September 20, 2024
For Translation Purpose Only
For Immediate Release
Japan Prime Realty Investment Corporation
Yoshihiro Jozaki, Executive Officer(Securities Code: 8955)
Asset Management Company:
Tokyo Tatemono Realty Investment Management, Inc.
Yoshihiro Jozaki, President and CEO
Inquiries: Yoshinaga Nomura, Director and General
Manager, Finance and Administration Division(TEL: +81-3-3516-1591)

Notice Concerning Revisions to Operating Forecasts
for the Fiscal Period Ending June 30, 2025
Japan Prime Realty Investment Corporation (“JPR”) today announced its revised operating forecasts for the fiscal period
ending June 30, 2025, which were reported on August 16, 2024 (at the time of announcement of its financial results forthe fiscal period ended June 30, 2024), as described below.

Details
1. Revisions to Operating Forecasts for the Fiscal Period Ending June 30, 2025
(from January 1, 2025 to June 30, 2025)
Distribution in
Excess ofEarnings per Unit

Ordinary
IncomeNet
Income(million yen)(millionyen)(millionyen)

17,847

8,444

7,499

7,499

7,800

－

Revised forecast (B)20,714

11,297

10,357

10,356

7,930－

Amount of increase /decrease (B - A)

2,8672,853

2,857

2,857

130

－

Rate ofincrease / decrease

16.1%

33.8%

38.1%

38.1%

1.7％

－

OperatingRevenue

OperatingIncome(million yen)Previous forecast (A)Distribution per Unit
(excluding distribution
in excess of earnings)
(yen)

(yen)

(Reference) Forecast number of investment units issued and outstanding at end of period: 997,178 units
Forecast net income per unit: 10,385 yen

2. Reasons for Revisions to Operating Forecasts
JPR revised its operating forecasts due to the changes in assumptions for the operating forecasts for the fiscal period
ending June 30, 2025, as a result of the acquisition and sale of assets announced in “Notice Concerning Acquisition
and Sale of Properties (Conclusion of Contracts)” as of today.
Please note that the impact on the operating conditions for the fiscal period ending December 31, 2024, is minimal
and that there is no revision to the operating forecasts for the fiscal period ending December 31, 2024.
The operating forecasts are calculated based on the attached document “Assumptions for the Operating Forecasts for
the Fiscal Period Ending June 30, 2025” Operating revenue, operating income, ordinary income, net income, anddistribution per unit may change due to alterations in the operating conditions and other factors in the future. Moreover,the forecast should not be construed as a guarantee of the amount of distribution per unit.
1[Attachment]
Assumptions for the Operating Forecasts
for the Fiscal Period Ending June 30, 2025
Items
Operation Period

Property Portfolio

Operating
Revenues

OperatingExpenses

Non-Operating
IncomeNon-Operating
Expenses

Interest-Bearing
Debt and InterestBearing Debt Ratio

Total Units
Outstanding
Distribution perUnit

Assumptions
from January 1, 2025 to June 30, 2025 (181 days)
・It is assumed that the following acquisition and sale will be made in addition to the 68
properties held as of today.
Acquisition: The Royal Park Canvas Nagoya (scheduled for October 9, 2024)
Sale: JPR Ueno East Bldg. (scheduled for January 10, 2025)
・In practice, this assumption may vary due to such events as acquisition of additional
properties or sale of existing properties other than the above-mentioned properties.
・Real estate rental revenues are calculated on the basis of the lease contracts effective asof August 31, 2024, with consideration given to such factors as the market environmentand status of negotiations with tenants, as well as taking into account the impact of certain
tenant move-ins and move-outs, among other factors. JPR also assumes that rents will bepaid on time and that no tenants will fail or decline to pay rents.
・Gain on sale of real estate is assumed to be 2,887 million yen.
・Among rental expenses, which are the principal operating expenses, outsourcing expenses
and other expenses excluding depreciation are calculated based on historical data, etc.
reflecting variable factors of expenses. Outsourcing expenses are assumed to be 762 million
yen.
・For property taxes and city planning taxes, JPR assumes 2,767 million yen. In generalpractice, the property taxes and city planning taxes levied on properties acquired aresettled after prorating for the period with the previous owner at the time of acquisition,and JPR includes the amount equivalent to such settlement in the acquisition costs forthe property.
・For expenditures for the repair and maintenance of buildings, the amount expected to berequired in each fiscal period has been recorded. However, the expenditures for repair
and maintenance for each fiscal period could differ significantly from the estimatedamount, as expenditures may arise due to damage to the building caused by unexpectedfactors, etc., and because the variance in amounts generally tends to grow from year toyear and repair expenses do not arise regularly.
・Depreciation is calculated using the straight line method, including additional future
capital expenditures, and is assumed to be 2,147 million yen.
・ Operating expenses excluding expenses related to rent business (asset management fees,
administrative service and custodian fees, etc.) are assumed to be 1,043 million yen.
・As for major non-operating income, JPR assumes income on settlement of management
association accounts to be 25 million yen.
・As for major non-operating expenses, JPR assumes 965 million yen for interest expenses,
borrowing expenses, interest expenses on investment corporation bonds and amortizationof investment corporation bond issuance costs.
・The ratio of interest-bearing debt to total assets as of today, stands at 42.9%, with interestbearing debts of 230,400 million yen (comprised of 15,000 million yen in short-term loans
payable, 184,500 million yen in long-term loans payable and 30,900 million yen in
investment corporation bonds).
・It is assumed that a short-term loan of 6,000 million yen will be taken out on October 9, 2024,
to fund the acquisition of the specified assets. It is also assumed that the entire amount of thisloan will be repaid by the end of the fiscal period ending June 30, 2025, allocating theproceeds from the sale, etc.
・It is assumed that all interest-bearing debt whose repayment dates will arrive during therespective fiscal periods will be refinanced, except for the above-mentioned repayment.
・Due to the above, the ratio of interest-bearing debt to total assets is assumed to be 42.7%
at end of the fiscal period ending June 30, 2025.
・The following formula is used in calculating the ratio of interest-bearing debt to total
assets in this table.
Ratio of interest-bearing debt to total assets =Expected total interest-bearing debt / Expected total assets x 100
・The total number of investment units issued and outstanding is 997,178 units as of today,
and it is assumed that no additional investment units will be issued.
・As for distribution per unit, it is assumed that distribution will be made according to thedistribution methods provided in the Articles of Incorporation of JPR.

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ItemsDistribution in
Excess of Earnings
Per Unit
OthersAssumptions
・Of the 2,887 million yen gain on the sale of real estate, 2,502 million yen is assumed tobe retained internally as a “reserve for reduction entry under special provisions forproperty replacement” (Article 2, Paragraph 2, Item 28 of the Regulations on Accountingof Investment Corporations) by utilizing the “special provisions for taxation in cases ofreplacement of specified assets” (Article 65-7 of the Act on Special Measures
Concerning Taxation).
・Distribution for the fiscal period ending June 30, 2025, is calculated on the assumptionthat part of the reserve for reduction entry under special provisions for property
replacement (53 million yen) will be reversed and distributed.
・There is the possibility that the distribution per unit may vary due to various factors
including variation of rental revenues due to acquisition or sale of assets undermanagement and tenant replacement, and unpredicted repairs and maintenance.
・Distribution in excess of earnings is currently not assumed.
・It is assumed that there will be no changes in legislation, taxation, accounting standards,
regulations applying to publicly listed companies, rules and requirements imposed by theInvestment Trusts Association, Japan that will impact the aforementioned forecast.
・It is also assumed that there will be no unexpected material changes in general economic
and real estate market conditions.

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