,
Tokyo

Building Coverage Ratio

80%

Floor-Area Ratio

800%, 600%

Tax and public duesLand Use District

Commercial district

Maintenance fees

13,7229,478

Site Area

864.83 m2

Utility expenses

9,399

Type of ownership

Ownership

Repair expenses

6,171(2) Operating expenses from real estate leasing

219

Construction Date

March 22, 2001

Insurance premiums

Structure/Number of Floors

Steel-framed reinforced concrete
structure with flat roof B1F/9F

Depreciation

16,956

Total Floor Area

6,261.06 m2

Other expenses related
to lasing business

3,052

Architect

Nikken Sekkei Ltd.

Total operating expenses
from real estate leasing

59,001

Builder

Kumagai-Sumitomo Construction
Consortium

Type of Ownership

Ownership

ML Company

Godo Kaisha ML2

PM Company

XYMAX Corporation

Notes:
None- 36 -(3) NOI

97,119(4) Operating income (loss)
from real estate leasing

80,163

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Shinjuku‐Gyoen Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

5,020 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

175,2961-1-11 Shinjuku, Shinjuku-ku, Tokyo

Other lease businessrevenue

13,551

Total operating revenue
from real estate leasing

188,847

LocationLand

Lot Number

1-1-8 Shinjuku, Shinjuku-ku, andother

Building Coverage Ratio

80%

Floor-Area Ratio

700%

Tax and public duesLand Use District

Commercial district

Maintenance fees

14,707
11,660Site Area

839.09 m2

Utility expenses

10,486

Type of ownership

Ownership

Repair expenses

4,838

Construction Date

February 28, 2001

Insurance premiums
Depreciation

12,197Structure/Number of Floors

Steel-construction / Reinforced
concrete structure with flat roof
B1F/9F

Total Floor Area

6,084.32 m2

Other expenses related
to leasing business

1,080

Architect

U Associates Co., Ltd.

Total operating expenses
from real estate leasing

55,182

Builder

Kajima-Oriental Construction
Consortium

Type of Ownership

Ownership(2) Operating expenses from real estate leasing

Building

ML Company

Godo Kaisha ML2

PM Company

XYMAX Corporation

Notes:
None- 37 -

210(3) NOI

145,862(4) Operating income (loss)
from real estate leasing

133,664

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Kamiyacho Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

880 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

38,7325-12-13 Toranomon, Minato-ku, Tokyo

Other lease businessrevenue

6,705

Lot Number

5-13-1 Toranomon, Minato-ku, Tokyo,
and other

Total operating revenue
from real estate leasing

45,437

Building Coverage Ratio

80%

Floor-Area Ratio

600%

Tax and public duesLand Use District

Commercial district

Maintenance fees

4,778
4,633

Site Area

228.83m2

Utility expenses

3,241Type of ownership

Ownership

Repair expenses

41
46

LocationLand

Building(2) Operating expenses from real estate leasing

Construction Date

April 30, 1991

Insurance premiums

Structure/Number of Floors

Steel-construction with flat roof 8F

Depreciation

Total Floor Area

1,356.51m2

Other expenses related
to leasing businessArchitectEngineering Department, HASEKO
Corporation

BuilderTokyo Branch, Construction
Department, HASEKO Corporation

Type of Ownership

Ownership

ML Company

XYMAX Corporation

PM Company

XYMAX Corporation

Notes:
None- 38 -

Total operating expenses
from real estate leasing

1,457
2,533
16,732(3) NOI

30,162(4) Operating income (loss)
from real estate leasing

28,705XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Higashi‐Azabu Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

1,550 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

47,516

Location

1-5-2 Higashi-Azabu, Minato-ku,
Tokyo

Other lease businessrevenue

6,643

1-5-11 Higashi-Azabu, Minato-ku,
TokyoTotal operating revenue
from real estate leasing

54,159Lot Number

Land

Building Coverage Ratio

80%

Floor-Area Ratio

600%

Tax and public duesLand Use District

Commercial district

Maintenance fees

6,646
5,753

Site Area

365.05 m2

Utility expenses

3,314Type of ownership

Ownership

Repair expenses

604

Construction Date

November 30, 1999

Insurance premiums

81

Structure/Number of Floors

Steel-framed reinforced concrete
structure with flat roof B1F/9F

Depreciation

Total Floor Area

2,570.13 m2

ArchitectTokyo Branch of TOZAI KENCHIKUSERVICE CO., LTD.

Builder

Kanto Branch of Maeda Corporation(3) NOI

37,132Type of Ownership

Ownership(4) Operating income (loss)
from real estate leasing

31,130

Building

ML Company

XYMAX Corporation

PM Company

XYMAX Corporation(2) Operating expenses from real estate leasing

Notes:
None- 39 -

6,002

Other expenses related
to leasing business625

Total operating expenses
from real estate leasing

23,028XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Higashi‐Ueno Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

1,150 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

43,515

Location

1-11-4 Higashi-Ueno, Taito-ku, Tokyo

Other lease businessrevenue

7,005

Total operating revenue
from real estate leasing

50,520Lot NumberLand

1-22-11 Higashi-Ueno, Taito-ku,
Tokyo, and other

Building Coverage Ratio

80%

Floor-Area Ratio

600%, 500%(2) Operating expenses from real estate leasing
Tax and public duesLand Use District

Commercial district

Maintenance fees

3,801
4,361

Site Area

368.84 m2

Utility expenses

4,265Type of ownership

Ownership

Repair expenses

1,411

Construction Date

April 9, 1999

Insurance premiums

Structure/Number of Floors

Steel-framed reinforced concrete
structure with flat roof 8F

Depreciation

Total Floor Area

1,942.54 m2

Architect

Architect 5 Partnership

BuilderTokyo Branch of Kajima Corporation(3) NOI

36,008Type of Ownership

Ownership(4) Operating income (loss)
from real estate leasing

32,715

Building

ML Company

XYMAX Corporation

PM Company

XYMAX Corporation

Notes:
None(Note) The Site Area includes a portion of private road burden (48.62 m2).

- 40 -

59
3,293

Other expenses related
to leasing business612

Total operating expenses
from real estate leasing

17,805XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Hachioji Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

2,600 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Lease business revenue

114,821

Location25-6 Yokoyamacho, Hachioji-shi,Tokyo

Other lease businessrevenue

16,377

Total operating revenue
from real estate leasing

131,199

Lot Number

Land

Building

3-2 Yokoyamacho, Hachioji-shi, Tokyo,
and other

Building Coverage Ratio

80%

Floor-Area Ratio

600%(2) Operating expenses from real estate leasing

Land Use District

Commercial district

Maintenance fees

8,390
15,575Site Area

1,220.58 m2

Utility expenses

9,032

Type of ownership

Ownership

Repair expenses

9,815

Construction Date

January 26, 1993

Insurance premiums

Steel-framed reinforced concrete/
Steel-construction with flat roof
B1F/9F

Depreciation

11,362

Structure/Number of Floors
Total Floor Area

7,404.81 m2

Other expenses related
to leasing business

1,921

Architect

NIHON SEKKEI Inc.

Total operating expenses
from real estate leasing

56,370

Builder

MATSUMURA-GUMI Corporation(3) NOI

86,190Type of Ownership

Ownership(4) Operating income (loss)
from real estate leasing

74,828ML Company

Godo Kaisha ML1

PM Company

XYMAX Corporation

Tax and public dues

Notes:
None- 41 -

273

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Mita Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

July 1, 2021

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

668 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Location
Lot Number

Land

Building

Lease business revenue

17,317

5-13-11 Shiba, Minato-ku,Tokyo

Other lease businessrevenue

3,514

5-3-39 Shiba, Minato-ku,Tokyo

Total operating revenue
from real estate leasing

20,831

Building Coverage Ratio

80%

Floor-Area Ratio

600%(2) Operating expenses from real estate leasing

Land Use District

Commercial district

Maintenance fees

1,345
2,700

Site Area

137.02 m2

Utility expenses

848

Type of ownership

Ownership

Repair expenses

4,405

Construction Date

May 31, 1991

Insurance premiums

Structure/Number of Floors

Steel-construction with flat roof 10F

Depreciation

Total Floor Area

799.78 m2

Other expenses related
to leasing businessArchitect

KOKEN ARCHITECTS, INC.

Builder

Tosei Corporation(3) NOI

9,669

Ownership(4) Operating income (loss)
from real estate leasing

8,466Type of Ownership
ML Company

Godo Kaisha ML1

PM Company

XYMAX Corporation

Tax and public dues

Notes:
None- 42 -

Total operating expenses
from real estate leasing

37
1,203
1,825
12,365XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
XYMAX Sapporo Odori Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

March 2, 2022

Management
Periodfrom March 2, 2022
to August 31, 2022

Acquisition Price

4,707 million yen

Number ofoperating days

183 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Lease business revenue

123,888

Location

5-10, Odori Nishi, Chuo-ku, Sapporoshi, Hokkaido

Other lease businessrevenue

9,057

5-9-2, Odori Nishi, Chuo-ku, Sapporoshi, Hokkaido, and otherTotal operating revenue
from real estate leasing

132,946

Lot Number

Land

Building Coverage Ratio

80%

Floor-Area Ratio

800%(2) Operating expenses from real estate leasing
Tax and public duesLand Use District

Commercial district

Maintenance fees

8
7,671

Site Area

499.24 m2

Utility expenses

7,633

Type of ownership

Ownership

Repair expenses

255

Construction Date

September 30, 2020

Insurance premiums

303

Structure/Number of Floors

Steel-construction with flat roof
B1F/10F

Depreciation

Total Floor Area

4,270.89m2

Architect

SO-KENSYA.Co.,Ltd.

Builder

Sapporo Branch of JDC CORPORATION(3) NOI

116,235

Type of Ownership

Ownership(4) Operating income (loss)
from real estate leasing

93,524

Building

ML Company

XYMAX HOKKAIDO Corporation

PM Company

XYMAX HOKKAIDO Corporation

Notes:
None- 43 -

22,710

Other expenses related
to leasing business

840

Total operating expenses
from real estate leasing

39,421XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

XYMAX Kiba koen Building

Category

OfficeOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

March 2, 2022

Management
Periodfrom March 2, 2022
to August 31, 2022

Acquisition Price

2,003 million yen

Number ofoperating days

183 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Location
Lot Number

Land

Building

Lease business revenue

52,437

5-11-13, Kiba, Koto-ku, Tokyo

Other lease businessrevenue

7,576

5-9-20, Kiba, Koto-ku, Tokyo,
and other

Total operating revenue
from real estate leasing

60,014

Building Coverage Ratio

80%, 60%

Floor-Area Ratio

600%, 300%

(2) Operating expenses from real estate leasing
Tax and public duesLand Use District

Commercial district,
Quasi-industrial district

Maintenance fees

55
6,741

Site Area

851.46 m2

Utility expenses

5,767

Type of ownership

Ownership

Repair expenses

261

Construction Date

Octber 31, 1992

Insurance premiums

Structure/Number of Floors

Reinforced concrete structure withflat roof 6F

Depreciation

Total Floor Area

2,995.81m2

ArchitectTokyo Branch of registered architect
office of SUMITOMO CONSTRUCTION
CO., LTD.

BuilderTokyo Branch of SUMITOMOCONSTRUCTION CO., LTD.

Type of Ownership

Ownership

ML Company

XYMAX Corporation

PM Company

XYMAX Corporation

Notes:
None- 44 -

111
5,099

Other expenses related
to leasing business

546

Total operating expenses
from real estate leasing

18,582(3) NOI

46,531(4) Operating income (loss)
from real estate leasing

41,431XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022

Muza Kawasaki

Category

RetailOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

4,100 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Sumitomo Mitsui Trust Bank, Ltd.

Lease business revenue

155,294

Location

1310 Omiyacho, Saiwai-ku, Kawasakishi, Kanagawa

Other lease businessrevenue

21,8351310 Omiyacho, Saiwai-ku, Kawasakishi, Kanagawa

Total operating revenue
from real estate leasing

177,129

Lot Number

Land

Building

Building Coverage Ratio

80%

Floor-Area Ratio

600%、400%(2) Operating expenses from real estate leasing

Land Use District

Commercial district

Maintenance fees

10,873
14,952Site Area

10,669.34 m2 (Note 1)

Utility expenses

18,817

Co-ownership interest in ownershipright (ratio of right of site:
Approximately 6.9%)

Repair expenses

120Type of ownership
Construction Date

December 18, 2003

Insurance premiums
Depreciation

Structure/Number of Floors

Steel-framed/Steel-framed reinforced
concrete structure with flat
roof/stainless steel plate roofing
B2F/27F

Total Floor Area

108,955.90 m2 (Note 2)

Architect

Kanagawa Area Branch of Urban
Development Corporation

Builder

Shimizu-Taisei-Ando Construction
Consortium

Type of Ownership

Sectional ownership

ML Company

XYMAX Corporation

PM Company

XYMAX Corporation

Tax and public dues

189
18,032Other expenses related
to leasing business

528

Total operating expenses
from real estate leasing

63,514(3) NOI

131,647(4) Operating income (loss)
from real estate leasing

113,615

Notes:
None(Note 1) Although the subject asset is a sectional ownership building, Site Area above represents the entire site area of the building.
XYMAX REIT owns 742.44 m2 , approx. 6.9% of 10,669.34 m2.
(Note 2) Although the subject asset is a sectional ownership building, Total Floor Area above represents the entire floor area of the building
including the subject asset. Exclusive spaces owned by XYMAX REIT is 3,671.09 m2 (registered area) in total of the owned sectional
ownership building.

- 45 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Life Kawasaki Miyuki Store

Category

RetailOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

790 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Lease business revenue

Undisclosed

Location

4-93 Komukai-nishimachi, Saiwai-ku,
Kawasaki-shi, Kanagawa

Other lease businessrevenue

Undisclosed

4-94-1 Komukai-nishimachi, Saiwaiku, Kawasaki-shi, Kanagawa, andother

Total operating revenue
from real estate leasing

Undisclosed

Lot Number

Land

Building Coverage Ratio

80%、60%Floor-Area Ratio

200%

Tax and public dues

Undisclosed

Land Use District

Neighborhood commercial district,
category 1 residential districts

Maintenance fees

Undisclosed

Site Area

1,879.15 m2

Utility expenses

Undisclosed

Type of ownership

Ownership

Repair expenses

Undisclosed

Construction Date

January 13, 1997

Insurance premiums

Undisclosed

Steel-construction with flat roof 2F

Depreciation

Total Floor Area

2,596.80 m2

Other expenses related
to leasing business

Undisclosed

ArchitectTokyo First-class Architect Office,Takenaka Corporation

Total operating expenses
from real estate leasing

Undisclosed

Builder

Yokohama Branch of Takenaka
Corporation

Type of Ownership

Ownership

Structure/Number of Floors

Building

ML Company-

PM Company

XYMAX Corporation(2) Operating expenses from real estate leasing

1,654(3) NOI

22,577(4) Operating income (loss)
from real estate leasing

20,923

Notes:
Under the lease contract with the tenant, in the case the lessor intends to transfer the ownership right of the property to a third party
through sale, etc., the lessor is to notify such to the lessee in advance to allow the lessee to preferentially discuss acquisition if the lessee
wishes.

- 46 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Vita Seiseki‐Sakuragaoka

Category

RetailOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

3,100 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Location
Lot Number

Land

Building

Lease business revenue

Undisclosed

4-72 Sekido, Tama-shi, Tokyo

Other lease businessrevenue

Undisclosed

4-72 Sekido, Tama-shi, Tokyo

Total operating revenue
from real estate leasing

Undisclosed

Building Coverage Ratio

80%

Floor-Area Ratio

500%(2) Operating expenses from real estate leasing
Tax and public dues

Undisclosed

Land Use District

Commercial district

Maintenance fees

Undisclosed

Site Area

9,003.26m2 (Note 1)

Utility expenses

Undisclosed

Repair expenses

Undisclosed

Type of ownership

Co-ownership interest in ownershipright (ratio of right of site:
Approximately 49.6%)

Undisclosed

Construction Date

September 17, 1999

Insurance premiums
Depreciation

Structure/Number of Floors

Steel-framed reinforced concrete
structure/reinforced concrete
structure/steel-construction with flat
roof B3F/27F

Total Floor Area

62,849.56 m2 (Note 2)

ArchitectTokyo Branch First-Class Architect
Office Corporation, Housing and
Urban Development Corporation

Builder

Toda-Tokyu-ICHIKEN Construction
Consortium(3) NOI

166,275(4) Operating income (loss)
from real estate leasing

141,745

Type of Ownership

Sectional ownership (however, forhouse numbers 72-3 and 72-7, coownership interest of
937,995/1,000,000 and
591,485/1,000,000, respectively)

ML Company-

PM Company

XYMAX Corporation

24,529Other expenses related
to leasing business

Undisclosed

Total operating expenses
from real estate leasing

Undisclosed

Notes:As to the part of the building (house numbers 72-3 and 72-7), an agreement on the following matters has been concluded with the co-ownersof the sections.
· Non-division covenant for five years from the conclusion date (renewed automatically unless any one of the co-owners claims not to renew
at least six months prior to the expiration date)· When transferring or dispositioning by other means the co-ownership interest, the party must notify other co-owners (hereinafter, the“Counterparties”) of such at least one month prior to the transfer or disposition in writing. The Counterparties shall have the preferential
negotiation right to purchase the said co-ownership interest within 20 business days after the notice, and such purchase shall be effective after
two months of a written notice stating exercise of right-to-purchase (hereinafter, the “Notice of Exercising Right-to-Purchase”) reaching theparty wishing to transfer the co-ownership interest. In such a case, the price shall be the value on an as-is basis, and if the parties do not reachan agreement on the price, the price shall be the real estate appraisal value as of the date of the Notice of Exercising Right-to-Purchase delivered
to the party wishing to transfer the co-ownership interest.
(Note 1) Although the subject asset is a sectional ownership building, Site Area above represents the entire site area of the building.
XYMAX REIT owns 4,467.51m2, approx. 49.6% of 9,003.26 m2.
(Note 2) Although the subject asset is a sectional ownership building, Total Floor Area above represents the entire floor area of the building
Including the subject asset.
Exclusive spaces owned by XYMAX REIT is 27,161.00m2 (registered area) in total (provided that, the area of 2 common-ownership
lots of house number 72-3 and 72-7 is calculated by multiplying ownership ratio of 937,995/1,000,000 and 591,485/1,000,000,
respectively)of the owned sectional ownership building.

- 47 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Life Fukuizumi Store

Category

RetailOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

September 1, 2020

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

1,065 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right(1) Operating expenses from real estate leasing

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Lease business revenue

Undisclosed

Location

444-1, Kami, Nishi-ku, Sakai-shi,
Osaka

Other lease businessrevenue

Undisclosed

444-1, Kami, Nishi-ku, Sakai-shi,
Osaka

Total operating revenue
from real estate leasing

Undisclosed

Lot Number

Land

Building

Building Coverage Ratio

60%

Floor-Area Ratio

200%(2) Operating expenses from real estate leasing
Tax and public duesLand Use District

Category 1 residential districts

Maintenance fees

Undisclosed

Site Area

6,225.21 m

Utility expenses

Undisclosed

Type of ownership

Ownership

Repair expenses

Undisclosed
Undisclosed

2

Undisclosed

Construction Date

December 17, 1996

Insurance premiums

Structure/Number of Floors

Steel-construction with flat roof 2F

Depreciation

Total Floor Area

3,358.26 m2

Other expenses related
to leasing business

Undisclosed

ArchitectKansai branch of First-class Architect
Office, KAJIMA CORPORATION

Total operating expenses
from real estate leasing

Undisclosed

Builder

Kansai branch of KAJIMACORPORATION

Type of Ownership

Ownership

ML Company

XYMAX REIT Investment Corporation

PM Company

XYMAX KANSAI Corporation

2,223(3) NOI

22,902(4) Operating income (loss)
from real estate leasing

20,679Notes:
Under the lease contract with the tenant, in the case the lessor intends to transfer the ownership right of the property to a third party
through sale, etc., the lessor is to notify such to the lessee in advance to allow the lessee to preferentially discuss acquisition if the lessee
wishes.

- 48 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
The Park House Totsuka Front(the Retail Portions of 1st and 2nd Floors)

Category

RetailOverview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

July 1, 2021

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

540 million yen

Number ofoperating days

184 days

Type of Specified Asset

Actual Real Estate(1) Operating expenses from real estate leasing

Trustee-

Lease business revenue

23,214

Location

4018-1 Totsuka-cho, Totsuka-ku,
Yokohama-shi, Kanagawa

Other lease businessrevenue

3,261

Total operating revenue
from real estate leasing

26,476Land

Building

Lot Number

4022-1 Totsuka-cho, Totsuka-ku,
Yokohama-shi, Kanagawa, and other

Building Coverage Ratio

80%

Floor-Area Ratio

600%

Tax and public duesLand Use District

Commercial district

Maintenance fees

1,839
5,078

Site Area

1,595.49 m2 (Note 1)

Utility expenses

2,960

Repair expenses-

Type of ownership

Co-ownership interest in ownershipright (ratio of right of site:
Approximately 12.3%)(2) Operating expenses from real estate leasing

Construction Date

May 23, 2018

Insurance premiums

Structure/Number of Floors

Reinforced concrete structure withflat roof B1F/14F

Depreciation

Total Floor Area

12,236.50 m2 (Note 2)

Architect

Fujita Corporation 1st Class Architects
OfficeBuilder

Yokohama branch of Fujita
Corporation

Type of Ownership

Sectional ownership

ML Company

XYMAX Corporation

PM Company

XYMAX Corporation

52
3,767

Other expenses related
to leasing business45

Total operating expenses
from real estate leasing

13,744(3) NOI

16,499(4) Operating income (loss)
from real estate leasing

12,731

Notes:
The asset may not change the designated use, not be transferred and loaned to a third party until Sep. 30, 2023, unless approved by
Yokohama City in writing. However, in the case Yokohama City approves, transfer and loan to the third party may be possible.
The management association leases a part of the roof free of charge to Tsunagu Network Communications, Inc. (hereinafter Tsunagu Net)
under a temporary loan for use agreement. Tsunagu Net installed its solar power generation equipment and is supplying electricity to thecommon area of the asset.
(Note 1) Although the subject asset is a sectional ownership building, Site Area above represents the entire site area of the building.
XYMAX REIT owns 197.84 m2, approx. 12.3% of 1,595.49 m2.
(Note 2) Although the subject asset is a sectional ownership building, Total Floor Area above represents the entire floor area of the building
including the subject asset.
Exclusive spaces owned by XYMAX REIT is 1,080.19 m2 (registered area) in total of the owned sectional ownership building.

- 49 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Valor Kachigawa Store (Leasehold land)
Overview of the Specified Asset
January 31, 2022

Earnings and Expenses (Unit: thousand yen)

Building Coverage Ratio
Floor-Area Ratio

200%

Tax and public dues

Undisclosed

Land Use District

Industrial area

Maintenance fees

Undisclosed

Site Area

20,509.10 m2 (Note2)

Utility expenses

Undisclosed

Type of ownership

Ownership

Repair expenses

Undisclosed

Construction Date-

Insurance premiums

Undisclosed

Structure/Number of Floors-

Depreciation

Total Floor Area-

Architect-

Builder-(3) NOI

68,901

Type of Ownership-(4) Operating income (loss) fromreal estate leasing

68,901

Acquisition Price
Type of Specified Asset
Trustee
Location
Lot Number

Building

Retailfrom March 1, 2022
Management
Periodto August 31, 2022
3,245 million yen
Number of
184 days
operating days
Trust beneficiary right (50% quasi-co– (1) Operating expenses from real estate leasing
ownership interest)
Mitsubishi UFJ Trust and Banking
Lease business revenue
Undisclosed
Corporation
2-1-1, Ono-cho, Kasugai-shi, Aichi
Other lease business
Undisclosed
revenue
2-1-1, Ono-cho, Kasugai-shi, Aichi
Total operating revenue
Undisclosed
from real estate leasing
60%(2) Operating expenses from real estate leasing

Acquisition Date

Land

Category

ML Company

Other expenses related
to leasing businessTotal operating expenses
from real estate leasing

Undisclosed
Undisclosed-

Jones Lang LaSalle Incorporated
PM Company
Notes:
・Upon the acquisition of the asset, the XYMAX REIT has entered into a Quasi-Co-Owners Agreement (hereinafter the "Agreement") with theseller of the asset. The main contents of this Agreement are as follows.
(1) Special provision regarding Non-Split clause of Beneficiary Right in the Trust (for a period of five years from the date ofthis Agreement and to be renewed thereafter unless there is a manifestation of intention to refuse renewal)(2) In the event each quasi-co-owner wishes to sell its quasi-co-ownership interest to a third party, the other quasi-co-owner has been
granted the right of preferential negotiation rights for the purchase of the quasi-co-ownership interest held by the other quasi-coowners.
(Note 1) XYMAX REIT owns trust beneficiary right with other quasi-co-owner (50% quasi-co-ownership interest) and owns 50% quasi-coownership interest.
(Note 2) The site area is the area of the entire site. In addition, the site area XYMAX REIT owns as trust beneficiary right is approximately
10,254.55 m2 that equals to the 50% of quasi-co-ownership interest owned by XYMAX REIT.

- 50 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
Hotel Vista Sendai

Category

Hotel

Overview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

February 16, 2018

Management
Periodfrom March 1, 2022
to August 31, 2022

Acquisition Price

4,400 million yen

Number ofoperating days

184 days

Type of Specified Asset

Trust beneficiary right and movables
property incidental to hotel

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Lease business revenue

Undisclosed

Location

1-7-3 Tsutsujigaoka, Miyagino-ku,
Sendai-shi, Miyagi

Other lease businessrevenue

Undisclosed

1-7-2 Tsutsujigaoka, Miyagino-ku,
Sendai-shi, Miyagi, and otherTotal operating revenue
from real estate leasing

Undisclosed

Lot Number

Land

Building Coverage Ratio

80%

Floor-Area Ratio

500%

Tax and public dues

Undisclosed

Land Use District

Commercial district

Maintenance fees

Undisclosed

Site Area

1,461.36 m2

Utility expenses

Undisclosed

Type of ownership

Ownership (partial surface right)

Repair expenses

Undisclosed

Construction Date

March 14, 2016

Insurance premiums

Undisclosed

Steel-construction with flat roof 12F

Depreciation

Total Floor Area

6,977.47 m2

Other expenses related
to leasing business

Undisclosed

Architect

AA and SUN Associates INC.

Total operating expenses
from real estate leasing

Undisclosed

Builder

Tohoku Branch of Maeda Corporation(3) NOI

122,702

Ownership(4) Operating income (loss)
from real estate leasing

101,334

Structure/Number of Floors

Building(1) Operating expenses from real estate leasing

Type of Ownership
ML Company-

PM Company

XYMAX Corporation(2) Operating expenses from real estate leasing

21,367

Notes:
Sendai City has sectional surface rights to part of the land (lot number 7-18) aimed at the ownership of facilities required for high-speed
railway business. No ground rent arises under this surface right.
(Note) The Site Area includes 524.21 m2 of surface right.

- 51 -

XYMAX REIT Investment Corporation (3488) Financial Report for the Fiscal Period Ended August 2022
L‐Place Nishikasai

Category

Other (Residential)

Overview of the Specified Asset

Earnings and Expenses (Unit: thousand yen)

Acquisition Date

March 2, 2022

Management
Periodfrom March 2, 2022
to August 31, 2022

Acquisition Price

901 million yen

Number ofoperating days

183 days

Type of Specified Asset

Trust beneficiary right and movables
property incidental to building

Trustee

Mitsubishi UFJ Trust and Banking
Corporation

Location
Lot Number

Land(1) Operating expenses from real estate leasing
Lease business revenue

Undisclosed

6-3-10 Nishikasai, Edogawa-ku, Tokyo

Other lease businessrevenue

Undisclosed

6-3-2 Nishikasai, Edogawa-ku, Tokyo

Total operating revenue
from real estate leasing

Undisclosed

Building Coverage Ratio

60%

Floor-Area Ratio

300%

Tax and public dues

Undisclosed

Land Use District

Category I residential district

Maintenance fees

Undisclosed

Site Area

854.00 m2

Utility expenses

Undisclosed

Ownership

Repair expenses

Undisclosed
Undisclosed

Type of ownership(2) Operating expenses from real estate leasing

Construction Date

June 15, 1986

Insurance premiums

Structure/Number of Floors

Reinforced concrete structure withflat roof 5F

Depreciation

Total Floor Area

2,044.18 m2

Architect

K. K. KANA Architect Office

BuilderK. K. Sampei Kogyo(3) NOI

25,007

Ownership(4) Operating income (loss)
from real estate leasing

22,557

Building

Type of Ownership
ML Company

DAIWA LIFENEXT Co., Ltd.

PM Company

DAIWA LIFENEXT Co., Ltd.

Notes:
None- 52 -

2,450

Other expenses related
to leasing business

Undisclosed

Total operating expenses
from real estate leasing

Undisclosed