As of July 21, 2023

Daiwa Office Investment Corporation
Earnings Announcement for the 35th Fiscal Period(Fiscal Period Ended May 2023)

Securities Code: 8976

Contents

Section 3
Earnings Summary for the Fiscal Period Ended May 2023

3

Section 1

External Growth
Progress of Kandasudacho 2-chome Development Project
Effect of May 2024 Scheduled Property Acquisition and Asset
Replacement

Fiscal Period Ended May 2023 (35th Fiscal Period)
Performance Highlights and Forecasts

Efforts to Improve Portfolio Quality

Highlights of the Fiscal Period Ended May 2023 (35th FP)

5

Highlights of Forecasts for the Fiscal Periods Ending November
2023 and May 2024 (36th and 37th FP)

6

Factors of Change in Dividend per Unit
Change in Dividends per Unit and Policy for utilizing Internal
Reserves
Change in Dividends over the Past Decade

Acquisition/Sale Policy and Status of Deliberation for Property
Acquisitions
Change in Asset Size and Acquisition Performance

7

Section 4

8

Financial Strategy

9Section 2

21
22
23
24
25

Status of Interest-Bearing Liabilities

27

Unitholders as of the End of May 2023

30

Section 5

Internal Growth
Leasing Market of Tokyo Office Buildings

11

Analysis of Leasing Business

12

Portfolio Map: Increase and Decrease in Unit Contract Rent
Compared with Previous Fiscal Period

16
Occupancy Status of Properties Subject to Leasing Improvement in
the Fiscal Period ended May 2023 (35th FP)
17
Properties Subject to Leasing Improvementin the Fiscal Period Ending November 2023 (36th FP)
18
Internal Growth Strategy
19

Efforts on ESG
Efforts on Sustainability

33

Appendix

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

1Disclaimer

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

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

2

Earnings Summary for the Fiscal Period Ended May 2023
Results of the 35th FP

End of FP occupancy rate

Internal
GrowthRate of change at renewal••

Future Initiatives

35th FP

Difference from 34th FP

97.7%

+0.3%

+5.2%

-0.4%

Rate of change at
+4.3%
+7.2%
replacement
Progress in refilling of properties subject to leasing improvement
exceeded expectations
Utilities income and expenditure also recovered due to progress intenant pass-through leases

 Offer flexible terms to realize early recovery of occupancy oflarge sections
 Realize full occupancy at acquisition of development andforward commitment properties Increase rent of large sections that have large rent gaps (atreplacement)

Divestment Daiwa SHIBUYA EDGE: Sale Price 7,313 million yen
Acquisition S-GATE FIT Nihonbashi Bakurocho: Acquisition Price

External
Growth(Scheduled)••

Financial
Strategy

Sustainability

6,300 million yen
NOI increase / recovery of NOI Yield after Depreciation is
expected to due to replacement of Daiwa SHIBUYA EDGE with SGATE FIT Nihonbashi Bakurocho
Of the gains on sales of about 1,500 million yen, distribute about
1,000 million yen and retain about 500 million yen as internal
reserves

LTV
Average maturity

35th FP

Difference from 34th FP

43.1%

+0.3%

4.1 years±0 years•Continued establishment of 5,500 million yen commitment line•

Utilized green loans for refinancing, outstanding green financing of
13,700 million yen as of the end of May 2023
Established sustainability policy with expanded DEI factors at AssetManager• Continue to consider replacement and achieve enhancementof portfolio quality

 Remain aware of total debt cost and implement efforts todynamically fix interest expense Diversification of repayment deadlines

 Maintain and raise ratio of properties that acquired external
evaluation and external environmental certification
 Establish materiality at the Investment Corporation

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

3Section 1
Fiscal Period Ended May 2023 (35th Fiscal Period)
Performance Highlights and Forecasts

Highlights of the Fiscal Period Ended May 2023 (35th FP)
Results of the 35th Fiscal Period

Factor34th Fiscal Period(ended Nov. 2022)

35th Fiscal Period(ended May 2023)

Operating Revenues

13,891

million yen

15,050

million yen+1,159million yen

Operating Expenses

6,828

million yen

7,384

million yen+556

million yen

Operating Income

7,062

million yen

7,665

million yen+602

million yen

576

million yen

580

million yen+3million yen

6,512

million yen

7,099

million yen+587

million yen

Non-Operating Expenses
Net Income
Earnings per Unit
Dividend per Unit

(Note 1)

(Note 2)Difference

13,561 yen

14,845 yen+1,284 yen

13,700 yen

13,700 yen- yen( 122 yen)

( - yen)(- 122 yen)

788,121 yen+6 yenPeriod End Occupancy Rate

97.4%

97.7%

+0.3%

Period Average Occupancy Rate (Note 4)

97.5%

97.0%

-0.5%

4.6%

4.3%

-0.3%

(Note 2)

NAV per Unit (Note 3)

NOI Yield (annualized)(Note 5)

 Gain on sale of property sold during FP (1 property)

 Full contribution of revenue (rents and common area fees) from 1 property

acquired in the previous FP

788,115 yen(Reversal of reserve)

Increase

Item

Decrease+22 million yen

 Revenue (rents and common area fees) from 57 existing properties (Note 6)-197 million yen

property) Utilities revenue Other operating revenue-95 million yen

 Revenue (rents and common area fees) from property sold during FP (1-61 million yen-27 million yen Repair cost

Increase+1,519 million yen+444 million yen

 Outsourcing expenses+52 million yen Tax and public due (general and administrative expenses)+27 million yen Utilities charges+25 million yen(Note 3) NAV per Unit = (Unitholders’ capital +Total appraisal value at the end of fiscal period − Total property book value atthe end of fiscal period) / Number of investment units issued and outstanding.
(Note 4) Period Average Occupancy Rate is calculated based on end-of-month occupancy during each fiscal period.
(Note 5) NOI Yield (annualized) is calculated based on book value. NOI is annualized based on properties owned at the endof the fiscal period (Excluding Development sites).
(Note 6) 57 existing properties are the number of the end of the 35th FP less 1 property.

(Note 1) Earnings per Unit is calculated using the following average number of investment units during the period. The same
applies in the table below.
(Note 2) Dividend per Unit for the 34th FP includes the amount obtained by dividing part (reserve for reduction entry of 40 million
yen and corresponding deferred tax liabilities of 18 million yen amounting to a total of 58 million yen) of the amountretained as internal reserves by the total number of investment units issued and outstanding. Dividends per unit before
the reversal is 13,578 yen. Dividends per unit for the 35th FP is calculated by dividing the amount obtained by subtracting
provision for reserve for reduction entry (547 million yen) from unappropriated retained earnings by Number ofinvestment units issued and outstanding. The same applies in the table below.

(Reference) Comparison of Forecasts with Results of 35th Fiscal Period
35th Fiscal Period
Forecast(announced Jan. 2023)

35th Fiscal Period(ended May 2023)

Difference

Operating Revenues

15,138million yen

15,050

million yen- 87

million yen

Operating Expenses

7,481

million yen

7,384

million yen- 96

million yen

Net Income

7,065

million yen

7,099

million yen+ 34

million yen

14,772 yen

14,845 yen(Note 7)

13,700 yen

13,700 yen- yen(Reversal of reserve) (Note 7)( - yen)( - yen)( - yen)

97.1%

97.7%

+0.6%

Earnings per Unit

Dividend per Unit

Occupancy Rate

+73 yen

FactorIncrease
Decrease

Increase
Decrease

Item Other Operating Revenue
 Revenue (rents and common area fees) from 58 existing properties (Note 8)
 Utilities revenue+17 million yen-25 million yen-74 million yen Repair cost+160 million yen Utilities charges-274 million yen

 Outsourcing expenses+13 million yen(Note 8) 58 existing properties are the 58 properties as of the end of the 35th FP.

(Note 7) Dividend per Unit for the 35th FP(announced Jan. 2023) is calculated by dividing the amount obtained by subtracting
provision for reserve for reduction entry (513 million yen) from unappropriated retained earnings by the total number ofThis document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
investment units issued and outstanding.

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

5

Highlights of Forecasts for the Fiscal Periods Ending November 2023 andMay 2024 (36th and 37th FP)
36th Fiscal Period (Forecast)
36th FP Forecast
Ending Nov. 2023

FactorDifference from35th FP

Increase

Operating Revenues

13,853

million yen-1,196

million yen

Operating Expenses

7,133

million yen-251

million yen

Operating Income

6,720

million yen-944

million yen

612

million yen+31million yen

6,107

million yen-992

million yen

Non-Operating Expenses
Net Income
Earnings per Unit

12,770 yen-2,075 yen

Dividend per Unit(Note 1)

13,700 yen- yen( 930 yen)( + 930 yen)

Period End Occupancy Rate

97.3%

-0.4%

Period Average Occupancy Rate (Note 2)

97.1%

+0.1%

4.5%

+0.2%

(Reversal of reserve) (Note 1)

NOI Yield (annualized)(Note 3)+78

million yen

Operating Expenses

7,114

million yen-18

million yen

Operating Income

6,818

million yen+97

million yen

647

million yen+35

million yen

6,169

million yen+62

million yen

Earnings per Unit

12,900 yen

Dividend per Unit (Note 5)

13,700 yen- yen(800 yen)(-130 yen)

97.3%

-%

97.1%

-%

Period End Occupancy Rate
Period Average Occupancy RateNOI Yield (annualized)(Note 7)(Note 6)

 Gain on sale of property sold in the previous FP (1 property)-1,519 million yen

 Revenue (rents and common area fees) from property sold in the previous+130 yen+26 million yen

FP (1 property)-12 million yen Utilities charges+140 million yen Tax and public due (rental expenses)+53 million yen Repair cost-388 million yen Tax and public due (general and administrative expenses)
 Asset management fee-28 million yen-18 million yen(Note 2) Expected Period Average Occupancy Rate is calculated based on end-of-month occupancy during each fiscal period.
(Note 3) Expected NOI Yield (annualized) is calculated by taking into account the properties based on the book value for the
35th.(except development projects)(Note 4) 58 existing properties are the 58 properties as of the end of the 35th FP.

Decrease

million yen(Reversal of reserve) (Note 5)+296 million yen

 Revenue (rents and common area fees) from 58 existing properties (Note 4)(Note 1) Dividend per Unit for the 36th FP is calculated by dividing the amount obtained by adding reversal of reserve for
reduction entry (444 million yen) to unappropriated retained earnings by the total number of investment units issued
and outstanding. Dividends per unit before the reversal is 12,770 yen. Moreover, reversal of reserve for reduction
entry may change depending on the operational status.

Increase

13,932Net Income

Decrease

Difference from36th FP

Operating Revenues

Non-Operating Expenses

Increase Utilities revenue

Factor37th Fiscal Period (Forecast)
37th FP Forecast
Ending May 2024

Decrease

Item

Increase

Decrease

Item
 Revenue (rents and common area fees) from 58 existing properties (Note 8)
 Revenue (rents and common area fees) from property acquired

during the FP period (1 property) Other Operating Revenue
 Utilities revenue+80 million yen+47 million yen-31 million yen-24 million yen Depreciation+32 million yen Utilities charges+19 million yen

 Asset management fee+7 million yen Repair cost

+6 million yen

 Outsourcing expenses-88 million yen(Note 5) Dividend per Unit for the 37th FP is calculated by dividing the amount obtained by adding reversal of reserve for
reduction entry (382 million yen) to unappropriated retained earnings by the total number of investment units issued
and outstanding. Dividends per unit before the reversal is 12,900 yen. Moreover, reversal of reserve for reduction
entry may change depending on the operational status.
(Note 6) Expected Period Average Occupancy Rate is calculated based on end-of-month occupancy during each fiscal period.
(Note 7) Expected NOI Yield (annualized) is calculated by taking into account the properties based on the book value for the
35th FP.(except development projects)(Note 8) 58 existing properties are the 58 properties as of the end of the 35th FP.
4.5%-%
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

6Factors of Change in Dividend per Unit
Realized EPU of 13,700 yen due to early normal operations of newly acquired properties and development projects and rent
contributions from large properties with issues
 Aim to raise ongoing EPU further through property replacement and various initiatives
Comparison of Forecasts with
Results of 35th Fiscal Period

13,70013,700(Yen)

13,70013,700122▲567

Income ▲155
Charges +573

Gain
on
sale
2,102

Gain
on
sale
2,031

utilities
income andexpenditure▲66
Gain income andOtherson expendituresale Revenue+813
2,031 (rents andcommonarea fees)

Repaircost ▲230
OthersRepaircost

Existing properties▲53

utilities

+325
+29

Daiwa Nihonbashi
Bakurocho+46
Existing properties▲413
Daiwa SHIBUYA EDGE
▲200

11,598

11,669Fiscal Period
ended May 2023
(35th FP)
Forecast from six
months earlier

Ended
May 2023(35th)
Actual13,578Ended
Nov. 2022(34th)
ActualRepaircost

13,700

Revenue(rents andcommon930 area fees)

Income +620
Charges▲294▲929

Others

Revenue(rents andcommonarea fees)

Income ▲128
Charges ▲53

Revenue(rents andcommon ▲182
area fees) utilities
income andexpenditure

▲336
+43
+417
▲53

13,700

Income ▲51
Charges▲41

13,700800▲93▲13▲30+267
Othersutilities Repair
income and cost
expenditure

Existing properties +167
S-GATE FIT Nihonbashi
Bakurocho+99

Existing properties +56
Daiwa SHIBUYA
EDGE
▲26

 Operation of S-GATE FIT
Nihonbashi Bakurocho Normal operation of
Daiwa Akihabara Rent contributions fromlarge properties withissues

11,66912,77012,900Ended
May 2023(35th)
ActualEndingNov. 2023(36th)
Forecast

EndingMay 2024(37th)
Forecast Aim to raise
further throughproperty
replacement,
etc.

Image ofnormaloperation
periods■Net income per unit (excluding gain on sale of real estate properties)■Reversal of reserve ■Increase due to gain
(Note) Kandasudacho
has beenThis document is not material disclosed in compliance with the Financial Instruments
and Exchange 2-Chome
Act or anyDevelopment
regulation of Project
similar nature,
norofficially
is it
named
Daiwa
Akiharaba.
on sale of real estate properties (after subtracting provision forreserve■Increase■Decreaseintended
for forthe reduction
purposes ofentry)
solicitation.
Daiwa Office
Investment Corporation advises
readers
to makeinvestment decisions at their own judgment.

7

Change in Dividend per Unit and Policy for utilizing Internal Reserves
Change in Dividend per unit
Reversal per unit
Deferred tax liabilities per unit
Subtracting provision for reserve for reduction entry per unit
Dividend from gain on sale of property
1,468
1,528
Gain
Gain
Reversalonsale
Reversalon sale
102
Gain
1,145
2,104
122
1,867
70
on sale 667 16
32
338
635
84
38
Gain
683
2,031 on sale
3,176

（Yen）
16,00015,00014,00013,00012,00011,00010,0009,000
8,000

Forecast

930

800

Actualdividends
13,817

Actualdividends
14,000

Actualdividends
14,000

Actualdividends
14,000

Actualdividends
13,700

Actualdividends
13,700

Forecast
dividends
13,700

Forecast
dividends
13,700

30th

31st

32nd

33rd

34th

35th

36th

37th

Change in Internal Reserves（million yen）
4,000
Subtracting provision for reserve for reduction entry
Reserve from gain on saleof Daiwa Kyobashi
Reserve from gain on sale
Reversalof Daiwa Shimbashi 510

3,000

1,830

2,000
1,000

0

▲49

Reserve from gain on saleof Daiwa Minami-Aoyama and Reversal
Daiwa Kojimachi 4-chome

1,781

2,518
737

▲58

Reserve fromgain on saleof Daiwa
SHIBUYA EDGE

2,460

1,114
328

716

30th

31st

32nd

33rd

34th

3,751yen

3,649yen

5,220yen

5,144yen（Reference）
Internal Reserves 2,265yen
per unit

Expected
3,008
547

2,563
Reversal▲444

Reversal
▲382

2,181

35th

36th

37th

6,289yen

5,360yen

4,560yen<Policy for utilizing internal reserves>The amount of internal reserves at the end of the 37th FP (expected) is approximately 2.1 billion yen (dividends per unit: 4,560 yen)
The policy is to strategically reverse internal reserves to cover the temporary revenue decrease, etc. (those that are expected toThis document
is not material disclosed
recover in the near future) due to property
replacements,
etc. in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

8

Change in Dividend over the Past Decade
Change in Dividend per Unit (forecast/actual)
(yen)

(yen)

788,115
788,121784,146

761,953
Forecast from a year earlier (left axis)
746,455 752,347
727,729
Forecast from six months earlier (left axis)
744,269
595,860
Actual dividends (left axis)
13,817 14,000 14,000 14,000 13,700 13,700
673,841
NAV per unit (right axis)
13,59516,00014,000653,697569,585
59586012,00010,000467,9848,000

478,051
8,256
7,621

10,50810,695
506,681545,661
9,688
9,142

10,764 10,957

700,000

13,139620,897
640,587

800,000

11,997

12,559600,000

11,150500,000

400,000

6,000

300,000

4,000

200,000
7,540

7,820

8,700

9,350

9,850

10,55010,70010,77011,00011,85012,30013,00013,40013,70013,90014,00014,000 13,600

13,70013,7002,000

100,000
7,300

0

7,570

8,328

9,000

9,750

9,900

10,56010,71010,80011,40012,00012,40013,20013,70013,70013,90014,000 14,000 13,600

13,70013,70017th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd 33rd 34th 35th 36th 37th
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP

0

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

9Section 2
Internal Growth

Leasing Market of Tokyo Office Buildings
Leasing Market of Tokyo Office Buildings

Trend of Office Rent and Vacancy Rate of
5 Central Wards of Tokyo(Yen/Tsubo)

24,00010.0%

22,0008.0%
5.78%

20,00035,000Feb. 2008(Rent)

6.0%

19,703 yen

18,00033,000Jun. 2020

4.0%

16,0002.0%'23/01'22/01'21/01'20/01'19/01'18/01'17/01'16/01'15/01'14/01'13/01'12/01'11/01'10/01'09/01'08/01'07/01'06/01'05/01'04/01'03/01'02/01

Existing building average rent (left axis)
Existing building vacancy rate (right axis)'01/01

14,000Rent and Vacancy Rate of Large-Scale Office Buildings (Note 1)of 5 Central Wards of Tokyo

Rent(Yen/Tsubo)

Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan.
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Data: Miki Shoji

0.0%(Vacancy rate)

31,000Dec. 2020
Jun. 2021

Jun. 2019
29,000Rental Market Clock(conceptual chart)

Dec. 2021
Jun. 2018
Dec. 2017
Jun. 2017

27,000Jun. 2023
Jun. 2010

Office Building Market Medium-Term Forecast(Tsubo)Jan. 2004

25,000Predicted figures(Note 1)

23,0000%

Rent(Yen/Tsubo)1%2%Jun. 2020

Data: CBRE “Office market medium term forecast 2023-2027”

8%

Vacancy rate

Jun. 2023

Jan. 2004

Jun. 2016

15,00014,0007%

Sep. 2007

16,00020162018 2020
2000
2022 2024 2026
2002
2004 2006 2008 2010 2012 2014
2027
2011 20132015 2017 2019 2021 2023 2025
2001
2003
2005 2007 20096%

Jun. 2018
Dec. 2017

17,000Vacancy rate

5%Dec. 2021
Sep. 2008

18,000New supply (Other)4%

Dec. 2020 Jun. 2021 Jun. 2022

19,000New supply (Grade A, etc.)

3%

Average Rent and Vacancy Rate of Entire Office Buildings (Note 2)of 5 Central Wards of Tokyo

20,000Floor area of new demands

Jul. 2012

Dec. 2011

0%

1%

2%

Jul. 2012

3%

4%

5%

6%

Data: Sanko Estate, compiled by Daiwa Real Estate Asset Management

7%

8%

9%

Vacancy rate

(Note 1) Large-scale office buildings: A floor area of 200 tsubos or more.

(Note 1) Predicted figures as of June 2023
(Note 2) No information on the breakdown of new supply is available in or before 2004 (only the total amount is available).

(Note 2) Entire office buildings: Ranging from large-scale buildings to small-scale buildings (less than 20 tsubos).

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

11Analysis of Leasing Business (1)― Change in Occupancy Rate and Ratio of Area Attributable to New Leases/Cancellations as a
Percentage of Total Leasable Area ―Change in New Leases and Cancellations and Their Reasons (Note)

New Leases

35
30 30
22

2.7 3.5

1.7 1.9

3.4 3.7 3.2 3.2 3.6 4.0 2.4

0.0

33rd FP

37th FP

36th FP

35th FP

32nd 33rd 34th 35th 36th 37th
FP FP FP FP FP FP

34th FP

31st FP

30th FP

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

21st FP

20th FP

32nd FP

23rd FP

22nd FP

Cancellations (ratio)
Expected cancellations (ratio)

18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st
FP FP FP FP FP FP FP FP FP FP FP FP FP FP

19th FP-20.0

New leases (ratio)
Expected new leases (ratio)
18th FP

-10.0

-1.3
-2.4-1.7 -1.5
-2.7
-2.6
-2.4
-3.3 -2.6 -3.3 -3.3
-3.8-3.0-3.6-3.9 -3.3
-4.8
-3.8
-4.3
-5.7

(Note) Change in ratio of area attributable new leases/cancellations as a percentage of total leasable area. For the expected
figures, if there are partial cancelations, the estimate is calculated based on the current contracted floor area
for the cancellations ratio and the remaining contracted floor area for the new leases ratio.

7

6

3

0

-13 -13-19 -2035th Period

21st
FP

Cost
Reduction

22nd
FP

23rd
FP

Space
Expansion

-27

24th
FP

25th
FP

26th
FP

Consolidation
Space

27th
FP

28th
FP

Space
Reduction

29th
FP

30th 31st
FP FP

BetterLocation-30-31
32nd 33rd
FP
FP

Other

34th
FP

35th
FP

Total

New Leases

0

23

0

3

6

3

35

Cancellations

2

3

5

13

1

6

30

Previous numberof leases

5-19 -20

-35
20th
FP

5

-13

-17 -18

-26

-31
19th
FP

5

-5

-20

18th
FP

0

35th FP

1.8 2.9

5.1

534th FP

2.0

3.8 4.4 4.0

-13

-11

20th FP

-40
4.3

7

-2

19th FP

-30

6.2

4

0

18th FP

20.0

16

10
4

2

-20

（％）

10.0

11 11

24 25

22

17

-10

Ratio of Area Attributable to New Leases/Cancellations
as a Percentage of Total Leasable Area (Note)

25
23

33rd FP

37th FP

36th FP

35th FP

34th FP

33rd FP

32nd 33rd 34th 35th 36th 37th
FP FP FP FP FP FP

32nd FP

31st FP

30th FP

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

23rd FP

21st FP

22nd FP

20th FP

19th FP

18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st
FP FP FP FP FP FP FP FP FP FP FP FP FP FP

18th FP

85.0

10

15

22nd FP

Expected Occupancy Rate (as of disclosure in January 2023)

12

26 25

35

31

32nd FP

20

Expected Occupancy Rate

21st FP

Occupancy Rate (Actual)

Net New Leases

40
30

90.0

Cancellations

30th FP

97.3

97.4 97.1 97.3

97.5

97.1

97.7 97.3

29th FP

98.4

28th FP

97.8

27th FP

98.2

97.7

97.3

95.0

97.7

(Cases)50
43

26th FP

98.3

99.5
99.0 98.9 99.1
98.9

24th FP

97.2

98.7

23rd FP

100.0

25th FP(%)

31st FP

Occupancy Rate as of the End of Each Period

16
Previous numberof leases

9(Note) Excluding new leases and cancellations by residence and warehouse tenants.

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

12Analysis of Leasing Business (2) - Post-COVID Tenant Trends The most common reason among incoming tenants was “relocation for expansion” and that among outgoing tenants was“relocation for downsizing,” which gave a clear indication of tenant sales performances.
In the last three fiscal periods, the number of requests for viewing and floor expansion sections within the property have
gradually increased, showing signs of recovery from COVID-19.
Trend of Reasons Given by Incoming Tenants
Trend of Reasons Given by Outgoing Tenants(based on contracts)(Note 1)(based on contracts)(Note 2)

100%

100%

80%

80%

60%

60%

40%

40%

20%

20%

0%

0%
29th
FP
20/5期

30th FP
20/11期コスト

Cost
reduction
削減

31st
FP
21/5期

拡張

集約

32nd FP
21/11期

Relocation for Relocation for
expansionconsolidation
移転
移転

33rd
FP
22/5期

縮小

Relocation fordownsizing
移転

34th FP
22/11期立地

Improvelocation
改善

35th
FP
23/5期

29th
FP
20/5期

コスト

その他

Cost
reduction
削減

Other

30th FP
20/11期

31st
FP
21/5期

拡張

Relocation for
expansion
移転

32nd FP
21/11期

集約

Relocation forconsolidation
移転

33rd
FP
22/5期

縮小

Relocation fordownsizing
移転

34th FP
22/11期立地

Improvelocation
改善

35th
FP
23/5期

その他

Other

(Note 1) Ratios are calculated by dividing the number of incoming tenant contracts for each reason by the
total number of incoming tenants during the respective fiscal period.

(Note 2) Ratios are calculated by dividing the number of outgoing tenants for each reason by the
total number of outgoing tenants during the respective fiscal period.

Trend of Viewing Requests(Note 3)

Trend of Tenant Requests for Floor Expansion(Note 4)(No. of instances)
6(No. of instances)

10

5

8

4

6

3

4

2

2

1
0

29th FP

20/5期

30th FP

20/11期

31st FP

21/5期

32nd FP

21/11期

33rd FP

22/5期

34th FP

22/11期

35th FP

23/5期(Note 3) The number of instances are the number of viewing requests in each fiscal period divided by the six-month averageof the number of vacant sections as of the end of each month of the period (excluding development projects)

029th FP

20/5期

30th FP
20/11期

31st FP

21/5期

32nd FP
21/11期

33rd FP
22/5期

34th FP
22/11期

35th FP
23/5期(Note 4) The number of instances in which an existing tenant as of the end of previous fiscal period
concluded a new contract in the same property during the fiscal period.

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

13

Analysis of Leasing Business (3)― Changes in Rent Increase/Decrease Rate of Contract Renewal Tenants ―35th Fiscal Period Contract Renewal Tenants*Ratio of area for which contracts were renewed in the 35th FP (through May 2023) to the total leased area
(350,492.51 m²) as of end of November 2022.

Change in Rent Increase/Decrease Rate of Contract Renewal Tenants(sections)
Realized upward rent revisions for
19 consecutive periods

(%)
20.0
10.0
35th FP
34th FP
33rd FP
32nd FP
31th FP
30th FP
29th FP
28th FP
27th FP
26th FP
25th FP
24th FP
23rd FP

0.5 6.5
5.6
2.6
6.5
14.8

0.7

0%

87.5
88.7
93.7
86.5
32.7

*2

*
3.2 1

63.9

53.5
53.4
57.4
45.8
43.8
51.7
48.8

20%

Decrease

83.5

49.9

5.3
5.5
3.5
6.8
1.5
3.3
2.3
8.1
7.7
4.2
2.9
7.8
6.6

44.1
38.4
34.0

49.9
40.4
44.4

40%

Increase

60%

80%

Unchanged

100%

Cancellation*1 The decrease in the 25th FP was due to some tenants’ switching from sublease to master lease agreements.

0.0

8.1

9.9

6.6

7.8

8.1

7.8

0.0

0.0

4.2
-21.2

-10.0

9.9
0.0

9.6

10.6

7.3

9.6

10.6

0.0

0.0

0.0

7.2

7.3

7.0
-12.3

7.1

6.1

7.1

0.0

0.0

10.9

10.9
0.0

5.6

5.6
0.0

Increase rate

8.3

5.2
-16.4

Decrease rate

-20.0
-30.0

6.1

Rent increase/decrease rate
23rd FP 24th FP 25th FP 26th FP 27th FP 28th FP 29th FP 30th FP 31th FP 32nd FP 33rd FP 34th FP 35th FP(Note) The above indicates rent increase/decrease rate to pre-renewal rents for lease contracts which reached renewed
agreements during each FP.
Rent increase/decrease rate is calculated based on net amount for increased/decreased rents.

Rent Increase Rate Upon Contract Renewal(Breakdown of upward revision magnitude for monthly rents in the 35th FP) (Note)*2 The decrease in the 27th FP was due to an agreement on decrease reached by the previous owner.

Ratio of Contract Renewal Areas (based on leased area)

20.0

19%

Forecasts

(%)
30.0

22.8
16.1

20.9

18.9

23.2

8.3 %

(Previous FP: 5.6%)

37th FP

38th FP

39th FP(Note) Ratio of area scheduled for contract renewal in each period to the total leased area (349,095.73 m2)
as of end of May 2023.

 Daiwa Hatchobori ekimae West

Increase rateof monthly rent

37%

36th FP

Properties with rent increase10% Daiwa Tsukijiekimae

5% or more but
less than 10%

35th FP

15% or more

 Daiwa Hatchobori ekimae

10.0
0.0

2% or more but
less than 5%

 CONCURRED Yokohama Nihonbashi Central Square, etc.

10% or more but
less than 15%

35%

Increased amount of monthly rent
1,924 thousand yen/month(Note) Percentage figures are based on total monthly rent.

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

14Analysis of Leasing Business (4)― Status of Contract Rent ―Average Monthly Contract Rent and Unit Rent Index

Total Monthly Rent and Increase/Decrease
Rate Due to Tenant Replacement(Yen/Tsubo)

30,0002.4%

30,0002.2%-1.3 %
30th FP

31st FP

Monthly rent increase / decrease rate
for office sections alone was ＋0.5％(retail tenant section was -22.8%).

Properties with Rent Increase

33rd FP

35th FP

34th FP

33rd FP

31th FP

32nd FP

30th FP

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

Increase/Decrease in Monthly Contract Rent (Note)
Compared with the End of the Previous Fiscal Period(Million Yen)

-2.9%
32nd FP

23rd FP(Note 1) Average contract rent is the average of monthly contract rent from tenants at the end of each fiscal period.

0.0%

10,00040.00(Note 2) Unit rent index is the earning rates of unit rent of individual properties indexed with the figure at the end of the 7th FP as 100.

20,0000

5.0%

21st FP

4.3%

40,00012,000

60.00
50.00

Unit rent index (period-on-period comparison, right axis) (Note 2)

22nd FP

46,55739,89320,501
20,501

15,00010.0%

20,507
20,507

Average Contract Rent (Note 1)

20th FP62,21664,042

70.00

20,453
20,45318,00019th FP

50,000

15.0%

18th FP

60,00080.00

21,00017th FP

70,000

90.00

16th FP

72,94971,399100.0091.41
91.41

24,00015th FP

75,251
76,23978,80975,55091.32

14th FP

16.7%

80,00020.0%

89,08487,03791.32

27,00013th FP

90,000

New tenant (left axis)

12th FP

100,000

Previous tenant (left axis)
Increase/decrease rate (right axis)

11th FP(Total Monthly Rent,
Thousand Yen)

110.00

91.27
91.27

34th FP

35th FP-5.0%

Increase by
New Leases
Increase byRent Revisions(Note) Comparison of monthly rent due totenant replacement for the sameleasing area.
Ratio is based on total monthly rent.

Decrease by
Tenants’ Cancellations

Properties with Rent Decrease Shinjuku Maynds Tower

 Daiwa Azabu Terrace shinyon curumu

 Daiwa Meguro Square Daiwa Shibuya Square Daiwa Kanda Mikuracho Building Daiwa Kandasudacho, etc.

 Nihonbashi Central Square, etc

Decreased amount of monthly rent
3,259 thousand yen/month

Decrease byRent Revisions
Decrease by
Property Sale

End of 34th FP
Monthly Contract Rent

End of 35th FP
Monthly Contract Rent

(Note) Monthly Contact Rent is a total of final rent from contracting tenants at the end of the fiscal period.
Monthly contract rent for Shinjuku Maynds Tower has been adjusted to 3/7 and monthly contract rent for CONCURRED
Yokohama has been adjusted to 75/100.
Monthly contract rent for Nihonbashi Central Square has been adjusted to 60.99% based on agreements, etc. among
the compartmentalized owners.

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

15

Portfolio Map: Increase and Decrease in Unit Contract Rent Compared With
Previous Fiscal Period
Greater Tokyo

Five Central Wards of Tokyo
Comparison with Previous Fiscal Period
Increase and Decrease of Unit Contract Rent (Note 1)
Unit rent increase: 14 contracts

ToshimaWard

The number in ● indicates increase for the consecutive period
2 indicates increase for the second consecutive periods)(Ex: ●

Daiwa Ogikubo Tower
Daiwa Ogikubo 11

Daiwa Meguro Square

Unit rent maintained: 34 contracts
Kandasudacho 2-Chome
Daiwa Sarugakucho Development Site
Daiwa Kandasudacho
Daiwa Misakicho
Daiwa Kanda East
Daiwa Jinbocho 3-chome
Daiwa Nishi-Shinjuku
Daiwa Nihonbashi Bakurocho
S-GATE FIT Nihonbashi Bakurocho
2 shinyon curumu
ChiyodaWard
Daiwa Kanda
Mikuracho
Shinjuku Maynds Tower 15
Daiwa
Higashi-Nihonbashi
Daiwa Nihonbashi Hongokucho
Daiwa Kodenmacho
Daiwa Kandabashi
Daiwa Nihonbashi Horidomecho
Nihonbashi Central Square
Shibuya Ward
Chuo WardKirin Nihonbashi Building Koto Ward
Daiwa Kayabacho Building
Daiwa River Gate
Daiwa Jingumae Daiwa Akasaka
Daiwa Sasazuka Tower
4 Daiwa Hatchobori ekimae
Daiwa Sasazuka
Daiwa Hatchobori ekimae West
Daiwa Ginza Annex
Daiwa Aoyama
Daiwa Ginza 3
Daiwa Tsukijiekimae
Daiwa Tsukiji
Daiwa
Shibuya Miyamasuzaka
Daiwa Nishi-Shimbashi
Daiwa Tsukishima
E SPACE TOWER
Daiwa Harumi
Daiwa Shibuya Shinsen 2
Daiwa A Hamamatsucho
Daiwa Shibuya Square
Daiwa Azabudai
Daiwa Shibadaimon
Daiwa Daikanyama

Shinjuku Ward

Daiwa Shinjuku West

Daiwa Ebisu 4-chome

Tokyo

Minato Ward

Daiwa Mita 2-Chome
Daiwa Azabu Terrace

Daiwa
Shinagawa North
Daiwa
Shinagawa Gotenyama

Unit rent decrease: 9 contracts

LAQUAS
Higashi Shinjuku

Daiwa Higashi-Ikebukuro
Daiwa Nakano-Sakaue

CONCURRED Yokohama 10

Daiwa Kamiooka

2 Daiwa Shibaura

Daiwa Kitahama

Major Regional Cities

Shinagawa
Ward

As of May 31, 2023

(Note 1) Unit contract rent of each property is the average unit rent of the entire office section of its standard floor (2F or above) (includes sections other than thosetargeted for replacement and renewal).
(Note 2) S-GATE FIT Nihonbashi Bakurocho and Development sites are plotted with ●.

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

16

Occupancy Status of Properties Subject to Leasing Improvement in
the Fiscal Period ended May 2023 (35th FP)
Shinjuku Maynds Tower

Daiwa Nihonbashi Bakurocho(Acquisition Price: 5,733 million yen)(Note)

Daiwa Kanda Mikuracho(Acquisition Price: 66,900 million yen)(Acquisition Price: 1,592 million yen)

Location

Location

Location

Nihombashi-Bakurocho, Chuo-ku,
Tokyo

Yoyogi, Shibuya-ku,
Tokyo

Kanda Mikura-cho, Chiyoda-ku,
Tokyo

Actual occupancy rate

Actual occupancy rate

Actual occupancy rate

87.4% (as of Nov. 30, 2022)⇒ 98.0% (as of May 31, 2023)⇒ 100.0% (expected as of the endof Nov. 2023)

93.4% (as of Nov. 30, 2022)⇒ 95.1% (as of May 31, 2023)

84.7% (as of Nov. 30, 2022)⇒ 100.0% (as of May 31, 2023)

Successfully obtained the tenancy of a medical institution forthe last shop section after conducting leasing activities to a wide
range of industries beyond retail and food & beverage shops.
As a result, contracts were as a whole concluded at higher unit
rents than expected for all shop sections.







Refilling in progress upon promoting the property’s strengths of
distance from JR Shinjuku Station, building grade, provision offloor areas in the range of 100-500 tsubo.
We will take advantage of the decrease in vacancies in the
Shibuya area to channel efforts into capturing needs for relocation
mainly from neighboring areas.
Expecting the departure of large tenant and an occupancy rate of
89.3% at the end of May 2024.

Daiwa Azabu Terrace

Daiwa Shibaura(Acquisition Price: 8,265 million yen)Contract was concluded for one section made vacant in thefiscal period ended November 2022. Contract commencement
date was in the 35th FP, operating at full occupancy.

Successfully captured relocation needs from the Kanda area
after conducting leasing activities that flexibly respond to tenantneeds.

Daiwa Tsukishima(Acquisition Price: 14,000 million yen)(Acquisition Price: 7,840 million yen)

Location

Location

Location

Shibaura, Minato-ku,
TokyoMinami Azabu, Minato-ku,
TokyoTsukishima, Chuo-ku,
TokyoActual occupancy rate

Actual occupancy rate

Actual occupancy rate

89.8% (as of Nov. 30, 2022)⇒ 89.8% (as of May 31, 2023)⇒ 99.1% (expected as of the endof Nov. 2023)

84.2% (as of Nov. 30, 2022)⇒ 87.5% (as of May 31, 2023)⇒ 94.3% (expected as of the endof Aug. 2023)

78.5% (as of Nov. 30, 2022)⇒ 78.5% (as of May 31, 2023)⇒ 35.0% (expected as of the endof Dec. 2023)

The departures of multiple tenants has continued but fulloccupancy is expected for office sections in November 2023
after capturing nearby needs.



Although the average unit rent of the property as a wholedecreased from the previous fiscal period, there were sections
concluded at a higher unit rent than the previous contract.



While partial cancellations and departures of multiple tenants
continued, we promoted that the property can accommodate
various floor space needs such as consolidation, expansion andreduction, as the advertised space is of various sections andsizes. Concluded contracts for multiple sections by capturing
nearby needs.

Promoted that the property can accommodate various floor spaceneeds such as consolidation, expansion and reduction, as theadvertised space can be divided into sections.



We aim to reach full occupancy soon by flexibly setting terms andpromoting the property’s excellent access to the city center as wellas the relatively low rent level for its size and grade.

 With one remaining section, we aim to reach full occupancy soon.
Thisamountdocument
is not material
disclosed
compliancecostswith theFinancial
Instruments
Exchangeor anyregulation
similarnature,nor is it(Note) The acquisition price of Daiwa Nihonbashi Bakurocho is thecalculated
by addingbuildinginconstructionof 1,958
millionyen to theandpurchasepriceAct(3,775
millionyen) inofthepurchaseagreement
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.
for the land acquired on November 13, 2020..

17
17
17

Properties Subject to Leasing Improvementin the Fiscal Period Ending November 2023 (36th FP)
Daiwa Shibuya Square(Acquisition Price: 16,000 million yen)

Daiwa Hatchobori ekimae(Acquisition Price: 2,871 million yen)

Daiwa River Gate
(Acquisition Price: 28,000 million yen)

Location

Location

Location

Nanpeidai-cho, Shibuya-ku,
Tokyo

Hatchobori, Chuo-ku,
TokyoNihombashi-Hakozakicho, Chuo-ku,
TokyoActual occupancy rate

Actual occupancy rate

Actual occupancy rate

100.0% (as of May 31, 2023)⇒ 80.8% (expected as of the end of March 2024)

100.0% (as of May 31, 2023)⇒ 88.7% (expected as of the end of July 2023)

99.0% (as of May 31, 2023)⇒ 87.7% (expected as of the end of Sep. 2023)



About a 9-minute walk from Shibuya Station, which
offers access to the Yamanote Line and other JRlines, the Tokyo Metro Ginza Line, Hanzomon Line,and Fukutoshin Line, as well as Tokyu Railway and
Keio Railway services.



The nearby area reflects characteristics of being aplace with among the highest concentration ofcommercial facilities in Japan, and is a location
recently preferred by IT-related startups.



About 170 tsubos per floor.



About a 1-minute walk away from Hatchobori
Station on the JR Keiyo Line and Tokyo Metro
Hibiya Line. Within walking distance from
Kayabacho Station, Takaracho Station, andShintomicho Station, and accessible to variouslines.



Near Tokyo Station and in an area that enjoys ahistory of high concentration of office buildings andwhere diverse office needs can be expected.



About 90 tsubos per floor.



A 3-minute walk from Suitengumae Station on theTokyo Metro Hanzomon Line, and about a 10-minute
walk from Ningyocho Station on the Tokyo Metro
Hibiya Line and the Toei Subway Asakusa Line.

The property has comprehensively high-level
facilities such as adopting a spot network powerreceiving system with highly reliable electricity supply
and is a large building representing the surrounding
area.



About 610 tsubos per floor.

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

18

Internal Growth Strategy
Continuous Internal Growth and Maximization of Asset Value
Through “Bonji-Tettei”

DOI Investment Management Department
DOI Management Team (10 members (Note 1) )Aims at maximizing asset value by means of specialist groups headed by personnel assigned to each property
in the Investment Corporation’s portfolio.

平島副部長

阿部部長

荒井SM

柳澤SM

上村M

 Accurate understanding of the leasing market

Grasp ofpresent
situation

 Grasping of needs and trends of occupying

tenants through regular visits In-depth understanding of property features
 Information gathering from brokers

Activities forinternal growth(21 years, 3 month)(18 years, 10 month)(17 years, 3 month)

金刺M

岩崎AM

関根M

杉村A

(17 years, 5 month)(6 years, 9 month)(7 years, 9 month)(4 years,11 month)(17 years, 1 month)

渡邉A Implementing tenant satisfaction surveys

and proposing improvement measures Periodical property examination

 Maintenance of a stable occupancy rate by

Realization ofinternal growth(20 years, 6 month)promptly filling vacancies
 Realization of stable management throughsolid relationship with tenants
 Securement of revenue based on wellplanned medium- to long-term management（Note1） Excludes personnel primarily involved in development work.

Construction Management Team (4 members (Note 2))
Engineering: Formulation and implementation of construction planning for assets.

阿部部長(20 years, 6 month)Aims to maximize asset value(1month)(22 years, 4 month)(17 years, 4 month)(2 years, 8 month)(Note2) Only employees whose primary work was with the DOI Investment Management Department werecounted for those who simultaneously serve in other departments.
.
(Note3) The number of years stated in the parenthesis is the number of years engaged in the relevant work
(as of Juｌy 21, 2023) and does not indicate the number of years employed at the asset managementcompany.

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

19Section 3External GrowthProgress of Kandasudacho 2-chome Development Project
Outline of Kandasudacho 2-chome Development ProjectIt enjoys access to 4 stations and 7 lines. It is located near the
Marunouchi-Otemachi area, which is an area in high demand as a base forsmall and medium-sized companies.



NOI Yield Expected in a Normal Operation Period after Completion：4.0%

Development Project Schedule
32nd FP
Ended Nov. 2021

34th FP
Ended Nov. 2022

35th FP
Ended May 2023

38th FPEnding Nov. 2024

Oct. 2021:
Conclusion of design
supervision/
construction contract

Oct. 2022:
Construction startof the newbuilding

Mar. 2023:

June 2024(scheduled)Completion of the
new building

Concludeconsignment
agreement with PM
Completion ofproperty pamphlet
and property
website◆ March 2023 Start leasing<Photo of site as of July 2023><Floor plan ofstandard floor><Image of office layout><Image of completed
office space>

Daiwa Akihabara decided as official name.
Started leasing from March 2023. At present, scheduled to conclude
reservation contracts for 2 floors, which is equivalent to occupancy rate of 17%.
 Channel efforts toward concluding contracts before construction completionby capturing nearby relocation needs and IT/game company tenants forremaining floors.
Outline of the property
Acquisition Date of Land

December 16, 2021

Location/Distance from
StationKanda Suda-cho, Chiyoda-ku, Tokyo /4-minute walk from Kanda Station on the JR Yamanote Lineand Tokyo Metro Ginza Line,5-minute walk from Akihabara
Station on the JR Yamanote Line and Tokyo Metro Hibiya
Line,4-minute walk from Iwamoto-cho Station on the Toei
Subway Shinjuku Line

Expected AcquisitionPrice

15,422 million yen
Price of Land：10,600 million yen
Main Fees Related to Construction（Note）：4,822 million yen

Land Area/Gross Floor
Area

1,346 m2/11,960 m2

Structure after Building
Completion

Steel framed structure flat roof, 12 stories above ground

Completion Date

June 2024

NOI Yield Assumed forNormal Operation Period
after Completion

4.0%

Leasing Tools
Completed property pamphlet and property website of Daiwa Akihabara (Note)

Access the property
website着工時現場写真(2022年10月時点)
Completed property

pamphlethttps://daiwa-akihabara.jp

Thiscosts,
document
is andnot material
disclosed
compliancewith thecosts
Financial
Instruments
and ExchangeActor estimatedany regulation
similar nature,(Note) Main fees related to construction include the total of construction
designsupervision
costs, inprojectmanagement(excluding
consumption
tax, etc.),
etc.
at theofpresent
time. nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.
Subject to change due to future progress of this project.

21
21

Effect of May 2024 Scheduled Property Acquisition andAsset Replacement
S-GATE FIT Nihonbashi Bakurocho (Scheduled) Acquisition Price: 6,300 million yen,
(Scheduled) Acquisition Date: On or before March 29, 2024
<Elevator Lobby><Dedicated Area> Good location 1-minute walk away from
Bakurocho Station
 Preciously rare area of few newly
constructed properties
 Aim to reach full occupancy at the time ofacquisition in March 2024 based on
experience of early leasing of Daiwa
Nihonbashi Bakurocho Occupancy rate as of July 21, 2023, wasabout 61%
Location/
Distance from Station

Nihombashi-Bakurocho, Chuo-ku, Tokyo
1-minute walk from Bakurocho Station on
the JR Sobu Main LineLand Area/
Total Floor Area (Note 2)

About 96.9% of 609.50m2
About 96.9% of
4,818.75m2

Appraisal Value (Note 1)

6,530 million yen

Structure/Floors

S/B1/11F

Actual occupancy rate

Release date: Not completed

Construction Date

April 2023 (new building)

NOI Yield
At Acquisition (Note 3)

Midterm (Note 4)

Appraisal (Note 5)

3.5%

3.5%

3.6%

Asset Replacement Effect
S-GATE FIT
Nihonbashi
Bakurocho

Daiwa
SHIBUYA EDGE

Scheduled
Acquisition Price
6,300 million yen

Sale Price
7,313 million yen

Expected NOI Yield
3.5%

Actual NOI Yield
2.8% (Note 8)

NOI Yield after
Depreciation
6,300 million
2.8%
yen

NOI Yield after
Depreciation
2.4% (Note 9)

Annualized NOI(Expected)

222 million yen

Depreciation Rate (Note 6)

Annualized NOI
Increase

0.7%

70 million yen

Annualized NOI
152 million yen(Note 10)

Provision ofGain on sales ofreserve forreal estate
reduction entry
properties* yen
1,519 million

547 million yen

As of February 1, 2023.
Shares are shown for site rights for the land and compartmentalized ownership for the building.
NOI Yield at Acquisition is calculated based on the assumed leasing agreement for the Property on
the planned acquisition date by dividing the annual income with the assumption of the occupancy
rate being 96.0% by acquisition price in consideration of taxes and other costs that may be incurred.
(Note 4) Midterm NOI Yield is calculated based on the assumption that after the property acquisition, theInvestment Corporation will receive rent under normal occupancy rate for the medium term (96.0%).
The estimated figures where the rental business expenses are deducted from the rental revenue are
divided by the acquisition price.
(Note 5) The figure for Appraisal NOI Yield is calculated based on net operating income used for the
calculation of the income approach value as per the direct reduction process as stipulated by theLand Area/Total
527.65m2 / 3,022.33m2
real property appraisal report and divided by acquisition price.
Floor Area
(Note 6) The figure is the total amount of the six-month depreciation conversion price expected to accrue inthe financial period of acquisition and the appropriate expected depreciation charge for the next
financial period (six-month period), which are divided by the acquisition price.
Structure/Floors
RC/B1/9F(Note 7) NOI Yield Based on Sale Price is calculated by dividing the actual annualized NOI for the 34th FP
by the sale price.
August 2006 (16 years, as of the(Note 8) Actual NOI Yield is calculated by dividing the total actual NOI for the 34th FP and the 35th FP by theConstruction Date
date of sale)average of the book values at the end of the respective periods.
(Note 9) NOI Yield after Depreciation is calculated by substracting the total depreciation cost for the 34th FP
NOI Yield
and the 35th FP from the total actual NOI of the two periods to obtain NOI after Depreciation andBased on Sale
2.6%(Note 7)
dividing this by the average of the book values at the end of the respective periods.
This
document is not material disclosed in compliance with the Financial
Instruments
andExchange
Act
orfor
any
similarnature, nor is it
Price(Note 10) AnnualizedNOI
is thetotal actual
NOI
theregulation
34th FP andofthe
35th FP.

Replacement(Note 1)
(Note 2)
(Note 3)

【Divestment】 Daiwa SHIBUYA EDGE
Date of Sale

December 21, 2022

Location/Distancefrom Station

Udagawa-cho, Shibuya-ku, Tokyo/7-minute
walk from Shibuya Station

Sale Price

7,313 million yen

Appraisal Value

Nov. 2022)

Gain on Sale

ended May 2023)

5,490 million yen (as of the fiscal period ended
1,519 million yen (actual, as of the fiscal period

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

22
22
22

Efforts to Improve Portfolio Quality
26th FP
Fiscal period ended Nov. 2018

27th FP
Fiscal period ended May 201928th FP
Fiscal period ended Nov. 201929th FP
Fiscal period ended May 2020

30th FP
Fiscal period ended Nov. 2020

Acquisition

25th FP
Fiscal period ended May 2018

Nihonbashi
Bakurocho
1-ChomeDevelopment
Site (Note1)

Divestment

CONCURRED
Yokohama

Daiwa
Kanda East

Daiwa
Kandasudacho

Daiwa
Shinagawa
Gotenyama

Replacement

CorporateactionShinjuku Maynds
Tower

Daiwa Meieki* Sale of a portionof co-ownershipinterest

Use of gainon saleDaiwa
Sasazuka Tower

Daiwa
Nakano-Sakaue

Nihonbashi
Central Square

Daiwa
Harumi

Daiwa
Mita 2-Chome

Replacement

Exchangetransaction

Replacement

Daiwa
Onarimon

Daiwa
Osaki 3-Chome

Daiwa
Jinbocho

Daiwa
SasazukaReplacement
Daiwa
Shimbashi 510

Buy-back of
own investment units
Repayment of borrowings

31st FP
Fiscal period ended May 2021

32nd FP
Fiscal period
ended Nov. 2021

Use of gainon saleBuy-back of
own investment units
Repayment ofborrowings

34th FP
Fiscal period
ended Nov. 2022

35th FP
Fiscal period ended May
2023

37th FP
Fiscal period ending May
2024 (Scheduled)

38th FP
Fiscal period ending Nov.
2024 (Scheduled)Kandasudacho
2-ChomeDevelopment
Site (Note 2)

Sold an oldproperty
Daiwa
Kyobashi

33rd FP
Fiscal period
ended May 2022

Daiwa
Kandabashi

Daiwa
MinamiAoyama

Daiwa
Kojimachi
4-chomeDaiwa
Nihonbashi
Bakurocho (Note1)

Use of gainon saleBuy-back of
own investment
units
Internal reserves

Total acquisition(scheduled) price14 properties (Note 1)
115,126 million yen

Daiwa
SHIBUYA EDGE Replacement

Replacement

Buy-back of
own investment
units

25th ～ 38th FP Total

S-GATE FIT
Nihonbashi
Bakurocho(Tentative name)Daiwa Akihabara(Note 2)

Total divestment price
10 properties
113,418 million yen
Buy-back of own
investment units
4 times
13,457 million yen
in total

23

Improve the quality of the portfolio by divesting from old properties and including relatively new propertiesand development properties while maintaining about 80% share in the five central wards of Tokyo.
(Note 1) On November 13, 2020, the Company acquired the Nihonbashi Bakurocho 1-chome development site. Upon completion of the development project, the Company has
already acquired the building constructed on November 30, 2022.
(Note 2) Acquired Kandasudacho 2-Chome Development Site (land) on Dec. 16, 2021, and scheduled to acquire completed building in June 2024.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

23

Acquisition/Sale Policy and Status of Deliberation for Property Acquisitions
Acquisition / Sale Policy

Distribution Chart of Portfolio Properties
Building Age (Year)

Places priority in the five central wards of Tokyo and equivalent area.



Thoroughly select properties in view of actual demand toward location(distance to station, station power, crowd attraction, surrounding environment),
building specs, etc.

Acquire properties that improve growth potential and profitability of existing
portfolio.



Invest in buildings with a building age of less than 25 years.

Consider replacement when necessary incompetitiveness, profitability, etc. of properties.

considerationoffutureSecure a sourcing route across a wide range by capitalizing on status as anindependent REIT and establishing strong relations with business companies,
financial institutions, real estate brokers, etc.



Target optimum expansion of portfolio based on in-depth data analysis upon
careful selection from among the wide-ranging information on properties thatcomes from diverse sources.
Number of Properties Reviewed for Acquisition

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

360

348

334

339

80

341

309
60

200
100
0

40

14

9

13

17
6

8

11

14

17
8

26th FP 27th FP 28th FP 29th FP 30th FP 31st FP 32nd FP 33rd FP 34th FP 35th FP(Note) Number of gross proposals.

35
30

100

490

281

300

* The distance from station is the distance from thenearest station

50

25

500

326

55

40



329

●Property sold in 35th FP●Property acquired(scheduled) in 37th FP●Properties acquired after the sponsor change●Properties acquired before the sponsor change

45

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

400

60

20
0

20
Daiwa SHIBUYA EDGE

15
Average building age

10

24.8 years（Note2）Average station
distance

50

3.6 minutes

S-GATE FIT Nihonbashi Bakurocho

0.0

1.0

2.0

3.0

4.0

5.0

6.0

(Note1) Building Age of Development Site is indicated as 0 year.
(Note2) Average building age is as of the end of May 2023.

7.0

8.0

9.0 10.0 11.0

Distance from station (minutes)

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

24

Change in Asset Size and Acquisition Performance
Aim to Achieve Medium-Term Goal Asset Size of 500 Billion Yen(billion yen)

(Note) Regarding the Nihonbashi Bakurocho 1-chome Development Project, for which DOI acquired
the land for the Nihonbashi Bakurocho 1-chome Development as of November 13, 2020 and wasdeveloping the property as the project operator, DOI acquired the constructed building as ofNovember 30, 2022 upon completion of the development project. DOI acquired the property andchanged the name of the property to Daiwa Nihonbashi Bakurocho.

550

80%

Total Acquisition Price

LTV (based on total assets)

500.0

500

445.7

450

467.7

458.3

469.3

469.3

459.7

460.0

461.0

463.1

464.8

466.5 468.4

463.3

461.4

70%

462.5

439.4

413.2

352.7
350

60%

387.5

400

332.0

364.0
44.3

43.0

41.7

40.2

40.6

300

37.5

50%

43.3

42.3

42.2

42.3

Acquisition Property
Property
Acquisition• Daiwa River Gate
• Daiwa Hatchobori ekimae• Daiwa Hatchobori ekimae West250

• Daiwa Shibuya Dogenzaka• Daiwa Akasaka• Daiwa Shibuya Miyamasuzaka

100Acquisition Property• shinyon curumu• Daiwa Meieki• Daiwa Kamiooka

50

Acquisition Property

Acquisition Property• Daiwa Ebisu 4-chome• LAQUAS Higashi Shinjuku• Daiwa Aoyama• Daiwa Shibuya Shinsen• Daiwa Shibuya Square• Daiwa Meguro Square• Daiwa Kanda Mikuracho

16th
FP

17th
FP

42.0

41.8

18th
FP

19th
FP

22nd
FP

43.1

40%

Acquisition Property• Kandasudacho 2-Chome
Development Site
Acquisition Property

30%

Acquisition Property• Nihonbashi Bakurocho
1-Chome Development Site
(Note)

20%
Acquisition Property• Daiwa Nihonbashi Bakurocho(Note)• Daiwa Nakano-Sakaue• Nihonbashi Central Square
Acquisition Property

10%• Daiwa Mita 2-Chome
Acquisition Property

Acquisition Property

21st
FP

42.6

41.9

• Daiwa Kandabashi

Acquisition Property• Daiwa Higashi-Nihonbashi• Daiwa Daikanyama• Daiwa Shinjuku West
• Daiwa Ogikubo• Daiwa Sasazuka• Daiwa Harumi• Daiwa Nishi-Shinjuku• Kirin Nihonbashi Building

20th
FP

42.0

Acquisition Property

Acquisition Property

15th
FP

42.1

• CONCURRED Yokohama• Daiwa Kanda East

• Daiwa Azabu Terrace• Daiwa Kitahama

0

42.1

Acquisition Property• Daiwa Ogikubo Tower
Acquisition Property

150

41.5

Acquisition Property• Daiwa Kandasudacho• Daiwa Shinagawa Gotenyama• Daiwa Sasazuka Tower

Acquisition Property

200

40.5

42.8

23rd
FP

24th
FP

25th
FP

26th
FP

27th
FP

28th
FP

29th
FP

30th
FP

31st
FP

32nd
FP

33rd
FP

34th
FP

35th
FP

Medium-Term
Goal

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

0%25

Section 4
Financial Strategy

Status of Interest-Bearing Liabilities (1)Repayment Schedule
20,000(Million Yen)

Change in Procured Years of Interest-Bearing Liabilities and End of period maturity

 Investment Corporation Bond

13,000（Note）(Year)(Year)

5.5

18,000

11.0

End of period maturity (left axis)
Average loan term years(excluding short-term loans payable) (right axis)

5.0

10.0

16,000
4.5

9.0

4.1

14,0004.0

8.0

12,000

3.5

10,000

3.0

6.0

2.5

5.0

2.0

4.0

1.5

3.0

1.0

2.0

2,000

0.5

1.0

0

0.0

0.0

8,000

7.7

7.0

35th FP

34th FP

33rd FP

32nd FP

31th FP

30th FP

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

23rd FP

52nd FP

51st FP

50th FP

49th FP

48th FP

47th FP

46th FP

45th FP

44th FP

43rd FP

42nd FP

41st FP

40th FP

39th FP

38th FP

37th FP

36th FP

35th FP

4,000

22nd FP

6,000

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it(Note) The repayment schedule as of the end of May 2023. intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

27

Status of Interest-Bearing Liabilities (2)Loan to Value Trend

Status of Interest-Bearing Liabilities(End of 35th Fiscal Period)(Billion Yen)

240

60.0%

Interest-bearing liabilities (left axis)

Ratio of Fixed-Interest and FloatingInterest Borrowings

Ratio ofLong and Short-Term Borrowings(Note)LTV (based on total assets) (right axis)

200

50.0%

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

13.3％

33.6％

43.1%

66.4％
160

40.0%

120

30.0%

86.7％

Fixed-interest borrowings

Long-term loans payable, etc.

Floating-interest borrowings

Short-term loans and Current
portion of long-term loans
payableStatus of Rating
80

20.0%

Japan Credit Rating Agency, Ltd. (JCR)

Long-term issuer rating
Rating outlook: Stable

40

10.0%

(Assigned on March 7, 2023)

Rating and Investment Information, Inc. (R&I)
0

19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd 33rd 34th 35th
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP(Note) LTV (based on total assets) = Total interest-bearing liabilities / Total assets

0.0%

Issuer rating

Rating outlook: Stable(Assigned on September 16, 2022)

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

28

Status of Interest-Bearing Liabilities (3)As of End of the 35th Fiscal Period
Name of Financial Institutions(Million Yen)

Comparison with
Previous Period

Balance

Balance Ratio

Name of Financial Institutions

Comparison with
Previous Period

Balance

Balance Ratio

Sumitomo Mitsui Banking
Corporation

42,400+2,00021.3%

The Hyakugo Bank, Ltd.

1,000

-

0.5%

Sumitomo Mitsui Trust Bank, Limited

24,500-

12.3%

The Yamanashi Chuo Bank, Ltd.

1,000

-

0.5%

Development Bank of Japan Inc.

21,750-

10.9%

Momiji Bank, Ltd.

1,000

-

0.5%

MUFG Bank, Ltd.

20,450-

10.3%

Taiyo Life Insurance Company

300

-

0.2%

Mizuho Bank, Ltd.

19,400-

9.8%

Fukoku Mutual Life Insurance
Company

200

-

0.1%

SBI Shinsei Bank, Limited

14,500-7.3%

198,800+2,000100.0%

Resona Bank, Limited.

12,500-

6.3%

Mizuho Trust and Banking Co., Ltd.

9,500

-

4.8%

The Bank of Fukuoka, Ltd.

6,500

-

3.3%

Kansai Mirai Bank, Limited

5,000

-

2.5%

The 77 Bank, Ltd.

3,000

-

1.5%

Nishi-Nippon City Bank, Ltd.

3,000

-

1.5%

(DOI ESG Series Bond I)

The Norinchukin Bank

3,000

-

1.5%

(DOI ESG Series Bond II)

The Gunma Bank, Ltd.

2,500

-

1.3%

The Musashino Bank, Ltd.

2,000

-

1.0%

Tokio Marine & Nichido Fire
Insurance Co., Ltd.

2,000

-

1.0%

The Yamaguchi Bank, Ltd.

2,000

-

1.0%

Nippon Life Insurance Company

1,300

-

0.7%

Total

Issuance

Comparison with
Previous Period

Balance

Duration of
Liabilities

No. 4 Unsecured Investment
Corporation Bond

2,100

-

10 years

No. 5 Unsecured Investment
Corporation Bond

1,700

-

5 years

No. 6 Unsecured Investment
Corporation Bond

1,300

-

12 years

1,500-

5 years

2,400-

10 years

9,000

-

-

No. 7 Unsecured Investment
Corporation BondNo. 8 Unsecured Investment
Corporation Bond

Green Bond

Total Investment Corporation Bonds

Outline of Commitment line
Commitment line provider

Maximum loan
amountTerm of the Agreement

3,000

From January 31, 2022 to July 31,
2023

2,500

From March 31, 2023 to January 31,
2024

Daiwa Next Bank, Ltd.

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

29Unitholders as of the End of May 2023
Unitholders’ Share by Investor Type
Number of
Units
End of 34th
FiscalPeriodNumber of
Units
End of 35th
FiscalPeriodIndividual･
Others

14,961

18,510Financial
Institution

157,804

List of Top 10 Investors
Number of
Units
End of 34th
FiscalPeriodNumber of
Units
End of 35th
FiscalPeriod128,905

128,905-

26.95%

2 Daiwa Securities Group Inc.

67,321

67,321-14.08%

Custody Bank of Japan, Ltd.
(Trust Account)

59,32965,707+6,37813.74%The Master Trust Bank of Japan,
4 Ltd.
(Trust Account)

52,01454,003+1,98911.29%The Nomura Trust and Banking
5 Co., Ltd.
(Investment Trust Account)

13,363

14,921+1,558

3.12%

STICHTING PENSIOEN FONDSZORG EN WELZIJN

17,082

14,590-2,492

3.05%

7 SMBC Nikko Securities Inc.

7,486

8,469

+983

1.77%

8

STATE STREET BANK WEST
CLIENT-TREATY 505234

4,565

4,716

+151

0.99%

9

STATE STREET BANK AND
TRUST COMPANY 505103

4,078

3,967

-111

0.83%

10

Japan Securities Finance Co.,
Ltd.

3,820

3,780

-40

0.79%

Total

357,963366,379+8,41676.61%

Rate (Note)
End of 35th
FiscalPeriodNo.

Investor Name

+3,5493.87%

1

Daiwa Investment ManagementInc.

168,331+10,52735.20%----

RegionalBank

16,401

16,183

-218

3.38%

Trust Bank

126,329

Investor Type

Commercial
Bank

Change inUnits136,249+9,92028.49%

Life
Insurance

1,694

Non-life
Insurance

50

+80

+30

0.02%

Other
Financial
Institution

13,33013,967

+637

2.92%

Other Domestic
Corporation

200,283

199,969-314

41.81%

Foreigner

86,122

70,192-15,930

14.68%

Securities

19,08821,256+2,168

4.44%

Total

478,258

478,258-

100.00%

1,852

+158

0.39%

3

6

(Note) Rounded to the second decimal place

Rate (Note)
End of 35th
FiscalPeriodChange in
Units(Note) Rounded to the second decimal place
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

30

MEMO

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

Section 5
Efforts on ESG

Efforts on Sustainability①
Acquisition of Environmental Certification

Environmental Performance Data Results＜Acquisition of Environmental Certification＞
・As of the end of May 31 2023, the total number of properties that have acquired
environmental certification is 32.The ratio of properties with environmental certifications(based on total floor area of properties owned) increased to 61.9%.
・As a mid- to long-term goal, we aim to increase the ratio of environmental certificationsin the entire portfolio to 70.0% by FY2030.
DBJ Green Building
Certification

CASBEE Certification

29

2

Rank S

3

★★★★

1

★★★

1

Rank A

22

★★★

1

★★

1

Rank B＋

4★

1

BELS Evaluation＜Reduction target ＞
Item
EnergyCO2

3＜ Efforts to Obtain Environmental Certification for Development Projects ＞
Considering the impact of development activities on the subject site and the surrounding naturalenvironment and ecosystems, we aim for building performance that, in principle, enables us toobtain environmental certification for each development project.
・Nihonbashi Bakurocho 1-chome Development Project has acquired “ BELS Evaluation(3-star) ”
・The "Kandasudacho 2-chome Development Project" adopts an excellent energy-saving designthat reduces tenants' utility costs to less than 60% of primary energy consumption compared
to conventional buildings.The property is aiming to be the first to acquire “ZEB Oriented”
certification.

Kandasudacho 2-chome Development Project（ Daiwa Akihabara (planned) ）ZEB
ZEB (Net Zero Energy Building) is a building that aims to reduce energy consumption in thebuilding to zero while achieving a comfortable indoor environment. The BELS rating system
is based on four levels: ZEB, Nearly ZEB, ZEB Ready, and ZEB Oriented.

Middle・Long-term target

Average 1%
reduction per year

Reduce by 5% over the 5-year base year

consumption
per unit

46% reduction by FY2030 (compared to FY 2013)－

Achieve carbon neutrality by FY2050

Maintenance ofthe status quo

Water

Maintenance of the status quo＜Environmental Performance Data＞
Item

Unit

Consumption (MWh)Energy Consumption intensity(MWh/m²)

FY2019【base year】
104,219

Actual reduction
FY2020

FY2021

FY2022Rate of change

91,237

87,24583,902-19.49%

0.207

0.181

0.178

0.173

-16.43%Emission (t-CO2)

44,771

38,25037,06334,589-22.74%CO2Emission intensity (tCO2/m²)

0.089

0.076

0.076

0.071

-20.22%

Consumption (m³)

396,297

290,167

284,367

296,251-25.25%

Water

Consumption intensity(m³/m²)

0.787

0.575

0.580

0.610

-22.49%Consumption (t)

4,388

3,594

3,373

3,478

－

Amount of recycled
waste (t)

2,502

2,092

1,862

1,865

－

Recycling rate (%)

57.02

58.20

55.21

53.63

－

Waste

The Nihonbashi Bakurocho 1-chome Project（ Current Daiwa Nihonbashi Bakurocho Building ）short-term target＜ third-party review（ verification ） of the environmental performance data ＞
SOMPO Risk Management, a third-party organization, conductedthird-party evaluation (verification) of environmental performancedata (energy consumption, GHG emissions (Scope 1 and 2),
water consumption, and waste output) of FY 2021＆FY 2022 for Certificate of implementationof third-party evaluation
the entire portfolio.

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

33

Efforts on Sustainability②
Examples of Efforts to Reduce Environmental Impact
DOI is implementing the following initiatives to reduce its environmental impact.
・Installation and renovation of LED lighting in common areas and private areas(as of May 31, 2023: LED lighting installed in 41 properties, LED installation ratio (based on
number of properties excluding Kanda-Sudacho Development PJ): 71.9%)
・Introduction of High-Efficiency Heat Source Equipment and Upgrading of Air-Conditioning
Equipment
・Installation and retrofitting of water-saving equipment
・Promoting Greening of Walls and Rooftops/Conserving Biodiversity
・Use of Natural Energy
・Creation and distribution of sustainability guides for tenants
・Promoting Green Leasing
・Utilize green loans and green bonds (actual procurement as of the end of May 2023:
9.8 billion yen in total for green loans and 3.9 billion yen in total for green bonds, for a totalof 13.7 billion yen)
＜Examples of Initiatives＞

Introduction of LED in linewith renovation of common
areas on each floor(Daiwa Sasazuka Tower)

Promoting Greening of
Rooftop garden(CONCURRED Yokohama）

Renewal of air-conditioning
equipment(Daiwa Ginza)

Retrofit of sanitary equipment（Daiwa Shinagawa Gotenyama)

Introduction of Whiz
(Shinjuku Maynds Tower)

Installation of SolarWind Streetlights(Daiwa River Gate)

Participation in external evaluation＜GRESB Real Estate Assessment 2022＞
・Acquired the highest rating of “5 Star” for the first time・the top rating of “A” in Public Disclosure for two consecutive years.
・Green Star for eleven consecutive years＜Support for TCFD Recommendations/ Participation in TCFD Consortium＞
・We endorsed the TCFD recommendations in December 2021 and began disclosing
qualitative scenario analysis in July 2022.

＜MUFG ESG Rating Certificate for J-REITs ＞
・The Investment Corporation and the Asset Manager have acquired
the top rating of “S Rank” for the MUFG ESG Rating Certification＜Study for acquisition of Eco Action 21 certification＞
・Aiming to obtain certification under “Eco Action 21”, a third-party certification and registration
system for environmental management systems established by the Ministry of the Environment, by the end of FY2023.
・In the future, by complying with the requirements of Eco Action 21, we will ensure transparency
of information through the publication of environmental management reports and promotefurther activation of the organization in environmental management.

Formulation of Sustainability Policy

Use of Digital Signage(Daiwa Ginza)

Distribution of Sustainability
Guides for Tenats

Visualization of tenant usage（ Shinjuku Maynds Tower ）The Sustainability Policy was established in March 2023 by expanding the sustainability
elements previously included in the existing "Policy on ESG”. We are systematically promoting
sustainability initiatives while taking into account changes in various sustainability issues(climate change, DEI, biodiversity, human rights, etc.) and the increasingly diverse needs ofour stakeholders (see p. 63 of this document for details of this policy).

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

34

Efforts on Sustainability③
Efforts for Enhancing Tenant Satisfaction andEngaging with Local Communities

DOI is implementing the following initiatives for Enhancing Tenant Satisfaction and Engaging
with Local Communities
・Implement Tenant Satisfaction Surveys
・Installation of Donation-Type Vending Machines、Support for Art Activities by People with
Disabilities・Installation of electric kickboards and shared cycle
・Contribution to local events such as Shinjuku Minami Lumi

Support for Art Activities（Daiwa Ginza)

Installation of electric kickboards（Shinjuku Maynds Tower etc)

Participated in Shinjuku
Minami Lumi
（Shinjuku MayndsTower）

Publication of Sustainability Report 2023
Published Sustainability Report 2023 to consolidate sustainability-related
information disclosed by DOI, DLI, and DR on their websites, etc., and toprovide stakeholders with a deeper understanding of their approach to
ESG and the content of their initiatives.

Investment Decision-making System
As an asset management company under the Act on Investment Trusts and Investment
Corporations that is entrusted with asset management by the Investment Corporation, theAsset Manager prepares, in line with the Articles of Incorporation, asset management
guidelines to stipulate basic approaches to investment management, such as theinvestment policy, rules on transactions with interested parties regarding acquisition andsale of assets, etc. and the disclosure policy. The decision-making process is as follows.

Creating a rewarding work environment＜Creating a comfortable office environment＞
To improve the office space in consideration of employee comfort, vending machines,
cafeteria space, Wi-Fi and other communication environments, and free-address
systems have been installed.
＜Benefits and Work-Life Balance＞
We have introduced a flextime system, a telework system, and an hourly paid leave system
to allow employees to work in a variety of ways that suit their individual lifestyles and work
characteristics.
＜Employee Satisfaction Survey＞
In order to build a better working environment, we conduct an employee satisfaction
survey by an external organization, believing that it is important to reflect employees'
opinions in organizational management and utilize them in various measures.
＜Employee health support/wellness promotion＞
We maintain and promote the health of our employees through periodic health checkups andinoculations against influenza and new coronas at work.In addition, we implement measures
such as no smoking on the entire floor during working hours, subsidies for dental checkups
and sleep projects to improve health awareness, and "shuffle lunch meetings (employeesocial gatherings)" to promote communication within the company.

Improvement of pleasant
office environment

Good Sleep Daiwa Project

Prevention of Conflicts of Interest among Funds

In case of competition over a property acquisition opportunity among the Investment
Corporation and other funds, etc. managed by the Asset Manager, conflicts of interest
among the Investment Corporations and other funds, etc. shall be prevented by first
granting the Investment Corporation the preferential right to consider the acquisition. The
acquisition opportunity will be available to the other funds, etc. only when the Investment
Corporation decides not to exercise the concerned preferential right.

Same-Boat Investment by the Sponsor Group
Aim to increase unitholder value by matching unitholder interest with the sponsor’s interest
Sponsor group

Number of units

Daiwa Investment
Management Inc.

Holding ratio

128,905 units

26.95%

Daiwa Securities
Group Inc.

67,321 unis

14.08%

Holding ratio of Daiwa
Securities Group:
41.0%

Shuffle Lunch Meetings

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

35

Daiwa Securities Group’s Efforts to Achieve SDGs
ManagementVision “2030 Vision”
Daiwa Securities Group has formulated the management vision “2030 Vision” and set the priority areas toward ”From savings to SDGs-Realize the SDGs by creating a sustainable capital
cycle-”.The three-year strategy aiming to achieve that vision is Medium-term Management Plan “Passion for the Best” 2023.

Efforts of Group Company ①
Daiwa Securities Group Future Support Bonds/Child Support
Group Sustainable Fund-FY2022 (3rd) Grant Recipients
Determined(Daiwa Securities Group Inc.)<2030Vision>(February 2023) Daiwa Securities Group is involved in the "For Your
Dreams-Daiwa Securities Group Children’s Smiles Project," whichaims to improve the environment for children in difficult
circumstances and prevent the cycle of poverty, as an activity tocontribute to the realization of a sustainable society.
As part of this project, in fiscal 2020, in collaboration with the Public
Interest Incorporated Foundation Public Resources Foundation, weestablished the Daiwa Securities Group Future Support Bonds/Child
Support Group Sustainable Fund. This fund aims to support children
so that they can continue to receive the support they need even in
the event of an epidemic of infectious diseases, recent heavy raindisasters, or expected large-scale earthquakes and other natural
disasters. We support the improvement of sustainability andresilience of group operations in child support organizations.

Efforts of Group Company ②
Investment in UK's Hornsea One offshore wind farm
(Daiwa Energy & Infrastructure Co. Ltd.)(March 2023) Daiwa Energy & Infrastructure Co. Ltd. (“DEI”), a
wholly owned subsidiary of Daiwa Securities Group Inc., andHornsea One offshore wind farm in the UK, the world’s largest
operating offshore wind power plant. have agreed DEI to acquire apartial stake of the windfarm.
Hornsea One offshore wind will be a project with a capacity of 1.2
GW with 174 wind turbines on 407 square kilometers of water in the
North West of England.
This will be the first participation in an offshore wind power business,but with this as a start, the group we will accelerate consideration offurther investments in the offshore wind power field, and will also
make a decision that is consistent with the management vision of
Daiwa Securities Group Inc. The group will realize a fund circulation
mechanism in accordance with the core concept of “from Savings to
SDGs”.

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

36

Appendix

Three Characteristics of the Investment Corporation (As of July 21, 2023)

OfficeBuilding

Office Specialized REIT

100％

Greater Tokyo

REIT focused on
the Five Central Wards ofTokyo

Regional Major Cities

17.4％

2.0％

Five Central Wards of Tokyo

80.5％(Note) Based on acquisition price.

Stable Dividend

Dividend
per Unit

Fiscal period ending
Nov. 2022(34th FP)
ActualFiscal period ending
May 2023(35th FP)
ActualFiscal period ending
Nov. 2023(36th FP)
Forecast

Fiscal period ending
May 2024(37th FP)
Forecast

13,700 yen

13,700 yen

13,700 yen

13,700 yen

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

38

Portfolio Breakdown by Region and Status in Shinjuku and Shibuya Areas
Shinjuku Maynds Tower

Portfolio Breakdown by Region (%)
Osaka City
2.0％

（％）

Total from 2023 to 2027

4,650,000 m²

100.0

Toranomon Area
850,000 m²

Large-scale properties: Offices with total floor areas of 10,000 m² or more

96.4

37th FP

36th FP

35th FP

34th FP

33rd FP

31st FP

32nd FP

100.0 100.0100.0 96.3

100.0 100.0 100.0

100.0

89.1

100.0 96.8

92.8 93.3

89.6
97.0

92.8

100.0

100.0 100.0 100.0

140.0

80.0

37th FP

36th FP

35th FP

34th FP

33rd FP

31st FP

30th FP

32nd FP(Note) Rent revenue is indexed as the end of the 16th FP = 100.

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

23rd FP

0.0

22nd FP

20.0

21st FP

24,000 million yen

20th FP

Acquisition
price

18th FP

Location

100.0

Occupancy rate at end of period (left axis)
Occupancy rate (forecast) (left axis)
Rent revenue index (right axis)
Rent revenue index (forecast) (right axis)

17th FP

Nihonbashi,Yaesu
and Kyobashi Area
560,000 m²

40.0
3 Maruyama-cho,Shibuya-ku

160.0

120.0

16th FP

Source: Mori Building

80.0

100.0

60.0

Tamachi and
Hamamatsucho Area
700,000 m²

Shinagawa Area
530,000 m²

30th FPE SPACE TOWER Occupancy Rate

2023―2027

Akasaka andRoppongi Area
290,000 m²
Shibuya Area
370,000 m²

29th FPE SPACE TOWER

Large-Scale Office Building Supply inthe 23 Wards of Tokyo

Other
1,340,000 m²

70.0(As of July 21, 2023)(Note 2) Percentage is rounded to the first decimal place

Marunouchi,
Otemachi and
Yurakuchi Area
10,000 m²

28th FP(Note 1) Based on acquisition price27th FP

0.0

80.0

Rent revenue index (forecast) (right axis)
26th FP

66,900 million yen

25th FP

Acquisition
price

90.0

Rent revenue index (right axis)

24th FP

20.0

Occupancy rate (forecast) (left axis)

21st FP

Shinjuku Ward
7.1％

Location

2-chome, Yoyogi,
Shibuya-ku

100.0

Occupancy rate at end of period (left axis)

22nd FP

40.0

20th FP

40.9％

99.9
100.0 98.0
98.3
96.6
95.1
130.0
93.4
99.8 99.3 100.0 99.6
96.6
95.1
92.5
89.3 120.0

99.2

110.0

19th FP

60.0

18th FP

Chuo Ward
23.3%

80.0

Shibuya Ward/
Shinjuku Ward

Five Central Wardsof Tokyo
80.5％

94.0 96.1
98.8 98.8
94.7

95.7

19th FP

Minato Ward
10.0%

100.0

Shibuya Ward
33.8％

17th FP

Chiyoda Ward
6.4％

（％）

Regional Cities
2.0％
Greater Tokyo
17.3％

16th FP

Other 18 Wardsof Tokyo
8.8％

Shinjuku Maynds Tower Occupancy Rate

23rd FP

Yokohama City
8.7％

Ownership interest of Shinjuku Maynds Tower is adjusted from the 25th FP.

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

60.0

39

Daiwa Nihonbashi Bakurocho Building FacilitiesCompleted development project in November 2022, and acquired building portion. Occupancy rate as of May 31, 2023, was 98.0%(occupancy rate as of November 30, 2022, was 87.4%).
Contracts have also been concluded for the remaining floor (some shop sections on 1F). Expecting 100.0% occupancy as of endof November 2023.

Expected Occupancy Rate at theEnd of Nov. 2023
100.0%
10F
9F

Air conditioning
equipment (ducts) for
tenants

8F
7F
6F
5F

Facility work reflecting
tenant requests from thedesign stage was
implemented on somefloors As a result,concluded a contract
with a tenant accounting
for approximately 70%of the property

Office118.20 tsubos(every floor)


4F＜Entrance＞

3F



Building Facilities

2F
1F

Shop A
21.21
tsubos

Shop B
27.49
tsubos＜Private Area＞＜Development Progress＞

30th FP

Ended Nov. 2020

Located above Bakurocho Station, it is a submarket of the Nihombashi-YaesuKyobashi area and has excellent location with convenient transportation and favorable
access to major stations in central Tokyo.
Medium-scale office building with approximately 120 tsubos per floor, utilizing spacewith no pillars.
NOI Yield Expected in a Normal Operation Period after Completion：4.2%

32nd FP

Ended Nov. 2021

Oct. 2020:
June. 2021:
Conclusion of design/supervision Construction start ofconstruction contract
the new building

33rd FP

Ended May. 2022

Dec. 2021:
・Conclusion ofproperty management
contract
・Completion ofproperty pamphlet andproperty website
・Leasing begins

Date of Acquisition（Note）

November 30, 2022

Location/Distance from Station

Nihombashi-Bakurocho, Chuo-ku, Tokyo
/1-minute walk from Bakurocho Station/4-minute walk from Bakuroyokoyama Station/4-minute walk from Higashi Nihonbashi Station/5-minute walk from Asakusabashi Station

Acquisition Price

5,733 million yen
Price of Land：3,775 million yen
Main Fees Related to Construction：1,958 million yen

Land Area/Total floor Area

620.93 m2/4,604.87 m2

Structure/Floor

Steel-framed structure with flat roof, 10 stories above ground34th FP

Ended Nov. 2022

Nov. 2022:
Completion of project
and acquisition ofbuilding portion

Use the QR Code on the right to see a property VR tour of Daiwa Nihonbashi Bakurocho.▶

(Note) The Investment Corporation will own both the Land and the Building and the date ofacquisition of the Building is indicated.

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

40

Analysis of Leasing Business― Improvement in Basic Strength ―Monthly rents increased for new tenants in the fiscal period ended in May 2023, and with contract renewals, the total
increase in monthly rent was 4 million yen.
Monthly Rent Increase Due to Contract Renewal/Tenant Replacement(Thousand Yen/Month)
40,00037,565Contract Renewal
Tenant Replacement

35,00032,29528,225 18,441 27,020

30,00025,52825,00021,804 21,309 9,137
6,680

20,00015,00014,376 14,246

10,000

6,438

5,000
0

7,938
20th FP766

13,47921st FP

14,686

7,432

18,847

14,371

8,759
22nd FP

21,84916,903

6,663

12,521

12,747
3,988

11,13423rd FP

24th FP

6,371
21,161

19,087 19,123
8,787
25th FP

15,185

12,334

3,381
4,369

26th FP

27th FP

28th FP

29th FP

30th FP▲5,00031st FP

▲988

3,613

2,046
1,566
32nd FP

2,724

4,635

1,174

3,259
1,376

1,550 ▲865960
33rd FP

34th FP▲1,82535th FP

area fees)(Note 1)

Growthrateofof
Growth rate
dividend resource
dividend
resource(Note 2)(Note
2)

Simpleaverage forthe 20th FP
onwardIncrease Rate of Dividend Resource Due to Improved Basic Strength

Growth rate of
Growthrevenue
rate of revenue(rents and common(rentsandarea fees)
common(Note 1)

10,53220th FP

21st FP

22nd FP 23rd FP

24th FP

25th FP

26th FP

27th FP

28th FP

29th FP

30th FP

31st FP

32nd FP 33rd FP

34th FP

35th FP

Simpleaverage forthe 20th FP
onward6 monthequiv alent

1.0%

0.8%

0.7%

1.4%

1.2%

1.2%

1.5%

1.9%

1.3%

1.6%

1.0%

0.2%

0.2%

0.1%

0.0%

0.2%

0.9%

Annualized

2.0%

1.7%

1.5%

2.8%

2.4%

2.3%

3.0%

3.9%

2.6%

3.1%

2.0%

0.3%

0.3%

0.3%

-0.1%

0.4%

1.9%

6 monthequiv alent

2.1%

1.8%

1.5%

2.9%

2.4%

2.3%

2.9%

3.8%

2.6%

3.0%

2.0%

0.3%

0.3%

0.2%

-0.1%

0.4%

1.9%

Annualized

4.3%

3.6%

2.9%

5.8%

4.9%

4.7%

5.8%

7.6%

5.1%

6.0%

3.9%

0.6%

0.6%

0.5%

-0.1%

0.9%

3.7%

(Note 1) Obtained by dividing the amount of rent increase (increased amount of monthly rent x 6 months) due to the improved basic strength in each fiscal period by rent revenue (rents and common area fees) in the previous fiscal period.
(Note 2) Obtained by dividing the amount of rent increase (increased amount of monthly rent x 6 months) due to the improved basic strength in each fiscal period by net income in the previous fiscal period.

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

41

External Growth Strategy in Collaboration with the Sponsor Group
Develop Various External Growth Strategies in Extensive Collaboration with Daiwa Securities Group Inc.
Extensive Collaboration with Daiwa Securities Group

Future External Growth Strategies<Strategic property acquisition and replacement>Contribute to bridge financing

Provide information on real estatemarkets, properties, investment
opportunities from third parties, etc.,
utilizing the information network of
Daiwa Securities Group

Promote replacement of properties with issues such as aging and acquire properties thatwill improve future competitiveness and profitability, contributing to portfolio improvement

Secure various sourcing routes not dependent on specific corporate affiliations by building
strong relationships with a variety of related parties(Examples of strategic property acquisition and replacement)

Cooperate with the Asset Manager tosupply personnelTransfer warehousing functions previously
handled by Daiwa Securities Group Inc. andDaiwa Facilities to Daiwa Securities Realty
to streamline decision-making and secure
mobilityStrengthen acquisition mechanism by
allocating specialist members to enhance
the ability to handle increasingly
sophisticated transactions such as
replacement and exchange transactions,bulk sales, and incomplete projects, etc.

Manage the operations ofinvestment corporations withfive different asset types,
providing access to property
information from multiple
perspectives



Secure various routes notdependent on specific corporate
affiliations by building strong
relationships with a variety ofrelated parties

Kandasudacho
2-ChomeDevelopment
Site(Land)

Daiwa
Kandabashi
Acquisition

Replacement

Kandasudacho
2-Chome Development
Site(Land)
Acquisition

Daiwa
Minami-Aoyama
Transfer

Daiwa
Kojimachi
4-chomeTransfer<DOI’s unique approach to property development>

Even in the fiercely competitive real estate transaction market, acquire development
sites in the five central wards of Tokyo and develop new office buildings



Rejuvenate the existing portfolio and improve profitability over the medium to longterm through DOI’s unique approach to property development(DOI’s development projects)

Nihonbashi Bakurocho
1-Chome Development(currently Daiwa Nihonbashi Bakurocho)
Completed Date： November 2022

Kandasudacho
2-Chome Development<Utilizing warehousing and incorporating future DRT development properties>

Aim to further expand asset size while utilizing various growth strategies in collaboration
with the sponsor group
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

42

Summary of Results for the Fiscal Period Ended May 2023 (35th FP) (1)― Balance Sheet ―Comparison with Results of the 34th Fiscal Period

Cash and Deposits in Trust
Other Current Assets
Fixed Assets
Tangible Fixed Assets

AssetsBuilding and Others(including Trust Property)
Land and Others(including Trust Property)
Other Tangible Fixed Assets
Intangible Fixed Assets
Leasehold Rights and Leasehold
Rights in Trust
Other Intangible Fixed Assets
Investments and Other Assets
Leasehold and Security Deposits
Paid in Trust

34th Fiscal Period

35th Fiscal Period

Million Yen(%)

Million Yen(%)

Million Yen(%)

Million Yen(%)

23,4074.9

31,303

6.5

31,646

6.6

32,6186.8

19,08427,028

3,724

3,770

598

Current Portion of Long-term Loans
Payable95.1

451,132

93.5

Accounts Payables-Other

452,76394.1

446,536

92.6

Advances Received

79,54378,411

372,313367,212

906

912

2,715

0.6

2,713

2,705

2,705

9

8

2,124

0.4

1,882

Long-term Prepaid Expenses

1,293

1,308

Other Investments and Other
Assets717

460

Total Assets

Short-term Loans

457,602

113

Investment Corporation Bond
Issuance Costs

Operating Accounts Payables

505

113

Deferred Assets

Current Liabilities

39

0.0

39
481,049 100.0

34

Liabilities

Cash and Deposits

35th Fiscal Period

Other Current Liabilities
Fixed Liabilities
Investment Corporation Bonds

0.6

Long-term Loans Payable
Tenant Leasehold and Security
Deposits
Tenant Leasehold and Security
Deposits in Trust

0.4

Other Fixed Liabilities
Total Liabilities

0.0

34
482,471 100.0

1,514

1,261

-

2,000

26,20025,600

607

584

2,660

2,273

664

898

201,91142.0

202,003

9,000

9,000

170,600

171,200

20,09019,658

1,984

1,987

237

157

233,557

48.6

234,622238,093

238,093

Unitholders' capital

251,551

251,551

Deduction from unitholders’ capital-13,457-13,457

8,971

9,518

426

236

Unitholders’ equity (net amount)

Net Assets

Current Assets

34th Fiscal Period

Unappropriated Retained Earnings
Valuation, Translation Adjustments andOthersTotal Net Assets
Total Liabilities and Net Assets

247,49151.4

481,049 100.0

247,849

41.9

48.6

51.4

482,471 100.0

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

43

Summary of Results for the Fiscal Period Ended May 2023 (35th FP) (2)― Income Statement ―Comparison with Results of the 34th Fiscal Period

Comparison with the 35th Fiscal Period Forecasts(Million Yen)

Effective Number of Days of Investment
Operating Revenues (A)Gain on sale of real estate properties
Operating Expenses (B)34th
Fiscal Period

35th
Fiscal Period

183 days

182 days(Million Yen)

ChangeEffective Number of Days of Investment

13,891

15,050+1,159-1,519+1,519

6,828

7,384

+556

Expenses related to Rental Business(excluding depreciation)

3,664

4,190

+525

Depreciation

1,788

1,797

+8

Operating Revenues (A)Gain on sale of real estate properties

35th Fiscal Period
Forecast(Announced
Jan. 2023)

35th
Fiscal Period

182 days

182 days

Change15,13815,050

-87

1,518

1,519

+0

7,481

7,384

-96

Expenses related to Rental Business(excluding depreciation)

4,290

4,190

-99

Depreciation

Operating Expenses (B)

1,790

1,797

+6

-894

Gain and Loss from Rental Operations(ex cluding gain on sales of real estate properties)

7,538

7,543

+4

7,665

+602

Operating Income (A-B)

7,656

7,665

+9

576

580

+3

Non-operating Expenses

590

580

-10

421

427

+6

436

427

-8

6,494

7,100

+606

7,066

7,100

+34

Extraordinary Income

-

-

-

Extraordinary Income

-

-

-

Extraordinary Expenses

-

-

-

Extraordinary Expenses

-

-

-

Total Income Taxes(Includes income taxes deferred)

1

0

-0

7,065

7,099

+34

Gain and Loss from Rental Operations(ex cluding gain on sales of real estate properties)

8,437

7,543

Operating Income (A-B)

7,062

Non-operating Expenses
Interest Expense(including cap amortization)
Ordinary Income

Total Income Taxes(Includes income taxes deferred)

Ordinary Income

-17

0

+18

6,512

7,099

+587

478,258 units

478,258 units+0(Note 1)

13,561 yen

14,845 yen+1,284 yen

Earnings per Unit

(Note2)

13,700 yen

13,700 yen-

Dividend per Unit

(122yen)(- yen)(-122 yen)

Net Income
Investment Units Issued and Outstanding
Earnings per Unit
Dividend per Unit

Interest Expense(including cap amortization)(Reversal of reserve)(Note 2)Net Income

478,258 units

478,258 units-(Note 1)

14,772 yen

14,845 yen+73 yen(Note3)

13,700 yen

13,700 yen-(- yen)(- yen)(- yen)Investment Units Issued and Outstanding(Reversal of reserve) (Note 3)(Note 1) Earnings per Unit is calculated using the following average number of investment units during the period.
(Note 2) Dividend per Unit for the 34th FP includes the amount obtained by dividing part (reserve for reduction entry of 40 million yen and corresponding deferred tax liabilities of 18 million yen amounting to a total of 58 million yen) of the amount retained asinternal reserves by the total number of investment units issued and outstanding. Dividends per Unit before the reversal is 13,578 yen. Dividends per Unit for the 35th FP is calculated by dividing the amount obtained by subtracting provision for reserve
for reduction entry (547 million yen) from unappropriated retained earnings by the total number of investment units issued and outstanding.
(Note 3) Dividend per Unit for the 35th FP(announced Jan. 2023) is calculated by dividing the amount obtained by subtracting provision for reserve for reduction entry (513 million yen) from unappropriated retained earnings by the total number of investment
units issued and outstanding.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

44Forecasts for the Fiscal Periods Ending November 2023 and May 2024
(36th and 37th FP)
Forecasts for the 35th and 36th Fiscal Periods(Million Yen)
35th Period

Effective Number of Days of Investment
Operating Revenues (A)Gain on sales of real estate properties(Note)(May 31, 2023)

36th Period
Forecast(November 30, 2023)

37th Period
Forecast(May 31, 2024)

182 days

183 days

183 days

15,05013,853

13,932

1,519

-

-

7,384

7,133

7,114

Expenses related to Rental Business(excluding depreciation)

4,190

3,981

3,919

Depreciation

Operating Expenses (B)

1,797

1,795

1,828

Gain and Loss from Rental Operations(Note)(excluding gain on sales of real estate properties
)

7,543

8,077

8,184

Operating Income (A-B)

7,665

6,720

6,818

Non-operating Expenses

580

612

647

427

453

483

7,100

6,108

6,170

Extraordinary Income

-

-

-

Extraordinary Expenses

-

-

-

Total Income Taxes(Includes income taxes deferred)

0

1

1

7,099

6,107

6,169

478,258 units

478,258 units

478,258 units

Earnings per Unit (Note 1)

14,845 yen

12,770 yen

12,900 yen(Note 2)

13,700 yen

13,700 yen

13,700 yen(- yen)(930 yen)(800 yen)Interest Expense(including cap amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding

Dividend per Unit

(Reversal of reserve)(Note 2)

(Note 1) Earnings per Unit is calculated using the following average number of investment units during the period.
(Note 2) Dividend per Unit for the 35th FP is calculated by dividing the amount obtained by subtracting provision for reserve for reduction entry (547 million yen) from unappropriated retained earnings by the
total number of investment units issued and outstanding. Dividend per Unit for the 36th FP is calculated by dividing the amount obtained by adding reversal of reserve for reduction entry (444 million yen)
to unappropriated retained earnings by the total number of investment units issued and outstanding. Dividends per unit before the reversal is 12,770 yen. Moreover, reversal of reserve for reduction entry
may change depending on the operational status. Dividend per Unit for the 37th FP is calculated by dividing the amount obtained by adding reversal of reserve for reduction entry (382 million yen) tounappropriated retained earnings by the total number of investment units issued and outstanding. Dividends per unit before the reversal is 12,900 yen. Moreover, reversal of reserve for reduction entry
may change depending on the operational status.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

45

Status of Interest-Bearing Liabilities (1) (as of May 31, 2023)
Borrowings
LenderSumitomo Mitsui Banking Corporation

Total Short-term Loans payable
Current maturities of long-term Loans payable

Sumitomo Mitsui Trust Bank, Limited (*)

Mizuho Bank, Ltd. (*)
SBI Shinsei Bank, Limited
Resona Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)

MUFG Bank, Ltd. (*)
Resona Bank, Limited (*)
Mizuho Trust and Banking Co., Ltd. (*)

SBI Shinsei Bank, Limited (*)
Nishi-Nippon City Bank, Ltd.
Development Bank of Japan Inc.
Development Bank of Japan Inc.
Tokio Marine & Nichido Fire Insurance Co., Ltd.

Mizuho Bank, Ltd. (*)
Total Current Portion of Long-term Loans payable
Sumitomo Mitsui Banking Corporation (*)
Sumitomo Mitsui Banking Corporation (*)

MUFG Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Long-term Loans payable

Mizuho Bank, Ltd. (*)
SBI Shinsei Bank, Limited (*)
Fukoku Mutual Life Insurance Company

The Yamaguchi Bank, Ltd.
Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation (*)
Mizuho Trust and Banking Co., Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
Development Bank of Japan Inc.
The Yamaguchi Bank, Ltd.
SBI Shinsei Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)

The Gunma Bank, Ltd. (*)
The Musashino Bank, Ltd.
Kansai Mirai Bank, Limited

Balance(million y en)

2,000
2,000
1,500
1,500
1,500
1,500
3,000
2,000
500
1,000
1,000
1,000
1,000
1,000
1,000
1,700
3,500
1,000
1,900
25,600
500
1,000
2,500
1,500
2,000
1,500
1,000
2,000
200
1,500
3,000
2,000
1,500
3,000
2,000
2,550
1,500
1,000
2,000
500
2,000
5,000
500
500
1,500

Interest
Type

Float

Interest Rate(%)

T+0.250%

BorrowingDate

Due date

22/12/30

23/12/29

Fixed
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed

0.450%
0.450%
L+0.325%0.450%
0.441%
0.450%
0.450%
0.403%
0.403%
0.391%
0.391%
0.378%
0.378%
0.387%
0.437%
0.313%
0.146%

15/5/1
15/5/1
15/5/1
15/5/1
15/5/1
15/5/29
15/5/29
15/9/1115/9/11
16/3/29
16/3/29
16/3/29
16/3/29
17/5/10
17/5/22
18/7/31
21/3/31

23/11/30
23/11/30
23/11/30
23/11/30
24/5/31
23/11/30
23/11/30
24/2/29
24/2/29
23/8/31
23/8/31
24/2/29
24/2/29
23/11/30
24/5/31
23/7/31
24/3/29

Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed

0.440%
0.440%
0.415%
0.415%
0.421%
0.460%
0.460%
0.421%
0.579%
0.450%
0.477%
0.410%
0.410%
0.452%
0.452%
0.457%
0.513%
0.513%
0.498%
0.489%
0.482%
0.436%
0.335%
0.457%
0.376%

15/8/31
15/9/11
16/3/29
16/3/29
16/5/26
16/5/26
16/5/26
16/5/31
16/5/31
16/8/31
17/5/22
17/5/31
17/5/31
17/5/31
17/5/31
17/8/31
17/8/31
17/8/31
17/11/30
17/11/30
17/11/30
18/2/28
18/5/31
18/5/31
18/8/31

24/8/30
24/8/30
24/8/30
24/8/30
24/11/29
25/5/30
25/5/30
24/11/29
26/5/29
26/8/31
24/11/29
25/5/30
25/5/30
25/11/28
25/11/28
25/5/30
26/8/31
26/8/31
25/5/30
25/11/28
26/5/29
26/2/27
25/5/30
26/5/29
25/8/31

Term

LenderThe Bank of Fukuoka, Ltd.
Development Bank of Japan Inc.
Sumitomo Mitsui Trust Bank, Limited (*)

Mizuho Trust and Banking Co., Ltd.
Sumitomo Mitsui Banking Corporation

MUFG Bank, Ltd.
Mizuho Bank, Ltd.
The Gunma Bank, Ltd.
The Bank of Fukuoka, Ltd.
MUFG Bank, Ltd.
The Norinchukin Bank
The Hyakugo Bank, Ltd.
The Musashino Bank, Ltd.
The Yamanashi Chuo Bank, Ltd.
Kansai Mirai Bank, Limited
MUFG Bank, Ltd. (*)
Resona Bank, Limited (*)

Long-term Loans payable

Term

Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)

Development Bank of Japan Inc.
Sumitomo Mitsui Trust Bank, Limited (*)

The 77 Bank, Ltd. (*)
The Norinchukin Bank
Resona Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)

MUFG Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

MUFG Bank, Ltd. (*)
Kansai Mirai Bank, Limited
The Musashino Bank, Ltd.
Mizuho Trust and Banking Co., Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

SBI Shinsei Bank, Limited (*)
Development Bank of Japan Inc.
Sumitomo Mitsui Trust Bank, Limited (*)

Momiji Bank,Ltd.
Mizuho Bank, Ltd. (*)
Mizuho Bank, Ltd. (*)
Mizuho Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

Resona Bank, Limited (*)
The 77 Bank, Ltd. (*)
SBI Shinsei Bank, Limited (*)

Balance(million y en)

2,000
1,000
1,000
4,000
3,000
1,000
1,000
1,000
3,000
2,000
2,000
1,000
500
1,000
1,500
1,000
2,000
1,300
1,200
1,000
1,500
1,000
1,000
2,000
1,000
3,000
2,000
1,600
1,500
2,000
1,000
3,000
2,000
2,000
1,000
1,000
1,000
2,000
2,000
2,000
1,500
2,400
2,000
1,000
1,000

Interest
Type

Float
Fixed
Fixed
Float
Float
Float
Float
Float
Float
Float
Fixed
Fixed
Float
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed

Interest Rate(%)

T+0.350%
0.679%
0.472%
T+0.350%
T+0.350%
T+0.350%
T+0.350%
T+0.225%
T+0.350%
T+0.350%0.304%
0.304%
T+0.300%
0.540%
T+0.250%0.320%
0.472%
0.208%
0.322%
0.450%
0.209%
0.319%
0.350%
0.416%
0.211%
0.322%
0.322%
0.326%
0.326%
0.487%
0.487%
0.297%
0.400%
0.400%
0.350%
0.416%
0.546%
0.279%
0.356%
0.436%
0.436%
0.481%
0.481%
0.552%
0.483%

BorrowingDate

18/8/31
18/8/31
18/10/30
18/10/30
18/10/30
18/10/30
18/10/30
19/3/29
19/3/29
19/3/29
19/5/31
19/5/31
19/5/31
19/5/31
19/8/30
19/8/30
19/9/30
19/11/29
19/11/29
19/11/29
20/2/28
20/2/28
20/2/28
20/2/28
20/5/29
20/5/29
20/5/29
20/8/31
20/8/31
20/8/31
20/8/31
20/11/30
20/11/30
20/11/30
20/11/30
21/2/26
21/2/26
21/3/31
21/3/31
21/3/31
21/3/31
21/3/31
21/3/31
21/5/31
21/8/31

Due date

27/8/31
27/8/31
26/10/30
27/10/29
27/10/29
27/10/29
27/10/29
26/3/31
28/3/31
28/3/31
26/5/29
26/5/29
27/5/31
29/5/31
26/8/31
26/8/31
29/9/28
24/11/29
26/11/30
28/11/30
25/2/28
27/2/26
28/2/29
29/2/28
25/5/30
27/5/31
27/5/31
27/8/31
27/8/31
30/8/30
30/8/30
27/5/31
28/11/30
28/11/30
28/11/30
29/2/28
31/2/28
26/3/31
27/3/31
28/3/31
28/3/3130/3/29
30/3/29
31/5/30
30/8/30(Note) Fixed Interest Rate and Floating Interest Rate are rounded to the third decimal place.
** Interest rates that were changed from a floating rate to a fixed rate by concluding the swap agreement are described as fixed interest rates.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

46

Status of Interest-Bearing Liabilities (2) (as of May 31, 2023)
Borrowings
Term

LenderSumitomo Mitsui Banking Corporation

Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation

MUFG Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited
Sumitomo Mitsui Banking Corporation

MUFG Bank, Ltd.
SBI Shinsei Bank, Limited
Sumitomo Mitsui Banking Corporation

The Gunma Bank, Ltd.
Development Bank of Japan Inc.
Development Bank of Japan Inc.
MUFG Bank, Ltd.
Sumitomo Mitsui Banking Corporation

Long-term Loans payable

MUFG Bank, Ltd.
Mizuho Bank, Ltd.
SBI Shinsei Bank, Limited
Sumitomo Mitsui Banking Corporation

MUFG Bank, Ltd.
Nishi-Nippon City Bank, Ltd.
Nippon Life Insurance Company
SBI Shinsei Bank, Limited
The 77 Bank, Ltd.
Tokio Marine & Nichido Fire Insurance Co., Ltd.

Sumitomo Mitsui Trust Bank, Limited
Resona Bank, Limited
Sumitomo Mitsui Banking Corporation

Taiyo Life Insurance Company
Mizuho Bank, Ltd.
Mizuho Bank, Ltd.
Sumitomo Mitsui Banking Corporation

MUFG Bank, Ltd.
Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation

Mizuho Bank, Ltd.
Resona Bank, Limited
SBI Shinsei Bank, Limited
The Bank of Fukuoka, Ltd.
Sumitomo Mitsui Banking Corporation

SBI Shinsei Bank, Limited
Total long-term Loans payable
Total Loans payable

Balance(million y en)

1,500
1,000
2,000
1,000
1,000
1,000
950
500
1,000
1,000
2,000
1,500
1,000
2,000
1,000
1,500
1,000
3,400
1,000
2,000
1,300
1,000
1,000
1,000
1,000
1,500
1,000
300
1,000
1,500
4,000
1,000
1,500
1,500
1,000
2,500
1,500
1,500
2,500
1,000
171,200
198,800

Interest
Type

Float
Fixed
Float
Float
Float
Float
Float
Float
Float
Float
Fixed
Fixed
Float
Float
Float
Float
Float
Float
Float
Float
Fixed
Float
Float
Fixed
Float
Float
Float
Fixed
Float
Float
Float
Float
Fixed
Float
Float
Float
Float
Float
Float
Float

Investment Corporation Bonds
Interest Rate(%)

T+0.350%0.470%
T+0.375%
T+0.375%
T+0.200%
T+0.250%
T+0.250%
T+0.250%
T+0.300%
T+0.325%
0.431%
0.547%
T+0.300%
T+0.313%
T+0.338%
T+0.350%
T+0.350%
T+0.375%
T+0.375%
T+0.300%
0.634%
T+0.300%
T+0.300%
0.615%
T+0.250%
T+0.300%
T+0.300%
0.754%
T+0.313%
T+0.350%
T+0.375%
T+0.375%
0.889%
T+0.300%
T+0.300%
T+0.350%
T+0.350%
T+0.350%
T+0.375%
T+0.375%

BorrowingDate

21/11/30
21/11/30
21/11/30
21/11/30
22/1/31
22/1/31
22/1/31
22/1/31
22/2/28
22/2/28
22/3/31
22/5/31
22/5/31
22/5/31
22/5/31
22/5/31
22/5/31
22/5/31
22/5/31
22/8/31
22/8/31
22/8/31
22/8/31
22/11/30
22/11/30
22/11/30
22/11/30
22/11/30
22/11/30
22/11/30
22/11/30
22/11/30
23/2/28
23/2/28
23/2/28
23/2/28
23/5/31
23/5/31
23/5/31
23/5/31

Due date

Issuance

29/11/30
29/11/30
30/5/31
30/5/31
24/9/30
25/1/31
25/1/31
25/1/31
29/2/28
29/8/31
28/3/31
28/5/31
29/5/31
29/8/31
30/2/28
30/5/31
30/5/31
30/11/29
30/11/29
29/8/31
29/8/31
29/8/31
29/8/31
27/11/30
28/11/30
29/11/30
29/11/30
29/11/30
30/2/28
30/11/29
31/5/30
31/5/30
29/2/28
30/2/28
30/2/28
31/2/28
31/5/30
31/5/30
31/11/28
31/11/28

No. 4 Unsecured Investment Corporation Bond
No. 5 Unsecured Investment Corporation BondNo. 6 Unsecured Investment Corporation BondNo. 7 Unsecured Investment Corporation BondNo. 8 Unsecured Investment Corporation Bond

Total investment corporation bonds

Balance(million y en)

2,100
1,700
1,300
1,500
2,400
9,000

Interest
Type

Fixed
Fixed
Fixed
Fixed
Fixed

Interest Rate(%)

1.000%
0.220%
0.660%
0.310%
0.600%

Issuance dateDue date

14/9/12
19/9/12
19/9/12
20/9/11
20/9/11

24/9/12
24/9/1231/9/1225/9/1130/9/11

Commitment line
Commitment line provider
Daiwa Next Bank, Ltd.
Daiwa Next Bank, Ltd.

Maximum loan amount(million yen)

Term of the Agreement

3,000

From January 31, 2022 to July 31, 2023

2,500

From March 31, 2023 to January 31, 2024

(Note) Fixed Interest Rate and Floating Interest Rate are rounded to the third decimal place.
* Interest rates that were changed from a floating rate to a fixed rate by concluding the swap agreement are described as fixed interest rates.

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

47

Analysis of Tenants
Major Tenants (Top 10)

Breakdown of Industries (Note 1) of Tenants (Note 2) (%)% of Total
Leased Area

Property Name

Not disclosed (Note 1)

Daiwa Sasazuka Tower

7,135.30

2.0%

Other Finance
3.0%

Not disclosed (Note 1)

Daiwa Kitahama

6,189.96

1.7%

Insurance
3.2%

1.7%

Foods
3.8%

5,985.08

1.7%

Electric Device
4.5%

5,899.11

1.6%

Tenant Name

Tokio Marine & Nichido Life
Insurance Co., Ltd.

Daiwa Ogikubo Tower

Palsystem Consumers' Co-operative
Union

LAQUAS Higashi Shinjuku

Not disclosed (Note 1)

Daiwa Kayabacho Building

Kirin Brewery Company, Ltd.

Kirin Nihonbashi Building

6,058.41

5,630.17(Note 2)

1.6%

INES Corporation

Daiwa Harumi

4,770.20

1.3%

Mitsubishi UFJ NICOS Co., Ltd.

Daiwa Kitahama

4,515.35

1.2%

Not disclosed (Note 1)

Daiwa Sasazuka Tower

4,226.34

1.2%

WeWork Japan G.K.

Daiwa Harumi

3,845.14

1.1%

54,255.06

15.5%

Total

Services
22.9%

Other
15.9%

Leased Area
(m2)

Information &Communication
21.3%
Information
Services

11.6%

Visual/Voice
Information Production

Construction
5.2%

3.8%

Internet-related
Services

Wholesale
5.4%
Real Estate
7.3%

3.5%

Communications
Broadcast

Retail Trade
7.4%

2.1%

0.3%

(As of May 31, 2023)(Note 1) Industries are categorized and prepared by the Investment Corporation according to TSE’s 33 industry groups.
(Note 2) The categories in the Information & Communication industry are created/prepared by the Investment
Corporation in accordance with the Japan Standard Industry Classification of the Ministry of Internal Affairs andCommunications.
(Note 3) The ratio is rounded to the first decimal place.

(Note 1) Not disclosed due to tenant's request.
(Note 2) Rounded down to the first decimal place.

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

48

Appraisal Value Compared With the Previous Fiscal Period (1)(Unit: Million Yen)
Appraisal Value

Property Name

Compared to End of 34th Period

End of 34th Period End of 35th Period

DifferenceBook Value
End of 34th Period

ChangeCompared to Book Value at End of
35th Period
Difference

Cap Rate
Acquisition Price
End of 34th Period

ChangeEnd of 35th Period

16,30016,200

-100

-0.6%

12,707+3,492

27.5%

14,100

3.4%

3.4%

Daiwa Ginza Annex

3,410

3,410

-

-

2,764

+645

23.4%

3,050

3.5%

3.5%

Daiwa Shibaura

8,600

8,640

+40

+0.5%

7,952

+687

8.6%

8,265

3.8%

3.8%

Daiwa Sarugakucho

4,360

4,350

-10

-0.2%

3,036

+1,313

43.3%

3,190

4.1%

4.1%

Daiwa A Hamamatsucho

3,980

3,980

-

-

2,658

+1,321

49.7%

2,865

3.6%

3.6%

Daiwa Jingumae

3,260

3,260

-

-

2,636

+623

23.6%

2,800

3.5%

3.5%

Daiwa Shibadaimon

4,140

4,140

-

-

2,318

+1,821

78.5%

2,578

3.4%

3.4%

Daiwa Misakicho

3,170

3,170

-

-

2,067

+1,102

53.3%

2,346

3.7%

3.7%

Daiwa Tsukijiekimae

2,420

2,420

-

-

1,198

+1,221101.9%

1,560

3.9%

3.9%

Daiwa Tsukiji

1,820

1,820

-

-

1,148

+671

58.5%

1,240

3.7%

3.7%

11,00011,000

-

-

6,406

+4,593

71.7%

7,840

3.9%

3.9%

Daiwa Nihonbashi Horidomecho

3,080

3,120

+40

+1.3%

2,324

+795

34.2%

2,520

3.7%

3.8%

Daiwa Azabudai

2,010

2,010

-

-

1,470

+539

36.7%

1,600

3.7%

3.7%

64,70064,700--62,834+1,865

3.0%

66,9003.0%

3.0%

Daiwa Ginza

Daiwa Tsukishima

Shinjuku Maynds Tower
Daiwa Kodemmacho

2,460

2,460

-

-

2,349

+110

4.7%

2,460

3.9%

3.9%

Daiwa Nishishimbashi

7,380

7,380

-

-

4,510

+2,869

63.6%

5,000

3.4%

3.4%

Daiwa Kayabacho Building

8,530

8,530

-

-

5,025

+3,504

69.7%

5,600

3.2%

3.2%

Daiwa Jinbocho 3-chome

5,440

5,440

-

-

3,179

+2,260

71.1%

3,550

3.2%

3.2%

39,00038,700

-300

-0.8%

23,279+15,42066.2%

24,000

2.8%

2.8%

2,810

2,810

-

-

1,462

+1,347

92.1%

1,721

3.8%

3.8%

shinyon curumu

17,20017,200

-

-

9,376

+7,823

83.4%

9,650

3.1%

3.1%

Daiwa Akasaka

15,80015,900

+100

+0.6%

9,939

+5,960

60.0%

9,200

3.1%

3.1%

Daiwa Shibuya Miyamasuzaka

13,90013,500

-400

-2.9%

7,174

+6,325

88.2%

7,000

3.1%

3.1%

Daiwa Azabu Terrace

19,00018,900

-100

-0.5%

13,632+5,26738.6%

14,0003.3%

3.3%

Daiwa Ebisu 4-chome

6,620

6,620

-

-

4,127

+2,492

60.4%

4,135

3.5%

3.5%

LAQUAS Higashi Shinjuku

11,60011,600

-

-

8,194

+3,405

41.6%

8,450

3.2%

3.2%

Daiwa Aoyama

12,70012,600

-100

-0.8%

9,912

+2,687

27.1%

9,800

3.1%

3.1%

Daiwa Shibuya Shinsen

6,550

6,550

-

-

4,915

+1,634

33.3%

4,800

3.2%

3.2%

Daiwa Shibuya Square

23,20023,100

-100

-0.4%

15,835+7,26445.9%

16,000

3.1%

3.1%

Daiwa River Gate

35,90035,900--27,481+8,41830.6%

28,000

3.4%

3.4%

3,420

3,420

-

-

2,879

+540

18.8%

2,871

3.3%

3.3%

E SPACE TOWER
Daiwa Nihonbashi Hongokucho

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

49

Appraisal Value Compared With the Previous Fiscal Period (2)(Unit: Million Yen)
Appraisal Value

Property Name

Compared to End of 34th Period

End of 34th Period End of 35th Period

DifferenceBook Value

ChangeEnd of 34th Period

Compared to Book Value at End of
35th Period
Difference

Cap Rate
Acquisition Price
End of 34th Period

ChangeEnd of 35th Period

Daiwa Hatchobori ekimae West

2,030

2,030

-

-

1,699

+330

19.4%

1,647

3.4%

Daiwa Nishi-Shinjuku

18,10018,100--13,880+4,21930.4%

13,710

3.2%

3.2%

Kirin Nihonbashi Building

8,500

8,470

-30

-0.4%

8,255

+214

2.6%

8,180

3.5%

3.5%

Daiwa Higashi-Nihonbashi

7,360

7,360

-

-

6,163

+1,196

19.4%

6,370

3.7%

3.7%

Daiwa Daikanyama

3,800

3,800

-

-

2,341

+1,458

62.3%

2,280

3.0%

3.0%

Daiwa Shinjuku West

1,320

1,320

-

-

982

+337

34.4%

942

3.7%

3.7%

Daiwa Kanda Mikuracho Building

1,900

1,900

-

-

1,597

+302

18.9%

1,592

3.6%

3.6%

Daiwa Kanda East

5,900

5,900

-

-

4,172

+1,727

41.4%

4,200

3.2%

3.2%

Daiwa Kandasudacho

2,960

2,960

-

-

2,404

+555

23.1%

2,295

3.4%

3.4%

Daiwa Sasazuka Tower

16,20016,200--15,914+285

1.8%

15,500

3.8%

3.8%

3.4%

Daiwa Sasazuka

3,680

3,680

-

-

3,216

+463

14.4%

3,000

3.9%

3.9%

Daiwa Harumi

13,10013,100--11,084+2,01518.2%

11,2003.5%

3.5%

Daiwa Mita 2-Chome

4,330

4,310

-20

-0.5%

1,561

+2,748176.1%

2,635

3.5%

3.5%

Nihonbashi Central Square

3,920

3,940

+20

+0.5%

3,581

+358

10.0%

3,521

3.3%

3.3%

Daiwa Nihonbashi Bakurocho

6,730

6,940

+210

+3.1%

5,752

+1,187

20.6%

5,733

3.4%

3.4%
3.3%

Daiwa Kandabashi

2,110

2,110

-

-

2,040

+69

3.4%

1,970

3.3%

Kandasudacho 2-Chome Development Site

11,80012,000

+200

+1.7%

10,884+1,115

10.2%

10,600--Daiwa Higashi-Ikebukuro

4,420

4,330

-90

-2.0%

2,480

+1,849

74.6%

2,958

3.9%

4.0%

Daiwa Shinagawa North

6,370

6,340

-30

-0.5%

6,862

-522

-7.6%

7,710

4.0%

4.0%

Daiwa Kamiooka

2,970

2,920

-50

-1.7%

1,739

+1,180

67.9%

2,000

4.4%

4.4%

Daiwa Ogikubo Tower

23,40023,400--15,800+7,59948.1%

15,220

3.6%

3.6%

Daiwa Meguro Square

7,380

7,380

-

-

5,319

+2,060

38.7%

5,600

3.4%

3.4%

Daiwa Ogikubo

4,970

4,970

-

-

3,954

+1,015

25.7%

3,800

3.8%

3.8%

CONCURRED Yokohama

41,70041,700--37,399+4,30011.5%

38,100

4.1%

4.1%

Daiwa Shinagawa Gotenyama

2,890

2,890

-

-

2,615

+274

10.5%

2,500

3.9%

3.9%

Daiwa Nakano-Sakaue

2,700

2,680

-20

-0.7%

2,947

-267

-9.1%

2,750

3.9%

3.9%

13,600587,900

13,600587,160

-740

-0.1%

8,874
448,328+4,725+138,831

53.2%
31.0%

9,481
462,586

3.6%
-

3.6%
-

Daiwa Kitahama
Total (Note)(Note) Difference and change in “Compared to End of 34th Period” do not include the impact of the properties sold in the 35th Period.

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

50

Appraisal Value at End of Fiscal Period (1)Property Name

Appraisal Value at
End of 35th Period

Summary of Appraisal Report (End of 35th Period)
Direct Capitalization Method
Value

DCF Method

Cap Rate

Value

Discount Rate

Terminal Cap Rate

Integrated Value

16,20016,3003.4%

16,100

3.1%

3.6%

16,300Daiwa Ginza Annex

3,410

3,450

3.5%

3,370

3.1%

3.7%

4,270

Daiwa Shibaura

8,640

8,670

3.8%

8,630

3.6%

4.0%

7,580

Daiwa Sarugakucho

4,350

4,420

4.1%

4,270

3.9%

4.3%

1,940

Daiwa A Hamamatsucho

3,980

4,070

3.6%

3,940

3.4%

3.8%

2,460

Daiwa Jingumae

3,260

3,310

3.5%

3,210

3.3%

3.7%

3,080

Daiwa Shibadaimon

4,140

4,200

3.4%

4,120

3.2%

3.6%

2,300

Daiwa Misakicho

3,170

3,220

3.7%

3,150

3.5%

3.9%

1,920

Daiwa Tsukijiekimae

2,420

2,450

3.9%

2,400

3.9%

4.1%

2,240

Daiwa Tsukiji

1,820

1,830

3.7%

1,810

3.7%

3.9%

1,700

11,000

11,2003.9%

10,900

3.6%

4.1%

5,910

Daiwa Nihonbashi Horidomecho

3,120

3,180

3.8%

3,060

3.6%

4.0%

1,740

Daiwa Azabudai

2,010

2,040

3.7%

1,970

3.5%

3.9%

1,370

64,700157,000

3.0%

149,000

2.8%

3.2%

52,700Daiwa Kodemmacho

2,460

2,500

3.9%

2,410

3.7%

4.1%

1,300

Daiwa Nishishimbashi

7,380

7,530

3.4%

7,320

3.2%

3.6%

5,160

Daiwa Kayabacho Building

8,530

8,690

3.2%

8,460

3.0%

3.4%

6,850

Daiwa Jinbocho 3-chome

5,440

5,560

3.2%

5,390

3.0%

3.4%

4,200

38,70039,1002.8%

38,2002.6%

2.9%

34,400Daiwa Ginza

Daiwa Tsukishima

Shinjuku Maynds Tower (Note)

E SPACE TOWER

2,810

2,840

3.8%

2,790

3.6%

4.0%

1,740

shinyon curumu

17,20017,5003.1%

17,0002.9%

3.3%

16,500Daiwa Akasaka

15,90016,2003.1%

15,7002.9%

3.3%

14,700Daiwa Shibuya Miyamasuzaka

13,50013,6003.1%

13,4002.9%

3.2%

13,600Daiwa Azabu Terrace

18,90019,1003.3%

18,6003.1%

3.4%

16,900Daiwa Ebisu 4-chome

6,620

6,630

3.5%

6,610

3.6%

3.7%

5,160

LAQUAS Higashi Shinjuku

11,60012,0003.2%

11,4003.0%

3.4%

11,100Daiwa Aoyama

12,300Daiwa Nihonbashi Hongokucho

12,60012,9003.1%

12,400

2.9%

3.3%

Daiwa Shibuya Shinsen

6,550

6,790

3.2%

6,450

3.0%

3.4%

4,720

Daiwa Shibuya Square

23,10023,1003.1%

23,1002.9%

3.2%

19,900Daiwa River Gate

35,90036,1003.4%

35,600

3.2%

3.5%

33,500

3,420

3,500

3.3%

3,390

3.1%

3.5%

3,830

Daiwa Hatchobori ekimae(Note) For Shinjuku Maynds Tower, the appraisal value and integrated value are the values pertaining to the Investment Corporation’s ownership interest, and the value
indicated by the direct capitalization method and value indicated by the DCF method are the values pertaining to the entire property.

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

51

Appraisal Value at End of Fiscal Period (2)(Unit: Million Yen)
Property Name

Appraisal Value at
End of 34th Period

Summary of Appraisal Report (End of 35th Period)
Direct Capitalization Method
Value

DCF Method

Cap Rate

Value

Discount Rate

Terminal Cap Rate

Integrated Value

Daiwa Hatchobori ekimae West

2,030

2,090

3.4%

2,010

3.2%

3.6%

1,940

Daiwa Nishi-Shinjuku

18,10018,6003.2%

17,9003.0%

3.4%

17,000Kirin Nihonbashi Building

8,470

8,540

3.5%

8,390

3.3%

3.6%

7,440

Daiwa Higashi-Nihonbashi

7,360

7,510

3.7%

7,290

3.5%

3.9%

5,670

Daiwa Daikanyama

3,800

3,860

3.0%

3,770

3.0%

3.2%

3,480

Daiwa Shinjuku West

1,320

1,330

3.7%

1,310

3.5%

3.9%

1,010

Daiwa Kanda Mikuracho

1,900

1,930

3.6%

1,890

3.6%

3.8%

2,130

Daiwa Kanda East

5,900

5,960

3.2%

5,840

3.0%

3.3%

5,450

Daiwa Kandasudacho

2,960

2,970

3.4%

2,950

3.4%

3.6%

2,560

Daiwa Sasazuka Tower

16,20016,6003.8%

16,0003.6%

4.0%

15,200Daiwa Sasazuka

3,680

3,760

3.9%

3,640

3.7%

4.1%

2,800

Daiwa Harumi

13,10013,2003.5%

12,900

3.5%

3.7%

9,230

Daiwa Mita 2-Chome

4,310

4,360

3.5%

4,260

3.3%

3.6%

3,410

Nihonbashi Central Square

3,940

4,100

3.3%

3,870

3.1%

3.5%

1,910

Daiwa Nihonbashi Bakurocho

6,940

7,210

3.4%

6,830

3.2%

3.6%

6,270

2,110

2,170

3.3%

2,080

3.1%

3.5%

1,710

12,000

-

-

-

-

-

-

Daiwa Higashi-Ikebukuro

4,330

4,370

4.0%

4,310

3.8%

4.2%

2,450

Daiwa Shinagawa North

6,340

6,470

4.0%

6,200

3.8%

4.2%

4,740

Daiwa Kandabashi
Kandasudacho 2-Chome Development Site(Note)

Daiwa Kamiooka

2,920

2,940

4.4%

2,910

4.2%

4.6%

2,270

Daiwa Ogikubo Tower

23,40023,5003.6%

23,3003.4%

3.8%

15,700Daiwa Meguro Square

7,380

7,600

3.4%

7,290

3.2%

3.6%

7,160

Daiwa Ogikubo

4,970

5,030

3.8%

4,940

3.6%

4.0%

3,770

CONCURRED Yokohama

41,70042,700

4.1%

41,2003.9%

4.3%

34,000Daiwa Shinagawa Gotenyama

2,890

2,920

3.9%

2,870

3.7%

4.1%

2,610

Daiwa Nakano-Sakaue

2,680

2,800

3.9%

2,630

3.6%

4.1%

2,590

13,600587,160

13,700675,200

3.6%-

13,500654,230

3.4%
-

3.8%
-

14,500488,370

Daiwa Kitahama
Total(Note) Appraisal value of Kandabasudacho 2-Chome Development Site is the income approach value (development leasing-type.)This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

52

Change in Unrealized Gain/Loss of Portfolio(Billion Yen)(%)

Amount of unrealized gain/loss (left axis)

140

1,400

Ratio of unrealized gain/loss (right axis)
26.0

120

1,200

30.0

30.3

21.3

100
1,000

25.0

21.0
18.4

80
800
13.4

60
600

12.8
11.6

8.0

20.0

17.0
14.7
12.5

40
400
20
200

35.0
28.1
27.1
30.5 31.0
26.2

7.2

9.5

15.0

9.8

10.0

4.7

5.5

5.0

1.1

1.9

0

0.0

-200
-20

-2.2

-5.0
-10.0

35th FP

34th FP

33rd FP

32nd FP

31st FP

30th FP

29th FP

28th FP

27th FP

26th FP

25th FP

24th FP

23rd FP

22nd FP

21st FP

20th FP

19th FP

18th FP

17th FP

16th FP

15th FP-10.3
14th FP

13th FP

12th FP

11th FP

10th FP-11.4 -11.6 -11.0
9th FP

8th FP

7th FP

6th FP

5th FP

4th FP

3rd FP

2nd FP-11.0
1st FP

-600
-60

-10.3

-7.9

-400
-40

-4.9
-6.9

-3.8

-15.0

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

53

Portfolio Performance Summary (1)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa Ginza

Daiwa Ginza Annex

Daiwa Shibaura

Daiwa Sarugakucho

Daiwa A
Hamamatsucho

Daiwa Shibadaimon

Daiwa Jingumae

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

14,100
3,050
8,265
3,190
2,865
2,800
2,578
34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
12,74812,707
2,733
2,764
7,965
7,952
3,051
3,036
2,673
2,658
2,637
2,636
2,326
2,318
16,30016,200
3,410
3,410
8,600
8,640
4,360
4,350
3,980
3,980
3,260
3,260
4,140
4,140
99.2
99.2
100.0
100.0
89.8
89.8
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
7.2
7.2
9.0
9.0
6.1
6.1
6.0
6.0
7.0
7.0
7.5
7.5
7.4
7.4
Best Property
Best Property
XYMAX
Property Partners
Best Property
Best Property
Best Property
183
182
183
182
183
182
183
182
183
182
183
182
183
182
77,396
86,347
96,231 106,127
440,767 427,404
89,771
95,113 252,355 223,081 - (Note5) - (Note5) 138,189 139,352
77,396
86,347
96,231 106,127
440,767 427,404
89,771
95,113 250,123 219,809 - (Note5) - (Note5) 138,189 139,352
0
0
0
0
0
0
0
0
0
0
2,231
3,272 - (Note5) - (Note5)
62,202
61,922
17,10852,80525,184
26,914
123,836 122,819
28,18531,06870,75095,882 - (Note5) - (Note5)
8,133
8,117
2,728
2,854
7,619
5,166
22,68620,097
4,391
4,798
14,077
26,720 - (Note5) - (Note5)
11,49011,407
5,536
5,231
8,280
8,059
33,34232,0858,024
7,530
24,034
19,736 - (Note5) - (Note5)
1,994
2,168
1,263
1,301
1,468
1,594
6,521
6,429
1,361
1,429
3,763
3,258 - (Note5) - (Note5)
9,316
9,311
7,128
7,127
6,853
6,852
35,98835,984
11,916
11,91521,28921,291 - (Note5) - (Note5)
255
283
116
128
166
185
593
647
136
149
539
595 - (Note5) - (Note5)
1,611
1,234
328
36,153
796
5,056
6,900
9,772
1,357
5,243
7,046
24,260 - (Note5) - (Note5)
17,802
17,802996
0
0
20 - (Note5) - (Note5)
29,40029,40077
0
0316,931 304,584
61,58664,045 181,605 127,198
90,52678,36975,987
77,43060,28833,541
71,047
79,213
632,131 610,842 122,835 128,442 362,218 255,095 180,557 157,169 151,559 155,285 120,246
67,266 141,705 158,862
5.0%
4.8%
4.5%
4.6%
4.5%
3.2%
5.9%
5.2%
5.7%
5.8%
4.6%
2.6%
6.1%
6.9%
63,53644,941

9,682

8,677

37,50838,354 - (Note5) - (Note5)

15,14315,083

9,048

9,065

10,685

10,663

0

0

0

0

264

279 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

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

54

Portfolio Performance Summary (2)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa Misakicho

Daiwa Tsukijiekimae

Daiwa Tsukiji

Daiwa Nihonbashi
Horidomecho

Daiwa Tsukishima

Shinjuku Maynds
Tower

Daiwa Azabudai

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

1,600
66,900
2,346
1,560
1,240
7,840
2,520
34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
6,406
2,336
2,324
1,478
1,470
63,00562,834
2,067
1,203
1,198
1,087
1,148
6,460
2,077
3,170
3,170
2,420
2,420
1,820
1,820
11,00011,000
3,080
3,120
2,010
2,010
64,70064,700
78.5
100.0
93.4
95.1
100.0
100.0
100.0
89.6
100.0
100.0
78.5
100.0
100.0
100.0
4.6
4.6
6.3
6.6
6.6
6.5
7.9
7.9
6.3
7.2
7.2
6.7
6.7
6.5
Best Property
MS Building Support
XYMAX
Property Partners
Best Property
Best Property
XYMAX
182
183
182
182
183
183
182
183
183
182
183
182
183
182
57,274 1,276,082 1,268,052
89,49489,54857,848- (Note5) - (Note5)
70,89262,59452,42652,268 275,011 224,832
89,54856,99057,274 1,276,082 1,265,336- (Note5) - (Note5)
70,89262,59452,42652,268 275,011 224,832
89,494
0
0
0
0
0
0
0
0
857
0
0
2,715
- (Note5) - (Note5)- (Note5) - (Note5)
16,592
17,95012,84323,31048,18354,13422,997
48,733
13,567
13,879 388,471 397,966
2,669
86,496
79,960
8,495
8,414
5,445
3,562
2,723
4,012
2,325
2,440
- (Note5) - (Note5)
2,572
7,728
4,125
3,669 135,999 141,745
4,118
4,114
17,10815,0597,321- (Note5) - (Note5)
6,539
6,215
1,200
1,200
8,969
8,865
3,988
3,380
1,338
1,343
1,200
1,200
1,200
1,464
- (Note5) - (Note5)
7,160
7,159
5,208
5,207 137,869 137,860- (Note5) - (Note5)
5,371
5,371
4,226
4,226
15,362
15,362
103
115
2,585
2,914
94
407
448
179
198
- (Note5) - (Note5)
138
154
84
28,740207
1,017
15,941
24,962752
979
888
10,9682,821
11,4701,552- (Note5) - (Note5)- (Note5) - (Note5)
18
18
0
0
0
0
0
0
0
0
608
1,656
63,83356,78954,29944,64339,582
28,957 226,828 170,697
66,49640,81544,28043,394 887,611 870,085
127,319 113,890 108,302
89,532
78,94958,074 452,417 342,332 132,629
81,85588,31987,027 1,770,372 1,744,951
5.7%
3.5%
6.0%
5.9%
2.8%
2.8%
6.1%
5.5%
9.0%
7.5%
7.3%
5.1%
7.0%
5.3%
- (Note5) - (Note5)

14,02814,085

6,450

7,061

57,66857,53015,07814,731

8,232

8,378

202,233

197,232- (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

2,304

- (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

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

55

Portfolio Performance Summary (3)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa SHIBUYA

Daiwa Kodemmacho

EDGE(Note 5)

Daiwa

Nishishimbashi

Daiwa Kayabacho
Building

Daiwa

Daiwa Nihonbashi

E SPACE TOWER

Jinbocho 3-chome

Hongokucho

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

5,900
2,460
5,000
5,600
3,550
24,0001,721
34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
5,537
2,309
2,349
4,528
4,510
5,055
5,025
3,197
3,179
23,26323,279
1,476
1,462
5,490
2,460
2,460
7,380
7,380
8,530
8,530
5,440
5,440
39,00038,700
2,810
2,810
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
96.3
100.0
86.5
5.5
6.9
6.9
6.9
6.9
7.6
7.6
7.1
7.1
1.4
1.4
4.9
4.9
XYMAX
Property Partners
XYMAX
Property Partners MS Building Support
XYMAX
MS Building Support
183
20
183
182
183
182
183
182
183
182
183
182
183
182
120,385
14,852
61,82568,411 190,330 190,991 - (Note6) - (Note6) 126,540 124,133 816,919 810,982
78,062
77,46478,062
77,464
120,385
14,852
61,82568,411 189,790 190,991 - (Note6) - (Note6) 126,540 124,133 816,919 810,982
0
0
0
0
0
0
0
0
0
0
540
0 - (Note6) - (Note6)
32,92037,082 193,274 204,549
13,332
13,35625,304
11,69921,51928,82351,34250,881 - (Note6) - (Note6)
3,996
451
6,126
4,190
13,023
12,839 - (Note6) - (Note6)
6,480
8,467
42,60938,1112,245
2,241
12,87010,52975,60262,805
5,132
5,023
9,696
3,156
6,653
6,509
15,82914,562 - (Note6) - (Note6)
1,899
1,827
8,175
8,164
1,200
1,201
1,852
220
1,200
1,255
2,518
2,555 - (Note6) - (Note6)
8,358
7,853
3,936
3,935
16,617
16,617 - (Note6) - (Note6)
10,181
10,21164,16864,167
4,634
4,634
176
196
906
998
106
121
145
17
129
143
336
375 - (Note6) - (Note6)
1,312
5,850
1,740
30,186
13
133
1,255
0
2,651
11,9633,011
3,932 - (Note6) - (Note6)
0
0
822
822
6
0 - (Note6) - (Note6)
0
0
72
116
0
0
95,081
3,152
40,306
39,588 138,988 140,109 146,197 115,816
93,62087,051 623,644 606,432
64,73064,107
189,642
80,39379,393 277,216 280,989 291,596 232,268 186,729 174,580 1,243,880 1,216,196 129,107 128,568
3.4%
3.5%
3.4%
6.1%
6.2%
5.8%
4.6%
5.8%
5.5%
5.3%
5.2%
8.7%
8.8%
9,889

1,565

8,238

8,621

38,23039,089 - (Note6) - (Note6)

19,94919,98570,222

73,341

13,434

13,438

0

0

0

0

0

0 - (Note6) - (Note6)

0

0

0

0

0

0

0

0

0

0

0

0 - (Note6) - (Note6)

0

0

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Property sold in 35th FP
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it(Note 6) Not disclosed due to tenant's request.

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

56

Portfolio Performance Summary (4)Fiscal Period Ended May 2023 (35th FP Results by Property)
shinyon curumu

Daiwa Shibuya

Daiwa Akasaka

Daiwa Azabu Terrace

Miyamasuzaka

Daiwa Ebisu 4chome

LAQUAS Higashi

Daiwa Aoyama

Shinjuku

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

9,650
9,200
7,000
14,000
4,135
8,450
9,800
34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
9,413
9,376
9,998
9,939
7,201
7,174
13,684
13,632
4,144
4,127
8,228
8,194
9,929
9,912
17,20017,20015,80015,90013,90013,50019,00018,9006,620
6,620
11,60011,60012,70012,600
100.0
99.7
95.5
100.0
100.0
100.0
84.2
87.5
100.0
100.0
100.0
100.0
100.0
100.0
6.4
6.4
6.5
6.5
4.4
4.4
6.5
6.5
0.5
0.5
4.8
4.8
6.2
6.2
MS Building Support
XYMAX
Best Property
Best Property
MS Building Support ITOCHU Urban Community MS Building Support
183
182
183
182
183
182
183
182
183
182
183
182
183
182
387,311 379,833 300,621 338,628 322,820 300,641 455,803 390,371 - (Note5) - (Note5) 236,595 234,856 262,579 262,690
387,311 379,633 300,621 324,843 322,820 300,641 447,388 390,371 - (Note5) - (Note5) 236,595 234,856 262,579 262,690
0200
013,785008,415
0 - (Note5) - (Note5)0000104,895 109,392 122,992 114,193
65,531
68,217 117,031 158,605 - (Note5) - (Note5)
54,76854,50939,45540,771
9,280
9,313
9,945
9,655
25,79533,99339,391
32,762
13,322
16,521
26,01751,403 - (Note5) - (Note5)
33,471
30,042
33,46132,015
22,777
21,56349,44454,377 - (Note5) - (Note5)
18,59918,490
8,636
9,484
1,200
1,200
3,003
3,145
3,863
3,752
3,334
3,683
3,819
3,411
3,808
3,485 - (Note5) - (Note5)
21,58821,55916,30516,30538,941
38,96036,23336,23524,30624,326
34,57734,609 - (Note5) - (Note5)
416
459
212
230
448
495
575
635
421
470
823
917 - (Note5) - (Note5)
2,374
2,148
9,095
8,860
719
1,888
2,259
13,812 - (Note5) - (Note5)
3,526
3,328
1,352
1,949
0
0
900
0
164
36
99
0 - (Note5) - (Note5)
158
158
0
0
282,416 270,440 177,628 224,434 257,288 232,423 338,772 231,765 141,100 139,392 181,826 180,346 223,123 221,918
563,289 542,366 354,285 450,102 513,171 466,124 675,694 464,805 281,429 279,550 362,658 361,684 445,028 445,056
6.0%
5.8%
3.5%
4.5%
7.1%
6.5%
4.9%
3.4%
6.8%
6.8%
4.4%
4.4%
4.5%
4.5%
38,54939,03962,441

62,96027,247

26,56354,31954,446 - (Note5) - (Note5)

34,31334,57418,924

18,957

0

0

0

8,730

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

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

57

Portfolio Performance Summary (5)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa Shibuya

Daiwa Shibuya

ShinsenDaiwa Hatchobori

Daiwa River Gate

SquareDaiwa Hatchobori

ekimaeDaiwa NishiShinjuku

ekimae West

Kirin Nihonbashi
Building

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

4,800
16,00028,0002,871
1,647
13,7108,180
34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
8,250
8,255
4,915
15,73327,481
2,872
2,879
1,704
1,699
13,89013,880
4,931
15,83527,3018,500
35,900
3,420
3,420
2,030
2,030
18,10018,100
8,470
6,550
6,550
23,20023,10035,900
67.5
100.0
100.0
100.0
99.7
99.0
100.0
100.0
100.0
100.0
100.0
93.7
100.0
100.0
5.4
6.6
6.6
6.7
5.4
5.1
5.1
4.1
4.1
7.2
7.2
6.7
6.9
6.9
MS Building Support
XYMAX
Best Property
ITOCHU Urban Community ITOCHU Urban Community MS Building Support ITOCHU Urban Community
183
183
182
183
182
183
182
183
182
183
182
183
182
182
40,782
76,585 487,692 448,128 1,037,751 1,066,279
90,84591,58046,914
52,331 409,629 275,380 - (Note5) - (Note5)
90,84591,58046,914
52,331 409,629 275,380 - (Note5) - (Note5)
40,782
76,585 450,969 448,128 1,034,497 1,061,372
0036,723
0
3,253
4,907
0
0
0
0
0
0 - (Note5) - (Note5)
79,003 - (Note5) - (Note5)
54,42045,76893,550 106,364 298,509 368,787
27,18039,68912,80421,94382,84370,762
7,467
3,404
12,373
12,191 - (Note5) - (Note5)
38,62227,445
22,46020,43071,7749,644
3,600
19,591 - (Note5) - (Note5)
8,308
8,663
2,999
3,874
19,5163,231
5,440
28,681
23,855 105,541 108,293
1,200
1,200
5,423
4,749
10,621
10,668
1,276
1,282
1,200
1,200
2,676
2,055 - (Note5) - (Note5)
8,948
8,950
29,49929,510 103,084 103,083
9,459
9,460
4,411
4,411
40,65840,621 - (Note5) - (Note5)439
480 - (Note5) - (Note5)
566
2,428
2,726
177
196
91
101
165
181
515
2,253
2,550
6,969
27,251
6,070
72,119493
10,441
501
8,951
7,180
4,062 - (Note5) - (Note5)
0
0
0
0
0
0
0
0
120
0
0
0 - (Note5) - (Note5)
30,817 394,141 341,764 739,241 697,491
63,664-13,638
51,89034,11030,388 326,786 196,376 158,298 153,704-27,20261,803 786,130 685,406 1,474,443 1,398,816 126,980 104,066
68,03460,944 651,786 393,831 315,732 308,252
-0.6%
1.3%
5.0%
4.3%
5.4%
5.1%
4.4%
3.6%
4.0%
3.6%
4.7%
2.8%
3.8%
3.7%
15,902

16,775

26,67030,112

144,557

155,760

10,112

9,635

5,460

5,476

21,283

21,582 - (Note5) - (Note5)

0

0

0

0

279

370

0

0

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

0 - (Note5) - (Note5)

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023)..
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it(Note 5) Not disclosed due to tenant's request.

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

58

Portfolio Performance Summary (6)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa HigashiNihonbashi

Daiwa Daikanyama

Daiwa Shinjuku

Daiwa Kanda

West

Mikuracho Building

Daiwa Kanda East

Daiwa Kandasudacho

Daiwa Sasazuka
Tower

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

6,370
2,280
942
1,592
4,200
2,295
15,50034th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
6,191
6,163
2,344
2,341
984
982
1,601
1,597
4,176
4,172
2,372
2,404
15,947
15,914
7,360
7,360
3,800
3,800
1,320
1,320
1,900
1,900
5,900
5,900
2,960
2,960
16,20016,200
100.0
100.0
100.0
100.0
100.0
100.0
84.7
100.0
100.0
100.0
100.0
100.0
100.0
100.0
5.8
5.8
7.2
7.2
7.5
7.5
6.8
6.8
7.3
7.3
5.3
5.3
4.6
4.6
ITOCHU Urban Community
XYMAX
ITOCHU Urban Community
ITOCHU Urban Community MS Building Support Jones Lang LaSalleBest Property
183
182
183
182
183
182
183
182
183
182
183
182
183
182
181,154 180,739 - (Note5) - (Note5)
37,821
39,38450,08144,968 146,438 137,529
73,99360,837 487,773 498,068
181,154 180,739 - (Note5) - (Note5)
37,821
39,38447,54844,968 146,438 137,529
73,99360,837 487,773 498,068
0
0 - (Note5) - (Note5)
0
0
2,532
0
0
0
0
0
0
0
32,51137,297 - (Note5) - (Note5)
11,161
10,741
11,18013,67833,04135,587
15,67230,241 211,481 205,514
5,623
5,700 - (Note5) - (Note5)
2,101
2,167
3,107
5,794
9,694
9,757
4,379
12,15752,75848,661
12,501
15,096 - (Note5) - (Note5)
2,816
3,144
2,783
2,697
10,508
11,825
5,019
4,418
91,05789,284
1,811
1,807 - (Note5) - (Note5)
1,200
1,200
1,200
1,200
1,464
1,430
1,200
1,200
4,379
4,486
11,923
11,923 - (Note5) - (Note5)
3,227
3,227
3,624
3,624
10,57010,5694,669
4,672
55,66355,664285
315 - (Note5) - (Note5)
57
65
76
86
200
222
96
105
1,063
1,170
1,758
935
387
276
602
1,782
296
7,686
6,559
6,247
336
2,455 - (Note5) - (Note5)30
0 - (Note5) - (Note5)
0
0
0
0
0
0
11
0
0
0
148,643 143,442
65,39364,63726,65928,64338,901
31,289 113,396 101,941
58,32130,595 276,291 292,553
296,474 287,672 130,429 129,629
53,17457,44377,58962,751 226,174 204,443 116,324
61,359 551,072 586,714
4.8%
4.7%
5.6%
5.5%
5.4%
5.8%
4.8%
3.9%
5.4%
4.9%
4.9%
2.6%
3.5%
3.7%
28,43428,533 - (Note5) - (Note5)

2,419

2,428

5,517

5,547

16,04816,423

6,154

7,194

46,19043,5100

0 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

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

59

Portfolio Performance Summary (7)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa Sasazuka

Daiwa Harumi

Daiwa Mita 2-Chome

Nihonbashi Central
Square (Note 6)

Daiwa Nihonbashi

Kandasudacho 2-Chome

Daiwa Kandabashi

Bakurocho

Development Site (land)(Note7)

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

QR Code3,000
11,200
2,635
3,521
5,733
1,970
10,60034th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
3,219
3,216
11,116
11,084
1,565
1,561
3,589
3,581
5,794
5,752
2,042
2,040
10,884
10,884
3,680
3,680
13,10013,100
4,330
4,310
3,920
3,940
6,730
6,940
2,110
2,110
11,80012,000
100.0
100.0
100.0
100.0
100.0
100.0
85.6
100.0
87.4
98.0
100.0
100.0
6.4
6.4
2.6
2.6
5.5
5.5
6.4
6.4
4.8
4.8
6.5
6.5
ITOCHU Urban Community
Best Property
Best Property
Best Property
XYMAXBest Property
183
182
183
182
183
182
183
182
183
182
183
182
183
182
100,472 104,804 371,195 365,631 - (Note5) - (Note5)
84,622
79,214
113
25,15939,23544,99700100,472 104,804 371,195 365,631 - (Note5) - (Note5)
84,622
79,214
113
25,15939,23544,727000
0
00 - (Note5) - (Note5)
0
0
0
0
0
270
0
0
33,56541,515 111,944 117,637 - (Note5) - (Note5)
18,42821,2504,080
20,695
11,066
15,871
0
0
6,407
7,564
27,89527,849 - (Note5) - (Note5)
4,212
6,699
4,062
15,784
2,840
5,312
0
0
13,86813,002
29,67529,582 - (Note5) - (Note5)
7,091
6,024
0
2,567
3,058
3,081
0
0
1,508
1,576
3,705
3,656 - (Note5) - (Note5)
1,087
1,071
6
1,200
1,200
1,200
0
0
5,867
5,868
11
888
3,159
3,160
0
0
9,160
9,156
27,86827,835 - (Note5) - (Note5)
102
113
1
202
55
62
0
0
196
215
602
664 - (Note5) - (Note5)
47
1,456
0
53
614
2,916
0
0
2,424
10,0001,659
7,622 - (Note5) - (Note5)0020,53820,426 - (Note5) - (Note5)
18
18
0
0
139
138
0
0
66,90663,288 259,250 247,994
78,84066,156
66,19457,963-3,966
4,464
28,16829,12500133,447 126,925 517,085 497,351 157,250 132,675 132,026 116,245-7,911
8,952
56,18358,411
0
0
4.1%
3.9%
4.7%
4.5%
10.0%
8.5%
3.7%
3.2%
-0.1%
0.2%
2.8%
2.9%
0.0%
0.0%
11,952

12,90936,21736,333 - (Note5) - (Note5)

8,446

8,446

4,655

27,783

3,943

3,990

0

0

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

0

0

0

0 - (Note5) - (Note5)

0

0

0

0

0

0

0

0

-

-

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.
(Note 6) Of the rent revenue, the ratio of the Investment Corporation’s ownership interest for revenues (rent, etc.) pertaining to the master lease business is 60.99% based on the agreement, etc. among the compartmentalized co-owners. The
occupancy rate indicates the figure for the area subject to the master lease business.
Thisdocument
is notmaterial
disclosedin compliancewithonthe
Instruments
and Exchange
Actdiffer
or anyregulationof similar nature, nor is it(Note 7) We are planning the development of office buildings on the property.
The
external view
is anarchitecturalrenderingprepared based
the Financial
expected building
after development
and may
fromthe actual building.

intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

60

Portfolio Performance Summary (8)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa Higashi-Daiwa Shinagawa

Ikebukuro

Daiwa Ogikubo

Daiwa Kamiooka

North

Daiwa Meguro

Tower

CONCURRED

Daiwa Ogikubo

SquareYokohama

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

2,958
7,710
2,000
15,2205,600
3,800
38,10034th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
2,488
2,480
6,895
6,862
1,756
1,739
15,93015,800
5,340
5,319
3,961
3,954
37,47837,399
4,420
4,330
6,370
6,340
2,970
2,920
23,40023,400
7,380
7,380
4,970
4,970
41,70041,700
89.7
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
96.7
100.0
100.0
100.0
98.1
4.5
4.5
6.1
6.1
8.6
8.6
2.6
2.6
4.1
4.1
7.5
7.5
1.8
1.8
ITOCHU Urban Community Jones Lang LaSalleBest Property
Best Property
XYMAX
XYMAX
XYMAX
183
182
183
182
183
182
183
182
183
182
183
182
183
182
125,846 130,020 201,036 204,747
92,68293,805 676,260 675,299 164,071 156,029 131,217 127,551 1,052,219 1,064,892
125,846 130,020 201,036 204,747
92,68293,805 676,260 675,299 164,071 156,029 131,217 127,551 1,052,219 1,064,892
0
0
0
0
0
0
0
0
0
0
0
0
0
0
36,694
48,474
63,10982,39325,15026,625 179,694 205,141
37,19939,85528,68827,262 227,419 262,886
9,790
15,442
16,302
14,1644,503
4,516
45,967
48,572
10,355
12,5299,553
8,678
49,43254,07815,306
17,65321,64020,575
12,455
11,68076,45089,396
10,1469,970
6,282
7,121 107,122 132,442
1,878
1,956
3,009
3,093
1,299
1,205
7,491
7,257
2,154
1,946
1,435
1,414
6,303
6,315
8,447
8,439
19,167
19,1666,415
6,415
44,46744,467
14,072
14,0658,414
8,414
58,53159,304
310
346
458
512
160
178
1,171
1,306
231
256
198
225
936
786
960
4,635
2,532
24,881
315
2,629
3,966
13,960
239
1,087
2,795
1,407
5,092
9,674
0
0
0
0
0
0
180
180
0
0
8
0
0
285
89,15281,545 137,926 122,354
67,532
67,180 496,565 470,158 126,871 116,174 102,528 100,289 824,800 802,005
177,817 163,539 275,100 245,380 134,696 134,729 990,417 942,900 253,049 232,987 204,497 201,129 1,645,093 1,608,418
7.1%
6.6%
4.0%
3.6%
7.7%
7.7%
6.2%
6.0%
4.7%
4.4%
5.2%
5.1%
4.4%
4.3%
25,07921,64536,55333,705

18,217

18,387

131,973

132,919

23,72023,76312,093

12,248

118,684

119,684

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
.

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

61

Portfolio Performance Summary (9)Fiscal Period Ended May 2023 (35th FP Results by Property)
Daiwa Shinagawa
Gotenyama

Daiwa NakanoSakaue

Daiwa Kitahama

Total(Note 5)

Property Name

Acquisition Price (million yen)Book Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)

Profits from property-related activities (Note 2)

Property Management Company
Number of operating days
(1) Property-related Revenues (thousand yen)

Rent (incl. common service fees)
Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses
Other Expenses(3) NOI (=(1)-(2)) (thousand yen)
Annualized NOI (thousand yen)

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration andRepair Work (thousand yen)
Proceeds from Amortization of
Leasehold and Security Deposits(thousand yen)

2,500
2,750
9,481
468,486 462,586
34th FP 35th FP 34th FP 35th FP 34th FP 35th FP 34th FP 35th FP
2,614
2,615
2,952
2,947
8,868
8,874 454,561 448,328
2,890
2,890
2,700
2,680
13,60013,600 593,390 587,160
100.0
100.0
100.0
100.0
100.0
100.0
97.4
97.7
7.3
7.3
6.8
6.8
1.5
1.5
3.4
3.4
Best Property
MS Building Support
Best Property
183
182
183
182
183
182
183
182
79,547
81,98969,65876,213 414,326 405,808 13,891,267 13,531,319
79,547
79,59469,65876,213 414,326 405,808 13,836,714 13,503,773
0
2,395
0
0
0
0
54,55327,545
18,16818,553
21,40083,251 111,429 119,520 3,662,118 4,187,647
4,014
3,440
5,964
12,396
21,25724,097 869,777 925,825
4,473
5,035
6,321
7,372
46,90448,541 1,263,217 1,288,850
1,212
1,238
1,200
1,199
6,214
6,087 154,254 151,055
5,660
5,657
7,221
7,253
35,26835,288 1,149,657 1,150,420
122
134
166
182
811
900
22,42524,719
2,686
3,047
513
54,834919
4,551 130,738 575,184
0
0
12
12
53
53
72,046
71,591
61,37863,43648,257-7,037 302,896 286,288 10,229,148 9,343,671
122,422 127,221
96,251 -14,114 604,137 574,149 20,402,400 18,732,359
4.7%
4.9%
3.3%
-0.5%
6.8%
6.5%
4.6%
4.3%
5,334

6,004

11,69910,91857,44358,572 1,788,657 1,797,518

0

0

0

0

0

0

543

11,683

0

0

0

0

0

0

0

0

QR Code(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 35th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (June 2023).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Annualized NOI and NOI yield for the 34th FP and 35th FP do not include Kandasudacho 2-Chome Development Site (land). Annualized NOI and NOI yield for the 35th FP do not include Daiwa SHIBUYA EDGE.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
The portfolio total of (2) Property-related Expenses in the table does
not include
relatedoftosolicitation.
an investment
corporation.
intendedfor expenses
the purposes
Daiwa
Office Investment Corporation advises readers to make investment decisions at their own judgment.

62

Formulation of Sustainability Policy
Formulation of Sustainability Policy
The Daiwa Securities Group has set forth the Vision 2030 management vision, aiming to achieve the SDGs by creating a mechanism to circulate funds, under the core concept of “From savings
to SDGs.” Daiwa Real Estate Asset Management Co. Ltd., as a member of this Group, will incorporate ESG considerations into its asset management operations for alternative assets such asreal estate. It has formulated the Sustainability Policy and will promote the following initiatives to enhance the medium- to long-term value of the investment corporations and funds for which it isentrusted with asset management.
Based on the Sustainability Policy set forth by the Asset Manager, the Investment Corporation will take actions for sustainability in order to achieve a sustainable society.

Sustainability Policy<Initiatives for Environmental Management and Reduction of Environmental Impact>
1.Promoting Resource and Energy Conservation
We will continue to promote the reduction of greenhouse gas emissions in order to mitigate climate change and achieve our goal of a decarbonized society with net-zero emissions. In addition,
we will strive to strengthen the resilience of managed properties against natural disasters.
2.Contributing to a Recycling-Oriented Society
We will work to reduce, reuse and recycle water, waste and other elements.
3.Considering Biodiversity and Working to Conserve Ecosystems
We will strive to manage our business in a way that is mindful of environmental protection, manage tree planting that is considerate of harmony with the surrounding environment and practicegreen procurement to reduce the environmental impact of society as a whole, including our entire supply chain.
<Initiatives for Social Issues>
4.Respecting Human Rights
We will further strengthen our human rights education and awareness efforts to further enhance our corporate culture, which is based on respect for human rights.
5.Cultivating Human Resources and Creating Rewarding Workplaces
We focus on human resource development, which is the source of our competitiveness, and are enhancing our training programs. In particular, we will strengthen support for professional talent,
including assistance programs for acquiring qualifications.
6.Diversity, Equity and Inclusion
Through a high level of work-life balance facilitating success for diverse human resources, we will pursue harmony between our employees' professional and private lives, and aim to enhance
workplace environments so that both men and women can enjoy diverse work styles, while taking into consideration the health and comfort of executives and employees.
7.Coexistence and Collaboration Throughout the Supply Chain
By building partnerships with our suppliers and business partners, we aim to deepen their understanding of our initiatives for the environment and society, and to target the creation of asustainable society throughout our supply chain.
<Initiatives for Governance>
8.Establishing a Highly Transparent and Objective Corporate Governance Structure
We will maintain strict compliance with laws, regulations and internal rules, as well as ensure rigorous appropriate management of conflicts of interest and enhance our compliance system toincrease the value of the investment corporations and funds.
9.Fair, Timely and Appropriate Disclosure of Material Information
We are committed to disclosing information in a fair, timely and appropriate manner to promote understanding of our company among all stakeholders, including investors, business partners andsociety at large, and to earn an appropriate assessment and level of trust from these.We will also utilize external evaluations in the interest of transparency and comparability.
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

63

Overview of Asset Management Company (1) (As of July 1, 2023)
Company Overview
Company Name

Daiwa Real Estate Asset Management Co., Ltd.

Address

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

Established

October 21, 2004

Paid-in Capital

200 million yen

Representative Director

Yoshiki Nishigaki

Board of Directors

Executive directors: 6
Executive auditor: 110Non-executive director: 1
Non-executive auditors: 2

Number of Employees

118 (excluding dispatched employees)

Registered Financial
Instruments Firm

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

Building Lots and Buildings
Transaction Business License

License No. (4)-83920, Governor of Tokyo

Discretionary Agent for Real
Estate Transaction Approval

License No. 34, Minister of Land, Infrastructure,
Transport and Tourism

Association Membership

Member of The Investment Trusts Association,
Japan
Member of Japan Investment Advisers
Association
Member of Type II Financial Instruments Firms
Association

Directors
Chairman of the Board

Tomonori Tsuji

President and Representative Director

Yoshiki Nishigaki

Vice President and Representative Director

Yuji Shinotsuka

Vice President and Representative Director

Yukiko Takeuchi

Director

Hajime Imbe

Director

Tatsui Yanagisawa

Director (non-executive)

Satoru Shibasaki

AuditorYutaka Nishio

Auditor (non-executive)

Hiromasa Kawashima

Auditor (non-executive)

Takuya Numata

REITs That Entrust Asset Management
to the Asset Management Company
Daiwa Office
Investment Corporation

Listed REIT focusing on office buildings
Asset size: approximately 462.5 billion yen (58 properties)

Daiwa Securities Living
Investment Corporation

Listed residential REIT
Asset size: approximately 364.0 billion yen (249 properties)

Daiwa Residential Private
Investment Corporation

Private REIT focusing on residential properties
Asset size: approximately 167.1 billion yen (102 properties)

Daiwa Hotel Private
Investment Corporation

Private REIT focusing on hotels
Asset size: approximately 54.2 billion yen (13 properties)

Daiwa Securities Logistics
Private Investment
Corporation

Private REIT focusing on logistics facilities
Asset size: approximately 51.6 billion yen (9 properties)

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

64

Overview of Asset Management Company (2)Organization Chart
Shareholders’ Meeting
Corporate Auditors
Board of Directors
Compliance Committee
Compliance Officer

Investment Committee *Sustainability Promotion
Committee

President andRepresentative Director

Sustainability Promotion OfficeInternal Control OfficeAcquisition and AssetManagement Division
DOI Investment
Management
Department

DLI Investment
Management
Department

Private Fund Division

DHP・DLP
Investment
Management
Department

DRP Investment
Management
Department

Investment Planning
Department

Private FundManagement
Department

Corporate Division

REIT Planning
Department

Finance
Department

Administration
Department

DOI
Investment
Management TeamDLI
Investment
Management TeamDRP
Investment
Management TeamDHP
Investment
Management Team

InfrastructureManagement Team

Finance Team

Construction
Management TeamDLI
Portfolio System
Team

Construction
Management TeamDLP
Investment
Management Team

Infrastructure
Planning Team

Accounting Team

Construction
Management Team

Infrastructure
New Project Team

Construction
Management Team

Corporate Planning
Department

Compliance & Risk
Management
Department

Management Team
Overseas BusinessPreparation Team

* Set up separately for each investment corporation

Finance &Accounting Team（As of July 1, 2023）
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

65

Website Information
Sustainability Initiatives

DOI Website TOP

URL
https://www.daiwaoffice.co.jp/en/inde
x.html

URL
https://www.daiwaoffice.co.jp/en/esg/index.html

IR mail Delivery Service

Office VR TourYou can take a VR tour of thecommon and private areas ofeach of our properties.

URL
https://www.daiwaoffice.co.jp/en/portfolio/vrtour.html

This is a free service that sends notifications toregistered users via email when Daiwa Office
Investment Corporation posts news releases
and other information on its website.
Sign up for the latest updates!

URL
https://www.daiwaoffice.co.jp/en/mail/form/E02_regis
t.htmlThis document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

66