Security code

Overview of the 30th fiscal period performance ［8968］March 1st,2019〜August 31st,2019

Financial statements

1

Business forecasts

4

Portfolio overview

6

Asset’s growth14

Financial strategy

16

Appraisal value

18

Situation of Fukuoka and Kyushu

20

Sustainability

23

Appendix

24＊Regarding rounding of amounts, percentage, and ratios : unless otherwise noted, in these materials,
monetary amounts are rounded down to the nearest whole unit, and percentages and ratios arerounded off to one decimal places.

Overview of the 30th fiscal period performance［Security code 8968］ March 1st,2019〜August 31st,2019

These materials may contain future performance, plans,management targets and strategies. These forward-looking
descriptions are based on present assumptions on future eventsand trends in the business environment, but such assumptions
may not necessarily be accurate. Actual results may differ materially due to various factors. Neither Fukuoka REIT Corporation
nor Fukuoka Realty shall be liable for the accuracy, rationality
and completeness of information contained in these materials,
whether they were prepared by Fukuoka REIT Corporation or
Fukuoka Realty or provided by a third party. These materials
have not been prepared to entice investment. When applying topurchase investment units issued by Fukuoka REIT Corporation,
do so based on your own judgment and responsibility.

Topics of the 30th fiscal period

3,687

3,693

3,650

Internal Growth

3,680◎Canal City Hakata
・ While some tenants were affected by the decline in the number of tourists from

3,593

South Korea from July, new Aqua Panorama content and new stores havesuccessfully attracted more customers.
・ We expect a possible reduction in tourist arrivals from South Korea after the 31st FP

3,512

（yen）

◎Office buildings

3,500

・ Achieved record rent increase following rent revision, and steady rent increases are

3,398

also expected in the 31st fiscal period and beyond.
Monthly rent increase following rent revision（30th FP）

3,422

・ Though downtime occurred during tenant switchovers,

3,680
（＊1）

rent per unit area increased with tenant replacements

3,700

Rate of increase in rent through tenant replacement （30th FP）（＊1）

2.0mm yen
32.0％

◎Property profitability enhanced through utility expense reductions

External Growth◎Full-year contribution from Tissage Hotel Naha, acquired in
December 2018（29 th FP）◎Consider continuation of carefully selected investments in linewith the investment ratio changes by investment type

Financial Management◎Green finance
3,000

Drafted green finance framework and procured green loans worth 2.2 bn yen
25 thFeb. 2017

26 th

Aug. 2017

27 thFeb. 2018

Dividend per unit
The actual of 30th FP （Aug. 2019）（＊1）Forecast at the financial results of 29 th fiscal period

28 thAug. 2018

29 thFeb. 2019

3,693 yen

30 thAug. 201931st

Feb. 2020（forecast）

32nd

Aug. 2020（forecast）＋6 yencompared with forecast ＋13 yencompared with previous fiscal period

Average interest
rate paid （＊2）

Average remaining
duration to maturity

Fixed rate

LTV
（30th Aug. 2019）

0.72％

6.0 years

90.2％

39.7％

（＊2） Interest rates are rounded off to the second decimal place.

Financial statements

1

Statements of Income （compared with previous fiscal period）
Dividend is 3,693 yen, up 6 yen compared to previous fiscal period, despite municipal property taxation on properties acquired in 28th and 29th fiscal periods
Sign indicates impact on profit（unit : mm yen）

- unit : mm yen （Figures rounded down to the nearest mm yen）

Account

30th B〜Aug. 31, 2019

■Operating profit and loss

Difference
B－A

Total operating revenues

9,242

9,231

Leasing revenues-real estate

8,604

8,530

①

（11）
（74）

① Full-period contribution of Tissage Hotel Naha ＋48
Canal City Hakata（47）［ -of which, a seasonal factor of variable rents （32）]

Canal City Hakata・B（36）［ -of which, a seasonal factor of variable rents （37）]

637

700

62

Total operating expenses

5,936

5,913

（23）

Expenses related to leasing business

5,274

5,250

532

540

8

［ -of which, increase in leasing revenues-real estate ＋12]

Asset custody fees

7

7

0

OthersAdministrative service fees

54

55

1

Director’s compensations

9

9

-

Other operating expenses

59

50

（8）

Operating income

3,306

3,318

12

Total non-operating revenues

2

0

（1）

Total non-operating expenses

372

379

（incl. investment corporation bonds）

Interest expenses

275

279

4

Financing related expenses

91

93

1

Others

5

5

-

2,935

2,939

3

2,935

2,939

3

1

0

（0）

Profit

2,934

2,939

4

Total dividends

2,934

2,939

4

Dividend per unit（yen）

3,687

3,693

6

Other leasing revenues-real estate

Ordinary profit and loss

Operating profit and loss

Asset management fees

Non-Operating
profit and loss

Ordinary income
Profit before income taxes
Total income taxes

Dividend

29th A〜Feb. 28, 2019

②

③

（23）

6

Park Place Oita

［ -of which, increase in income from utilities

Canal City Business Center Building
Office buildings（others）［ -of which, increase in income from utilities, etc.

＋10
＋11]

（7）
＋26

＋14]

（5）
Total : （11）＋18
② Decrease in expenses from utilities
Decrease in repair & maintenance expenses ＋98（72）
Increase in taxes and fees
［ -of which, acquired properties at the 28th FP and the 29th FP （58）]

Increase in depreciation and amortization expenses （29）
［ -of which, acquired a property at the 29th FP （12）]Decrease in other expenses＋8
Total : ＋23■Non-Operating profit and loss
③ Increase in non-operating expenses［ -of which, increase in debt-related expenses

（6）
（6）]

Financial statements

2

Statements of Income （compared with forecast）
The dividend of 3,693 yen is 13 yen higher than forecast- unit : mm yen （Figures rounded down to the nearest mm yen）

Account
Total operating revenues

30 th B
〜Aug. 31, 2019

30 th A
Previous Forecast
9,305

①

（73）

8,530

Leasing revenues-real estate

Ordinary profit and loss

Operating profit and loss

5,993

5,913

（25）
（12）

［ -of which, decrease in income from utilities （11）]［ -of which, decrease in income from utilities

②

（80）

5,250

Expenses related to leasing business① Canal City Hakata・B
Park Place Oita

SunLive City Kokura
Konoha Mall Hashimoto

700

Other leasing revenues-real estate
Total operating expenses■Operating profit and loss

Difference
B－A
9,231

Sign indicates impact on profit（unit : mm yen）

Canal City Business Center Building
Others

（8）
＋3
（2）]

（14）
（17）

［ -of which, decrease in income from utilities （12）]540

Total : （73）Asset custody fees

7

Administrative service fees

55

Director’s compensations

9＋34② Decrease in expenses from utilities
Decrease in repair & maintenance expenses ＋19＋27
Decrease in other expenses
Total : ＋80

Other operating expenses

50

Asset management fees

Non-Operating
profit and loss

Operating income

3,311

3,318

7

Total non-operating revenues

0

0

（0）

Total non-operating expenses

381

379

（2）

Interest expenses（incl. investment corporation bonds）

279

Financing related expenses

93

Others5
Ordinary income

Profit before income taxes
Total income taxes
Profit

2,930

2,939

9

2,930

2,939

9

1

0

（0）

2,929

2,939

9
69

Dividend

Total dividends

2,929

2,939

10

Dividend per unit（yen）

3,680

3,693

13

Financial statements

3

Business forecast （the 31st fiscal period, Feb. 2020）
Dividend revised to 3,650 yen in anticipation of possible drop in the number of travelers to Japan from South Korea
Forecast in the 31st fiscal period- unit : mm yen （Figures rounded down to the nearest mm yen)

30
Actual31st
Forecast
at 29th

31st
Forecast
at 30th

30th
Actualdifference

31st
Forecast
difference

A

B

C

C-A

C-B

th

Account

Sign indicates impact on profit （unit : mm yen）

■Difference between the 30th FP actualand the 31st FP forecast① Canal City Hakata＋9［ -of which, a seasonal factor of variable rents

Canal City Hakata・B

Operating revenues

9,231

9,321

9,270

①

39

（50）

＋48

［ -of which, a seasonal factor of variable rents

Park Place Oita

5,913

5,993

5,989

②

76

（3）

3,318

3,328

3,281

（36）

（46）

Non-operating revenues

0

0

0

0

-

Non-operating expenses

379

382

375

（4）

（7）

Ordinary income

2,939

2,946

2,907

（32）

（39）

Profit

2,939

2,945

2,906

（33）

（39）

Total dividends

2,939

2,945

2,905

（34）

（39）

Dividend per unit （yen）

3,693

3,700

3,650

（43）

（50）

（10）]

Office buildings＋1［ -of which, increase in leasing revenues-real estate＋19]［ -of which, decrease in income from utilities, etc.

（18）]

OthersOperating income

＋24]

（8）

［ -of which, decrease in income from utilities

Operating expenses

＋16]

（11）
Total : ＋39② Decrease in expenses from utilities＋39
Increase in repair & maintenance expenses（64）
Increase in depreciation and amortization expenses（10）
Increase in selling general and administrative expenses （38）
Increase in other expenses（3）
Total : （76）Business forecasts

4

Business forecast （the 32nd fiscal period, Aug. 2020）
Operating revenues expected to increase due to office rent increases
Forecast in the 32nd fiscal period- unit : mm yen （Figures rounded down to the nearest mm yen)Account

31st
Forecast
at 30th

32nd
Forecast
at 30th

31st
Forecast
difference

A

B

B-A

Sign indicates impact on profit （unit : mm yen）

■Variance from updated the 31st FP forecast① Canal City Hakata（24）［ -of which, a seasonal factor of variable rents

Canal City Hakata・B（20）［ -of which, a seasonal factor of variable rents

Operating revenues

9,270

9,350

①

80

Park Place Oita

Operating income

5,989
3,281

6,041
3,309

②

52
27

Non-operating revenues

0

0

-

Non-operating expenses

375

379

4

Ordinary income

2,907

2,930

23

Profit

2,906

2,929

23

Total dividends

2,905

2,929

23

Dividend per unit （yen）

3,650

3,680

30

（24）]

＋33

［ -of which, increase in income from utilities＋19]

Office buildings

Operating expenses

（16）]

＋64

［ - of which, increase in leasing revenues-real estate＋45]［ -of which, increase in income from utilities, etc.

＋19]

Tissage Hotel Naha
Others＋10＋17
Total : ＋80（38）② Increase in expenses from utilities
Increase in depreciation and amortization expenses（18）
Decrease in other expenses＋4
Total : （52）Business forecasts

5

Current situation at Canal City Hakata （overall）①
While some tenants were affected by the decline in tourist arrivals from South Korea from July, the number of visitors and sales were strong in general●Canal City Hakata●Canal City Hakata・B

Sales（annual total（＊1））
Sep. 2018 - Aug. 2019

31.1bn yen
YoY （1.3）%（mm yen）

3,000

Revenue declined due to the impact of the closure of asection accompanying large-scale tenant renovation in theSouth Building. Although some tenants were affected by the
decline in tourist arrivals from South Korea from July, thesales were up 100.7% on the back of property managementthat creates experiential value and emotionally satisfying
consumption. We will continue to pursue vitalization of the
facility to increase the number of visitors.

Rate of year-on-year change in monthly sales （Sep. 2018 - Aug. 2019）（＊1）（％）

Fixed rents（＊2）

Variable rents（＊3）

2,838

2,773
506

2,787
512
295

2,841

2,759
530

590
300

（＊4）

298

（＊4）

318

（＊4）

296

（＊4）

317

（＊4）

（＊4）

0

2,274

2,266

2,248

2,229

2,212

2,214

25th
〜Feb. 2017

26th
〜Aug. 201727th
〜Feb. 2018

28th
〜Aug. 201829th
〜Feb. 201930th
〜Aug. 2019

The fixed rent is the total of（among the real estate leasing revenue）, ①Fixed monthly rent; ②Of the tenant rents with a revenue ratio（calculated（＊2）
by multiplying the ratio to the monthly revenue of applicable tenants）established, GOP rents and the minimum guaranteed rent portion in the casethat minimum guaranteed rent has been established; ③Common expenses.
Variable rents are the sum of the portion of rents collected from tenants with variable and GOP rents that varies as a function of the tenants’ sales.
（＊3）（＊4）The figures are included parking fee in variable rents of Canal City Hakata / Canal City Hakata・B.

Sep.
2018

Oct.
2018

Nov.
2018

Dec.
2018

Jan.
2019

Feb.
2019

Mar.
2019

Apr.
2019

May
2019

Jun.
2019

Jul.
2019

Aug.
2019

Canal Aqua Panorama Vol.10 “Evangelion Angel Attack on Hakata”
Started screening Canal
Aqua Panorama Vol.10“Evangelion Angel Attack on
Hakata” from June 1, 2019.
The official store selling
Evangelion-related merchandise was also opened.
Post-performance visitor
numbers have increased
since opening day.

Rate of year-on-year change in number of monthly visitors （Sep. 2018 - Aug. 2019）
（％）

120.0
115.0
110.0
105.0
100.0
95.0
90.0
85.0
80.0

2,734
519

628

2,000

1,000

＊Sales figures are rounded down to the nearest 100 mm yen.
（＊1）Combined sales of Canal City Hakata and Canal City Hakata・B, properties owned by Fukuoka REIT.

120.0
115.0
110.0
105.0
100.0
95.0
90.0
85.0
80.0

Rents of Canal City Hakata/Canal City Hakata・B

Sep.
2018

Oct.
2018

Nov.
2018

Dec.
2018

Jan.
2019

Feb.
2019

Mar.
2019

Source: Prepared by Fukuoka Realty based on data from Fukuoka Jisho Co., Ltd.

Apr.
2019

May
2019

Jun.
2019

Jul.
2019

Aug.
2019

©khara, Inc.

Portfolio overview

6

Current situation at Canal City Hakata （overall）②
Aiming to be an international SC （shopping center） that is the most fun in Asia
Provision of experiential value and collaboration with the canal area community

Collaborations with popular content providers◎Kirby Café

◎GUMDAM＊ImageThis year’ s Canal Splash also featured “Bubble
Splash”. A large number of children enjoyed somesummer fun, cooling down by getting drenchedwhile playing in water-based attractions including afountain spouting water up to a height of approximately 25m.

©Nintendo / HAL Laboratory, Inc.

A night market organized in collaboration with the
Fukuoka Freedom Night Market held at Seiryu
Park to Canal City Hakata. This year a new specialnight market called Canal Night Parking was held ina parking space for a limited number of days.
（9/12〜9/16、9/26〜9/29、10/18〜10/20）

The store for a limited number of days was openedon August 8, 2019. Many of the menu items areavailable only in Hakata. Experience the worldview
of “ Kirby’ s Dream Land “. The “Kirby Café The
Store”, where you can purchase Kirby merchandise, also opened on the same day!
（North Building B1 floor）

Cashless QR code/
barcode payment services
Canal Cit y Hak at a began intr oducing
smartphone QR code and barcode settlement
services in April 2019. The services introduced
so far are LINE Pay, PayPay, Rakuten Pay, Origami Pay, pring,（app-based settlements）
d Barai, and Merpay, thus enabling customers
to use numerous different domestic payment
methods.

South Bldg.

Center Walk

Energy center
East Building

Business Center Building
P＊Image©SOTSU CO.,LTD./SUNRISE INC.

THE GUNDAM BASE FUKUOKA, the second
flagship store in Japan and first in Kyushu, andGUNDAM Café targeting Gundam fans will open
on November 30, 2019.
（South Building 1F floor）

United cinema
CANAL CITY 13

Canal City
Fukuoka
Washington Hotel（Guest rooms）

RAUMENSTADIUM

Team Lab★
Future Park

North Bldg.

Grand Bldg.

Canal City
Theater

Grand Hyatt
Fukuoka（Guest rooms）

Business Center
Bldg.

OfficeParking
Canal City Theater

Center Walk
LaOXSouth Building

North Building

Grand Building

Canal City Hakata
Canal City Hakata・B
Canal City Business Center Building＊Fukuoka REIT currently has no plan to acquire Canal City Hakata East Building and Canal City Theater.

United cinema
Ticket sales
counter

specialty
storesSUPER SPORTS
XEBIO

OPA

specialty stores

OPA

specialty stores

OPA

OPA

OPA

Theater
Entrance

4

MUJI
accessway

specialty
storesspecialty
storesGrand Hyatt
Fukuoka（Front）
accessway
accessway

Grand
plaza

Showroom

32

specialty
storesspecialty stores

P Parking

1
B1
B2＊Above-ground and underground parking lots able to accommodate total of approx. 1,300 vehicles.

Portfolio overview

7

Situation of Park Place Oita and Konoha Mall Hashimoto●Park Place Oita

24.9 bn yen

Sales（annual total）
Sep. 2018 - Aug. 2019

●Konoha Mall Hashimoto

YoY（0.8）%＊Sales figures are rounded down to the nearest 100 mm yen.
（＊） Sales figures exclude sales at temporary shops set up in common areas during special events.

Introduced new parking lot management system◎Improvements have been made to make it easy to discover vacant parking spots at a glance

Air play space “TOBANNE”

Konoha Mall Hashimoto : Implement of events
WorkshopPark Place Oita : Implement of events
Water play events

自動車道

Held workshops focusing Free movie showing at a Established “Omoide Yokocho”
on tips for summer vac- “garden theater” by setting an alley of old-fashioned
ation research topics and a large-screen on Garden confectionary shops andsummer vacation craft- Court lawn.
temple fair-style stalls and awork, and a total of about
weekend “Hashimoto Night
6,000 people participatedMarket” where visitors can
福岡都
市高速
4 号線
over a total of 38 days.
enjoy
activities
such as 福岡 IC
箱崎埠頭
（粕屋線
）
fishing or winning prizes at a
福岡都市高速 1 号線
shooting gallery for only 100 yen.
（環状線）

ko LinePRALIVA

Konoha Mall Hashimoto

速
高
市
線 ）
線
2号 府
宰

（太

都

S
Nanakubway
1km
uma L
ine
Fukuoka UrbanExpress
w ay Kanjo Line

Introduced electronic money
payments and a total of nine
QR
code payment services in
福岡空港
April 2019. Started experimental introduction from August
2019 of an “order and pay fromyour table” service allowing
customers to order and pay
for meals in advance andreceive notification when theirorders are ready using theLINE official account.
岡MEGA Don Quijote
Fukuoka fukushige

Subway Ku

線

Nishi Kyushu
Expressway

博多駅

新幹

hi Line天神

福Being held from August 30, 2019 to November 5,2019 at a special venue set up at the No. 3
parking space of Park Place Oita. Park Place
Oita has been implementing a special program inwhich visitors can enjoy discounts and otherservices by showing their circus tickets.

JR Chiku

線
新幹
山陽 線
3号
高速 ）
都市 港線
福岡 （空

Improved convenience

九州

Water Circus

MARK IS fukuoka-momochi

地

中央
埠頭

能古島

Area map
Marinoa City Fukuoka

下鉄Fireworks

志賀島

Marked its first anniversary in August
2019 and the number of users has
exceeded 50,000. Introduced Tobanne
Card which lets customers accumulate points that can be exchanged forbenefits. The 15th of every month has
been newly established as Tobanne
Day when points are doubled. 博多湾

九州

HAPPY DREAM CIRCUS

Parking information is updated in realtime on the Park Place Oita website.
Customers can easily obtain parking
information on their smartphones.

Summer Festival

都市
（香 高速
椎線 1 号線）
箱崎線

Guidance lights lead you tovacant spots.

Garden theater

福岡

Advance notification throughguidance signs.

YoY（1.2）%

Though sales dipped temporarily due to the impact of aneighboring store that opened in June 2019, visitor numbers in
the 30th fiscal period have increased robustly（up 101.3% year
on year）.The facility received its 50 millionth visitor on
September 19, 2019（in its eighth year of operations）.

Revenue was stable due to switchover to popular tenants capableof generating buzz and the holding of events that attract large
numbers of customers. Introduced new parking lot management
system from March 2019 to enhance visitor convenience.
＊Sales figures are rounded down to the nearest 100 mm yen.

15.9 bn yen

Sales（annual total（＊））
Sep. 2018 - Aug. 20198

Portfolio overview

8Situation of SunLive City Kokura and Tissage Hotel Naha
●SunLive City Kokura

29th（Feb. 2019）●Tissage Hotel Naha

-

））
2018
Sales年（annual
9月〜2019
total
年（＊
81月
1）
Sep.
売上（年間計）2018 - Aug.（注2019

YoY（3.9）%As temperatures were low due to the impact of typhoons andthe delayed ending of the rainy season, summer wear sales
slumped. Revenue also fell compared to the previous year due
to the impact of a closing sale at a local department store at the
beginning of the year as well as a change in store opening times.

Nishikokura
Stn.

Room occupancy rates
anyo Line

JR S

Shimoitouzu

ShinozakikitaanUr bs hu w a ysk yu
K it aE x pr e s
Sanji

Kitagata

orail

Kitakyushu-Mon

Edamitsu

Tomino

100

n

nse

inka

o Sh

y
San

1km

Shinmoji I.C.

Adachi

Nitori

SunLive City Kokura

Kojima×BicCamera

Opened in Apr. 2018

Mar.

Apr.

May

Jun.

Jul.

Taiwan35.7％[646,000]South Korea
30.7％[555,000]＊Cruise ship tourist landing figures are not included.

Source: Prepared by Fukuoka Realty Co., Ltd based on data from Statistics on
Legal Migrants (Ministry of Justice)

Change in number of tourists to Okinawa prefecture
thousand（10 people
）

n
ne
Li

Kanda-Kitakyushukuko I.C.

Others
5.9％[107,000]

Thailand1.6％[29,000]

Aug.

50m

ss

ai

ikos
an L
ine

Bypa

M

ita H

Sone

8,176 yen

po

JR H

Nagano 1chome

TOYOTA MOTOR KYUSHUCar Plants

ip

Hig
a
Ex shi K
pre yussw shuay

N

Kokuraminami I.C.

NaganoKokurahigashi I.C. Sunnyside Mall Kokura

JRpressway

20
0

Daiso

9,379 yen

8,123 yen

China
15.0％
[270,000]

SukesanUdon

Yokoshiro

SunLive Moritsune

Nafco

Sports Depo

Abeyamakoen Stn.

60
40

G-palaFukuoka SUBARU

Wakazono

Kyushu Ex

Super Sports
youme Mart
Kokurahigashi shop XEBIO

9,378 yen

RevPAR （＊3）

Hong Kong
11.0％[199,000]

80

SunLive City Kokura

87.2％

Ratio of foreign visitors to Okinawa prefecture ［2018］

Mar.- Aug. 2019
Apr.- Aug. 2018（％）

KokuraStn.

86.6％（＊2） Average Daily Rate = Total accommodation-category sales over a certain period oftime divided by the total number of guest rooms sold over the same period.
（＊3） Revenue Per Available Room = Total accommodation-category sales over a certain period oftime divided by the total number of guest rooms available for sale for the same period. Note that
RevPAR can also be calculated by multiplying ADR with the number of occupied guest rooms.

（＊1）Sales figures are omitted because SunLive did not consent to their disclosure.

Location environment

30th（Aug. 2019）

ADR （＊2）

Room occupancy rates

1,200

Shopping center with about 110 specialty stores centered on a Sunlive supermarket（opened in 2005, large-scale renovation carried out in 2014）

Population and number of households in trade area

1,000
800
600

（2015 Population Census of Japan）
Within 3 km

Within 5 km

Within 7 km

Total population

approx.101,000

approx.267,000

approx.401,000

Number of households

approx.42,000

approx.119,000

approx.181,000

Plans to increase the number of annual takeoffs and landings
from 135,000 to about 240,000（initial target was 185,000）
with construction of a second runway at Naha Airport（scheduled to open at the end of March 2020）

400
200
0

11

14

18

23

522

554

FY2011FY201219

24

50

Domestic
Foreigners（By air）
Foreigners（By sea）

69
143

200
137

99

119

169

180

187

200

74

116

595

618

626

664

688

699

706

800

FY2013

FY2014FY2015FY2016FY2017FY2018FY2019FY2020Target43

TargetSource: Prepared by Fukuoka Realty Co., Ltd. based on data from the Okinawa Prefectural Government’s
Statistical Overview of Tourist Visits to the Region, the 2019 Visit Okinawa Plan, and the Okinawa Tourism Promotion Roadmap.

Portfolio overview

9

Fukuoka office market
Vacancy rate below 2%, rent has risen for 26 consecutive months
Fukuoka business district / Vacancy rates and supply and demand of office buildings（tsubo）

Completed floor space（total floor space）［left axis］

40,00015.38

35,00030,000Net absorption（absorption demand）［left axis］

16

14.72
As of Aug. 2019

13.23

10.86

Fukuoka 1.87％
Central Tokyo（5 wards） 1.71％

25,00020,00015,000

4.09％
2.32％
2.29％
2.13％

Sendai
NagoyaSapporo
Osaka

11.98
10.99

Vacancy rate［right axis］(％)

7.70

14
12

Tenjin BusinessCenter(provisional name)

10

5,000

3.07
2.04

1.87

0
（5,000）

Average asking rent of the Fukuoka business district rose 5.2% in the 12 months from August 2018 to August 2019.

Fukuoka
Osaka

(%)

130

Central Tokyo（5 wards）

As of Aug. 2019
Fukuoka
Central Tokyo
Osaka

120

10,341
21,784
11,657（yen／tsubo）

100
90
80

6

4.26
10,000◎Average asking rents during the past year [Y2005=100]

110

8

6.30

Fukuoka business district / Average asking rents

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

＊The figures from 2005 to 2018 are as of December 31 every year.
Source: Prepared by Fukuoka Realty Co., Ltd based on data from “Office Market Data” Miki Shoji Co., Ltd

4

Fukuoka business district /Trend of leasable floor space and occupancy floor space2

800,000

0Completed floor space（total floor space）isdifferent from total leased floor spaceas the former includes common areas etc.

（tsubo）

Leasable floor space（year）

Occupancy floor space

700,000

600,000（10,000）（15,000）

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021（year）（scheduled） （scheduled） （scheduled）＊Statistics from 2008 to 2018 are based on the figures at the end of December.
＊Office building-related data for each city are data for areas and buildings included in surveys conducted by Miki Shoji Co., Ltd.
＊Net absorption（absorption demand）shows the change in the occupied floor space during a specific period. It is calculated by subtracting the occupied floor space on December 31 of
the previous year from the occupied floor space on December 31 of the applicable year.Completed floor space（total floor space）figures for 2019, 2020, and 2021 havenot been finalized, and the floor space and expected completion dates are subject to change.
Source: Prepared by Fukuoka Realty Co., Ltd based on data from “Office Market Data” Miki Shoji Co., Ltd

500,000

400,000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Source: Prepared by Fukuoka Realty Co., Ltd based on data from “Office Market Data” Miki Shoji Co., Ltd

Portfolio overview（year）

10

Office demand underpinning the thriving Fukuoka office market
Trend in average net absorption（absorption demand）for the past 10 years（tsubo）

25,00020,000average for the past 10 years
9,085 tsubo （30,033 ㎡）

average for the past 5 years
13,461 tsubo （44,499 ㎡）

Office demand underpinning the office market◎Establishment of new business premises（branches, head offices）
・New demand for IT-related business, call centers, shared office spaces, etc.

15,00010,000◎Expansion, relocation, floor space expansion

5,000

・Office expansion needs, relocation demand due to rebuilding

0◎Moving to better locations, etc. （from suburbs to city center）（5,000）（10,000）（15,000）

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018（year）

・Trend of relocating to city center from suburbs with an eye to ease of access andrecruiting human resources.
・Relocation from company-owned building

Source: Prepared by Fukuoka Realty Co., Ltd based on data from “Office Market Data” Miki Shoji Co., Ltd

Track record of Fukuoka City in attracting businesses

Fukuoka’ s strengths and challenges◎Local government support for businesses establishing business premises in the area

（A subsidy program for businesses establishing business premises in Fukuoka City, etc.）●Number of businesses moving into Fukuoka City and the increase in number of persons newly employed by the businesses
FY2012FY2013

FY2014FY2015FY2016FY2017FY2018

Number of companies
moving in

35

53

52

62

58

57

57

Number of employees

2,180

2,966

1,290

2,213

2,989

1,041

1,334

（Number of companies moving in by major industry category）◎Fukuoka’ s strengths●Ease of hiring human resources（high population growth rate and high proportion of young people）●Abundant human resources due to large number of universities, junior colleges,
and professional schools●Low business costs（office rent, labor costs）●Highly livable city（living costs, living environments）

Creative industry

13

18

18

33

28

40

38

●High level of transport convenience（proximity to airport, gateway to Asia）

Call center

3

7

7

8

12

9

7

●Suitability as a backup base（Low earthquake risk, and low risk of disasters
occurring at the same time as in the greater Tokyo area）●Major companies that have moved in since FY2013
Creative industry●Startup assistance（National Strategic Special Zone for Global Startups and Job Creation）

Call center

Others

FY2018ZOZO Technologies, Inc.
GMO Payment Gateway, Inc.

Merpay, Inc.
transcosmos inc.

Accenture Japan Ltd
Yahoo Japan Corporation

FY2017

Ateam Inc.

--

●Drying up of space for rent due to tightening office supply

Akatsuki Inc.,SAKURA internet Inc.

Mercari, Inc.

-

LINE Corporation

Amazon Japan G.K. Massachusetts Mutual Life Insurance Company●Shortage of high-grade offices that meet the requirements of foreign-owned
businesses in terms of business continuity measures, etc.
➡Creation of new demand through redevelopment projects

FY2016Up to FY2015

Source: Prepared by Fukuoka Realty Co., Ltd., based on data from Fukuoka City Economy, Tourism & Culture Bureau◎Challenges

Portfolio overview

11Historical and projected office buildings’ occupancy rates
Maintaining high occupancy levels while steadily increasing rent per unit area（％）

1

Canal City BusinessCenter Building
Total leasable floor space：23,031.44㎡

2

Gofukumachi Business Center
Total leasable floor space：19,905.34㎡

3

Sanix Hakata Building
Total leasable floor space：6,293.75㎡

4Taihaku Street
Business Center （＊1）
Total leasable floor space：11,249.92㎡

5Higashi Hie
Business Center
Total leasable floor space：13,614.59㎡

6

Tenjin Nishi-Dori
Center Building
Total leasable floor space：3,339.32㎡

7Tenjin North Front
Building
Total leasable floor space：5,252.41㎡

8

Higashi Hie
Business Center Ⅱ
Total leasable floor space：6,214.77㎡

Average occupancy rates（historical and projected）

Total leasable floor space：88,901.54㎡

100.0

98.9

90.0

99.8

100.0

100.0

100.0

100.0

90.0

100.0

100.0

Major tenant replacements■ Sanix Hakata Building（30th fisical period）

80.0
99.8

99.8

Move-in floor spaceapprox.160 tsuboMonthly rent growth rate 48.4％

80.0
100.0
90.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

80.0
100.0
90.0
80.0

0 monthFree rent■ Canal City BusinessCenter Building（31st fisical period）
Move-in floor spaceapprox.280 tsuboMonthly rent growth rate 28.6％

100.0
90.0

100.0

100.0

100.0

98.4

100.0

100.0

100.0

100.0

100.0

100.0

Free rent

0 month

80.0
100.0
90.0
80.0

Trend in rent unit price index
of owned properties （＊2）（index）

103.0

100.0

100.0

90.0

100.0

100.0

100.0

100.0
102.0

80.0
100.0

100.0

90.0

100.0

100.0

100.0

100.0

80.0

101.0
100.0

100.0

99.7

90.0

100.0

99.0

99.7

99.9

80.0
（Tsubo）

Move-in/move-out floor space

96.1

Move in

57

Move out

367

57

0
45

709

28

29

30

th
＊Occupancy rates are calculated as a weighted average during period.
＊Total leasable floor space is figured as of the end of period.
31,
2018
〜Aug.
＊Percentages and ratios are rounded off to the second decimal place.
（＊1）Residential floor spaces are removed from the total leasable floor space of Taihaku Street Business Center.

th〜Feb. 28, 2019th

〜Aug. 31, 2019

387
274

31st

〜Feb. 29, 2020
（forecast）

274
0

32nd

〜Aug. 31, 2020
（forecast）

99.0

24th 25th 26th 27th 28th 29th 30th
Aug. Feb. Aug. Feb. Aug. Feb. Aug.
2016 2017 2017 2018 2018 2019 2019（＊2）The rent unit price index is based on the average rent per unit
area at the end of each fiscal period compared with the rent
per unit area at the end of the 24th fiscal period (August 2016),
which is set as 100. This covers all office building properties excluding
Higashi Hie Business Center II（But, for Canal City Business Center,
only the spaces from the 2nd floor and above are covered）.

Portfolio overview

12Office building rent revisions and tenant replacement situation
The amount of rent increase expanded from the 30th fiscal period
Change in monthly rent due to rent revisions andtenant replacements （＊1）

Newly occupied floor space and number of new occupants（tsubo）（thousand yen）

4,500

（＊2）

Change due to tenant replacements
Change due to rent revisions

Newly occupied floor space

500
400
（＊2）

300

4,000

200
100

3,500

0

3,000

Number of
new occupants
Rent’s rateof increase/decrease（＊3）
Average freerent period（＊4）

2,500

27th

28th

29th

30th

31st

Feb. 28, 2018

Aug. 31, 2018

Feb. 28, 2019

Aug. 31, 2019Feb. 29, 2020
（forecast）

2

2

0

6

1

14.2％

（2.2）％

-

32.0％

28.6％

0.0 month

0.0 month-

0.3 month

0.0 month（＊3） Based on calculation of the rate of change in rent with respect to the contract rent with the previous tenant at the time of tenant replacement.
（＊4） Based on calculation of the average over the free rent period of new contracts.

2,000

Floor space subject to rent increase and number of properties subject to rent increases（＊1）（tsubo）

4,000

1,500

Floor space subject to rent increase

3,500

（＊2）

3,000

1,000

2,500
2,000

500

1,500
1,000

0
（100）

500

27th

Feb. 28, 2018

28th

Aug. 31, 201829th

Feb. 28, 201930th

Aug. 31, 201931st

Feb. 29, 2020
（forecast）.
＊Covers all office buildings owned at the end of each fiscal period（However, for Canal City Business Center, only the spaces from the 2nd floor and above are covered）（＊1）There were no revisions to the rent reductions.
（＊2） For the 31st period, only the figures where a tenancy agreement has been entered into as of August 31, 2019, or agreement regarding changes has beenreached with tenants as of August 31, 2019, are stated.

0

27th

28th

29th

30th

31st

Feb. 28, 2018

Aug. 31, 2018

Feb. 28, 2019

Aug. 31, 2019Feb. 29, 2020
（forecast）

Number ofrent increase

6

11

6

16

7

Rent’s rateof increase/decrease（＊5）

6.1％

8.2％

5.7％

4.8％

8.1％

（＊5） Rate of increase/decrease calculated based on previous rent at the time of rent revision.

Portfolio overview

13Historical trends of asset’ s size by investment type（based on acquisition price）
Expansion of asset size to 195,979 million yen （29 properties）
Acquired from sponsors（＊）

Investment ratios by investment type （Investment policy changed in March 2019）
Before60-80 ％

Retail（mm yen）

Officebuildings

200,000

180,000

OthersHotel, Residence, Logistics
and Other facilities

（

After

20-40 ％
0-20 ％）

Retail40

Officebuildings

20

OthersHotel, Residence, Logistics
and Other facilities

（

）

0

14

40-70％
20-50％
0-30％
50

59.2％

26.9％

60

39.4％

10

20

30（％）

27th

29th

mm yen30th FPmm yen

50（％）

Hotel

60.6％

at the end of

77,26940

Office buildings
Logistics

195,979

70（％）

30

13.9％

/29 properties

RetailResidence

118,710mm yenSponsorOutside party

160,000
140,000
120,000
100,000
80,00060,00040,00020,000
0

2nd

3rd

4th

5th

6th

7th

8th

9th

10th

11th

12th

13th

14th

15th

16th

17th

18th

19th

20th

21st

22nd 23rd

24th

25th

26th

28th

30th

Feb.
Aug.
Feb.
Aug.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
Feb.
Aug.
2007
2005
2006
2006
2007
2008
2008
2009
2009
2010
2010
2011
2011
2012
2012
2013
2013
2014
2014
2015
2015
2016
2016
2017
2017
2018
2018
2019
2019
th
th
＊As the senior equity interest in an anonymous partnership managed by CCH Bridge Y.K. was redeemed in the 14 FP, it is excluded from total acquired assets from the 14 FP onward. Since interest in the anonymous partnership managed by Limited Liability Company
FRC1 was redeemed on in the 26 th FP, it is excluded from total acquired assets from the 26 th FP on ward.
（＊）Because the Higashi Hie Business Center that was acquired in the 10th fiscal period （period ended August 31, 2009） was acquired from both outside parties and sponsors, the purchase price has been added to the purchase prices from outside parties and the purchase prices from sponsors
after calculation on a per capita basis. Furthermore, with regard to the number of properties, one property has been added to the number of properties acquired from sponsors.

Asset’s growth14Sponsor pipeline （ Fukuoka Jisho Group ）Overview of Fukuoka Jisho Co., Ltd.

Major properties owned by Fukuoka Jisho GroupUse

Fukuoka Jisho Co., Ltd.

Name

No.

Name

Total floor
space

Established

July 19, 1961

1

Fukuoka Daiichi Building

1961

9,962㎡

2

Fukuoka Kogin Building

1970

15,160㎡

Industries

Real estate （comprehensive developer）

3

Meiji-Dori Business Center

1974（Main Building）/ 1986（Annex）

9,844㎡

Ichiro Enomoto, President and C.E.O

Representative

Officebuildings

Employees

216 （as of May 31, 2019）

Net sales22.7 billion yen (period ended May 31, 2019）

Ordinary income

4.2 billion yen (period ended May 31, 2019）4

Sun Life No. 3 Building

1978

8,262㎡

5

Tenjin Nishi-Dori Business Center

1978

10,394㎡

6

Tenjin MMT Building

1979

19,874㎡

7

Tenjin Riverfront Business Center

1999

4,106㎡

8

Hakata Ekimae Business Center

1999

24,731㎡

9

Naha Business Center

2018

9,054㎡

FY2019（planned）

4,677㎡

10 Higashi Hie Business Center Ⅲ(provisional name)■Tenjin Business Center（provisional name） ■Naha Business Center
Officebuildings

Officebuildings

Officebuildings

FY2021（planned）

61,116 ㎡

2000（Building Ⅰ）/ 2004
（Building Ⅱ）/
2007（Building Ⅲ）

48,330㎡

13 Tenjin Kirameki Dori Building

2003

24,525㎡

14 Canal City Hakata East Building

2011

18,534㎡

11■Higashi Hie Business Center Ⅲ
RetailHotel（Image）■Canal City Hakata East Building（Image）■Hotel FORZA Hakataeki Chikushi-guchi Ⅰ ■Island City Logistics Center
Hotel

Logistics(provisional name)

Tenjin Business Center（provisional name）

12 Marinoa City Fukuoka（Outlet Building）(provisional name)Residence 15

RetailYear of completion

Logistics

2008

6,500㎡

16 Hotel FORZA Hakataeki Chikushi-guchi Ⅰ

2012 / 2017（Annex Building）

7,335㎡

17 Hotel FORZA Hakataeki Chikushi-guchi Ⅱ

FY2019（planned）

4,876㎡

18 Hotel FORZA Sapporo Ekimae（provisional name)

FY2020（planned）

11,346㎡

Island City Logistics Center（provisional name)

FY2019（planned）

47,150㎡

19Class Keyaki Dori

＊Includes properties owned by the Fukuoka Jisho Group and properties co-owned with other companies.

Development plan of Fukuoka Jisho Groupplannedcompletion
Property
name（Image）＊Prepared by Fukuoka Realty based on data from Fukuoka Jisho Co., Ltd.

FY2019FY2020

FY2021

Higashi Hie Business Center Ⅲ（provisional name）
Hotel FORZA Sapporo Ekimae Tenjin Business Center
Hotel FORZA Hakataeki Chikushi-guchi Ⅱ（provisional name）（provisional name）
Island City Logistics Center
name）（provisional＊The fiscal year reflects the fiscal year of Fukuoka Jisho Co., Ltd.（June 1-May 31）

Asset’s growth

15

Key financing events in the 30th fiscal period
Achievement of both interest cost reduction, borrowing term extension and diversification
Long-term financing and repayments from the 30th fiscal period onward
Date

July 31,2019（30th FP）

Amount（mm yen） Term

LenderInterest rate

2,200 10-year

0.521%（＊1）

Fixed

The Norinchukin Bank

1,500 7.5-year

0.303%

Fixed

0.480%

Fixed

500

9-year4,200 9.0-year

Total and the weighted average rates（＊2）（1） Green Finance Framework

Fixed/Floating

Mizuho Bank
The Bank of Saga
The Higo Bank

September 25,2019 MUFG Bank
（31st FP）

Green financeFukuoka REIT has established the green finance framework in line with the “Green Bond
Principles 2018” and “Green Bond Guidelines 2017 by Ministr y of the Environment ” set
forth by the Ministry of the Environment to conduct green finance including green loans.

（2） Eligible Green Projects
Eligible Green Projects as of 30 th fiscal period（3） Maximum procurement amount in green finance0.438％（＊3）

10properties 138.4 bn yen（＊4）
54.9 bn yen

Maximum procurement amount as of 30 th fiscal period（＊1）FRC has concluded a swap agreement to practically fix interest rate on debt. The indicated interest rate reflects the effect of the swap agreement.
（＊2）Amounts are totals, and terms and interest rates are weighted averages. （＊3）Interest rates are rounded off to the second decimal place.

The loan from Mizuho Bank, The Bank of Saga, and The Higo Bank is a syndicatedgreen loan based on Green Loan Principles. It is the first green loan for a company
headquartered in Kyushu and the first syndicated green loan for a J-REIT.

Eligible Green Projects

138.4 bn yen（＊4） ×

Total assets LTV 39.7%（＊4）Stated based on the acquisition price.

Diversification of debt maturities [As of August 31, 2019]◎As the one-year term of the commitment line contract, with Fukuoka Bank as the agent, has passed on July 31, 2019, we extended the contract to July 31, 2021.
Floating（mm yen）

14,00013,00012,000Sep. 2019
Refinance

8,000

4,000

2,500

500
2,500

2,000
0

Investment corporation bonds

Committed line 13,000 mm yen

10,000

6,000

Fixed

1,700
31st

2019

5,600

6,300
1,000
32nd

2020

0

0
33rd

34th

2021

35th

400
36th

2022

5,900
0
37th

38th

2023

2,000

4,200

2,000

700

2,000

1,900

300

39th

40th

41st

42nd

43rd

2024

2025

6,600

4,400

7,000

7,000
4,900

1,500
44th

2026

45th

46th

2027

47th

48th

2028

500

1,000

1,400

2,200

2,000

49th

50th

56th

68th

2029

2032

2038

Financial strategy

16

Financing condition
A stable network of sponsor banks and other lenders
Average interest rate （＊1） and duration

LTV
（％）

50

（％）

1.3

Average interest rate（％）

Fixed and floating rate

Duration（years）（years）

8

1.2

45

1.1
1. 0

40
39.3

38.9

39.1

39.7

39.7

35
30

7

26th
Aug. 31, 201727th
Feb. 28, 2018

28th
Aug. 31, 201829th
Feb. 28, 201930th
Aug. 31, 2019

0.9
0.8

6.3

6.4

6.0

5.4

6.0

6
5
4

0.79

0.73

0.73

0.73

0.72

3

0.7

2

0.6

1

0.5

27th
29th
30th
28th
26th
〜Aug. 31, 2017 〜Feb. 28, 2018 〜Aug. 31, 2018 〜Feb. 28, 2019 〜Aug. 31, 2019

Floating

9.8％

77,500mm yenat the end of
30th FP

Fixed

90.2％

0

（＊1）Interest rates are rounded off to the second decimal place.

Breakdown of debt by lenders

A regional bank transaction network
Sponsor banks

Investment
corporation bonds 6.5％
Other financial
institutions

2.6％

The Bankof Fukuoka

Regional banks（ex sponsor banks）

The Norinchukin
Bank

3.2％

Resona Bank

4.4％

Sumitomo Mitsui 4.3％
Trust BankMUFG Bank

5.7％

Sumitomo Mitsui
Banking Corporation 3.4％
Mizuho Bank

8.0％

13.5％

12.9％
77,500mm yenThe
Nishi-Nippon
City Bank

14.6％

at the end of

30th FP

Development
Bank of Japan

21.0％

Credit ratings （＊2）◎Sharing of information networks unique to regional banks toutilize for our investment strategy in the area Borrowings:（mm yen）
The Bank ofFukuoka

10,000

The Bank of Saga

500

The Oita Bank

1,500

The Eighteenth Bank

700

The Shinwa Bank

800

The Higo Bank

1,300

The Miyazaki Bank

The Nishi-Nippon
City Bank

11,300

The Kitakyushu
Bank

1,700

JCR

AA-

（Stable）

R&I

A＋（Stable）

700（＊2）JCR: long-term issuer rating obtained fromThe Kagoshima Bank 300＊As of August 31, 2019Japan Credit Rating Agency, Ltd.
R&I: issuer rating obtained from Rating andInvestment

Financial strategy

17

Appraisal value
Maintained unrealized gains for all properties （＊1）
- unit : mm yen （Figures rounded down to the nearest mm yen）

Appraisal value
Property nameAcquisition
price

Acquisition
cap rate（＊2）

RetailOffice buildings
OthersCanal City Hakata
Canal City Hakata・B
Park Place Oita
SunLive City Kokura
Konoha Mall Hashimoto
Square Mall Kagoshima Usuki
Kumamoto Intercommunity SC
Hanahata SC
Kurume Higashi Kushiwara SC
K’ s Denki Kagoshima
Marinoa City Fukuoka （Marina Side Building)
Total of retail
Canal City Business Center Building
Gofukumachi Business Center
Sanix Hakata Building
Taihaku Street Business Center
Higashi Hie Business Center
Tenjin Nishi-Dori Center Building
Tenjin North Front Building
Higashi Hie Business Center Ⅱ
Total of office buildings
Amex Akasakamon Tower （Residence）
City House Keyaki Dori（Residence）
Aqualia Chihaya（Residence）
D-Wing Tower（Residence）
Granfore Yakuin Minami（Residence）
Hotel FORZA Oita
（Hotel）
Tissage Hotel Naha
（Hotel）
Tosu Logistics Center（Logistics）
LOGICITY Minato Kashii（Logistics）
LOGICITY Hisayama（Logistics）
Total of others
Total properties

Difference

Aug. 31, 2019Feb. 28, 201929th

Book value
at 30th

①

②

③

30th

From
Appraisalvalue at 29th①-②

Direct capitalization values

FromBook value
at 30th①-③

30th
Cap rate④

29th
Cap rate⑤

Difference

Appraiser④-⑤

32,0006.0%

32,00032,00029,911

0

2,088

4.5%

4.5%

0.0%

Tanizawa Sogo Appraisal

28,7005.4%

30,10030,00029,001

100

1,098

4.7%

4.7%

0.0%

Tanizawa Sogo Appraisal

18,6206.0%

19,80019,80019,449

0

350

5.5%

5.5%

0.0%

Japan Real Estate Institute

6,633

6.6%

8,340

8,340

5,582

0

2,757

5.9%

5.9%

0.0%

Japan Real Estate Institute10,0005.3%

10,50010,60010,129

（100）

370

5.1%

5.1%

0.0%

Tanizawa Sogo Appraisal

5,300

6.3%

5,630

5,620

4,380

10

1,249

5.8%

5.8%

0.0%

Japan Real Estate Institute

2,400

6.5%

2,860

2,860

1,993

0

866

5.6%

5.6%

0.0%

Japan Real Estate Institute

1,130

6.4%

1,250

1,250

984

0

265

5.4%

5.4%

0.0%

Tanizawa Sogo Appraisal

2,500

6.1%

2,790

2,790

2,059

0

730

5.5%

5.5%

0.0%

Tanizawa Sogo Appraisal

3,550

5.7%

3,710

3,710

2,997

0

712

5.4%

5.4%

0.0%

Tanizawa Sogo Appraisal

5,250

5.5%

6,080

6,060

5,446

20

633

4.8%

4.8%

0.0%

Tanizawa Sogo Appraisal

123,060

123,030

111,934

30

11,125116,083

-

-

-

-

14,600

6.3%

15,90015,80013,132

100

2,767

4.5%

4.5%

0.0%

Tanizawa Sogo Appraisal

11,2006.3%

14,30014,300

8,935

0

5,364

4.4%

4.4%

0.0%

Tanizawa Sogo Appraisal

4,400

5.9%

6,360

5,980

3,805

380

2,554

4.2%

4.2%

0.0%

Japan Real Estate Institute

7,000

6.0%

8,640

8,410

5,929

230

2,710

4.5%

4.6%

（0.1）%

Japan Real Estate Institute

5,900

6.0%

7,650

7,580

4,483

70

3,166

4.6%

4.6%

0.0%

Tanizawa Sogo Appraisal

2,600

5.4%

3,170

3,100

2,685

70

484

4.0%

4.1%

（0.1）%

Japan Real Estate Institute

2,800

6.1%

3,990

3,900

2,535

90

1,454

4.2%

4.3%

（0.1）%

Japan Real Estate Institute

4,230

4.9%

4,440

4,440

4,146

0

293

4.6%

4.6%

0.0%

Tanizawa Sogo Appraisal

64,45063,51045,654940

18,79552,730

-

-

-

-

2,060

5.4%

1,840

1,840

1,702

0

137

4.5%

4.5%

0.0%

Daiwa Real Estate Appraisal

1,111

5.5%

1,140

1,140

917

0

222

4.5%

4.5%

0.0%

Daiwa Real Estate Appraisal

1,280

6.8%

1,780

1,720

1,194

60

585

4.9%

5.0%

（0.1）%

Japan Real Estate Institute

2,800

5.9%

3,570

3,560

2,692

10

877

4.5%

4.5%

0.0%

Tanizawa Sogo Appraisal

1,100

5.6%

1,310

1,310

1,118

0

191

4.4%

4.4%

0.0%

Tanizawa Sogo Appraisal

1,530

6.6%

1,860

1,820

1,418

40

441

5.2%

5.3%

（0.1）%

Japan Real Estate Institute

2,835

5.3%

3,020

3,030

2,901

（10）

118

4.9%

4.9%

0.0%

Tanizawa Sogo Appraisal

1,250

5.9%

1,430

1,430

1,186

0

243

5.2%

5.2%

0.0%

Japan Real Estate Institute

8,150

5.2%

8,900

8,880

7,900

20

999

4.4%

4.4%

0.0%

Tanizawa Sogo Appraisal

5,050

5.1%

5,260

5,250

4,911

10

348

4.6%

4.6%

0.0%

Tanizawa Sogo Appraisal

27,166-30,11029,98025,943

130

4,166

-

-

-

195,979-

217,620

216,520

183,532

1,100

34,087----（＊1） It does not include “construction in progress in trust” in book value in balance sheet at the end of period.
（＊2） “Acquisition price” does not include fees, public charge and expenses.

Appraisal value

18

Historical appraisal values （unrealized gains）
Maintained continuously since the 3rd fiscal period （Unrealized gains 34,087 mm yen, 18.6% ratio of unrealized gains at the 30th ）（＊1）

Historical appraisal values
Book value at the end of period( * 2)（mm yen）

250,000

Unrealized gains = (latest appraisal value – book value at the end of period( * 2))

29,467200,000

16,777 19,830

6,498 5,543

150,000
18,742

20,79921,07013,955

6,066 6,522（411）

22,878 25,541

14,434

12,465 9,300 8,953 9,394 6,989

1,893
146,621 146,246 150,603 152,422

0

21,152

7,894

100,000

50,0008,243 9,138 11,097

24,25531,804 34,087

81,771 86,777

2nd

Aug.
2005

3rd

Feb.
2006

93,556

4th

Aug.
2006

103,025 107,338

5th

Feb.
2007

6th

Aug.
2007

112,001 115,560 115,195

120,299 119,486 118,686 118,411

7th

10th

Feb.
2008

8th

Aug.
2008

9th

Feb.
2009

Aug.
2009

11th

Feb.
2010

158,851 158,007 159,128 159,246

172,406 171,555 168,902

164,527 169,031 168,138

12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th
Aug.
2010

Feb.
2011

Aug.
2011

Feb.
2012

Aug.
2012

Feb.
2013

Aug.
2013

Feb.
2014

Aug.
2014

Feb.
2015

Aug.
2015

Feb.
2016

Aug.
2016

Feb.
2017

26th 27th
Aug.
2017

Feb.
2018

182,352 184,715 183,532

28th 29th 30th
Aug.
2018

Feb.
2019

Aug.
2019

( * 1)Ratio of unrealized gains = (latest appraisal value – book value at the end of period( * 2))／book value at the end of period.
( * 2)Book value at the end of period does not include construction in progress.

Appraisal value

19

The condition of suburb area in Fukuoka
C

D
Island City Logistics Development Project

JR

e

oka
Marina Town

The Residential
Suites Fukuoka

JR Chikuhi LineFY 2019
Infrastructure
Redevelopment（Tenjin area）
EventsNanakuma subway line
extention project

S
Nanakubway
uma L

ine

Fukuoka
University
Hospital

FY 2020●Demolition of Tenjin Core
Building to commence

FY 2021●Completion of Phase 2 ofexhibition centeruO

muHanahata SC
88

FY 2022

16

Fukuoka Airport

LEVEL-5
Stadium

ta

Ka

go

sh

Lin

e

im

aL

ine

FY 2023●Extension of the subway’s

FY 2024●Addition of runways at Fukuoka Airport●Extension of Fukuoka Urban

Nanakuma LineFY 2025 and beyond●Redevelopment of waterfront
district

Expressway Route 3 （Airport Line）●Tenjin IMS to close●Completion of Tenjin BusinessCenter●Rugby World Cup 2019
●Tokyo 2020 Olympic Games●World Figure Skating individual country competitions●Fukuoka the venue for the meeting of G20 finance

JR

ets

Fukuoka
University

Fukuoka Urban Expressway
Kanjo Line

19

14

Canal City Hakata
Nis

hit

is owned by Fukuoka Jisho Group（ As of August 31, 2019）.

●Start of Fukuoka Airport operation business●Completion of construction of
Fukuoka Urban Expressway●Completion of new passenger terminal building
Route 6 （Island City Line）●Duplication of Fukuoka Airport parallel taxiway●Demolition of Fukuoka Building to commence

5

24

Hakata Stn

2 １ １2an
rb y
a U wa eok s inku res u L
Fu xp zaif
E aD

＊Please refer to P49 regarding the number of properties.
＊ is owned by Fukuoka REIT Corporation（ As of August 31, 2019）.＊

Konoha Mall Hashimoto

Tenjinnsen

legendNishi Kyushu
Expressway

Ohori
Park

Ruins of
Fukuoka 21
Castle18
17

Fukuoka IC

sen
kan
hin
S
nyo JR Sasagu
Sari Lineinka

3

JR （Kagoshima Line/Sasaguri Line/Kashii Line/Chikuhi Line/Uminonakamichi Line）
Shinkansen（Kyushu Shinkansen/Sanyo Shinkansen）
Nishi-Nippon Railroad （Tenjin-Omuta Line/Kaizuka Line）
Fukuoka Municipal Subway （Kuko Line/Hakozaki Line/Nanakuma Line）
Fukuoka Urban Expressway（Kanjo/Dazaifu/Kuko/Kasuya/Kashii）
Kyushu Expressway
Nishi Kyushu Expressway
Redevelopment Project in Fukuoka City

13 15

FUKUOKA Subway K
uko Line 20 23
YAHUOKU! DOMETORIUS
Hisayamanrba
a U ayokesswLineuk
FuExprport
Air

Fukuoka Urban
Expressway Kanjo Line

Seaside Momochi
Beach Parkka Urban
Kasuy Expressway
a Lineu Sh

11Marinoa City Fukuoka(Outlet Building)

Kyushu University
Ito Campus

Kyushu University
Hakozaki Campus Site

Fu
ku

Chuo
Port

Marinoa City Fukuoka(Marina Side Building)

Fukuo

Kyu
sh

Waterfront District

HakozakiPort

NokonoshimaIslandBoth bustling and relaxing spaces that take advantage of the seafront location will becreated by encouraging the relocation of private facilities to the district and leveraging
the area’s unique characteristics and charms, all the while working to strengthen MICE
(Meetings, Incentives, Conferencing, and Exhibitions) and cruise-related functions withthe aim of building them into drivers of growth for Fukuoka City.

22

Lin

2

LOGICITY Hisayama

esswayAqualia Chihaya

Hakata Bay

NokonoshimaIsland Park

29

ii
sh

Will Mark
Kashiihama

Hakata Connected
Urban functions in the Hakata Station area will be enhanced through redevelopment including
construction of highly earthquake-resistant buildings and expansion of the network ofpedestrian routes, along with enhancement of transport infrastructure such as extension of
the Nanakuma subway line to Hakata Station and redevelopment of Hakata Ekimae Street.
Target area: 500-meter radius around the Hakata Station (about 80 ha).

500m

Ka

The Tenjin Big Bang Project aims to encourage, through special Fukuoka City government
measures, rebuilding by the private sector to generate fresh employment opportunities andcreate urban new spaces, taking advantage of relaxed regulations in the Tenjin area as partof a National Strategic Special Zone initiative. The Fukuoka City government has received
special permission to relax Civil Aeronautics Act-related building height regulations and has
also relaxed regulations on floor-space ratios etc. Work on the first building of the project,
Tenjin Business Center(provisional name), started in January 2019.

LOGICITY Minato Kashii

JR1

Uminonakamichi
Seaside Park

1km

Kyushu Sangyo
University

Fukuoka Urban
Expressway Route 6（Island city Line）maintenance28

Kyushu Expr

The Tenjin Big Bang Project

F
u
ts ne
ite Lish ka
Ni izuKa

ShikanoshimaIsland《Redevelopment Project in Fukuoka City》

E
Vegefru stadium(Fresh produce market)

Ur
Ka banshi Exi Li preHa Su
ne ssw
ko bw
ay
za ay
ki
Lin
e

B

Um
ino
na
Lin kamicehiA●Completion of Daimyo

Elementary School site
redevelopment construction work

●Completion of phase 1 ofreconstruction of city block
where Fukuoka Building is located●Completion of Tenjin IMS site
construction work

●FINA World Aquatics
Championships

ministers and Central Bank Governors’ Meeting

Situation of Fukuoka and Kyushu

20Current situation of Fukuoka and Kyushu

Number of overseas visitors from China and Southeast Asia increasing
Change in number of overseas visitors [Fukuoka City]

thousands（ people ）Port of Hakata
Number of persons landing on ships on overseas
irregular service routes

3,000

842

2,500

167

847

2,000

574

1,500
1,000

2014

2,414

Taiwan
9.6％[322]

2015

2016

2017

2018 （year）

TaiwanChina

Hong Kong

1,600

1,200
1,000
800

[for the periods Jan. 2018 - Jul. 2018 and Jan. 2019 - Jul. 2019]（percentagechange ）China

14,723

11.8％

Malaysia

13,101290.0％

Philippines

8,833

50.6％

40
20

5.7％

400

Europe/U.S.A/Australia

13

0.0％

2018

（year）

60

5.0％
17.2％
27.3％

2017

80

5,930

451

Others

2,478

20.1％

Taiwan（7,607）（3.9）％

Korea（67,636）（7.2）％

Total（21,865）（1.4）％

Source: Prepared by Fukuoka Realty Co., Ltd., based on data from Fukuoka City Economy, Tourism & Culture Bureau “Fukuoka City Tourism / MICE”
2019 edition（Fukuoka City Tourism Statistics）

NagasakiMiyazakiKagoshima

100

4,048
3,801

2016

120

Thailand
Vietnam200

Kitakyushu
Oita
Kumamoto
Saga

140

Hong Kong

Singapore2015

6.7％[224][800]◎Foreign tourists to Kyushu are 5.11 million people in 2018, broken a record in seven consecutive years
160◎Comparison of results

600

2014

China

23.8％

Number of foreign visitors entering Japan from airports in Kyushu,
and share of total number of arrivals from overseas to Fukuoka Prefecture
180

YoY change innumber of visitors

1,400

0

[1,584]

Number of persons landing
on ships on overseas
irregular services routes（thousands people）

Number of foreign tourists to Fukuoka city
South Korea

47.2％

Source: Prepared by Fukuoka Realty based on data from Statistics on Legal Migrants（Ministry of Justice）and Fukuoka City Port and Airport Bureau“Number of International Vessel Passengers”

Source: Prepared by Fukuoka Realty based on data from Statistics on Legal Migrants（Ministry of Justice）and “Number of International Vessel Passengers,”
published by Fukuoka City Port and Airport Bureau

thousands（ people ）South Korea

Europe/U.S.A/Australia
2.6％[87]

1,631

1,392

884

143

Hong Kong
5.9％[197]

2,205

193

500

800

161

183

210

[thousands people]

Others
3.1％[103]
Thailand1.1％[38]

Fukuoka Airport

3,500

0

Breakdown of overseas visitors in 2018

0

2011

2012

2013

2014

2015

2016

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from Statistics on Legal Migrants（Ministry of Justice）

2017

2018

（year）

and and Ministry of Land, Infrastructure, Transport and Tourism◎Share of arrivals from overseas
by air and sea to Fukuoka Prefecture

74.0％

Fukuoka airport
Other airports in Kyushu

Hakata port
Others

4.8％ 11.1％

10.1％

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from the Kyushu Tourism Promotion Organization’ s Big Data-based Survey of Foreign Visitors to Kyushu

Situation of Fukuoka and Kyushu

21

Functional Enhancement of Fukuoka Airport
Initiatives to increase runway handling capacity and expand number of routes
Current status of Fukuoka Airport

Fukuoka Airport

Domestic
terminal building

Newly built
parallel taxiway

Domestic terminal building
being reconstructed◎Ranking by number of arrivals and departures and number of passengers in FY2018●Number of arrivals and departures（international and domestic） ●Passengers（international and domestic）
Number of arrivals
and departures （＊1）

Airport1

TOK YO （Haneda）

85,692,000

257,000

2

TOK YO （Narita）

41,238,000

OSAK A （Kansai）

189,000

3

OSAK A （Kansai）

29,312,000

FUKUOK A

181,000

4

FUKUOK A

24,845,000

163,000

5

SAPPORO（New Chitose）

23,634,000

Airportscheduled to be（Construction
completed in January 2020 ）1

TOK YO （Haneda）

455,000

2

TOK YO （Narita）

Current runway

3
4
5

OKINAWA（Naha）

Internationalterminal building

2,800m×60m

Existing
parallel taxiway

Expanded runway

Annual2,500m×60m

Runway handling
capacity enhancement （＊2）
◎Scheduled completion ofparallel taxiway duplication（the end of January 2020）

International routes
18routes

Domestic routes
27routes

Helsinki（Only in summer）

DalianQingdaoSeoul

FY2023 （Targets）

FY2048 （Targets）

10 countries ・18 routes

13 countries ・26 routes

25 countries ・67routes

23 cities ・26 routes

30 cities ・33 routes

Source: Prepared by Fukuoka Realty Co., Ltd. based on the Master Plan of Fukuoka International Airport Co., Ltd.

Yakushima

188,000 ／per year
～ 211,000 ／per year（＊3）

HanedaMarch 2018

Fukue
Amakusa
Kagoshima

Shanghai

Narita500km

Amami Oshima（the end of March 2025）

After expansion

Izumo
Osaka Komaki
Matsuyama
Shizuoka
Chubu

Daegu
Busan
Tsushima

Sendai

Komatsu MatsumotoIbaragi

Miyazaki

Future increase in number of routes and countries served

23 cities ・26 routes

Wuhan◎Scheduled opening ofadditional runway

HanamakiNiigata

KansaiTokushima
Kochi

170,000 ／per year

Shin-Chitose

Nov. 2019 （planned）➡Honolulu route

Beijing

After expansion

Photo provided by: Fukuoka City Office （Panorama of Fukuoka Airport from south to north）

Mar. 1, 2019〜➡Kuala Lumpur route1, 2019〜
760flights/week 372flights/day Jul.➡Muan,
Jeju route

Current 164,000 ／per year

Domestic
routesAnnualSource: Prepared by Fukuoka Realty based on data from the “FY2018 Airport Ranking Table” of the Ministry of Land, Infrastructure, Transport and Tourism（＊1） The number of arrivals and departures is calculated by multiplying the number of arrivals by two.

Scheduled to commence（ operationsin March 2025）

InternationalroutesNumber of passengers

Rank

Rank

scheduled to be（Construction
completed in January 2020 ）

1,000km

Naha
Hong Kong
Macao

Taipei

1,500km

Ishigaki
Honolulu

Kaohsiung

500km
250km

Singapore Bangkok Ho Chi Minh Hanoi Manila
City

Guam

（As of December 2018）

Source: Prepared by Fukuoka Realty Co., Ltd. based on the Medium-term Business Plan (FY2019-2023) of Fukuoka International Airport Co., Ltd.
and data from Fukuoka City Port and Airport Bureau（＊2） The upper limit of the number of arrivals and departures that can be stably handled by the runways without congestion or delays.
（＊3） Increase in landing slots to be considered after gaining understanding of the community and taking into account future demand trends

Situation of Fukuoka and Kyushu

22Sustainability
Identification of materially significant issues [as of September 2019]
materially significant issues

Environment

Governance

Related SDGs

Reduction of environmental load

● Coordinate with Property Management and Building Management on promotion of management and reduction of energy
consumption, greenhouse gas emissions, water consumption, and waste output

Maintenance and enhancement ofenvironmental and construction performance● Carry out performance and function evaluation of properties on a regular basis and ameliorate any deterioration in performance, etc.
● Maintain and improve competitiveness by acquiring green building certifications and through visual representation of building performance

Asset manager● Improve quality of operations by enhancing and expanding employee education system and promoting acquisition of qualifications● Continue to improve office environments and work on providing pleasant working environments● Give consideration to work-life balance and boost employee satisfaction

Tenant● Promote improvement of employee satisfaction and work towards increasing job satisfaction of tenant employees

Creation of pleasant
workplaces

SocialPolicies and targets

Contribution to boosting attractivenessand vitalization of Fukuoka and Kyushu● Enhance dissemination of information regarding strengths and charms of Fukuoka and Kyushu● Support research and studies on local economy and industries and promote attractive urban development in collaboration with local
business circles

Involvement in local community● Deepen dialogue and collaboration with local community through participation in community activities and various initiatives
using properties under our management to grow and develop together with the local community

Information disclosure and dialogue
with stakeholders● Disclose financial and non-financial information to stakeholders in an appropriate and timely manner● Build relationships of trust through proactive dialogue with stakeholders and reflect stakeholder feedback in management strategy

Compliance / Risk management● Ensure thorough compliance including compliance with laws and ordinances and elimination of conflict of interest with interested
parties, and develop and operate an appropriate internal risk management system to maintain and improve corporate value

External evaluation

Institution of signatory
Signing of the PRI and PFA21 as of September 2018

◎Principles for Responsible
Investment （PRI）◎The GRESB survey 2019

◎Principles for Financial Action
towards a Sustainable Society◎Green Building certificate acquisition ratio [as of August 31, 2019]
Green Building certification obtained for 68.7% of entire portfolio● DBJ Green Building certification（Principles for Financial Action for the 21st Century）: total 9 properties

Certificatedproperties

Received the rating of “Green Star”
and “4 star” in the GRESB survey 2019

● BELS : total 4 properties

68.7％（based on total floor space）

Sustainability

23

サステナビリティへの取り組み

Appendix24

Profile
Special features of Fukuoka REIT Corporation

1
2
3
4
5

Proven track record over 30 fiscal periods as a region-specific REIT

Portfolio summary （＊1）

Asset management leveraging our in-depth knowledge of the real estate environmentof Fukuoka and Kyushu region, one of our greatest strengths

Number of properties /Asset size （＊2）
Of which,acquisition from sponsors （＊3）

14/118,710 mm yen

Excellent portfolio centered on Fukuoka metropolitan area

Unrealized gains

34,087 mm yen

A portfolio of carefully selected investments in the high growth area of Fukuoka City
attention from around Japan and overseas

Total leasable floor space

580,664.27 ㎡

Occupancy rate

99.6％

Solid support from a sponsor company involved in property development
Asset portfolio expansion and high occupancy rates facilitated through coordination
with our sponsors

Establishment of stable financial baseConservative control of interest-bearing debt ratio, long-term diversificationof repayment deadlines

DPU kept at a constant level ever since the IPO
Maintain and improve of the dividend provision through effective
asset management

Overview of Fukuoka REIT Corporation（based on acquisition price）

29/195,979 mm yen

Financial highlight （＊1）
Total debt

77,500 mm yen

LTV

39.7％

Fixed rate

90.2％

Average interest rate

0.72％

Credit ratings◎Investment type

JCR AA−（Stable）
R &I A＋ （Stable）

Others

13.9％
Office buildings

26.9％

Retail59.2％◎Investment area（based on acquisition price）

Other
Kyushu areas

22.8％

Fukuoka
metropolitan area

77.2％

Investment unit price （＊1）
Unit price

Name

Fukuoka REIT Corporation

Outstanding units

Security code

8968

Market capitalization

Listed dateJune 21, 2005 （Tokyo Stock Exchange, Fukuoka Stock Exchange）

Net assets value per unit

Fiscal period

February ・ AugustMarket net assets value per unit （＊4）

Asset manager

Fukuoka Realty Co., Ltd.

Dividend （actual）

Sponsors

Fukuoka Jisho Co., Ltd., Kyushu Electric Power Co., Inc.,
Nishi-Nippon Railroad Co., Ltd., ROYAL HOLDINGS Co., Ltd.,THE BANK OF FUKUOKA, LTD., THE NISHI-NIPPON CITY BANK, LTD.,SAIBU GAS CO., LTD., Kyudenko Corporation,
Kyushu Railway Company, Development Bank of Japan Inc.

Dividend yield

178,300 yen
796,000 unit
141,926 mm yen （unit price ＊ outstanding units）
127,987 yen
170,811 yen
3,693 yen per unit （Days in fiscal period 184days） at the 30th FP
4.1％ { （Dividend / days in fiscal period ＊ 365） / Unit price}（＊1） The figures are as of August 31, 2019 (excl. average interest rate) （＊2）The figures are total of acquisition price.
（＊3） Because the Higashi Hie Business Center that was acquired in the 10th fiscal period （period ended August 31, 2009） was acquired from both outside parties andsponsors, the purchase price has been added to the purchase prices from outside parties and the purchase prices from sponsors after calculation on a percapita basis. Furthermore, with regard to the number of properties, one property has been added to the number of properties acquired from sponsors.

（＊4） Market net assets value per unit = { （Total appraisal value at the end of period based on appraisal reports -Total book value at the end of
period based on balance sheet) ＋（Net assets at the end of period) } / （Total number of investment units outstanding）

Appendix25

A real estate investment trust specializing in regional properties
Sponsors

Investment policy◎Investment area

THE BANK OF FUKUOKA

THE NISHINIPPON CITY BANK, LTD.

5％
THE BANK OFFUKUOKA, LTD.

50％
FUKUOKA JISHO
CO., LTD. （＊）

5％

5％

5％

THE NISHI-NIPPON
Development
CITY BANK, LTD. Bank of Japan Inc.

SAIBU GASCO., LTD.

Outsidedirector

Director

Fukuoka Realty Co., Ltd.
(Asset Manager)

10％60-90％

10-30％
0-10％

Other Kyushu areas（Including Okinawa and Yamaguchi prefectures）

Others◎Investment type

Kyushu ElectricPower Co., Inc.

Others（Hotel, Residence, Logistics, and Other facilities）

Office buildings

5％

5％

5％

5％

Kyudenko
Corporation

Nishi-Nippon
Railroad Co., Ltd.

Kyushu Railway
CompanyROYAL
HOLDINGS Co., Ltd.

（＊）Concluded MOU with Fukuoka REIT and Fukuoka Realty concerning pipeline support.

Fukuoka metropolitan area

Retail0-30％

20-50％

40-70％
Appendix26

Population movement of Fukuoka metropolitan area
The population of Fukuoka metropolitan area continues to increase
Population trends of major metropolitan areas（index）

Actual figures

150

Number of population growth in Fukuoka City
thousands（ people ）Future projection

140

1,580

Fukuoka metropolitan area

130
120
110

1,524

1,520
1,500

Nagoya metropolitan area

1,480

Osaka metropolitan area

1,460
1,440

90
80

1,538

1,540

Tokyo metropolitan area

100

1,567
1,553

1,560

National Institute of Populationand Social Security Research’s
medium-variant estimates
based on 2015 population data

Census data

1,579

Number of population in Fukuoka City

1,509
1,494
1,480

2011

2012

2013

2014

2015

2016

2017

2018

（year）

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from “Estimated Population”（Fukuoka City General Affairs and Planning Bureau）

1985

1990

1995

2000

2005

2010

2015

2020

2025

2030

2035

2040

（year）＊The graph was plotted taking the 1985 population of each urban area as 100.
＊“Fukuoka metropolitan area” refers to Fukuoka City, Chikushino City, Kasuga City, Onojo City, Munakata City, Dazaifu City, Koga City, Fukutsu City,
Itoshima City, Nakagawa City, Umi Town, Sasaguri Town, Shime Town, Sue Town, Shingu Town, Hisayama Town, and Kasuya Town.
“Greater Tokyo area” refers to Tokyo Metropolis, Kanagawa Prefecture, Saitama Prefecture, and Chiba Prefecture. “Nagoya urban area” refers to Aichi
Prefecture, Gifu Prefecture, and Mie Prefecture. “Osaka urban area” refers to Osaka Prefecture, Kyoto Prefecture, Hyogo Prefecture, and Nara Prefecture.
Source: Prepared by Fukuoka Realty Co., Ltd., based on data from the Ministry of Internal Affairs and Communications, Statistics Bureau “Population Census of Japan,”and National Institute of Population and Social Security Research “Population Projection for Japan by Prefecture” (2018 estimate), and March 2012 Fukuoka City General
Affairs and Planning Bureau “Fukuoka City as Seen by Data.”

Youth and working-age population ratios of nationwide and major cities [2015]

Youth population（ Percentage of city population aged 15 to 29）（％）

【Fukuoka City】Youth population: 17.4% （ranked 1 ）Working-age population: 64.8% （ranked 3rd）
st

18.0
17.5
17.0
16.5

Okayama

16.0

Nagoya

15.5
15.0

Kobe

14.5

13.0

Niigata

Sakai

14.0
13.5

Kumamoto Osaka

Kitakyushu
57.0

Shizuoka

58.0

59.0

Hamamatsu

Hiroshima
Chiba

Nationwide

Kawasaki
Sagamihara
Saitama
Yokohama（people）

University students
in Fukuoka

26,345
1,450

Fukuoka

Sendai

Kyoto

Interregional migration of university students in Kyushu

Tokyo

Enrolled in universities in Saga

Saga

1,231

Nagasaki

1,326
Enrolled in universities in Kumamoto

61.0
62.0
63.0
64.0
65.0
Working-age population（Percentage of city population aged 15 to 64）

Source: Prepared by Fukuoka Realty based on Ministry of Internal Affairs and Communications “Population Census of Japan”

55.6%
Oita

Kumamoto

5,583【Nationwide】Youth population: 14.5%
Working-age population: 60.0%

60.0

44.4%

3,608

Enrolled in universities in Nagasaki

SapporoStudents from
Students
outsideprefecture from within
prefecture
11,693
14,652

66.0

（％）

7,374

Outside of Kyushu

980
Enrolled in universities in Oita

4,132
844

Enrolled in universities in Miyazaki

MiyazakiKagoshima

4,732

4,269
1,130

Enrolled in universities in Kagoshima

6,206

Source: Prepared by Fukuoka Realty Co., Ltd based on data from FY2018 School Basic Survey (Preliminary Results) (Statistic Bureau,
Ministry of Internal Affairs and Communications)

Appendix27

Portfolio properties' occupancy rates
Maintained high occupancy rates
Historical occupancy rates [the weighted average during the period]
Fukuoka REIT Corporation（＊1）
（％）

100.0

99.8
99.0

99.4

99.2

99.7

J-REIT average（＊2）

99.2

99.3

99.1

99.0

99.1

99.0

99.0

99.3

99.3

99.1

98.9

98.7

99.1

99.5

99.5

99.6

99.6

98.6

98.7

98.6

98.7

98.1
98.4

98.4

98.4

98.5

98.3

98.1 97.9

97.6

97.2

97.2

97.0

97.1

97.4

97.6

97.6

97.9

98.1

98.5

98.5

99.4

98.7

99.8

99.7

98.8

99.0

99.6

99.7

99.6

99.2

99.2

99.3

（＊3）

（＊3）

95.0

90.0

2nd

Aug.
2005

3rd

Feb.
2006

4th

Aug.
2006

5th

Feb.
2007

6th

Aug.
2007

7th

Feb.
2008

8th

Aug.
2008

9th

Feb.
2009

10th 11th 12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th
Aug.
2009

Feb.
2010

Aug.
2010

Feb.
2011

Aug.
2011

Feb.
2012

Aug.
2012

Feb.
2013

Aug.
2013

Feb.
2014

Aug.
2014

Feb.
2015

Aug.
2015

Feb.
2016

Aug.
2016

Feb.
2017

Aug.
2017

Feb.
2018

Aug.
2018

Feb.
2019

Aug.
2019

（＊1） The investment corporation’ s occupancy rates in the 2nd fiscal period through the 4th fiscal period were the occupancy rates at the end of each fiscal period. For the 5th fiscal period through the 29th fiscal period, the occupancy rates are the weighted average occupancy rates during the fiscal periods.
The ratio of total leased floor area to leasable floor area is shown.
（＊2） The overall J-REIT occupancy rate is the occupancy rate at the end of each fiscal period based on the Association for Real Estate Securitization’ s AJPI-J-REIT Databook.
（＊3） The overall J-REIT occupancy rates for the 29th and 30th fiscal periods are preliminary figures. The figures for the 30th fiscal period are the figures for May 2019.

Occupancy rates [the weighted average during the period]
Category

Investment ratio（based on acquisition price）

26th〜 Aug. 31, 201727th

〜 Feb. 28, 201828th

〜 Aug. 31, 2018

29th

〜 Feb. 28, 201930th

〜 Aug. 31, 2019

Retail59.2％

100.0％

99.8％

99.8％

99.8％

99.8％

Office buildings

26.9％

99.9％

99.3％

99.5％

99.8％

99.0％

Others

13.9％

98.9％

99.3％

99.1％

99.1％

99.2％

Total

100.0％

99.8％

99.7％

99.6％

99.7％

99.6％
Appendix28

Dividend and NAV per unit
◎Dividend per unit

■17th
Tenjin Nishi-Dori Center Building 2,600■14th
Canal City Hakata・B 28,700■16th
Aqualia Kego
2,800
Aqualia Chihaya 1,280

（yen）

4,000

3,500

■18th
D-Wing Tower
2,800
Hotel FORZA Oita
1,530
Tenjin North Front Building 2,800

3,479

3,356

3,293

3,384

3,324

14th

15th

3,238

3,257

3,291

16th

17th

18th

■22nd
LOGICITY Minato Kashii
8,150
Marinoa City Fukuoka（Marina Side Building） 5,250■21stGranfore Yakuin Minami 1,100■20th
Tosu Logistics Center 1,250

3,243

3,278

19th

20th

3,435

Cruise shippassenger
shopping sprees

3,563

3,574

■29th
Tissage Hotel Naha 2,835■26th
LOGICITY Hisayama 5,050

■28th
■25th
Konoha Mall Hashimoto 10,000
Sports Club NAS Park Place Oita 1,470
Higashi Hie Business Center Ⅱ 4,230
AEON Hara Shopping Center（Sold）（5,410）（2,800）Aqualia Kego（Sold）
Kumamoto
earthquake

3,479

3,398

3,422

25th

26th

3,512

3,593

3,687

3,693

29th

30th

3,000
2,500
2,000

11th

12th

13th

21st

22nd

23rd

24th

27th

28th

Feb. 2010 Aug. 2010 Feb. 2011 Aug. 2011 Feb. 2012 Aug. 2012 Feb. 2013 Aug. 2013 Feb. 2014 Aug. 2014 Feb. 2015 Aug. 2015 Feb. 2016 Aug. 2016 Feb. 2017 Aug. 2017 Feb. 2018 Aug. 2018 Feb. 2019 Aug. 2019

◎NAV per unit （＊）（yen）

200,000
180,000
160,000

148,035

140,000 132,799 133,497 128,940

126,385 124,771 125,537 126,298

130,371 131,618

134,493

18th

20th

152,132

155,738 153,726 156,061

159,716

164,908 167,937

170,811

139,486

120,000
100,000

11th

12th

13th

14th

15th

16th

17th

19th

21st

22nd

23rd

24th

25th

26th

27th

28th

29th

30th

Feb. 2010 Aug. 2010 Feb. 2011 Aug. 2011 Feb. 2012 Aug. 2012 Feb. 2013 Aug. 2013 Feb. 2014 Aug. 2014 Feb. 2015 Aug. 2015 Feb. 2016 Aug. 2016 Feb. 2017 Aug. 2017 Feb. 2018 Aug. 2018 Feb. 2019 Aug. 2019
＊ A 5-for-1 split of investment unit was effectuated on March 1, 2014. A 5-for-1 split of dividends and NAV per units before the 19th FP.
（＊）Market net assets value per unit = {（Total appraisal value at the end of period based on appraisal reports -Total book value at the end of period based on balance sheet）＋（Net assets at the end of period）} / （Total number of investment units outstanding）

Appendix29

Earthquake risk in Fukuoka, etc
All properties owned by Fukuoka REIT are covered by earthquake insurance
Probabilistic earthquake prediction map
Probability of occurrence of an earthquake with a magnitude of nearly 6 orhigher in the next 30 years ［Average case / all earthquakes］ ［Reference date: January 1, 2018］［Updated in January, 2019］

Example of measures taken by the Fukuoka City government against
other natural disasters [Fukuoka City flooding countermeasures]◎Storm water storage facilities●Capacity of storm water storage facilities
FY2018（estimated） approx128,000 ㎥

FY1999 No storm water storage facilities

Storm water management capacity increased from 59.1mm/h to 79.5mm/h （city center）●List of storm water storage facilities
Chubu No.2/No.7
main pipelines
Sanno storm water
regulating reservoir
Hie No. 9 main pipeline
Hie No. 12 main pipeline
Hie No. 13 main pipeline
Higashi Hie
regulating reservoir

Wards

capacity（㎥）

Chuo
ward
Hakataward
Hakataward
Hakataward
Hakataward
Hakataward

60,000Total

30,50015,8002,200
12,3007,500
128,300

Sanno storm water regulating reservoir（Sanno No.2）

Chubu No.2

Photo provided by: Fukuoka City Office◎Instances of building inundation in Fukuoka Cityof
（Numberbuilding ）3,000

Instances of building inundation
steadily declining

Storm water drainage
capacity has
increased significantly.

2,000
3,173
1,000
0

probability＊The mesh for zero probability based on the model calculation conditions is shown in white.
Source: Office of the Headquarters for Earthquake Research Promotion, Earthquake and Disaster-Reduction Research Division,
Research and Development Bureau, Ministry of Education, Culture, Sports, Science and Technology

1,721

June 29,
1999

Between
FY2000 and FY2018…

July 19,
2003

1,122
July 24,20093
August 30,
2013

Since the launch of
the project in FY2000…

Instances of inundation

have steadily declined
Maximum hourly
precipitation
79.5
104
116
72.5
（mm/h）＊Number of buildings: Total number of buildings inundated above and below floor level; Period: June 29, 1999 to December 31, 2018
Source: Prepared by Fukuoka Realty Co., Ltd. based on data from the “Storm Water Management Action Plan 2026” pamphlet about the Fukuoka City
Storm Water Emergency Control Plan.

Appendix30

ESG （Environment）
Environment Initiatives of owned properties■Retail

Certification from external organizations

At commercial premises, we aim to create environment-friendly facilities andare implementing initiatives for energy and resource saving.

◎Canal Water Filtration System
Canal Cit y Hakata’ s symbolic canal has both arecreational function and as a source of water tofight fires in the case of an emergency. At all times,
this canal holds roughly 1,200 tons of water, and thiswater uses rainwater in order to conserve resources.
Ramen noodles,
meals

Pork bonewaste
Ramen noodle shops
inside Ramen Stadium◎Recycling of pork bones at Ramen Stadium

Ramen Stadium at Canal City Hakata is a memberof the group of shops collaborating on promoting the
Pork bone recycling
recycling of pork bones, which is promoted by the
initiative
Fukuoka Research Commercialization Center for
Customers
Recycled at
fertilizer companies Recycling Systems, and the pork bones used tomake ramen broth at Ramen Stadium are being
Sales of
Sales of fertilizer
Production ofrecycled thereby contributing to the creation of a
“Fukuoka pork bone
“Fukuoka pork bone
at homecircular economy.
meal” fertilizer improvement storesmeal” fertilizer■Office buildings■Others （Logistics）◎Progress with switch to LED lighting◎Utilization of renewable energy

Switch to LED lighting● Gofukumachi Business Center

Solar panels have been installed on the roofs of
LOGICITY Minato Kashii and LOGICITY Hisayama.

● Sanix Hakata Building

Solar panels（Interior shared spaces, some external areas, etc.）◎DBJ Green Building Certification
Fukuoka REIT has obtained DBJ Green Building Certification, a system by Development
Bank of Japan Inc.（DBJ）to certify real estate properties evincing high environmental andsocial awareness, for the following nine properties it owns as "Properties with the bestclass（or exceptionally high）environmental & social awareness.

2018●Canal City Hakata●Canal City Hakata ・ B

2018●Park Place Oita
●Canal City Business Center Building

2018●Gofukumachi Business Center●Higashi Hie Business Center

2017●Konoha Mall Hashimoto

2017●Higashi Hie Business Center Ⅱ●LOGICITY Hisayama◎BELS （Building-Housing Energy-efficiency Labeling System） Evaluation
This is a system in which a third party evaluates andannounces the energy-conser vation per formance of
non-residential buildings based on the “Guidelines for
Evaluation of Ener gy Conser vation Per f ormance ofNon-residential Buildings（2013）.” Four properties owned by
the Fukuoka REIT corporation were certified.

（Interior recessed lighting）
Higashi Hie Business Center Ⅱ Higashi Hie Business Center● Taihaku Street Business Center

LOGICITY Minato Kashii

LOGICITY Hisayama（Entrance, interior shared spaces, etc.）

Example of Sanix Hakata Building

LOGICITY Hisayama

Appendix31

ESG （Society）
Initiatives for employees and tenants◎Initiatives for employees◎Initiatives for tenants《Fukuoka Realty: Numbers of credentialed personnel》＊August 31, 2019the average number of years of continuous serviceof permanent employees: 8 years and 1 month■Full-time personnel: 41 [Male:22 Female:19]＊46.3％ Female
・Employees seconded from sponsors：2
・Employees seconded to a sponsor：3《Support for flexible working styles》《Training for employees》

・Child-rearing support（maternity leave,
childcare leave system）
・Nursing care leave
・Leave for voluntary work
・No overtime days
・Employee welfare（401K, cumulative
investment system, etc.）
・Encouraging use of paid holidays etc.

・Regular lectures by Kyushu
Economic Research Center・Compliance training
・ESG training
・Nursing care training
・Overseas inspection tour
（Shenzhen）etc.

・MBA：1
・Real estate brokers：28
・Certified Building Administrators：4 ・Administrative Scrivener：1
・First-class registered architect：2 ・SME management consultant：1
・Real estate appraisers：2
・Attorneys：2
・ARES Certified Masters：19

Employee
resting
area

Before《Career development support》■Number of credentialed personnel

Improved the employee lounge environment at Company-owned
Konoha Mall Hashimoto with focus on health and comfort of tenants’
employees.

・Employee satisfaction survey
・Self-assessment system
・Career interview
・Secondment system（dispatching of employees to sponsor companies）
・Promotion from contract employee to permanent employee status, etc.
・Offering of training programs tailored to each management level
・System for supporting acquisition of qualifications（Real Estate Securitization Master, Real Estate Transaction Agent, etc.）
・Support for language learning etc.

After

Fukuoka REIT engages in a variety of initiatives for tenants topromote their understanding on sustainability.
・Emergency drills intended to improve tenant safety and security
・Conduct tenant satisfaction surveys
・Distribute sustainability guidebooks
・Hold events to improve sustainability awareness・Conduct sustainability training, etc.

Initiatives to local communities
Environment promotion event

Safety Town Council

Clean-up days

Participation of local communities’ events

Supporting local vitalization

At Canal Cit y Hakata,Employees par ticipate insprinkling water events to cool down sidewalks andstreets to promote well-being.

At Park Place Oita, we established a “Safety Town
Council” that partners with related institutions andgroups to conduct crime-prevention patrols andproactively strives to prevent youth misconduct.

Employees ac tively par tic ipat e in c ommunit yclean-up activities.

Ever y year, male employees of the C ompany
par ticipate in the Hakata Gion Yamakasa festival（Hachiban Yamakasa, Kazariyama, Kamikawabata-dori;
CEO Etsuo Matsuyuki rode on a float in 2018）

OnRAMP was established by DOGAN Advisors, Inc.
and Fukuoka Realty Corporation and is operated byGeneral Incorporated Association OnRAMP.

Appendix32

ESG （Governance）
Governance System

Governance structure

Fukuoka Realty has established a Basic Policy on Compliance, as well as compliance regulations
and other internal rules to prevent c onf licts of interest. We c onduct c onf lict of interest risk
management pertaining to our dealings with stakeholders in an appropriate manner based on theabovementioned rules and regulations with preliminary assessment carried out by the ComplianceDepar tment general manager and deliberations c onduc ted by the Complianc e Assessment
Committee (consisting of the Compliance Department general manager and three outside experts).

◎Decision-making process
Proposals by responsible department

Third-party assessment
by external experts［Real estate appraisals］

Inspection by Compliance Department
general manager

Deliberations by the Investment
Management Committee■ Japan Real Estate Institute■ The Tanizawa Sogo Appraisal Co., Ltd.

■ Daiwa Real Estate Appraisal Co., Ltd.

［Market reports］■ Analysis on trade areas andcompetition situation■ Adequate rent levels, etc.

Deliberations/resolution
by the Compliance Assessment Committee[Engineering reports]

Supervisory Director

Yasuo Kawasho

CEO and Representative Director

Etsuo Matsuyuki

Supervisory Director

Hiroyasu Shindo

Risk management
Fukuoka Realty has established a system for comprehensively managing risks by setting up the
Risk Management Committee as the organization to manage various risks. In terms of the basic
policy on risk management and the risk items to be managed, the Company has established the
Risk Management Regulations and the Risk Management Committee monitors whether the risks areunder control.

Compliance training
We carr y out periodic compliance training to improve awareness within the company
and to maintain the compliance system■ Law abidance andearthquake resistance

Resolution/decision-making report
by Board of Directors

Fukuoka REIT Corporation Board
of Executive Officers■ Check of soil contamination,
toxic substance and use status■ Replacement market price,
expenses for long-term maintenanceand repairs, etc.

（＊） The prior consent of the investment corporation’ s Board of Directors is obtained in cases falling under the provisions of Article 201-2 (1)of the Act on Investment Trusts and Investment Corporations.

Joint training with sponsor

In-house training （Group discussion）
Appendix33

IR initiatives
IR activities◎For institutional investors◎For overseas investors◎For individual investors 17 times （＊）◎Internal IR activities

・Results briefing（Tokyo）
・Domestic roadshows: 208 times（＊）
・Property tours

・Participation of domestic global
conference（Tokyo, Fukuoka）
・Overseas roadshows: 46 times （＊）
・Property tours
・Expansion of English version
disclosures（ESG summary etc）
・ Advertising targeting overseas audiences

・Kyushu IR fair 2018
・J-REIT fair 2018
・TSE IR Festa 2019
・FSE IR Festa
・ Results Briefings for individual investors（Tokyo, Fukuoka）, etc.

Live streaming of financial results presentation◎Website●Live streaming of financial results presentation
for analysts to the Fukuoka office◎Other activities

Analysts and institutional investors
meeting for 29 th FP（ Tokyo）

Linking Japan●Recorded discussion with Fukuoka
Mayor Soichiro Takashima

Results Briefings for individual investors（Tokyo）（＊）Total from September 1, 2018〜August 31, 2019

The Ministry of the Environment provides the ESG Dialogue Platform
The Ministry of the Environment provides the ESG Dialogue Platform as an
Environmental Reporting Platform Development Pilot Project for the purpose of supporting effective disclosure of environmental information andsubstantive dialogue between parties including companies and investors.
In fiscal 2019 we participated in “ESG consultation meetings” targeted atcompanies that aim to directly engage in dialogue with investors concerning
ESG-related issues.

●The general manager of the Finance
Department spoke at the“Introduction
to IR” seminar organized by the Japan
Investor Relations Association

Other activities◎IR Kyushu Workshop

The 9th IR Workshop series, which was started in fiscal 2011. Fukuoka REIT, together with listed companies having their head offices inFukuoka or Kyushu for the purpose of engaging in research in thelatest IR theories and techniques with IR representatives.

●Theme FY2019
Schedule

Status of integration into indexes

Part 1
August 2019

◎Global indexes, etc. [as of August 31, 2019]●Won grand prize in the Fiscal 2018 All
Japanese Listed Companies’ Website
Ranking announced by Nikko Investor
Relations Co., Ltd.（from 3,785 listedcompanies）. Fukuoka REIT Corporation won award for nine consecutive
years from 2010.

Part 2
November 2019

FTSE EPRA / NAREIT Global Real Estate Index

Russell Global Index（planned）

S&P Global REIT Index / S&P Developed REIT Index

MSCI Small Cap Index

Part 3
TBD

Theme & lecturers“ESG information disclosure and internal consensus”

Ms. Noriko Okada
Executive Vice President, Corporate Communication Division, Sysmex Corporation“The types of non-financial information that investors seek”（tentative title）

Mr. Minoru Matsubara
Chief Manager, Responsible Investment Group, Asset Management Division, Resona Bank, Limited

TBD
Appendix34

Asset management company’ s organization
Shareholders General Meeting

Corporate Profile
Established : December 26, 2003

Auditor

Paid-in capital ： 200 million yen
Certifications, etc. :◎Obtained license for real estatetransaction services
February 27, 2004／
License No.（4）15052 issued
by the Governor of Fukuoka（updated on February 28,2019）

Board of Directors

Compliance Department

Compliance Committee
・General manager of compliance department［Attorneys］
・Outside compliance committee members［Attorneys］［Certified Public Accountant and tax accountant］［Real estate appraisers］◎Certified as discretionary real estatetransaction agent under the Building Lots
and Buildings Transaction Business Act
April 27, 2004／
Certification No. 21 issued by the Ministerof Land,
Infrastructure, Transportation and Tourism

CEO & Representative Director◎Obtained certification to conduct businesses
related to investment trust management→ Consults on compliance-related matters

June 25, 2004／
Certification No. 31 issued
by the Prime Minister of Japan

Risk Management Committee→ Consults on risk management

Executive Committee→ Decision-making on management mattersin general

Investment Committee→ Decision-making on investments andmanagement of Fukuoka REIT’s assets◎Registered for a financial instruments business（investment management business）
September 30, 2007／
Registered No.
（Kinsho）10 registered by
the Director of Fukuoka Local FinanceBranch Bureau

Sustainability Promotion Committee→Decision-making on sustainability promotion

Property Management
Department

Investment Department

Finance Department

Planning Department
Appendix35

Unitholders’ data
Distribution by investor category [breakdown of investment units]
796,000（units）

800,000

700,000

600,000

500,000

400,000

747,000

747,000

11.59%[86,627]

11.00%[82,176]

11.51%[86,037]13.65%[102,014]

12.76%[95,362]
1.32%[9,886]12.79%[95,542]
2.11%[15,783]

62.79%[469,088]

60.43%[451,485]

10.61%[84,462]

15.26%[121,489]
12.33%[98,217]
2.58%[20,588]

59.20%[471,244]

796,000
10.82%[86,164]

14.82%[118,040]
12.34%[98,295]
3.88%[30,940]

58.11%[462,561]

Major investors [at the end of the 30th FP]
796,000
10.41%[82,909]49.61%[370,604]

47.54%[355,162]

44.66%[355,509]

42.27%[336,533]

12.81%[102,039]
4.70%[37,482]

57.85%[460,557]

40.15%[319,608]

100,000

0

Rank

Of which held by trust banks

Stock brokers

Other corporations

Foreign corporations

Individual

Investment
units held

Japan Trustee Services Bank, Ltd.
（Trust account）

157,261

19.75％

2

The Master Trust Bank of Japan, Ltd.
（Trust account）

79,364

9.97％

3

Fukuoka Jisho Co., Ltd.

71,736

9.01％

4The Nomura Trust and Banking Co., Ltd.
（Investment trust account）

33,084

4.15％

5

Trust ＆ Custody Service Bank, Ltd.
（Securities investment trust account）

21,658

2.72％

6

Rakuten General Insurance Co., Ltd.

13,562

1.70％

7Mitsubishi UFJ Morgan Stanley
Securities Co., Ltd.

12,007

1.50％

8STATE STREET BANKWEST CLIENT - TREATY 505234

10,8791.36％

9Met Life Inc.

10,227

1.28％

10

NORTHERN TRUST CO.
（AVFC）RE HCR00

9,457

1.18％

26th
27th
29th
28th
30th
August 31, 2017 February 28, 2018 August 31, 2018 February 28, 2019 August 31, 2019

Financial institutions

Name

1
14.19%[113,013]

300,000

200,000（As of August 31, 2019）

Percentage of total
number of investment
units outstanding＊Percentages and ratio are rounded off to two decimal places.

Appendix36

Unit price chart
Investment unit price （＊1）

Turnover （＊2）：141,926 mm yen■Market capitalization（as of Aug. 31, 2019）（yen）（units）

300,000

30

th

72,000April 27, 2015
4th PO

250,000

60,000June 21, 2005
ListedMarch 1, 2013
3rd PO

200,000

March 1, 2018
5th PO

48,000March 1, 2011
2nd PO

150,000

36,000
September 7, 2006
1st PO

100,000

24,00050,00012,00000Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31, Feb. 29, Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31, Feb. 29, Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31, Feb. 29, Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31, Feb. 28, Aug. 31,
2005 2006 2006
2007
2007
2008 2008 2009 2009
2010
2010
2011
2011
2013
2012
2012
2013
2014
2014
2015
2015
2016 2016 2017 2017 20182018 20192019（＊1） A 5-for-1 split of Fukuoka REIT investment units was effectuated on March 1, 2014. Accordingly, investment unit prices and issuance prices until February 25, 2014 have been divided by 5.
（＊2） Turnover by February 25, 2014 was multiplied by 5.

Appendix37

Financial highlights
Dividend per unit was 3,693 yen- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

26th〜 Aug. 31, 2017

27

28th

th

〜 Feb. 28, 2018

〜 Aug. 31, 2018

29th

〜 Feb. 28, 2019A

30th

〜 Aug. 31, 2019B

Difference
B−A

31st

32nd

〜 Feb. 29, 2020
（forecast）〜 Aug. 31, 2020
（forecast）

Operating revenues

8,122

8,194

9,178

9,242

9,231

（11）

9,270

9,350

Leasing NOI

4,998

5,079

5,493

5,591

5,633

＋41

5,646

5,670

Depreciation and amortization
expenses

1,474

1,500

1,602

1,622

1,651

＋29

1,662

1,680

Operating income

2,920

2,965

3,238

3,306

3,318

＋12

3,281

3,309

Ordinary income

2,562

2,624

2,861

2,935

2,939

＋3

2,907

2,930

Profit

2,556

2,623

2,860

2,934

2,939

＋4

2,906

2,929

Dividend per unit （yen） ①

3,422

3,512

3,593

3,687

3,693

Latest dividend forecast
per unit （yen）②

3,400

3,470

3,570

3,600

3,680

3,650

3,680

Difference from forecast （yen） ② - ①

＋22

＋42

＋23

＋87

＋13

-

-

Total number of investment units（units）
outstanding（at period-end）

747,000

747,000

796,000

796,000

796,000

796,000

796,000

Total assets

178,063

177,283

193,112

195,433

195,106

Total liabilities

84,364

83,51791,31293,55993,228

Total net assets

93,69993,766

101,799

101,874

101,878

Days in fiscal period（days）

184

181

184

181

184

Number of investment properties

26

26

28

29

29

（＊1）
Number of tenants（at period-end）

877

879

1,003

1,011

1,020

548,564.96

548,564.93

576,907.98

580,665.27

580,664.27

99.8

99.6

99.6

99.7

99.6

（at period-end）（mm yen）（at period-end）（mm yen）（at period-end）（mm yen）（at period-end）

Total leasable floor space（at period-end）
（㎡）

（％）
（＊2）
Occupancy rate（at period-end）（＊1）The number of tenants shown is based on the total for properties Fukuoka
REIT owns. As for the number of tenants in pass-through master leasing
pr oper ties, the t ot al number of sec tions stipulated in the tenanc yagreements with end tenants is shown.
（＊2）“Occupancy rate”=“Total leased floor space at period-end”／ “Total leasable
floor space at period-end”

Appendix38

Balance sheets （compared with the previous fiscal period）- unit : mm yen （Figures rounded down to the nearest mm yen）

Account

Feb. 28, 2019
A

Aug. 31, 2019B

10,234
3,962
5,290
704
271
5
184,822
177,961
70,755
1,124
909
237
104,918
15
5,586
5,545
40
1,274
0
10
327
937
49
195,106

Difference
B－A
889
392
494
27
（25）
0
（1,210）①（1,189）（1,126）
（18）
（28）
（23）
8
13
13
（34）
（0）
（34）
（5）
（326）

29th

30th

Feb. 28, 2019
A

Aug. 31, 2019B

Total current liabilities
Operating accounts payable
Short-term debt
Current maturities of long-term debt
Account payable-otherAccrued expenses
Income taxes payable
Accrued consumption taxes
Advances received
Deposits received
Total non-current liabilities
Investment corporation bonds
Long-term debt
Tenant leasehold and security deposits

12,041
905
8,400
20
368
1
199
1,043
1,103
81,5175,000
64,100
375

9,188
428
5,700
10
371
0
261
1,054
1,361
84,0395,000
66,800392

Difference
B－A（2,853）（477）（2,700）
（10）
3
（0）
62
10
258
2,522
2,700
②
17

Tenant leasehold and security deposits
received in trust
Total liabilities

12,041

11,847（194）

93,55993,228（330）

Total unitholders’ equity
Unitholders’ capital
Surplus
Total net assets

101,874
98,9382,935
101,874

101,878
98,9382,939
101,878

4
4
4

Total liabilities and net assets

195,433

195,106（326）

Account

Net assets

9,345
3,570
4,796
676
297
4
186,032
179,150
71,881
1,143
938
261
104,918
7
5,572
5,545
26
1,309
0
10
327
972
55
195,433

30th

Liabilities

AssetsTotal current assets
Cash and deposits
Cash and deposits in trust
Operating accounts receivable
Prepaid expenses
Consumption taxes receivable
OthersTotal non-current assets
Total property, plant and equipment
Buildings in trust
Structures in trust
Machinery and equipment in trust
Tools and fixtures in trust
Lands in trust
Construction in progress in trust
Total intangible assets
Leasehold right in trust
Other intangible assets in trust
Total investment and other assets
Deferred tax assets
Lease and guarantee deposits
Lease and guarantee deposits in trust
Long-term prepaid expenses
Total deferred assets
Total assets

29th■Assets■Liabilities and net assets＋476① Capital expenditures
Depreciation and amortization expenses （1,651）
Others（14）
Total : （1,189）② Refinancing of current maturities of long-term debt ＋3,700
Transfer to long-term debt of current maturities（1,000）Total :＋2,700

Appendix39

Cash flow statements（compared with previous fiscal period）- unit : mm yen （Figures rounded down to the nearest mm yen）

Category
Net cash provided by （used in） operating activities
Profit before income taxes
Depreciation and amortization expenses
Amortization of investment corporation bond issuance expenses
Amortization of investment unit issuance expenses
Interest received
Interest expenses
Decrease （increase） in operating accounts receivables
Decrease (increase) in consumption taxes refund receivable
Increase （decrease） in accrued consumption taxes
Increase （decrease） in operating accounts payable
Increase （decrease） in accounts payable-other
Increase （decrease） in accrued expenses
Increase （decrease） in advances received
Increase （decrease） in deposits expenses
Decrease （increase） in prepaid expenses
Decrease （increase） in long-term prepaid expenses
Others, net
SubtotalInterest income received
Interest expenses paid
Income taxes paid
Net cash provided by （used in） investment activities
Purchase of property, plant and equipment in trust
Purchase of intangible assets in trust
Proceeds from tenant leasehold and security deposits
Repayments of tenant leasehold and security deposits
Proceeds from tenant leasehold and security deposits in trust
Repayments of tenant leasehold and security deposits in trust
Proceeds from restricted trust deposits
Payments for restricted trust deposits
Net cash provided by （used in） financial activities
Proceeds from short-term debt
Repayments of short-term debt
Proceeds from long-term debt
Repayments of long-term debt
Dividends paid
Net increase （decrease） in cash and cash equivalents
Balance of cash and cash equivalents at beginning of period
Balance of cash and cash equivalents at end of period

29th A

30th B

Difference〜Aug. 31, 2019〜Feb. 28, 2019
4,832
2,935
1,622
2
3
（0）
275
（134）
598
199
（10）
2
5
（5）
（224）
（43）
（121）
3
5,109
0
（276）
（0）
（3,604）（3,601）
（15）
0
149
（135）
5
（6）
（859）
4,800
（4,800）2,500（500）（2,859）
368
7,950
8,319

B－A

4,863
2,939
1,651
2
3
（0）
279
（27）
62
（88）
（10）
1
10
258
25
34
（1）
5,141
0
（277）
（1）
（1,043）
（846）
（18）
28
（11）
183
（378）
6
（7）
（2,933）3,700（3,700）（2,933）
886
8,319
9,205

30
3
29
（0）
4
106
（598）
（136）
（78）
（13）
（4）
16
482
68
156
（5）
31
0
（1）
（0）
2,561
2,755
（2）
28
（11）
34
（243）
1
（0）
（2,074）（4,800）4,800
1,200（3,200）
（74）
517
368
886

Appendix40Repair and maintenance expenses, capital expenditures, and depreciation
Repair and maintenance expenses, capital expenditures, and depreciation（mm yen）- unit : mm yen（Figures rounded down to the nearest mm yen）

2,400

1,800

1,474 1,500
1,180

1,200
741
600

0

1,602 1,622 1,651 1,662 1,680

209

251

220

221

26th

27th

28th

29th

123
30th

187

182

31st

32nd

（forecast）（forecast）

26th

Repair and maintenance expenses

947
600

657

27th

28th

476

29th

30th

596

31st

32nd

（forecast）（forecast）

26th

27th

Capital expenditures◎Major capital expenditures in the 30th fiscal period

Purpose

29th

30th

31st

32nd

（forecast）（forecast）

Depreciation◎Major capital expenditures in the 31st fiscal period and the 32nd fiscal period- unit : mm yen （Figures rounded down to the nearest mm yen）

Property

28th

Construction
cost- unit : mm yen （Figures rounded down to the nearest mm yen）

Planned construction cost

Property

PurposeTotalamountConstruction
costin the 30th

Paid in
total amount

Canal City Hakata

Work on water supply pipes, etc.

24

Canal City Hakata

Exterior wall repairs (＊), Electronic security
system monitoring terminal upgrade work, etc.

307

1

2

Canal City Hakata・B

Work on tenant space alterations,
Hot water pump upgrade work, etc.

83

Canal City Hakata・B

Exterior wall repairs (＊), Electronic security
system monitoring terminal upgrade work, etc.

556

3

4

Park Place Oita

Upgrade of air-conditioning equipment,
Exterior wall repairs, etc.

122

Park Place Oita

Renovation of common areas, Upgrade of
air-conditioning equipment, Exterior wall repairs, etc.

441

-

-

Tenjin North Front Building

Renovation of common areas, etc.

25

Canal City Business Center Building Exterior wall repairs(＊), etc.

71

0

0

LOGICITY Minato Kashii

Zoning-related construction work, etc.

40

Gofukumachi Business Center

100

-

-

Maintenance of multi-storey parking lot
equipment, etc.

Upon completion of the aforementioned exterior wall refurbishment, approx. 90% of the exterior wall refurbishment work planned for all of Canal City Hakata will be completed.
（＊）

Appendix41

Income and expenditure by properties （Retail①）- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

Canal City Hakata

Canal City Hakata・B

Park Place Oita

SunLive City Kokura

30th
Total
A

Konoha Mall
Hashimoto

29th
Total
B

Difference

181
days

3 daysA－B

Forecast Difference
C

A－C

5,178

（40）

2,551

（77）

2,626

36

（＊1）

30th FP （Mar. 1, 2019 〜 Aug. 31, 2019）（Length）
184 days

Active retail①Total leasing business revenues

1,247

1,582

1,188

284

835

5,137

5,219

（82）

Leasing revenue-real estate

1,210

1,523

1,001

284

665

4,685

4,812

（127）

Other leasing revenue-realestate

36

58

187

-

170

452

406

45

②Total leasing business
expenses

467

785

632

46

543

2,474

2,500

（25）

Outsourcing fees

312

536

303

8

308

1,470

1,470

0

Repair and maintenanceexpenses

12

12

45

0

7

78

136

（57）

Expenses for restoration toformer state

-

-

-

-

-

-

-

-

Tax and other public charges

78

161

94

34

42

411

360

50

Insurance premiums and trustcompensation

6

13

6

1

2

30

35

（4）

Utilities expenses

25

49

161

-

107

343

355

（11）

Other expenses

31

11

20

0

74

138

141

（2）

③NOI （=①-②）

779

797

556

238

292

2,663

2,719

（56）

④Depreciation and amortization
expenses

246

273

232

47

87

888

875

12

⑤Leasing business profit （=③-④）

532

523

323

190

204

1,775

1,844

（69）

⑥NOI yield （acquisition price）

4.9％

5.6％

6.0％

7.2％

5.8％

5.6％

5.7％

（0.1）％

52

139

122

2

21

339

740

（401）

⑦Capital expenditures（＊） Forecast at the financial results of 29th fiscal period

Appendix42

Income and expenditure by properties （Retail②）- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

Square Mall
Kagoshima
Usuki

Kumamoto InterCommunity SC

Kurume Higashi
Kushiwara SC

Hanahata SC

Marinoa City
Fukuoka（Marina Side
Building）

K’ s Denki
Kagoshima

30th
Total
A

29th
Total
B

Difference

181
days

3 days

Forecast Difference
C

A－B

（＊1）

A－C

30th FP （Mar. 1, 2019 〜 Aug. 31, 2019）（Length）
184 days︵ Others︶
Retail①Total leasing business revenues

257

90

40

88

111

177

765

767

（1）

Leasing revenue-real estate

221

89

40

88

111

177

728

727

1

Other leasing revenue-realestate

35

0

0

-

0

0

36

39

（3）

②Total leasing business
expenses

97

9

6

8

10

23

155

166

（10）

Outsourcing fees

38

2

1

2

1

1

48

48

0

Repair and maintenanceexpenses

10

0

1

-

-

2

14

17

（3）

Expenses for restoration toformer state

-

-

-

-

-

-

-

-

-

Tax and other public charges

17

5

3

5

7

18

56

56

（0）

Insurance premiums and trustcompensation

0

0

0

0

0

0

2

2

（0）

Utilities expenses

29

-

-

-

-

-

29

30

（1）

Other expenses

1

0

0

0

0

0

4

9

（5）

③NOI （=①-②）

160

80

34

79

101

153

609

600

8

④Depreciation and amortization
expenses

38

12

5

16

22

21

117

116

0

⑤Leasing business profit （=③-④）

121

68

28

62

78

131

492

484

8

⑥NOI yield （acquisition price）

6.1％

6.7％

6.1％

6.3％

5.7％

5.9％

6.1％

6.0％

0.1％

7

-

-

-

-

12

20

35

（15）

⑦Capital expenditures

766

（0）

159

（3）

606

2

（＊） Forecast at the financial results of 29th fiscal period

Appendix43Income and expenditure by properties （Office buildings）- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

Canal City
Business
CenterBuilding

Gofukumachi
Business
CenterSanix Hakata
Building

Taihaku Street
Business
CenterTenjinNishi-Dori
CenterBuilding

Higashi Hie
Business
Center

30th
Total
A

Higashi Hie
Business
Center Ⅱ

Tenjin North
Front
Building

Difference

29th
Total
B

A－B

Forecast Difference
C

A－C

2,439

（15）

810

（24）

1,629

8

（＊1）

30th FP （Mar. 1, 2019 〜 Aug. 31, 2019）（Length）
184 days181days

3 days

Office buildings①Total leasing business revenues

626

545

201

310

345

86

142

166

2,424

2,405

18

Leasing revenue-real estate

619

477

184

310

319

86

114

150

2,262

2,262

0

Other leasing revenue-realestate

6

67

17

0

26

-

27

16

161

143

18

②Total leasing business
expenses

194

174

61

98

137

16

46

56

786

784

1

Outsourcing fees

136

73

19

55

41

1

10

19

357

356

0

Repair and maintenanceexpenses

1

2

0

11

5

0

1

0

23

41

（18）

Expenses for restoration toformer state

-

-

-

-

-

-

-

-

-

-

-

Tax and other public charges

46

36

21

27

16

14

8

10

182

166

15

Insurance premiums and trustcompensation

1

3

0

1

1

0

0

0

10

11

（0）

Utilities expenses

6

57

15

-

27

-

24

14

146

150

（4）

Other expenses

1

1

3

3

44

0

0

10

65

57

8

③NOI （=①-②）

431

370

140

211

207

69

95

110

1,637

1,620

17

④Depreciation and amortization
expenses

103

101

40

77

40

9

33

40

446

444

2

⑤Leasing business profit （=③-④）

328

268

100

134

167

60

62

69

1,191

1,176

14

⑥NOI yield （acquisition price）

5.9％

6.6％

6.4％

6.1％

7.0％

5.4％

6.8％

5.2％

6.2％

6.1％

0.1％

10

0

-

11

18

-

25

-

66

115

（49）

⑦Capital expenditures（＊） Forecast at the financial results of 29th fiscal period

Appendix44Income and expenditure by properties （Others）- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

Amex
City House
Akasakamon
Keyaki Dori
Tower

Aqualia
ChihayaGranfore
YakuinMinami

D-Wing
Tower

Hotel
FORZA
Oita

Tissage
Hotel Naha

Tosu
Logistics
CenterLOGICITY
MinatoKashii

LOGICITY
Hisayama

30th
Total
A

29th
Total
B

Difference

181
days

3 daysA－B

Forecast Difference
C

A－C

920

（16）

189

（8）

731

（8）

（＊1）

30th FP （Mar. 1, 2019 〜 Aug. 31, 2019）（Length）
184 days

Others①Total leasing business revenues

67

36

60

113

38

63

88

904

850

53

Leasing revenue-real estate

65

36

58

107

38

63

88

854

802

51

Other leasing revenue-realestate

1

0

1

5

0

-

-

50

48

2

②Total leasing business
expenses

17

8

14

25

7

9

7

181

200

（18）

Outsourcing fees

5

2

3

7

2

0

0

33

32

0

Repair and maintenanceexpenses

0

0

1

1

0

0

-

6

25

（19）

Expenses for restoration toformer state

1

-

2

3

1

-

-

8

8

（0）

Tax and other public charges

5

3

4

7

2

7

5

83

77

6

Insurance premiums and trustcompensation

0

0

0

0

0

0

0

5

5

（0）

Utilities expenses

0

0

0

2

0

-

-

31

32

（1）

Other expenses

1

1

1

3

0

0

0

12

17

（4）

③NOI （=①-②）

50

28

46

87

31

53

80

37

185

123

723

650

72

④Depreciation and amortization
expenses

19

10

12

17

9

22

24

9

37

37

199

186

13

⑤Leasing business profit （=③-④）

31

18

33

69

21

31

56

28

147

85

523

464

58

⑥NOI yield （acquisition price）

4.9％

5.1％

7.2％

6.2％

5.6％

7.0％

5.7％

6.0％

4.5％

4.9％

5.3％

5.1％

0.2％

1

0

0

-

1

6

0

-

40

-

50

54

（3）

⑦Capital expenditures

Nondisclosure（＊2）

Nondisclosure（＊2）

Nondisclosure（＊2）（＊1） Forecast at the financial results of 29th fiscal period （＊2）Information is not disclosed because the permission of tenants has not been obtained.

Appendix45

Income and expenditure by properties （Total）- unit : mm yen （Figures rounded down to the nearest mm yen）

Category（Length）①Total leasing business revenues

30th
Total
A

29th
Total
B

Difference

Forecast

Difference

A−B

C
（＊）

A−C

184 days

181 days

3 days

Total

9,231

9,242

（11）

Leasing revenue-real estate

8,530

8,604

（74）

Other leasing revenue-realestate

700

637

62

②Total leasing business expenses

3,598

3,651

（53）

Outsourcing fees

1,910

1,908

2

123

221

（98）

Expenses for restoration toformer state

8

8

（0）

Tax and other public charges

734

661

72

Insurance premiums and trustcompensation

49

55

（5）

Utilities expenses

550

569

（18）

Other expenses

221

225

（4）

③NOI （=①-②）

5,633

5,591

41

④Depreciation and amortization
expenses

1,651

1,622

29

⑤Leasing business profit （=③-④）

3,981

3,968

12

⑥NOI yield （acquisition price）

5.7％

5.8％

（0.0） ％

476

947

（470）

Repair and maintenanceexpenses⑦Capital expenditures

9,305

（73）

3,662

（64）

5,642

（8）

（＊） Forecast at the financial results of 29th fiscal period

Appendix46

List of borrowings(As of August 31, 2019)

Category

Drawdown
Date

Repayment
Date

Sep.25, 2014

Sep.25, 2019Feb.1, 2013

Feb.29, 2020Feb.28, 2013

Feb.29, 2020

Jun.28, 2013

Jun.30, 2020

Development Bank of Japan

500
2,500
1,700
1,000
5,700
6,300
4,000

Sumitomo Mitsui Banking
Corporation

1,600

Sumitomo Mitsui Trust Bank

1,500
4,000
400
400
2,000
2,000
2,000
500
700
300

Sep.30, 2016

2,100

Dec.30, 2016

Fixed

0.71750％

1,500
600
300
800

Dec.30, 2016

Dec.30, 2026

Mar.31, 2017

Mar.31, 2027

Mar.31, 2017

Mar.31, 2025

Mar.31, 2017

Mar.31, 2025

10.0 Floating
10.0 Fixed
8.0 Fixed
8.0 Fixed

0.41727％0.65846％
0.48130％
0.48130％

6,000

Jun.30, 2017

Jun.30, 2026

9.0

Fixed

0.77677％

1,800
2,000
2,000

Jun.30, 2017

Dec.31, 2026

Fixed

Jul.31, 2017

Jul.31, 2027

Jul.31, 2017

Jul.31, 2027

9.5
10.0
10.0

Fixed

0.65000％
0.79195％
0.89195％

1,500

Aug.31, 2017

Aug.31, 2027

10.0

Fixed

0.84952％

10.0
10.0
10.0
10.0
9.0
8.0
10.0
10.0
8.0

Fixed

0.49350％ （＊1）
0.81209％0.68000％
0.75000％ （＊1）
0.60000％ （＊1）
0.50000％
0.56700％ （＊1）
0.72000%
0.48000％

Lender
MUFG Bank

Current
maturities
of longterm debt

The Nishi-Nippon City Bank
Mizuho Bank
Aozora Bank
SubtotalMizuho Bank, and others （＊2）

Development Bank of JapanThe Bank of Fukuoka
The Nishi-Nippon City Bank
Development Bank of JapanThe Bank of Fukuoka
The Nishi-Nippon City Bank
Mizuho Bank
Shinsei Bank
Sumitomo Mitsui Trust Bank
Development Bank of Japan,
and others （＊3）

Long-term
debt

The Bank of Fukuoka
Resona Bank
The Higo BankMUFG Bank
The Bank of Fukuoka,
and others （＊4）
Development Bank of JapanThe Bank of Fukuoka
The Nishi-Nippon City Bank
The Nishi-Nippon City Bank,and others （＊5）
Resona Bank
The Bank of Fukuoka
Development Bank of JapanThe Nishi-Nippon City Bank
Sumitomo Mitsui Trust BankMUFG Bank
Resona Bank
Development Bank of Japan
MUFG Bank

Balance（mm yen）

2,000
1,500
500
1,900
1,100
1,500
600
2,500
600

Term

（year）

5.0
7.1
7.0
7.0

Fixed/ Average Interest
Rate
Floating
Fixed
0.52000%
Fixed
0.77500% （＊1）
Floating 0.56727%
Floating 0.46727%
Fixed

Aug.31, 2022

7.0
8.0

Fixed

0.83500％ （＊1）
1.01000％

Jun.30, 2022

7.0

Fixed

0.79000％ （＊1）

Jul.31, 2015

Jul.31, 2023

Aug.31, 2015

Aug.31, 2023

Aug.31, 2015

Aug.31, 2022

Aug.31, 2015

Aug.31, 2023

Sep.30, 2025

8.0 Fixed
8.0 Fixed
7.0 Floating
8.0 Fixed
9.0 Fixed
8.0 Floating
8.0 Fixed
8.0 Fixed
8.0 Fixed
9.0 Floating

0.56400％ （＊1）
0.88000％
0.41727％0.87000％ （＊1）
0.62000％
0.41727％0.44000％ （＊1）
0.44000％ （＊1）
0.40000％
0.41127％

Dec.30, 2025

9.0

Jul.31, 2014

Jul.30, 2021

Aug.29, 2014
Jun.30, 2015

Feb.29, 2016

Feb.28, 2025

Feb.29, 2016

Feb.29, 2024

Feb.29, 2016

Feb.29, 2024

Feb.29, 2016

Feb.29, 2024

Jul.29, 2016

Jul.31, 2024

Sep.29, 2017

Sep.30, 2027

Dec.29, 2017

Dec.30, 2027

Dec.29, 2017

Dec.30, 2027

Feb.28, 2018

Feb.29, 2028

Feb.28, 2018

Feb.26, 2027

Feb.28, 2018

Feb.27, 2026

Feb.28, 2018

Feb.29, 2028

Mar. 1, 2018

Mar. 1, 2028

Mar.30, 2018

Mar.31, 2026

Fixed

Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed

Category

Lender
The Nishi-Nippon City Bank
The Bank of Fukuoka
Mizuho Bank
Sumitomo Mitsui Banking
Corporation
MUFG Bank
Sumitomo Mitsui Trust BankThe Oita Bank
The Hiroshima Bank

Long-term
debt

Shinsei Bank
Sumitomo Mitsui Banking
Corporation
MUFG Bank
The Nishi-Nippon City Bank
The Bank of Fukuoka
The Oita Bank
The Kagoshima Bank
The Higo Bank
Resona Bank
Mizuho Bank, and others （＊6）
The Norinchukin Bank
Subtotal
Total

Balance

Drawdown
Date

600
500
500

Mar.30, 2018
Mar.30, 2018

Repayment Term Fixed/ Average Interest（year） Floating
Date
Rate
Mar.31, 2028
10.0 Fixed 0.80219％
Mar.31, 2028
10.0 Fixed 0.80219％
Mar.31, 2028
10.0 Fixed 0.63000％

500

Mar.30, 2018

Mar.31, 2025

7.0

Fixed

0.50400％ （＊1）

500
400
400
400
300

Mar.30, 2018

Mar.31, 2027

Fixed

Mar.30, 2018

Mar.31, 2027

Mar.30, 2018

Mar.31, 2028

Mar.30, 2018

Mar.31, 2028

Mar.30, 2018

Mar.31, 2025

9.0
9.0
10.0
10.0
7.0

Fixed

0.49000％
0.57600％ （＊1）
0.64630％
0.64630％0.40000％

500

Jan.31, 2019

Jan.31, 2029

10.0

Fixed

0.65528%

500
400
300
200
200
200
200
2,200
1,500
66,80072,500Jan.31, 2019

Jan.31, 2028

Jan.31, 2019

Jan.31, 2029

9.0 Fixed
10.0 Floating
10.0 Floating
7.0 Fixed
7.0 Fixed
7.0 Fixed
10.0 Fixed
10.0 Fixed
7.5 Fixed（mm yen）

Mar.30, 2018

Jan.31, 2019

Jan.31, 2029

Feb.28, 2019Feb.27, 2026

Feb.28, 2019Feb.27, 2026

Feb.28, 2019Feb.27, 2026

Feb.28, 2019Feb.28, 2029

Fixed
Fixed
Fixed

0.59000%
0.41727%0.41727%0.33380%
0.33380%
0.33380%
0.48845% （＊1）
0.52100% （＊1）
0.30300%

Jul.31, 2019

Jul.31, 2029

Jul.31, 2019

Jan.29, 2027

Issue date

Maturity
Date（year）

Term

Coupon （year）

2,000

Dec.30,2013

Dec.29, 2023

10.0

1.32000％

2,000

Jul.31, 2017

Jul.30, 2032

15.0

1.00000％

1,000

Jul.31, 2018

Jul.30, 2038

20.0

1.20000％■Investment corporation bonds
Category

Issue

Investment
corporation
bonds

The first series of unsecured
bonds
The second series of unsecured
bonds
The third series of unsecured
bonds

Balance（mm yen）

5,000

Total

■Committed line of credit
Category

LenderCredit Limit（mm yen）

Start

PeriodEnd

Committed lineof credit 1

The Bank of Fukuoka,
and others （＊7）

6,000

Aug.1, 2018

Jul.31, 2021

Committed lineof credit 2

The Nishi-Nippon City Bankand others （＊8）

7,000

Mar.1, 2018

Feb.28, 2020

Total

13,000＊ For floating-rate debts, the interest rates applicable as of August 31, 2019 are indicated. ＊All debts have been borrowed with no collateral and no guarantee, to be repaid in lump-sum upon maturity.
（＊1） FRC has concluded a swap agreement to practically fix interest rate on debt. The indicated interest rate reflects the effect of the swap agreement. （＊2） The lenders are Mizuho Bank・The Norinchukin Bank・The Hiroshima Bank・The Kitakyushu Bank・The Iyo Bank・The Higo Bank（＊3） The lenders are Development Bank of Japan・The Oita Bank・The Kagoshima Bank・The Kitakyushu Bank・The Eighteenth Bank・The Shinwa Bank・The Hiroshima Bank （＊4） The lenders are The Bank of Fukuoka・The Nishi-Nippon City Bank・The Oita Bank・The Kitakyushu Bank・The Miyazaki
Bank・The Shinwa Bank・The Iyo Bank・The Eighteenth Bank （＊5） The lenders are The Nishi-Nippon City Bank ・ The Bank of Fukuoka ・The Oita Bank・The Kitakyushu Bank・The Eighteenth Bank・The Shinwa Bank・The Hiroshima Bank（＊6） The lenders are Mizuho Bank・The Bank of Saga ・The Higo Bank （＊7） The lenders are The Bank of Fukuoka・Resona Bank （＊8） The lenders are The Nishi-Nippon City Bank・ Resona Bank・ The Oita Bank・The Bank of Nagasaki・The Bank of Saga

Appendix47

Portfolio table（As of August 31, 2019）

Age

Real estate property name（＊1）

AcquisitionPrice（mm yen）（＊2）

Investment
ratio

Acquisition
timingSourceSponsor（＊3）

RetailCanal City Hakata

23yr 4m

32,00016.3％

Nov. 9, 2004

Canal City Hakata・B

23yr 4m

28,70014.6％

Mar. 2, 2011 Outside party

Park Place Oita

17yr 5m

18,6209.5％

Nov. 9, 2004

SunLive City Kokura

14yr 5m

6,633

3.4％

Jul. 1, 2005 Outside party

Konoha Mall Hashimoto

8yr 5m

10,0005.1％Mar. 1, 2018

Square Mall Kagoshima Usuki

12yr11m

5,300

Kumamoto Intercommunity SC

12yr 9m

2,400

Total leasable
floor space（㎡）

Occupancy
rate

Tenants

Primary tenants（＊4）

46,604.75

100.0%

51

Washington Hotel and United Cinema

68,826.37

99.4%

48

Grand Hyatt Fukuoka and OPA

113,834.19

100.0%

106

AEON and K’ s Denki

61,450.22

100.0%

1

Sponsor

22,121.03

100.0%

127

2.7％ Sep.28, 2006

Sponsor

14,602.88

100.0%

12

Sports Depo / Golf5 and Edion

1.2％

Nov.30, 2006

Sponsor

6,968.66

100.0%

2

Sports Depo / Golf5 and Starbucks Coffee
BON REPAS and Matsumoto Kiyoshi

Sponsor

SunLive
SunLive and The Super Sports XEBIOHanahata SC

12yr 1m

1,130

0.6％

Sep. 3, 2007

Sponsor

2,801.15

100.0%

2

Kurume Higashi Kushiwara SC

11yr 8m

2,500

1.3％

Feb. 1, 2008

Sponsor

6,467.80

100.0%

1

Sports Depo / Golf5

K’ s Denki Kagoshima

11yr 9m

3,550

1.8％

Mar.27, 2008 Outside party

7,296.17

100.0%

1

K’ s Denki

Marinoa City Fukuoka （Marina Side Building）

18yr10m

Fukuoka Jisho Co.,Ltd

5,250

2.7％

May 1, 2015

Sponsor

33,069.82

100.0%

1－

116,083

59.2％

－

－

384,043.04

99.9%

352

Canal City Business Center Building

23yr 4m

14,6007.4％

Nov. 9, 2004

Sponsor

23,031.44

94.4%

60

TOTO and Bell System24

Gofukumachi Business Center

15yr10m

11,2005.7％

Nov. 9, 2004

Sponsor

19,905.34

100.0%

36

Sanix Hakata Building

18yr 5m

4,400

2.2％ Sep.30, 2005 Outside party

Taihaku Street Business Center

17yr 5m

7,000

3.6％

Mar.16, 2006

Total or the weighted average of retail

Office buildings

SponsorHigashi Hie Business Center

10yr 6m

5,900

3.0％

Tenjin Nishi-Dori Center Building

22yr11m

2,600

1.3％

Tenjin North Front Building

9yr 7m

2,800

1.4％

Mar.13, 2009 Outside party＋Sponsor
Feb. 1, 2013 Outside party
Mar.28, 2013 Outside party

Higashi Hie Business Center Ⅱ

3yr 6m

4,230

2.2％

Mar. 1, 2018

Sponsor－

6,293.75

100.0%

16

SMBC CONSUMER FINANCE and
Sumitomo Mitsui Banking Corporation
SANIX and The Nishi-Nippon City Bank

14,677.30

99.6%

70

NTT COMWARE and Tokyo Marine & Nichido Outsourcing Management

13,614.59

100.0%

26

Fujitsu and Forest Holdings

3,339.32

100.0%

1

The Nishi-Nippon City Bank

5,252.41

100.0%

11

Rakuten Card and Prudential

6,214.77

100.0%

2

FUJITSU KYUSHU SYSTEMS LIMITED andSeven-Eleven Japan Co.,LTD－

OthersTotal or the weighted average of office buildings－

52,730

26.9％

98.6%

222

（Residence）

14yr 1m

2,060

1.1％

4,821.25

98.5%

66

－

City House Keyaki Dori（Residence）

11yr 9m

1,111－－
Sep. 1, 2006 Outside party
0.6％ Dec.20, 2007 Outside party

92,328.92

Amex Akasakamon Tower

2,710.86

92.3%

39

－

Aqualia Chihaya（Residence）

11yr 8m

1,280

0.7％

5,619.69

100.0%

105－

D-Wing Tower（Residence）

13yr 6m

2,800

1.4％

Mar. 1, 2012 Outside party
Mar. 1, 2013 Outside party

7,187.59

94.0%

131

－

Granfore Yakuin Minami（Residence）

11yr 8m

1,100

0.6％

2,496.06

100.0%

99

Hotel FORZA Oita

（Hotel）

11yr 0m

1,530

0.8％

Nov. 4, 2014 Outside party
Mar. 1, 2013
Sponsor

5,785.44

100.0%1

FJ Hotels

Tissage Hotel Naha

（Hotel）

1yr 6m

2,835

1.4％

3,758.76

Nest Hotel Japan Corporation

Tosu Logistics Center（Logistics）

11yr 3m

1,250

0.6％

LOGICITY Minato Kashii（Logistics）

5yr 4m

8,150

4.2％

LOGICITY Hisayama（Logistics）

Total or the weighted average of others
Total or the weighted average of all properties

4yr 7m

5,050

2.6％

－

27,16613.9％

16yr 10m

195,979

100.0％－

Dec. 7, 2018 Outside party
Mar.28, 2014 Outside party
Mar.27, 2015 Outside party

100.0%

1

4,173.29

100.0%

1non-disclosure

43,233.72

100.0%

2

Fukuoka Logistic System and F-LINE CORPORATION

Jun. 1, 2017 Outside party－－

24,505.65

100.0%1

KASEI inc. Co., Ltd

104,292.31

99.3%

446

－

580,664.27

99.6%

1,020

－

－

－

（＊1） “Age” as of the end of the fiscal period.
（＊2） Acquisition price does not include fees, public charge and expenses.
（＊3） Properties acquired through arrangement by a sponsor company are indicate with “sponsor” in the column of seller.
（＊4） Parking contracts, etc., are excluded from “Number of tenants”.

Appendix48

Portfolio map

28

Ha Subw
koz ayakiLineNokonoshima

Sea-Side
MOMOCHI11

Marina-TOWN

FukuokaYAHUOKU! DOME
Nishijin Stn.

Tōjinmachi Stn.

Subwayne
Airport Li

uhi Line

Nishikyūshū Expressway

202

Su
Nana bway
kuma
Line

1km
263

500m

2 Canal City Hakata・B■Address ： 1-chome, Sumiyoshi,
Hakata Ward, Fukuoka City

3 Park Place Oita

13

15

w
ss
pre e
Ex rt Linnba po
Ur Air

5 Konoha Mall Hashimoto■Address：2-chome, Hashimoto,
Nishi Ward, Fukuoka City

6 Square Mall Kagoshima Usuki■Address：2-chome, Usuki,

Kagoshima City

7 Kumamoto Intercommunity SC

Fukuoka

Fukuoka IC

sen

19

Kumamoto

JR Sasaguri Line

Miyazaki

16

Fukuoka
Airport

Higashi Hie
Stn.

Level-5
Stadium

6

Yakuin Stn.
Yakuin-odori
Stn.
24

JR

Kagoshima
Ka

go

Ur
sh

im

e

8

9 Kurume Higashi Kushiwara SC■Address ： Higashi kushiwara,
Kurume City

10 K’s Denki Kagoshima■Address ： Tokai-cho, Kagoshima CityaL

13 Gofukumachi Business Center■Address ： Kami Gofukumachi,
Hakata Ward, Fukuoka City

14 Sanix Hakata Building■Address ： 2-chome, Hakataekihigashi,
Hakata Ward, Fukuoka City

11 Marinoa City Fukuoka（Marina Side Building） 15 Taihaku Street Business Centerineba
Da n E
za xp
ifu res
Li sw
ne a
y

JR LineExpressway

21 City House Keyaki Dori

■Address ： 2-chome, Kego,
Chuo Ward, Fukuoka City

17 Tenjin Nishi-Dori Center Building■Address ： 2-chome, Tenjin,
Chuo Ward, Fukuoka City

18 Tenjin North Front Building■Address ： 4-chome, Tenjin,
Chuo Ward, Fukuoka City

19 Higashi Hie Business CenterⅡ

22 Aqualia Chihaya■Address ： 4-chome, Chihaya,
Higashi Ward, Fukuoka City

23 D-Wing Tower■Address：2-chome, Daimyo,
Chuo Ward, Fukuoka City

24 Granfore Yakuin Minami■Address ： 1-chome, Kozono,
Higashi Ward, Kumamoto City

■Address：2-chome, Odo, Nishi Ward,
Fukuoka City

■Address ： Gokushomachi,
Hakata Ward, Fukuoka City

■Address ： 1-chome, Higashi-hie,
Hakata Ward, Fukuoka City

■Address ： 1-chome, Hirao, Chuo Ward,
Fukuoka City

4 SunLive City Kokura

8 Hanahata SC

12 Canal City Business Center Building

16 Higashi Hie Business Center

20 Amex Akasakamon Tower

25 Hotel FORZA Oita

■Address： 4-chome, Hanahata,
Minami Ward, Fukuoka City

■Address ： 1-chome, Sumiyoshi,
Hakata Ward, Fukuoka City

■Address ： 3-chome, Higashi-hie,
Hakata Ward, Fukuoka City

■Address ： 2-chome, Maizuru,
Chuo Ward, Fukuoka City

26

Kyushu Shinkansen■Address ： 2-chome, Koen Dori Nishi,
Oita City■Address ： 2-chome, Kami Kuzuhara,
Kokura Minami Ward, Kitakyushu City

Okinawa10

Ten Nishitjin
Om etsuuta
LinFukuoka
University

25
3

7

NagasakiRopponmatsu Sakurazaka
Stn.
Stn.

Urban Expr
essw
Loop Line ay

Oita

27
9

n
nka

i

Sh

Saga

Fukuoka Airport
Stn.

Gion Stn.

202

Hashimoto Stn.

1 Canal City Hakata

S

Watanabe-dori Stn.

5

■Address ： 1-chome, Sumiyoshi,
Hakata Ward, Fukuoka Cityyōan

Hakata1
12
14
2
Tenjin Minami Stn.

21

Urban
Exp
Kasuy ressway
a LineKyu/Hak shu Shinata M
kainam nse
i LineJR ChikNakasuKawabata
Stn.

18
20 23
Tenjin17
Akasaka Stn.

Ōhorikōen Stn.

Fukuoka City

ay

Chuo
Port

Urban Expressway
Loop Line

Najima Stn. 3

Kaizuka Stn.

29

way

Hakata Bay

Chihaya Stn.

22

ine
ii L
sh
Ka

Hakozaki
Port

JR

Ur
ba
n
Ka Expsh resii L sw
ine ay

i-

Um

4

s
ExpresJR

Island City

u
Kyush

Uminonakamichi
Seaside Park

ne

i Li

ich

kam

Na
no-

u
ets e
hit LinNis ukaiz
Ka

Fukuoka City

Shikanoshima■Address ： 1-chome, Chuo-machi,
Oita City

26 Tissage Hotel Naha

■Address：2-chome, Nishi, Naha City

27 Tosu Logistics Center■Address ： Himekatama-cho Aza,
Tosu City, Saga,

28 LOGICITY Minato Kashii■Address：2-chome, Minatokashi,
Chuo Ward, Fukuoka City

29 LOGICITY Hisayama■Address：Hisayama-machi, Kasuya-gun,
Fukuoka City

RetailOffice buildings
OthersAppendix49

Portfolio
Retail 11 properties

Canal City Hakata

Canal City Hakata・B

Park Place Oita

SunLive City Kokura

Konoha Mall Hashimoto Square Mall Kagoshima Usuki Kumamoto Intercommunity SC

Hanahata SC

Office buildings 8 properties

Kurume Higashi Kushiwara SC

K’ s Denki Kagoshima

Marinoa City Fukuoka（Marina Side Building） Canal City Business Center Building Gofukumachi Business Center

Sanix Hakata Building

Taihaku Street Business Center Higashi Hie Business Center

Others 10 properties
Residence

Residence

Tenjin Nishi-Dori Center Building Tenjin North Front Building Higashi Hie Business Center Ⅱ Amex Akasakamon Tower City House Keyaki Dori

Hotel

Hotel FORZA Oita

Hotel

Tissage Hotel Naha

Logistics

Tosu Logistics Center

Logistics

LOGICITY Minato Kashii

Logistics

LOGICITY Hisayama

Residence

Aqualia Chihaya

Total

29

Residence

D-Wing Tower

Residence

Granfore Yakuin Minami

Total acquisition priceproperties

195.9

bn yen（As of August 31, 2019）
Figures round down to nearest 100mm yen（＊）

Appendix50

Logistics market in Northern part of Kyushu
Major logistics area

Supply and demand of logistic facilities and vacancy rates（tsubo）

LOGICITY Minato Kashii
3

HakataPort
HakataBay

Fuku
E x p ok a Ur
r es
s w abanyKitakyushu

495

Sasaguri LineUr banushu
K it ak y r es s w ay
E xp
y
sswa
xpre

Fukuoka Airport

福津市
Hakata Port, Fukuoka
IC area

E
ushu

Ky

古賀市

NogataMiyawaka

10

JR Chikuhi Line

IizukaFukuoka

201

Tagawa

Kama

329

2015

2016

2017

2018

Island City
（401.3ha）

Port Area （about209.5ha）

Town Area （about191.8ha）
Island City Habataki
Park development area

Tashiro

Ogori

3

うきは市

Kurume

31

鳥栖市役所

道路

3

Tosu JCT

Tosu Logistics Center大分県

Green Logistics Park Tosu 日田市

in Line

JR Kudai Ma

鳥栖

200m

Vegefru stadium(Fresh produce market) LOGICITY Minato Kashii

Island City Logistics Development Project（Scheduled in FY 2019）sway
Oita Expr es
496

uta Linee

500

Kyushu Expressway

Tosu

Kag JRosh
Line ima

way

205

Under
Construction

Nishitetsu Tenjin
Om

ress

Na

264

線

新幹

Saga

R

久留米基山筑紫野

Na Kanzaki J
九州

263

sen

inkan

gas

AsakuraOita
Expressway

in
ki L

a
gas

500

34

ay

17

Tosu

211
ki
asa y
Nag esswarpxEFukuoka

Exp

u Sh

aki

34

322

0

（year）Development of the Island City area

131

弥生が丘

386

17

ssw

re
Exp

至長崎

shu

h
Kyus

Saga Pref.

山浦PA

385

Fukuoka Pref.

Kyu

Fukuok a U
E xpress wrban
ay

崎
方
面

4

88

Itoshima

至長10,000＊The figures are covered total floor spaces (more than 5,000㎡) which owned by real estate investment company and real estate development company in Fukuoka and Saga.
Source: Prepared by Fukuoka Realty Co., Ltd., based on data of CBRE

ne
Li
hu
n
ai
us y
M
Ky a
po
ip
hi sw
N
as es
ig pr
H Ex

322
200

y
an

17

Ogi

8

JR

n

201

323

20,0000

Yukuhashi

Kitakyushu area

se

an

ink

h
oS

S

12

3

Munakata

330,000

201

607

1km

3

495
Fukuoka IC

Hakata Stn.

16

Shimonoseki

3

天神北

20

new demandvacancy rates

40,00035

Kyushu Expresway

21

68 JR

new supply

LOGICITY Hisayama

Sanyo Shinkansen

Kaizuka（％）

50,000

10km
JR ii
h
KasineL

FukuokaUrban Expressway
Island-city Line
（maintenance）
KashiiHama

NewContainer
Terminal
New quay wall
(planned)（planned）

Terihakita Elementary
General Gymnasium
Schooldevelopment area （Open in April 2019）

金印公園

Teriha Elementary andJunior High School

International
Container Terminal

Island City Ramp （provisional name）

Subdivision completed (including the project plan decision-maker)
Zone for creation of a waterfront logistics center
Under construction
Owned by Fukuoka Jisho Co., LTD （As of August 31, 2019）

FukuokaChildren’ s
Hospital

Park

Fukuoka Urban Expressway
Route 6（Island city Line）（Scheduled in the end of FY 2020）

Tosu JCT area
Source: Fukuoka Realty, based on Island City Outline Pamphlet (Fukuoka City, Port and Harbor Bureau)

Appendix51

Top tenants by leased floor area
Ordinary lease

LesseeTenantShare of totalleased space（＊1）

〜Feb. 28, 2021

Remaininglease term

(years) （＊2）

●Konoha Mall Hashimoto

11●Park Place Oita

2

●Canal City Hakata・B

4●Hotel FORZA Oita

8

●Marinoa City Fukuoka（Marina Side Building）

15●Canal City Hakata

4●Canal City Hakata・B

2

4.2％

●LOGICITY Hisayama

5

ー

4.0％

●LOGICITY Minato Kashii

5

ー

3.5％

●LOGICITY Minato Kashii

non-disclosure

SunLive

11.2％

2

AEON Kyushu Co., Ltd.

AEON

10.1％

3

FJ Hotels Co., Ltd

4

Fukuoka Jisho Co., Ltd.

ー

6.0％

5

Canal City OPA Co., Ltd.

OPA

4.5％

6

KASEI inc Co., Ltd.

ー7

Fukuoka Logistic System
Corporation

8

F−LINE CORPORATION

10 K’s Holdings Corporation〜Aug. 31, 2020

33rd

5

SunLive Co., Ltd.

Alpen Co., Ltd.

〜Feb. 29, 2020

32nd

●SunLive City Kokura

1

9

31st

Fixed-term lease

Grand Hyatt Fukuoka
Hotel FORZA Oita

Sports Depo,
Golf 5

K’s Denki

7.7％

（＊3）

3.2％

2.4％

（＊4）

●Square Mall Kagoshima Usuki

7●Kumamoto Intercommunity SC

7●Kurume Higashi Kushiwara SC

8●Park Place Oita

2（＊1）Share of total leased space is calculated using the formula “Leased floor area by tenant / Total leased floor space,” as of August 31, 2019 with residential space excluded from leased floor space by tenant.
（＊2）Remaining lease periods shown are the remaining periods of lease contracts as of February 28, 2019 with periods shorter than one year rounded down to the nearest whole year.
（＊3）The 6.0% includes a 0.3% office portion. [Five ordinary leases (with automatic renewal provisions for periods of one or two years) have been concluded for Canal City Business Center Building.]（＊4）Information is not disclosed because the permission of tenants has not been obtained.

Appendix52

Breakdown of variable rents
Breakdown of active retail rents by property
Fixed rents（＊1）（mm yen）

3,000

Variable rent s（＊2）

2,838

530
298

296

（＊3）

3,000

2,734

628
318

（＊3）

519

（＊3）

（＊3）

0

2,000

2,229

27th

〜Feb.28,
2018

2,212

28 th

2,214

29 th

〜Aug.31,
2018

◎30th

◎29th

Variable rents

Variable rents（957 mm yen）

（1,109 mm yen）

20.4％

317

2,000

2,248

Portfolio overall（mm yen）

2,841

2,759

590

1,000

Breakdown of active retail rents〜Feb.28,
2019

1,000

0

30 th

〜Aug.31,
2019

1,009

1,005

1,006

1,001

214

209

212

206

Fixed rents

Fixed rents

795

796

793

794

（3,727 mm yen）

（7,495 mm yen）

27th

〜Feb.28,
2018

Canal City Hakata／Canal City Hakata・B

28 th〜Aug.31,
2018

29 th

〜Feb.28,
2019

3,000

79.6％

87.1％

30 th

〜Aug.31,2019Park Place Oita
（mm yen）（mm yen）

12.9％

Breakdown of Tissage Hotel Naha
（mm yen）

150

3,000

◎30th
2,000

1,000

1,000
292

0

100

2,000

262

27th

30

〜Feb.28,
2018

292
262

28 th

〜Aug.31,
2018

30

289
262

27

29 th

〜Feb.28,
2019

SunLive City Kokura

284
262

30 th

〜Aug.31,
2019

21

0

27th

〜Feb.28,
2018

50

675

665

216

219

209

21

456

456

455

18

28 th

29 th

30 th

〜Aug.31,2018〜Feb.28,2019〜Aug.31,2019

Konoha Mall Hashimoto

Variable rents

45（1,003 mm yen）

11.8％

39

673

0

88

27th

28 th

29 th

42

30 th

〜Feb.28, 〜Aug.31, 〜Feb.28, 〜Aug.31,
2018
2018
2019
2019

Fixed rents

88.2％（7,527 mm yen）

Tissage Hotel Naha

＊Variable rents are included Canal City Hakata, Canal City Hakata・B, Park Place Oita, SunLive City Kokura, Konoha Mall Hashimoto and Tissage Hotel Naha.
The fixed rent is the total of（among the real estate leasing revenue）, ①Fixed monthly rent; ②Of the tenant rents with a revenue ratio（calculated by multiplying the ratio to the monthly revenue of applicable tenants）established, GOP rents and the minimum guaranteed rent portion in the case that（＊1）
minimum guaranteed rent has been established; ③Common expenses; and ④Amount paid by Park Place Oita and Konoha Mall Hashimoto’ s parking lot tenants.
（＊2）Variable rents are the sum of the portion of rents collected from tenants with variable and GOP rents that varies as a function of the tenants’ sales.（＊3）The figures are included parking fee in variable rents of Canal City Hakata / Canal City Hakata・B.

Appendix

53

The condition of Fukuoka city center
博多小学校

B
Naraya-machiShow
Av a-de. oriShiminkaikan-mae

Fukuoka Prefectural
Museum of Art

Fukuoka Central wholesalemarket fish market

Shimokawabata-machi

Suzakikoen-mae

Suzaki
Park

20

23

Homukyoku-mae

TenjinChuo-kuyakusho

uko
ay K

Akasaka Stn.

Ave. Prime-dori
Meiji Nishitetsu
Grand Hotel

Shinnippon Building

a

m

ku
ne

Li

Denki
Building

Yakuin-ekimae

Yakuin Stn.

Watanabe-dori
Nishi

Takasago

14

HakataKITTE Hakata Hankyu

JRJP Kamiyo
Hakata Hakata
Building Chuo
Building

Hakata-ekimae
3chomeOtowa

C

SUNLIFE No.3
Building

Sanix Hakata hikushBuilding
i-d

Hakata-ekimae
4chomeKiyokawa

Hakataeki
minami

ri

Ch

iku

Kiyokawa2chome

Hakataeki-minami
Minoshima

553

Sanno 1chome

Fukuokakobayashi
Post Office

575

ri
do

ori

i

Inukai
Shrine

ta

ui-d

or

555

i
sh

Jos

Sannoh Parki-d

Kiyokawa

Harusumi
ES

Shirogane

Granfore Yakuin Minami

Kiyokawa3chome

Hirao 1chome＊Please refer to P49 regarding the number of properties.
＊ is owned by Fukuoka REIT Corporation（ As of August 31, 2019）.
＊ is owned by Fukuoka Jisho Group（ As of August 31, 2019）
.

sh

ke
Ta

Takasago1chome

Yutoria Hakata

385

Takasago1chome

Hirao

Higashi Hie
Business Center �（provisional name）

Higashisumiyoshi
JHS

602
31

Park

Sumiyoshi
ES

Takasago
Shiroganekindergarden

Stn.

i

Miyajima

Tsuyukiri-hashi

Higashihie

The Basics
Higashi Hie
FukuokaBusiness Center Ⅱ（planned）
Na
Higashihieka
16
Hakataeki19hiekhigashioendoriNakahieor◎Progress of Nanakuma Subway Line extension project

YanagibashiaN

JR Hakata Stn.

Godochosha-mae

FBS Fukuoka
Broadcasting

-do

ay

bw

Su

k
na

Yakinkoban-mae

Higashihie

Hakataeki(Chikushiguchi)

Hotel Clio

JR Hakata City Court Hakata

Minoshima-kita

iya

a

um

ne

Hakata Stn.

Higashi Hie
Business Center

Chikushi-guchi Ⅱ

Hakata 500m radius

602
Watanabe-dori
1chomeHotel FORZA Hakataeki

385

Sumiyoshi Shogakko Mae

Hotel New Otani

Denki Building
Kyosokan

Chikushi-guchi Ⅰ

Canal City Hakata 500m radius

i
or
i-d
ek .
ss ve
Ni A

tn.

Haruyoshi
ES

Watanabe-dori Stn.
Denki
Building Shinkankam

Minami-yakuin

Li

Av
e.

na

Jotobashi
Nishi

Watanabe-dori Kita

Hotel FORZA Hakataeki

Oriental Hotel Fukuoka
Hakata Station

e.
Av
ori
i-d
New Bus Terminal
sh
iyo
m
Su

Sumiyoshi Shrine

Ta

Kogarasu
ShrineJotobashi

ri S

odo

uin-

Yak

Na

YakuinYakuin-odori-nishi

Fukuoka zoo-mae

oad

Hakata-ekimae
Business Center

Canal City BusinessCenter Building

Hakataeki higashi

Takeshita-doriayural R

Nishitetsu Yakuin Stn.

refectAmuPlaza
HakataFukuoka
Center Building
The Nishi-nippon
City Bank

Watanabe-dori

Denki
Building North

Omuta Lineshi P

Chikushijogakuendaigakufuzoku
Kindergarden

4

Nishitetsu Tenjin

Chiku

Yakuin-Mutsukado

Hakata-ekimae-dori Ave. Hakata-ekimae
2chome121bw

City House
Keyaki Dori
uoka

553

NOF Hakata-ekimae
Building
Hakata Bus
Terminal

Hotel FORZA
Hakata Stn. Hakata exit

Hakatakuyakusho
Minamiguchi

Canal City Hakata

Hakata-ekimae 1chome

Hotel NIKKO
Fukuoka

Hakatakeisatsusho
IriguchiCanal City Hakata／
Canal City Hakata・B

Toko JHS
Katakasu ES

Hakata Police Office

Canal City Hakata
East Building

Yutaka3

Canal City Hakata Hakata Ward
East Building
Office2

e.

Av

Toko-kita
Park

HakataKuyakusho
IriguchiSumiyoshi-jinja
MaeBivi Tenjin

Ku

ri

do

ko

er

Gion-machi

Su

Kego

31 FukRiv

Hakata-ekimae
SquareSmile Hotel
Hakata-ekimae
Crown Plaza
Ana Fukuoka

ri

Akasaka

Imaizumi
Park

dori

21

Shokokaigisho
IriguchiJPR Hakata
Building

Haruyoshibashi
HigashiHaruyoshi

Shinkawa-bashi

Tenjin MENT
Building

Tenjin 500m radius

iash

Kego ES

Max
Value

202

Tenjin121 Building
Tenjin122
Buildingdoeab .
an AveKego KOBAN

Kego 2chomeasa

Toko 2chome

at

.

Ave

202

r

Haruyoshi

Tenjin Minami Stn.

UrbanBLD
TenjinImaizumi

ninb
Sho

dori

aki-

Key

Kego

Tenjin LUCE

ve.

i-

uta
Kok

Mik

Hakataekimae

Mangyo-ji

Nakasu1chomeve

Nishinakasu

Kego Park Mitsukoshi Watanabe-dori 4chome

Kego-jinja MaeA
doro

Hakata Gion
M-SQUARE

KushidaShrineChukan Stn.
(provisional name）

Sankoubashi

Fukuoka(Tenjin) Stn. Daimaru
FukuokaRi

Tenjin Chuo
Park

Fukuoka

Building
Tenjin MMT
City Hall

Tenjinkirameki-dori building
TenjinNishi-dori
Squareve.

-dori A

3

Class
Keyaki Dori

Fukuoka Shiyakusho-mae

SOLARIA
Plaza Nishitetsu

ResoraTenjinka

Yutaka JCT

Joten-ji

W

TaishoDaimyoeki

Iwataya
Main Store

Su 15
Ta bwaiha yku Kuk-dor o Li Tocho-ji
i A neve.

Gion Stn.

Gionmachi
Nishi

Na

Best Denki
Fukuoka Main Store

Rebuild Fukuoka Building Project

-dori

Kiram

17

Tenjin Nishi-Dori
Center Building

Dimyo 1chome

Shimin Center
Taiikukan

Iwataya
Shinkan

TenjinChuo Ward
OfficeIMSn-dori VIORO

Saza

njin
Te ishiN ori
d

Subw

Line

Reisen-machi

NakasuAcros
Fukuoka

300m
100m

202

Kamikawabata-machi

inkawanshkuiYa

Maizuru

Akasakanishi

TenjinTenjin 1chome
Fukuoka Fukuoka Building
Tenjin Head OfficeTenjin Stn.
Center Buildingve.
A
Fukuokari
a-doTenjin Mitsui
Fukuoka
BuildingShow
Building
Securities PARCO Fukuoka
Tenjin-nishi
Building
Shinkan PARCO

Katakasu

Gokusho-machi

Taihaku Street
Tenya-machiBusiness Center

gate’sアクロス福岡前name）Tenjin Business Center（provisional

552

Katakasu
1chome43

Nishi-ohashi

Nishitetsu Inn Fukuoka

Chuoyubinkyoku-mae
Tenjinbashi-guchi
Tenjin Nishi-Dori
Hinode Tenjin
Business Center The Bank of
Building

F

Shofuku-ji

Nakasukawabata Stn.

Maizuru
1chomeMaizuru
2chomeGofukumachi
Business Center

Gionmachi

18

NakasuD-WingTower

Maizuru JHS

2Tenjin North
Front Building

空港通

吉塚1丁目

E

福岡高校

Yutaka 1chome

Kamigofuku-machi

13

550

D

Gofuku-machi Stn

Hakata-za
Hotel
Theater
Okura Fukuoka
HakataRiverain
Business Center

Bank ofJapan Fukuoka Kogin Building

Maizuru ES

Nagahama

ve

ri A

-do

tsu

nu
Na

Gofuku machi

Higashinakajimabashi

Tenjin Reverfront

Amex
Akasakamon
Tower

Meiji-DoriBusiness Center
Main building / Annex

Suzaki-machi

KBC
Kyushu Asahi Nanotsu-guchi
Broadcasting

Fukuoka Dai-ichi
Building

Tsunaba-machi

KBC
Cinema 1・2

1

中呉服町

do
ri

天神北出入口

蔵本

C

M
ei
ji-

A

地
箱 下鉄
崎
線

Nanakuma subway line extension project will be completed by FY2022

31

Oomiya24

555
Current extent of obstruction
to Hakata Ekimae-dori Ave〈from the Hakata Station side〉

Hakata-ekiminami
5chomeProgress with invert concrete work

Photo provided by: Fukuoka City Transportation Bureau
Hirao-kita

Appendix54

Connection from Hakata area / Tenjin area
Enhanced accessibility between Hakata Station and Canal City Hakata

Impact of Nanakuma subway line extension [scheduled to commence operations in FY2022]
東光2丁目

Shokokaigisho
Iriguchi

Hakata Gion
M-SQUARE

Kamikawabata-machi(provisional name）
Gion-machi

Gionmachi
Nishi

Hakata-ekimae

Opened in Sep. 2011

Hakata Police
OfficeJR Hakata City

Opened in Mar.2011

Redevelopment of
Hakata Ekimae
StreetCanal City Hakata
East Building

Canal City Hakata

Hotel NIKKO
Fukuoka

Hakata-ekimae 1chome

jin

Ten

Fukuoka Hakata
Center Building

Canal City BusinessCenter Building

Hakata Stn.

HakataCenter Building

A cross section

福岡合同庁舎新館

25,927（ FY2018 ）16Stn.
19 Chukan

551（provisional name）

Hakata Stn.
（provisional name）

り

KDX博多駅
南ビル（unit:people）

New Austriantunneling method（NATM）
Underpinning method

Shield tunnelingmethodビジネスセンター�（仮称）通14,059 （FY2011）

25,464

ビジネスセンターⅡ

Shield tunneling東比恵
method筑紫● Redevelopment of Hakata Ekimae Street
Number of lanes to be reduced from 5 lanes to 3, and sidewalks to be widened andenhanced● The Hakata Town Planning Promotion Council’ s “Activities to make the area around Hakata
Station more appealing to explore on foot”
Hakata Street Bar, Cafe and Restaurant (National Strategic Road Occupancy Project), etc.

18,570 （FY2011）3

Naka River
東比恵Hakata River

福岡第２合同庁舎
Otowa◎Pedestrian traffic volume on Hakata Ekimae Street

Kuko Line
Hakata Stn.
Hakata-ekimae-dori Ave. Hakata Stn.
（provisional name）

東比恵
ビジネスセンター

Tenjin Minami Stn.
福岡合同庁舎本館

.
ve
ri A
do
i
sh
yo
mi
Su

SaturdayYakuin Shinkawa
River

合同庁舎前

JR Hakata Stn.

● Canal City Hakata East Building opened in September 2011

weekday

am
Min

（p Ch
rov ukisio anna Stnln .
ame）Hakataeki

The Nishi-nippon
City BankKITTE Hakata
Meiji
Park
JRJP
HakataBuilding

Crown Plaza Hakata-ekimae
3chomeAna Fukuoka

100m

n.

i St

385

AmuPlazaBusiness
Center

uta

.

ve
ro A

i-do

Kok

Hotel FORZA
Hakataeki
Chikushi-guchiⅠ

Hakata Bus
Terminal

Hakata-ekimae-dori Ave. Hakata-ekimae

300m

博多駅東

Hotel FORZA
Hakata Stn. Hakata exit

Hakata-ekimae
2chomeCanal City Hakata／
Canal City Hakata・B

GionmachiNishi
Intersection

堅粕小学校
3

Dai Hakata
Building

Canal City Hakata Hakata Ward
East Building
OfficeNakasu1chomeSquareJPR Hakata
Building

Chukan Stn.

A floor planCut-and-cover method

TERASO・ⅡTERASO・Ⅰ

112《Travel to Hakata Station from the southwest》《Traveling within the inner-city area》●Travel time to Hakata Station reduced by 14 minutes●Direct connection to Hakata Station with no need to change
trains at Tenjin●Convenient for transferring to JR lines and Fukuoka Airport

Subways are reliably punctual and especiallyeffective in inner-city areas where there isheavy traffic congestion.

◎Estimated daily Nanakuma line passenger volume [including connecting passengers]（thousand people）

180

150

＋56,000（＋64％）

120
90

Scheduled to becompleted the construction

6030（ FY2018 ）Source: Prepared by Fukuoka Realty Co., Ltd. based on the Hakata Town Planning Promotion Council’ s FY2018 Business Report

0

2009
2017
（actual） （actual）

2019

2020

2021

2022

2023

2024

2025

2026

2027

2028 （FY）

Source: Prepared by Fukuoka Realty Co., Ltd. based on the Fukuoka City Transportation Bureau’ s FY2019 to FY2028 Fukuoka

Appendix55

Redevelopment in Tenjin area （Tenjin Big Bang）
Preparation made for functional renewal of buildings in the Tenjin district◎Creation of an attractive environment that promotes Tenjin as a start-up location① Deregulation of floor space ratios

through a district development plan
●Tenjin 1-chome south block 800％→1400％（max.）●Tenjin 2-chome south block along Meiji-dori Ave.
700％→1300％（max.）

Issues pertaining to functional renewal
in the Tenjin district① Problem of existing noncompliant buildings（use exceeding the current designated floor space ratio）

Tenjin Northfront
Building■ Owned by Fukuoka Jisho （＊）■ Completed before 1978

●Tenjin Meiji-dori district
approx.67ｍ→ approx.76ｍ●Tenjin Meiji-dori district
approx.76ｍ→From the
Watanabe-dori Street center line

●Waterfront district
approx.70～90ｍ→approx.100ｍ●Former Daimyo
Elementary School Siteapprox.76m→ approx.115ｍ【West side】approx.115ｍ【East side】approx.76〜100ｍ

To be reconsidered in light of surrounding
existing buildings at the time ofsubmission of a specific zone

Tenjin Riverfront Business Center●Area surrounding Hakata Station

Tenjin Business Center （provisional name） floor map
PHF/RF

AEON Shoppers Fukuoka(Creation of office space for new tenants)

Tenjin Meiji-dori district(relaxation of height restriction)●Bank of Japan
Fukuoka Chuo Post Office
●

e.
i Av
dor
betanaWa

Tenjin 2-chome south block along Meiji-dori Ave.
(relaxation of floor space ratio restriction)de】【West sive.
dori A
Meiji-de】【East siTen

Tenjin Nishi-DoriBusiness Center
Tenjin Nishi-Dori
CenterBuilding

ipal
Munic LineakoFuku ay Kuk o
Subw

Scheduled to be opened in spring 2024
Use: Office, retail, hotel
Total floor space:approx. 100,000㎡
19 aboveground floors, basement 4 floors

Office zone

Lower level
floor

●
Acros
Fukuokan.
jin S tRebuild
Fukuoka Building
Project

Higher level
floor

Tenjin 1-chome south block(relaxation of floor space ratio restriction)

Fukuoka Kogin Building

D-WingTower

Former Daimyo
Elementary School Site（relaxation of height
and floor space ratio）

×●Former Daimyo Elementary School Siteapprox.450％→800％②Problem of building height restrictions
under the Civil Aeronautics Act

Scheduled to be completed in Dec. 2022
Use: Office, hotel, and others
Relaxation of floor space:approx. 79,260㎡
24 aboveground floors, basement 1 floor②Relaxation of restrictions

Lower zone
(retail and office）

Fukuoka
City Hall●

Tenjin MMT Building

Retail zone

天神中央公園●100m（＊） Includes properties co-owned with other companies
Source: Prepared by Fukuoka Realty Co., Ltd. based on Tenjin Meiji-dori Avenue Grand Design 2009 authored by the Tenjin Meiji-dori Development Council

SubwayTenjin Stn.

◎Tenjin Business Center （provisional name）

Tenjin MM Building（IMS）

Scheduled to be closed theoperation within FY2021

Office entrance
Atrium

19F
18F
17F
16F
15F
14F
13F
12F
11F
10F
9F
8F
7F
6F
5F
4F
3F
2F
1F
B1F
B2F

EntityFukuoka Jisho Co.,Ltd

Location

1-Chome, Tenjin, Chuo Ward, Fukuoka City

Land area

3,917.18㎡

Floors19 aboveground floors,
penthouse 2 floors, basement 2 floors

Use

Office, shops, parking etc.

Total floor
space（image）

Tenjin Business Center（provisional name）

61,116.98㎡

Heightapprox. 89ｍ

Completion

September 2021 (planned)

Appendix56

Redevelopment in Hakata area（Hakata Connected）
Initiative to expand the vitality and bustle of Hakata Station area out further to the surroundings（approx. 500m radius from the station, covering about 80 hectares）◎Hakata Connected Bonus①Expansion of floor area ratio relaxation policy②Prioritized introduction of certified（Policy to Encourage the Upgrading of Central Urban Functions in Fukuoka City）
buildings to tenants●Buildings that contribute to an increase in bustle including those with
③Promotion of certified buildings
plazas etc. that facilitate linkages and ripple effects, to be granted amaximum floor area ratio of 50%
by the administration●From the perspective of further creation of bustle and pedestrian
Hakata Connected④Dedicatedmovement, even roofed plazas to be given maximum 250% increase
Bonus financing products
in public open space evaluation
Hakata Connected target area

■
Jo

te

■ National Strategic Road Occupancy Project
Canal City Hakata／
Canal City Hakata・B

Chukan Stn.(provisional name）

nj

■
Ta
iha
ku
-d
or
iA
ve
.

i-d

Canal City Hakata
East Building

Hakata-ekimae
Business Center
Canal City BusinessCenter Building

Nanakuma subway line:
scheduled to commence operations in FY2022

Hotel FORZA Hakataeki
Chikushi-guchi Ⅰ

ve

.

.

SubwayKuko Lin

Development of high-performance officebuilding that would energize area to theeast of Hakata Station●Composition of the group of companies
Representative company: Kyushu Railway Company
Members: Fukuoka Jisho Co., Ltd., ASO Corporation＊Currently, these companies are Preferred Negotiation Right Holders
but the project has not been finalized.

●Land owner: Fukuoka Prefecture（Lease period: 70 years）

do

o-

k
Ku
■

0m
50
a
t
ka
Ha

Hotel FORZA Hakataeki
Chikushi-guchi Ⅱ

s
diu
ra

Higashi Hie
Business Centere ■Chikushiguchi chuo-

JR Hakata Stn.

dori Ave.

e.

.
ve
ri A
o
d
ish
iyo
m
Su
■

iA

■ Ta
keshita-dori Av■Hakata-ekimae-dori Ave.

or

Municipal support for special approval
pertaining to Civil Aeronautics Act
building height restrictions for eachindividual plan

Majority of the buildings around Hakata
Station were constructed between the timeof relocation of the station in 1963 and theopening of the Sanyo Shinkansen in 1975.

ve

A
ri

◎Special approval pertaining
to Civil Aeronautics Act
building height restrictions

Project for effective utilizationof the Fukuoka Prefecture
East General Of fice site

Higashi Hie
Business Center Ⅱ
Sanix Hakata Building＊Subject to change depending on future negotiations, etc.

SUNLIFE No.3 Building

■
Ch

iku

sh

i-d

Higashi Hie
Business Center �or（provisional name）

iA

ve

.

Completion

March - April 2024（planned）

Use

Office, shops, parking

Land area

2,638.64㎡

Total floor space approx.18,700㎡
100m

Floors11 aboveground floors,
basement 1 floors

Appendix57