May 29, 2019
To All Concerned Parties
Issuer of Real Estate Investment Trust Securities:
Nippon Accommodations Fund Inc.
Takashi Ikeda, Executive Director(TSE Code: 3226)
Investment Trust Management Company:
Mitsui Fudosan Accommodations FundManagement Co., Ltd.
Tateyuki Ikura, President and CEO
Inquiries: Tetsuji Kawakami, CFO and Director(TEL: +81-3-3246-3677)

Notification of Borrowing Funds
This is a notification that Nippon Accommodations Fund Inc. (“NAF”) decided to borrow funds as shown below.
1. Details of Loans
LenderLoan AmountInterest Rate

Mizuho Bank, Ltd.

5.0 billion yen

0.08318%

Shinkin Central Bank

3.0 billion yen

0.08818%

Sumitomo Mitsui Trust
Bank, Limited

2.0 billion yen

0.08318%

The 77 Bank, Ltd.

1.0 billion yen

0.08818%

Sumitomo Mitsui BankingCorporation

2.0 billion yen

0.16000%

The Chugoku Bank,
Limited

1.0 billion yen

0.22000%

The Hachijuni
Bank, Ltd.

1.5 billion yen

0.29000%

Loan Type&Repayment
MethodUnsecured &unguaranteed,
Bullet repayment
Unsecured &unguaranteed,
Bullet repayment
Unsecured &unguaranteed,
Bullet repayment
Unsecured &unguaranteed,
Bullet repayment
Unsecured &unguaranteed,
Bullet repayment
Unsecured &unguaranteed,
Bullet repayment
Unsecured &unguaranteed,
Bullet repayment

Date of Loan

Date of Maturity

May 31, 2019

June 28, 2019

May 31, 2019

June 28, 2019

May 31, 2019

June 28, 2019

May 31, 2019

June 28, 2019

May 31, 2019

May 31, 2023

May 31, 2019

November 29, 2024

May 31, 2019

May 29, 2026

2. Use of Funds
To apply the funds toward the repayment of short-term loans totaling ¥11.0 billion concluded on April 26, 2019,long-term loans totaling ¥3.5 billion concluded on May 31, 2013 and May 30, 2014, and the purchase and related
incidental expenses of “Chisun Hotel Hiroshima” which was acquired on May 30, 2019 as announced in the “Notification
Concerning Acquisition of Domestic Real Estate Property (Chisun Hotel Hiroshima)” dated January 29, 2019 (*1).
(*1) As NAF acquired “Chisun Hotel Hiroshima” by using its own funds on May 30, 2019, the above-mentioned loan will be executed inorder to cover the decreased amount of own funds.

3. Status of Interest-bearing Debt After this Event(Unit: billion yen)

Before this Event

After this EventChange

Short-term debt

11.0

11.0

－Long-term debt

142.5

143.5

1.0

Total interest-bearing debt

153.5

154.5

1.0

Interest-bearing debt ratio

53.1%

53.3%

0.2

Long term interest-bearing debt ratio

92.8%

92.9%

0.0

(*1) The following formula was used to calculate the interest-bearing debt ratio.
(interest bearing debt ratio) = (interest bearing debt) ÷ (interest bearing debt + unitholders’ capital) X 100
The unitholders’ capital as of today (135,603,623 thousand yen) was used.
(*2) (long term interest bearing debt ratio) = (long term debt + investment corporation bonds) ÷ (interest bearing debt) X 100(*3) All calculations of ratios were rounded to one decimal place.

4. Others
Regarding the loan repayment risk, there is no important change to the “Investment risks” description in the latest
securities report submitted on November 30, 2018.
NAF website: https://www.naf-r.jp/english/

Please note that this English translation of the Japanese original document is provided solely for information purposes.
In the event of any discrepancy between the Japanese original and this English translation, the Japanese original shallprevail.