KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Translation of Japanese Original

FINANCIAL REPORT FOR THE FISCAL PERIOD ENDED April 30, 2015 (REIT)(November 1, 2014 to April 30, 2015)
Kenedix Office Investment Corporation is listed on the Tokyo Stock Exchange with the securities code number 8972.
Representative:

June 12, 2015

Naokatsu Uchida, Executive Director

Asset Management Company: Kenedix Real Estate Fund Management, Inc.
Representative:

Ryosuke Homma, CEO and President

Inquiries:

Hikaru Teramoto, General Manager of Planning Department, Office REIT Division
TEL +81-3-5623-8979

Planned submission of semiannual securities report: July 30, 2015

Planned start of distribution payments: July 14, 2015

Preparing presentation material:

Yes･NoHold a financial brief meeting:Yes･No (for institutional investors and analysts)

1．PERFORMANCE FOR THE FISCAL PERIOD ENDED April 30, 2015 (November 1, 2014 to April 30, 2015)(1) Business Results(Amounts are rounded down to the nearest Millions of Yen)(% indications are increase-decrease rate of period-over period)
Operating Revenues

Operating Income

Ordinary Income

Net Income

For the six months ended

Millions of Yen%

Millions of Yen%

Millions of Yen%

Millions of Yen%

April 30, 2015

14,130

9.3

6,537

30.0

5,111

43.2

5,110

43.2

October 31, 2014

12,928

18.7

5,028

17.4

3,570

23.7

3,569

23.7

Net Income per unit

Return on Unitholders’ Equity

Ordinary Income to Operating
Revenues

Ordinary Income to Total Assets

For the six months ended

Yen

%

%

%

April 30, 2015

12,859

2.6

1.3

36.2

October 31, 2014

10,149

2.0

1.0

27.6

（Total distributions are rounded down to the nearest one million yen.）(2) Distribution
Distributions per Unit
(Excluding Excess of
Earnings)

Total Distributions(Excluding Excess of
Earnings)

Distributions in Excessof Earnings per Unit

Total Distributions in
Excess of Earnings

Yen

Millions of Yen

Yen

Millions of Yen

For the six months ended

Distribution Ratio to
Unitholders’ Equity

Payout Ratio%%

April 30, 2015

11,363

4,600

0

0

90.0

2.2

October 31, 2014

10,060

3,571

0

0

100.1

2.0

Note 1: Distributions per unit for the fiscal period ended October 31, 2014 is calculated by dividing the amount of the reversal of reserve for reduction entry (¥1
million) added unappropriated retained earnings by the number of investment units issued and outstanding. The main difference between distributions perunit and net income per unit is due to this calculation.
Note 2: Distributions per unit for the fiscal period ended April 30, 2015 is calculated by dividing the amount remaining after deducting provision of reserve for
reduction entry (¥509 million) from unappropriated retained earnings by the number of investment units issued and outstanding. The main difference
between distributions per unit and net income per unit is due to this calculation.
Note 3: Due to the issuance of new investment units during the fiscal period ended October 31, 2014 and the fiscal period ended April 30, 2015, the payout ratios arecalculated as following method.
Payout Ratio = Total Distributions /Net Income × 100（Total assets and unitholders’ equity are rounded down to the nearest one million yen.）(3) Financial Position
Total Assets

Unitholders’ Equity

Unitholders’ Equity to Total Assets

Unitholders’ Equity per Unit

For the six months ended

Millions of Yen

Millions of Yen%

Yen

April 30, 2015

407,799

211,95152.0

523,484

October 31, 2014

388,169

180,84446.6

509,407(4) Cash Flow Position
Cash Flows fromOperating Activities

Cash Flows from
Investing Activities（Amounts are rounded down to the nearest one million yen.）
Cash Flows from
Cash and Cash Equivalents
Financing Activities
at Period End

For the six months ended

Millions of Yen

Millions of Yen

Millions of Yen

Millions of Yen

April 30, 2015

15,341(18,618)

12,79523,724

October 31, 2014

8,979

(39,303)

26,992

14,206This is an English-language translation of the original Japanese announcement on our Web site released on June 12, 2015. However, no assurance or warranties are given with respect to theaccuracy or completeness of this English-language translation. The Japanese original shall prevail in the case of discrepancies between this translation and the Japanese original.

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KENEDIX OFFICE INVESTMENT CORPORATION (8972)

2．FORECAST OF RESULTS FOR THE FISCAL PERIOD ENDING October 31, 2015 (May 1, 2015 to October 31, 2015)(% change from the previous fiscal period)
Operating Revenues(Millions of Yen)%

For the six months ending

October 31, 2015

Operating Income(Millions of Yen)

13,050(7.6)

Ordinary Income(Millions of Yen)
%

5,548

(15.1)

Distributions per Unit
(Excluding Excess of
Earnings)

Distributions in Excessof Earnings per Unit

%

Yen

Yen

(18.4)

10,3000

Net Income(Millions of Yen)
%

4,172

(18.4)

4,170(Reference) Estimated net income per unit for the fiscal period ending October 31, 2015: ¥10,301
Forecasted number of investment units issued and outstanding as of October 31, 2015: 404,885 units
Forecasted average number of investment units during the fiscal period ending October 31, 2015: 404,885 units*OTHER(1) Changes in Accounting Policies・Changes in Accounting Estimate・Retrospective Restatement(a) Changes concerning accounting policy accompanying amendments to accounting standards: No(b) Changes other than (a): No(c) Changes in accounting estimate: No(d) Retrospective restatement: No(2) Number of Investment Units Issued and Outstanding (including treasury units)(a) Number of investment units issued and outstanding at period end (including treasury units)
As of April 30, 2015: 404,885 units
As of October 31, 2014: 355,010 units(b) Number of treasury units at period end
As of April 30, 2015: 0 units
As of October 31, 2014: 0 units
Note: Please refer to page 26 “Notes to the Information per Unit” for the calculation of net income per unit.

*Details concerning actual status of auditing procedures
As of the disclosure of this financial report, auditing procedures for financial statements based on the Financial Instruments and Exchange Law areunderway.
*Explanation on the appropriate use of the forecast of results and other matters of special consideration
Readers are advised that actual operating revenues, operating income, ordinary income, net income and distributions per unit may differ significantly
from forecasts due to a variety of factors. Accordingly, the Investment Corporation does not guarantee payment of the forecast distributions per unit.
Please refer to page 10 “Preconditions and Assumptions for the Twenty-first Fiscal Period Ending October 31, 2015.” for the precondition of forecast
for the twenty-first fiscal period ending October 31, 2015.

This notice is an English-language translation of the original Japanese announcement on our Web site released on June 12, 2015. However, no assurance or warranties are given with respect tothe accuracy or completeness of this English-language translation. The Japanese original shall prevail in the case of discrepancies between this translation and the Japanese original.

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KENE
EDIX OFFICE INVESTMENT CORPORATION
N (8972)

1. Basic
B
Structure — Overview ofo Companies RelatedRto the IInvestment Co
orporation
Concerning thhe business afffairs stipulated in Article 117,, Item 4 of the Investment Trrusts and Invest
stment Corporaations Law (buusinessaffairs relatedd to the operaating of the addministrative innstruments), th
he Investment Corporation ex
executed an addministrative agency
agcontract on M
May 7, 2015 withw Mizuho Tru
ust & Bankingg Co., Ltd. andd changed the administrativeaaagent effective on May 8, 20015. In
addition, the contract for buusiness entrustm
ment of businesss affairs relateed to the operatting of the adm
ministrative insttruments to Keenedix
Real Estate F
Fund Managem
ment, Inc. was teerminated on M
May 7, 2015.

①
②
③
④
⑤
⑥
⑦

Asset M
Management Agreement
Ag
Properrty Managemennt Agreement
Supporrt-Line Memoraandum of Undeerstanding
Asset C
Custodian Agreeement / Adminiistrative Agencyy Agreement (OOperating of the administrativeain
instruments)
Adminnistrative Agenccy Agreement (AAccounting Bussiness)
Unithoolder Register Administrative
A
AgencyA
Agreemeent / Special Acccount Administrrative Agency A
Agreement
Fiscal A
Agency Agreem
mentNote) The specifieed related companny of the Investm
ment Corporation ((referring to the sp
pecified related coompany stipulatedd in Article 12 Parragraph 3 of the Cabinet
C(N
Office Orddinance on Disclossure of Informatio
on, etc. on Specifi
fied Securities (Orrdinance of the MinistryM
of Financee No. 22 of 1993, including amenddments
thereafter)) is Kenedix, Inc. Kenedix Inc. is the parent comppany (referring to the parent comppany stipulated inn Article 8 Paragrraph 3 of Ordinaance on
Terminologgy, Forms, and Prreparation Method
ds of Financial Sttatements, etc. (OOrdinance of the MinistryM
of Financce No.59 of 1963, including amenddments
thereafter)) of the Asset Mannagement Compan
ny.

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KENEDIX OFFICE INVESTMENT CORPORATION (8972)

2. Management Policy and Operating Conditions(1) Management Policy
There were no major changes to the “Investment Policy,” “Investment Strategy” and “Distribution Policy” from the most recent securities report(submitted on January 30, 2015), and accordingly this information has been omitted from this document.
(2) Operating Conditions① Operating Conditions for the Twentieth Fiscal Period (fiscal period ended April 30, 2015)
A. The Investment Corporation
Kenedix Office Investment Corporation (“the Investment Corporation”) was established on May 6, 2005 in accordance with the Investment
Trust and Investment Corporation Law (Law No. 198 of 1951, including amendments thereafter). On July 21, 2005, the Investment Corporation
was listed on the Real Estate Investment Trust Market of the Tokyo Stock Exchange, Inc. (“the Tokyo Stock Exchange”) with a total of 75,400
investment units issued and outstanding (Securities Code: 8972). Subsequently, the Investment Corporation raised funds through public offerings
and including seven global offerings. As a result, as of April 30, 2015, the end of the twentieth fiscal period, the number of investment units
issued and outstanding totaled 404,885 units.
The Investment Corporation appointed Kenedix Real Estate Fund Management, Inc. (“the Asset management Company”) as our asset manager.
In collaboration with the Asset Management Company, the Investment Corporation strives to maximize cash distribution to investors by securing
stable earnings and sustainable investment growth. To this end, the Investment Corporation adopts the basic policy of conducting dynamic andflexible investment stance that seeks to respond to its environment and market trends, and endeavors to ensure a timely response to opportunities.
B. Investment Environment and Management Performance(a) Investment Environment
During the fiscal period under review (fiscal period ended April 30, 2015), the Japanese economy strongly sustained an upward momentum.
With the January to March 2015 GDP announced by the Cabinet Office in result of positive growth for the two consecutive quarters, the results
indicate that housing investment and capital investment are bottoming out and the impact on the rebound of the rush demand prior to theconsumption tax rate hike is easing. Concerning overseas economies, the outlook according to the World Economic Outlook announced by the
IMF is that, although uneven across countries and regions, growth is projected to pick up in advanced economies but slowdown in emerging
market economies, maintaining an outlook of modest economic pickup overall.
Concerning office leasing market conditions, while the supply of newly-built buildings remains limited, office demand from companies is strong.
In Tokyo’s five central wards, due to aggressive corporate activities such as relocating for expanded floor area and for better location, vacancies
are steadily being filled as evident by such factors as the average vacancy rate falling for 21 consecutive months until slightly rising in April 2015.
Increases in asking rent and decreases in discounts through rent-free periods, etc. have begun to be found in the market not only with large-sizedbuildings but also with medium-sized buildings.
In the office building transaction market, transactions remain brisk as domestic investors such as listed J-REITs and real estate companies, etc.
and foreign investors show strong appetite for property acquisitions. Cap rates are decreasing due to the leasing market’s trend of improvement
and anticipation of rise in future transaction prices, making the rise in sale/purchase prices clearer.
(b) Management Performance
As of the end of the previous fiscal period (fiscal period ended October 31, 2014), the Investment Corporation owned 94 properties (with a totalacquisition price of ¥369,954 million), preferred equity securities (investment of ¥1,583 million) and equity interest in a Japanese silent
partnership (tokumei kumiai) (“TK”) (acquisition price of ¥1,107 million). During the fiscal period under review (fiscal period ended April 30,2015), the Investment Corporation acquired seven office buildings (Yokohama Nishiguchi SIA Building: acquisition price of ¥2,750 million,
Shin-Yokohama 214 Building: acquisition price of ¥2,200 million, KDX Minami-Honmachi Building: acquisition price of ¥2,200 million,
BUREX Toranomon: acquisition price of ¥1,750 million, KDX Sakura-dori Building: acquisition price of ¥5,900 million, 35 Sankyo Building:acquisition price of ¥3,600 million, Pentel Building: acquisition price of ¥3,350 million ) and, sold KDX Minami Semba Dai-2 Building (initialacquisition price of ¥1,560 million), KDX Hamacho Building (initial acquisition price of ¥2,300 million), Venus Hibarigaoka (initial acquisition
price of ¥1,800 million) and Sendai Nikko Building (initial acquisition price of ¥950 million) (with a total disposition price of ¥6,792 million).
Furthermore, all amounts for the preferred equity securities (Toyonaka Property TMK) have been refunded.
As a result, the number of properties owned as of April 30, 2015 (excluding the TK interest, same applies below.) amounts to 97 (with a totalacquisition price of ¥385,094 million). Looking at the portfolio as a whole, 92.1% was comprised of office buildings, 5.8% of central urban retailproperties, 1.4% of residential properties and 0.7% of other property on an acquisition price basis. The occupancy ratio as of the end of thetwentieth fiscal period (fiscal period ended April 30, 2015) was 96.5% reflecting stable operational management.
Operation and Management of Existing Properties
The Investment Corporation entrusts property management services (“PM Services”) for its entire portfolio as of the end of the fiscal period
under review (April 30, 2015) (excluding Shinjuku 6-chome Building (Land)) to Kenedix Property Management, Inc. By doing so, theInvestment Corporation has strived to unify policies, specifications, procedures, points of contact, etc. for the provision of swift and quality-4-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

services in the operation and management of properties.
In terms of leasing, in light of the recovery trends of the economy and real estate market, the Investment Corporation sought out potential
demand by maintaining close relationships with brokers. Moreover, in order to maintain and raise the competitiveness of office buildings,
upgrading of air conditioning systems and repair of common areas, etc. were implemented according to plan.
In terms of response to existing tenants, there were several cases in which the Investment Corporation grasped the relocation needs of existing
tenants and succeeded in relocating them to other buildings in the portfolio.
Consequently, as of the end of the period under review (fiscal period ended April 30, 2015), the occupancy ratio of the Investment
Corporation’s owned office buildings in the Tokyo Metropolitan Area stood at 96.4% and for the Investment Corporation’s office buildings
overall stood at 96.4% as well, an increase of 1.0 point from the previous fiscal period (fiscal period ended October 31, 2014), keeping a highlevel of occupancy rate.
Stable Management through Large Number of Tenants and Tenant Diversification by Sector
The number of end-tenants for our office buildings was 1,133 (Note 1) (Note 2) as of the end of the fiscal period (fiscal period ended April 30,2015) and diversifying tenant’s stratum further. Furthermore, floor area leased to the top 10 office end-tenants as a proportion of total leased
floor area of the total portfolio was 12.1% (Note 3). In addition, tenants of office buildings are in various sectors. As a result, we believe theimpact by a certain end-tenant vacating the property or sluggish performance in certain sectors would have a relatively limited effect and will
be able to maintain stable revenue.
Note 1: When a tenant is leasing more than one property, it is counted as one tenant and the number of tenants is indicated accordingly.
Note 2: The number of end-tenants for entire portfolio is 1,161 as of the end of the fiscal period (fiscal period ended April 30, 2015).
Note 3: Total floor area leased to Kenedix, Inc., the sponsor company, as a proportion of the total portfolio owned by the Investment
Corporation was 3.4% (KDX Nihonbashi Kabutocho Building 0.6%, KDX Musashi-Kosugi Building 2.4% and KDX
Toyosu Grand Square 0.3%).
Thus the largest tenant for office buildings in terms of leased floor area is Kenedix Inc. The fixed lease agreement for KDX
Musashi-Kosugi Building is planned to be expired on December 31, 2015 and the lease agreement for KDX Toyosu Grand
Square is planned to be terminated on September 30, 2015. Kenedix Inc. is conducting sub-master leasing in which Kenedix
Inc. sub-leases part of properties leased from the Investment Corporation, its master lease company, to third parties.
C. Capital Financing(a) Issuance of New Investment Units
The Investment Corporation additionally issued 47,685 investment units through public offerings, including international offering, with an aim
to procure funds for acquiring new properties and a portion of the fund for repayment of borrowings, and procured ¥28,269 million on
November 27, 2014. Furthermore, additionally issued 2,190 units through by way of third-party allotment in aim to procure procedure forcompensate as a portion of funds for the future acquisition of specified assets or the repayment of borrowings, and procured ¥1,298 million on
December 24, 2014.
(b) Status of Borrowings
The Investment Corporation will continue to strive to reduce refinancing risk by diversifying repayment dates for its interest-bearing debt. During
the fiscal period under review (fiscal period ended April 30, 2015), the Investment Corporation undertook new borrowings of ¥15,250 million
for the fund to repay borrowings of ¥15,635 million that matured during the fiscal period. Furthermore, as abovementioned (a) issuance of new
investment units, the principle from ¥12,700 million raised from the issuance of the new investment units and the new borrowings of ¥1,700
million to prepay ¥14,400 million in short-term borrowings that matures during next fiscal period (fiscal period ending October 31, 2014). As aresult, the total borrowing amounted to ¥16,950 million (¥1,500 million in short-term borrowings, ¥15,405 million in long-term borrowings(Note1)) during the fiscal period under review, and the balance of interest-bearing debt as of April 30, 2015 is comprising ¥166,300 million inborrowings (¥163,300 million in long-term borrowings and ¥3,000 million in short-term borrowings) and ¥8,300 million in investment corporation
bonds, and interest-bearing debt ratio is 42.8%. (Note 2)
Furthermore, as of fiscal period under review (fiscal period ended April 30, 2015), ¥90,550 million out of ¥95,550 million of long-term borrowings,
which have floating interest rates, have been hedged and practically fixed by utilizing interest-rate swap agreements. In addition, the long-term debt
ratio (Note 3) was 98.3% and the long-term fixed interest debt ratio (Note 4) was 95.4%.
In addition, the Investment Corporation has lengthening the average remaining term of its interest-bearing debt (Note 5), the weighted averagebased on the balance of interest-bearing debt at the end of each period, from 2.4 years at the end of the sixteenth fiscal period (fiscal period endedApril 30, 2013) to 4.1 years at the end of the fiscal period (fiscal period ended April 30, 2015). Furthermore, during the same period, the averageinterest rate (Note 5) was reduced from 1.88% to 1.45%, demonstrating a successful steady reduction of financial costs.
Note 1: Short-term borrowings refer to borrowings with a period of less than or equal to one year from the drawdown date to the repayment date. However, theborrowings whose period until repayment date have surpassed one year because the repayment date one year from the drawdown date is not abusiness day and for which the repayment date has been moved to the following business day are included in short-term borrowings. Long-termborrowings refer to borrowings with a period of more than one year from the drawdown date to the repayment date. The same classification criteria
apply to other borrowings listed below.
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KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Note 2: Interest-bearing debt ratio = Balance of Interest-bearing debt at the end of fiscal period / Total assets at the end of fiscal period ×100
Note 3: Long-term debt ratio= (Balance of long-term borrowings + Balance of investment corporation bonds) / (Total borrowings + Balance of investment
corporation bonds) ×100
Long-term debt ratio is rounded to the nearest first decimal place.
Note 4: Long-term fixed interest debt ratio = (Balance of long-term fixed interest rate borrowings + Balance of investment corporation bonds) / (Total
borrowings + Balance of investment corporation bonds) ×100
The balance of long-term fixed interest rate borrowings includes borrowings with floating interest rates effectively fixed by utilizing interest-rate swap
agreements. Long-term fixed interest debt ratio is rounded to the nearest first decimal place.
Note 5: Average interest rates and average remaining terms are the weighted average based on the period-end interest rates including upfront fees andremaining terms based on the balance of interest-bearing debt. Average interest rates are rounded to the nearest second decimal place and averageremaining terms are rounded to the nearest first decimal place respectively.

The balance of borrowings according to financial institutions as of October 31, 2014 and April 30, 2015 are as follows:
LenderEnd of Nineteenth
Fiscal Period(as of October 31, 2014)

End of TwentiethFiscal Period(as of April 30, 2015)(Millions of Yen)

(Millions of Yen)

Sumitomo Mitsui Banking Corporation
55,335.0
Development Bank of Japan Inc.
29,075.0
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
24,200.0
Aozora Bank, Ltd.
21,325.0
Sumitomo Mitsui Trust Bank, Limited
19,000.0
Resona Bank, Ltd.
9,250.0
Mitsubishi UFJ Trust and Banking Corporation
9,200.0
Mizuho Bank, Ltd.
4,200.0
Mizuho Trust & Banking Co., Ltd.
2,800.0
The Bank of Fukuoka, Ltd.
2,000.0
The Nishi-Nippon City Bank, Ltd.
1,200.0
Hiroshima Bank, Ltd
1,000.0
The 77 Bank, Ltd
500.0
The Higashi-Nippon Bank, Limited
300.0
Total
179,385.0
Note 6: Percentages are rounded down to the nearest first decimal place.

Ratio as of End of
Twentieth Fiscal Period(%) (Note 6)

44,800.0
29,050.0
22,800.0
21,100.0
18,100.0
9,250.0
9,200.0
4,200.02,800.0
2,000.0
1,200.0
1,000.0
500.0
300.0
166,300.0

26.9%
17.5%
13.7%
12.7%
10.9%
5.6%
5.5%
2.5%
1.7%
1.2%
0.7%
0.6%
0.3%
0.2%
100.0

(c) Status of Credit Rating
The status of the credit ratings as of April 30, 2015 is as follows:
Credit Rating Agency
Details of the Ratings
Long-Term Issuer Rating
A+ (Outlook: Stable)
Japan Credit Rating Agency, Ltd. (JCR)
Ratings on Bonds
A+
Rating of Shelf Registration(d) Status of Shelf Registration
The Investment Corporation filed a debt shelf registration statement on February 6, 2015. Details are as follows.
Investment Corporation Bonds
Planned Issue Amount¥100,000,000,000
Planned Issuance Period February 15, 2015 to February 14, 2017
Acquisition funds for specified assets, repayment of borrowings, repayment of
Use of Funds
investment corporation bonds, refund of lease and guarantee deposits, funds to pay for repairs andmaintenance, working capital, etc.
D. Operating Results and Cash Distribution
As a result of the aforementioned management performance, the Investment Corporation reported operating revenues of ¥14,130 million,
operating income of ¥6,537 million, ordinary income of ¥5,111 million and net income of ¥5,110 million for its twentieth fiscal period (fiscal
period ended April 30, 2015).
Cash distributions are paid out to the application of Article 67-15 of the Special Taxation Measures Law (Law No. 26 of 1957, including
amendments thereafter). In addition, the Investment Corporation has decided to book a portion of its unappropriated retained earnings to internal
reserve as a reserve for reduction entry based on application of the “Special Provisions for Taxation in the Event of Advance Acquisition ofLand, etc. in 2009 and 2010” (Article 66-2 of the Special Taxation Measures Law) in the fiscal period under review. In accordance with thispolicy, following the posting of this reduction entry reserve, the Investment Corporation deducted ¥509 million from net income to be set aside
as a reserve for reduction entry, the posting of which falls within the scope in application of provisions in Article 66-2 and Article 67-15 of theSpecial Taxation Measures Law. Subsequently, all the remaining net income was distributed to unitholders, yielding ¥11,363 per unit.

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KENEDIX OFFICE INVESTMENT CORPORATION (8972)② Outlook for next fiscal period
A. Investment Environment
The outlook for the Japanese economy is that January to March 2015 GDP is continuously positive growth for the consecutive two quarters and,
although greater consumption due to higher pay, increase in capital investment by companies and other matters will become points of focus
thereafter, the positive growth is thought to continue. Overseas economies are on a recovery trend overall, but the potential rise in geopoliticalrisks, large financial market fluctuations and other issues posing as downside risks to the global economy require close monitoring.
Concerning the office building leasing market, the average vacancy rate in Tokyo’s five central wards at the end of April 2015 announced by
Miki Shoji Co., Ltd. was 5.34%, down 1.30 point year-on-year. Down 0.26 point compared with at the end of the previous fiscal period (fiscal
period ended October 31, 2014), improvement in the average vacancy rate continues, albeit at a slower pace. In addition, the average rent inTokyo’s five central wards (including newly-built office buildings) has been increasing, albeit slightly, consecutively for more than one year,
suggesting that the momentum is gathering for full-scale rent increase. With the macroeconomic environment sustaining an upward momentum
and corporate activities aggressive in general, office leasing demand is expected to continue strong. As such, further improvement in the leasing
market is anticipated.
In the office building transaction market, backed by anticipation of full-fledged leasing market recovery and the favorable financing environment,
demand for office buildings as investment assets remains strong. Accordingly, transactions by such major investors as listed J-REITs, domestic
real estate companies and foreign investors are expected to remain brisk. On the other hand, there is a concern about acquisition prices
increasingly soaring as a result of competition becoming more intensified.
B. Future Management Policies and Pending Issues
The Investment Corporation adopts the basic policy of conducting dynamic and flexible investment stance that seeks to respond to its
environment and market trends, and endeavors to ensure a timely response to opportunities. From this standpoint and in light of the investment
environment described above mentioned A. (the Japanese economy, the office building leasing market and the office building real estatetransaction market, etc.) and financial environment, etc. the Investment Corporation creates a property investment strategy, management strategy
for existing properties, and financial strategy in a dynamic and flexible manner as set forth below.
(a) Investment Strategy for New Properties and Sales Policy
The Investment Corporation aims for further expansion of its asset size, with the goal of “forming a firm portfolio focusing on mid-sized officebuildings” and to become the “No. 1 J-REIT for mid-sized office buildings.” The Investment Corporation will keep mid-sized office buildings in
the Tokyo Metropolitan Area as its focus, and with regard to central urban retail properties, invest only in those that have rare value as analternative to office buildings, are located in busy commercial areas and offer a certain amount of office space. In addition, the Investment
Corporation believes that maintaining an investment strategy which aims for a certain degree of regional diversification, will be a foundation for
constructing a superior portfolio and differentiating the Investment Corporation from others in the business.
Moreover, when acquiring assets, the Investment Corporation will aim for the stable growth of the portfolio, by securing continuous
opportunities for acquiring properties and flexible acquisition methods by utilizing the Asset Management Company’s own networks and thesponsor company’s support line through the construction of multiple pipelines. Also, based on the premises of that the Investment Corporation
able to obtain opportunities for property acquisitions in the future, the Investment Corporation might invest in TK interests etc. with the sponsor
company on a conjoint basis. In addition, in order to seek diversifying acquisition methods (direct acquisition, equity investment andco-acquisition with the sponsor company), with consideration to the timing or the consistency of the investment principles and to secure
mobilizing acquisition of properties, the investment company invests in warehousing related TMK etc. with the sponsor company cooperation.
In selling properties, the Investment Corporation will examine the sale of properties individually in considering the use of funds for replacementof assets through new property acquisition or fund-type investments. Of this, concerning residential properties, the Investment Corporation will
not only refrain from conducting new investments in principle, but will also place such properties on the top of the list of properties to sell while
taking into consideration the market environment, asset size and other factors. On the other hand, the Investment Corporation will decide on thesale of office buildings and central urban retail properties individually by considering the current profitability, revenue projections that take into
account future market trends, building age, area and property size, among other factors, and also in light of the significance of the property’s
presence in the portfolio.
(b) Management Strategy for Existing Properties
Taking into consideration economic and real estate market trends, the Investment Corporation adopts “a tenant-oriented approach which will leadto revenue” for its leasing activities with aims of ensuring a timely and flexible response as well as optimizing tenant satisfaction. Accordingly,
the Investment Corporation seeks to aim to maintain / increase cash flow by offering office environments with high tenant satisfaction. Based on
the aforementioned in aim to become “the mid-sized office building of the choice,” the Asset Management Company undertakes asset
management activities as follows:・Take measures to maintain and raise competitiveness of properties
・Tailor leasing management according to the market environment
・Apply careful control of management and operating costs by taking advantage of portfolio size
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KENEDIX OFFICE INVESTMENT CORPORATION (8972)

・Ensure appropriate response to relevant laws and regulations
・Develop a proactive response to environmental issues
Take measures to maintain and raise competitiveness of properties
The Investment Corporation will implement operation and management in close contact with the actual properties and further enhance themanagement level. Some specific examples of the operation and management are the installation of public wireless LAN services andinstallation of automated external defibrillators (AEDs) in consideration of business continuity plans (BCP) and its corporate social
responsibilities (CSR).
Furthermore, tenants at properties are positioned as important “customers” and the perspective of customer satisfaction (CS) is applied to the
management of properties. The Investment Corporation has conducted a CS survey targeting the tenants of its office buildings five times incooperation with J.D. Power Asia Pacific, Inc., an internationally recognized company that engages in customer satisfaction evaluation(requesting those in charge of general affairs and employees of tenants to complete a questionnaire on the hard aspects such as the building andfacilities as well as on the soft aspects such as management and operation, consisting of multiple items for evaluation and open-ended questions).
The comprehensive satisfaction rating results for the Fifth CS survey conducted in August 2013 is as follows.
The response of “Satisfied”, “Slightly Satisfied” weighted 2.0 point increase compare to the Fourth CS Survey conducted in September 2011.
＜Comprehensive Satisfaction Rating＞
Slightly
Slightly
Satisfied
Neither
Dissatisfied
Unknown
Satisfied
Dissatisfied
26%
51%
18%
4%
1%
1%
Fifth CS Survey
23%
52%
19%
5%
1%
1%
Fourth CS Survey
Note 1: Target respondents for the survey are the administration officers of each tenant and tenant employees.
Note 2: Ratios are rounded to the nearest unit.

By conducting such surveys continuously and meeting tenant needs, the Investment Corporation is aiming to improve customer satisfaction
while also maintaining and improving the competitiveness and asset value of its properties.
Tailor leasing management according to the market environment
The characteristics of mid-sized office buildings, which are the primary investment target of the Investment Corporation, are that many of thetenant turnover ratios are relatively high. Therefore, in the leasing aspect, the Investment Corporation implements leasing activities in a timely
and flexible manner by adopting the basic policy of endeavoring to maximize revenues for the medium- to long-term through maintaining
occupancy ratios, while taking into account economic and real estate market trends.
Concerning the solicitation of new tenants, the Investment Corporation strives to shorten the period of vacancy and boost the occupancy ratio byimplementing dynamic and flexible leasing activities through the sharing of information closely with leasing brokers, holding of previews,
marketing directly to corporations, utilizing guarantee companies and other measures while closely watching market conditions and timing ofchanges going forward.
Apply careful control of management and operating costs by taking advantage of portfolio size
The Investment Corporation will carefully control the quality of property management and operating costs and reduce building maintenance andoperating costs by taking advantage of the portfolio size in building maintenance costs and construction bidding.
Ensure appropriate responses to relevant laws and regulations
The Investment Corporation will gather information on the Building Standards Law (Law No.201, 1950, including amendments thereafter) andother relevant laws and regulations and any future revisions, in a timely manner and will respond as necessary while considering compliance.
Develop a proactive response to environmental issues
The Investment Corporation is designated as a specified corporation pursuant to the Act on the Rational Use of Energy. The Investment
Corporation will research on energy saving and environmental friendliness of mid-sized office buildings, develop medium- to long-term energy
saving plans and reduction targets, and proactively institute measures in terms of both hardware (buildings and facilities) and soft services(operating and management services) in an aim to ensure the simultaneous pursuit of return on investment and social benefits.
(c) Financial Strategy (Debt Financing)
As the environment for procuring interest-bearing debt is continuing to be favorable, the Investment Corporation determines to continue to work
to improve the terms and conditions of existing borrowings.
In addition, by taking the following measures, etc., the Investment Corporation aims for stable financial management.
・Reduce refinance risk by diversifying maturities of interest-bearing debt
-8-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

・Have the procurement ratio of long-term fixed interest borrowings above a certain level・Control the rate of interest-bearing debt (Note) in a conservative manner (the Investment Corporation will continue to aim to keep the ratio ofinterest-bearing debt to total assets (LTV) at within less than 45% level as a rule. However, it will also remain open to the option of increasing
LTV to the upper 40% level in the event of debt financing conducted for the purpose of acquiring competitive properties or otherwise.)Moreover, the Investment Corporation will undertake stable fund procurement based on existing favorable relations with financial institutions,especially mega-banks, trust banks and Development Bank of Japan Inc., as well as aim for more conservative financial management. In
addition, the Investment Corporation aspires to pay attention to the share of each bank and consider as appropriate the introduction oftransactions with new banks based on comparison with the conditions with currently transacting banks.
Note: Interest-bearing debt ratio = Balance of Interest-bearing debt at the end of fiscal period / Total assets at the end of fiscal period ×100(d) Information Disclosure
Consistent with its basic information disclosure policy, the Investment Corporation proactively engages in IR activities with the aim of promptly
providing a wide range of relevant information to investors, and make revisions to the information disclosure system when needed. In specificterms, the Investment Corporation provides information through the Timely Disclosure Network System (TDnet), which is a system operated by
the Tokyo Stock Exchange, as well as press releases and its Web site (URL: http://www.kdx-reit.com/eng/ ).
(3) Important Subsequent Events
There were no important subsequent events following the close of the twentieth fiscal period (fiscal period ended April 30, 2015).
(4) Risk Factors
There are no significant changes to the “Investment Risks” as described in the Securities Report (including any amendments thereto) submitted
January 30, 2015.
(5) Outlook
Forecasts for the twenty-first fiscal period (May 1, 2015 to October 31, 2015) are presented as follows.
Operating Revenues¥13,050 million
Operating Income¥5,548 million
Ordinary Income¥4,172 million
Net Income¥4,170 million
Distributions per Unit
¥10,300
Furthermore, the main reasons for the increase and decrease from the fiscal period ended April 2015 are as follows.
(Operating Revenues)· Decrease for gain of sales ¥709 million from the sales of KDX Hamacho Building, Venus Hibarigaoka and Sendai Nikko Building during the
fiscal period ended April 2015.
· Decrease for final dividends ¥521 million from Toyonaka Property TMK.
· Net increase in the rental revenue ¥92 million from acquisition and disposition of properties during the fiscal period ended April 2015.
(Operating Expenses)· Decrease for loss of sale ¥287 million from the sale of KDX Minami Semba Dai-2 Building during the fiscal period ended April 2015.
· Decrease for the repairs cost ¥160 million.
· Increase in fixed asset taxes, etc. and taxes and public dues ¥152 million.
· Net increase in the property management fee and facility management fee ¥35 million in relation to the acquisition and sales of properties during
the fiscal period ended April 2015.
(Others)· Decrease for provision of reserve for reduction entry ¥509 million.
Preconditions and assumptions for the outlooks, please see following “Preconditions and Assumptions for the Twenty-first Fiscal Period Ending
October 31, 2015” for more details.
Note: Forecast figures above are calculated based on certain assumptions. Readers are advised that actual operating revenues, net income and distribution per unit may
differ significantly from forecasts due to a variety of reasons. Accordingly, the Investment Corporation does not guarantee payment of the forecasted distribution
per unit.

-9-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Preconditions and Assumptions for the Twenty-first Fiscal Period Ending October 31, 2015
Preconditions and Assumptions
Calculation Period The twenty-first fiscal period: May 1, 2015 to October 31, 2015 (184 days)
Property Portfolio
 Forecasts are based on the 97 properties and trust beneficiary interest in real estate held as of June 12, 2015.
 Forecasts are based on the assumption that the number of properties will remain unchanged (no sale or acquisition of
new properties, etc.) until the end of the twentieth fiscal period other than the above mentioned.
 The Investment Corporation also holds the TK equity other than above. It assumes the refund of the TK equity will
not occur by the end of the twenty-first fiscal period.
 The actual results may fluctuate due to changes in the property portfolio.
Operating Revenues
 Rental revenues are estimated based on valid leasing agreements as of June 12, 2015 and by considering variablefactors, such as seasonal factors against the backdrop of historical performance, as well as leasing conditions, such as
the recent real estate market conditions, in addition to the difference in number of operating days due to movements
in existing investment assets.
 Dividends received of ¥52 million have been assumed.
 Forecasts are based on the assumption that there will be no rent in arrears or non-payments from tenants.
Operating Expenses
 Expenses related to rent business other than depreciation are based on the historic expenses, adjusted to reflect
expense variables including seasonal factors.
 An amount of ¥1,274 million has been assumed for property management fees and facility management fees
(property management and building maintenance fees, etc.).
 An amount of ¥1,110 million has been assumed for taxes and public dues (property tax and city-planning tax, etc.).
 An amount of ¥2,220 million has been assumed for depreciation expense.
 An amount of ¥277 million has been assumed for repairs, maintenance and renovation expenses.
Repairs, maintenance and renovation expenses are estimated based on the amounts budgeted by the AssetManagement Company for each property and amounts considered essential for the period. Actual repairs,
maintenance and renovation expenses for the fiscal period may, however, differ significantly from estimatedamounts due to unforeseen circumstances or emergencies.
 In general, property tax and city planning tax are allocated to the seller and purchaser on a pro rata basis at the time ofacquisition settlement. In the case of the Investment Corporation, an amount equivalent to the portion allocated to thepurchaser is included in the acquisition price of the property.
Non-Operating The Investment Corporation is amortizing unit issuance costs over a period of three years using the straight-line
Expensesmethod.
 Interest payable (including financing related expenses etc.) of ¥1,300 million is assumed.
Extraordinary Extraordinary profit/loss is not assumed.
Profit/Loss
Borrowings and The balance of the borrowings and the investment corporation bonds as of June 12, 2015 is ¥165,800 million and
Investment Corporation¥8, 300 million, respectively.
Bonds
 Of the borrowings as of June 12, 2015, a total of ¥15,500 million in borrowings is due for repayment during thetwenty-first fiscal period. However, it is assumed that all borrowings will be refinanced.
 Forecasts are based on the assumption that there will be no maturity for investment corporation bonds during thetwenty-first fiscal period.
Investment Units Issued  Forecasts are based on the assumption that the number of investment units issued and outstanding as of April 30,
and Outstanding
2015 is 404,885 units.
 Forecasts are based on the assumption that the number of investment units issued and outstanding shall remainunchanged for the twenty-first fiscal period.
Distributions per Unit Distributions per unit are calculated in accordance with the distribution policy outlined in the Investment
Corporation’s Articles of Incorporation.
 Actual distributions per unit may differ significantly from forecasted figures due to a variety of reasons including
movements in investment assets, rental revenues impacted by tenant movements or the incidence of major
unforeseen renovation expense.
Distributions in Excess
 The Investment Corporation does not currently anticipate distributions in excess of earnings per unit.
of Earnings per Unit
Other
 Forecasts are based on the assumption that any revisions to regulatory requirements, taxation, accounting standards,
public listing regulations or requirements of the Investment Trusts Association, Japan will not impact forecast
figures.
 Forecasts are based on the assumption that there will be no major unforeseen changes to economic trends and in realestate and other markets.

-10-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

3. Financial Statements(1) Balance Sheets(Thousands of Yen)
Nineteenth Fiscal Period

Twentieth Fiscal Period(As of October 31, 2014)(As of April 30, 2015)

Cash and deposits

6,618,979

15,273,980

ASSETS
Current assets

Cash and deposits in trust

9,850,930

9,327,176

Accounts receivable-trade293,160

321,915

Prepaid expenses

67,30750,447

Consumption Taxes receivable

752,671--

Other

334,708

125,552

17,917,757

25,099,072

Total current assets
Noncurrent assets
Property, plant and equipment
Buildings

18,412,066

19,131,851

Accumulated depreciation

3,446,065)

3,756,280)

Buildings, net

14,966,000

15,375,570

Structures

23,371

25,437

Accumulated depreciation

9,980)(10,756)

Structures, net

13,39014,680Machinery and equipment

365,530

365,530

Accumulated depreciation

148,227)(158,575)

Machinery and equipment, net

217,303206,955

Tools, furniture and fixtures

81,66583,641

Accumulated depreciation

40,445)(43,576)

Tools, furniture and fixtures, net

41,22040,065

Land

36,127,661

37,227,497

109,693,031

111,996,581

Accumulated depreciation

17,894,099)(18,595,374)

Buildings in trust, net

91,798,931

93,401,207

388,628

369,543

Accumulated depreciation

122,722)(124,556)

Structures in trust, net

265,905

244,987

Machinery and equipment in trust

1,593,819

1,525,202

Accumulated depreciation

672,196)(617,976)

Machinery and equipment in trust, net

921,623

907,225

Tools, furniture and fixtures in trust

426,041

400,703

Accumulated depreciation

220,554)(199,832)

Tools, furniture and fixtures in trust, net

205,486

200,870

220,922,709

231,930,958

Buildings in trust*2

Structures in trust

Land in trust
Construction in progress in trust

-

1,785

365,480,232

379,551,804

Leasehold right

285,350

285,350

Leasehold right in trust

69,432

68,658

Total property, plant and equipment
Intangible assets

Right of using water facilities in trust
Total intangible assets

79-

354,862354,008

2,679,138

1,076,656

10,00010,000Investments and other assets
Investment securities
Lease and guarantee deposits
Lease and guarantee deposits in trust

123,825

122,889

Long-term prepaid expenses

1,377,453

1,308,235

17,303

13,402Others-11-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)
Total investments and other assets
Total noncurrent assets

4,207,721

2,531,184

370,042,816

382,436,997

44,63839,413

Deferred assets
Investment corporation bond issuance costs
Investment unit issuance expenses

164,420

223,603

Total deferred assets

209,059

263,017

388,169,633

407,799,087

Total assets(Thousands of Yen)
Nineteenth Fiscal Period

Twentieth Fiscal Period(As of October 31, 2014)(As of April 30, 2015)

743,307

1,123,209

Liabilities
Current Liabilities
Accounts payable
Short-term loans payable

15,900,000

3,000,000

Current portion of long-term loans payable

30,135,000

32,800,000

Accounts payable-other

256,974

267,688

Accrued expenses

133,059

106,203

747

775

Income taxes payable
Accrued consumption taxes-

248,360

Advances received

1,868,868

2,108,000

Deposits received

15,69557,47149,053,652

39,711,708

Total current liabilities
Noncurrent liabilities
Investment corporation bond

8,300,000

8,300,000

Long-term loans payable

133,350,000

130,500,000

2,183,348

2,206,468

Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust

14,437,870

15,129,761

Total noncurrent liabilities

158,271,219

156,136,230

207,324,872

195,847,938

176,632,549

206,199,945

Reserve for reduction entry

642,566

640,810

Total voluntary reserve642,566

640,810

Unappropriated retained earnings(undisposed loss)

3,569,644

5,110,392

Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
Surplus
Voluntary reserve

Total surplus
Total unitholders' equity
Total net assets*1

Total liabilities and net assets-12-

4,212,211

5,751,203

180,844,760

211,951,148

180,844,760

211,951,148

388,169,633

407,799,087

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(2) Statements of Income(Thousands of Yen）
Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 toNovember 1, 2014 to

October 31, 2014

April 30, 2015

Operating revenue
Rental revenues*1

9,799,462

11,059,042

Other rental revenues*1

1,495,944

1,777,764

Gain on sales of real estate property*2-709,632

Dividends income

1,632,716

583,909

Total operating revenue

12,928,123

14,130,349

Operating expenses
Property related expenses*1

5,557,659

6,377,604

Loss on sales of real estate property, etc.

*2

1,524,517

287,719

643,210

740,453

Asset management fee
Directors' compensation

8,400

8,400

Asset custody fee

20,43021,585Administrative service fees

52,10554,941

Audit fee

10,80010,800

Other operating expenses

82,30091,641

Total operating expenses

7,899,424

7,593,147

5,028,698

6,537,201

Operating income
Non-operating income
Interest income

650

772

Dividends and redemption-prescription

739

1,088

Interest on refund

872

589

Total non-operating income

2,262

2,450

1,048,853

1,015,443

Non-operating expenses
Interest expenses
Interest expenses on investment corporation bonds

66,162

71,026

Borrowing related expenses

288,413244,331

Amortization of investment corporation bond issuance costs

4,888

5,224

Amortization of investment unit issuance expenses

37,20456,481

Other

14,78135,4291,460,303

1,427,936

Ordinary income

Total non-operating expenses

3,570,656

5,111,715

Income before income taxes

3,570,656

5,111,715

Income taxes-current

1,210

1,326

Income taxes-deferred

4

(3)

1,214

1,322

3,569,442

5,110,392

202-

3,569,644

5,110,392

Total income taxes
Net income
Retained earnings brought forward
Unappropriated retained earnings(undisposed loss)-13-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(3) Statements of Unitholders’ Equity
Nineteenth fiscal period (May 1, 2014 to October 31, 2014)(Thousands of Yen)
Unitholders' equity
Surplus
Unitholders' capital

Balance at the start of current
periodChanges of items during theperiodIssuance of new investment units

166,261,745

Voluntary reserve
Reserve for
Reduction entry

Total Voluntary
reserve

Unappropriatedretained earnings(undisposed loss)

961,750

961,750

2,886,039

Total Surplus

3,847,789

10,370,803

Reversal of reserve for reduction
entry

Total unitholders'equityTotal net assets

170,109,535

170,109,535

10,370,803

10,370,803

319,183－－－

Distribution from surplus(3,205,020)(3,205,020)(3,205,020)(3,205,020)

Net income

3,569,442

3,569,442

3,569,442

3,569,442

Total changes of items during theperiodBalance at the end of current
period(319,183)(319,183)

10,370,803(319,183)(319,183)

683,605

364,421

10,735,225

10,735,225* 176,632,549

642,566

642,566

3,569,644

4,212,211

180,844,760

180,844,760

Twentieth fiscal period (November 1, 2014 to April 30, 2015)(Thousands of Yen)
Unitholders' equity
Surplus
Unitholders' capital

Balance at the start of current
periodChanges of items during theperiodIssuance of new investment units

176,632,549

Voluntary reserve
Reserve for
Reduction entry

Total Voluntary
reserve

642,566

642,566

Unappropriatedretained earnings(undisposed loss)

3,569,644

Total Surplus

4,212,211

29,567,396

Reversal of reserve for reduction
entry

Total unitholders'equityTotal net assets

180,844,760

180,844,760

29,567,396

29,567,396

1,755

－

－

－

Distribution from surplus(3,571,400)(3,571,400)(3,571,400)(3,571,400)

Net income

5,110,392

5,110,392

5,110,392

5,110,392

Total changes of items during theperiodBalance at the end of current
period(1,755)(1,755)29,567,396(1,755)(1,755)

1,540,747

1,538,991

31,106,387

31,106,387* 206,199,945

640,810

640,810

5,110,392

5,751,203

211,951,148

211,951,148-14-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(4) Basis for Calculating Cash Distribution(Unit: Yen)
Twentieth Fiscal Period

Nineteenth Fiscal Period(May 1, 2014 to October 31, 2014)(November 1, 2014 to April 30, 2015)

I.
II.

Retained earnings at the end of period
Voluntary reserve (Reversal)
Reversal for reserve for reduction entry

3,569,644,611
1,755,989-

III.

Total Distribution

3,571,400,600

4,600,708,255(Distribution per Unit)
Voluntary retained earnings (Provision)
Provision for reserve for reduction entry
Retained Earnings brought forward to
the next period(10,060)(11,363)-509,684,044--

Method of calculating the distribution amountIn accordance with the policy depicted in Article 35-1 of
its Articles of Incorporation, the Investment Corporation
determines that the amount of distribution shall exceed
the amount equivalent to 90% of its distributable profit
as stipulated in Article 67-15 of the Special Taxation
Measures Law, and shall be up to the amount of its
profits as the ceiling. Following this policy, theInvestment Corporation has decided to distribute¥3,571,400,600 which is the maximum integral
multiple of 355,010 units issued and outstanding as the
distribution of earnings, which based on the total
amount for the reversal of reserve for reduction entry
and unappropriated retained earnings.
Procedures for the distribution of amounts exceeding
distributable income are outlined in Article 35-2 of theInvestment Corporation’s Articles of Incorporation. In
its fiscal period under review, the Investment
Corporation has decided not to distribute cash in excess
of distributable profit.

In accordance with the policy depicted in Article 35-1 of
its Articles of Incorporation, the Investment Corporation
determines that the amount of distribution shall exceed
the amount equivalent to 90% of its distributable profit as
stipulated in Article 67-15 of the Special Taxation
Measures Law, and shall be up to the amount of its profits
as the ceiling. Following this policy, the Investment
Corporation has decided that, of the amount remaining
after the reserve for reduction entry as stipulated in Article66-2 of the Special Taxation Measures Law is deductedfrom unappropriated retained earnings, it shall distributethe maximum amount of retained earnings at theperiod-end, namely totaling ¥4,600,708,255 to 404,885
units issued and outstanding.
Procedures for the distribution of amounts exceeding
distributable income are outlined in Article 35-2 of theInvestment Corporation’s Articles of Incorporation. In its
fiscal period under review, the Investment Corporation
has decided not to distribute cash in excess of
distributable profit.

IV.
V.

-15-

5,110,392,299

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(5) Statements of Cash Flows(Thousands of Yen）

Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 to October 31, 2014

November 1, 2014 to April 30, 2015

Net cash provided by (used in)operating activities
Income before income taxes

3,570,656

5,111,715

Depreciation and amortization

2,022,380

2,221,037

Amortization of long-term prepaid expenses

276,014238,217

Interest income

650)

(772)

Interest expenses

1,115,015

1,086,470

Amortization of investment unit issuance expenses

37,20456,481

Amortization of investment corporation bond issuance expenses

4,888

5,224

Decrease (increase) in accounts receivable-trade40,603)(28,754)

Decrease (increase) in consumption taxes refund receivable533,224)752,671

Decrease (increase) in prepaid expenses

6,556)

16,859

Increase (decrease) in accounts payable

141,993

174,993

Increase (decrease) in accounts payable-other27,782

48,603

Increase (decrease) in accrued consumption taxes

24,356)248,360

Increase (decrease) in advances received

76,620239,132

Increase (decrease) in deposits received

13,376)

41,776

4,037,459

6,200,424

Decrease (increase) in long-term prepaid expenses

272,419)(169,000)

Other, net

322,247)

207,711

10,096,580

16,451,152

650

772

1,116,993)(1,109,425)

Changes in net property, plant and equipment held in trust from sale

SubtotalInterest income received
Interest expenses paid
Income taxes paid

809)

(904)

8,979,427

15,341,594

Purchase of property, plant and equipment

3,410,974)(1,829,030)

Purchase of property, plant and equipment in trust

35,614,513)(20,716,346)

Purchase of investment securities

1,592,392)-

Proceeds from investment securities

919,814

1,602,482

Payments of tenant leasehold and security deposits

110,421)(68,964)

Proceeds from tenant leasehold and security deposits

227,242

84,293

Net cash provided by (used in)operating activities
Net cash provided by (used in) investment activities

Payments of tenant leasehold and security deposits in trust

813,709)(594,151)

Proceeds from tenant leasehold and security deposits in trust

2,837,301

1,514,835

Payments of restricted bank deposits in trust

1,834,659)(88,482)

Proceeds from restricted bank deposits in trust

88,375

1,475,886

Others-936

39,303,937)(18,618,541)

Increase in short-term loans payable

17,900,000

1,500,000

Decrease in short-term loans payable

8,000,000)(14,400,000)

Net cash provided by (used in) investment activities
Net cash provided by (used in) financing activities

Proceeds from long-term loans payable

28,650,000

15,450,000

Repayment of long-term loans payable

20,611,500)(15,635,000)

Proceeds from issuance of investment corporation bonds

1,981,800-

Proceeds from issuance of new investment units

10,277,173

29,451,732

Dividends paid

3,204,771)(3,571,135)

Net cash provided by (used in) financing activities

26,992,703

12,795,597

Net increase (decrease) in cash and cash equivalents

3,331,806)

9,518,650

Cash and cash equivalents at beginning of period

17,537,840

14,206,033

14,206,033

23,724,684

Cash and cash equivalents at end of period

*

-16-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)（6）Notes to the Going Concern
Not applicable（7）Important Accounting Standards
1. Evaluation standards and evaluation method of assets

2. Depreciation of fixed assets

Securities
Other securitiesThose with no fair value
Cost method through moving-average method
Concerning silent partnership (tokumei kumiai) (TK) interests, the method of incorporating
the amount of equity equivalent to the portion that corresponds to the net gain or loss of TK isadded.
(1) Property, plant and equipment (includes trust assets)
The straight-line method is applied.
Useful lives of the assets ranging are as follows:
Buildings: 2 to 49 years
Structures: 2 to 45 years
Machinery and equipment: 3 to 17 years
Tools, furniture and fixtures: 3 to 20 years(2) Intangible assets (includes trust assets)
The straight-line method is applied.
Right of using water facilities: 6 years
Leasehold rights: Fixed term leasehold is amortized over a contractual period of 48 years and9 months under the straight-line method.

3. Accounting policies for deferred assets

4. Accounting standards for revenues and expenses

5. Accounting for hedges(3) Long-term prepaid expenses
The straight-line method is applied.
(1) Investment unit issuance costs
Unit issuance costs are amortized over a period of 3 years.
(2) Investment corporation bond issuance costs
Bond issuance costs are amortized by applying the straight-line method for the entire redemption
period.
Accounting method for property tax
Property-related taxes including property taxes and city planning taxes, etc. are imposed on
properties on a calendar year basis. These taxes are generally charged to rental expenses for theperiod, for the portion of such taxes corresponding to said period.
In connection with the acquisition of real estate including trust beneficiary interests in real estate during
the fiscal period under review, the Investment Corporation included it’s pro rata property portion forthe year in each property acquisition price and not as rental expense. The amount of property taxes
included in acquisition prices for the previous fiscal period amounted to ¥87,637 thousand and for the
fiscal period under review amounted to ¥116,100 thousand.
(1) Hedge accounting method
The deferred hedge method is applied. However, the special treatment is applied for theinterest-rate swap and interest-rate cap agreements that meet the criteria.
(2) Hedging instruments and risks hedged
Hedge instruments
The Investment Corporation enters into interest-rate swap transactions.
The Investment Corporation enters into interest-rate cap transactions.
Risks hedged
Interest rates on debt.
(3) Hedging policy
The Investment Corporation enters into derivative transactions based on its risk management
policies with the objective of hedging risks in accordance with its Articles of Incorporation.
(4) Method of evaluating the effectiveness of hedging
During the period from the commencement of hedging to the point at which effectiveness is
assessed, the Investment Corporation compares the cumulative total of market changes in thetargeted objects of hedging or cash flow changes with the cumulative total of market changes in
the hedging instruments or cash flow changes. The Investment Corporation then makes adecision based on the changes and other factors of the two.
However, the interest-rate swap and interest-rate cap agreements that meet the criteria for special
treatment, the evaluation of effectiveness are omitted.
-17-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

6. The scope of cash and cash equivalents on statements ofcash flows

7. Other significant accounting policies utilized in the
preparation of financial statements

For the purpose of cash flow statements, cash and cash equivalents consist of cash on hand, deposits
received that can be withdrawn on demand, and short-term investments with original maturities of 3
months or less, that are readily convertible to known amounts of cash and present insignificant riskof a change in value.
(1) Accounting method for trust beneficiary interests in real estate and other assets
The assets and liabilities as well as revenues and expenses of financial assets held in the form oftrust beneficiary interests in real estate and other assets are recorded in full in the Investment
Corporation’s balance sheets and statements of income.
Important line items included in accounting for financial assets and liabilities in the Investment
Corporation’s balance sheet are as follows:
1. Cash and deposits in trust
2. Buildings in trust, structures in trust, machinery and equipment in trust, tools, furniture andfixtures in trust, land in trust and construction in progress in trust
3. Leasehold rights in trust, right of using water facilities in trust
4. Lease and guarantee deposits in trust
5. Tenant leasehold and security deposits in trust(2) Accounting method for consumption tax
Consumption taxes are separately recorded. Non-deductible consumption taxes applicable to theacquisition of assets are included in the cost of acquisition for each asset.

-18-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(8)【Notes to the Financial Statements】（Notes to the Balance Sheets）*1.

Minimum unitholders’ equity pursuant to Article 67-4 of the Law Concerning Investment Trusts and Investment Corporations Law(Thousands of Yen)
Nineteenth Fiscal Period(as of October 31, 2014)

Twentieth Fiscal Period(as of April 30, 2015)
50,000*2.

50,000

The amount of advanced depreciation of property, plant and equipment acquired by government subsidy(Thousands of Yen)
Nineteenth Fiscal Period(as of October 31, 2014)
Building in trust

Twentieth Fiscal Period(as of April 30, 2014)
26,230-19-

26,230KENEDIX OFFICE INVESTMENT CORPORATION (8972)（Notes to the Statements of Income）*1. Breakdown of real estate rental business profit and loss

(Thousands of Yen)
Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 to October 31, 2014

November 1, 2014 to April 30, 2015

A. Rental and other operating revenues
Rental revenues
Leasing income

8,101,029

Common area charges

1,698,433

1,983,917

9,799,462

11,059,042

Total

9,075,125

Other rental revenues
Parking space rental revenues

350,221471,151

Utility charge reimbursement

976,930

1,019,054

Miscellaneous

168,792

287,557

Subtotal
Total rental and other operating revenues

1,495,944

1,777,764

11,295,406

12,836,807

B. Rental and other operating expenses
Property-related expenses
Property management fees and facility management fees

1,074,236

1,241,711

Utilities

1,103,866

1,208,552

Taxes

916,289

957,213

Repairs and maintenance costs

174,511437,405

Insurance

15,84018,294

Trust fees

45,44545,464

Others205,089

247,926

Depreciation

2,022,380

2,221,037

Total rental and other operating expenses

5,557,659

6,377,604

5,737,746

6,459,202

C. Rental business profit (A – B)
*2. Gain and Loss on sale of real estate property
Nineteenth Fiscal Period (May 1, 2014 to October 31, 2014)(Thousands of Yen)
(1) KDX Minami Semba Dai-1 Building
Revenue from sale of the investment property

950,000

Costs of the investment property

1,480,365

Other sales expenses

26,795

Loss on sale of real estate property

557,160(Thousands of Yen)

(2) Nissou Dai-17 Building
Revenue from sale of the investment property

1,650,000

Costs of the investment property

2,557,093

Other sales expenses

60,263

Loss on sale of real estate property

967,356

Twentieth Fiscal Period (November 1, 2014 to April 30, 2015)(Thousands of Yen)
(1) KDX Minami Semba Dai-2 Building
Revenue from sale of the investment property

1,050,000

Costs of the investment property

1,308,262

Other sales expenses

29,456

Loss on sale of real estate property

287,719-20-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(Thousands of Yen)
(2) KDX Hamacho Building
Revenue from sale of the investment property

2,430,000

Costs of the investment property

2,169,182

Other sales expenses

16,090Gain on sale of real estate property

244,727(Thousands of Yen)

(3) Venus Hibarigaoka
Revenue from sale of the investment property

1,892,169

Costs of the investment property

1,687,152

Other sales expenses

70,695Gain on sale of real estate property

134,320(Thousands of Yen)

(4) Sendai Nikko Building
Revenue from sale of the investment property

1,420,000

Costs of the investment property

1,035,826

Other sales expenses

53,588Gain on sale of real estate property

330,585（Notes to the Statements of Changes in Unitholders’ Equity）*Total number of authorized investment units and total number of investment units issued and outstanding
Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 to October 31, 2014

November 1, 2014 to April 30, 2015

Total number of authorized investment units

2,000,000 units

2,000,000 units

Total number of investment units issued and outstanding

355,010 units

404,885 units（Notes to the Statements of Cash Flow）* Reconciliation of balance sheet items to cash and cash equivalents at end of period in the cash flows statements(Thousands of Yen)
Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 to October 31, 2014

November 1, 2014 to April 30, 2015

Cash and deposits

6,618,979

15,273,980

Cash and deposits in trust

9,850,930

9,327,176

Restricted bank deposits held in trust (Note)

2,263,876)(876,472)

Cash and cash equivalents

14,206,033

23,724,684

Note: Restricted bank deposits held in trust are retained for repayment of tenant leasehold and security deposits held in trust.
（Notes to the Lease Transactions）
Operating lease transactions(Lessor)(Thousands of Yen)
Nineteenth Fiscal Period(as of October 31, 2014)

Twentieth Fiscal Period(as of April 30, 2015)

Unearned lease payments
Due within one year

2,138,972

2,246,301

Due after one year

9,346,089

10,202,935

Total

11,485,061

12,449,237（Notes to the Financial Instruments）
1. Items with Regard to the current status of Financial Instruments(1) Action Policy with Regard to Financial Instruments
The Investment Corporation procures essential funds for acquiring properties and undertaking the repayment of loans primarily through bank loans and theissuance of investment corporation bonds and new investment units. The Investment Corporation makes use of derivative instruments primarily as a risk hedge
against interest rate fluctuations and to lessen interest-rate payments. In addition, it is company policy to not conduct speculative derivative transactions.
Management of surplus funds is undertaken in a prudent manner that considers fully such factors as safety, liquidity, interest rate conditions and cash flows.
-21-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(2) Financial Instruments and Respective Risks
Investment securities are preferred equity securities of TMK as set forth by the Act on Securitization of Assets and TK interests are exposed to credit risk of theissuer and risk of fluctuation of value of real estate, etc.
Loans and investment corporation bonds are used primarily for procuring funds necessary for the acquisition of properties and have a redemption date of a
maximum of about 10 years following the closing date. Although a certain portion of said liabilities are subject to interest rate fluctuation risks, the Investment
Corporation utilizes derivative instruments (interest-rate swap transactions, etc.) in order to hedge against such risks.
Derivative instruments are interest-rate swap and interest-rate cap transactions that are used to hedge against interest rate fluctuation risks. Utilizing interest-rate
swap transactions, the Investment Corporation fixed its interest payments for funds procured on a floating interest rate basis or minimizing the risk of interest rateincrease. With regard to hedge accounting methods, hedging instruments and hedged items, hedge policy, and the method of evaluation of hedge effectiveness,please see “5. Hedge Accounting Method in notes concerning Important Accounting Standards”.
(3) Risk Management Structure with Regard to Financial Instruments
A. Management of Market Risk (Risk Associated with Fluctuations in Interest Rates and Others)
The Investment Corporation uses interest-rate swap etc., in order to minimize risks associated with interest payment rate fluctuations on funds procured.
The Investment Corporation will periodically grasp the value of real estate, etc. and financial condition, etc. of the issuer with regard to investment securities.
B. Management of Liquidity Risk (Risk of Defaulting on Payments by the Due Date) Associated with Funds Procurement
Although loans and other liabilities are subject to liquidity risks, the Investment Corporation reduces such risks by spreading out payment due dates and byusing diversified fund procurement methods. Liquidity risk is also managed by such means as regularly checking the balance of cash reserves.
(4) Supplemental Explanation of Items with Regard to Fair Value of Financial Instruments
Included in the fair value of financial products are market prices, or, in the event market prices are not available, prices that are calculated on a rational basis.
Because the factors incorporated into the calculation of these prices are subject to change, differing assumptions are adopted which may alter fair value.
2. Items with Regard to Fair Value of Financial Instruments
The book value per the balance sheet, fair values, as well as their difference are as follows. Furthermore, items whose fair values are recognized to be extremely
difficult to grasp are not included in the following table (Refer to Note 2).
Nineteenth Fiscal Period (as of October 31, 2014)(Thousands of Yen)
Book Value

Fair Value(1) Cash and deposits

6,618,979

Difference
6,618,979-(2) Cash and deposits in trust

9,850,930

9,850,930-

Total assets

16,469,910

16,469,910-(1) Short-term loans payable

15,900,000

15,900,000-(2) Investment corporation bonds

8,300,000

8,522,510

222,510

163,485,000

164,117,408

632,408

187,685,000

188,539,918

854,918---(3) Long-term loans payable
Total liabilities
Derivative Transaction
Twentieth Fiscal Period (as of April 30, 2015)(Thousands of Yen)
Book Value

Fair Value

Difference(1) Cash and deposits

15,273,980

15,273,980-(2) Cash and deposits in trust

9,327,176

9,327,176-

Total assets

24,601,156

24,601,156-(1) Short-term loans payable

3,000,000

3,000,000-(2) Investment corporation bonds

8,300,000

8,500,380

200,380

163,300,000

163,418,890

118,890

174,600,000

174,919,270

319,270---(3) Long-term loans payable
Total liabilities
Derivative Transaction

Note 1: Items with regard to the calculation method of financial instrument fair value together with investment securities and derivative transactions.
Assets(1) Cash and deposits, (2) Cash and deposits in trust
Because these are settled in the short-term, the fair value can be considered as equivalent to the book value; therefore, the book value is used to determine fair value.
-22-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Liabilities(1) Short-term loans payable
Because these are settled in the short-term, the fair value can be considered as equivalent to the book value; therefore, the book value is used to determine fairvalue.

(2) Investment corporation bonds
The fair value of investment corporation bonds is based on market prices.
(3) Long-term loans payable
The fair value of long-term borrowings is calculated based on the present value that discounts the total amount of principal and interest by using the estimated interest
rate in the event that the Investment Corporation conducts new borrowings of the same type. Among interest rate fluctuations on long-term borrowings, saidborrowings—which are subject to fixed interest rates resulting from interest-rate swaps or interest-rate caps and special treatment applied to said swaps or caps arecalculated by discounting the total amount of principal and interest, which is handled together with applicable interest-rate swaps or interest-rate caps, by the rationallyestimated interest rate in the case that the same type of borrowings are undertaken.
Derivative Transaction
Please refer to the following “Derivative Transaction.”
Note 2: Financial instruments for which it is extremely difficult to determine the fair value
Nineteenth Fiscal Period
Classification(as of October 31, 2014)
Investment securities *(Thousands of Yen)
Twentieth Fiscal Period(as of April 30, 2015)
2,679,138

1,076,656*Because no quoted market price is available and it is extremely difficult to determine the fair value, the above preferred equity securities of TMK and TK interests are
not included in the preceding table.
Note 3: Redemption schedule of monetary claims after the closing date
Nineteenth Fiscal Period (as of October 31, 2014)(Thousands of Yen)

Less than or Equal
to 1 yr.

1-2 yrs.

2-3 yrs.

3-4 yrs.

4-5 yrs.

More than 5 yrs.

Cash and deposits

6,618,979

-

-

-

-

-

Cash and deposits in trust

9,850,930

-

-

-

-

-

16,469,910

-

-

-

-

-

Total
Twentieth Fiscal Period (as of April 30, 2015)(Thousands of Yen)

Less than or Equal
to 1 yr.

1-2 yrs.

2-3 yrs.

3-4 yrs.

4-5 yrs.

More than 5 yrs.

Cash and deposits

15,273,980

-

-

-

-

-

Cash and deposits in trust

9,327,176

-

-

-

-

-

24,601,156

-

-

-

-

-

Total

Note 4: Investment corporation bonds, repayment of loans after the closing date, planned repayment amount
Nineteenth Fiscal Period (as of October 31, 2014)(Thousands of Yen)

Less than or Equal
to 1 yr.
Short-term loans payable
Investment corporation bonds
Long-term loans payable

1-2 yrs.

2-3 yrs.

3-4 yrs.

15,900,000

-

-

-

-

-

-

-

4,500,000

1,800,000-

2,000,000

30,135,000

30,800,000

16,200,000

16,750,000

12,750,000

56,850,000(Thousands of Yen)

Twentieth Fiscal Period (as of April 30, 2015）
Less than or Equal
to 1 yr.
Short-term loans payable
Investment corporation bonds
Long-term loans payable

More than 5yrs.

4-5 yrs.

1-2 yrs.

2-3 yrs.

3-4 yrs.

More than 5yrs.

4-5 yrs.

3,000,000

-

-

-

-

-

-

3,000,000

1,500,000

1,800,000-

2,000,000

32,800,000

17,700,000

19,250,000

15,050,000

14,700,000

63,800,000-23-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)（Notes to the Marketable Securities）
Nineteenth Fiscal Period (as of October 31, 2014) and Twentieth Fiscal Period (as of April 30, 2015) : Not applicable（Notes to the Derivative Transactions）(1) Items that do not apply hedge accounting
Nineteenth Fiscal Period (as of October 31, 2014) and Twentieth Fiscal Period (as of April 30, 2015) : Not applicable(2) Items that apply hedge accounting
Nineteenth Fiscal Period (as of October 31, 2014)(Thousands of Yen)
Main target of risk
hedge

Contracted amountMore than 1 yr.

Hedge accounting
methodType of Derivative Transactions

Special treatment ofinterest-rate swaps

Interest-rate swap transaction
Fixed rate payable･Floating rate receivable

Long-term loans
payable77,850,000

71,850,000＊-

Special treatment ofinterest-rate caps

Interest-rate cap transaction

Long-term loans
payable3,000,000

3,000,000＊-

80,850,000

74,850,000-

Contracted amountMore than 1 yr.

(Thousands of Yen)
Fair Calculation method forvalue applicable fair value

Total
Twentieth Fiscal Period (as of April 30, 2015）
Hedge accounting
Type of Derivative Transactions
methodMain target of risk
hedge

Fair Calculation method forvalue applicable fair value

Special treatment ofinterest-rate swaps

Interest-rate swap transaction
Fixed rate payable･Floating rate receivable

Long-term loans
payable90,550,000

86,050,000＊-

Special treatment ofinterest-rate caps

Interest-rate cap transaction

Long-term loans
payable3,000,000

2,000,000

＊

-

Total
93,550,000
88,050,000※ Special treatment of interest-rate swaps or the interest-rate caps is reported at the fair value of applicable long-term loans payable. This is because such swaps orcaps are handled together with hedged long-term loans payable.
（Notes to the Retirement Payment）
Nineteenth Fiscal Period (as of October 31, 2014) and Twentieth Fiscal Period (as of April 30, 2015): Not applicable（Notes to the Asset Retirement Obligations）
Nineteenth Fiscal Period (as of October 31, 2014) and Twentieth Fiscal Period (as of April 30, 2015): Not applicable（Notes to the Segment and Related Information）
1. Segment Information
Disclosure is omitted because the real estate leasing business is the Investment Corporation’s sole business and it has no reportable segment subject to disclosure.
2. Related Information
Nineteenth Fiscal Period (May 1, 2014 to October 31, 2014)(1) Information about each product and service
Disclosure is omitted because net sales to external customers for a single product/service category account for over 90% of the operating revenue on thestatement of income.
(2) Information about each geographic area
①Net sales
Disclosure is omitted because net sales to external customers in Japan account for over 90% of the operating revenue on the statement of income.
②Property, plant and equipment
Disclosure is omitted because the amount of property, plant and equipment located in Japan accounts for over 90% of the amount of property, plant andequipment on the balance sheet.
(3) Information about each major customer
Disclosure is omitted because net sales to a single external customer account for less than 10% of the operating revenue on the statement of income.

-24-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Twentieth Fiscal Period (November 1, 2014 to April 30, 2015)(1) Information about each product and service
Disclosure is omitted because net sales to external customers for a single product/service category account for over 90% of the operating revenue on thestatement of income.
(2) Information about each geographic area
①Net sales
Disclosure is omitted because net sales to external customers in Japan account for over 90% of the operating revenue on the statement of income.
②Property, plant and equipment
Disclosure is omitted because the amount of property, plant and equipment located in Japan accounts for over 90% of the amount of property, plant andequipment on the balance sheet.
(3) Information about each major customer
Disclosure is omitted because net sales to a single external customer account for less than 10% of the operating revenue on the statement of income.
（Notes to the Tax-Effect Accounting）
1. The significant components of deferred tax assets and liabilities(Thousands of Yen)
Nineteenth Fiscal Period(as of October 31, 2014)

Twentieth Fiscal Period(as of April 30, 2015)

Deferred tax assets
Enterprise tax payable not included in expenses
Amortization of leasehold rights in trust
Subtotal deferred tax assets
Valuation Allowance
Total deferred tax assets

29

33

2,071

2,210

2,100

2,243

2,071)

2,210)

29

33

2. Significant difference between statutory income tax rate and the effective tax rate
(Unit: %)Nineteenth Fiscal Period(as of October 31, 2014)

Twentieth Fiscal Period(as of April 30, 2015)
34.16

34.15

34.17)

30.74)-

3.41

Others0.04

0.03

Effective tax rate

0.03

0.03

Statutory tax rate
(Adjustments)
Deductible cash distributions
Provision of reserve for reduction entry

3. Tax rate changes after the nineteenth fiscal period
With the Partial Amendment to Income Tax Law (Act No.9 of 2015) promulgated on March 31, 2015, the corporation tax has been changed and becoming
effective for the business year starting on April 1, 2015 and after. Accordingly, the effective statutory tax rate used to calculate deferred tax assets and deferred tax
liabilities concerning temporary differences, etc. expected to be resolved in accounting periods starting on April 1, 2015 and after will be changed to 32.31%.
The effect of the announced tax rate changes is immaterial.
(Notes to the Equity-Method Income and Retained Earnings)
Nineteenth Fiscal Period (May 1, 2014 to October 31, 2014) and Twentieth Fiscal Period (November 1, 2014 to April 30, 2015): Not applicable(Notes to the Related-Party Transactions)
1．Parent Company, corporate unitholders’ and otherNineteenth Fiscal Period (May 1, 2014 to October 31, 2014) and Twentieth Fiscal Period (November 1, 2014 to April 30, 2015): Not applicable
2．Affiliated companies and otherNineteenth Fiscal Period (May 1, 2014 to October 31, 2014) and Twentieth Fiscal Period (November 1, 2014 to April, 2015): Not applicable-25-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

3．Fellow subsidiary companies and otherNineteenth Fiscal Period (May 1, 2014 to October 31, 2014) and Twentieth Fiscal Period (November 1, 2014 to April 30, 2015): Not applicable
4．Directors, individual unitholders’ and otherNineteenth Fiscal Period (May 1, 2014 to October 31, 2014) and Twentieth Fiscal Period (November 1, 2014 to April 30, 2015): Not applicable（Notes to the Fair Value of Real Estate for Rental Purposes）
The Investment Corporation owns real estate for rental purposes mainly in the Tokyo Metropolitan Area for the purpose of generating rental revenue.
The book value per balance sheet for the fiscal period under review and fair value concerning the above real estate for rental purposes are as follows.
(Thousands of Yen)
Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 to October 31, 2014

November 1, 2014 to April 30, 2015

Book Value (Thousands of Yen)
Balance at the beginning of the period

332,883,294

365,835,094

Changes during the period

32,951,800

14,070,718

Balance at the end of the period

365,835,094

379,905,813

Fair value at the end of period
358,470,000
381,864,000
Note 1: Book value excludes accumulated depreciation from acquisition costs.
Note 2: Fair value at the end of the fiscal period under review is the appraisal value determined by outside appraisers.
Note 3: Among changes in the amount of real estate for rental purposes that occurred during the nineteenth fiscal period, principal increases were the acquisition ofreal estate in 2 properties and real estate trust beneficiary interests in 5 properties totaling ¥38,462,888 thousand, the sale of real estate trust beneficiaryinterests in 2 properties amounting ¥4,037,459 thousand and depreciation amounting in ¥2,022,380 thousand and principal increases were the acquisition ofreal estate in 1 property and real estate trust beneficiary interests in 6 properties totaling ¥22,140,043 thousand, the sale of real estate trust beneficiary interests
in 4 properties amounting ¥6,200,424 thousand and depreciation amounting in ¥2,221,037 thousand and for the fiscal period under review.
Income and loss for real estate for rental purposes is listed in Notes to the Statements of Income.
(Notes to the Information per Unit)
Nineteenth Fiscal Period

Twentieth Fiscal Period

May 1, 2014 to October 31, 2014

November 1, 2014 to April 30, 2015

Unitholders’ Equity per Unit

¥509,407¥523,484

Net Income per Unit
¥10,149¥12,859
Note 1: Net Income per Unit is calculated by dividing Net Income by the weighted average (based on number of days) number of units. Net income per unit after
adjusting for residual units is not included because there were no residual investment units.
Note 2: The calculation for the net income per unit is as follow.
Nineteenth Fiscal Period
Twentieth Fiscal Period
Net Income (Thousands of Yen)
Amount not vested in ordinary investors(Thousands of Yen）
Net income for ordinary units(Thousands of Yen)
Average number of units during the period(unit)

May 1, 2014 to October 31, 2014
3,569,442

November 1, 2014 to April 30, 2015
5,110,392--

3,569,442

5,110,392

351,672

397,394(Important Subsequent Events)
Not applicable.

-26-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)（9）Movements in Investment Units Issued and Outstanding
Movements in the number of investment units issued and outstanding and unitholders’ capital since first fiscal periods are summarized in the following table.
Investment Units Issued andUnitholders’ Capital
Outstanding (Units)(Millions of Yen)
Remarks
Settlement Date
Particulars
Increase
Increase
Balance
Balance(Decrease)(Decrease)
May 6, 2005
Private placement
400
400
200
200
(Note 1)
July 20, 2005
Public offering
75,00075,40041,86842,068(Note 2)
August 16, 2005
Third-party allotment
3,970
79,3702,216
44,285(Note 3)
May 1, 2006
Public offering
73,660153,030
42,17186,456(Note 4)
May 26, 2006
Third-party allotment
3,970
157,000
2,272
88,729(Note 5)
May 22, 2007
Public offering
40,900
197,900
34,474
123,203(Note 6)
June 19, 2007
Third-party allotment
2,100
200,000
1,770
124,973(Note 7)
November 16, 2009
Public offering
33,550233,550
8,156
133,129(Note 8)July 20, 2011
Public offering
51,400284,950
13,600146,730(Note 9)August 8, 2011
Third-party allotment
1,600
286,550
423
147,153(Note 10)
November 13, 2013
Public offering
43,800330,350
18,198165,351(Note 11)
December 10, 2013
Third-party allotment
2,190
332,540909
166,261(Note 12)
May 27, 2014
Public offering
21,400353,940
9,876
176,138(Note 13)
June 24, 2014
Third-party allotment
1,070
355,010493
176,632(Note 14)
November 27, 2014
Public offering
47,685
402,695
28,269204,901(Note 15)
December 24, 2014
Third-party allotment
2,190
404,885
1,298
206,199(Note 16)
Note 1: The Investment Corporation was established with an offer price of ¥500,000 per unit.
Note 2: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties. The offer price was ¥580,000 per unit with an underwritten price of ¥558,250 per unit.
Note 3: The Investment Corporation undertook an additional issue of new investment units by way of third-party allotment with the aim of procuring funds for theacquisition of investment properties. The issue price was ¥558,250 per unit.
Note 4: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties. The offer price was ¥593,096 per unit with an issue price of ¥572,519 per unit.
Note 5: The Investment Corporation undertook an additional issue of new investment units by way of third-party allotment with the aim of procuring funds for theacquisition of investment properties. The issue price was ¥572,519 per unit.
Note 6: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties and repayment of borrowings. The offer price was ¥873,180 per unit with an issue price of ¥842,886 per unit.
Note 7: The Investment Corporation undertook an additional issue of new investment units by way of third-party allotment with the aim of procuring funds for theacquisition of investment properties and repayment of borrowings. The issue price was ¥842,886 per unit.
Note 8: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties. The offer price was ¥252,200 per unit with an issue price of ¥243,100 per unit.
Note 9: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties and repayment of borrowings. The offer price was ¥274,510 per unit with an issue price of ¥264,605 per unit.
Note 10: The Investment Corporation undertook an additional issue of new investment units by way of third-party allotment with the aim of procuring funds forthe repayment of borrowings. The issue price was ¥264,605 per unit.
Note 11: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties and repayment of borrowings. The offer price was ¥430,950 per unit with an issue price of ¥415,480 per unit.
Note 12: The Investment Corporation undertook an additional issue of new investment units with an issue price of ¥415,480 per unit by way of third-party
allotment because cash on hand was allocated as a portion of the funds for the acquisition of new properties, the funds from the issuance of new
Investment Units by third-party allotment are allocated as proceeds to compensate for the decrease of cash on hand.
Note 13: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
investment properties. The offer price was ¥478,725 per unit with an issue price of ¥461,540 per unit.
Note 14: The Investment Corporation undertook an additional issue of new investment units with an issue price of ¥461,540 per unit by way of third-party
allotment because cash on hand was allocated as a portion of the funds for the acquisition of new properties, the funds from the issuance of new
Investment Units by third-party allotment are allocated as proceeds to compensate for the decrease of cash on hand.
Note 15: The Investment Corporation undertook an additional issue of new investment units (public offering) with the aim of procuring funds for the acquisition of
new properties and a portion of funds for the repayment of borrowings. The offer price was ¥614,250 per unit with an issue price of ¥592,830 per unit.
Note 16: The Investment Corporation undertook an additional issue of new investment units with an issue price of ¥592,830 per unit through by way of third-party
allotment in aim to procure procedure for compensate as funds for the future acquisition of specified assets or a portion of funds for the repayment ofborrowings.
4. Resignation/Appointment of the Directors(1) Resignation/Appointment of the Director of the Investment Corporation
Not applicable(2) Resignation/Appointment of the Director of the Asset Management Company
Not applicable-27-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

5. Reference Information（1）Component of Assets
Nineteenth Fiscal Period(as of October 31, 2014)

Type of

Type

Specified Asset

Real Estate

Area

Tokyo Metropolitan Area

Office Buildings
Total for Office Buildings

Total for Real Estate
Office Buildings

Trust BeneficiaryInterest in Real Estate

3.4

13,0973.2

51,65013.3

53,15013.0

Ratio(%) (Note 2)
9.8

51,65013.3

53,15013.0

231,85359.7

240,702

59.0

Other Regional Areas

51,03713.1

56,61413.9

282,89172.9

297,316

72.9

Tokyo Metropolitan Area

4,756

1.2

4,711

1.2

Other Regional Areas

1,708

0.4

-

-

6,465

1.7

4,711

1.2

21,853

5.6

21,753

5.3

21,853

5.6

21,753

5.3

Total for Residential Properties
Central Urban RetailTokyo Metropolitan Area
Properties
Total for Central Urban Retail Properties
Others

13,201

Ratio(%) (Note 2)

Tokyo Metropolitan Area

Total for Office Buildings
Residential Properties

9.9

Total Amount Held
(Millions of Yen)
(Note 1)40,052

Total Amount Held
(Millions of Yen)
(Note 1)
38,449Other Regional Areas

Twentieth Fiscal Period(as of April 30, 2015)

Tokyo Metropolitan Area

2,973

0.8

2,973

0.7

2,973

0.8

2,973

0.7

314,18480.9

326,755

80.1

Investment Securities (Note 3)

2,679

0.7

1,076

0.3

Bank Deposits and Other Assets

19,655

5.1

26,816

6.6

Total Assets

388,169

100.0

407,799

100.0

Total for Others
Total of Trust Beneficiary Interests in Real Estate

Note 1: “Total Amount Held” is the amount allocated in the balance sheets at the end of the period (figures are on a net book value basis after deducting depreciation),and is rounded down to the nearest ¥1 million.
Note 2: “Ratio” is the ratio of the amount allocated in the balance sheets to the total assets rounded to the first decimal place.
Note 3: The preferred equity securities issued by Toyonaka Property TMK and interests in a silent partnership operated by G.K. KRF 43 are indicated for the previous
fiscal period, and the interests in a silent partnership operated by G.K. KRF 43 are indicated for the current fiscal period.
Nineteenth Fiscal Period(as of October 31, 2014)
Amount (Millions of Yen)

Twentieth Fiscal Period(as of April 30, 2015)

Ratio (%)

207,324
180,844
388,169

Total of Liabilities
Total Unitholders’ Equity
Total of Assets

Amount (Millions of Yen)

53.4
46.6
100.0

Ratio (%)

195,847
211,951
407,799

48.0
52.0
100.0

(2) Details of Investment Assets① Major components of investment securities
Type of Assets
Silent Partnership
Equity Interest

Name
G.K. KRF43 Silent Partnership
Equity Interest (Note 3)

Number ofBook Value

Evaluation Value (Note 1)

Ratio (%)

Units

(Millions of Yen)

(Millions of Yen)

(Note 2)-

1,076

Note 1: Book value is stated for the evaluation value.
Note 2: “Ratio” is the ratio of the amount allocated in the balance sheets to the total assets rounded to the first decimal place.
Note 3: Operating asset is the trust beneficiary interest in real estate of Shinjuku Sanei Building.

-28-

1,076

0.3

KENEDIX OFFICE INVESTMENT CORPORATION (8972)②. Properties Roster
A. The Price of the Investment Properties and the Investment Ratio(Unit: Millions of Yen)
Appraisal Value at the end of Twentieth Fiscal Period

Type

OfficeBuildings

Area

Tokyo
Metropolitan
Area

No.

Property Name

Acquisition
Price（Note 1）

Amount on
the Balance
Sheet(Note 2)

Direct Capitalization
Method(Note 3)

Discounted Cash Flow Method

Value

Overall
Capitalization
Rate (%)

Value

Discount
Rate (%)

Terminal
Capitalization
Rate (%)

Appraiser(Note 4)

Ratio(%)
(Note 5)A-1

KDX Nihonbashi 313 Building

5,940

5,953

6,650

6,960

4.3

6,520

4.1

4.5

B

1.5

A-3

Higashi-Kayabacho Yuraku Building

4,450

4,204

4,920

4,990

4.5

4,850

4.2

4.6

A

1.1

A-4

KDX Hatchobori Building

3,680

3,365

3,080

3,180

4.6

3,040

4.4

4.8

B

0.9

A-5

KDX Nakano-Sakaue Building

2,533

2,387

2,270

2,330

4.8

2,250

4.6

5.0

B

0.6

A-6

Harajuku F.F. Building

2,450

2,404

3,100

3,120

4.9

3,080

4.6

5.0

A

0.6

A-7

KDX Minami Aoyama Building(Note 6)

2,270

2,220

2,400

2,420

4.3

2,380

4.0

4.4

A

0.5

A-8

Kanda Kihara Building

1,950

1,818

1,620

1,680

4.6

1,590

4.4

4.8

B

0.5

A-13

KDX Kojimachi Building

5,950

5,621

4,520

4,560

4.1

4,480

3.8

4.2

A

1.5

A-14

KDX Funabashi Building

2,252

2,294

2,010

2,010

5.9

2,010

5.6

6.0

A

0.5

A-16

Toshin 24 Building

5,300

4,946

4,370

4,400

5.3

4,340

5.0

5.4

A

1.3

A-17

KDX Ebisu Building

4,640

4,484

4,600

4,610

4.4

4,580

4.0

4.5

A

1.2

A-19

KDX Hamamatsucho Building

3,460

3,120

3,240

3,350

4.2

3,190

4.0

4.4

B

0.8

A-20

KDX Kayabacho Building

2,780

2,782

2,530

2,540

4.8

2,520

4.3

4.8

A

0.7

A-21

KDX Shinbashi Building

3,728

3,791

4,280

4,320

4.1

4,240

3.8

4.2

A

0.9

A-22

KDX Shin-Yokohama Building

2,520

2,335

2,120

2,120

5.7

2,110

5.3

5.7

A

0.6

A-26

KDX Kiba Building

1,580

1,498

1,380

1,400

5.2

1,350

4.9

5.4

A

0.4

A-27

KDX Kajicho Building

2,350

2,319

2,230

2,300

4.6

2,200

4.4

4.8

B

0.6

A-28

KDX Nogizaka Building

1,065

1,100

688

694

5.1

682

4.8

5.2

A

0.2

A-29

KDX Higashi-Shinjuku Building

2,950

3,101

3,460

3,560

4.7

3,410

4.5

4.9

B

0.7

A-30

KDX Nishi-Gotanda Building

4,200

3,965

3,970

4,000

4.8

3,930

4.5

4.9

A

1.0

A-31

KDX Monzen-Nakacho Building

1,400

1,352

1,110

1,170

5.2

1,090

5.0

5.4

B

0.3

A-32

KDX Shiba-Daimon Building

6,090

6,104

4,760

4,760

4.6

4,750

4.2

4.6

A

1.5

A-33

KDX Okachimachi Building

2,000

2,076

1,940

1,990

4.6

1,920

4.5

4.8

B

0.5

A-34

KDX Hon-Atsugi Building

1,305

1,200

1,110

1,140

5.9

1,090

5.7

6.1

B

0.3

A-35

KDX Hachioji Building

1,155

1,243

993

985

5.6

997

5.4

5.8

B

0.2

A-37

KDX Ochanomizu Building

6,400

6,492

6,680

6,760

4.4

6,600

4.1

4.5

A

1.6

A-38

KDX Nishi-Shinjuku Building

1,500

1,551

1,180

1,180

4.8

1,170

4.5

4.9

A

0.3

A-39

KDX Toranomon Building

4,400

4,716

3,610

3,630

4.1

3,580

3.8

4.2

A

1.1

A-40

Toranomon Toyo Building

9,850

9,929

10,70010,8004.3

10,600

3.9

4.4

A

2.5

A-41

KDX Shinjuku 286 Building

2,300

2,343

2,430

2,440

4.4

2,420

4.1

4.5

A

0.5

A-45

KDX Roppongi 228 Building

3,300

3,413

2,130

2,160

4.4

2,090

4.1

4.5

A

0.8

A-46

Hiei Kudan-Kita Building

7,600

7,547

7,680

7,990

4.2

7,550

4.0

4.4

B

1.9

A-47

KDX Shin-Yokohama 381 Building

5,800

5,630

4,140

4,160

5.6

4,110

5.3

5.7

A

1.5

A-48

KDX Kawasaki-Ekimae Hon-cho
Building

3,760

3,634

3,020

3,030

5.7

3,000

5.0

5.6

A

0.9

A-50

KDX Ikejiri-Oohashi Building

2,400

2,400

1,550

1,560

5.2

1,540

4.9

5.3

A

0.6

A-51

KDX Hamacho Nakanohashi Building

2,310

2,283

1,860

1,880

4.8

1,840

4.5

4.9

A

0.5

A-52

KDX Kanda Misaki-cho Building

1,380

1,356

959

980

4.7

937

4.4

4.8

A

0.3

A-55

Shin-toshin Maruzen Building

2,110

2,115

1,610

1,620

4.8

1,600

4.4

5.0

A

0.5

A-56

KDX Jimbocho Building

2,760

2,897

2,020

2,040

4.7

1,990

4.3

4.8

A

0.7

A-57

KDX Gobancho Building

1,951

1,927

1,420

1,430

4.4

1,410

4.1

4.5

A

0.5

A-59

KDX Iwamoto-cho Building

1,864

1,725

1,430

1,440

4.9

1,420

4.6

5.0

A

0.4

A-60

KDX Harumi Building

10,250

9,264

8,470

8,590

4.5

8,350

4.1

4.5

A

2.6

A-61

KDX Hamamatsucho Dai-2 Building

2,200

2,260

1,950

2,010

4.2

1,920

4.0

4.4

B

0.5

A-62

Koishikawa TG Building

3,080

3,060

3,270

3,290

4.6

3,240

4.3

4.7

A

0.7

A-63

Gotanda TG Building

2,620

2,743

2,830

2,850

4.7

2,800

4.4

4.8

A

0.6

A-64

KDX Nihonbashi 216 Building

2,010

1,906

1,880

1,890

4.2

1,870

3.9

4.3

A

0.5

-29-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)
Appraisal Value at the end of Twentieth Fiscal Period
Type

Area

Tokyo
Metropolitan
Area

OfficeBuildings

Other Regional
Areas

No.

Property Name

Acquisition Amount on
the Balance
Price
Sheet
（Note 1）
(Note 2)

Direct Capitalization
Method(Note 3)

Discounted Cash Flow Method

Value

Overall
Capitalization
Rate (%)

Value

Discount
Rate (%)

Terminal
Capitalization
Rate (%)

Appraiser(Note 4)

Ratio(%)
(Note 5)A-66

KDX Shinjuku Building

6,800

6,879

7,000

7,020

4.2

6,980

3.8

4.2

A

1.7

A-67

KDX Ginza 1chome Building

4,300

4,244

5,260

5,400

4.0

5,200

3.8

4.2

B

1.1

A-68

KDX Nihonbashi Honcho Building

4,000

3,970

4,500

4,630

4.4

4,440

4.2

4.6

B

1.0

A-71

KDX Iidabashi Building

4,670

4,606

5,320

5,470

4.4

5,260

4.2

4.6

B

1.2

A-72

KDX Higashi-Shinagawa Building

4,590

4,833

4,450

4,660

4.6

4,360

4.4

4.8

B

1.1

A-73

KDX Hakozaki Building

2,710

2,804

2,940

3,020

4.8

2,900

4.6

5.0

B

0.7

A-74

KDX Shin-Nihonbashi Building

2,300

2,179

2,630

2,680

4.2

2,610

4.0

4.4

B

0.5

A-75

KDX Nihonbashi Kabutocho Building

11,27011,294

11,80011,900

4.4

11,600

4.0

4.4

A

2.9

A-78

KDX Tachikawa Ekimae Building

1,267

1,307

1,460

1,460

5.5

1,450

5.2

5.6

A

0.3

A-83

KDX Fuchu Building

6,120

6,042

6,850

6,910

5.2

6,830

5.0

5.4

B

1.5

A-84

KDX Kasuga Building

2,800

2,813

3,530

3,560

4.6

3,500

4.3

4.7

A

0.7

A-85

KDX Nakameguro Building

1,880

1,892

2,340

2,440

4.8

2,300

4.6

5.0

B

0.4

A-86

KDX Omiya Building

2,020

2,221

2,610

2,630

5.4

2,600

5.2

5.6

B

0.5

A-87

Itopia Nihonbashi SA Building

2,200

2,256

2,360

2,360

4.7

2,360

4.5

4.9

B

0.5

A-88

KDX Shinjuku 6-chome Building(Note 6)

1,900

1,906

2,400

2,460

4.6

2,370

4.4

4.8

B

0.4

A-89

KDX Takanawadai Building

5,250

5,299

5,830

5,880

4.6

5,770

4.3

4.7

A

1.3

A-90

KDX Ikebukuro Building

3,900

3,840

4,340

4,420

4.3

4,300

4.1

4.5

B

1.0

A-91

KDX Mita Building

3,180

3,181

3,500

3,530

4.5

3,460

4.2

4.6

A

0.8

A-92

KDX Akihabara Building

2,600

2,593

2,900

2,930

4.4

2,870

4.1

4.5

A

0.6

A-93

Aplus Tokyo Building

4,350

4,543

4,720

4,660

4.4

4,740

4.4

4.6

B

1.1

A-94

KDX Musashi-Kosugi Building

12,00011,841

13,40013,5004.8

13,300

4.5

4.9

A

3.1

A-95

KDX Toyosu Grand Square

8,666

8,563

8,930

9,230

4.9

8,800

4.7

5.1

B

2.2

A-96

KDX Takadanobaba Building (Note 6)

3,650

3,667

3,980

4,080

4.7

3,940

4.4

4.9

B

0.9

A-99

Tosen Ikebukuro Building

1,934

1,960

1,980

2,040

4.6

1,950

4.4

4.8

B

0.5

A-101

Urban Square Yokohama

7,210

7,240

7,640

7,920

4.8

7,520

4.6

5.0

B

1.8

A-102

Yokohama Nishiguchi SIA Building

2,750

2,760

2,910

2,970

4.8

2,890

4.6

5.0

B

0.7

A-103

Shin-Yokohama 214 Building

2,200

2,204

2,220

2,240

5.4

2,200

5.1

5.5

A

0.5

A-105

BUREX Toranomon

1,750

1,773

2,090

2,100

4.0

2,070

3.7

4.1

A

0.4

A-107

35 Sankyo Building

3,600

3,629

3,630

3,670

4.5

3,590

4.2

4.6

A

0.9

A-108

Pentel Building

3,350

3,508

3,434

3,390

4.3

3,392

4.1

4.5

B

0.8

A-12

Portus Center Building

5,570

4,294

4,950

5,000

6.0

4,930

5.8

6.2

B

1.4

A-42

Karasuma Building

5,400

5,248

5,100

5,190

5.2

5,060

5.0

5.4

B

1.4

A-44

KDX Sendai Building

2,100

2,067

1,600

1,600

5.8

1,600

5.8

6.0

B

0.5

A-53

KDX Hakata-Minami Building

4,900

4,653

3,560

3,580

6.4

3,540

6.1

6.5

A

1.2

A-54

KDX Kitahama Building

2,220

2,118

1,540

1,540

5.8

1,540

5.3

5.9

A

0.5

A-58

KDX Nagoya Sakae Building

7,550

7,076

4,990

5,110

4.8

4,940

4.6

5.0

B

1.9

A-69

KDX Kobayashi-Doshomachi Building

2,870

2,438

2,650

2,670

6.5

2,620

4.9

6.6

A

0.7

A-70

KDX Sapporo Building

2,005

2,008

2,020

2,090

5.4

1,990

5.2

5.6

B

0.5

A-79

KDX Nagoya Ekimae Building

7,327

8,024

7,890

7,950

4.8

7,830

4.5

4.9

A

1.9

A-80

Nagoya Nikko Shoken Building

4,158

4,224

4,150

4,170

5.2

4,120

4.9

5.3

A

1.0

A-82

KDX Higashi Umeda Building

2,770

2,678

3,540

3,620

4.7

3,510

4.5

4.9

B

0.7

A-97

KDX Utsunomiya Building (Note 6)

2,350

2,328

2,540

2,550

6.0

2,530

5.8

6.2

B

0.6

A-98

Hiroshima Ekimae-dori Mark Building

1,300

1,367

1,410

1,420

6.2

1,400

5.8

6.2

A

0.3

A-100

Senri Life Science Center Building

13,00012,972

13,30013,5005.0

13,200

4.8

5.2

B

3.3

A-104

KDX Minami-Honmachi Building

2,200

2,194

2,560

2,570

5.0

2,550

4.7

5.1

A

0.5

A-106

KDX Sakura-dori Builsing

5,900

6,014

7,250

7,390

5.0

7,190

4.8

5.2

B

1.5

354,681

350,466

350,174

355,429-

346,738--

Subtotal of Office Buildings (92 properties)

-30-

-

92.1

KENEDIX OFFICE INVESTMENT CORPORATION (8972)
Appraisal Value at the end of Twentieth Fiscal Period
Type

Residential

Area

No.

Tokyo
Metropolitan
Area

B-19

Property Name

Residence Charmante Tsukishima

Direct Capitalization
Method(Note 3)

Discounted Cash Flow Method

Value

Overall
Capitalization
Rate (%)

Value

Discount
Rate (%)

Terminal
Capitalization
Rate (%)

Appraiser(Note 4)

Ratio(%)
(Note 5)

5,353

4,711

4,900

4,940

4.7

4,860

4.4

4.8

A

1.3

5,353

4,711

4,900

4,940

-

4,860

-

-

-

1.3

Frame Jinnan-zaka

9,900

9,508

10,100

10,200

4.0

9,900

3.7

4.1

A

2.5

C-2

KDX Yoyogi Building

2,479

2,492

2,060

2,060

5.0

2,060

4.5

5.1

A

0.6

C-4

Ginza 4chome Tower

9,800

9,753

11,60011,7003.6

11,500

3.3

3.7

A

2.5

22,17921,75323,76023,960-23,460

-

-

-

5.7

2,880

2,973

3,030

3,060

4.1

3,020

4.0

4.1

B

0.7

Subtotal of Others (1 property)

2,880

2,973

3,030

3,060

-

3,020

-

-

-

0.7

Total of 97 properties

385,094379,905

381,864

387,389-

378,078

-

-

-

100.0

Subtotal of Residential Properties (1 property)
C-1
Central Urban
Tokyo
RetailMetropolitan
Properties
Area

Subtotal of Central Urban Retail Properties (3 properties)
OthersAcquisition Amount on
the Balance
Price
Sheet
（Note 1）
(Note 2)

Tokyo
Metropolitan
Area

D-2

Shinjuku 6-chome Building (Land)

Note 1: Acquisition price is the purchase price for trust beneficiary interests or properties acquired by the Investment Corporation (excluding acquisition costs,
property tax, city-planning tax, and consumption tax, etc., rounded down to the nearest million yen.).
Note 2: Figures of less than 1 million are rounded down from the amounts on the balance sheet.
Note 3: Appraisal values (end of the nineteenth fiscal period) are based on the asset valuation method and standards outlined in the Investment Corporation’s
Articles of Incorporation and regulations formulated by the Investment Trusts Association, Japan. Appraisal values are drawn from valuation reports
prepared by Japan Real Estate Institute and Daiwa Real Estate Appraisal Co., Ltd.
Note 4: As of the fiscal period under review, appraisals of the properties were entrusted to two appraisers: Japan Real Estate Institute and Daiwa Real EstateAppraisal Co., Ltd. In the table, the appraisers are referred to as “A” for Japan Real Estate Institute and “B” for Daiwa Real Estate Appraisal Co., Ltd.
Note 5: Figures are the acquisition price of each asset as a percentage of the total acquisition prices for the portfolio rounded down to the nearest first decimal place.
The figures entered in the subtotal and total columns are those obtained by dividing the subtotal (total) of acquisition prices of properties corresponding toeach subtotal and total column by the total acquisition price of the entire assets (97 properties).
Note 6: The Investment Corporation changed the property names for the following buildings. Same applies below.
No.

New Property Name

Old Property Name

Change of Date

A-96

KDX Takadanobaba Building

Grace Building Takadanobaba

February 1, 2015

A-97

KDX Utsunomiya Building

Fumix STM Building

February 1, 2015

A-7

KDX Minami Aoyama Building

FIK Minami Aoyama

April 1, 2015

A-88

KDX Shinjuku 6-chome Building

Welship Higashi-Shinjuku

April 1, 2015

-31-

-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

B. Property Distribution
Distribution by Property TypesType

Number of
Properties

Acquisition Price(Millions of Yen)

Ratio (Note) (%)

Office Buildings

92354,68192.1

Residential Properties

1

5,353

1.3

Central Urban Retail Properties

3

22,179

5.7

Others

1

2,880

0.7

97

385,094

100.0

Total
Geographic Distribution
Area

Number of
Properties

Acquisition Price(Millions of Yen)

Ratio (Note) (%)

Tokyo Metropolitan Area

81

313,474

81.4

Other Regional Areas

16

71,62018.5

97385,094

100.0

Total
Property Distribution by Acquisition Price
Acquisition Price (Millions of Yen)

Number of

Acquisition Price

Properties(Millions of Yen)

Ratio (Note) (%)

Less than 1,000

0

-

-

1,000 - 2,500

37

71,90818.6

2,500 - 5,00035

122,88931.9

5,000 - 7,500

1590,41023.4

7,500 - 10,000

653,36613.8

10,000 - 12,500

333,5208.7

12,500 – 15,000

1

13,0003.3

97385,094

100.0

Total

Note: “Ratio” refers to the percentage of the acquisition price by each category to the acquisition prices of the entire portfolio.
Figures are rounded down to the nearest first decimal place. Accordingly, the sum total of each item may be less than 100%.

-32-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

C. Details of Investment Real Estate and Trust Real Estate(a) Overview of Investment Real Estate Properties and Trust Real Estate
Type

OfficeBuildings

Area

Tokyo
Metropolitan
Area

No.

Property Name

Site Area(m2)(Note 1)

A-1

KDX Nihonbashi 313 Building

1,047.72

Offices

8,613.09

A-3

Higashi-Kayabacho Yuraku Building

773.43

Offices

5,916.48

A-4

KDX Hatchobori Building

992.20

Offices

4,800.43

Usage(Note 2)

Total Floor Area(m2)(Note 3)

Offices, Retail Shops
Residential, Parking
Storage
Retail Shops, Offices
Parking
Offices, Retail Shops
Residential

A-5

KDX Nakano-Sakaue Building

1,235.16

A-6

Harajuku F.F. Building

699.67

A-7

KDX Minami Aoyama Building

369.47

A-8

Kanda Kihara Building

410.18

Offices

2,393.94

A-13

KDX Kojimachi Building

612.17

Offices, Retail Shops

5,323.81

A-14

KDX Funabashi Building

1,180.41

Offices, Retail Shops

5,970.12

A-16

Toshin 24 Building

1,287.16

Offices, Retail Shops
Parking

8,483.17

A-17

KDX Ebisu Building

724.22

Offices, Retail Shops

4,394.58

Offices, Retail Shops
Parking

3,592.38

Offices, Parking

3,804.86

A-19

KDX Hamamatsucho Building

504.26

A-20

KDX Kayabacho Building

617.17

Offices, Retail Shops
Parking
Offices, Retail Shops
Parking

6,399.42
3,812.44
1,926.98

A-21

KDX Shinbashi Building (Note 7)

536.11A-22

KDX Shin-Yokohama Building

705.00A-26

KDX Kiba Building

922.77

Offices, Parking

2,820.64

A-27

KDX Kajicho Building

526.43

Offices, Retail Shops

3,147.70

Offices, Retail Shops
Residential
Offices
Storage, Parking

3,960.22
6,180.51

A-28

KDX Nogizaka Building

409.36A-29

KDX Higashi-Shinjuku Building

1,340.97

A-30

KDX Nishi-Gotanda Building

684.41

Offices, Parking

5,192.87

A-31

KDX Monzen-Nakacho Building

580.99

Offices, Retail Shops

2,668.91

A-32

KDX Shiba-Daimon Building

1,188.28

Offices

7,824.03

A-33

KDX Okachimachi Building

239.72

Offices

1,882.00

A-34

KDX Hon-Atsugi Building

724.62

Offices, Retail Shops

3,603.63

Offices, Parking
Retail Shops
Offices, Storage
Retail Shops, Parking
Mechanical Room

1,695.07
7,885.40

A-35

KDX Hachioji Building

460.62A-37

KDX Ochanomizu Building

1,515.28

A-38

KDX Nishi-Shinjuku Building

626.06

Offices, Parking

2,017.63

A-39

KDX Toranomon Building

288.20

Offices, Retail Shops

2,277.38
8,346.83

2,821.21
7,720.08

Type of Structure(Note 4)Completion Date
(Note 5)PML(%)
(Note 6)

SRC
B2F9
SRC
B1F9
SRC・RC
B1F8April 1974

7.32

January 1987

3.71

June 1993

3.74

SRC
B1F11

August 1992

3.72

November 1985

5.88

November 1988

6.34

May 1993

4.26

May 1994

2.34

April 1989

4.17

September 1984

6.05

January 1992

7.35

September 1999

4.86

October 1987

4.25

February 1992

4.44

September 1990

6.88

October 1992

4.70

March 1990

7.11

May 1991

11.76

January 1990

6.03

November 1992

8.29

September 1986

3.83

July 1986

4.58

June 1988

4.00

May 1995

6.38

December 1985

7.53

August 1982

5.93

October 1992

10.39

April 1988

4.33

August 1962

5.87

August 1989

5.92

April 1989

6.45

SRC
F11
SRC
B1F9
SRC・RC・S
B1F8
SRC
B2F9
SRC
B1F8
SRC
B1F8
SRC
B1F7
S
F9
SRC
F8
SRC・S
B1F8
S
B1F9
RC
F5
SRC
B1F8
RC
B1F5
SRC
B1F9
SRC
B1F8
SRC
F8
SRC
B1F9
S
F10
SRC
F8
SRC
F9
SRC
B1F7
RC
F5
SRC
B1F9
RC
B2F9
SRC・RC
B1F9
SRC
B1F9

A-40

Toranomon Toyo Building

869.01

Bank, Offices
Retail Shops, Storage

A-41

KDX Shinjuku 286 Building

421.70

Offices, Parking

3,432.04

A-45

KDX Roppongi 228 Building

408.86

Offices, Retail Shops

2,235.30
11,425.31

SRC･S
B1F11

March 1988

4.33

SRC・RC
B1F10

March 1988
(Existing Tower)
April 2009
(Additional Tower)

10.64

February 1985

4.71

September 1988

6.75

September 1988

3.71

October 1992

4.89

July 1990

5.99

May 1994

5.14

August 2000

5.05

March 2008

5.00

February 2008

7.12

A-46

Hiei Kudan-Kita Building

1,844.83

Offices, Retail Shops
Office Room
Parking, Storage

A-47

KDX Shin-Yokohama 381 Building(Note 8)1,229.24

Offices, Retail Shops
Parking, Garbage Room

10,290.30

A-48

KDX Kawasaki-Ekimae Hon-cho Building

1,968.13

Offices

7,420.87

A-50

KDX Ikejiri-Oohashi Building

834.79

Offices

3,482.96

A-51

KDX Hamacho Nakanohashi Building

462.29

Offices

3,280.41

A-52

KDX Kanda Misaki-cho Building

314.54

Offices

1,536.60
3,439.37

A-55

Shin-toshin Maruzen Building

457.64

Offices, Retail Shops
Parking

A-56

KDX Jimbocho Building

465.92

Offices

3,292.13

A-57

KDX Gobancho Building

335.70

Offices, Parking

1,893.11
1,618.65
12,694.32

A-59

KDX Iwamoto-cho Building

266.86

Offices
Residential Complex

A-60

KDX Harumi Building

2,230.69

Offices, Retail Shops

-33-

SRC
B1F9
RC
B2F9
SRC
F9
SRC
B1F7
SRC
B1F8
SRC
B1F8
S
F8
S
F9
S・SRC
B1F11

KENEDIX OFFICE INVESTMENT CORPORATION (8972)
Type

Area

Tokyo
Metropolitan
Area

OfficeBuildings

Other Regional
Areas

No.

Property Name

Site Area(m2)(Note 1)

Usage(Note 2)

Total Floor Area(m2)(Note 3)

A-61

KDX Hamamatsucho Dai-2 Building

368.28

Offices

2,478.90

A-62

Koishikawa TG Building

1,250.42

Offices, Parking

5,862.02

A-63

Gotanda TG Building

582.90

Offices, Parking

4,440.61

A-64

KDX Nihonbashi 216 Building

307.77

Offices

1,871.62

A-66

KDX Shinjuku Building

1,118.12

Offices, Retail Shops
Parking

10,348.02

A-67

KDX Ginza 1chome Building

678.24

Offices, Bank

4,724.62

A-68

KDX Nihonbashi Honcho Building

583.40

Offices, Parking

5,110.45

A-71

KDX Iidabashi Building

967.38

Offices, Parking

5,422.64

A-72

KDX Higashi-Shinagawa Building

3,115.45

Offices

10,138.65

A-73

KDX Hakozaki Building

971.83

Offices, Parking

6,332.48
3,712.25

A-74

KDX Shin-Nihonbashi Building

444.32

Offices, Retail Shops
Parking

A-75

KDX Nihonbashi Kabutocho Building

1,920.79

Offices, Parking

11,705.49

A-78

KDX Tachikawa Ekimae Building

464.95

Offices

2,896.48

A-83

KDX Fuchu Building

2,400.00

Offices, Parking

16,647.00
6,444.31
3,455.90

A-84

KDX Kasuga Building

1,319.24

Offices, Retail Shops
Parking

A-85

KDX Nakameguro Building

730.26

Offices

A-86

KDX Omiya Building

775.67A-87

Itopia Nihonbashi SA Building

1,193.91

A-88

KDX Shinjuku 6-chome Building

1,072.03

A-89

KDX Takanawadai Building

2,547.15

A-90

KDX Ikebukuro Building

472.94

A-91

KDX Mita Building

548.72

A-92

KDX Akihabara Building

374.88Retail Shops, Office2,979.14

A-93

Aplus Tokyo Building

1,341.98

Offices, Parking

6,764.37

A-94

KDX Musashi-Kosugi Building

3,210.09

Offices, Retail Shops

16,094.14

A-95

KDX Toyosu Grand Square

20,403.07

Offices, Retail Shops

63,419.60

A-96

KDX Takadanobaba Building

1,511.58

Offices, Parking

6,576.07
3,477.86
15,894.75

Offices, Retail Shops,
Parking, Residential
Offices, Residential,
Parking
Offices, Retail Shops,
Parking
OfficeOffices, Retail Shops,
Parking
Offices, Retail Shops,
Parking

A-99

Tosen Ikebukuro Building

603.21

Offices, Retail Shops,
Parking

A-101

Urban Square Yokohama

2,499.38

Offices, Parking

5,055.50
7,362.25
5,907.00
9,265.03
3,848.18
5,007.98

A-102

Yokohama Nishiguchi SIA Building

1,029.45

Offices

6,556.59

A-103

Shin-Yokohama 214 Building

998.00

Offices, Retail Shops,
Parking

6,478.89

A-105

BUREX Toranomon

466.96

Offices

2,808.24

A-107

35 Sankyo Building

1,216.99

Offices, Parking

6,413.60

A-108

Pentel Building

2,502.63

A-12

Portus Center Building

13,936.63

A-42

Karasuma Building

1,788.67

A-44

KDX Sendai Building

987.78

Offices, Bank,
Residential
Offices, Retail Shops
Storage, Parking

18,880.89
79,827.08

Offices

12,632.68

Offices

5,918.30

Offices, Retail Shops
Parking
Offices, Storage
Parking

13,238.16

A-53

KDX Hakata-Minami Building

1,826.25

A-54

KDX Kitahama Building

751.92

A-58

KDX Nagoya Sakae Building

1,192.22

Offices, Retail Shops

9,594.00

A-69

KDX Kobayashi-Doshomachi Building(Note 10)

1,561.04

Offices, Parking
Retail Shops

10,723.83

A-70

KDX Sapporo Building

819.44

Offices

5,503.90

A-79

KDX Nagoya Ekimae Building

1,354.10

Offices, Retail Shops

13,380.30

A-80

Nagoya Nikko Shoken Building

1,403.93

A-82

KDX Higashi Umeda Building

804.50-34-

Offices, Retail Shops
Parking
Offices, Retail Shops
Parking

4,652.96

14,308.76
6,805.76

Type of Structure(Note 4)
S・SRC
B1F8
SRC
B1F8
SRC
B1F9
SRC
F9
S・RC
B4F11
SRC
F9
SRC
B1F9
SRC
B1F8
S・RC
B1F5
SRC
B1F10
S
B1F10
S・SRC
B1F8
S
B1F8
SRC・S
B1F14
SRC
B1F10
SRC
F7
①S・SRC B1F8
②S F3
SRC
B1F10
SRC・RC
B2F10
SRC
B1F9
S・RC
B1F10
S・SRC
B3F11
SRC
B1F9
SRC
B1F8
S
B1F11
S
F11
SRC・RC
B2F7
SRC
F10
SRC・S
B1F11

SRC
B1F9
SRC
B1F8
S
F13
SRC
B1F9
S・SRC
B3F14
SRC・S
B2F25
SRC
B1F8
SRC
B1F10
SRC
B1F9
S
F10
S
F11
S・SRC
B1F12
SRC
B1F9
S・SRC
B2F15
SRC
B3F11
S・SRC
B1F10

Completion Date
(Note 5)PML(%)
(Note 6)

April 1992

3.78

November 1989

6.61

April 1988

8.30

October 2006

7.86

May 1993

2.01

November 1991

6.80

January 1984

4.48

March 1990

4.49

January 1993

5.13

November 1993

4.42

November 2002

3.42

November 1998

4.89

February 1990

2.19

March 1996

1.83

June 1992

7.43

October 1985

6.50

April 1993

4.40

July 1995

3.64

March 1990

6.11

October 1985

6.17

March 2009

3.78

March 1993

4.81

December 1973

4.47

January 1994

4.48

May 2013

8.11

April 2008

3.84

October 1988

6.06

July 1988

4.45

March 1994

8.44

October 1988

7.59

November 1989

4.72

July 2011

6.57

August 1991

5.95

November 1990

6.22

September 1993

6.70

October 1982

3.88

February 1984

2.71

June 1973

0.93

July 1994

6.32

April 2009

1.12

July 2009

10.99

October 1989

0.41

April 1986

8.98

August 1974

8.87

July 2009

6.11

KENEDIX OFFICE INVESTMENT CORPORATION (8972)
Type

OfficeBuildings

Residential

Area

Other Regional
Area

No.

Site Area(m2)(Note 1)

Usage(Note 2)

Total Floor Area(m2)(Note 3)

A-97

KDX Utsunomiya Building

1,412.00

Offices, Retail Shops
Parking

7,742.18

A-98

Hiroshima Ekimae-dori Mark Building

706.78

Offices, Parking Tower

5,718.83

A-100

Senri Life Science Center Building

5,911.08

A-104

KDX Minami-Honmachi Building

882.96A-106

KDX Sakura-dori Building

2,420.43

Subtotal of Office Buildings (92 properties)
Tokyo
Metropolitan
B-19
Residence Charmante Tsukishima
Area
Subtotal of Residential Properties (1 property)

Tokyo
Central Urban
Metropolitan
RetailArea
Properties-

Total of 97 properties

SRC
B1F10

-

Retail Shops

6,302.58

Retail Shops, Offices

1,269.06

228.74

Ginza 4chome Tower--

KDX Yoyogi Building

Completion Date
(Note 5)PML(%)
(Note 6)

February 1999

0.98

January 1990

6.98

June 1992

1.34

December 2009

5.31

August 1992

10.49

Avg. 23.0yrs (Note 9)-

January 2004

5.38

Avg. 11.2yrs-

March 2005

6.80

August 1991

4.55

November 2008

5.23

Avg. 9.9yrs--

S・RC・SRC
B2F7
SRC
F8
S
B1F13
-

-

-

-

-

-

-

-

Avg. 22.1yrs (Note 9)-

Retail Shops, Offices,
Parking,-

1,355.13-

688.52S
B1F18

19,680.16

-

C-2

S・SRC
B1F10
SRC
B1F10
SRC・S
B3F21
S・RC
B1F12

7,694.03

18,115.39

1,240.51

Type of Structure(Note 4)49,260.78

Residential Complex

Frame Jinnan-zaka

Subtotal of Central Urban Retail Properties (3 properties)
Tokyo
Metropolitan
D-2
Shinjuku 6-chome Building (Land)
Area
Subtotal of Others (1 property)

Offices, Retail Shops
Parking
Offices, Retail Shops
Parking
Offices, Retail Shops
Parking, Rest Room,Storage, Pump Room
Cylinder Storage,
Garage Room-

4,252.86

C-1

C-4

Other

Property Name

6,787.33

2.39(Note 6)Note 1: Site area data is based on figures recorded in the land register (including relevant figures for leasehold land, if any). Data may not match with the actual current
status. In the case of buildings with compartmentalized ownership, the figure indicates the site area of the entire land subject to site rights.
Note 2: Usage is based on data recorded in the land register. For buildings with compartmentalized ownership, the usage type of areas covered by the relevant
ownership is shown.
Note 3: Total floor space is based on figures recorded in the land register and does not include related structures. The total floor area for the entire buildings is reported
for compartmentalized ownership.
Note 4: Type of structure data is based on data recorded in the land register. For buildings with compartmentalized ownership, the structure and the number of floors of
the entire building that includes the compartmentalized ownership is shown. The following abbreviations are used to report data relating to structure and thenumber of floors:
SRC: Steel-Reinforced Concrete; RC: Reinforced Concrete; S: Steel Frame; B: Below Ground Level; F: Above Ground Level.
For example: B2F9: Two floors below ground level and nine floors above ground level.
Note 5: Completion date is the date of construction completion recorded in the land register. Average age subtotal and total data are is calculated using theweighted-average based on acquisition prices as of April 30, 2015, and is rounded down to the nearest first decimal place.
Note 6: Probable Maximum Loss (PML) data is based on a survey provided by Sompo Japan Nipponkoa Risk Management, Inc. as of March, 2015.
Note 7: For KDX Shinbashi Building, the acquired portion and additional acquisition portion are presented collectively as one property.
Note 8: KDX Shin-Yokohama 381 Building is comprised from two compartmentalized buildings within a single building. By consolidating them together, they
become a property that comprises the entire building (total ownership ratio: 100%).
Note 9: The completion date of the existing tower is shown for the completion date of KDX Shin-Yokohama 381 Building upon calculating the average portfolio age.
Note 10: KDX Kobayashi Doshomachi Building includes the term leasehold interest with a special agreement to transfer building.

-35-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(b) Capital Expenditure① Planned capital expenditures
Major capital expenditure plans for renovation of properties in which the Investment Corporation holds for the twenty-first fiscal period (May 1, 2015 to
October 31, 2015) are as follows. Planned capital expenditure may include portions classified into expenses for accounting purposes.
Planned Amount of Capital Expenditure(Millions of Yen)
Property Name
Schedule
PurposePaid in the Fiscal Total Amount(Location)
Total
Period Under
Previously
ReviewPaid
Air conditioning system
KDX Utsunomiya Building
May 2015 toconstruction ,158(Utsunomiya, Tochigi)
October 2015
Renovation of external wall, otherAir conditioning system
Hiroshima Ekimae-dori Mark Building
construction,
As above
84(Hiroshima, Hiroshima)
Renewal of mechanical car
parking system, other
Tosen Ikebukuro Building(Toshima-ku, Tokyo)

Renovation of external wall,
Upgrade of common areas, other

As above46--

Nagoya Nikko Shoken Building(Nagoya, Aichi)

Removal of escalator, other

As above

45--

Note: The amounts of planned amount of capital expenditure are truncated at less than ¥1 million.
② Capital Expenditures during the Fiscal Period Under Review (fiscal period ended April 30, 2015)
The Investment Corporation undertook the following major capital expenditures. In the fiscal period under review (fiscal period ended April 30, 2015),
the Investment Corporation completed works across its entire portfolio totaling ¥767 million. This total comprised of ¥329 million in capital expenditures and¥437 million for repairs, maintenance and renovation expenses.
Property NameKDX Nagoya Ekimae Building(Nagoya, Aichi)

Schedule

Purpose(Location)

Renewal of elevator construction, otherAmount of Capital Expenditures(Millions of Yen)

November 2014
to April 2015

105

Others224

Portfolio Total

329

Note: The amounts of the capital expenditures are truncated at less than ¥1 million.
③ Reserved Amount for Long-Term Repairs, Maintenance and Renovation Plans
The Investment Corporation formulates long-term repairs, maintenance and renovation plans on an individual investment property basis and allocates a portion of
its cash flows generated during the period to a reserve for repairs, maintenance and renovation to meet large-scale renovation over the medium- to long-terms. The
following amount has been transferred to the reserve from period cash flows.
(Millions of Yen)
Twentieth Fiscal Period(November 1, 2014 toApril 30, 2015)

Sixteenth Fiscal Period(November 1, 2012 to April
30, 2013)

Seventeenth Fiscal Period(May 1, 2013 to
October 31, 2013)

Eighteenth Fiscal Period(November 1, 2013 to April
30, 2014)

Nineteenth Fiscal Period(May 1, 2014 to October 31,
2014)

Reserve for the end of theprevious period

503

523

502

493

495

Reserve for the fiscal period
under review

30

12

3

12

8

Reversal of reserve for the
fiscal period under review

10

34

11

10

37

Reserve brought forward to thenext period

523

502

493

495

465

Fiscal period-36-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(c) Details of the Tenants
Type

OfficeBuildings

Area

Tokyo
Metropolitan
Area

No.

Property Name

Total Leasable
Floor Area(m2)
(Note 1)

Total Leased
Floor Area(m2)
(Note 2)

Total No. of Total No. of
LeasedLeasable
Residential Residential
units
units
(Note 4)(Note 3)

No. ofTenants(Note 5)

Occupancy
Ratio (%）
(Note 6)

Total Rental and Other
Operating Revenues(Thousands of Yen)
(Note 7)

Leasehold andSecurity Deposits(Thousands of Yen)
(Note 8)

10

100.0

196,483

231,9137

100.0

136,518

216,322A-1

KDX Nihonbashi 313 Building

5,889.32

5,889.32-

A-3

Higashi-Kayabacho Yuraku Building

4,379.66

4,379.66-

A-4

KDX Hatchobori Building

3,323.28

3,094.74

-

-

3

93.1

101,987

97,197

A-5

KDX Nakano-Sakaue Building

4,390.27

4,237.69

18

16

24

96.5

91,40278,871

A-6

Harajuku F.F. Building

3,071.15

3,071.15

-

-

2

100.0

99,389141,704

A-7

KDX Minami Aoyama Building

1,814.56

1,814.56

-

-

8

100.0

73,926

107,055

A-8

Kanda Kihara Building

1,947.58

1,717.40

-

-

10

88.2

41,36881,270A-13

KDX Kojimachi Building

3,718.99

3,718.99

-

-

9

100.0

141,281

198,793

A-14

KDX Funabashi Building

3,835.23

3,827.14

-

-

22

99.8

97,935

129,749

A-16

Toshin 24 Building

6,621.19

6,445.73

-

-

21

97.4

170,072

245,199

A-17

KDX Ebisu Building

3,074.47

3,074.47

-

-

6

100.0

143,079

229,205

A-19

KDX Hamamatsucho Building

2,724.35

2,724.35

-

-

9

100.0

97,783

126,185

A-20

KDX Kayabacho Building

3,019.93

2,564.52

-

-

6

84.9

69,807

100,981A-21

KDX Shinbashi Building

2,803.86

2,803.86

-

-

8

100.0

116,321

166,214

A-22

KDX Shin-Yokohama Building

4,785.09

4,173.15

-

-

15

87.2

85,005110,216

A-26

KDX Kiba Building

2,455.43

1,869.58

-

-

5

76.1

42,944

48,433

A-27

KDX Kajicho Building

2,565.14

2,500.21

-

-

9

97.5

66,55182,817

A-28

KDX Nogizaka Building

1,251.40

1,086.47

1

-

5

86.8

24,85424,184A-29

KDX Higashi-Shinjuku Building

5,930.50

5,176.46

-

-

6

87.3

103,700

99,565A-30

KDX Nishi-Gotanda Building

3,881.60

3,881.60

-

-

5

100.0

135,330

189,360

A-31

KDX Monzen-Nakacho Building

2,008.74

2,008.74

-

-

7

100.0

48,68543,788A-32

KDX Shiba-Daimon Building

5,997.36

5,997.36

-

-

10

100.0

146,983

190,943

A-33

KDX Okachimachi Building

1,792.54

1,792.54

-

-

2

100.0

66,912110,237

A-34

KDX Hon-Atsugi Building

2,746.89

2,590.18

-

-

10

94.3

52,73066,945A-35

KDX Hachioji Building

2,178.61

1,584.18

-

-

8

72.7

40,40039,265A-37

KDX Ochanomizu Building

5,880.71

5,880.71

-

-

7

100.0

186,712

183,853

A-38

KDX Nishi-Shinjuku Building

1,593.60

1,593.60

-

-

9

100.0

38,92457,653

A-39

KDX Toranomon Building

1,966.56

1,966.56

-

-

7

100.0

102,293

179,712

A-40

Toranomon Toyo Building

6,494.11

5,874.10

-

-

11

90.5

255,271

513,422A-41

KDX Shinjuku 286 Building

2,444.89

2,444.89

-

-

8

100.0

87,461

101,953

A-45

KDX Roppongi 228 Building

1,919.59

1,677.26

-

-

7

87.4

55,29873,552

A-46

Hiei Kudan-Kita Building

6,897.59

6,897.59

-

-

14

100.0

241,131

302,008

A-47

KDX Shin-Yokohama 381 Building

8,131.47

8,131.47

-

-

42

100.0

172,214238,715

A-48

KDX Kawasaki-Ekimae Hon-cho
Building

5,124.98

5,124.98

-

-

1

100.0

99,264

155,571

A-50

KDX Ikejiri-Oohashi Building

2,458.64

2,458.64

-

-

8

100.0

53,777

95,335A-51

KDX Hamacho Nakanohashi
Building

2,239.13

1,977.88

-

-

8

88.3

59,696

79,230A-52

KDX Kanda Misaki-cho Building

1,315.96

1,315.96

-

-

8

100.0

21,99940,408

A-55

Shin-toshin Maruzen Building

1,912.28

1,912.28

-

-

5

100.0

57,19072,273A-56

KDX Jimbocho Building

2,321.80

2,321.80

-

-

3

100.0

67,33496,451A-57

KDX Gobancho Building

1,649.47

1,649.47

-

-

7

100.0

42,57344,273A-59

KDX Iwamoto-cho Building

1,529.91

1,529.91

3

3

10

100.0

47,26656,592

A-60

KDX Harumi Building

9,294.00

9,294.00

-

-

11

100.0

173,090361,707

A-61

KDX Hamamatsucho Dai-2 Building

1,954.23

1,954.23

-

-

8

100.0

60,227

95,686

A-62

Koishikawa TG Building

3,945.54

3,945.54

-

-

5

100.0

129,853

157,041

A-63

Gotanda TG Building

3,161.80

3,161.80

-

-

10

100.0

98,840123,164

A-64

KDX Nihonbashi 216 Building

1,615.20

1,615.20

-

-

8

100.0

55,76991,626A-66

KDX Shinjuku Building

5,836.68

5,154.10

-

-

20

88.3

215,636

225,457

A-67

KDX Ginza 1chome Building

3,573.59

3,573.59

-

-

4

100.0

147,728

169,724

A-68

KDX Nihonbashi Honcho Building

3,998.39

3,998.39

-

-

8

100.0

137,645

169,688

A-71

KDX Iidabashi Building

4,429.25

3,835.20

-

-

4

86.6

144,711201,528-37--

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Type

Area

Tokyo
Metropolitan
Area

OfficeBuilding

Other Regional
Areas

Tokyo
Metropolitan
Area

OthersLeasehold andSecurity Deposits(Thousands of Yen)
(Note 8)

Total Leased
Floor Area(m2)
(Note 2)

KDX Higashi-Shinagawa Building

7,115.38

5,228.40

-

-

3

73.5

100,758

193,269

KDX Hakozaki Building

3,992.60

3,992.60

-

-

8

100.0

102,218

152,696

A-74

KDX Shin-Nihonbashi Building

2,658.79

2,658.79

-

-

9

100.0

85,071

124,455

A-75

KDX Nihonbashi Kabutocho
Building

7,562.93

7,562.93

-

-

7

100.0

281,279

330,311

A-78

KDX Tachikawa Ekimae Building

1,612.13

1,612.13

-

-

5

100.0

63,61786,432A-83

KDX Fuchu Building

10,151.48

10,057.90

-

-

36

99.1

294,796

346,026

A-84

KDX Kasuga Building

4,345.13

4,345.13

-

-

15

100.0

121,149

150,464

A-85

KDX Nakameguro Building

2,689.27

2,689.27

-

-

6

100.0

73,68493,702A-86

KDX Omiya Building

3,816.33

3,580.52

1

1

17

93.8

107,939

172,161

A-87

Itopia Nihonbashi SA Building

3,106.42

3,106.42

8

8

14

100.0

91,661

120,102

A-88

KDX Shinjuku 6-chome Building

4,037.44

4,037.44

-

-

7

100.0

95,361

74,507

A-89

KDX Takanawadai Building

6,951.88

6,951.88

-

-

8

100.0

190,306

256,533

A-90

KDX Ikebukuro Building

3,110.59

3,110.59

-

-

10

100.0

127,724

197,488

A-91

KDX Mita Building

3,416.31

3,265.44

-

-

11

95.6

101,881

145,939

A-92

KDX Akihabara Building

2,288.93

2,288.93

-

-

7

100.0

84,417

95,038A-93

Aplus Tokyo Building

4,487.22

4,487.22

-

-

1

100.0

167,085

325,771

A-94

KDX Musashi-Kosugi Building

12,978.52

12,978.52

-

-

5

100.0

411,094

659,182

A-95

KDX Toyosu Grand Square

11,797.85

10,265.44

-

-

13

87.0

269,619

358,589

A-96

KDX Takadanobaba Building

4,563.58

4,563.58

-

-

10

100.0

133,325

163,401

A-99

Tosen Ikebukuro Building

2,587.84

2,100.08

-

-

4

81.2

69,182

52,462

A-101

Urban Square Yokohama

10,933.27

10,933.27

-

-

27

100.0

279,265

327,926

A-102

Yokohama Nishiguchi SIA Building

4,978.37

4,978.37

-

-

15

100.0

99,684

158,715

A-103

Shin-Yokohama 214 Building

4,608.59

4,437.88

-

-

15

96.3

70,942

122,348

A-105

BUREX Toranomon

1,900.93

1,900.93

-

-

1

100.0

41,12524,998

A-107

35 Sankyo Building

4,490.74

4,327.02

-

-

12

96.4

24,379102,840

Property Name

A-72
A-73

No. ofTenants(Note 5)

Occupancy
Ratio (%）
(Note 6)

A-108

Pentel Building

4,346.66

4,346.66

5

5

9

100.0

25,697

168,319

A-12

Portus Center Building

11,582.44

10,994.13

-

-

27

94.9

292,957

351,067

A-42

Karasuma Building

8,743.97

8,743.97

-

-

40

100.0

207,594

280,589

A-44

KDX Sendai Building

3,960.23

3,817.62

-

-

32

96.4

89,857173,079

A-53

KDX Hakata-Minami Building

9,910.57

9,389.36

-

-

49

94.7

172,113229,953

A-54

KDX Kitahama Building

3,995.50

3,708.71

-

-

11

92.8

76,99083,417

A-58

KDX Nagoya Sakae Building

6,923.12

6,923.12

-

-

16

100.0

183,304

210,142

A-69

KDX Kobayashi-Doshomachi
Building

7,072.23

7,072.23

-

-

12

100.0

178,212250,417A-70

KDX Sapporo Building

3,788.51

3,788.51

-

-

21

100.0

92,649115,403

A-79

KDX Nagoya Ekimae Building

7,932.43

7,855.14

-

-

18

99.0

325,980

493,594

A-80

Nagoya Nikko Shoken Building

7,994.70

7,983.39

-

-

9

99.9

204,521275,126

A-82

KDX Higashi Umeda Building

4,986.24

4,986.24

-

-

10

100.0

124,887

107,563

A-97

KDX Utsunomiya Building

5,337.87

5,258.39

-

-

23

98.5

128,171

146,358

A-98

Hiroshima Ekimae-dori Mark
Building

3,982.43

2,945.98

-

-

17

74.0

62,722

73,469A-100

Senri Life Science Center Building

17,220.91

17,052.32

-

-

61

99.0

734,309

1,124,532

A-104

KDX Minami-Honmachi Building

5,285.95

5,220.29

-

-

22

98.8

88,881

141,157

A-106

KDX Sakura-dori Building

B-19

Residence Charmante Tsukishima

12,342.71

11,096.73

-

-

30

89.9

174,403398,605

433,485.50

417,956.67

36

33

1,133

96.4

11,794,201

16,501,226

7,711.14

7,711.14

140

140

1
(Note 9)100.0

149,141

50,5807,711.14

7,711.14

140

140

1

100.0

149,141

50,580

C-1

Frame Jinnan-zaka

4,646.44

4,555.65

-

-

12

98.0

253,402280,178

C-2

KDX Yoyogi Building

1,177.00

1,079.88

-

-

10

91.7

69,080101,453

C-4

Ginza 4chome Tower

5,624.23

5,624.23

-

-

4

100.0

275,876

346,121

Subtotal of Central Urban Retail Properties (3 properties)

11,447.62

11,259.76

-

-

26

98.4

598,359

727,753

1,355.13

1,355.13

-

-

1

100.0

68,00856,670Subtotal of Residential Properties (1 property)
CentralUrban Retail
Properties

Total Rental and Other
Operating Revenues(Thousands of Yen)
(Note 7)

Total Leasable
Floor Area(m2)
(Note 1)

No.

Subtotal of Office Buildings (92 properties)
Residential

Total No. of Total No. of
LeasedLeasable
Residential Residential
units
units
(Note 4)(Note 3)

Tokyo
Metropolitan
Area

Tokyo
Metropolitan
Area

D-2

Shinjuku 6-Chome Building (Land)-38-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)

Type

Area

No.

Property Name

Total Leasable
Floor Area(m2)
(Note 1)

Total Leased
Floor Area(m2)
(Note 2)

1,355.13

1,355.13

Subtotal of Others (1 property)
Total of 97 properties

453,999.44

438,282.70

Total No. of Total No. of
LeasedLeasable
Residential Residential
units
units
(Note 4)(Note 3)176

No. ofTenants(Note 5)

Occupancy
Ratio (%）
(Note 6)

Total Rental and Other
Operating Revenues(Thousands of Yen)
(Note 7)

Leasehold andSecurity Deposits(Thousands of Yen)
(Note 8)

-

1

100.0

68,00856,670173

1,161(Note 10)96.5

12,609,711

17,336,230

Occupancy Ratio over the Past Five Years
October 31, 2010

93.6%

April 30, 2011

94.6%

October 31, 2011

94.7%

April 30, 2012

95.4%

October 31, 2012

95.5%

April 30, 2013

93.9%

October 31, 2013

95.8%

April 30, 2014

96.0%

October 31, 2014

95.6%

April 30, 2015

96.5%

Note 1: Total leasable floor area refers to the leasable floor area for each Property including the building (aggregate total of the leasable floor area of each buildingin the case of more than one building), excluding land (including land for one-story parking) identified in lease agreements or construction completion
plans. However, the indicated figure of rentable area for Shinjuku 6-chome Building (Land) is rentable area stated in the land lease agreement.
Note 2: Total leased floor area refers to the area identified in lease agreements with end tenants or sub-lease agreements.
Note 3: The total number of leasable residential units and the number of leased residential units refers to the portion of the building used for residential purposes.
Note 4: The total number of leased residential units refers to the number of residential units among leasable residential units for which lease agreements with end
tenants or sub-lease agreements are signed.
Note 5: The total number of tenants refers to the actual number of end tenants for each property. However, for Residence Charmante Tsukishima, please refer toNote 9.
Note 6: The occupancy ratio is calculated by dividing leased floor area by total leasable floor area. Figures are rounded to the nearest first decimal place.
Note 7: Total rental and other operating revenues cover all income, including that from rental revenue, common charges, and parking space rental revenues,
rounded to the nearest one thousand yen. Total real estate business rental revenues refers to the total amount of revenues generated during the fiscal period
under review from real estate rental operations including leasing revenues, common charges and parking revenues rounded down to the nearest thousandyen.
(Reference) Total operating rental and other revenues for properties sold during the Twentieth Fiscal Period
Type of Property

No.

Property Name

Total Rental and Other Operating Revenues (Thousands of Yen)

Office Building

A-15

KDX Hamacho Building

61,648

Office Building

A-25

KDX Minami Semba Dai-2 Building

26,293

Office Building

A-81

Sendai Nikko Building

54,956

Residential

B-18

Venus Hibarigaoka

84,197Note 8: Guarantee and security deposits refers to the total of the balances of security deposits held (including net security deposits in the case of discount) andguarantee deposits, both identified in lease agreements or sub-lease agreements, with the figure rounded down to the nearest thousand yen.
Note 9: Residence Charmante Tsukishima: Because we have concluded a rental guarantee (fixed-term lease: until January 30, 2016) fixed-term building lease
contract (term of contract: to January 30, 2029) with Sekiwa Real Estate, Ltd., a master lessor, the total number of tenants is indicated as 1.
Note 10: The number presented does not reflect the adjustment for end-tenants who are overlapping in multiple properties.
(d) Information concerning major real estate properties
There were no major real estate properties with real estate business rental revenues exceeding 10% of total real estate business rental revenues for thenineteenth fiscal period (fiscal period ended April 30, 2015).

-39-

KENEDIX OFFICE INVESTMENT CORPORATION (8972)(e) Information concerning major tenants① Tenant which holds more than 10% of the total leased area: Not applicable② Reference: Major end tenants

Name of End Tenant

Property Name

Leased Floor
Area(As of April 30, 2015)
Percentage of Total Leased
Floor Area (Note 1)

1 Kenedix, Inc. (Note 2)

KDX Nihonbashi Kabutocho Building,
KDX Musashi-Kosugi Building, KDX Toyosu Grand Square

14,948.91 m2

3.4%

2 Sekiwa Real Estate, Ltd.

Residence Charmante Tsukishima

7,711.14 m2

1.8%

3 SMBC Nikko Securities, Inc.

KDX Tachikawa Ekimae Building,
KDX Nagoya Ekimae Building, Nagoya Nikko Shoken Building

6,338.13 m2

1.4%

4 N / A (Note 3)

KDX Kawasaki-Ekimae Hon-cho Building

5,124.98 m2

1.2%

2

4,487.22 m

1.0%

2

38,610.38 m

8.8%

2

100.0%

5 APLUS Co., Ltd. (Note 4)

Aplus Tokyo Building
Subtotal
Total Portfolio

438,282.70 m

Note 1: Percentage of total leased floor area refers to the floor area leased to each end tenant as a proportion of total leased floor area. Figures are rounded to thenearest first decimal place.
Note 2: Kenedix Inc. sub-leases part of properties leased from the Investment Corporation, its master lease company, to third parties. The ratio of leased floorarea for KDX Nihonbashi Kabutocho Building, KDX Musashi-Kosugi Building and KDX Toyosu Grand Square are 0.6%, 2.4% and 0.3%
respectively. The fixed lease agreement for KDX Musashi-Kosugi Building is planned to be expired on December 31, 2015 and the lease agreementfor KDX Toyosu Grand Square is planned to be terminated on September 30, 2015.
Note 3: Not disclosed due to the tenants’ request.
Note 4: The tenant is planned to be terminate on January 9, 2016-40-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Tokyo Metropolitan Area

Property No.

A001

Property NameKDX Nihonbashi
313 Building

Acquisition Date
Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)

A003

A004

HigashiKDX Hatchobori
Kayabacho
Building
Yuraku Building※As of April 30, 2015

A005

A006

A007

A008

A013

A014

A016

A017

A019

A020

A021

KDX NakanoSakaue Building

Harajuku F.F.
Building

KDX Minami
Aoyama Building

Kanda Kihara
Building

KDX Kojimachi
Building

KDX Funabashi
Building

Toshin 24
Building

KDX Ebisu
Building

KDX
Hamamatsucho
Building

KDX Kayabacho
Building

KDX Shinbashi
Building

August 1, 2005 August 1, 2005 August 1, 2005 August 1, 2005 August 1, 2005 August 1, 2005 August 1, 2005 November 1, 2005 March 1, 2006 May 1, 2006 May 1, 2006 May 1, 2006 May 1, 2006 May 1, 2006
5,940
4,450
3,680
2,533
2,450
2,270
1,950
5,950
2,252
5,300
4,640
3,460
2,780
3,728
1.5%
1.2%
1.0%
0.7%
0.6%
0.6%
0.5%
1.5%
0.6%
1.4%
1.2%
0.9%
0.7%
1.0%
5,953
4,204
3,365
2,387
2,404
2,220
1,818
5,621
2,294
4,946
4,484
3,120
2,782
3,791
6,650
4,920
3,080
2,270
3,100
2,400
1,620
4,520
2,010
4,370
4,600
3,240
2,530
4,280
1.7%
1.3%
0.8%
0.6%
0.8%
0.6%
0.4%
1.2%
0.5%
1.1%
1.2%
0.8%
0.7%
1.1%
10
7
3
24
2
8
10
9
22
21
6
9
6
8
5,889.32
4,379.66
3,323.28
4,390.27
3,071.15
1,814.56
1,947.58
3,718.99
3,835.23
6,621.19
3,074.47
2,724.35
3,019.93
2,803.86
5,889.32
4,379.66
3,094.74
4,237.69
3,071.15
1,814.56
1,717.40
3,718.99
3,827.14
6,445.73
3,074.47
2,724.35
2,564.52
2,803.86

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues

100.0%
100.0%
100.0%
100.0%
99.7%
100.0%
94.6%
85.2%
71.8%
100.0%
181days
196,483
179,719
16,76455,982
15,887
20,573
15,905
2,013
214
1,387
140,500
27,643112,857
720
139,780
28.5%
41,1426,877
3.50%

100.0%
100.0%
100.0%
100.0%
89.1%
89.1%
100.0%
100.0%
100.0%
100.0%
181days
136,518
125,812
10,70538,516
11,913
8,925
9,744
6,254
143
1,535
98,00127,00970,991
98,001
28.2%
17,850
4,786
3.51%

93.1%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
101,987
87,311
14,67530,056
10,663
8,670
8,853
549
131
1,188
71,931
18,954
52,977128
71,80329.5%
17,340
3,549
3.48%

96.5%
95.2%
100.0%
100.0%
100.0%
100.0%
98.3%
84.1%
100.0%
96.5%
181days
91,402
69,84921,55236,932
9,217
7,608
9,563
8,638
161
1,741
54,46915,50238,966
2,742
51,72740.4%
15,2162,976
3.26%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
99,38992,212
7,176
26,902
6,403
7,974
6,210
3,818
99
2,395
72,486
9,376
63,1093,365
69,12027.1%
15,9493,507
3.53%

100.0%
100.0%
100.0%
100.0%
100.0%
88.4%
100.0%
100.0%
100.0%
100.0%
181days
73,92668,3005,625
18,365
5,132
5,725
5,336
1,287
54
828
55,561
6,468
49,092
1,230
54,331
24.8%
11,450
2,642
3.57%

88.2%
76.2%
88.0%
76.2%
86.5%
100.0%
100.0%
100.0%
93.5%
100.0%
181days
41,36837,441
3,927
14,601
4,561
4,051
4,109
297
57
1,524
26,767
8,283
18,484
1,827
24,940
35.3%
8,104
1,390
3.36%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
91.9%
181days
141,281
107,076
34,20545,5999,489
16,93011,469
4,523
148
3,037
95,682
19,84175,840208
95,47432.3%
33,853
4,836
3.42%

99.8%
96.5%
100.0%
100.0%
100.0%
100.0%
100.0%
98.7%
100.0%
98.5%
181days
97,93584,65913,27536,627
12,815
7,317
10,555
3,983
141
1,814
61,307
19,41541,892
61,30737.4%
14,600
3,249
3.32%

97.4%
94.1%
94.4%
91.1%
100.0%
100.0%
100.0%
96.2%
84.7%
72.7%
181days
170,072
136,062
34,00953,46814,265
12,311
19,775
2,470
220
4,423
116,604
36,491
80,112
1,260
115,34431.4%
24,6495,850
3.44%

100.0%
100.0%
100.0%
83.4%
100.0%
100.0%
100.0%
100.0%
100.0%
83.4%
181days
143,079
125,725
17,35436,083
9,871
11,032
11,160
2,739
111
1,169
106,995
19,37987,615
106,995
25.2%
22,0645,103
3.57%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
97,783
88,842
8,940
26,858
7,267
8,944
6,248
1,994
85
2,317
70,92522,93447,9901,212
69,712
27.5%
17,888
3,443
3.52%

84.9%
84.9%
84.9%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
69,807
61,1308,676
24,721
6,504
6,255
7,261
1,065
95
3,539
45,086
17,43427,65145,08635.4%
12,5102,344
3.36%

100.0%
100.0%
86.8%
100.0%
100.0%
100.0%
99.5%
100.0%
100.0%
100.0%
181days
116,321
107,7118,609
66,6798,102
15,465
6,425
35,704108873
49,641
10,35239,28949,641
57.3%
30,9143,386
2.91%

318,440
26,536

159,300
13,275

141,890
11,824

164,530
13,710204,340
17,02897,6708,139

79,020
6,585

161,000
13,416160,670
13,389217,670
18,139147,940
12,328135,060
11,255120,000
10,000133,340
11,111Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

-41-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Tokyo Metropolitan Area

※As of April 30, 2015

Property No.

A022

A026

A027

A028

Property NameKDX ShinYokohama
Building

KDX Kiba
Building

KDX Kajicho
Building

KDX Nogizaka
Building

KDX HigashiKDX NishiKDX MonzenKDX ShibaShinjuku Building Gotanda Building Nakacho Building Daimon Building

September 1, 2006 December 1, 2006 January 19, 2007 March 1, 2007 March 1, 2007 March 1, 2007 March 1, 2007

Acquisition Date

May 1, 2006 June 20, 2006

Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)

A029

A030

A031

A032

A033

A034

A035

A037

KDX
Okachimachi
Building

KDX Hon-Atsugi
Building

KDX Hachioji
Building

KDX
Ochanomizu
Building

A038

A039

KDX NishiKDX Toranomon
Shinjuku Building
Building

July 3, 2006

July 14, 2006

2,520
0.7%
2,335
2,120
0.6%
15
4,785.09
4,173.15

1,580
0.4%
1,498
1,380
0.4%
5
2,455.43
1,869.58

2,350
0.6%
2,319
2,230
0.6%
9
2,565.14
2,500.21

1,065
0.3%
1,100
688
0.2%
5
1,251.40
1,086.47

2,950
0.8%
3,101
3,460
0.9%
6
5,930.50
5,176.46

4,200
1.1%
3,965
3,970
1.0%
5
3,881.60
3,881.60

1,400
0.4%
1,352
1,110
0.3%
7
2,008.74
2,008.74

6,090
1.6%
6,104
4,760
1.2%
10
5,997.36
5,997.36

2,000
0.5%
2,076
1,940
0.5%
2
1,792.54
1,792.54

1,305
0.3%
1,200
1,110
0.3%
10
2,746.89
2,590.18

1,155
0.3%
1,243
993
0.3%
8
2,178.61
1,584.18

April 2, 2007 April 2, 2007 April 17, 2007
6,400
1.7%
6,492
6,680
1.7%
7
5,880.71
5,880.71

1,500
0.4%
1,551
1,180
0.3%
9
1,593.60
1,593.60

4,400
1.1%
4,716
3,610
0.9%
7
1,966.56
1,966.56

87.2%
97.5%
94.1%
92.9%
92.9%
95.4%
97.9%
93.1%
93.1%
74.0%
181days
85,00572,68012,32525,737
8,424
6,485
8,856
442
142
1,386
59,26822,38036,887330
58,93830.3%
12,773
2,944
3.46%

76.1%
88.1%
88.1%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
42,94436,974
5,969
15,168
4,660
4,732
4,128
790
70
786
27,776
12,03015,746
27,776
35.3%
9,464
1,443
3.36%

97.5%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
84.2%
181days
66,551
58,671
7,880
19,911
6,525
5,314
6,216
277
79
1,499
46,64012,83833,802
46,64029.9%
10,628
2,310
3.47%

86.8%
86.8%
100.0%
100.0%
100.0%
78.1%
100.0%
100.0%
56.2%
78.1%
181days
24,854
21,3593,495
11,571
3,056
3,530
2,797
2,023
39
123
13,283
5,810
7,472
3,911
9,371
46.6%
7,061
778
3.13%

87.3%
100.0%
100.0%
100.0%
100.0%
100.0%
99.7%
83.3%
100.0%
100.0%
181days
103,700
90,497
13,20243,655
11,794
13,444
13,834
2,078
200
2,303
60,045
20,22639,8188,526
51,51942.1%
26,8883,341
3.22%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
135,330
114,684
20,64530,545
10,002
9,060
9,441
1,570
135
335
104,784
29,04975,735
850
103,934
22.6%
18,1234,900
3.62%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
84.3%
100.0%
181days
48,68538,47010,21445,470
3,780
3,130
7,110
31,216
68
163
3,214
9,467
(6,252)
3,214
93.4%
6,262
1,059
2.18%

100.0%
100.0%
100.0%
92.9%
79.1%
82.8%
100.0%
100.0%
100.0%
100.0%
181days
146,983
132,856
14,12742,486
13,373
11,315
13,327
2,893
169
1,406
104,497
30,40074,097306
104,190
28.9%
22,6325,132
3.49%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
66,91258,613
8,298
15,311
5,717
2,914
4,745
299
48
1,587
51,6008,137
43,46351,600
22.9%
5,831
2,418
3.61%

94.3%
100.0%
100.0%
89.0%
95.7%
86.0%
100.0%
100.0%
100.0%
100.0%
181days
52,73045,0707,659
16,797
6,298
3,650
5,461
298
95
993
35,933
13,59922,33335,933
31.9%
7,258
1,809
3.43%

72.7%
72.7%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
96.4%
181days
40,40032,808
7,591
43,763
3,860
4,098
5,336
29,47466
927(3,363)
10,624(13,987)(3,363)108.3%
8,150
808
2.00%

100.0%
100.0%
100.0%
100.0%
100.0%
90.1%
100.0%
100.0%
100.0%
100.0%
181days
186,712
175,355
11,35645,722
11,601
14,635
13,031
650
198
5,604
140,989
27,164
113,825
2,899
138,090
24.5%
29,272
6,687
3.58%

100.0%
77.8%
100.0%
100.0%
100.0%
100.0%
88.6%
100.0%
87.6%
87.6%
181days
38,92433,8985,026
14,045
4,351
4,278
4,019
316
53
1,026
24,8796,895
17,98324,879
36.1%
8,556
1,302
3.35%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
102,293
95,8336,460
22,720
6,306
9,162
4,602
1,302
61
1,284
79,572
12,82966,743500
79,07222.2%
18,3253,711
3.63%

152,030
12,66993,6507,804

87,5907,299

49,9504,162

149,280
12,440133,200
11,100113,920
9,493

169,180
14,09855,4304,619

147,990
12,332

100,3808,365

249,810
20,81774,5606,213

75,6806,306

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues
Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

-42-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Tokyo Metropolitan Area

※As of April 30, 2015

Property No.

A040

A041

A045

A046

A047

Property Name

Toranomon Toyo
Building

KDX Shinjuku
286 Building

KDX Roppongi
228 Building

Hiei Kudan-Kita
Building

KDX ShinYokohama 381
Building

Acquisition Date

June 1, 2007

June 1, 2007 January 10, 2008 February 1, 2008 February 1, 2008 February 1, 2008 February 1, 2008 February 1, 2008 February 1, 2008 February 29, 2008 March 31, 2008 March 31, 2008 May 1, 2008 June 30, 2008

Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)

A048

A050

KDX KawasakiKDX IkejiriEkimae Hon-cho
Oohashi Building
Building

A051

A052

A055

A056

A057

A059

A060

KDX Hamacho
Nakanohashi
Building

KDX Kanda
Misaki-cho
Building

Shin-toshin
Maruzen Building

KDX Jimbocho
Building

KDX Gobancho
Building

KDX Iwamotocho Building

KDX Harumi
Building

9,850
2.6%
9,929
10,7002.8%
116,494.11
5,874.10

2,300
0.6%
2,343
2,430
0.6%
8
2,444.89
2,444.89

3,300
0.9%
3,413
2,130
0.6%
7
1,919.59
1,677.26

7,600
2.0%
7,547
7,680
2.0%
14
6,897.59
6,897.59

5,800
1.5%
5,630
4,140
1.1%
42
8,131.47
8,131.47

3,760
1.0%
3,634
3,020
0.8%
1
5,124.98
5,124.98

2,400
0.6%
2,400
1,550
0.4%
8
2,458.64
2,458.64

2,310
0.6%
2,283
1,860
0.5%
8
2,239.13
1,977.88

1,380
0.4%
1,356
959
0.3%
8
1,315.96
1,315.96

2,110
0.5%
2,115
1,610
0.4%
5
1,912.28
1,912.28

2,760
0.7%
2,897
2,020
0.5%
3
2,321.80
2,321.80

1,951
0.5%
1,927
1,420
0.4%
7
1,649.47
1,649.47

1,864
0.5%
1,725
1,430
0.4%
10
1,529.91
1,529.91

10,250
2.7%
9,264
8,470
2.2%
11
9,294.00
9,294.00

90.5%
75.1%
96.9%
96.9%
96.9%
96.9%
95.1%
100.0%
100.0%
95.4%
181days
255,271
246,090
9,180
62,042
18,211
27,377
12,221
1,022
223
2,986
193,229
16,603
176,625
10,648
182,580
24.3%
54,7549,153
3.59%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
87,461
71,951
15,50925,326
7,342
7,996
8,014
945
93
934
62,1349,401
52,733600
61,53429.0%
15,992
3,052
3.49%

87.4%
87.4%
73.8%
63.1%
54.4%
54.4%
65.1%
65.1%
65.1%
65.1%
181days
55,29848,223
7,075
20,691
5,148
7,148
7,082
1,068
53
190
34,607
5,391
29,21534,60737.4%
14,266
1,834
3.32%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
91.4%
98.8%
95.9%
85.3%
181days
241,131214,913
26,21886,50630,85824,69919,979
4,917
266
5,785
154,625
17,391
137,234
154,62535.9%
49,3988,076
3.35%

100.0%
100.0%
100.0%
99.2%
100.0%
91.7%
91.5%
93.0%
89.5%
100.0%
181days
172,214
144,971
27,24247,923
12,996
12,80419,025
1,562
253
1,282
124,290
48,73675,554
3,379
120,91027.8%
25,521
6,051
3.51%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
99,264
91,227
8,036
34,796
12,556
7,221
11,197
2,675
168
977
64,467
31,46932,998
6,706
57,76135.1%
14,3883,341
3.37%

100.0%
63.6%
91.3%
91.3%
91.3%
100.0%
100.0%
54.9%
74.4%
91.3%
181days
53,77739,462
14,315
21,274
5,478
6,211
6,177
2,503
85
818
32,503
11,50221,000790
31,71339.6%
12,423
1,760
3.27%

88.3%
88.3%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
93.0%
181days
59,69648,327
11,36822,413
6,612
5,498
5,063
4,316
89
832
37,282
12,36024,92237,28237.5%
10,996
1,979
3.32%

100.0%
86.8%
60.8%
73.7%
100.0%
100.0%
100.0%
100.0%
86.9%
86.9%
181days
21,99919,080
2,919
8,970
3,174
2,498
2,727
390
39
141
13,028
4,280
8,747
156
12,872
40.8%
4,992
714
3.25%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
81.2%
100.0%
100.0%
181days
57,19049,324
7,866
16,088
6,309
4,584
4,480
63
650
41,101
7,919
33,182
41,101
28.1%
9,746
2,005
3.51%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
74.8%
94.4%
181days
67,33460,9496,385
17,840
5,111
6,778
5,199
441
72
237
49,494
9,885
39,60949,494
26.5%
13,5572,384
3.54%

100.0%
100.0%
100.0%
100.0%
85.7%
100.0%
100.0%
100.0%
100.0%
85.7%
181days
42,57338,512
4,061
11,678
3,989
4,099
3,023
356
46
163
30,894
10,56920,32430,894
27.4%
8,199
1,499
3.52%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
47,26644,028
3,237
10,641
3,827
3,002
2,837
486
40
447
36,624
13,28823,336
1,331
35,293
22.5%
6,005
1,712
3.62%

100.0%
90.7%
72.2%
71.2%
72.2%
70.3%
70.3%
88.9%
98.2%
98.2%
181days
173,090
142,893
30,197
87,58930,122
17,976
31,239
5,549
312
2,389
85,501
78,0677,433
2,611
82,89050.6%
35,936
5,277
3.05%

286,720
23,893

143,300
11,94180,070
6,672

328,200
27,350204,910
17,075

157,210
13,100120,300
10,02598,8208,235

51,4804,290

92,5407,711

93,8607,821

61,4805,123

26,0502,170

114,460
9,538

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues
Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

-43-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Tokyo Metropolitan Area

Property No.

A061

A062

A063

A064

A066

A067

A068

KDX
Koishikawa TG
Gotanda TG
KDX Nihonbashi KDX Shinjuku
KDX Ginza
KDX Nihonbashi
Hamamatsucho
Building
Building
216 Building
Building
1chome Building Honcho Building
Dai-2 Building
September 1, 2008 November 18, 2009 November 18, 2009 December 1, 2009 February 18, 2010 November 12, 2010 November 12, 2010

Property Name
Acquisition Date
Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)※As of April 30, 2015

A071

A072

A073

A074

KDX Iidabashi
Building

KDX HigashiShinagawa
Building

KDX Hakozaki
Building

KDX ShinNihonbashi
Building

July 22, 2011 July 22, 2011 July 22, 2011 July 22, 2011

A075

A078

KDX Nihonbashi
KDX Tachikawa
Kabutocho
Ekimae Building
Building

A083
KDX Fuchu
Building

December 26, 2011 December 26, 2011 September 21, 2012

2,200
0.6%
2,260
1,950
0.5%
8
1,954.23
1,954.23

3,080
0.8%
3,060
3,270
0.9%
5
3,945.54
3,945.54

2,620
0.7%
2,743
2,830
0.7%
10
3,161.80
3,161.80

2,010
0.5%
1,906
1,880
0.5%
8
1,615.20
1,615.20

6,800
1.8%
6,879
7,000
1.8%
20
5,836.68
5,154.10

4,300
1.1%
4,244
5,260
1.4%
4
3,573.59
3,573.59

4,000
1.0%
3,970
4,500
1.2%
8
3,998.39
3,998.39

4,670
1.2%
4,606
5,320
1.4%
4
4,429.25
3,835.20

4,590
1.2%
4,833
4,450
1.2%
3
7,115.38
5,228.40

2,710
0.7%
2,804
2,940
0.8%
8
3,992.60
3,992.60

2,300
0.6%
2,179
2,630
0.7%
9
2,658.79
2,658.79

11,2702.9%
11,294
11,8003.1%
77,562.93
7,562.93

1,267
0.3%
1,307
1,460
0.4%
5
1,612.13
1,612.13

6,120
1.6%
6,042
6,850
1.8%
36
10,151.48
10,057.90

100.0%
100.0%
100.0%
87.5%
100.0%
87.6%
87.6%
100.0%
100.0%
100.0%
181days
60,22754,718
5,508
17,743
4,604
7,965
4,672
186
60
254
42,483
5,062
37,420260
42,22329.5%
15,9342,096
3.48%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
129,853
107,782
22,07140,88914,196
9,878
15,336
138
155
1,184
88,964
14,931
74,033600
88,36431.5%
19,7584,465
3.44%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
80.0%
80.0%
77.1%
181days
98,84088,904
9,936
27,180
7,939
8,513
8,788
719
118
1,101
71,66013,34458,31571,66027.5%
16,9863,479
3.52%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
75.0%
181days
55,76950,810
4,958
15,193
5,179
4,488
3,750
371
54
1,349
40,576
11,37629,19940,576
27.2%
8,977
1,966
3.53%

88.3%
91.8%
88.4%
88.3%
96.5%
100.0%
97.7%
100.0%
100.0%
93.7%
181days
215,636
185,300
30,33578,384
21,43927,73022,580
3,445
272
2,915
137,251
17,471
119,780
2,926
134,324
36.4%
55,4597,201
3.34%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
147,728
139,489
8,239
35,6309,955
12,429
8,696
612
125
3,810
112,098
11,739100,358
155
111,94324.1%
24,8425,302
3.59%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
137,645
128,322
9,322
34,413
9,614
14,690
8,177
845
124
962
103,232
9,783
93,4491,707
101,52525.0%
29,364
4,915
3.57%

86.6%
86.6%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
144,711
128,895
15,816
41,195
10,445
10,545
17,667
1,298
146
1,092
103,516
15,884
87,631
103,516
28.5%
21,090
5,065
3.50%

73.5%
56.7%
76.7%
100.0%
100.0%
100.0%
89.2%
100.0%
181days
100,758
85,61915,13956,384
12,553
16,13017,165
2,667
231
7,637
44,37325,996
18,376
31,385
12,98856.0%
32,2602,961
2.94%

100.0%
89.3%
78.6%
100.0%
100.0%
100.0%
100.0%
83.3%
181days
102,218
90,984
11,23433,236
7,540
11,908
10,596
1,353
166
1,670
68,982
22,81846,1649,484
59,49732.5%
23,8163,493
3.42%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
85,071
77,822
7,248
23,821
7,156
7,172
7,415
1,136
96
845
61,25022,21639,033
3,937
57,31228.0%
14,3282,986
3.51%

100.0%
100.0%
100.0%
99.8%
13.4%
100.0%
100.0%
181days
281,279
250,424
30,85490,41425,88831,291
26,780
5,142
313
999
190,865
72,208
118,656
2,367
188,497
32.1%
62,5829,635
3.43%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
63,61754,697
8,919
19,246
5,123
7,008
5,075
1,171
72
794
44,371
3,907
40,46344,371
30.3%
14,508
2,203
3.46%

99.1%
97.6%
97.6%
100.0%
97.2%
98.2%
181days
294,796263,285
31,51092,92629,086
24,70733,794
3,176
417
1,744
201,869
44,459157,409
2,521
199,348
31.5%
49,51910,136
3.44%

75,2206,268

297,050
24,754140,280
11,69075,9506,329

347,300
28,94180,6906,724

82,1806,848

117,560
9,796

256,450
21,370255,430
21,285102,390
8,532

549,760
45,813

121,540
10,128442,330
36,860Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues
Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

-44-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Tokyo Metropolitan Area

Property No.

A084

A085

A086

Property NameKDX Kasuga
Building

KDX
Nakameguro
Building

KDX Omiya
Building

Acquisition Date

A087

A088

Itopia Nihonbashi KDX Shinjuku
SA Building
6-chome Building※As of April 30, 2015

A089

A090

A091

A092

A093

A094

A095

A096

A099

KDX
Takanawadai
Building

KDX Ikebukuro
Building

KDX Mita
Building

KDX Akihabara
Building

Aplus Tokyo
Building

KDX MusashiKosugi Building

KDX Toyosu
Grand Square

KDX
Takadanobaba
Building

Tosen Ikebukuro
Building

September 21, 2012 September 21, 2012 March 26, 2013 August 19, 2013 September 13, 2013 November 19, 2013 November 18, 2013 November 18, 2013 November 19, 2013 January 10, 2014 March 20, 2014

Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)May 30, 2014 May 30, 2014 September 3, 2014

2,800
0.7%
2,813
3,530
0.9%
15
4,345.13
4,345.13

1,880
0.5%
1,892
2,340
0.6%
6
2,689.27
2,689.27

2,020
0.5%
2,221
2,610
0.7%
17
3,816.33
3,580.52

2,200
0.6%
2,256
2,360
0.6%
14
3,106.42
3,106.42

1,900
0.5%
1,906
2,400
0.6%
7
4,037.44
4,037.44

5,250
1.4%
5,299
5,830
1.5%
8
6,951.88
6,951.88

3,900
1.0%
3,840
4,340
1.1%
10
3,110.59
3,110.59

3,180
0.8%
3,181
3,500
0.9%
11
3,416.31
3,265.44

2,600
0.7%
2,593
2,900
0.8%
7
2,288.93
2,288.93

4,350
1.1%
4,543
4,720
1.2%
1
4,487.22
4,487.22

12,0003.1%
11,841
13,4003.5%
5
12,978.52
12,978.52

8,666
2.3%
8,563
8,930
2.3%
13
11,797.85
10,265.44

3,650
0.9%
3,667
3,980
1.0%
10
4,563.58
4,563.58

1,934
0.5%
1,960
1,980
0.5%
4
2,587.84
2,100.08

100.0%
100.0%
100.0%
97.4%
92.4%
95.7%
181days
121,149
108,976
12,17369,904
10,644
11,211
8,874
38,206159
808
51,244
18,81932,424
2,415
48,82957.7%
22,4243,518
2.90%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
73,68463,757
9,926
18,918
6,488
5,319
5,253
1,168
92
595
54,7659,046
45,7184,830
49,935
25.7%
10,639
2,621
3.56%

93.8%
100.0%
100.0%
95.1%
95.1%
181days
107,939
92,84315,09656,5498,915
6,728
12,56725,896140
2,302
51,38913,67037,7182,450
48,93952.4%
13,4493,251
3.01%

100.0%
98.0%
81.1%
100.0%
181days
91,66180,551
11,10927,854
10,118
6,775
7,876
2,090
141
852
63,806
9,710
54,095431
63,37430.4%
13,551
3,172
3.46%

100.0%
100.0%
100.0%
100.0%
181days
95,361
79,437
15,92476,653
7,524
10,5099,696
47,901141880
18,707
8,879
9,828
5,462
13,24580.4%
21,0182,327
2.44%

100.0%
100.0%
95.7%
181days
190,306
170,842
19,46457,762
15,696
18,263
19,749
2,894
242
916
132,543
7,952
124,590
12,057
120,486
30.4%
36,5276,588
3.46%

100.0%
100.0%
100.0%
181days
127,724
114,454
13,26934,14910,798
7,467
10,814
1,775
87
3,206
93,574
27,13966,435500
93,07426.7%
14,934
4,516
3.54%

95.6%
95.6%
88.4%
181days
101,881
82,68419,19632,997
8,866
9,874
9,609
3,636
130
879
68,883
10,89357,9896,824
62,05932.4%
19,7483,484
3.42%

100.0%
100.0%
100.0%
181days
84,417
77,4996,918
17,787
5,584
3,387
7,229
899
81
605
66,63011,08555,545340
66,290
21.1%
6,774
3,082
3.65%

100.0%
100.0%
100.0%
181days
167,085
162,885
4,200
16,84915,463964
177
244
150,236
14,240135,995
150,236
10.1%
26,0916,475
3.88%

100.0%
100.0%
95.9%
181days
411,094375,640
35,45378,65735,743
13,03327,566
611
428
1,275
332,436
101,762
230,673857
331,578
19.1%
52,123
15,174
3.69%

87.0%
87.0%
181days
269,619
233,20936,41061,086
20,107
4
31,732
567
389
8,285
208,533
77,865
130,668520
208,01322.7%
43,1352,364
0.88%

100.0%
100.0%
181days
133,325
106,367
26,95860,5199,418
412,91835,757140
2,280
72,806
14,42258,383
7,596
65,21045.4%
19,467
4,206
3.16%

81.2%
100.0%
181days
69,182
57,693
11,48816,039
6,938
6,323
1,829
95
851
53,1438,567
44,57553,143
23.2%
10,1062,496
3.61%

204,470
17,039173,340
14,445

210,300
17,525337,220
28,101

214,340
17,861

551,21345,93472,362
6,030

180,220
15,018117,070
9,755

384,169
32,014140,030
11,669708,370
59,030213,71117,809187,542
15,628

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues
Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

-45-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Tokyo Metropolitan Area

Property No.

A101

A102

Other Regional Areas
A103

A105

A107

A108

A012

Yokohama
Shin-Yokohama
BUREX
35 Sankyo
Portus Center
Nishiguchi SIA
Pentel Building
214Building
Toranomon
Building
Building
Building
October 29, 2014 December 2, 2014 December 2, 2014 December 3, 2014 March 13, 2015 March 26, 2015 September 21, 2005
Urban Square
Yokohama

Property Name
Acquisition Date
Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)※As of April 30, 2015

A042

A044

A053

A054

A058

Karasuma
Building

KDX Sendai
Building

KDX HakataMinami Building

KDX Kitahama
Building

KDX Nagoya
Sakae Building

June 1, 2007

June 1, 2007 February 1, 2008 February 1, 2008 July 1, 2009

A069

A070

KDX KobayashiKDX Sapporo
Doshomachi
Building
Building
December 1, 2010 March 25, 2011

7,210
1.9%
7,240
7,640
2.0%
27
10,933.27
10,933.27

2,750
0.7%
2,760
2,910
0.8%
15
4,978.37
4,978.37

2,200
0.6%
2,204
2,220
0.6%
15
4,608.59
4,437.88

1,750
0.5%
1,773
2,090
0.5%
1
1,900.93
1,900.93

3,600
0.9%
3,629
3,630
1.0%
12
4,490.74
4,327.02

3,350
0.9%
3,508
3,434
0.9%
9
4,346.66
4,346.66

5,570
1.4%
4,294
4,950
1.3%
27
11,582.44
10,994.13

5,400
1.4%
5,248
5,100
1.3%
40
8,743.97
8,743.97

2,100
0.5%
2,067
1,600
0.4%
32
3,960.23
3,817.62

4,900
1.3%
4,653
3,560
0.9%
49
9,910.57
9,389.36

2,220
0.6%
2,118
1,540
0.4%
11
3,995.50
3,708.71

7,550
2.0%
7,076
4,990
1.3%
16
6,923.12
6,923.12

2,870
0.7%
2,438
2,650
0.7%
12
7,072.23
7,072.23

2,005
0.5%
2,008
2,020
0.5%
21
3,788.51
3,788.51

100.0%
100.0%
181days279,265
245,320
33,94572,86831,928
9,438
26,638
3,035
420
1,406
206,397
34,802
171,594
11,380
195,01626.1%
37,7189,911
3.55%

100.0%
150days
99,68484,805
14,87934,172
9,680
5,135
12,787
4,256
147
2,164
65,512
11,74753,7656,510
59,002
34.3%
20,520
3,371
3.38%

96.3%
150days
70,942
59,57011,371
20,162
6,594
2,988
6,915
1,440
144
2,079
50,7799,719
41,059320
50,45928.4%
11,9522,484
3.50%

100.0%
149days
41,125
41,125
1,715
1,643
12
59
39,41010,06329,347645
38,765
4.2%
12,260
1,643
4.00%

96.4%
49days
24,37920,114
4,265
5,157
2,204
2,675
57
219
19,221
4,226
14,995
19,221
21.2%
20,670889
3.65%

100.0%
36days25,697
24,882
814
6,245
6,109
75
36
23
19,451
3,449
16,002
19,451
24.3%
26,557
921
3.59%

94.9%
97.5%
96.5%
95.8%
98.6%
89.5%
89.5%
90.1%
95.8%
93.9%
181days
292,957
239,797
53,159117,884
65,76022,77623,277
2,938
1,922
1,207
175,072
51,572
123,499
175,072
40.2%
43,8959,551
3.26%

100.0%
100.0%
100.0%
94.3%
98.3%
99.2%
100.0%
99.2%
94.2%
93.2%
181days
207,594
181,405
26,18965,60620,19021,165
19,630
2,273
287
2,058
141,987
30,161
111,826
6,601
135,386
31.6%
43,045
7,134
3.44%

96.4%
94.4%
91.9%
91.5%
96.8%
93.8%
96.7%
87.4%
99.1%
98.7%
181days
89,857
76,202
13,65429,928
11,125
6,749
10,006
404
141
1,501
59,92919,74640,182
6,071
53,85833.3%
13,441
3,056
3.40%

94.7%
98.5%
95.8%
93.9%
94.9%
93.3%
86.0%
79.3%
75.4%
80.6%
181days
172,113147,142
24,97053,862
14,507
10,08923,823
3,329
299
1,813
118,250
36,30081,950892
117,358
31.3%
20,149
5,925
3.44%

92.8%
92.8%
92.8%
92.8%
92.8%
92.8%
89.2%
84.4%
92.8%
96.4%
181days
76,99061,675
15,31530,492
7,576
4,526
10,004
2,539
114
5,730
46,49813,45933,0381,207
45,290
39.6%
8,887
2,520
3.27%

100.0%
99.3%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
93.7%
90.3%
181days
183,304
165,163
18,14058,51218,017
20,16916,990
2,363
252
720
124,791
71,83052,961
100
124,691
31.9%
40,0366,287
3.43%

100.0%
91.3%
100.0%
100.0%
93.5%
91.3%
95.6%
95.6%
91.0%
181days
178,212161,352
16,86091,994
15,284
11,54816,082
211
262
48,60586,21853,37932,838965
85,253
51.6%
22,9475,396
3.03%

100.0%
95.6%
97.8%
89.8%
94.4%
100.0%
100.0%
100.0%
100.0%
181days
92,64976,502
16,146
34,628
9,518
8,738
13,667
863
147
1,693
58,02016,802
41,2181,670
56,35037.4%
17,6343,074
3.32%

647,152
53,929213,177
17,764

170,738
14,22825,5992,133

242,059
20,171

288,245
24,020856,430
71,369262,560
21,880223,960
18,663

185,690
15,474

136,270
11,35595,4507,954

87,3407,278

202,790
16,899

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues
Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

A058 KDX Nagoya Sakae Building: The land portion of KDX Nagoya Sakae Building was acquired on April 25, 2008.
A069 KDX Kobayashi Doshomachi Building: The rent for land to the land owner (Kobayashi Pharmaceutical Co., Ltd.) is stipulated according to specific terms
under the land lease agreement and the annual rent to be paid is￥94.3 million until August 2019.

-46-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings

Location

Other Regional Areas

Property No.

A079

A080

A082

A104

A106

Acquisition Date
Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Net book value (\ Millions)Appraisal value at the end of period (\ Millions)
Percentage of total appraisal value
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)※As of April 30, 2015

Central Urban Retail Properties

Other

Tokyo
Metropolitan
C001

C002

C004

Tokyo
Metropolitan
D002

Frame Jinnanzaka

KDX Yoyogi
Building

Ginza 4chome
Tower

Shinjuku 6-chome
Building (Land)

Total of 97
Properties

A097

A098

A100

KDX
Utsunomiya
Building

Hiroshima
Ekimae-doriMark Building

Senri Life Science
Center Building

2,350
0.6%
2,328
2,540
0.7%
23
5,337.87
5,258.39

1,300
0.3%
1,367
1,410
0.4%
17
3,982.43
2,945.98

13,0003.4%
12,972
13,3003.5%
61
17,220.91
17,052.32

2,200
0.6%
2,194
2,560
0.7%
22
5,285.95
5,220.29

5,900
1.5%
6,014
7,250
1.9%
30
12,342.71
11,096.73

5,353
1.4%
4,711
4,900
1.3%
1
7,711.14
7,711.14

9,900
2.6%
9,508
10,1002.6%
124,646.44
4,555.65

2,479
0.6%
2,492
2,060
0.5%
10
1,177.00
1,079.88

9,800
2.5%
9,753
11,6003.0%
45,624.23
5,624.23

2,880
0.7%
2,973
3,030
0.8%
1
1,355.13
1,355.13

385,094
100.0%
379,905
381,864100.0%
1,161
453,999.44
438,282.70

100.0%
100.0%
100.0%
100.0%
100.0%
95.5%
95.5%
181days
124,887
105,044
19,84240,392
9,186
12,22916,277
1,574
194
930
84,49535,374
49,12084,49532.3%
24,254
4,273
3.42%

98.5%
97.0%
181days
128,171
109,291
18,87938,431
15,2494,284
15,518
2,503
195
681
89,73924,83564,904
1,360
88,37930.0%
17,132
4,447
3.47%

74.0%
73.3%
181days
62,722
44,317
18,404
19,484
8,002
3,319
6,350
242
140
1,430
43,237
11,072
32,165
3,438
39,79931.1%
13,276
2,162
3.45%

99.0%
99.3%
181days
734,309465,183
269,126
261,02186,593
10
97,932
5,892
1,189
69,402473,288
109,543
363,7448,085
465,20335.5%
121,279
23,3003.17%

98.8%
150days
88,88173,692
15,18827,043
8,778
6,247
11,124105
155
631
61,837
19,83042,006
61,83730.4%
24,924
3,075
3.46%

89.9%
112days
174,403
148,465
25,93865,341
29,26055
21,455
7,482
330
6,758
109,061
17,923
91,13815,134
93,92737.5%
71,765
5,785
3.32%

100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
181days
149,141
132,064
17,07640,072
16,891
10,003
1,870
6,290
275
4,739
109,068
45,956
63,111
741
108,32626.9%
20,007
4,572
3.07%

98.0%
93.6%
96.3%
100.0%
100.0%
100.0%
100.0%
89.5%
100.0%
100.0%
181days
253,402
216,666
36,73565,52817,90015,59019,680
3,393
147
8,815
187,874
58,535
129,338
2,838
185,03625.9%
31,180
9,005
3.55%

91.7%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
94.8%
181days
69,08058,93910,141
15,496
4,161
4,277
4,887
1,010
36
1,124
53,5839,226
44,35753,583
22.4%
8,554
2,503
3.62%

100.0%
100.0%
100.0%
100.0%
181days
275,876
245,603
30,27369,024
19,411
20,71927,354644
189
705
206,852
34,832
172,019
206,852
25.0%
41,4399,851
3.57%

100.0%
100.0%
100.0%
181days
68,00868,0044
200
200
67,80867,80867,8080.3%
11,596
0.00%

96.5%
95.6%
96.0%
95.8%
93.9%
95.5%
95.4%
94.7%
94.6%
93.6%
177days ※12,609,711
10,864,610
1,745,101
4,065,331
1,218,026
926,304
1,191,080
428,832
17,701
283,3858,544,379
2,169,524
6,374,855
329,4618,214,918
32.2%
2,304,288
419,561
3.33%

107,610
8,967

312,190
26,015

195,898
16,324

1,489,569
124,130

111,951
9,329

580,570
48,380301,520
25,126

141,540
11,79547,5203,960

161,290
13,440-KDX MinamiKDX
Honmachi
Sakura-dori
Building
Building
December 26, 2011 December 26, 2011 March 28, 2012 May 30, 2014 September 1, 2014 October 15, 2014 December 2, 2014 January 9, 2015

Property Name

Residential
Properties
Tokyo
Metropolitan
B019

KDX Nagoya
Ekimae Building

Nagoya Nikko
Shoken Building

KDX Higashi
Umeda Building

7,327
1.9%
8,024
7,890
2.1%
18
7,932.43
7,855.14

4,158
1.1%
4,224
4,150
1.1%
9
7,994.70
7,983.39

2,770
0.7%
2,678
3,540
0.9%
10
4,986.24
4,986.24

99.0%
99.0%
100.0%
100.0%
100.0%
93.8%
92.8%
181days
325,980
278,61047,369109,175
29,88036,831
30,24910,400369
1,443
216,804
38,456
178,348
105,195
111,609
33.5%
75,071
11,0773.40%

99.9%
100.0%
95.5%
98.0%
98.0%
98.0%
92.7%
181days
204,521
180,169
24,35280,40425,944
26,84821,365
3,977
362
1,904
124,117
14,005
110,112434
123,683
39.3%
53,7156,706
3.28%

737,870
61,489413,140
34,428Residence
Charmante
Tsukishima

May 1, 2006 August 1, 2005 September 30, 2005 August 19, 2013 April 18, 2014

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues
Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

20,629,535
1,719,127*Total: Cost-weighted average management period (days)-47-

【Reference】

Earnings Performance for the Individual Properties for the 20th Fiscal Period (November 1, 2014 to April 30, 2015)：181days

Type

Office Buildings
Tokyo
Metropolitan
Area
A015

Location
Property No.

KDX Hamacho
Building

Property Name
Acquisition Date
Price Information

Acquisition price (\ Millions)
Percentage of total portfolio
Revenue from sale of the investment property (\ Millions)
Costs of the investment property (\ Millions)
Gain / Loss on sale of real estate (\ Millions)
Number of tenants
Leasable floor area (㎡)Leased floor area（㎡)Other Regional Areas
A025

A081

KDX Minami
Semba Dai-2
Building

Sendai Nikko
Building

Residential
Properties
Other
Regional
Areas
B018

Total 4 sold of
Properties※As of April 30, 2015

Total of 101
Properties

Venus
Hibarigaoka

March 16, 2006 May 1, 2006 December 26, 2011 December 8, 2005
2,300
1,560
950
1,800
34.8%
23.6%
14.4%
27.2%
2,430
1,050
1,420
1,892
2,169
1,308
1,035
1,687
244
(287)
330
134
-

6,610
100.0%
6,792
6,200
421
-

391,704-

Occupancy ratio
Lease Information

As of April 30, 2015
As of October 31, 2014
As of April 30, 2014
As of October 31, 2013
As of April 30, 2013
As of October 31, 2012
As of April 30, 2012
As of October 31, 2011
As of April 30, 2011
As of October 31, 2010

Income and Retained Earnings Information for the 20th Fiscal
PeriodOperating periods①Rental and other operating revenues (\ Thousands)
Rental revenues
Other operating revenues②Property-related expenses (\ Thousands)
Property management fees
Taxes
Utilities
Repairs and maintenance costs
Insurance
Trust fees and other expenses③ＮＯＩ （＝①-②） (\ Thousands)④Depreciation (\ Thousands)⑤Rental operating income （＝③-④） (\ Thousands)⑥Capital expenditures (\ Thousands)⑦ＮＣＦ （＝③-⑥） (\ Thousands)
Expense ratio （＝②／①）
Ｐroperty tax for the year 2015 or 2014 (\ Thousands)

Reference

Among ② of property management fee (Leasing management fees) (\ Thousands)

Reference： Percentage of rental and other operating revenues

88.7%
100.0%
88.7%
100.0%
100.0%
95.0%
95.0%
100.0%
93.9%
144days
61,64853,538
8,109
23,908
6,528
10,168
5,454
591
95
1,071
37,73914,46623,272
470
37,269
38.8%
2,028
3.29%

72.9%
70.6%
82.2%
94.1%
100.0%
90.4%
94.3%
100.0%
100.0%
142days
26,293
20,585
5,708
13,624
3,735
4,907
3,801
543
82
555
12,6698,866
3,802
12,669
51.8%
795
3.02%

87.7%
87.7%
87.7%
75.4%
75.4%
75.4%
174days
54,95646,442
8,513
20,330
5,957
7,674
5,562
420
107
608
34,625
6,655
27,96934,625
37.0%
1,828
3.33%

95.4%
93.7%
94.2%
96.3%
96.1%
95.0%
99.5%
96.7%
92.4%
166days
84,19773,865
10,33233,372
7,464
8,157
2,653
7,019
307
7,771
50,824
21,52329,30150,824
39.6%
2,755
3.27%

154days
227,095
194,432
32,663
91,236
23,68430,90817,472
8,573
592
10,005
135,859
51,512
84,346
470
135,389
40.2%
7,407
3.26%

134,170
11,180122,820
10,235

181,590
15,132

339,440
28,286-176days *Total: Cost-weighted average management period (days)
12,836,807
11,059,042
1,777,764
4,156,567
1,241,711
957,213
1,208,552
437,405
18,294
293,3908,680,239
2,221,037
6,459,202
329,9318,350,307
32.4%
426,968
3.33%

Long-term repairs, maintenance and renovation
Estimated amount of 1st yr to 12th yr (\ Thousands)
Reference：Amount of yearly avg.

-

A025 KDX Minami Semba Dai-2Building was sold on March 23, 2015
A015 KDX Hamacho Building was sold on March 25, 2015
B018 Venus Hibarigaoka was sold on April 16, 2015
A081 Sendai Nikko Building was sold on April 24, 2015

-48-

(Reference) Borrowings
Borrowings as of April 30, 2015 are as follows.
Classification
Short-Term Payable
Current Potion of Long-Term Payable
Long-Term Payable

Drawndown Date

Balance at the
Beginning of
Period(\Thousands)

Sumitomo Mitsui Banking Corporation
May 30, 2014
Sumitomo Mitsui Banking Corporation
July 31, 2014
Sumitomo Mitsui Banking Corporation (Note 3)
October 15, 2014
Sumitomo Mitsui Banking Corporation (Note 4)
October 29, 2014
The Bank of Tokyo-Mitsubishi UFJ, Ltd. (Note 5)
October 29, 2014
Sumitomo Mitsui Trust Bank, Limited (Note 6)
October 29, 2014
Sumitomo Mitsui Banking Corporation
April 2, 2015
Sub Total
Sumitomo Mitsui Banking Corporation (Note 7)
January 29, 2010
Sumitomo Mitsui Banking Corporation (Note 8)
February 18, 2010
Development Bank of Japan Inc. (Note 8)
February 18, 2010
Sumitomo Mitsui Trust Bank, Limited (Note 8)
February 18, 2010
Aozora Bank, Ltd.(Note 8)
February 18, 2010
Sumitomo Mitsui Banking Corporation (Note 9)
April 2, 2010
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
August 31, 2011
Sumitomo Mitsui Banking Corporation
September 30, 2011
Mitsubishi UFJ Trust and Banking Corporation
January 31, 2012
Mizuho Bank, Ltd.
March 12, 2012
Aozora Bank, Ltd.
October 31, 2012
Aozora Bank, Ltd.
February 28, 2011
Sumitomo Mitsui Trust Bank, Limited
March 30, 2012
Aozora Bank, Ltd.
April 27, 2012
Aozora Bank, Ltd.
April 28, 2011
Sumitomo Mitsui Banking Corporation
December 26, 2011
Development Bank of Japan Inc.
December 26, 2011
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
December 26, 2011
Sumitomo Mitsui Banking Corporation (Note 10)
November 12, 2010
Resona Bank, Ltd.(Note 10)
November 12, 2010
Sumitomo Mitsui Banking Corporation (Note 10)
December 1, 2010
Resona Bank, Ltd.(Note 10)
December 1, 2010
The Bank of Tokyo-Mitsubishi UFJ, Ltd. (Note 10)
January 31, 2011
The Bank of Tokyo-Mitsubishi UFJ, Ltd. (Note 10)
February 28, 2011
The Bank of Tokyo-Mitsubishi UFJ, Ltd. (Note 10)
March 31, 2011
The Bank of Tokyo-Mitsubishi UFJ, Ltd. (Note 10)
April 28, 2011
Sumitomo Mitsui Banking Corporation (Note 10)
January 10, 2012
Aozora Bank, Ltd. (Note 10)
February 18, 2013
Resona Bank, Ltd. (Note 10)
March 31, 2011
Development Bank of Japan Inc. (Note 10)
May 1, 2006
Mitsubishi UFJ Trust and Banking Corporation (Note 10)
April 30, 2013
Sub Total
Development Bank of Japan Inc.
November 12, 2010
Development Bank of Japan Inc.
December 1, 2010
Sumitomo Mitsui Banking Corporation
December 26, 2011
Development Bank of Japan Inc.
December 26, 2011
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
December 26, 2011
The Bank of Fukuoka, Ltd.
March 28, 2012
Sumitomo Mitsui Banking Corporation
March 28, 2012
Development Bank of Japan Inc.
March 28, 2012
Resona Bank, Ltd.
June 29, 2012
Sumitomo Mitsui Banking Corporation
September 21, 2012
Development Bank of Japan Inc.
September 21, 2012
Mizuho Bank, Ltd.
September 21, 2012
Aozora Bank, Ltd.
October 31, 2012
Sumitomo Mitsui Trust Bank, Limited
October 31, 2012
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
October 31, 2012
Aozora Bank, Ltd.
October 31, 2012
Resona Bank, Ltd.
December 10, 2012
Development Bank of Japan Inc.
December 28, 2012
The Bank of Fukuoka, Ltd.
December 28, 2012
Mizuho Trust & Banking Co., Ltd.
December 28, 2012
Sumitomo Mitsui Trust Bank, Limited
January 15, 2013
Resona Bank, Ltd.
March 26, 2013
Sumitomo Mitsui Banking Corporation
March 26, 2013
Mitsubishi UFJ Trust and Banking Corporation
July 31, 2013
Resona Bank, Ltd.
July 31, 2013
Sumitomo Mitsui Banking Corporation
August 19, 2013
Aozora Bank, Ltd.
August 19, 2013
Mizuho Trust & Banking Co., Ltd.
August 19, 2013
Hiroshima Bank, Ltd.
August 19, 2013
The Bank of Fukuoka, Ltd.
August 19, 2013
The Nishi-Nippon City Bank, Ltd.
August 30, 2013

500,000
1,000,000
8,000,000
3,000,000
2,000,000
1,400,000
15,900,000
960,000
1,725,000
1,275,000
750,000
375,000
1,550,000
1,500,000
2,500,000
1,500,000
1,000,000
2,500,000
3,000,000
2,000,000
1,000,000
1,500,000
2,500,000
2,500,000
2,000,000
1,200,000
800,000
800,000
200,000
800,000
500,000
2,000,000
1,000,000
2,500,000
1,500,000
1,000,000
5,000,000
1,000,000
48,435,000
2,300,000
700,000
2,500,000
2,500,000
2,000,000
500,000
1,400,000
1,000,000
1,500,000
5,000,000
1,000,000
1,000,000
2,500,000
1,500,000
2,500,000
2,500,000
500,000
2,000,000
500,000
500,000
1,000,000
1,000,000
1,000,000
1,500,000
500,000
1,000,000
1,000,000
500,000
500,000
500,000
700,000

Lender-49-

Average
Balance at the Interest
Payment
End of Period
Rate Last Repayment Date
Method(\Thousands) (Note 1)(%)
500,000
1,000,000
1,500,000
3,000,000
3,000,000
2,000,000
1,000,000
1,500,000
2,500,000
2,500,000
2,000,000
1,200,000
800,000
800,000
200,000
800,000
500,000
2,000,000
1,000,000
2,500,000
1,500,000
1,000,000
5,000,000
1,000,000
32,800,000
2,300,000
700,000
2,500,000
2,500,000
2,000,000
500,000
1,400,000
1,000,000
1,500,000
5,000,000
1,000,000
1,000,000
2,500,000
1,500,000
2,500,000
2,500,000
500,000
2,000,000
500,000
500,000
1,000,000
1,000,000
1,000,000
1,500,000
500,000
1,000,000
1,000,000
500,000
500,000
500,000
700,000

0.532
0.482
0.537
0.536
0.535
0.535
0.530

May 29, 2015
July 31, 2015
October 15, 2015
October 29, 2015
October 29, 2015
October 29, 2015
March 31, 2016

2.173
2.190
2.190
2.190
2.190
2.220
0.938
1.289
1.190
1.075
1.008
1.912
1.211
1.271
1.859
1.338
1.315
1.338
1.789
1.789
1.380
1.380
1.939
1.952
1.905
1.886
1.269
0.840
1.239
2.731
0.683

January 30, 2015
February 18, 2015
February 18, 2015
February 18, 2015
February 18, 2015
April 2, 2015
February 27, 2015
March 31, 2015
January 30, 2015
March 12, 2015
April 30, 2015
August 31, 2015
September 30, 2015
October 30, 2015
October 31, 2015
October 31, 2015
October 31, 2015
October 31, 2015
November 12, 2015
November 12, 2015
November 12, 2015
November 12, 2015
January 29, 2016
January 29, 2016
January 29, 2016
January 29, 2016
January 29, 2016
February 18, 2016
March 31, 2016
April 30, 2016
April 30, 2016

2.023
2.206
1.439
1.415
1.439
1.364
1.770
1.770
1.286
1.158
1.158
1.158
1.061
1.045
1.096
1.253
0.983
1.013
1.086
1.086
0.974
1.036
1.036
0.583
0.683
0.950
0.950
0.950
0.969
0.950
1.080

November 12, 2017
November 12, 2017
October 31, 2016
October 31, 2016
October 31, 2016
March 28, 2017
March 28, 2019
March 28, 2019
June 30, 2017
September 21, 2017
September 21, 2017
September 21, 2017
October 31, 2016
October 31, 2016
October 31, 2017
October 31, 2018
December 12, 2016
December 28, 2016
December 28, 2017
December 29, 2017
January 15, 2017
March 26, 2018
March 26, 2018
July 29, 2016
July 31, 2018
August 19, 2018
August 19, 2018
August 19, 2018
August 19, 2018
August 19, 2018
August 31, 2018

Usage

Remarks

Full on
Unsecured/(Note 2)maturity
Unguaranteed(Note 7)(Note 8)(Note 9)(Note 2)

Unsecured/
Unguaranteed

Full onmaturity

Full on
Unsecured/(Note 2)maturity
UnguaranteedClassification

LenderDrawndown Date

Balance at the
Beginning of
Period(\Thousands)

Average
Balance at the Interest
End of Period
Rate(\Thousands) (Note 1)(%)
500,000
1.080
300,000
1.080
1,500,000
1.420
1,800,000
1.059
900,000
1.059
500,000
0.887
1,000,000
0.820
2,000,000
1.074
500,000
1.074
200,000
0.844
1,000,000
1.122
900,000
1.122
1,300,000
1.205
1,200,000
0.667
3,700,000
0.932
2,300,000
1.130
2,250,000
0.751
450,000
0.781
1,800,000
0.916
1,800,000
1.358
3,000,000
0.912
4,000,000
1.013
3,000,000
1.199
2,000,000
1.349
2,500,000
0.762
2,900,000
0.954
500,000
0.640
2,000,000
0.903
500,000
0.903
1,000,000
0.682
1,000,000
0.616
2,700,000
0.736
300,000
0.756
2,200,000
1.014
1,000,000
0.650
800,000
0.885
500,000
0.885
1,000,000
0.979
950,000
0.979
2,700,000
0.798
1,000,000
0.893
3,000,000
0.802
2,000,000
1.071
1,500,000
1.126
1,000,000
1.071
2,000,000
1.257
1,000,000
1.259
1,500,000
0.710
1,500,000
1.161
1,250,000
0.907
350,000
0.907
1,700,000
1.157
1,250,000
1.314
2,100,000
1.153
1,000,000
1.218
2,500,000
1.266
2,300,000
0.825
130,500,000
166,300,000

Last Repayment
Date

Payment
MethodUsage

Remarks

Long-Term Payable

The 77 Bank, Ltd.
August 30, 2013
August 31, 2018
500,000
The Higashi-Nippon Bank, Limited
August 30, 2013
August 31, 2018
300,000
August 31, 2020
Development Bank of Japan Inc.
August 30, 2013
1,500,000
Aozora Bank, Ltd.
September 30, 2013
September 30, 2019
1,800,000
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
September 30, 2013
September 30, 2019
900,000
Resona Bank, Ltd.
October 31, 2013
October 31, 2018
500,000
November 12, 2018
Sumitomo Mitsui Trust Bank, Limited
November 12, 2013
1,000,000
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
November 12, 2013
November 12, 2020
2,000,000
Aozora Bank, Ltd.
November 12, 2013
November 12, 2020
500,000
November 30, 2018
Mizuho Bank, Ltd.
November 29, 2013
200,000
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
November 29, 2013
November 30, 2020
1,000,000
Aozora Bank, Ltd.
November 29, 2013
November 30, 2020
900,000
Sumitomo Mitsui Banking Corporation
January 10, 2014
January 31, 2021
1,300,000
January 31, 2017
Mitsubishi UFJ Trust and Banking Corporation
January 31, 2014
1,200,000
Sumitomo Mitsui Trust Bank, Limited
January 31, 2014
January 31, 2020
3,700,000
Sumitomo Mitsui Banking Corporation
January 31, 2014
January 31, 2021
2,300,000
Aozora Bank, Ltd.
March 12, 2014
March 12, 2018
2,250,000
Sumitomo Mitsui Trust Bank, Limited
March 12, 2014
March 31, 2019
450,000
Sumitomo Mitsui Banking Corporation
March 12, 2014
March 12, 2020
1,800,000
Development Bank of Japan Inc.
March 12, 2014
March 12, 2023
1,800,000
March 12, 2020
Sumitomo Mitsui Banking Corporation
March 20, 2014
3,000,000
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
March 20, 2014
September 20, 2021
4,000,000
Development Bank of Japan Inc.
March 20, 2014
March 20, 2022
3,000,000
March 12, 2023
Development Bank of Japan Inc.
March 20, 2014
2,000,000
Sumitomo Mitsui Trust Bank, Limited
March 31, 2014
March 31, 20192,500,000
Sumitomo Mitsui Banking Corporation
April 22, 2014
October 31, 2020
2,900,000
Hiroshima Bank, Ltd.
July 10, 2014
July 10, 2019
500,000
July 10, 2021
Mizuho Bank, Ltd.
July 10, 2014
2,000,000
Full on
Unsecured/(Note 2)The Nishi-Nippon City Bank, Ltd.
July 10, 2014
July 10, 2021
500,000
maturity
Unguaranteed
Mitsubishi UFJ Trust and Banking Corporation
July 14, 2014
July 31, 2019
1,000,000
Sumitomo Mitsui Trust Bank, Limited
July 31, 2014
July 31, 2019
1,000,000
Sumitomo Mitsui Banking Corporation
July 31, 2014
July 31, 2020
2,700,000
Resona Bank, Ltd.
July 31, 2014
October 31, 2020
300,000
July 31, 2022
Sumitomo Mitsui Banking Corporation
July 31, 2014
2,200,000
Sumitomo Mitsui Trust Bank, Limited
August 29, 2014
July 31, 2019
1,000,000
Mizuho Trust & Banking Co., Ltd.
September 1, 2014
August 31, 2021
800,000
The Bank of Fukuoka, Ltd.
September 1, 2014
August 31, 2021
500,000
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
September 3, 2014
August 31, 2022
1,000,000
August 31, 2022
Resona Bank, Ltd.
September 3, 2014
950,000
Sumitomo Mitsui Trust Bank, Limited
September 22, 2014
September 30, 2020
2,700,000
September 30, 2021
Mizuho Trust & Banking Co., Ltd.
September 30, 2014
1,000,000
Mitsubishi UFJ Trust and Banking Corporation
October 31, 2014
October 31, 2021
3,000,000
Resona Bank, Ltd.
October 31, 2014
October 31, 2023
2,000,000
Development Bank of Japan Inc.
October 31, 2014
October 31, 2023
1,500,000
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
October 31, 2014
October 31, 2023
1,000,000
October 31, 2024
Sumitomo Mitsui Banking Corporation
October 31, 2014
2,000,000
Development Bank of Japan Inc.
October 31, 2014
October 31, 2024
1,000,000
January 31, 2021
Mitsubishi UFJ Trust and Banking Corporation
January 30, 2015
Sumitomo Mitsui Banking Corporation
January 30, 2015
January 31, 2025
Sumitomo Mitsui Trust Bank, Limited
February 18, 2015
February 28, 2022
Aozora Bank, Ltd.
February 18, 2015
February 28, 2022
February 29, 2024
Sumitomo Mitsui Banking Corporation
February 18, 2015
Development Bank of Japan Inc.
February 18, 2015
February 28, 2025
The Bank of Tokyo-Mitsubishi UFJ, Ltd.
February 27, 2015
February 28, 2025
Mizuho Bank, Ltd.
March 12, 2015
February 28, 2025
Sumitomo Mitsui Banking Corporation
March 31, 2015
March 31, 2025
Aozora Bank, Ltd.
April 30, 2015
April 30, 2022
Sub Total
115,050,000
Total
179,385,000
Notes:
1. The average interest rate is the weighted-average interest rate for the fiscal period. The Investment Corporation entered into interest-rate swap transactions with the aim ofminimizing the risk of future increase in interest rates. The effect of interest-rate swap transactions has been incorporated into calculations for the weighted-average interest rate.
2. Funds procured through borrowings were used to acquire real estate or trust beneficiary interests in real estate and to repay borrowings.
3. Prepayment was made on December 26, 2014.
4. Prepayment of 2,400,000 thousand yen was made on December 26, 2014 and 600,000 thousand yen was made on Janurary 30, 2015.
5. Prepayment of 1,400,000 thousand yen was made on December 26, 2014 and 600,000 thousand yen was made on Feburary 27, 2015.
6. Prepayment of 900,000 thousand yen was made on December 26, 2014 and 500,000 thousand yen was made on February 18, 2015.
7. Repayment Method: Pay 24,000 thousand yen on the last day of every 6 months from April 30, 2010 and 960,000 thousand yen was paid on January 30, 2015.
8. Repayment Method: Pay 137,500 thousand yen on the last day of every 6 months from February 26, 2010 and 4,125,000 thousand yen was paid on February 18, 2015.
9. Repayment Method: Pay 50,000 thousand yen on the last day of every 6 months from August 31, 2010 and 1,500,000 thousand yen was paid on April 2, 2015.
10. Borrowings listed in the current potion of long-term payable were listed in long-term payable in the previous fiscal period.

-50-