March 12, 2019

Brief Summary of Kessan Tanshin (Financial Report)
Advance Residence Investment Corporation (ADR / Securities Code: 3269)
17th Fiscal Period (August 1, 2018 – January 31, 2019)

1. Summary of Key Financial Data
Operating Revenues
Operating Income
Ordinary Income
Net Income
Earnings per Unit (EPU)
Dividend per Unit (DPU)
FFO per Unit
ROE (semi-annual)

16,196 million yen
8,117 million yen
6,984 million yen
6,983 million yen
5,173 yen
5,422 yen

Total Assets
Net Assets
Net Assets per Unit
NAV per Unit
Net Asset Ratio
End-of-period LTV452,487 million yen
220,069 million yen
163,014 yen
258,656 yen
48.6 %
49.9 %

7,177 yen
6.3 %2. 17th Fiscal Period Highlights■ The DPU for the fiscal period came to 5,422 yen, an increase of 73 yen compared to initial forecast,mostly due to rent rise and occupancy rate being higher than expected. On the other hand, DPU fell
77yen compared to previous period due mostly on absence of profit on sales.

■ The average portfolio occupancy for the period was a record high of 97.0%, same as the previous periodand 0.5pt higher than initial forecast. The rent rose consecutively for the ninth period. The portfolio rentrose in average of 0.38%.

■ Even though the market continues to be very competitive, ADR was able to acquire one property (420million yen) during the period. The property, RESIDIA Kita-Nijyo-EastⅢ is located right next to ourexisting property, therefore there will be an opportunity in the future to redevelop and combine the twoproperties.

■ ADR continued to strengthen its financial position by reducing interest expense, diversifying debtmaturities, maintaining duration and increasing fixed interest rate debt ratio. During the period, ADR
procured a total of 137.6 billion yen (at an average duration of 7.7 years, average interest rate of 0.52 %).
As a result, the average interest rate of our interest bearing liabilities was lowered to 0.80%, at the endof the fiscal period.

3. Earnings Forecasts
18th Fiscal Period Forecast(February 1, 2019 to July 31, 2019)
Operating Revenues

19th Fiscal Period Forecast(August 1, 2019 to January 31, 2020)

16,237 million yen

Operating Revenues

16,151 million yen

Operating Income

8,019 million yen

Operating Income

7,947 million yen

Ordinary Income

6,926 million yen

Ordinary Income

6,885 million yen

Net Income

6,925 million yen

Net Income

6,885 million yen

Earnings per Unit (EPU)

5,130 yen

Earnings per Unit (EPU)

5,100 yen

Dividend per Unit (DPU)

5,379 yen

Dividend per Unit (DPU)

5,349 yen

Outstanding No. of Issued Units

1.35 million units

Outstanding No. of Issued Units

1.35 million units

Number of Properties

264

Number of Properties

264

Average Period Occupancy

96.6 %

Average Period Occupancy

96.5 %• The above forecasts employ figures that have been calculated based on number of assumptions. The actual net profit and the dividend
may vary due to changes in those assumptions or in other conditions. Therefore, these forecasts do not in no way guarantee the dividend
amounts for the respective periods.

Please contact below with any inquiries you may have on this report.
AD Investment Management Co., Ltd.
TEL: +81-3-3518-0480
FAX: +81-3-3518-0481
ir@adr-reit.com
This document is an English-language summary of the Japanese financial report “Kessan Tanshin” disclosed in Japanese on March 12, 2019.