January 6, 2020
To All Concerned Parties
Real Estate Investment Trust Securities Issuer
1-1-21 Toranomon, Minato-ku, Tokyo
marimo Regional Revitalization REIT, Inc.
Representative: Takashi Kitagata, Executive Director(Securities Code: 3470)
Asset Manager
Marimo Asset Management Co., Ltd.
Representative: Takashi Kitagata, CEOContact:
Katsuhiro Shimada, Financial Management Officer
TEL: +81-3-6205-4755
Notice Concerning Revision of Operating and Dividend Forecasts for the Fiscal Period Ending June 2020,
and Operating and Dividend Forecasts for the Fiscal Period Ending December 2020
marimo Regional Revitalization REIT, Inc. (“marimo REIT”) announces the following revision of the operating anddividend forecasts for the fiscal period ending June 2020 (from January 1, 2020 to June 30, 2020) announced in “(REIT)
Financial Report for the Fiscal Period Ended June 2019” dated August 19, 2019. In addition, marimo REIT announces
the following outlook for operating and dividend forecasts for the fiscal period ending December 2020 (from July 1,2020 to December 31, 2020).
The operating and dividend forecasts for the fiscal period ended December 2019 (from July 1, 2019 to December 31,2019) remain unchanged.
1. Revision of Operating and Dividend Forecasts for the Fiscal Period Ending June 2020
(from January 1, 2020 to June 30, 2020)

Previous
forecasts(A)
Revisedforecasts(B)
Amount ofincrease(decrease)(B−A)
Rate ofincrease(decrease)

Dividends
per unit

Dividends
per unit(including
dividends in excessof earnings)(excluding
dividends inexcess of earnings)

Dividends
in excess ofearnings
per unit

384

3,400

2,902

498

million yen

million yen

yen

yen

yen

563

461

460

3,463

3,014

449

million yen

million yen

million yen

million yen

yen

yen

yen

156

93

76

76

63

112

(49)

million yen

million yen

million yen

million yen

yen

yen

yen

14.2%

20.0%

19.8%

19.8%

1.9%

3.9%

(9.8)%

Operatingrevenue

OperatingincomeOrdinary
income

1,100

469

385

million yen

million yen

1,257

Net
income(Reference) Fiscal period ending June 2020
Forecast number of investment units issued and outstanding at end of period: 152,680 units; Forecast net income per unit: 3,014 yen(Note 1) The revision of the operating and dividend forecasts for the fiscal period ending June 2020 is the revision at this point in time. Accordingly, theactual operating revenue, operating income, ordinary income, net income, dividends per unit and dividends in excess of earnings per unit mayvary. The forecasts above are not a guarantee of the amount of dividends per unit and dividends in excess of earnings per unit.
(Note 2) The forecasts above may be revised in the event a discrepancy above a certain level from the forecasts above is expected.
(Note 3) Monetary figures are rounded down to the nearest specified unit. Percentage figures are rounded to the first decimal place.

Disclaimer: This press release is a document for making a public announcement concerning revision of operating and dividend forecasts forthe fiscal period ending June 2020, and operating and dividend forecasts for the fiscal period ending December 2020 of marimo
REIT, and has not been prepared for the purpose of soliciting investment. Investors should ensure that they have read theprospectus for the issuance of new investment units and secondary offering of investment units, as well as any amendments
thereto, prepared by marimo REIT before investing and make investment decisions at their own discretion.

12. Operating and Dividend Forecasts for the Fiscal Period Ending December 2020
(from July 1, 2020 to December 31, 2020)

Fiscal period
ending Dec.
2020

Operatingrevenue

OperatingincomeOrdinary
income

1,275

574

470

million yen

million yen

million yen

Dividends per
unit

Dividends
per unit(including
dividends in excessof earnings)(excluding
dividends in excessof earnings)

Dividends
in excess ofearnings
per unit

469

3,507

3,074

433

million yen

yen

yen

yen

Net
income(Reference) Fiscal period ending December 2020
Forecast number of investment units issued and outstanding at end of period: 152,680 units; Forecast net income per unit: 3,074 yen(Note 1) The operating and dividend forecasts for the fiscal period ending December 2020 are the forecasts at this point in time. Accordingly, the actual
operating revenue, operating income, ordinary income, net income, dividends per unit and dividends in excess of earnings per unit may vary.
The forecasts above are not a guarantee of the amount of dividends per unit and dividends in excess of earnings per unit.
(Note 2) The forecasts above may be revised in the event a discrepancy above a certain level from the forecasts above is expected.
(Note 3) Monetary figures are rounded down to the nearest specified unit.

3. Reason for Revision and Announcement
marimo REIT is revising the operating and dividend forecasts for the fiscal period ending June 2020 (8th fiscal
period) announced in “(REIT) Financial Report for the Fiscal Period Ended June 2019” dated August 19, 2019,because the decisions on issuance of new investment units, acquisition of domestic real estate trust beneficiaryrights and borrowing of funds announced in “Notice Concerning Issuance of New Investment Units and Secondary
Offering of Investment Units,” “Notice Concerning Acquisition of Domestic Real Estate Trust Beneficiary Rights andAccompanying Commencement of Leasing” and “Notice Concerning Borrowing of Funds” dated today change theassumptions underlying the calculation of the operating and dividend forecasts and thereby result in an increaseof 10% or more being expected in the operating revenue forecast. In conjunction, marimo REIT is newly
announcing the operating and dividend forecasts for the fiscal period ending December 2020 (9th fiscal period).
As of today, the operating and dividend forecasts for the fiscal period ended December 2019 (7th fiscal period)
announced in “(REIT) Financial Report for the Fiscal Period Ended June 2019” dated August 19, 2019 remainunchanged.

* This material is distributed to the Kabuto Club (the press club of the Tokyo Stock Exchange), the press club of the
Ministry of Land, Infrastructure, Transport and Tourism, and the press club for construction trade publications of
the Ministry of Land, Infrastructure, Transport and Tourism* Website of marimo REIT: https://www.marimo-reit.co.jp/en/

Disclaimer: This press release is a document for making a public announcement concerning revision of operating and dividend forecasts forthe fiscal period ending June 2020, and operating and dividend forecasts for the fiscal period ending December 2020 of marimo
REIT, and has not been prepared for the purpose of soliciting investment. Investors should ensure that they have read theprospectus for the issuance of new investment units and secondary offering of investment units, as well as any amendments
thereto, prepared by marimo REIT before investing and make investment decisions at their own discretion.

2

Assumptions Underlying the Operating Forecasts for the Fiscal Period Ending June 2020 and Fiscal Period Ending
December 2020
Item

Assumptions

・ Fiscal period ending June 2020 (8th fiscal period)(from January 1, 2020 to June 30, 2020) (182 days)
Accounting period・ Fiscal period ending December 2020 (9th fiscal period)(from July 1, 2020 to December 31, 2020) (184 days)
・ The assumption is that marimo REIT will continue to hold the real estate trust beneficiaryrights to 25 properties held as of today (the “portfolio assets”) through to the end of the
fiscal period ending December 2020, and that marimo REIT will acquire real estate trust
beneficiary rights to 6 properties on January 21, 2020 (the “Assets to be Acquired”) and
Assets undercontinue to hold such through to the end of the fiscal period ending December 2020. For
management
details of the Assets to be Acquired, please refer to “Notice Concerning Acquisition ofDomestic Real Estate Trust Beneficiary Rights and Accompanying Commencement of
Leasing” dated today.
・ In actual practice, change may arise due to acquisition of new properties other than the
Assets to be Acquired, disposition of portfolio properties, etc.
・ Operating revenue from leasing of the portfolio assets is calculated on the basis of rent,
etc. stated in lease contracts in effect as of today, historical data, etc. Operating revenue
from leasing of ArtizA Awajieki-higashi, which is one of the Assets to be Acquired, iscalculated based on the assumption that the trustee and Marimo Co., Ltd. (“Marimo”)
enter into a fixed-rent type master lease agreement for the period from January 21, 2020
to the end of June 2020 of content that (i) Regardless of the rent that Marimo receives
from end tenants, Marimo shall pay the trustee rent equivalent to 95% of the assumed
full-occupancy lease revenue, and (ii) If the rent that Marimo receives from end tenants
Operating revenue
exceeds the amount equivalent to 95% of the assumed full-occupancy lease revenue,
Marimo shall pay the trustee that exceeding amount. Operating revenue from leasing of
the Assets to be Acquired is calculated on the basis of the content of lease agreements
provided by the current beneficiary, etc. and past tenants, market trends, etc., as well as
the content of lease agreements scheduled to be in effect on the planned acquisition date,and by taking into account various factors, such as the assumed occupancy rate and rent
fluctuation projections based on post-acquisition tenant move-in/move-out and rent levelprojections.
・ The assumption is that there will be no delinquent or unpaid rent by tenants.
・ Of operating expenses from leasing, which are the main operating expenses, the expenses
other than depreciation are calculated on the basis of historical data, etc. (for the Assets to
be Acquired, using historical data, etc. provided by the current beneficiary, etc.) and byreflecting the factors causing fluctuation in expenses.
・ Operating income from leasing after operating expenses from leasing (including
depreciation) are deducted (excluding gain on sales of real estate properties) is expected to
be 734 million yen for the fiscal period ending June 2020 and 762 million yen for the fiscal
period ending December 2020.
・ In general, fixed asset tax, city planning tax, etc. are calculated on a pro rata basis andreimbursed at the time of acquisition with the previous beneficiary, etc. upon transactionsof real estate, etc. However, the amount equivalent to the reimbursement is included in
the cost of acquisition and thus not expensed at the time of acquisition. The amountOperating expenses
equivalent to fixed asset tax, city planning tax, etc. to be included in the cost of acquisitionis expected to be 31 million yen for the fiscal period ending June 2020.
・ Repair expenses for buildings based on medium- to long-term repair plans formulated by
the Asset Manager are expected to be 30 million yen for the fiscal period ending June 2020
and 33 million yen for the fiscal period ending December 2020. Furthermore, emergency
repair expenses possibly arising from unforeseeable factors causing building damage, etc.,
the amount generally varying materially from fiscal year to fiscal year and not being anamount that arises periodically, etc. may result in repair expenses for each accounting
period differing materially from the forecast amount.
・ Depreciation is calculated by the straight-line method inclusive of incidental expenses andother future additional capital expenditures, and expected to be 244 million yen for the
fiscal period ending June 2020 and 244 million yen for the fiscal period ending December
2020.
Disclaimer: This press release is a document for making a public announcement concerning revision of operating and dividend forecasts forthe fiscal period ending June 2020, and operating and dividend forecasts for the fiscal period ending December 2020 of marimo
REIT, and has not been prepared for the purpose of soliciting investment. Investors should ensure that they have read theprospectus for the issuance of new investment units and secondary offering of investment units, as well as any amendments
thereto, prepared by marimo REIT before investing and make investment decisions at their own discretion.

3

Item

Assumptions

・ Interest expenses and other borrowing related expenses are expected to be 92 million yen
for the fiscal period ending June 2020 and 93 million yen for the fiscal period ending
December 2020. In addition, expenses associated with the issuance of new investment
units and the issuance of new investment units through third-party allotment for which
Non-operating
resolution was passed at the meeting of the Board of Directors of marimo REIT held on
expenses
January 6, 2020 are expected to be 28 million yen and amortized by the straight-line
method over a period of 3 years.
Investment unit issuance expenses inclusive of the above are expected to be 10 million yen
for the fiscal period ending June 2020 and 10 million yen for the fiscal period ending
December 2020.
・ The assumption is that, with the acquisition of assets, 2,250 million yen will beborrowed on January 21, 2020.
・ The assumption is that total interest-bearing liabilities will be 16,007 million yen at theend of the fiscal period ending June 2020 and 15,992 million yen at the end of the fiscal
Loans
period ending December 2020.
・ In addition to the above, the assumption is that internal reserves from a portion ofdepreciation will be used as the source of funds to repay principal of 15 million yen
every fiscal period.
・ The assumption is that, in addition to the number of investment units issued andoutstanding as of today of 132,340 units, the number of investment units planned to be
newly issued in the issuance of new investment units (19,371 units) and the issuance of
new investment units through third-party allotment (upper limit of 969 units) for which
Investment units
resolution was passed at the meeting of the Board of Directors of marimo REIT held on
January 6, 2020 to total an upper limit of 20,340 units will all be issued.
・ The assumption is that there will be no change in the number of investment units due toissuance of new investment units, etc. other than the above through to the end of the
fiscal period ending December 2020.
・ Dividends per unit (excluding dividends in excess of earnings) is calculated based on the
Dividends per unit
assumption that distribution will be in accordance with the policy on distribution of cash
(excluding
provided in marimo REIT’s Articles of Incorporation.
dividends in excess ・ Dividends per unit (excluding dividends in excess of earnings) may vary due to variousof earnings)
factors, such as fluctuation in rent revenue accompanying change in assets undermanagement, change in tenants or other event, or incurrence of unexpected repairs.
・ Dividends in excess of earnings per unit is calculated in accordance with the policy
provided in marimo REIT’s Articles of Incorporation and the management guidelines thatare the internal rules of the Asset Manager.
・ Distribution in excess of earnings is calculated based on the assumption that the sum
total amount of taxation and accounting discrepancies are distributed as allowance fortemporary difference adjustments for the purpose of tax reduction.
・ As of today, marimo REIT deems there to be no specific concerns of substantial
deterioration in the external economic environment, real estate market conditions andfinancial status of marimo REIT.
・ For the fiscal period ending June 2020 and fiscal period ending December 2020, there
are high needs to retain certain funds to respond in the event that opportunities to
Dividends inacquire new properties as investment that would serve to enhance theexcess of earnings
income-producing potential of the portfolio or such arises, but in light of marimo REIT’s
per unit
financial status, projected likelihood of refinancing borrowings, etc., the view is that it is
not in a state that calls for prioritized allocation of funds to reducing interest-bearing
liabilities, etc. in both concerned accounting periods. As of today, execution of
distribution in excess of earnings is deemed to be reasonable for the fiscal period ending
June 2020 and fiscal period ending December 2020. As such, for the fiscal period ending
June 2020, total dividends in excess of earnings is expected to be 68 million yen of which
total dividends of allowance for temporary difference adjustments is 1 million yen andtotal other dividends in excess of earnings is 67 million yen, and for the fiscal period
ending December 2020, total dividends in excess of earnings is expected to be 66 million
yen of which total dividends of allowance for temporary difference adjustments is 1
million yen and other distribution in excess of earnings is 65 million yen (Note).
Disclaimer: This press release is a document for making a public announcement concerning revision of operating and dividend forecasts forthe fiscal period ending June 2020, and operating and dividend forecasts for the fiscal period ending December 2020 of marimo
REIT, and has not been prepared for the purpose of soliciting investment. Investors should ensure that they have read theprospectus for the issuance of new investment units and secondary offering of investment units, as well as any amendments
thereto, prepared by marimo REIT before investing and make investment decisions at their own discretion.

4

Item

Other

Assumptions(Note) Distribution in excess of earnings shall be executed only when total appraisal
value of real estate, etc. held as at the end of the accounting period (refers to
the appraisal value in the real estate appraisal report with the end of theaccounting period as the date of value that was obtained for real estate, etc.
held by marimo REIT) exceeds total book value of real estate, etc. for theconcerned accounting period plus total planned capital expenditures (refers to
the total amount of reserve for capital expenditures) for the concerned
accounting period’s next period, but after also considering other options, suchas utilization for repair expenses and capital expenditures and allocation to
funds for repayment of borrowings or acquisition of new properties. To that end,
distribution in excess of earnings is not executed, regardless of the forecast
above, in the event that such conditions are not met.
In addition, as of today, marimo REIT adopts the policy of distributing as cash
in excess of earnings an amount decided by marimo REIT each accounting periodthat is not to exceed the amount provided in the rules of The Investment Trusts
Association, Japan (“JITA”), no more than the amount equivalent to 30% ofdepreciation for the concerned accounting period and within the scope not toexceed payout ratio (refers to the ratio of total dividends including distribution
in excess of earnings to the amount of net income plus depreciation) of 75%.
Accordingly, the distribution in excess of earnings may not take place or theamount of dividends in excess of earnings may decrease in the event of conflictwith these limits.
Moreover, in the event that substantial deterioration in the external economic
environment, real estate market conditions, financial status of marimo REIT, etc.
or such newly arise in the future, the policy as of today to execute distribution inexcess of earnings as part of cash management may be changed and there may
also be cases where the distribution in excess of earnings may not take place or
the amount of dividends in excess of earnings may decrease. For instance, eachaccounting period’s limits on the amount of dividends in excess of earnings likethose above may be revised in the case that large-scale additional incorporationof new assets or other factors lead to large fluctuation in the revenue andexpense structure of the portfolio or such newly arising, in the case of materialchange in the financial environment, real estate investment trust market
conditions, etc. or in other cases in the period up to when the distribution inexcess of earnings for the concerned accounting period is ultimately executed.
・ The assumption is that there will be no amendment of laws and regulations, tax systems,
accounting standards, listing regulations, JITA rules, etc. that will impact the forecast
figures above.
・ The assumption is that there will be no unforeseen material change in general economic
trends, real estate market conditions, etc.

Disclaimer: This press release is a document for making a public announcement concerning revision of operating and dividend forecasts forthe fiscal period ending June 2020, and operating and dividend forecasts for the fiscal period ending December 2020 of marimo
REIT, and has not been prepared for the purpose of soliciting investment. Investors should ensure that they have read theprospectus for the issuance of new investment units and secondary offering of investment units, as well as any amendments
thereto, prepared by marimo REIT before investing and make investment decisions at their own discretion.

5