This English translation is provided for information purposes only. If any discrepancy is identified between thistranslation and the Japanese original, the Japanese original shall prevail.
October 26, 2020
REIT Issuer:
Japan Hotel REIT Investment Corporation (TSE code: 8985)
Kaname Masuda, Executive Director
Asset Management Company:
Japan Hotel REIT Advisors Co., Ltd.
Hisashi Furukawa, President & CEO
Contact:
Makoto Hanamura
Executive Director
Head of Planning Group, Operations Division
TEL: +81-3-6422-0530
Notice Concerning Revision of the Operating Forecast and Forecast of Dividend
for the Fiscal Year Ending December 2020 (21st Period)
Japan Hotel REIT Investment Corporation (hereinafter called “JHR”) announces the revision of operating forecast andforecast of dividend for the full fiscal year ending December 2020 (January 1, 2020 through December 31, 2020) as below,
which was announced in “Midterm Financial Report for the Fiscal Year Ending December 31, 2020 (January 1, 2020 – June30, 2020)” on August 25, 2020.

1. Revision of operating forecast and forecast of dividend for the full fiscal year ending December 2020
(January 1, 2020 through December 31, 2020)

Previous forecast(A)
Forecast this time(B)
Variance(C) = (B)－(A)Variance ratio(D) = (C) / (A)(Reference)
(*1)
(*2)
(*3)

Operatingrevenue

OperatingincomeOrdinary
incomeNet income

JPY1M
13,126
JPY1M
13,318
JPY1M
192%
1.5

JPY1M
2,085
JPY1M
2,283
JPY1M
197%
9.5

JPY1M
244
JPY1M
442
JPY1M
197%
80.7

JPY1M
243
JPY1M
571
JPY1M
327
%
134.5

Dividend per unit
(Excess ofearnings
exclusive)
JPY
126
JPY
199
JPY
73%
57.9

Dividend per unit
resulting fromexcess of earnings
JPY－
JPY－
JPY－%－

Forecast of net income per unit for the full fiscal year: ¥127
(Calculated based on the forecast of the average number of investment units during the period (4,462,347 units))
The number of investment units issued as of today is 4,462,347 units.
Total dividend is planned to be an amount of net income plus the reversed amount of reserve for temporary difference
adjustment (¥319 million).
Amounts are rounded down to the nearest million yen and percentages are rounded to the first decimal place. The same
shall apply hereinafter.

1

2.

Rationale for revisions to the operating forecast
As announced in the press release, “Notice Concerning Purchase and Sale of Asset (Exchange of a Part of Site of HotelAscent Fukuoka)” dated today, the forecast of the operating forecast for the fiscal year ending December 2020 (21stPeriod) will be revised because the agreement related to the exchange of a part of site of Hotel Ascent Fukuoka with ascheduled date of October 29, 2020 (hereinafter called the “Exchange Transaction”) has settled, and therefore,
differences of 30% or more in the forecast of ordinary income and net income as well as a difference of 5% or more in
the forecast of dividend for the full year ending December 2020 (21st Period) announced in the “Midterm Financial
Report (REIT) for the Fiscal Year Ending December 31, 2020” dated August 25, 2020 are expected.
As a result of the Exchange Transaction, gain on exchange of real estate, etc. of ¥184 million is expected to be recorded
and income of ¥130 million due to the acknowledgement of a claim for refund the security deposit, which had not beenrecorded is expected to be recorded.
In addition, the net income for the current fiscal year is expected to increase by ¥327 million as a result of reviewing
operating revenues and operating expenses in line with the termination of the mutual leasehold relationship and theextinguishment of asset retirement obligations. As a result, the dividend per unit for the fiscal year ending December
2020 (21st Period) is expected to be ¥199, an increase by ¥73 from the previous forecast.
The assumptions other than the impact mentioned above remain unchanged from the assumptions of the operating
forecast and forecast of dividend for the fiscal year ending December 2020 (January 1, 2020 through December 31,2020) announced in “Midterm Financial Report for the Fiscal Year Ending December 31, 2020 (January 1, 2020-June30, 2020).”<Note>
The above is the forecasts based on status of operation as of today, and actual dividend per unit may fluctuate. This
forecast does not guarantee the amount of dividend shown above.
* Website of Japan Hotel REIT Investment Corporation: https://www.jhrth.co.jp/en/2