Security code

Overview of the 32nd fiscal period performance［8968 ］March 1st,2020 〜 August 31st,2020

Topics of the 32nd fiscal period

1

Impact of COVID-19 infection

2

Asset’s growth5

Financial statements

7

Business forecasts

9

Portfolio overview

11

Financial strategy

17

Appraisal value

20

Situation of Fukuoka and Kyushu

22

Sustainability

24

Appendix25＊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 32nd fiscal period performance［Security code 8968］March 1st,2020〜August 31st,2020

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 32nd fiscal period
Asset size reached 200 billion yen due to external growth based on acquisition priceOwned properties■Retail

New acquisition properties

Took measures to prevent COVID-19 infection, including shortening ofbusiness hours and temporary closure of operations upon announcement ofemergency declaration.

■ Newly acquired three properties, with the asset size reaching 201.9 billion yen.（based on acquisition）
Work to enhance the portfolio stability as a REIT with comprehensive asset types byacquiring a variety of properties expected to generate stable earnings.
Office buildings

Conducted deferment of payment of rent, etc. and temporary rent reduction,etc. in consideration of social responsibility and medium to long term
relationship with tenants, while at the same time working to reduce costs.

■Officebuildings■Others

Logistics

Achieved upward revision of rents for 8 straight fiscal periods while
keeping high occupancy.
Change inmonthly rent
[upon rent
revision]＋5.3 mm yen

Rent gap（＊1）（27.0） ％Earnings of logistics facilities and residential properties remained stable.
Hotels experienced a decrease in variable rents due to the impact of COVID-19 infection.

（＊1）Rent gap indicates the gap between current rent : contract rent with common charges and market rent, and is calculated as "current rent - market rent / current rent".

Higashi Hie
Business Center Ⅲ

LOGICITY WakamiyaHome Plaza NAFCO
at Park Place Oita

Acquisition date

May 29, 2020

Jun. 30, 2020

Jul. 1, 2020

Acquisition price

3,290 mm yen

1,700 mm yen

990 mm yen

4.4％

6.7％→7.0％（＊5）

6.2％

NOI yield （＊4）（＊4）The indicated figure is based on the NOI described in the appraisal report.
（＊5）NOI yield is expected to improve from the assumptions made at the time of acquisition by calculating NOI / （acquisition price + estimatedamount of renovation work） and reducing the amount of renovation work to be done.

（yen）

Financial Management ・Others

4,000■ Procured 5,900 million yen at average debt duration of 9.8 years and average interest rate of 0.53%.

3,000■ Lengthening the commitment line agreement of 6 billion yen with Fukuoka Bank as theagent to a remaining period of 3 years.
Total debt

Committed line

82,40013,000mm yenRetailmm yenFixed rate

94.1％

Average remaining
duration to maturity

LTV （＊2）

5.9 years

41.4％

J-REITs' average：
4.2 years （＊3）

J-REITs' average：
43.9％ （＊3）

■ Changed the asset management fee structure to reinforce the linkage between asset
management fee amounts and unitholder interest（＊2）LTV is calculated as total interest-bearing debt divided by total assets.
（＊3）Indicates the average value of the latest account settlement figures of all investment corporations as of August 2020,

3,422

3,512

26 th

27 th

3,593

3,687

28 th

29 th

3,693

3,642

3,250

3,300

32nd

33rd

3,500

2,000
1,000
0

Aug. 2017 Feb. 2018

【Dividend per unit】
The actual of the 32nd FP

Aug. 2018 Feb. 2019

30 th

31st

34 th

Aug. 2019 Feb. 2020 Aug. 2020 Feb. 2021 Aug. 2021
[forecast] [forecast]

33rd Forecast 3,300 yen （compared with 32nd Actual ＋1.5％）

3,250 yen 34 Forecast 3,500 yen （thcompared with forecast at 33rd ＋6.1％）

calculated by Fukuoka Realty based on their disclosure materials.

Topics of the 32nd fiscal period1Impact of COVID-19 infection on retail properties
Temporary closure of operations at retail properties

Responses to requests from tenants for rent reduction, etc.

Upon the declar ation of the st ate of emer genc y by the gover nment, oper ations wer e
temporarily closed (excluding some stores) as a measure to prevent the spread of COVID-19
infection.
Effective period of the declaration
Location of the state of emergency Period of temporary closure

Property name

Canal City Hakata
Fukuoka
Canal City Hakata·B
City
Konoha Mall Hashimoto
Marinoa City Fukuoka （Marina Side Building）

April 7 - May 14

Oita City April 16 - May 14

Park Place Oita

April 9 - May 15

April 29 - May 6＊Some retail stores in the Canal City Business Center Building are also temporarily closed.

（%）

120.0

Park Place Oita（＊1）

Konoha Mall Hashimoto

Rent reduction

288 cases
207 million yen

Deferment ofrent payment

Scheduled to be collected in installments from
September to December （4 months）② Review of individual contract terms, etc. taking into account the sales situations of respective tenants
Subject properties： Canal City Hakata （＊2） Relevant period： 32nd fiscal period and thereafter● Concluding renewed contracts (extending the contract period, additionally setting

cancelation penalties and shifting from ordinary lease to fixed-term lease)（＊2） Canal City Hakata, Canal City Hakata ・B, and the Canal City Business Center Building （only some retail stores） are covered.

Breakdown of retail rents （all 11 properties）

80.0

Variable rent s 941[17.4%]

Fixed rent s 4,474

31st

60.0

[82.6%]

Feb. 2020

Variable rent s 511

40.0[89.2%]

Aug. 2020

Jan.
2020

Feb.
2020
31st

Mar.
2020

Apr.
2020

May
2020

Jun.
2020
32nd

（＊1） Sales at the newly acquired Home Plaza NAFCO at Park Place Oita in July 2020 are not added.

Jul.
2020

Aug.
2020

[10.8%]

Fixed rent s 4,237

32nd

20.0
0

285 cases
478 million yenof percentage rent)

SunLive City Kokura

Effective period of thedeclaration of thestate of emergency

100.0① Temporary rent reduction and deferment of payment of rent, etc. consideration of the closure period
Subject properties： properties temporarily closed Relevant period： 32nd fiscal period〈Cases of changes in contract terms〉● Setting change of percentage-of-sales rent (temporary lowering criteria for generation

Year-on-year comparison of sales （January - August 2020）
SC Sales Statistic [nationwide]
Canal City Hakata/Canal City Hakata ・B（total）

Took the f ollowing measures f or the tenant s, in c onsider ation of the request fr om thegovernment, our social responsibility and medium to long term relationship with the tenants.

0

1,000

2,000

3,000

13

4,000

5,000

6,000

（mm yen）

New Acquisition[Home Plaza NAFCO at Park Place Oita]＊ "Fixed rent" is indicated the amount of "leasing revenues-real estate" - "variable rents".
＊"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.Variable rents are included Canal City Hakata, Canal City Hakata ・ B, Park Place Oita, SunLive City Kokura and Konoha Mall Hashimoto.

Impact of COVID-19 infection2

Impact on Rent of the COVID-19 infection
Impact on rents is expected to be eased gradually in the 33rd fiscal period and thereafterRents by investment type by fiscal period （＊）（mm yen）

（26）

836

8,000

2,261

6,000

＋90

RetailRetail （-of which, Canal City Hakata ／ Canal City Hakata ・B）
New Acquisition…

＋36

810

＋68

2,352

Home Plaza NAFCO at Park Place Oita

846

5,416

2,000

（666）

2,734

0

13

investment
ratio

LOGICITY Wakamiya

＋44

891
2,443

＋242

4,992

previous fiscal period＋45）

41

＋175

（compared with the

2,327

79

（compared with theprevious fiscal period＋26）

9490（compared with the

2,251

31st
Feb. 29, 2020
investment types

4,749

Others

＋22

2,421

45

4,000

53

Office Buildings
Higashi Hie Business CenterⅢ

previous fiscal period＋27）

5,167（compared with theprevious fiscal period＋3）

41

2,509

（compared with theprevious fiscal period （0））

32ndAug. 31, 2020

33rd
Feb. 28, 2021 （forecast）

34th
Aug. 31, 2021 （forecast）

32nd

33 rd （forecast）

34 th （forecast）○Major preconditions for performance forecasts ●Impact of COVID-19 infection on rents

RetailCanal City Hakata
Canal City Hakata・B

58.0％● Temp or ar y r ent r e duc t ion and de f er ment o f
payment in consideration of temporary closure●Decrease in revenues due to review of individual
contract terms considering the sales situations ofrespective tenants●Decrease in variable rents●Temp or ar y r ent r e duc t ion and de f er ment o f
payment for tenants of temporarily closed retailproperties●Decrease in variable rents

Other retail properties

Office buildings

27.7％

Other s14.3％

（Logistics,Residence,Hotel）（-of which,
Hotel

2.2％

）

○Period-on-period increase in sales due to recovery in the numberof domestic visitors （Sales to foreign visitors not assumed）●Decrease in revenues of tenants determined in the 32nd
fiscal period●Partial recovery of variable rents○Downtime c aused by tenant r eplac ement in alarge section (approx. 1,300 tsubo)○Sales of some tenants including restaurant/eaterytenants assumed conservatively●Partial recovery of variable rents●No impact of rent increase for tenants of the officesection●Temporary rent reduction and deferment of payment
for tenants of the retail sec tion of Canal Cit yBusiness Center Building in c onsider ation of
temporary closures○Full-period contribution of Higashi Hie BusinessCenter Ⅲ (acquired in May 2020)○Anticipate rent increase while maintaining highoccupancy rate

●No major change in the occupancy of logistic s
facilities and residential properties●Lack of variable rents from Tissage Hotel Naha

○ Rent income of LOGICIT Y Wakamiya to star t inNovember as renovation work completes○Rents of logistics facilities and residential properties remaining stable○ Overnight stay demand from domestic hotel guests
recovering gradually （Sales to foreign visitors not assumed）●Lack of variable rents from Tissage Hotel Naha

○Period-on-period increase in sales due to recovery in
the number of domestic visitors （Sales to foreign
visitors not assumed）●Partial recovery of variable rents○ Operation of new tenants for a large section (approx.
1,300 tsubo) to start○Sales of some tenants including restaurant/eaterytenants assumed conservatively●Variable rents are assumed to be about the sameas in the 33rd fiscal period.

○Anticipate rent increase while maintaining highoccupancy rate

○Full-period contribution of LOGICITY Wakamiya○Rents of logistics facilities and residential properties remaining stable○ Overnight stay demand from domestic hotel guests
recovering gradually （Sales to foreign visitors not assumed）●Lack of variable rents from Tissage Hotel Naha（＊） "Rent" is indicated the total amount of leasing revenues-real estate

Impact of COVID-19 infection

3

Operation policy for retail properties to return to a growth path
Pre COVID-19

With COVID-19●Effective period of thedeclaration of thestate of emergency

2020
Before 31st

2021
32nd
Preconditionsof forecasts

33 rd
Recovery phase of attracting
customers from neighboring areas

34 th

Recovery phase of attracting customers from wider areas

Implement measures to prevent infection

35 th and beyond
Recovery phase of Inbound tourism●Install alcohol sprays ●Strengthen ventilation●Conduct disinfection and anti-bacterial measures at common areas of all buildings

Respond to take-out needs●Lunch box market

Introduction ofunique tenants

Canal City
HakataPost COVID-19●Fukuoka COVID-19 Alert announced●“Go To Travel” campaign started●Tokyo added to the coverage of “Go To Travel” campaign, “Go to Eat” campaign started●“Go To Event” and “Go To Shotengai （shopping street）” starting （planned）（＊weekdays only）

Jun. 22 - Jul. 17
Sept. 28 - Oct. 9●moomin cafe
●JUMP Shop
●EVANGELION Store●KIRBY CAFÉ●THE GUNDAM

Invite new tenants capable of attracting customers

Reinforce therestaurant/eatery zone

New station directly
connected to the facility
to open in fiscal 2022
（Extension work of theCity Subway Nanakuma
Line to complete）

Anniversary
festival

Issue shopping tickets

Increase the number of new movies showing at the cinema （Kimetsu-no-Yaiba, etc.）

BASE FUKUOKA●GUNDAM Café

Resume performance by Shiki Theatre Company at Canal City Theater （October 2020）
Introduce new
projection mapping ①

Introduce new
projection mapping ②

Resume customer-attracting events （with thorough measures to prevent infection)
QR code payments

Park
Place
Oita
KonohaMall
Hashimoto
SunLive
City
KokuraNew parking lot
management system

House Card : Introduced "f-JOY apps"that can be used in four retail facilities（June 2020）
Preconditionsof forecasts

Campaigns for tourists
Provide information using apps and Dissemination of information using apps and social media, etc.

Recovery phase of attracting
customers from neighboring areas

Implement measures to prevent infection

Convert Canal City Theater toan entertainment theater（July 2022）

Endeavor to recover and increase sales●Install partitions at the food courts ●Install alcohol sprays ●Strengthen ventilation●Conduct disinfection and anti-bacterial measures at common areas of all buildings

Operate community-based retail properties indispensable for daily lives
Park Place Oita

Continuously conduct tenant replacement
Resume customer-attracting events （with thorough measures to prevent infection）
Reinforce announcements/sales promotion utilizing social media （adoption of LINE payment, etc.）

Konoha Mall Hashimoto

Food courts （Park Place Oita）

Renovation of SunLive City Kokura （autumn 2021（under consideration））

Impact of COVID-19 infection

4

Historical trends of asset’s size by investment type [based on acquisition]
Asset size reached 200 billion yen in the 32nd fiscal period
RetailOffice buildings

Residence

Logistics

Hotel

PO（Mar. '18）

（mm yen）

200,000（%）

80

PO（Apr. '15）
180,000

LTV

PO（Mar. '13）
PO（Mar. '11）

160,00070

140,000
PO（Sept. '06）

120,000

60
LTV
capacity
up to 45%
approx.
13,000mm yen100,000

80,00050

LTV

43.8％ 43.8％

60,00046.0％ 46.5％

4542.4％ 42.4％ 42.4％ 42.3％

41.2％ 41.4％

41.0％
40,00044.7％ 44.6％ 44.6％ 44.6％

39.9％ 39.9％ 40.1％

39.5％

38.1％

37.6％ 37.4％

39.3％ 38.9％ 39.1％ 39.7％ 39.7％ 39.8％

41.4％ 40

35.6％
20,000

30.4％
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

Aug.
2009

11th

Feb.
2010

12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd
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

Feb.
2020

30

Aug.
2020

＊As the senior equity interest in an anonymous partnership managed by CCH Bridge Y.K. was redeemed in the 14 th FP, it is excluded from total acquired assets from the 14 th 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.

Asset’s growth5

Investment policy and external growth strategy
Future external growth strategy

New acquisition properties in the 32nd fiscal period● Aiming at 250 billion yen going forward while dispersing risks by diversifying the

The property acquisitions, mainly comprising an office building and a logistics facility, lowered the ratio ofretail properties by 1.2% period-on-period at the end of the 32nd fiscal period.

investment types; flexibly consider property replacement upon favorable opportunities.

Office buildings

Logistics

Retail● Conduct carefully selected investments focused on office buildings and logistics

facilities, etc., taking the advantage of specializing in regional properties and utilizing
sponsor pipelines.

◎investment policy （Investment ratios by investment type ）LOGICITY WakamiyaHome Plaza NAFCO
at Park Place Oita

May 29, 2020

June 30, 2020

July 1, 2020

SponsorOutside party

Sponsor

Acquisition
price3,290 mm yen

1,700 mm yen

990 mm yen

NOI yield （＊1）

4.4％

6.7％→7.0％（＊2）

6.2％

Higashi Hie
Business Center Ⅲ

Investment policy changed in March 2019
BeforeRetailOfficebuildings

OthersAfter

60-80％
20-40％
0-20％（Hotel, Residence,
Logistics, and Other facilities）

RetailOfficebuildings

OthersAcquisitiondate

40-70％
20-50％
0-30％（Hotel, Residence,
Logistics, and Other facilities）

Investment ratios by investment type
◎31st （Feb. 2020）◎32nd （Aug. 2020）
Others
13.9％

Office buildings
26.9％

Retail59.2％（＊1）The indicated figure is based on the NOI described in the appraisal report.
（＊2）NOI yield is expected to improve from the assumptions made at the time of acquisition by calculating NOI / （acquisition price + estimatedamount of renovation work） and reducing the amount of renovation work to be done.

Sponsor pipelines■Tenjin Business Center◎Real estate development by the Fukuoka Jisho Group

Retail58.0％

Office buildings● Participating in many redevelopment projects in the Tenjin and Hakata
areas. Tenjin Business Center, the first project of the Tenjin Big Bang, isscheduled for completion in September 2021.
● LOGICITY Minato Kashii North, the first logistics facility developed by theGroup, completed in September 2020. The Group will continue logistics
development under the LOGICITY brand.

Acquired from sponsor （＊3）

Others
14.3％
Office buildings
27.7％

Source15/31 properties
78,969SponsorOutside party

mm yen（Image）■LOGICITY Minato Kashii North

39.1％

60.9％

Logistics

at the end of
32nd FP201,959mm yen122,990mm yen（＊3）Because the Higashi Hie Business Center that was acquired in the 10th FP, August 31, 2009, was acquired from both outside parties and sponsors, thepurchase 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 growth6

Statements of Income （compared with the previous fiscal period）
Dividend per unit came to 3,250 yen due to a decrease in revenues under the impact of COVID-19 infection- unit : mm yen （Figures rounded down to the nearest mm yen）

Account

32nd

A■Operating profit and loss

Difference

B〜Aug. 31, 2020

B-A

Total operating revenues

9,162

8,518

Leasing revenues-real estate

8,515

7,912

（602）

647

605

（42）

Total operating expenses

5,888

5,551

（337）

Expenses related to leasing business

5,226

4,897

534

520

（14）

Asset custody fees

7

7

0

Administrative service fees

55

57

2

Director’s compensations

9

9

-

Other operating expenses

55

60

4

Operating income

3,273

2,966

（307）

Total non-operating revenues

0

0

（0）

Total non-operating expenses

374

379

4

Interest expenses（incl. investment corporation bonds）

275

278

3

Financing related expenses

93

94

1

Others

5

5

（0）

2,900

2,587

（312）

2,900

2,587

（312）

1

0

（0）

Profit

2,899

2,586

（312）

Total dividends

2,899

2,587

（312）

Dividend per unit（yen）

3,642

3,250

（392）

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

31st〜Feb. 29, 2020①②

Sign indicates impact on profit （ unit : mm yen）

（644）

（329）

＋47
① Acquired properties at the 32nd FP（Higashi Hie Business Center Ⅲ Acquired in May 2020）
Canal City Hakata（221）
Canal City Hakata・B（279）
Park Place Oita
（68）
Konoha Mall Hashimoto（111 ）
Office buildings＋43（excl. Higashi Hie Business Center Ⅲ ）［ -of which, increase in leasing revenues-real estate ＋45]
［ -of which, decrease in income from utilities, etc.

Tissage Hotel Naha

（2）]

（25）
（30）
Total : （644）Others② Decrease in outsourcing expenses
Decrease in expenses from utilities

＋286
＋26
Decrease in repair & maintenance expenses ＋23
Increase in depreciation and amortization expenses （25）
［ -of which, Higashi Hie Business Center Ⅲ

Decrease in other expenses

（12）]

＋19
Total : ＋329

Financial statements

7

Statements of Income （compared with the forecast）
Endeavors on cost reductions helped dividend per unit to surpass the forecast by ＋100 yen- unit : mm yen （Figures rounded down to the nearest mm yen）

Account
Total operating revenues

A
32nd
Forecast at 31st

32nd

8,893

8,518

①

（375）

Ordinary profit and loss

Operating profit and loss

6,006

5,551

②

▲312 （454）4,897Expenses related to leasing business

7

Asset custody fees
Administrative service fees

57

Director’s compensations

9

Other operating expenses

60

Non-Operating
profit and loss

79

Total non-operating revenues

0

0

（0）

Total non-operating expenses

378

379

0

Financing related expenses

94

Others5
Ordinary income

2,509

2,587

78

2,509

2,587

78

1

0

（0）

Profit

2,508

2,586

78

Total dividends

2,507

2,587

79

Dividend per unit（yen）

3,150

3,250

100

Profit before income taxes
Total income taxes（13）［ -of which, decrease in income from leasing
revenues-real estate of retail stores（10）]［ -of which, decrease in income from utilities

（11）]

（10）

（8）
（16）
Total : （375）② Decrease in outsourcing expenses
Decrease in expenses from utilities

2,966

278

Canal City Business Center Building

Tissage Hotel Naha

2,887

（incl. investment corporation bonds）（31）［ -of which, decrease in income from utilities （17）]OthersOperating income

Interest expenses

Konoha Mall Hashimoto

Office buildings（others）

520

Asset management fees

（120）
（169）
（8）

① Canal City Hakata
Canal City Hakata・B
Park Place Oita

［ -of which, decrease in income from utilities （10）]605

Other leasing revenues-real estate

Dividend

B-A

7,912

Leasing revenues-real estate

Total operating expenses■Operating profit and loss

Difference

B〜Aug. 31, 2020

Sign indicates impact on profit （ unit : mm yen）

＋309
＋47
Decrease in repair & maintenance expenses ＋72
Decrease in selling general and administrative expenses ＋16＋10
Decrease in other expenses
Total : ＋454

Financial statements

8

Business forecast （the 33rd fiscal period, Feb. 2021）
Anticipate higher revenues due to steady recovery in sales of retail properties, while expecting contributions of newly acquired properties to earnings
Forecast in the 33 rd fiscal period- unit : mm yen （Figures rounded down to the nearest mm yen)

32nd
Actual33rd
Forecast
at 31st

33rd
Forecast
at 32nd

32nd
Actualdifference

33rd
Forecast
difference

A

B

C

C-A

C-B

Operating revenues

8,518

9,240

8,903

①

384

（336）

Operating expenses

5,551

5,951

5,889

②

338

（61）

Account

2,966

3,288

3,013

46

（275）

Non-operating revenues

0

0

1

0

0

Non-operating expenses

379

382

385

6

3

Ordinary income

2,587

2,906

2,628

40

（278）

Profit

2,586

2,905

2,627

40

（278）

Total dividends

2,587

2,905

2,626

39

（278）

Dividend per unit （yen）

3,250

3,650

3,300

50

（350）

Operating income

Sign indicates impact on profit （unit : mm yen）

■Difference between the 32nd FP actualand the 33rd FP forecast① Acquired properties at the 32nd FP＋53（LOGICITY Wakamiya）Leasing contract will start in Nov. 2020
（Full-period contribution of Higashi Hie Business Center Ⅲ） ＋48＋3
Canal City Hakata＋109
Canal City Hakata・B＋105
Park Place Oita
Konoha Mall Hashimoto＋66＋9
Office buildings（excl. Higashi Hie Business Center �）［ -of which, increase in leasing revenues-real estate＋22]［ -of which, decrease in income from utilities, etc.

（13）]

Tissage Hotel Naha
Others（14）＋5
Total : ＋384

（274）
② Increase in outsourcing expenses
Increase in repair & maintenance expenses（117）
Decrease in depreciation and amortization expenses ＋55（2）
Increase in other expenses
Total : （338）Business forecasts

9

Business forecast （the 34th fiscal period, Aug. 2021）
Dividend per unit is forecasted to be 3,500 yen due to increased revenues as sales of Canal City Hakata will recover
Forecast in the 34 th fiscal period

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

33rd
Forecast
at 32nd

34th
Forecast
at 32ndA

Operating revenues

8,903■Variance from updated the 33 rd FP forecast

33rd
Forecast
difference

B

Operating expenses

5,889

5,953

Operating income

3,013

3,174

①

②

＋26
＋65
＋77
＋30

① Full-period contribution of LOGICITY Wakamiya
Canal City Hakata
Canal City Hakata・B
Office buildings

B-A

9,127

Sign indicates impact on profit （unit : mm yen）

224
63
160

［ -of which, increase in leasing revenues-real estate＋22]［ -of which, Increase in income from utilities, etc.

＋8]

＋14
＋12
Total : ＋224

Tissage Hotel Naha
Others（24）（34）② Increase in expenses from utilities
Increase in taxes and other public charges［ -of which, acquired properties at 32nd FP

（18）]

＋24
（12）
（17）
Total : （63）Decrease in depreciation and amortization expenses

Non-operating revenues

1

0

（0）

Non-operating expenses

385

387

1

Ordinary income

2,628

2,787

159

Profit

2,627

2,786

159

Total dividends

2,626

2,786

159

Dividend per unit （yen）

3,300

3,500

200

Increase in selling general and administrative expenses
Increase in other expenses

Business forecasts

10

Situation of active retail①
Almost 100% occupancy rates in active retail properties●Canal City Hakata●Canal City Hakata・B

Sales（annual total（＊1））
Sept. 2019 - Aug. 2020

19.9 bn yen

YoY （36.0）%

Suspended operations throughout the buildings excluding some stores,
given the declaration of the state of emergency. Resumed operations after
the declaration was lifted, but sales decreased year-on-year due to lack ofinbound tourists continuing to impact. Over the short term, plan toimplement measures to attract domestic customers in neighboring andwider areas as well as collaboration with popular contents.

●Park Place Oita

Sales（annual total（＊2）
Sept. 2019 - Aug. 2020

Year-on-year comparison of sales （March - August 2020）

22.5 bn yen

YoY （9.6）%

Sales plunged sharply year-on-year in March - May but recovered to thelevel comparable with the year-earlier figure in June and thereafter. Aim tofurther improve sales by resuming migration-type events that avoid
concentration of visitors at the center stage, while implementing measures
to prevent COVID-19 infection.

Year-on-year comparisonof salesProperty name

Canal City Hakata

35.1％

Canal City Hakata・B

35.1％

Park Place Oita （＊2）

82.9％

Konoha Mall Hashimoto

75.8％

SunLive City Kokura

81.2％

Other retail properties （＊4）

90.2％（excl. facilities that have （＊5）
Other retail facilities been
temporarily closed）

105.2％（＊4） Square Mall Kagoshima Usuki, Kumamoto Intercommunity SC, Hanahata SC, Kurume Higashi Kushiwara SC, K's Denki Kagoshima,

Marinoa City Fukuoka (Marina Side Building) are listed as other retail facilities.

●Konoha Mall Hashimoto（＊5） Marinoa City Fukuoka （Marina Side Building） was temporarily closed from April 9th to May 15th （excl. some stores） , so the figures excluding the property are shown.

Sales（annual total）
Sept. 2019 - Aug. 2020

13.6 bn yen

YoY （14.5）%

Suspended operations throughout the buildings excluding some stores,
given the declaration of the state of emergency. Sales recovered fairly
quickly after the declaration was lifted by utilizing the features as acommunity-based facility. Works to increase unit sales price by attracting
people using various apps and enhancing convenience, including
LINE-based payment, at the food court.

●SunLive City Kokura

Sales（annual total（＊3））
Sept. 2019 - Aug. 2020

ー

YoY （10.1）%

Sales dropped by around 60% year-on-year in April, impacted by the
spread of COVID-19, but have recovered gradually due to demand fromstay at home, etc. Looking ahead, work to vitalize the facility by renewing
tenants and refurbishing common areas in autumn next year as a target.

＊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.
（＊2）Sales at the newly acquired Home Plaza NAFCO at Park Place Oita in July 2020 are added.
（＊3）Sales figures are omitted because SunLive did not consent to their disclosure.

Occupancy rates◎All the properties have kept operating almost at full occupancy
Property name31st

as of Feb. 29, 2020

32nd

as of Aug. 31, 2020

Canal City Hakata

99.8％

100.0％

Canal City Hakata・B

99.5％

99.5％

Park Place Oita

99.9％

100.0％

Konoha Mall Hashimoto

98.7％

100.0％

SunLive City Kokura

100.0％

100.0％

Other retail properties （＊4）

100.0％

100.0％

The weighted average of retail

99.8％

99.9％
Portfolio overview

11Situation of active retail②
Canal City Hakata■Tenant to note （renovation of former LAOX section）
LAOX closed
in August 2020

NITORI to openin March 2021

Renovation work

●The section of LAOX, which was closed in August 2020,

will be renovated for NITORI.

●Promote renovation to make Canal City Hakata a facility
having functions closely related to customers’ lives on■Canal City Theater◎“MAMMA MIA!,” a musical by Shiki Theatre Company, to open on October 1
The Canal City Theater, where the performance of“The Bells of Notre Dame” and “An American in
Paris” was cancelled due to the impact of COVID-19
infection, resumed performances on October 1. “MAMMA MIA!,” a musical featured by the hit songsof ABBA, a world-famous pop group, is a heart-warming story describing the ties between a motherand daughter on the night before the latter’s wedding.

top of its strength of entertainment factors.

■Aqua Panorama
track record◎Year-on-year change of domestic sales of existing

NITORI stores （2020）

（%）

160.0
140.0
120.0
97.1
100.0
80.0
60.0
40.0
20.0
0

Jan.

147.4
101.6

Feb.

110.9

Mar.

96.0

100.6

Apr.

May

122.7 115.0

Jun.

Jul.

Aug.

Source: Prepared by Fukuoka Realty Co., Ltd. based on NITORI Co. Ltd. Year-on-Year Change of Domestic Monthly Sales on the website of
NITORI Holdings Co., Ltd.

Park Place Oita
■Acquisitions of Home PlazaNAFCO at Park Place Oita
Acquisition price

990 mm yen

Acquisition dateJuly 1, 2020

●The acquisition completes the acquisitions ofsponsor-owned properties around Park Place Oita

●Aim to enhance competitiveness while working

to achieve synergy of respective facilities

A qua Panor ama haspresented manyat tr ac tive c ontent s
since One Piece Water
Sp e c t a c le, t he f ir s t
w or k it st ar ted in
November 2016, andwill continue its efforts
going forward.

©Eiichiro Oda ／Shueisha ・ Fuji Television Network, Inc. ・ Toei Animation©Eiichiro Oda ／ Shueisha ・Fuji Television Network, Inc. ・Toei Animation

SunLive City Kokura
Park Place Oita
Lots owned by FRC
Home Plaza NAFCO■Preparation ofbasic renovation plan
Plans are to renew tenants and refurbish
common areas in autumn 2021 as a target.
The plans represent a vitalization investment
to enhance the facility competitiveness, as
the surrounding environment has changed
since the large-scale renovation in 2014.Take
advantage of the renovation effect to expand
future earnings.

Portfolio overview

12Trends in the Fukuoka office market
Vacancy rate rises to 3% level, but rent has risen for 39 consecutive months
Fukuoka business district / Vacancy rates and supply and demand of office buildings（tsubo）

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

Net absorption（absorption demand）［left axis］

Vacancy rate［right axis］ (％)

20

50,000

As of Sept. 2020

45,000Sendai

15.38

40,00030,000Fukuoka 3.15％

14.72

NagoyaOsaka
Sapporo13.23

35,000

11.98
10.99

5.18 ％

Central Tokyo（5 wards） 3.43 ％3.05 ％
2.96％
2.25 ％

10.86

18
16
14

（10,000）（15,000）

Central Tokyo（5 wards）

As of Sept. 2020
Fukuoka
Central Tokyo
Osaka

120

11,01822,733
11,944（yen／tsubo）

110

90

7.70

8

6.30

6

3.07

3.15
2.04

2.09

0
（5,000）Fukuoka
Osaka

130

100

4.26

5,000

Average asking rent of the Fukuoka business district rose 6.1% in the 12 months from Sept. 2019 to Sept. 2020.
(%)

10

15,00010,000◎Average asking rents during the past year [Y2005=100]

12

25,00020,000Fukuoka business district / Average asking rents

422005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

＊The figures from 2005 to 2019 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.

（year）

Definition
Area per floor
Trend of office building vacancy rate Large-scalebuilding 200 tsubo or more
Large-sized building 100 tsubo or more and less than 200 tsubo
in Fukuoka City by size
(％)

8.5

Large-scale building

Large-sized building

Medium-sized building

Small-sized building

Medium-sized building 50 tsubo or more and less than 100 tsubo
Small-sized building 20 tsubo or more and less than 50 tsubo

7.5
6.5

0

Impact of tenant move-outs before closing of large-scalebuildings associated with redevelopment

80

Tenjin Business Center

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

2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021 （year）（scheduled） （scheduled）＊Statistics from 2008 to 2019 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 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.

5.5
4.5
3.5
2.5
1.5
0.5 Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sept.
2019

2020

Source: Prepared by Fukuoka Realty Co., Ltd. based on data “Office Market Monthly Survey（Time Series）” from Sanko Estate Co., Ltd.

Portfolio overview

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

1

Canal City Business Center Building
Total leasable floor space：23,029.92㎡

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㎡

9

Higashi Hie Business Center Ⅲ
Total leasable floor space：2,981.14㎡

Average occupancy rates（historical and projected）
Total leasable floor space：91,881.16㎡

100.0
90.0

96.5

99.1

99.8

99.9

80.0
100.0
90.0

100.0

100.0

100.0

100.0

100.0

80.0
100.0
90.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

99.9

99.7

100.0

Major indicators of owned properties（＊3）
Total amountof acquisition

56,020 mm yen

Investment ratio

27.7％

Average age

16 years 9 months

Tenants

225

Total leasing
revenues-real estatein the 32nd FP

2,352 mm yen

Rent gap（27.0） ％ （＊4）

80.0
100.0
90.0
80.0
100.0
90.0

100.0

100.0

100.0

100.0

100.0

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

100.0

100.0

100.0

100.0

100.0

80.0

100.0
90.0
80.0
100.0
90.0
80.0
90.0

92.7（＊2）

80.0
100.0
90.0

Move out

Trend in rent unit price index
of owned properties （＊5）（index）

107.0

98.1

100.0

105.0
104.0
103.0
102.0

99.0

99.1

99.6

99.8

100.0

101.0
100.0

80.0
Move in（＊3）The figures are indicated as of August 31, 2020.
（＊4）Rent gap indicated the gap between current rent: contract rent with common
charges and market rent, and is calculated as “current rent – market rent /current rent”. Moreover, market rent indicated average of assumed newly
closed rent assessed by CBRE as of Aug. 2020.

106.0

100.0

（Tsubo）

Move-in/move-out floor space

96.1

367
709

30

737
350

31

0
22

32

224

30

180

0

33

34

th
st
nd
rd
th
＊Occupancy rates are calculated as a weighted average during period.
〜Aug. 31, 2019〜Feb. 29, 2020
〜Aug. 31, 2020〜Feb. 28, 2021
〜Aug. 31, 2021
＊Total leasable floor space is figured as of the end of period.
（forecast）（forecast）＊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.（＊2）Since Higashi Hie Business Center � was acquired on May 29, 2020, the occupancy rate is shown from the 32nd fiscal period.

99.0

24th 25th 26th 27th 28th 29th 30th 31st 32nd
Aug. Feb. Aug. Feb. Aug. Feb. Aug. Feb. Aug.
2016 2017 2017 2018 2018 2019 2019 2020 2020（＊5）The rent unit price index is based on the average rent per unit area at theend 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 � and
Higashi Hie Business Center �（But, for Canal City Business Center
Building, only the spaces from the 2nd floor and above are covered）.

Portfolio overview

14Office building rent revisions and tenant replacement situation
The amount of rent expanded from the 32nd fiscal period
Change in monthly rent due to rent revisions and tenant replacements （＊1）

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

5,500

800
700
600
500
400
300
200
100
0

Change due to tenant replacements
Change due to rent revisions

5,000

4,500

4,000

3,500

3,000

Newly occupied floor space

28th

29th

30th

31st

32nd

Aug. 31, 2018

Feb. 28, 2019

Aug. 31, 2019Feb. 29, 2020

Aug. 31, 2020

Number of
new occupants

2

0

6

7

0

Rent’s rateof increase/decrease（＊2）（2.2）％

-

32.0％

17.8％

-

Average freerent period（＊3）

0.0 month-

0.3 month

0.2 month-（＊2） 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.
（＊3） Based on calculation of the average over the free rent period of new contract.

2,500

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

2,000

4,500

1,500

3,500

Floor space subject to rent increase

4,000
3,000
2,500

1,000

2,000
1,500

500

1,000
500

0
（100）

0

28th

Aug. 31, 201829th

Feb. 28, 201930th

Aug. 31, 201931st

Feb. 29, 2020

32nd

Aug. 31, 2020

＊Covers all office buildings owned at the end of each fiscal period（However, for Canal City Business Center Building, only the spaces from the 2nd floor and above arecovered and Higashi Hie Business Center � is not included）.
（＊1）There were no revisions to the rent reductions.

28th

29th

30th

31st

32nd

Aug. 31, 2018

Feb. 28, 2019

Aug. 31, 2019Feb. 29, 2020

Aug. 31, 2020

Number ofrent increase

11

6

16

10

14

Rent’s rateof increase/decrease（＊4）

8.2％

5.7％

4.8％

8.2％

9.3％

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

Portfolio overview

15

Situation of other assets （Hotel, Logistics, Residence）
Over view of Hotel

Logistics （renovation work status at LOGICITY Wakamiya）

Grand Hyatt Fukuoka Fukuoka Washington Hotel[Canal City Hakata・B][Canal City Hakata]

Hotel FORZA Oita

Tissage Hotel Naha◎NOI yield （＊3） is expected to improve from 6.7% to 7.0% due to reduction in the renovation cost.
Jun. 2020
B

HotelSpecialized foraccommodation

Specialized foraccommodation

Specialized foraccommodation

Fixed＋Variable rents

Fixed＋Variable rents

Fixed rents

Fixed＋Variable rents

Area

Fukuoka City

Fukuoka City

Oita City

Naha City

Rooms

370

423

205

132

Operator

FJ Hotels（Fukuoka Jisho Group）

WHG Nishinihon（Fujita Kanko Group）

FJ Hotels（Fukuoka Jisho Group）

Nest Hotel Japan
Corporation

Business
StatusTemporarily closed
from Apr. 8 to May 31

Temporarily closed
from Apr. 15 to May 24

No temporarily closure

No temporarily closure

Leasing Form

◎Trends in lodging occupancy index （monthly average）（index）

Osaka

Tokyo

80.0

Fukuoka

Okinawa

B

M

Aug. 2020
E

B

M

E

Sept. 2020
B

M

E

Oct. 2020
B

M

Nov. 2020
E

B

M

E

Start of leasing

Full-service

removalwork
Parcelconstruction
Construction
work
Work toinstall eaves

Jul. 2020
E

Delivery ofpropertyTypeM

A section after the removal work
（photo taken at end of August 2020）

Work to install eaves（photo taken at end of August 2020）（＊3） It is calculated by NOI / （acquisition price + planned repair work amount） based on the NOI of the appraisal report.

60.0

Residential properties（occupancy rate by property at end of period）

40.0
20.0

◎Residential properties have continued to operate at a high occupancy rate.

0

0
9
9
0
9
19
20
19
19
19
20
19
19
20
20
19
19
20
20
19
20
01
02
01
01
02
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
20
.2
.2
t. 2
r.
l. 2
r.
v.
c.
g.
l. 2
g.
b.
n.
b.
n.
n.
pt.
n.
pt.
ay
ar
ay
ar
e
Ju
Ju
Ju
Ap
Ja
Oc
Ju
Ap
Ja
M
Fe
M
Au
De
No
M
Fe
M
Au
Se
S
Source: Prepared by Fukuoka Realty Co., Ltd. based on the data of "DATA SALAD", Kyushu Economic Research Center.

Canal City Hakata ／Canal City Hakata・B

Tissage Hotel Naha

YoY

（85.0） ％＊The f igure is c alculated as the aver age value for Gr andHyatt Fukuoka and Canal City Fukuoka Washington Hotel.

28th

29th

30th

31st

32nd

（Aug.2018）（Feb. 2019）（Aug.2019）（Feb. 2020）（Aug.2020）

Amex Akasakamon Tower

93.7%

98.8%

98.5%

95.0%

90.6%

City House Keyaki Dori

95.5%

95.6%

92.3%

93.3%

100.0%

Aqualia Chihaya

98.6%

99.3%

100.0%

97.9%

97.9%

D-Wing Tower（＊4）

95.1%

95.0%

94.0%

97.7%

96.7%

30th
（Aug. 2019）32nd（Aug. 2020）

year-on-year

87.2％

36.0％

（51.2） ％ADR （＊2）

9,379 yen

5,030 yen

（4,348） yen

Granfore Yakuin Minami

95.0%

98.0%

100.0%

97.0%

99.0%

RevPAR（＊1）

8,176 yen

1,812 yen

（6,363） yen

The weighted average of 5 properties

95.7%

97.3%

96.9%

96.6%

96.3%

◎Average year-on-year comparison of RevPAR （＊1）
32nd （Aug. 2020）

occupancy rates

Room occupancy
rates（＊1） Revenue Per Available Room = Total accommodation-category sales over a certain period of time divided by the total number of guest rooms available for sale for the same period.
（＊2） Average Daily Rate = Total accommodation-category sales over a certain period of time divided by the total number of guest rooms sold over the same period.

（＊4）The figure for D-Wing Tower includes the retail portion.

Portfolio overview

16Key financing events in the 32nd fiscal period
Reduction of interest costs and extension of debt duration achieved
Results of long-term financing in the 32nd fiscal period

Extension of commitment line agreement period◎Procured 5,900 mm yen in total at fixed interest rates (0.53112% on average)

with an average debt duration of 9.8 years
Date

Refinancing/New

LenderRefinancing Aozora Bank

Jun. 30
2020

New

Resona Bank

Amount（mm yen）

Term

Interest rate

Fixed/
Floating

1,000

10-year0.56922%

Fixed

700

10-year0.56922%

Fixed

New

MUFG Bank

500

9-year

0.60000%

Fixed

New

The Kagoshima
Bank

500

8-year

0.46500%

Fixed

New

Development
Bank of Japan

1,500

10-year0.53000%

Fixed◎Extended the period of the commitment line agreement with The Bank of Fukuoka serving
as the agent by 2 years, setting the remaining term （commitment period） at 3 years◎Secured flexible and stable financing means
LenderCredit Limit

Committed
line ofcredit 1

The Bank of Fukuoka
Resona Bank

Committed
line ofcredit 2New

Mizuho Bank

1,000

10-year0.47000%

Fixed

New

The Kitakyushu
Bank

500

10-year0.52630%

Fixed

New

The Iyo Bank

Total and the weighted
average rates（＊1）

10-year0.52630%

5,900 9.8-year

0.53112％200（＊1）Amounts are totals, and terms and interest rates are weighted averages.

Fixed

Start

End

6,000 mm yen

Aug. 1, 2018

Jul. 31, 2023

The Nishi-Nippon City Bank
Resona BankThe Oita Bank
The Bank of Nagasaki
The Bank of Saga

7,000 mm yen

Mar. 2, 2020 Feb. 28, 2023

Total

13,000 mm yen

Average interest rate （＊2） and duration（％）

Jul. 312020

Period

1.3

Average interest rate（％）（years）

Duration （years）

8

1.2
1.1

7

6.4

1. 0

6.0

6.0

6.1

5.9

6
5

0.9

4

0.8

3

0.7
0.6
0.5

2

0.73

0.73

0.72

0.71

28th
Aug. 31, 201829th
Feb. 28, 201930th
Aug. 31, 201931st
Feb. 29, 2020

0.69
32nd
Aug. 31, 202010（＊2）Interest rates are rounded off to the second decimal place.

Financial strategy

17

Financing condition①
Establishment of stable financial base
Diversification of debt maturities（As of August 31, 2020）
Floating（mm yen）

14,00013,00012,000

Fixed

Investment corporation bonds

Committed line of credit 13,000 mm yen

10,000
8,000
6,000

2,000

4,000

6,300

5,600

5,900

2,000
0

0

33

rd

2020

34

th

0

400

0

35

36

37

th

2021

th

th

2022

38

th

2,500

4,200

2,000

700

2,000

1,900

39

40

41

42

th

2023

th

st

2024

nd

6,600

43

2025

44

th

2026

LTV

7,000

7,000

5,400

1,500

300
rd

4,400

45

th

1,200
700

46

th

47

th

2027

48

th

2028

49

th

2,700

50

th

2029

4,200

4,900
2,000

51

st

52

56

nd

2030

1,000

68th

th

2032

2038

Fixed and floating rate

（％）

50

Floating
45

40

42.3
39.9

39.9

41.4

40.1
38.1

39.3

38.9

39.1

26th

27th

28th

39.7

39.7

39.8

21st

Feb.
2015

22nd
Aug.
2015

23rd
Feb.
2016

24th
Aug.
2016

25th
Feb.
2017

Aug.
2017

Feb.
2018

Aug.
2018

29th

30th

31st

Feb.
2019

Aug.
2019

Feb.
2020

77,500mm yenat the end of
the 31st FP

35

30

Floating

7.6％

5.9％

Fixed

92.4％

82,400mm yenat the end of
the 32nd FP

Fixed

94.1％

32nd
Aug.
2020

Financial strategy

18

Financing condition②
A stable network of sponsor banks and other lenders
Breakdown of debt by lenders

A regional bank transaction network

Investment corporation bonds
Investment
corporation bonds

Sponsor banks

6.1％◎Sharing of information networks unique to regional banks toutilize for our investment strategy in the area

＊As of August 31, 2020
Borrowings:（mm yen）

The Bank of Fukuoka
The Nishi-Nippon City Bank The Kitakyushu Bank
10,000 Borrowing
11,300 Borrowing
2,200
Borrowing
5,000 Committed line of credit 5,000
Committed line of credit

Regional banks
Other financial
institutions

2.4％

The Norinchukin
Bank

3.0％

Resona Bank

5.0％

21.6％

（ex sponsor banks）

14.2％

82,400mm yenOthersat the end of
the 32nd FP

Sumitomo Mitsui
Banking Corporation

3.2％

Sumitomo Mitsui
Trust Bank

4.0％

MUFG Bank

5.9％

Mizuho Bank

Development
Bank of Japan

Regionalbanks

The Bank of Saga
Borrowing

500
300

Committed line of credit

Committed line of credit

1,500
500

The Miyazaki Bank
Borrowing

700

500

The Kagoshima Bank
Borrowing

800

1,300

The Hiroshima Bank
2,000
Borrowing

The Eighteenth Bank （＊3）
700
BorrowingThe
Nishi-Nippon
City Bank

13.7％

The Bankof Fukuoka

12.1％

The Shinwa Bank （＊3）
Borrowing

800

The Bank of Nagasaki
Committed line of credit

The Higo Bank
Borrowing

The Oita Bank
Borrowing

The Iyo Bank
Borrowing

1,200（＊3）Shinwa Bank and Eighteenth Bank merged on October 1, 2020 to become The Juhachi-Shinwa Bank, Limited.

8.7％

Credit ratings （＊4）

Megabanks, Trust banks◎Green financeCategory

LenderLong-term
debt（Green Loan）

Mizuho Bank
The Bank of Saga
The Higo Bank

Balance Average Drawdown Repayment
Interest（mm yen）
Date
Date
Rate

31
2,200 0.521％ Jul.
2019
（＊1）

Jul. 312029

Description
No collateral, No guarantee
Lump-sum upon maturity
Fixed interest rate
Green loan rating : Green 1（＊2）（＊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）FRC was assigned the comprehensive assessment of Green 1, the highest rank, regarding the compatibility to the Green Loan Principles fromJapan Credit Rating Agency, Ltd. （JCR）.

JCR

R&I

AA-

A＋

（Stable）（Stable）（＊4）JCR: long-term issuer rating obtained from Japan Credit Rating Agency, Ltd.

R &I: issuer rating obtained from Rating and Investment Information, Inc.

Financial strategy

19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
Higashi Hie Business Center Ⅲ（＊6）
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）
LOGICITY Wakamiya （＊6） （Logistics）
Total of others
Total properties

32,00028,700（＊3） 19,610
6,633
10,000
5,300
2,400
1,130
2,500
3,550
5,250
117,073
14,600
11,200
4,400
7,000
5,900
2,600
2,800
4,230
3,290
56,020
2,060
1,111
1,280
2,800
1,100
1,530
2,835
1,250
8,150
5,050
1,700
28,866201,959

6.0%
5.4%
6.0%
6.6%
5.3%
6.3%
6.5%
6.4%
6.1%
5.7%
5.5%
6.3%
6.3%
5.9%
6.0%
6.0%
5.4%
6.1%
4.9%
4.4％
5.4%
5.5%
6.8%
5.9%
5.6%
6.6%
5.3%
5.9%
5.2%
5.1%
6.4％
-

Difference

Aug. 31, 2020Feb. 29, 2020

31stBook value
at 32nd

①

②

③

32nd

31,50029,70021,3008,440
10,400
4,940
2,750
1,250
2,790
3,710
6,080
122,860
16,60014,900
6,410
9,090
8,030
3,100
4,380
4,600
3,300
70,410
1,840
1,140
1,860
3,500
1,320
1,890
2,880
1,300
8,910
5,270
2,360
32,270225,540

31,80029,900（＊4） 21,300
8,460
10,500
5,450
2,860
1,250
2,790
3,710
6,080
124,100
16,40014,600
6,400
8,650
8,000
3,100
4,360
4,590
3,290
69,390
1,840
1,140
1,820
3,560
1,320
1,890
2,990
1,420
8,910
5,270
2,350
32,510226,000

29,61628,85820,290
5,487
9,979
4,307
1,968
973
2,026
2,952
5,425
111,885
12,989
8,819
3,756
5,774
4,444
2,669
2,469
4,064
3,294
48,283
1,668
901
1,169
2,669
1,098
1,386
2,853
1,168
7,824
4,838
（＊7） 2,141
27,721
187,891

From
Appraisalvalue at 31st
①-②
（300）
（200）

0
（20）
（100）
（510）
（110）
0
0
0
0
（1,240）
200
300
10
440
30
0
20
10
10
1,020
0
0
40
（60）
0
0
（110）
（120）
0
0
10
（240）
（460）

Direct capitalization values

FromBook value
at 32nd
①-③

1,883
841
1,009
2,952
420
632
781
276
763
757
654
10,974
3,610
6,080
2,653
3,315
3,585
430
1,910
535
5
22,126
171
238
690
830
221
503
26
131
1,085
431
218
4,548
37,64832nd
Cap rate
④

4.5%
4.7%
5.4%
5.8%
5.1%
5.7%
5.6%
5.4%
5.5%
5.4%
4.8%
4.4%
4.3%
4.1%
4.4%
4.5%
3.9%
4.1%
4.5%
4.3%
4.5%
4.5%
4.8%
4.6%
4.4%
5.1%
4.9%
5.2%
4.4%
4.6%
5.7％
-

31st
Cap rate
⑤

4.5%
4.7%
（＊5） 5.4%
5.8%
5.1%
5.7%
5.6%
5.4%
5.5%
5.4%
4.8%
4.4%
4.3%
4.1%
4.4%
4.5%
3.9%
4.1%
4.5%
4.3%
4.5%
4.5%
4.8%
4.5%
4.4%
5.1%
4.9%
5.2%
4.4%
4.6%
5.7％
-

Difference

Appraiser

④-⑤

0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%

Tanizawa Sogo Appraisal

0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%

Tanizawa Sogo Appraisal

0.0%
0.0%
0.0%
0.1%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0％

Daiwa Real Estate Appraisal

Tanizawa Sogo Appraisal
Japan Real Estate InstituteJapan Real Estate InstituteTanizawa Sogo Appraisal
Japan Real Estate InstituteJapan Real Estate InstituteTanizawa Sogo Appraisal
Tanizawa Sogo Appraisal
Tanizawa Sogo Appraisal
Tanizawa Sogo Appraisal

Tanizawa Sogo Appraisal
Japan Real Estate InstituteJapan Real Estate InstituteTanizawa Sogo Appraisal
Japan Real Estate InstituteJapan Real Estate InstituteTanizawa Sogo Appraisal
Tanizawa Sogo Appraisal

Daiwa Real Estate Appraisal
Japan Real Estate InstituteTanizawa Sogo Appraisal
Tanizawa Sogo Appraisal
Japan Real Estate InstituteTanizawa Sogo Appraisal
Japan Real Estate InstituteTanizawa Sogo Appraisal
Tanizawa Sogo Appraisal
Tanizawa Sogo Appraisal-（＊1） Unrealized gain is calculated by subtracting period-end book value （excluding construction in progress in trust） from the latest appraisal value. （＊2） “Acquisition price” indicates the amount excluding such expenses as fees and taxes and other public charges.
（＊3） The figure includes Home Plaza NAFCO at Park Place Oita, which FRC acquired in the 32nd fiscal period. （＊4） The appraisal value of Home Plaza NAFCO at Park Place Oita upon its acquisition has been added to the appraisal value at the end of the 31st fiscal period. （＊5） The figure does not include Home Plaza NAFCO at Park Place Oita.
（＊6） The appraisal value and the cap rate using the direct capitalization value indicate the figures based on the appraisal upon acquiring the property. （＊7） The figure indicates the amount obtained by adding the planned renovation cost to the book value, as the renovation work has not been completed at the end of the 32nd fiscal period.

Appraisal value

20

Historical appraisal values （unrealized gains）
Maintained continuously since the 3rd fiscal period （Unrealized gains 37,648 mm yen, 20.0% ratio of unrealized gains at the 32nd FP
Historical appraisal values）

Unrealized gain increased by 725 mm yen period-on-period

Book value at the end of period( * 2)（mm yen）（＊1）

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

250,000

29,467200,000

24,255
16,777 19,830

8,243
6,498

5,543

6,066

9,138

11,097

21,15231,804 34,087

36,92337,64822,878 25,541

14,434

6,522

150,000
20,79921,07012,465 9,300

18,742

8,953

9,394

6,989

13,955
7,894
100,000

1,893-411
146,621 146,246 150,603

50,00081,771

0

2nd

Aug.
2005

86,777

3rd

Feb.
2006

93,556

4th

Aug.
2006

103,025 107,338

5th

Feb.
2007

6th

Aug.
2007

152,422

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

172,406 171,555 168,902

182,352 184,715 183,532 182,336 187,891
164,527 169,031 168,138

112,001 115,560 115,195

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

7th

10th 11th 12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd

Feb.
2008

8th

Aug.
2008

9th

Feb.
2009

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

Feb.
2020

Aug.
2020

( * 1)Ratio of unrealized gains = （latest appraisal value – book value at the end of period( * 2)）／book value at the end of period（＊2）.
( * 2)Book value at the end of period does not include construction in progress. Since the renovation of LOGICITY Wakamiya had not been completed as of the end of the 32nd schedule period, the estimated amount of renovation is added to the book value at the end of the fiscal period.

Appraisal value

21

Current situation of Fukuoka City①
Fukuoka City has seen an excess of more than 10,000 in-migrants over out-migrants for 8 straight years

1,600

Number of population in Fukuoka City ［left axis］
Excess number of in-migrants over out-migrants ［right axis］

16,00012,000

1,560

1,603

Surpassed 1.5 million people

1,520
1,500
1,480
1,460
1,440

1,494

2012

1,524

1,509

1,567

1,553

1,538

1,579

10,000
8,000

1,592

6,000
4,000
2,000

2013

2014

2015

2016

2017

2018

0
2020 （year）

2019＊The number of population is the figure as of October 1. (Year 2020 is the figure as of September 1)
Source: Prepared by Fukuoka Realty Co., Ltd. based on data from “Estimated Population”（Fukuoka City General Affairs and Planning Bureau）
and “Population,
Demographics and Number of Households Based on the Basic Resident Register”（Local Administration Bureau, Ministry of Internal Affairs and Communications）

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

35,000Osaka

30,000Social increase/decrease

The number ofover out-migrants
was about 7,800 14,000
from Jan. toAug. 2020

1,580 Over 10,000 over out-migrants each year since 2012

1,540

（people）

Social increase

thousand（ people ）Distribution chart of net increase/decrease in population（comparison of ordinance-designated cities）（2019）（ Net increase in in-migrants: number of in-migrants /）number of out-migrants

Trends in number of population growth the excess number of
in-migrants over out-migrants in Fukuoka City Surpassed 1.6 million people

25,00020,000

Yokohama

NagoyaSapporo

Kyoto
Kobe

（6,000）Sendai

Sagamihara

Kitakyushu Shizuoka Hamamatsu
Niigata（8,000）Kawasaki

10,000Chiba（10,000）

Fukuoka

15,000SaitamaSakai（4,000）Hiroshima（2,000）5,000

Okayama0

Natural increase

Kumamoto（5,000）Natural increase/decrease

0

2,000

4,000

（Net increase in the number of births: number of births － number of deaths）
Source: Prepared Fukuoka Realty Co., Ltd. based on data “Estimated Population” from Fukuoka City General Affairs and Planning Bureau and “Population,
vital statistics and number of households based on the Basic Resident Registration” from Ministry of Internal Affairs and Communications.

Interregional migration of university students in Kyushu（people）

Youth population（ Percentage of city population aged 15 to 29）【Fukuoka City】Youth population: 17.4% （ranked 1st）
Working-age population: 64.8% （ranked 3rd）

（％）

18.0
17.5
16.5

Kumamoto

Okayama

16.0
15.0

Kobe

14.5

13.0

Sagamihara

Kitakyushu

57.0

58.0

Hamamatsu

Nationwide

Shizuoka

59.0

Saitama

Hiroshima

60.0

61.0

1,470
3,615

Yokohama

1,134

SapporoStudents from
Students
outsideprefecture from within
prefecture[11,713][15,138]

43.6%

56.4%

Saga
Oita

Nagasaki
Kumamoto

Enrolled in universities in Nagasaki【Nationwide】Youth population: 14.5%
Working-age population: 60.0%

62.0

26,851

Enrolled in universities in Saga

Chiba

Sakai

14.0
13.5

Niigata

Kawasaki
Tokyo

Osaka

Nagoya15.5

Fukuoka

Sendai

Kyoto

17.0

University students
in Fukuoka

63.0

64.0

65.0

66.0 （％）

Working-age population （Percentage of city population aged 15 to 64）
Source: Prepared by Fukuoka Realty Co., Ltd. based on Ministry of Internal Affairs and Communications “Population Census of Japan”

Enrolled in universities in Kumamoto

7,480

Outside of Kyushu

1,071
Enrolled in universities in Oita

4,116
800

Enrolled in universities in Miyazaki

5,525

1,296

4,887

MiyazakiKagoshima

4,203
1,055

Enrolled in universities in Kagoshima

6,228

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from FY2019 School Basic Survey（Preliminary Results）（Statistic Bureau,
Ministry of Internal Affairs and Communications）

Situation of Fukuoka and Kyushu

22Current situation of Fukuoka City②
Comparison of commuting times

Short commuting time
to work and school（Fukuoka City and 23 wards of Tokyo）
1.1％

1.1％

0.3％

0.7％

1.6％

12.4％

5.4％

1.3％

Others (home/unknown)
2 hours or more
1.5 hours to less than 2 hours

33.5％（comparison with the world’s cities）

Rank

City

1

Geneva2

Vienna3Frankfurt

4

Barcelona

5

Fukuoka27

Tokyo

1 hour to less than 1.5 hours
30 minutes to less than 1 hourLess than 30 minutes

52.7％

58.1％
31.8％

23 wards of Tokyo

In Fukuoka City,
58.1% ofcommuters
commute inless than
30 minutes

Source: Prepared by Fukuoka Realty Co., Ltd. based on
dat a fr om “ Global Po w er Cit y Inde x
YEARBOOK 2019” by the Institute for Urban
Strategies, The Mori Memorial Foundation

Fukuoka City

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from 2018 Housing and Land
Survey by the Statistics Bureau of the Ministry of Internal Affairs and Communications

Rate of remote work implementation by region◎The rate of remote work implementation in Fukuoka Prefecture is lower than
the Tokyo metropolitan area or Osaka Prefecture.
Rank

Prefecture

Implementation rate in May

Change in implementation
rate from April

1

Tokyo

48.1％

（1.0）％

2

Kanagawa

39.2％（3.5）％

3

Saitama

29.6％（4.6）％

4

Chiba

27.8％

（10.2）％

5

Osaka

26.9％

（2.2）％

14

Fukuoka

17.3％（6.5）％

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from “The Third Emergency Survey on the Impact of COVID-19 on Telework”,
PERSOL RESEARCH AND CONSULTING CO., LTD.

Becoming an infection-controlling city ahead of the world
Amid progress made in rebuilding projects
under the Tenjin Big Bang and Hak a t aConnected projects, it becomes important tocreate a safe and secure city tailored to theera of infection. Thus, Fukuoka City promotes
such endeavors as securing ventilation,
non-contact operations, physical distancing
and enhanced telecommunications setting atbuildings, on top of improving earthquake
resistance through rebuilding and creating/utilizing
open spaces.

◎Assessing endeavors on town creation
GlobalcompetitivenessGlobal＋ Infection control
competitiveness

Expand the city's own system torelax the floor area ratio requirement
for building projects engaged in suchendeavors

Up to

50％

（ Announced by the Fukuoka City Government on August 27, 2020）

TEAM FUKUOKA established to attract international financial functions
The Japanese government aims to expand acceptance of foreign financial institutions and overseas
financial talents. In response, TEAM FUKUOKA, apromotion organization of industry-academia-government collaboration throughout Fukuoka, wasestablished so that a variety of entities involved in
attracting international financial functions to Fukuoka
will mutually share and exchange information andwork by taking advantage of respective features.

◎List of Officers
Position＊As of September 29, 2020

Group name

Name

Chairman Kyushu Economic Federation

Aso, Chairman

Fukuoka Prefecture
VicePresident Fukuoka City

Ogawa, Governor

AdvisorTakashima, Mayor

Kyushu University

Kubo, President

Fukuoka Prefectural Assembly
Summary

Yoshimatsu, Chairman

Fukuoka City Council

Abe, Chairman

The Fukuoka Chamber ofCommerce & Industry

Fujinaga, Chairman

Kyushu Electric Power Company Ikebe, President and CEO
Kyushu Railway Company

Aoyagi, President and CEO

Kyudenko

Sato, President

Saibu Gas

Michinaga, President

Secretary The Nishi-Nippon City Bank
Nishi-Nippon Railroad

September 29, 2020
General Meeting of Establishment of TEAM FUKUOKA
to Attract International Financial Functions
Photo by Fukuoka Economic Editorial Department

Tanigawa, President
Kuratomi, President and CEO

The Bank of Fukuoka

Shibato, President

Fukuoka Jisho

Enomoto, President and CEO

Fukuoka Stock Exchange

Odahara, President

Situation of Fukuoka and Kyushu

23

Sustainability
Materially significant issues
Environment ➡ P32

Policies and targets

Reduction ofenvironmental load

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

Maintenance andenhancement ofenvironmental andconstruction 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 representationof building performance

Asset
manager● Improve quality of operations by enhancing and expanding employee education system and promoting acquisitionof 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

Environment

Materially significant issues

Creation ofpleasant
workplaces■A countermeasure againstriver floods due to extraordinary
typhoons and local heavy rains
occurring in recent years under
the influence of global warming●Canal City Hakata

Reviewed the specifications and installation
locations of existing water stop

SocialSocial ➡ P33

GovernanceContribution to boosting
attractiveness andvitalization 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 incollaboration with local business circles

Involvement inlocal 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 disclosureand 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 inmanagement 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 andimprove corporate value

Certification from external organizations ➡ P31
and information disclosure■Please refer to the Integrated Report 2019.
URL : https://www.fukuoka-reit.jp/eng/ir/pdf/integrated_report_print.pdf

of COVID-19 infection●Measures against Infectious Diseases

for Tenants and Employees●Support for tenants （restaurant/eatery）●Installation of alert posters, etc.

Governance ➡ P34■External evaluation■Publication of “Integrated Report ●The GRESB survey 20192019”: first in the J-REIT industry

Integrated Report Card

■Measures against the spread

Received the rating of “GreenS t ar ” and “4 s t ar ” in t he
GRESB survey 2019

■Green Building certificate●Green Building certificate
acquisition ratio

Certificatedproperties

79.8％※As of August 31, 2020（based on total floor space）■Changes to the asset

management fee structure●Effective on September 1, 2020
（beginning of the 33rd fiscal period）
The Management Fees 1 and 3
were reviewed for the purpose of
fur ther r einf or cing the link age
between unitholder interest and theasset management fee structure

・ Management Fee 1

Reduced the rate of total assets at
the end of the fiscal year from 0.3%
to 0.25%

・ Management Fee 3

Raised the rate from 2.0% to 3.6%
on the amount av ailable f or
distribution before payment of the
management fee 3

Sustainability

24

サステナビリティへの取り組み

Appendix25

Profile
Special features of Fukuoka REIT Corporation

1
2
3
4
5

Proven track record over 32 fiscal periods as a region-specific REIT

◎Investment type
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）

15 / 122,990 mm yen

Excellent portfolio centered on Fukuoka metropolitan area

Unrealized gains

37,648 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

591,021.51㎡

Occupancy rate

99.7％

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

Others31 / 201,959 mm yen

Financial highlight （＊1）
Total debt

82,400 mm yen

LTV

41.4％

Fixed rate

94.1％

Average interest rate

0.69％

Credit ratings（based on acquisition price）

JCR AA−（Stable）
R &I A＋ （Stable）

14.3％
Office buildings

Retail

27.7％

58.0％

◎Investment area（based on acquisition price）

Other
Kyushu areas

23.4％

Fukuoka
metropolitan area

76.6％

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

136,500 yen
796,000 unit
108,654 mm yen （unit price ＊ outstanding units）
127,544 yen
171,592 yen
3,250 yen per unit （Days in fiscal period 184days） at the 32nd FP
4.7％ { （Dividend / days in fiscal period ＊ 365） / Unit price}（＊1） The figures are as of August 31, 2020 (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 asset value per unit=（Total net assets + Unrealized gains - Total amount of dividends）/ Total number of investment units outstanding

Appendix26

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％
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

99.4 99.2
99.0

99.7

J-REIT average（＊2）

99.3 99.1
99.2 99.3 99.1 99.0
99.0 99.1 99.0

99.3

98.9 98.7 99.1

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

99.8 99.7 99.6 99.7 99.6 99.6 99.7
99.5 99.5 99.6 99.6 99.4

99.0
98.7 98.6 98.7 98.7 98.8
98.5 98.5 98.6

99.5
（＊3）
99.2 99.2 99.2 99.2
（＊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 31st 32nd
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

Feb.
2020

Aug.
2020

（＊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 32nd 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 31st and 32nd fiscal periods are preliminary figures. The figures for the 32nd fiscal period are the figures for June 2020.

Occupancy rates [the weighted average during the period]
Category

Investment ratio（based on acquisition price）

28th〜 Aug. 31, 2018

29th

〜 Feb. 28, 201930th

〜 Aug. 31, 201931st

〜 Feb. 29, 2020

32nd

〜 Aug. 31, 2020

Retail

58.0％

99.8％

99.8％

99.8％

99.9％

99.8％

Office buildings

27.7％

99.5％

99.8％

99.0％

99.1％

99.5％

Others

14.3％

99.1％

99.1％

99.2％

99.2％

99.1％

Total

100.0％

99.6％

99.7％

99.6％

99.6％

99.7％
Appendix28

Dividend and NAV per unit
■17th
Tenjin Nishi-Dori Center Building 2,600

Dividend per unit
■14th
Canal City Hakata・B 28,700■18th
D-Wing Tower
2,800
Hotel FORZA Oita
1,530
Tenjin North Front Building 2,800■16th
Aqualia Kego
2,800
Aqualia Chihaya 1,280

（yen）

5,000
4,000

■22nd
■29th
■32nd
LOGICITY Minato Kashii
Tissage Hotel Naha 2,835 Higashi Hie Business Center Ⅲ 3,290
8,150 ■26th
Marinoa City Fukuoka（Marina Side Building） 5,250
1,700
LOGICITY Wakamiya
LOGICITY Hisayama 5,050
Park Place Oita（adjacent land）
Park Place Oita（Home Plaza NAFCO） 990
590
■28th
■21st
■25th
Konoha Mall Hashimoto 10,000
Granfore Yakuin Minami 1,100
Park Place Oita（Sports Club NAS）1,470
Higashi Hie Business Center Ⅱ 4,230
AEON Hara Shopping Center（Sold）（5,410）（adjacent land）860
Park Place Oita
（2,800）Aqualia Kego（Sold）■20th
Tosu Logistics Center 1,250

3,293

3,384

3,324

3,238

3,257

3,291

3,243

3,278

13th

14th

15th

16th

17th

18th

19th

20th

Cruise shippassenger
shopping sprees

COVID-19

Kumamoto
earthquake

3,435

3,563

3,574

3,479

3,398

3,422

3,512

3,593

3,687

21st

22nd

23rd

24th

25th

26th

27th

28th

29th

3,693

3,642

3,250

3,000
2,000
1,000
0

30th

31st

32nd

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 Feb. 2020 Aug. 2020

NAV per unit （＊）（yen）

200,000
180,000
160,000
140,000
120,000
100,000

125,647 123,001 121,447 122,299 123,041 127,080

13th

14th

15th

16th

17th

18th

128,375 131,215

19th

20th

136,051

144,472

21st

22nd

148,558

23rd

152,259 150,328 152,639

24th

25th

26th

156,20427th

167,118
161,315 164,250

28th

29th

30th

170,680 171,592

31st

32nd

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 Feb. 2020 Aug. 2020
＊ 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 asset value per unit=（Total net assets + Unrealized gains - Total amount of dividends）/ 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］

Basic Rate of Earthquake Insurance◎Earthquake insurance with coverage starting on January 1, 2019 and thereafter●In Fukuoka Prefecture, earthquake insurance can be bought at a relatively smaller cost than inother areas.FRC has bought earthquake insurance for all of its owned properties.

25,000Tokyo

14,400Aichi

12,600Osaka
Fukuoka

0

5,000

7,100
10,00015,00020,00025,000（yen）

30,000＊The basic rate is per 10 million yen of insurance amount mainly for steel-frame and concrete structure buildings over the insurance period of one year.

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from Basic Rate of Earthquake Insurance (earthquake insurance contract with coveragestaring on January 1, 2019 and thereafter) by the Ministry of Finance.

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 128,300 ㎥

FY1999 No storm water storage facilities

Storm water management capacity increased from 59.1mm/h to 79.5 mm/h （city center）◎Instances of building inundation in Fukuoka Cityof
（Numberbuilding ）Instances of building inundation
steadily declining

3,000
2,000

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

Maximum hourly
precipitation（mm/h）

Storm water drainage
capacity has
increased significantly.

3,173

1,000

Between
FY2000 and FY2018…

1,721

1,122

3

Since the launch of
the project in FY2000…

Instances of inundation
have steadily declined.

June 29,
1999

July 19,
2003

July 24,2009

August 30,
2013

79.5

104

116

72.5

＊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

Certification from external organizations and information disclosure
External evaluation

Institution of signatory
Signing of the PRI and PFA21 as of September 2018
◎Principles for Responsible
Investment （PRI）

Publication of “Integrated Report 2019”: first in the J-REIT industry◎ The GRESB survey 2019

FRC published the “Integrated Repor t 2019,” which
integrally provides its financial and non-financial
inf or mation and enc ompasses it s initiatives f orsustainable growth and medium-to long-term corporate
value creation, as of January 6, 2020.
Aimed at demonstrating FRC’s value-creation process inan easy-to-understand manner, the Report presents its
history, management philosophy, value-creation activities
and the foundations underpinning management, etc.
This r epor t was c ompiled in r efer enc e to“International Integrated Reporting Framework” by◎Principles for Financial Action

towards a Sustainable Society（Principles for Financial Action
for the 21st Century）

For the second consecutive year, wepar ticipated in GRESB Real Est ate

Assessment of GRESB（Global Real Estate
Sustainability Benchmark）conducted in
2019, Received the rating of “GreenStar”and “4 star” in the GRESB survey 2019.

the International Integrated Reporting Council（IIRC）
and “Guidance for Collaborative Value Creation” by
the Ministry of Economy, Trade and Industry.

DBJ Green Building Certification◎DBJ Green Building Certification
Fukuoka REIT has obtained DBJ Green Building Certification, a system by Development Bank of Japan Inc.（DBJ）tocertify real estate properties evincing high environmental and social awareness for the following 11 properties.

Integrated Report Card

■Please refer to the Integrated Report 2019.
URL : https://www.fukuoka-reit.jp/eng/ir/pdf/integrated_report_print.pdf◎Points of interest of investors in the Integrated Report● Corporate value creation story● Relationship between materiality and risks/opportunities

Certificatedproperties

79.8％（based on total floor space）

5-star●Canal City Hakata （2018） , ●Canal City Hakata ・B（2018）4-star●Park Place Oita（2018） , ●Canal City Business Center Building（2018） ,●LOGICITY Hisayama（2017） , ●Konoha Mall Hashimoto（2017）3-star●Gofukumachi Business Center （2018） , ●Higashi Hie Business Center （2018） ,●Higashi Hie Business Center Ⅱ（2017）

1-star●SunLive City Kokura（2019） , ●Marinoa City Fukuoka（Marina Side Building）（2019）◎Green Building certificate acquisition ratio [as of August 31, 2020]
Green Building certification obtained for 79.8% of entire portfolio

BELS （Building-Housing Energy-efficiency Labeling System） Evaluation
This is a system in which a third party evaluates and announces
the energy-conservation performance of non-residential buildings
based on the “Guidelines for Evaluation of Energy Conservation

Performance of Non-residential Buildings（2013）.” Four properties
owned by the Fukuoka REIT corporation were certified.
Higashi Hie Business Center Ⅱ

Higashi Hie Business Center

LOGICITY Minato Kashii

LOGICITY Hisayama

Aim to enhance the environmental performance of owned properties through external
evaluation in order to help realize a sustainable society and maximize unitholder value
over a medium to long term.

Appendix31

ESG Initiatives （Environment）
Environment Initiatives in the 32nd fiscal period■Canal City Hakata
Grand Hyatt Fukuoka

Canal City Hakata （North building side）●Renewal of rooftop greening●Replacement and new installation of water stops

Renewed the rooftop garden used as a venue for the guests torelax and talk, with an aim to enhance biodiversity by planting
tall and mid-height trees, shrubs and ground covers, etc. ofvarious species.

Reviewed the specifications and installation locations ofexisting water stops throughout Canal City Hakata, andn e w l y i n s t a l l e d o r r e p a i r e d t h e e qui p m e n t a s a
countermeasure against river floods due to t yphoons
and local heavy rains, which are said to be frequent andsevere global warming in the future.

Other Environment Initiatives

Canal City Business Center Building

In contrast to the existing water stopsof +50 cm from the standard level, （＊）
the new water stops are +100 cm
from the standard level, enhancing
the anti-inundation function,

Canal City Hakata （South building side）（＊） The reference point is "0" for the entrance and exit closest to the lowest road in the vicinity of Canal City Hakata.

■Office buildings■Others [Logistics]●Filtration System : rainwater reuse system◎Progress with switch to LED lighting◎Utilization of renewable energy◎ Canal City Hakata

Switch to LED lighting
Gofukumachi Business Center

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

■Retail

C anal Ci t y Hak a t a’ s s y mb o lic c anal ha s b o t h arecreational function and as a source of water to fightfires in the case of an emergency. At all times, this canalholds roughly 1,200 tons of water, and this water uses
rainwater in order to conserve resources.

●Greywater plant:●（Interior shared spaces, some external areas, etc.）●

Sanix Hakata Building●

Taihaku Street Business Center

Solar panels（Interior recessed lighting）（Entrance, interior shared spaces, etc.）

kitchen drainage reuse system◎ Canal City Hakata and Konoha Mall Hashimoto
the kitchen drainage from restaurants are processed to
greywater and re-used as washing water for toilets
within the buildings.

＊Example of Sanix Hakata Building

LOGICITY Hisayama

Appendix32

ESG Initiatives （Society）
Initiatives for employees and tenants■Retail■Office buildings■Initiatives for employees●Major anti-infection measures●Major anti-infection measures●Major anti-infection measures

●
●
●

●

Install alcohol disinfectants and anti-splash screens
Call for attention to social distancing
Conduct thorough health management of tenants’ employees
by taking their temperature, etc.
Reduce chair and table counts in common areas●●●

Install alcohol disinfectants at the entrance
Strengthen ventilation in common areas, etc.
Post warnings about anti-infection measures in elevators

●
●

●
●

Support for tenants（restaurant/eatery）

Posters for infection
control measures●Lunch box market

Raise awareness of theinfection control measuresby displaying posters inelevators, etc.

Canal City Hakata restaurants
sell take-out lunch boxes only
on weekdays.

Establish a satellite office （in Tenjin chuo-ward, Fukuoka）
Implement work from home, staggered work
hours and holiday work
Distribute masks and thermometers
Conduct morning assemblies and meetings
using the Internet, etc.

Install anti-splash screens and antiseptic solutions,etc. at offices and reception desks（6/22-7/17, 9/28-10/9）

Fukuoka Realty Reception《Fukuoka Realty: Numbers of credentialed personnel》（As of August 31, 2020）《Support for flexible working styles》●■The average number of years of continuous serviceof permanent employees: 8 years and 10 months●●■Full-time personnel: 41 [Male:20 Female:21] ※51.2％ Female●●

Employees seconded from sponsors：2
Employees seconded to a sponsor：4

●

●

●

●

Real estate brokers : 26

Certified Building Administrators : 5

First-class registered architect : 2
Real estate appraisers : 2

ARES Certified Masters : 23

●

●

●

●

●

●

《Training for employees》
Regular lectures by Kyushu Economic Research Center
Compliance training● ESG training● Nursing care training● In-house recreation, etc.
●●

《Career development support》■Number of credentialed personnel●●

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.

Attorneys : 1

MBA : 1

Administrative Scrivener : 1

SME management consultant : 1

●
●
●
●

●

Employee satisfaction survey
Self-assessment system
Career interview
Secondment system（dispatching of employees
to sponsor companies）
Promotion from contract employee topermanent employee status, etc.

Offering of training programs tailored to eachmanagement level
System for supporting acquisition of qualifications（Real Estate Securitization Master, Real EstateTransaction Agent, etc.）
Support for language learning, etc.

●

●

●

Appendix33

ESG Initiatives （Governance）
Matching unitholder interests and sponsor interests, etc.

Governance System
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.

■ Analysis on trade areas andcompetition situation

Fukuoka REIT Corporation Board
of Executive Officers

Changes to the asset management fee structure
The Management Fees 1 and 3 were reviewed for the purpose of further reinforcing
the linkage between unitholder interest and the asset management fee structure, andthe following changes were resolved at the ninth General Meeting of Unitholders heldon May 26, 2020 for further enhancing unitholder value. The changes became
effective on September 1, 2020 （beginning of the 33rd fiscal period）
Asset management fees

Management Fee 1（based on total assets）[Engineering reports]■ Law abidance andearthquake resistance

Resolution/decision-making report
by Board of Directors

Fukuoka Jisho Co., Ltd., the main sponsor, has 9.18% of FRC’ s investment units
as of the end of the 32nd fiscal period.
・ Cumulative investment system for investment units
A cumulative investment system for investment units was introduced for the AssetManager officers and employees in April 2015 in order to enhance their mindset for FRC’ sinvestment unit price and better performance as well as promote their assets formation.

［Market reports］■ Adequate rent levels, etc.

Deliberations/resolution
by the Compliance Assessment Committee

・ Same-boat investment by sponsor■ 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.

Management Fee 2

Calculation method【3 months from the day following the last day of the immediately preceding fiscal period】
Total assets at the end of the immediately preceding fiscal period
× 0.25%（previously 0.3%）× number of days / 365【From the day following the last day of the period above to the end of the fiscal period】（Total assets at the end of the immediately preceding fiscal period +value of acquired assets - value of disposed assets）
× 0.25%（previously 0.3%）× number of days / 365（based on operating revenue）

Operating revenue for the immediately preceding fiscal period × 2.0%

Management Fee 3（Distributable amount before paying Management Fee 3
for the immediately preceding fiscal period）× 3.6%（previously 2.0%）

Management Fee 4

Value of acquired assets × 0.5%
（Value of acquired assets × 0.25% in the case of acquisition from interested parties）

Management Fee 5

Value of transferred assets × 0.5%
（Value of transferred assets × 0.25% in the case of transfer to interested parties）（based on distributable profit）（acquisition fee）

（transfer fee）

Appendix34

IR initiatives
IR activities under the COVID-19 Pandemic

Publicity activities◎ IR for domestic institutional investors◎ Advertising（Nishinippon Shimbun）

・ Financial results briefing for analysts and institutional investors（Following on-line live streaming） Post the video on the website the next day.
・ Roadshows on financial results （conference calls）
・ Setting tours to individual properties

Posted an article introducing Fukuoka
Realty on the summer issue of Nishinippon Shimbun Oh! En!, a monthly money
information magazine published by a local
newspaper company since 2017, in which
President Matsuyuki explained the J-REIT
scheme and features of FRC with illustrations in an easy to understand manner.

◎IR for overseas institutional investors
・ Articipation in global conferences （online） sponsored by securities companies
・ Roadshows on financial results （North America, Europe and Asia）
・ Timely information disclosure （held simultaneously as the delivery ofJapanese press releases）（Issued in August 2020）◎IR for individual investors
・ Holding of a general meeting of unitholders（Thoroughly taking measures against COVID-19 infection）
・ Responding to individual calls＊Considering participation in on-line briefing sessions and fairs in the 33rd fiscal period

Status of integration into indexes （as of September 30, 2020）◎Global indexes, etc

Posted advertisement on the special issue of Fukuoka KeizaiEX, a local economic magazine, to demonstrate the review of
FRC’s footsteps at the threshold year （15th year since listing）
and introduce the issuance of the integrated report, the firstamong J-REITs, to wide readership.
（Issued in April 2020）

FTSE All-World （small / New entry）

FTSE EPRA /NAREIT Global Real Estate Index◎ Advertising （Fukuoka Keizai）

Russell Global Index

Other activities
The 10th IR Workshop series, which was started in fiscal 2011. Fukuoka REIT, together with listed companies having
their head offices in Fukuoka or Kyushu for the purpose of engaging in research in the latest IR theories and techniqueswith IR representatives. Partially utilizing online functions due to the impact of COVID-19 infection in this year.

◎Details of the Workshop held
Date

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

MSCI Small Cap Index

1st workshop:
August 2020

Theme & lecturer
Initiatives for constructive dialogues between institutional investors and issuers
Mr. Shunji Okumura, General Manager of Investor Relations Department,
Global Investor & Brand Communications Headquarters, OMRON Corporation

Appendix35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
Appendix36

Unitholders’ data
No. of unitholders and investment units held by unitholder category

Distribution by investor category [breakdown of investment units]（units）

800,000

796,000

796,000

796,000

796,000

10.61%

10.82%

10.41%

9.92%[84,462][86,164][82,909][78,972]

796,000[108,922][121,489]

14.82%[118,040]

14.19%[113,013]

14.55%[115,855]

13.65%（108,709]

600,000

12.33%[98,217]2.58%

500,000[20,588]

59.20%
400,000[471,244]

12.34%

12.81%

12.95%

3.88%

4.70%

5.53%

[98,295][30,940][102,039][37,482][103,148][44,063]

13.41%[106,781]

44.66%[355,509]

13,87795.91％

108,92213.68％

Foreign corporations

210

1.45％

108,70913.65％

Other corporations

274

1.89％

106,781

13.41％

Stock brokers

24

0.16％

33,625

4.22％

Financial institutions

83

0.57％

437,963

55.02％（Of which held by trust banks）

11

0.07％

329,071

41.34％

14,468100.00％796,000

100.00％Individual

Total

Major investors [at the end of the 32nd FP]
58.11%[462,561]

57.85%[460,557]

42.27%[336,533]

40.15%[319,608]

28th
29th
30th
August 31, 2018 February 28, 2019 August 31, 2019

Financial institutions

Percentage

4.22%

57.03%[453,962]

55.02%[437,963]

42.22%[336,145]

41.34%[329,071]

100,000

0

No. of unitholders

Of which held by trust banks＊Percentages and ratio are rounded off to two decimal places.

Percentage[33,625]300,000

200,000（As of August 31, 2020）

Investment
units held

13.68%

700,000
15.26%[at the end of the 32nd FP]

Stock brokers

31st
February 29, 2020

Other corporations

32nd
August 31, 2020

Foreign corporations

Individual

Rank

Name

（As of August 31, 2020）

Investment
units held

Percentage

1

Custody Bank of Japan, Ltd.（Trust account）

169,65421.31％

2

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

86,221

10.83％

3

Fukuoka Jisho Co., Ltd.

73,136

9.18％

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

37,002

4.64％

5

Custody Bank of Japan, Ltd.
（Securities investment trust account）

19,059

2.39％

6

NORTHERN TRUST CO.（AVFC） RE HCR00

14,083

1.76％

7

STATE STREET BANK WEST CLIENT - TREATY 505234

11,597

1.45％

8MetLife, Inc.

10,227

1.28％

9

Shikoku Railway Company

9,130

1.14％

10

Nomura Securities Co., Ltd.

8,961

1.12％

Appendix37

Unit price chart
Investment unit price （＊1）

Turnover （＊2）：108,654 mm yen■Market capitalization（as of Aug. 31, 2020）（yen）（units）

300,00032

nd120,000

April 27, 2015
4th PO

250,000

100,000
June 21, 2005
ListedMarch 1, 2013
3rd PO

200,000

March 1, 2018
5th PO

80,000March 1, 2011
2nd PO

150,000

60,000
September 7, 2006
1st PO

100,000

40,00050,00020,00000Aug. 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, Feb. 29, 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 2018 2018 20192019 2020 2020（＊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.

Appendix38

Financial highlights
Dividend per unit was 3,250 yen- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

28th〜 Aug. 31, 201829th

〜 Feb. 28, 2019

30

31st

th

〜 Aug. 31, 2019

〜 Feb. 29, 2020
A

32nd

〜 Aug. 31, 2020
B

Difference
B−A

33rd

34th

〜 Feb. 28, 2021
（forecast）〜 Aug. 31, 2021
（forecast）

Operating revenues

9,178

9,242

9,231

9,162

8,518

（644）

8,903

9,127

Leasing NOI
Depreciation and amortization
expenses

5,493

5,591

5,633

5,596

5,307

（288）

5,299

5,448

1,602

1,622

1,651

1,660

1,686

25

1,631

1,607

Operating income

3,238

3,306

3,318

3,273

2,966

（307）

3,013

3,174

Ordinary income

2,861

2,935

2,939

2,900

2,587

（312）

2,628

2,787

Profit

2,860

2,934

2,939

2,899

2,586

（312）

2,627

2,786

Dividend per unit （yen） （①）
Latest dividend forecast
per unit （yen）②

3,593

3,687

3,693

3,642

3,250

3,570

3,600

3,680

3,650

3,150

3,300

3,500

Difference from forecast （yen） ① - ②
Total number of investment units（units）
outstanding（at period-end）

＋23

＋87

＋13

（8）

＋100

-

-

796,000

796,000

796,000

796,000

796,000

796,000

796,000

Total assets（at period-end）

193,112

195,433

195,106

194,795

199,004

Total liabilities（at period-end）

91,31293,55993,22892,95897,478

Total net assets（at period-end）

101,799

101,874

101,878

101,837

101,525

Days in fiscal period（days）

184

181

184

182

184

Number of investment properties

28

29

29

29

31

（＊1）
Number of tenants（at period-end）

1,003

1,011

1,020

1,007

1,016

576,907.98

580,665.27

580,664.27

580,662.77

591,021.51

（＊2）
（％）
Occupancy rate（at period-end）

99.6

99.7

99.6

99.7

99.7

（＊3）
FFO （Funds from Operation）（mm yen）

4,462

4,557

4,591

4,559

4,273

FFO per unit（yen）

5,606

5,725

5,767

5,728

5,368

（at period-end）

Total leasable floor space（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
properties, the total number of sections stipulated in the tenancy
agreements with end tenants is shown.
（＊2） “Occupancy rate”=“Total leased floor space at period-end” ／ “Total
leasable floor space at period-end”（＊3） The FFO is calculated by the following method.
"FFO" = Profit + Loss on sale of real estate - Gain on sale of real estate +Depreciation

Appendix39

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

Account

Feb. 29, 2020
A

Aug. 31, 2020
B

9,901
3,733
4,660
1,043
282
177
3
189,064
182,014974
17830
70,403
1,229
891
196
107,452
18
5,575
5,545
29
1,475
0
10
327
1,138
37
199,004

Difference
B－A（1,146）（1,683）
（3）
384
（5）
177
（15）
5,360
①
5,242
974
17
830
816
128
（39）
（21）
2,533
2
（5）
（5）
123
（0）
123
（5）
4,208

32nd

Total current liabilities
Operating accounts payable
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

4,148
614
1,000
19
372
1
191
1,082
867
88,8095,000
71,500
403

9,027
340
6,300
12
355
0
1,123
894
88,451
5,000
71,100366

Tenant leasehold and security deposits
received in trust

11,905

11,98478

Total liabilities

92,95897,4784,520

Total unitholders’ equity
Unitholders’ capital
Surplus
Total net assets

101,837
98,9382,899
101,837

101,525
98,938
2,587
101,525

（312）
（312）
（312）

Total liabilities and net assets

194,795

199,004

4,208

Feb. 29, 2020
A

Aug. 31, 2020
B

■Liabilities and net assets■Assets① Higashi Hie Business Center Ⅲ ＋3,290
LOGICITY Wakamiya＋1,700Home Plaza NAFCO at Park Place Oita ＋990

31st

Difference
B－A
4,878
（273）
5,300
（6）
（16）
（0）
（191）
40
26
（358）
（400）
②
（36）

Account

Net assets

11,047
5,417
4,664
659
288
19
183,704
176,771
69,586
1,101
931
218
104,918
15
5,580
5,545
34
1,351
0
10
327
1,014
43
194,795

32nd

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
Structures
Lands
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

31stCapital expenditures＋790
Depreciation and amortization expenses （1,686）
Others＋158
Total : ＋5,242＋4,900② New borrowing of debts
Refinancing of current maturities of long-term debt ＋1,000（6,300）Transfer to long-term debt of current maturities
Total : （400）Appendix

40Cash flow statements（compared with the 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
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

31st A

32nd B〜Feb. 29, 2020

Difference〜Aug. 31, 2020
3,985
2,900
1,660
2
3
（0）
275
45
（70）
9
8
2
28
（493）
（16）
（76）
（14）
4,263
0
（277）
（0）
（220）
（289）
24
（13）
198
（139）
1
（2）
（2,938）4,700（4,700）（2,938）826
9,205
10,032

B－A

3,450
2,587
1,686
2
3
（0）
278
（384）
（177）
（191）
（3）
（6）
（20）
40
26
5
（123）
3
3,726
0
（274）
（1）
（7,136）（1,809）（5,371）
29
（66）
316
（238）
5
（2）
2,000
6,400
（6,400）5,900（1,000）（2,899）（1,684）
10,032
8,348

（534）
（312）
25
（0）
0
3
（430）
（177）
（120）
（13）
（14）
（22）
12
520
22
（47）
18
（537）
（0）
2
（0）
（6,915）（1,809）（5,082）
5
（52）
118
（98）
3
0
4,939
6,400
（6,400）
1,200
3,700
39
（2,510）826（1,684）

Appendix41

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

Category

Canal City Hakata

Canal City Hakata・B

Active retail

1,016
985
30
386
237
8
80
6
20
32
629
250
379
3.9％
123

①Total leasing business revenues
Leasing revenue-real estate
Other leasing revenue-real estate②Total leasing business expenses
Outsourcing fees
Repair and maintenance expenses
Expenses for restoration to former state
Tax and other public charges
Insurance premiums and trust compensation
Utilities expenses
Other expenses③NOI（=①-②）④Depreciation and amortization expenses⑤Leasing business profit（=③-④）⑥NOI yield （acquisition price）⑦Capital expenditures
Square Mall
Kagoshima
Usuki

1,306
1,265
41
649
406
15
165
13
41
6
657
280
377
4.6％
307
Kumamoto
Intercommunity
SC（Length）︵ Others︶
Retail①Total leasing business revenues
Leasing revenue-real estate
Other leasing revenue-real estate②Total leasing business expenses
Outsourcing fees
Repair and maintenance expenses
Expenses for restoration to former state
Tax and other public charges
Insurance premiums and trust compensation
Utilities expenses
Other expenses③NOI（=①-②）④Depreciation and amortization expenses⑤Leasing business profit（=③-④）⑥NOI yield （acquisition price）⑦Capital expenditures

Konoha Mall
Hashimoto

SunLive City Kokura

31st
Total
B

Difference
A－B

182 days
5,108
4,685
422
2,452
1,458
75
411
32
315
158
2,656
892
1,763
5.5％
291

2 days
（699）
（655）
（44）
（354）
（283）
（33）
6
（1）
（20）
（21）
（344）
9
（354）
（0.8）％
368

31st
Total
B

Difference
A－B

182 days
767
730
37
154
48
10
56
2
26
8
613
117
496
6.1
7

2 days
（19）
（11）
（7）
（5）
（0）
2
（0 ）
（0）
（2）
（4）
（13）
（0）
（13）
（0.1）％
11

Forecast Difference
A－C
C （＊）

32nd FP（Mar. 1, 2020 〜Aug. 31, 2020）（Length）

Category

Park Place Oita

32nd
Total
A

253
223
29
83
38
2
17
0
23
0
169
37
131
6.4％
1

89
89
0
13
2
4
5
0
0
76
12
64
6.4％
0

Hanahata SC

184 days
1,113
940
172
529
254
10
94
6
144
18
583
235
348
6.0％
203

262
262
46
7
0
34
1
1
216
47
168
6.5％
-

Kurume Higashi
Kushiwara SC

K’s Denki
Kagoshima

32nd FP（Mar. 1, 2020 〜Aug. 31, 2020）
184 days
40
88
40
88
5
9
1
2
0
3
5
0
0
0
0
35
79
5
16
29
62
6.3％
6.3％
-

710
576
133
486
269
7
42
2
88
76
223
88
135
4.5％
26

111
111
0
10
1
0
7
0
0
100
22
78
5.7％
-

Marinoa City
Fukuoka（Marina Side Building）

165
165
27
1
5
18
0
0
138
22
115
5.3％
17

4,409
4,030
378
2,098
1,174
42
418
30
295
136
2,311
902
1,408
4.8％
660
32nd
Total
A

748
718
29
149
48
13
56
2
23
4
599
116
482
6.0％
19

4,740

（330）

2,477

（379）

2,262

（48）

Forecast Difference
A－C
C （＊）

761

（12）

155

（6）

605

（6）

（＊）Forecast at the financial results of the 31st fiscal period.

Appendix42

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

Category（Length）

Office buildings①Total leasing business revenues
Leasing revenue-real estate
Other leasing revenue-real estate②Total leasing business expenses
Outsourcing fees
Repair and maintenance expenses
Expenses for restoration to former state
Tax and other public charges
Insurance premiums and trust compensation
Utilities expenses
Other expenses③NOI（=①-②）④Depreciation and amortization expenses⑤Leasing business profit（=③-④）⑥NOI yield （acquisition price）⑦Capital expenditures
Category

624
621
2
195
129
5
47
1
5
4
428
104
324
5.9％
47
Amex

Akasakamon City House

Tower

207
191
16
64
19
5
22
0
14
1
143
40
102
6.5％
29

554
493
60
174
73
3
37
3
50
6
380
104
275
6.8％
15

Keyaki Dori

Aqualia
Chihaya

D-WingTower（Length）

Others①Total leasing business revenues
Leasing revenue-real estate
Other leasing revenue-real estate②Total leasing business expenses
Outsourcing fees
Repair and maintenance expenses
Expenses for restoration to former state
Tax and other public charges
Insurance premiums and trust compensation
Utilities expenses
Other expenses③NOI（=①-②）④Depreciation and amortization expenses⑤Leasing business profit（=③-④）⑥NOI yield （acquisition price）⑦Capital expenditures

TenjinNishi-Dori
Center Building

Tenjin North
Front
Building

Higashi Hie
Business
Center Ⅱ

Higashi Hie
Business
Center �

32nd FP（Mar. 1, 2020 〜Aug. 31, 2020）
184 days
86
349
318
86
324
317
25
0
19
129
89
1
41
55
1
3
2
15
16
27
0
1
1
25
0
40
3
67
220
228
9
41
77
58
178
150
5.2％
7.5％
6.5％
3
0

145
122
23
44
11
2
8
0
20
0
101
33
67
7.2％
0

164
150
13
53
19
9
0
12
10
110
40
69
5.2％
-

47
45
1
5
3
0
1
0
41
12
28
4.9％
-

Taihaku Street
Canal City
Gofukumachi
Sanix Hakata
Business
Business
Business
Building
CenterCenterCenter Building

64
60
3
21
5
0
5
5
0
0
2
42
19
23
4.2％
2

38
37
0
8
2
0
3
0
0
1
29
10
19
5.4％
1

59
57
2
16
3
2
3
4
0
0
2
43
12
31
6.8％
-

117
110
6
23
7
1
1
7
0
2
2
93
17
75
6.7％
6

Granfore
YakuinMinami

Higashi Hie
Business
Center

Hotel
FORZA
Oita

Tissage
Hotel Naha

Tosu
Logistics
Center32nd FP（Mar. 1, 2020 〜Aug. 31, 2020）
184 days
43
63
38
43
63
37
1
7
10
9
0
0
2
Non0 disclosure
1
0
（＊2）
1
5
7
2
0
0
0
0
0
0
1
36
35
52
29
9
24
22
10
27
11
30
19
5.9％
2.5％
6.9％
5.3％
0
0

LOGICITY
MinatoKashii

2,497
2,352
144
775
354
25
185
10
131
68
1,721
465
1,255
6.3％
96

LOGICITY LOGICITY
Hisayama Wakamiya（＊3）

Nondisclosure

Nondisclosure

Nondisclosure

（＊2）

（＊2）

（＊2）

187
37
149
4.6％
-

32nd
Total
A

122
37
84
4.9％
2

32nd
Total
A

-

863
810
52
187
33
11
12
83
5
29
12
675
201
473
5.0％
13

31st
Total
B

Difference
A－B

182 days
2,406
2,261
144
783
358
18
182
11
135
78
1,623
450
1,173
6.2
140

2 days
90
90
（0）
（7）
（3）
6
3
（0）
（4）
（9）
98
15
82
0.1％
（43）

31st
Total
B

Difference
A－B

182 days
879
836
）
42
176
33
11
3
83
5
28
10
703
200
502
5.2
25

2 days
（16）
（26）
10
11
0
0
8
（0）
（0）
1
1
（28）
0
（28）
（0.2）％（11）

Forecast Difference
C （＊1）
A－C

2,521

（24）

807

（31）

1,714

6

Forecast Difference
C （＊1）
A－C

873

（10）

187

0

686

（11）

（＊1）Forecast at the financial results of the 31st fiscal period. （＊2）Information is not disclosed because the permission of tenants has not been obtained. （＊3）No income and expenditure is incurred because renovation work is underway.

Appendix43Income and expenditure by properties （Total） /Repair and maintenance expenses, capital expenditures, and depreciation- unit : mm yen （Figures rounded down to the nearest mm yen）

Category

32nd
Total

31st
Total

Difference

184 days

182 days

2 daysA（Length）

Total①Total leasing business revenues
Leasing revenue-real estate
Other leasing revenue-real estate②Total leasing business expenses
Outsourcing fees
Repair and maintenance expenses
Expenses for restoration to former state
Tax and other public charges
Insurance premiums and trust compensation
Utilities expenses
Other expenses③NOI（=①-②）④Depreciation and amortization expenses⑤Leasing business profit（=③-④）⑥NOI yield （acquisition price）⑦Capital expenditures

Difference

Forecast
C （＊）

A－B

B

8,518

9,162

（644）

7,912

8,515

（602）

605

647

（42）

3,210

3,566

（355）

1,611

1,898

（286）

92

116

（23）

12

3

8

743

734

9

49

51

（2）

479

505

（26）

221

255

（34）

5,307

5,596

（288）

1,686

1,660

25

3,621

3,935

（314）

5.3％

5.7％

（0.4）％

790

465

324

A－C

8,893

（375）

3,644

（433）

5,249

58

（＊）Forecast at the financial results of the 31st fiscal period.

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

1,686
1,631 1,607
1,602 1,622 1,651 1,660

1,800

1,233

1,200

947
657

600

0

220

221

28th

29th

123

116

92

30th

31st

32nd

209

214

33 rd

34th

（forecast）（forecast）

Repair and maintenance expenses

28th

29th

790
476

465

30th

31st

32nd

Capital expenditures

1,375

000

33 rd

34th

（forecast）（forecast）

28th

29th

30th

31st

32nd

33 rd

34th

（forecast）（forecast）

Depreciation
Appendix44

List of Interest-bearing debt
■List of borrowings
Category（As of August 31, 2020）

LenderCurrent
Mizuho Bank, and others （＊1）
maturity oflong-term debt
Total

Development Bank of Japan
Sumitomo Mitsui Banking Corporation
Sumitomo Mitsui Trust Bank
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）
The Bank of Fukuoka
Resona Bank
The Higo BankMUFG Bank
The Bank of Fukuoka, and others （＊4）

Long-term
debt

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

Balance

Drawdown
Date

Repayment
Date

6,300
6,300
4,000
1,600
1,500
4,000
400
400
2,000
2,000
2,000
500
700
300
2,100
1,500
600
300
800
6,000
1,800
2,000
2,000
1,500
2,000
1,500
500
1,900
1,100
1,500
600
2,500
600
600
500
500
500
500
400
400

Jul.31, 2014

Jul.30, 2021

（mm yen）

Term

Fixed/ Average Interest（year） Floating
Rate

7.0

Fixed

Category

0.83500% （＊2）

LenderAug.31, 2022

Jun.30, 2015

Jun.30, 2022

Jul.31, 2015

Jul.31, 2023

Aug.31, 2015

Aug.31, 2023

Aug.31, 2015

Aug.31, 2022

Aug.31, 2015

Aug.31, 2023

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

Sept.30, 2016

Sept.30, 2025

Dec.30, 2016

Dec.30, 2025

Dec.30, 2016

Dec.30, 2026

Mar.31, 2017

Mar.31, 2027

Mar.31, 2017

Mar.31, 2025

Mar.31, 2017

Mar.31, 2025

Jun.30, 2017

Jun.30, 2026

Jun.30, 2017

Dec.31, 2026

Jul.31, 2017

Jul.31, 2027

Jul.31, 2017

Jul.31, 2027

Aug.31, 2017

Aug.31, 2027

Sept.29, 2017

Sept.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

Mar.30, 2018

Mar.31, 2028

Mar.30, 2018

Mar.31, 2028

Mar.30, 2018

Mar.31, 2028

Mar.30, 2018

Mar.31, 2025

Mar.30, 2018

Mar.31, 2027

Mar.30, 2018

Mar.31, 2027

Mar.30, 2018

Mar.31, 2028

8.0 Fixed
7.0 Fixed
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
9.0 Fixed
10.0 Floating
10.0 Fixed
8.0 Fixed
8.0 Fixed
9.0 Fixed
9.5 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
9.0 Fixed
8.0 Fixed
10.0 Fixed
10.0 Fixed
8.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
7.0 Fixed
9.0 Fixed
9.0 Fixed
10.0 Fixed

1.01000%
0.79000% （＊2）
0.56400% （＊2）
0.88000%
0.41909%0.87000% （＊2）
0.62000%
0.41909%0.44000% （＊2）
0.44000% （＊2）
0.40000%
0.41309%0.71750%
0.41909%
0.65846%
0.48130%
0.48130%
0.77677%0.65000%
0.79195%
0.89195%
0.84952%
0.49350% （＊2）
0.81209%0.68000%
0.75000% （＊2）
0.60000% （＊2）
0.50000%
0.56700% （＊2）
0.72000%
0.48000%
0.80219%0.80219%0.63000%
0.50400% （＊2）
0.49000%
0.57600% （＊2）
0.64630%（mm yen）

Repayment Term Fixed/ Average Interest（year） Floating
Date
Rate

Jun. 30, 2020

Jun. 28, 2030

Jun. 30, 2020

Jun. 29, 2029

Jun. 30, 2020

Jun. 30, 2028

Jul.31, 2020

Jul.31, 2030

Jul.31, 2020

Jul.31, 2030

Jul.31, 2020

Jul.31, 2030

Jul.31, 2020

Jul.31, 2030

Issue date（year）

Term

Coupon （year）

Investment
corporation The second series of unsecured bonds
bonds
The third series of unsecured bonds

2,000

Maturity
Date

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％

Total

5,000

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）

Long-term
debt

The Norinchukin BankMUFG Bank
The Nishi-Nippon City Bank
Mizuho Bank
Aozora Bank
Resona BankMUFG Bank
The Kagoshima Bank
Development Bank of Japan
Mizuho Ban
The Kitakyushu BankThe Iyo Bank
Total

Total

■Investment corporation bonds
Category

Issue
The first series of unsecured bonds

400
300
500
500
400
300
200
200
200
200
2,200
1,500
500
2,500
1,700
1,000
700
500
500
1,500
1,000
500
200
71,10077,400Drawdown
Date

10.0 Fixed
7.0 Fixed
10.0 Fixed
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
9.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
9.0 Fixed
8.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 Fixed
10.0 FixedThe Hiroshima Bank
Shinsei Bank

Aug.29, 2014

Balance

Balance（mm yen）

Mar.30, 2018

Mar.31, 2028

Mar.30, 2018

Mar.31, 2025

Jan.31, 2019

Jan.31, 2029

Jan.31, 2019

Jan.31, 2028

Jan.31, 2019

Jan.31, 2029

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

Jul.31, 2019

Jul.31, 2029

Jul.31, 2019

Jan.29, 2027

Sept. 25, 2019

Sept.29, 2028

Feb. 28, 2020Feb. 28, 2030

Feb. 28, 2020Feb. 28, 2030

Jun. 30, 2020

Jun. 28, 2030

0.64630%0.40000%
0.65528%0.59000%
0.41909%0.41909%
0.33380%
0.33380%
0.33380%
0.48845% （＊2）
0.52100% （＊2）
0.30300%
0.48000%
0.48000% （＊2）
0.42000%
0.56922%0.56922%0.60000%
0.46500%
0.53000%
0.47000%
0.52630%
0.52630%■Committed line of credit
Category

LenderCredit Limit（mm yen）

Start

PeriodEnd

Committed line The Bank of Fukuoka, and others （＊7）
of credit 1
Committed line The Nishi-Nippon City Bank and others （＊8）
of credit 2

6,000

Aug.1, 2018

Jul.31, 2023

7,000

Mar.2, 2020Feb.28, 2023

Total

13,000＊ For floating-rate debts, the interest rates applicable as of August 31, 2020 are indicated. ＊All debts have been borrowed with no collateral and no guarantee, to be repaid in lump-sum upon maturity.
（＊1） The lenders are Mizuho Bank・The Norinchukin Bank・The Hiroshima Bank・The Kitakyushu Bank・The Iyo Bank・The Higo Bank （＊2） FRC has concluded a swap agreement to practically fix interest rate on debt. The indicated interest rate reflects the effect of the swap agreement.
（＊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

Appendix

45

Portfolio table（As of August 31, 2020）

Real estate property name

Age
（＊1）

Acquisition
price（mm yen） （＊2）

Investment
ratio

Acquisition
timingSource（＊3）

Total leasable
floor space（㎡）

Occupancy
rate

Tenants

Primary tenants（＊4）

RetailOffice buildings

Canal City Hakata

24yr 4m

32,00015.8%

Nov. 9, 2004

Sponsor46,604.75

100.0%

50

Washington Hotel and United Cinema

Canal City Hakata ・ B

24yr 4m

28,70014.2%

Mar. 2, 2011

Outside party

68,825.90

99.5%

45

Grand Hyatt Fukuoka and OPA

Park Place Oita （＊5）

18yr 5m

19,6109.7%

Nov. 9, 2004

Sponsor

121,212.26

100.0%

106

SunLive City Kokura

15yr 5m

6,633

3.3%

Jul. 1, 2005

Outside party

61,450.22

100.0%

1

Konoha Mall Hashimoto

9yr 5m

10,0005.0%Mar. 1, 2018

Sponsor

22,121.05

100.0%

126

SunLive and The Super Sports XEBIOSquare Mall Kagoshima Usuki

13yr11m

5,300

2.6%

Sept.28, 2006

Sponsor

14,602.88

100.0%

13

Sports Depo / Golf5 and Edion

Kumamoto Intercommunity SC

13yr 9m

2,400

1.2%

Nov.30, 2006

Sponsor

6,968.66

100.0%

2

Sports Depo / Golf5 and Starbucks Coffee

Hanahata SC

13yr 1m

1,130

0.6%

Sept. 3, 2007

Sponsor

2,801.15

100.0%

2

BON REPAS and Matsumoto Kiyoshi

Kurume Higashi Kushiwara SC

12yr 8m

2,500

1.2%

Feb. 1, 2008

Sponsor

6,467.80

100.0%

1

Sports Depo / Golf5

K’s Denki Kagoshima

12yr 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）

19yr10m

5,250

2.6%

May 1, 2015

Sponsor

33,069.82

100.0%1

FJ. Entertainment Works Ltd.

Total or the weighted average of retail－

117,073

58.0%

－

－

391,420.66

99.9%

348

Canal City Business Center Building

24yr 4m

14,6007.2%

Nov. 9, 2004

Sponsor

23,029.92

99.2%

60

Gofukumachi Business Center

16yr10m

11,2005.5%

Nov. 9, 2004

Sponsor

19,905.34

100.0%

36

SMBC CONSUMER FINANCE and Sumitomo Mitsui Banking Corporation

Sanix Hakata Building

19yr 5m

4,400

2.2%

Sept.30, 2005

Outside party

6,293.75

100.0%

16

SANIX and The Nishi-Nippon City Bank

AEON and K’s Denki
SunLive－

TOTO and Bell System24

Taihaku Street Business Center

18yr 5m

7,000

3.5%

Mar.16, 2006

Sponsor

14,677.30

98.4%

67

NTT COMWARE and Tokio Marine & Nichido Outsourcing Management

Higashi Hie Business Center

11yr 6m

5,900

2.9%

Mar.13, 2009

Outside party＋Sponsor

13,614.59

100.0%

27

Fujitsu and Forest Holdings

Tenjin Nishi-Dori Center Building

23yr11m

2,600

1.3%

Feb. 1, 2013

Outside party

3,339.32

100.0%

1

The Nishi-Nippon City Bank

Tenjin North Front Building

10yr 7m

2,800

1.4%

Mar.28, 2013

Outside party

5,252.41

100.0%

11

Rakuten Card and Prudential

OthersHigashi Hie Business Center Ⅱ

4yr 6m

4,230

2.1%

Mar. 1, 2018

Sponsor6,214.77

100.0%

2

FUJITSU KYUSHU SYSTEMS LIMITED and Seven-Eleven Japan Co.,LTD

Higashi Hie Business Center Ⅲ

0yr 5m

3,290

1.6%

May 29, 2020

Sponsor

2,981.14

94.1％

5

Mitsui Home Co.,LTD and NIPPON ENGINEERING CONSULTANTS CO.,LTD

Total or the weighted average of office buildings－

56,020

27.7%

－

－

95,308.54

99.4%

225

－

Amex Akasakamon Tower （Residence）

15yr 1m

2,060

1.0%

Sept. 1, 2006

Outside party

4,821.25

90.6%

61

－

City House Keyaki Dori（Residence）

12yr 9m

1,111

0.6%

Dec.20, 2007

Outside party

2,710.86

100.0%

42－

Aqualia Chihaya（Residence）

12yr 8m

1,280

0.6%

Mar. 1, 2012

Outside party

5,619.69

97.9%

103

－

D-Wing Tower（Residence）

14yr 6m

2,800

1.4%

Mar. 1, 2013

Outside party

7,187.59

96.7%

133

－

Granfore Yakuin Minami（Residence）

12yr 8m

1,100

0.5%

Nov. 4, 2014

Outside party

2,496.06

99.0%

98

Hotel FORZA Oita

（Hotel）

12yr 0m

1,530

0.8%

Mar. 1, 2013

Sponsor

5,785.44

100.0%1

FJ Hotels

Tissage Hotel Naha

（Hotel）

2yr 6m

2,835

1.4%

Dec. 7, 2018

Outside party

3,758.76

100.0%1

Nest Hotel Japan Corporation

Tosu Logistics Center（Logistics）

12yr 3m

1,250

0.6%

Mar.28, 2014

Outside party

4,173.29

100.0%

1non-disclosure

LOGICITY Minato Kashii（Logistics）

6yr 4m

8,150

4.0%

Mar.27, 2015

Outside party

43,233.72

100.0%

2

Fukuoka Logistic System and F-LINE CORPORATIONLOGICITY Hisayama（Logistics）

5yr 7m

5,050

2.5%

Jun. 1, 2017

Outside party

24,505.65

100.0%1

KASEI.inc Co., Ltd.

LOGICITY Wakamiya（Logistics）

15yr 6m

1,700

0.8%

Jun.30, 2020

Outside party

（＊6）

（＊6）

（＊6）

Tsukasa Kigyou （scheduled）－

28,866

14.3%

－

－

104,292.31

99.2%

443

－

17yr 6m

201,959

100.0%－－

591,021.51

99.7%

1,016

－

Total or the weighted average of others
Total or the weighted average of all properties－（＊1） The age of the building is listed with the end of the period as the starting date. The total or average figures for all properties are the weighted average. （＊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”.
（＊5） The figure includes Home Plaza NAFCO at Park Place Oita, which FRC acquired in the 32nd fiscal period. （＊6） LOGICITY Wakamiya is not included in the totals because it has been renovated and is scheduled to start operation around Nov. 2020.

Appendix

46

e

Lin

Island City

29

FUKUOKA
PayPay DOME
Nishijin Sta.

Subwayne
Airport Li

uhi Line

Nishi-kyushu Expressway

5

Su
Nana bway
kuma
Line

1km
263

500m

1 Canal City Hakata

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

3 Park Place Oita

202

Yakuin-odori
Sta.

Ropponmatsu Sakurazaka
Sta.
Sta.

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 SCUrJRHa Subw
koz ayaki
Line

Ten Nishjin- itet
Om su
uta
Lin

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

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

Kumamoto

Fukuoka
AirportKyushu Shinkansen

BEST DENKI
Stadium

JR LineExpressway

Ka

Okinawa
6
10

Ur

go

sh

im

aL

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 reLi ssw
ne ay

21 Amex Akasakamon Tower■Address ： 2-chome, Maizuru,
Chuo Ward, Fukuoka City

22 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 Center Ⅱ

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

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

25 Granfore Yakuin Minami■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 Higashi Hie Business Center Ⅲ

26 Hotel FORZA Oita

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

27

Kagoshima■Address ： 1-chome, Kozono,
Higashi Ward, Kumamoto City

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

26
3

7

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

Oita

Fukuoka-kuko（Airport）
Stn.

e

8

28
9

Saga

Miyazaki

25

Fukuoka
University

Urban Expressw
Kanjo Line ay

Fukuoka IC

Yakuin Sta.

202

Hashimoto Sta.

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

Nakasu13
Kawabata
15
Sta.
Gion Sta.
Higashi-Hie
18
21 24
Hakata 19 Sta.
1
Tenjin16
12
17
14
Akasaka Sta.
2
20
Tenjin-minami Sta.
Watanabe-dori Sta.
22

Kyu
/Hak shu Shinata M kans
inam eni LineJR Chik

Urban
Ex
Kasuy pressway
a Line
sen
kan
hin
S
nyo
Sa
JR Sasaguri Line

Kaizuka Sta.

Ohorikoen（Ohori Park）Sta.

Tojinmachi Sta.

Fukuokassway

Marina-TOWN

31

e

11

Urban Expressway
Kanjo Line

Najima Sta. 3ywa
ss
pre inexL
n E rtba po
Ur Air

Chuo
Port

4

Fukuoka City

Lin

NokonoshimaIsland30

hii

Hakata Bays
Ka

HakozakiPort

Sea-Side
MOMOCHI

Chihaya Sta.

23

JR

ba
n
Ka Expsh resii L sw
ine ayUminonakamichi
Seaside Park

hii

Kas

u ExpreJR

Kyush

ShikanoshimaIslandu
ets e
hit LinNis ukaiz
Ka

Fukuoka City

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

■Address ： 4-chome, Higashi-hie,
Hakata Ward, Fukuoka City

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

27 Tissage Hotel Naha

■Address：2-chome, Nishi, Naha City

28 Tosu Logistics Center■Address ： Himekata-cho,Tosu City, Saga,

29 LOGICITY Minato Kashii■Address：2-chome, Minatokashii,
Higashi Ward, Fukuoka City

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

31 LOGICITY Wakamiya■Address： Shimoaruki, Miyawaka City

RetailOffice buildings
OthersAppendix47

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 9 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 11 properties
Residence

Residence

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

Aqualia Chihaya

Residence

D-Wing Tower
Total

Residence

Hotel

Hotel

Logistics

Logistics

Logistics

Logistics

31

properties

Total acquisition price201.9

bn yen（As of August 31, 2020）

Granfore Yakuin Minami

Hotel FORZA Oita

Tissage Hotel Naha

Tosu Logistics Center

LOGICITY Minato Kashii

LOGICITY Hisayama

LOGICITY Wakamiya＊Figures round down to nearest
100 mm yen

Appendix48

Logistics market in northern part of Kyushu
The supply and demand balance remains tightMajor logistics area

LOGICITY Minato Kashii
3

HakataPort
HakataBay

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

Kyushu Expresway

21

495

495

Sasaguri LineUr banushu
K it ak y r es s w ay
E xpy
LOGICITY Wakamiya
sswa
xpre
E
u
h
Kyus

福津市
Hakata Port, Fukuoka
IC area

NogataMiyawaka

o

ny

Sa

201

Tagawa17

JR Chikuhi Line

Fukuoka

Kama

329

崎
方
面

Souseikai
Fukuoka Mirai Hospital

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

Source: Fukuoka Realty Co., Ltd. based on Island City Outline Pamphlet (Fukuoka City, Port and Harbor Bureau)

205

34

Tosu

Tashiro

Ogori

うきは市

Kurume

31

鳥栖市役所

道路

鳥栖

線
産業技術総合研究所九州センター

31

大分県

Green Logistics Park Tosu 日田市

in Line

JR Kudai Ma

3Tosu JCT

Tosu Logistics Center

200m

new demandvacancy rates

Tosu JCT area

10

40,000830,000

6

20,0004

10,0000（％）

1250,000uta Line

久留米基山筑紫野

3

e

500

new supply（tsubo）

sway
Oita Expr es
496

Nishitetsu Tenjin
Om

500

Kyushu Expressway

Oita
Expressway

ay

nsen

新幹

Saga

Asakura

in
ki L

264

Tosu

211
ki
asa y
Nag esswarpx
E

Kag JRosh
Line ima

ssw

hinka
17

sa
ki
aga
asa
RN
Nag Kanzaki J

九州

263

34

322

Fukuoka

xpre

hu S

至
長

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, 2020）

Park

Supply and demand of logistic facilities and vacancy rates

131

弥生が丘

386

17

ay

ssw

re
Exp

至長崎

E
shu

Kyus

Saga Pref.

山浦PA

385

Fukuoka Pref.

Kyu

Fukuok a U
E xpress wrban
ay

Ogi

FukuokaChildren’ s
Hospital

88

Itoshima

323

Teriha金印公園
Elementary andJunior High School

Nishitetsu Bus
Island City OfficeInternational
Container Terminal

Island City Ramp

201

200

Iizuka（planned）

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

3

322

New
Container
Terminal(planned)JRen

New quaywall

10

Kitakyushu area

ns

ka

in
Sh

Terihakita Elementary
SchoolGeneral Gymnasium
development area

LOGICITY Minato Kashii

3

Munakata

Fukuoka Airport
Hakata Sta.

“island eye”:

Vegefru stadium
a multi-use facility(Fresh produce market)

LOGICITY Minato Kashii North

Kitakyushu

3

天神北

3

201

Fukuoka IC
68 JR

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

Under
Construction

Shimonoseki

Sanyo Shinkansen

Kaizuka

Port Area （about209.5ha）

35

607

1km

Island City
（401.3ha）

10km

LOGICITY Hisayama
JR iihKasineL

FukuokaUrban Expressway
Island-city Line
（maintenance）
KashiiHama

Development of the Island City area

2
2015

2016

2017

2018

2019

0
（year）＊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

Appendix49Top tenants by leased floor area
Ordinary lease

LesseeTenantShare of totalleased space（＊1）

〜Feb. 28, 2022

Remaininglease term

(years) （＊2）

●Konoha Mall Hashimoto

10●Park Place Oita

1

●Canal City Hakata・B

3●Hotel FORZA Oita

7

●Marinoa City Fukuoka（Marina Side Building）

14●Canal City Hakata

3●Canal City Hakata・B

1

4.2％

●LOGICITY Hisayama

4

ー

3.9％

●LOGICITY Minato Kashii

4

ー

3.4％

●LOGICITY Minato Kashii

nondisclosure

SunLive

11.0％

2

AEON Kyushu Co., Ltd.

AEON

9.9％

3

FJ Hotels Co., Ltd

4

FJ. Entertainment Works Ltd.

ー

5.7％

5

Canal City OPA Co., Ltd.

OPA

4.4％

6

KASEI inc Co., Ltd.

ー7

Fukuoka Logistic System
Corporation

8

F−LINE CORPORATION

10 K’s Holdings Corporation〜Aug. 31, 2021

35th

4

SunLive Co., Ltd.

Alpen Co., Ltd.

〜Feb. 28, 2021

34th

●SunLive City Kokura

1

9

33rd

Fixed-term lease

Grand Hyatt Fukuoka
Hotel FORZA Oita

Sports Depo,
Golf 5

K’s Denki

7.5％

（＊3）

3.1％

2.3％

（＊4）

●Square Mall Kagoshima Usuki

6●Kumamoto Intercommunity SC

6●Kurume Higashi Kushiwara SC

7●Park Place Oita

1（＊1）Share of total leased space is calculated using the formula “Leased floor area by tenant / Total leased floor space,” as of August 31, 2020 with residential space excluded from leased floor space by tenant.
（＊2）Remaining lease periods shown are the remaining periods of lease contracts as of August 31, 2020 with periods shorter than one year rounded down to the nearest whole year.
（＊3）The 5.7% includes a 0.1% office portion.（3 ordinary leases have been concluded for Canal City Business Center Building.）（＊4）Information is not disclosed because the permission of tenants has not been obtained.

Appendix50Breakdown of variable rents
Breakdown of active retail rents by property
Fixed rents（＊1）（mm yen）

3,000

Breakdown of active retail rents

Variable rent s（＊2）（mm yen）

2,841

2,734

628
296

519

（＊3）

3,000

2,734
317

505

299 2,251（＊3）◎The 32nd FP◎The 31st FP

Variable rents

Variable rents（511 mm yen）

（974 mm yen）

12.7％

205

Portfolio overall

11.4％

（＊3）

2,000

2,000
178
（＊3）

1,000

0

2,212

2,214

29 th

30 th

〜Feb.28,
2019

2,045

2,229

31st

〜Aug.31,2019〜Feb.29,
2020

32nd

1,000

0

〜Aug.31,
2020

1,006

1,001

1,008

212

206

208

940
150

Fixed rents

Fixed rents

793

794

800

789

（3,519 mm yen）

（7,540 mm yen）

29 th

〜Feb.28,
2019

Canal City Hakata／Canal City Hakata・B

30 th〜Aug.31,
2019

31st

〜Feb.29,2020

Park Place Oita

Breakdown of Tissage Hotel Naha
（mm yen）

3,000

3,000

88.6％

32nd

〜Aug.31,2020（mm yen）（mm yen）

87.3％

1,000

◎The 32nd FP
750

2,000

2,000

Variable rents

6.5％（511 mm yen）

500
1,000

1,000
289
0

262

29 th

27

〜Feb.28,
2019

284
262

30 th

〜Aug.31,
2019

21

281
262

18

31st

〜Feb.29,
2020

SunLive City Kokura

262
262

32nd

〜Aug.31,
2020

0

675

665

661

219

209

208

576
154

456

455

452

421

29 th

30 th

31st

32nd

〜Feb.28,2019〜Aug.31,2019〜Feb.29,
2020〜Aug.31,2020

Konoha Mall Hashimoto

250
39
0

29 th

21
18

〜Feb.28,
2019

88

30 th

〜Aug.31,
2019

45
42

68

31st

32
36

〜Feb.29,
2020

43

32nd

43

〜Aug.31,2020

Fixed rents

93.5％（7,401 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.
（＊1） "Fixed rent" is indicated the amount of "leasing revenues-real estate" - "variable rent".
（＊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

51

The condition of suburb area in Fukuoka
A

B

C

D

E

F

1km

12.0％
14.9％

2.3％

Melbourne 6.7％

36.7％
26.9％

10

20

30

40

50

60
（％）

Source: Prepared by Fukuoka Realty Co., Ltd., based on data from FUKUOKA Growth 2020 by the Fukuoka Asian Urban Research Center.

nKinin Park

Sh

im

la

Or

nd

←

Sa

sla

oI

on

ito

e
〜 M
nd

Fukuokashi
Umizuri Parkha

ino
Mt. Bishamonyamama3

Hakata Bay

NokonoshimaIsland Park

NokonoshimaIslandImazu Sports ParkFu
Fe Mun kuok
rry ic a
Se ipalrvi
ceKyushu University
Ito Campus

11

Chuo
Port

Marinoa City Fukuoka(Marina Side Building)

Seaside Momochi
Beach Park
Marina Town

13 15

FUKUOKA Subway K
uko Line21 24
PayPay DOME

Ikinomatsubara

Ohori
Park

18
17

TenjinRuins of
Fukuoka 22
Castle4legendHakata Connected＊Please refer to P47 regarding the number of properties.＊

5

Waterfront Next

is owned by Fukuoka REIT Corporation（ As of August 31, 2020）.

Mt. Konosusan

S
Nanakubway
uma L

ine

Fukuoka
University
Hospital

Nis

hit

Mt. Aburayama

sen
kan
hin
S
nyo JR Sasagu
Sari LineHakata Sta.
14

19

16
20

JR

ets

uO

mu

ta

Ka

Fukuoka Airport

Hanahata SC
88

go

sh

Lin

e

Nanakuma subway line
extention project

Fukuoka
University

Fukuoka Urban Expressway
Kanjo Line

Fukuoka IC

BEST DENKI
Stadium

im

aL

ine

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

Tenjin Big Bang

Nishi-kyushu
Expressway

Sasaguri
Forestof Kyushu
University

Canal City Hakata
25

Fukuoka City Zoologicaland Botanical Gardens

Konoha Mall Hashimoto

2 1 12ka Urban
Kasuy Expressway
a LineTORIUS
Hisayama

n
ba
Ur y
ka wa
uo resst Linek
FuExp porAir

Fukuoka Urban
Expressway Kanjo Line

JR Chikuhi Line

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〉

Fukuo

HakozakiPort

ki

Kyushu University
Hakozaki Campus Site

Atago Shrine
Nagatare Seaside Parkza

23

esswayIs

Aqualia Chihaya

ine←

Futamigauraa

LOGICITY Hisayama

ii L

sh

30

sh

no

LOGICITY Minato Kashii

Ka

ika

Uminonakamichi
Seaside Park

JR

2

←

Kyushu Sangyo
University

Fukuoka Urban
Expressway Route 6（Island city Line）maintenance

29

Kyushu Expr

ShikanoshimaIsland

sa

Kas

Bu

Vegefru stadium(Fresh produce market)

JR

←

kans
en

7.1％

0

Shin

Fukuoka

Water
coverage ratio

25.6％

shu

7.3％

Kyu

Seattle

17.6％

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

8.4％

u
ts ne
ite Lish ka
Ni izuKa

VancouverGreen
coverage ratioeMunichFukuoka has abundant nature at hand,with its green and water coverage ratio
within a radius of 10 km from the city
center standing equal to such cities as
Melbourne and Seattle acknowledged
for their high-quality of life.

IKEA

29.9％

Lin

Barcelona

Koga IC

500m

hii

1

◎Water and green coverage ratio within a radiusof 10 km from city center

Fukuoka, acknowledged for its
high-quality of life, stands equal
to other global cities

Appendix

52

The condition of Fukuoka city center
博多小学校

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

Fukuoka Prefectural
Museum of Art

Shimokawabata-machi

24

Homukyoku-mae

Nishitetsu
Grand Hotelishi-

Tenjin Nishi-Dori
Center Building

Shinnippon Building

G Building

Denki
Building Shinkan
Denki
Building

a

ori
ui-d
Jos

300m
100m

＊ Please refer to P47 regarding the number of properties.
is owned by Fukuoka REIT Corporation（As of August 31, 2020）＊.
owned by Fukuoka Jisho Group（As of August 31, 2020）
＊
.

m

a-

Shiroganekindergarden

Sumiyoshi
ES

ri

31

Oomiya

25

sh

i-d

Sannoh Parkori[scheduled to commence operations in FY2022]◎Estimated daily Nanakuma line passenger volume （including connecting passengers）

180

Sanno 1chome

Minoshima-kita＋56,000

Inukai
ShrineMiyajima（＋64％）

150
Kiyokawa2chome

120

Hakataeki-minami

Minoshima 553

be
Scheduled to Harusumi
EScompleted the construction

60
Kiyokawa

30
0

Fukuokakobayashi
Post Office

575

90

Kiyokawa3chome

Hirao 1chome

iku

Yutoria Hakata

555

Shirogane

Granfore Yakuin Minami

Ch■Impact of Nanakuma subway line extension
385

602

Hirao

do

Hakataeki
minami

Yanagibashi
Kiyokawa

Takasago

Takasago1chome

iy

i

ri
do

ka

or

ta

31Ta

Fukuoka zoo-mae

602

Takasago1chome

a

N

bw

Su

Higashi Hie
Business Center �

Higashisumiyoshi
JHS（thousand people）

Tsuyukiri-hashi

Park

Hotel New Otani

Takasago

Yakinkoban-mae

16

20

i
sh

ay

Li

SUNLIFE No.3
Building

19

hi

ke
Ta

um

Higashihie

ka

C

Sta.

Higashi Hie
Business Center Ⅱ

Hakataekihigashiek Fukuoka Eartheonoen- BuildingdoriNakahie

Na

14

Sanix Hakata hikushBuilding
i-d

Hakata-ekimae
4chomeThe Basics
Fukuoka

Hakata 500m radius

FBS Fukuoka
Broadcastingne

Godochosha-mae

Otowa

Higashi-Hie

Higashihie

Hakataeki(Chikushiguchi)

Hotel Clio

JRJP Kamiyo
Hakata Hakata
Building Chuo
Building

HEARTSBus Station

Higashi Hie
Business Center

Chikushi-guchi Ⅱ

JR Hakata City Court Hakata

Sumiyoshi Shogakko Mae

Watanabe-dori
Nishi

Yakuin Sta.

Hakata Sta.
JR Hakata Sta.

Hakata-ekimae
3chomeHotel FORZA Hakataeki

385

Oriental Hotel Fukuoka
Hakata Station

Watanabe-dori Sta.

Denki
Watanabe-dori
1chomeBuilding
Kyosokan
Yakuin-ekimae

Chikushi-guchi Ⅰ

Canal City Hakata 500m radius

i
or
i-d
ek .
ss ve
Ni A

ta.

ne

Li

Jotobashi
Nishi

Haruyoshi
ES

Hotel FORZA Hakataeki

Takeshita-doriaJotobashi

Watanabe-dori Kita

Denki
Building North

Minami-yakuin

k
na

e.
Av
ori
i-d
sh
iyo
m
Su

Sumiyoshi Shrinem

Kogarasu
Shrine

oad

ri S

odo

uin-

Yak

Smile Hotel
Hakata-ekimae
Crown Plaza
Ana Fukuoka

Hakataeki higashi

HakataKITTE Hakata Hankyu

Hakata-ekimae
Business Center

Canal City BusinessCenter Buildingkuural R

YakuinChikushijogakuendaigakufuzoku
Kindergarden

4

Bivi Tenjin

AmuPlaza
HakataFukuoka
Center Building
The Nishi-nippon
City Bank12narefectNishitetsu Yakuin Sta.

shi P

Yakuin-Mutsukado

Yakuin-odori-nishi

Haruyoshi

NOF Hakata-ekimae
Building
Hakata Bus
Terminal

Hotel FORZA
Hakata Sta. Hakata exit

Hakatakuyakusho
Minamiguchi

Canal City Hakata

Hakata-ekimae 1chome

Hotel NIKKO
Fukuoka

Hakata-ekimae-dori Ave. Hakata-ekimae
2chomeSumiyoshi-jinja
Mae

Line

City House
Keyaki Dori
Chiku

Canal City Hakata
East Building

2

1

Na

Imaizumi
Park

Kego

uoka

Canal City Hakata／
Canal City Hakata・B
553

ay

muta
Nishitetsu Tenjin-O

UrbanBLD
TenjinTenjin 500m radius

31 Fuk3

Canal City Hakata Hakata Ward
East Building
Office202

Toko JHS

HakataKuyakusho
Iriguchi

Hakatakeisatsusho
IriguchiHaruyoshi

YutakaKatakasu ES

Hakata Police Officebw

Akasaka

Max
Value

e.

Av

Toko-kita
Park

Gion-machi

Haruyoshibashi
Higashi

Nishinakasu

Ku

ri

do

ko

er

Hakata-ekimae
SquareJPR Hakata
Building

Su

22

Shinkawa-bashi

Tenjin MENT
Building

ori

Kego ESr

Shokokaigisho
IriguchiWatanabe-doririKego KOBAN

Kego 2chomeTenjin LUCE

Imaizumi

Riv

Toko 2chome

Mangyo-ji

Nakasu1chomeve

Sankoubashi

do
eab .
an Ave

.

Ave

i-d
ash
ninb
Sho

dori

aki-

Key

202

Kego-jinja Mae

ve.

i-

Ri

Fukuoka City Hall Tenjin Chuo
Park

Tenjin MMT Building

TENJIN216

uta
Kok

Kego

Fukuoka Shiyakusho-mae

oriTenjin121 Building
eki-d SOLARIA
Tenjin122
Iwataya
Plaza Nishitetsu
Building
Daimaru
Main Store
Fukuoka (Tenjin) Sta.
ResoraFukuokaTenjin-minami Sta.
TenjinKego Park Mitsukoshi Watanabe-dori 4chome

A
doro

asa

Hakataekimae

at

ve.

-dori A

3

Class
Keyaki Dorika

Tenjin 1-chome 11th Block
Development Project: provisional name

Kiram

TenjinNishi-dori
SquareDimyo 1chome

Gionmachi
Nishi

Na
Acros
Best Denki Fukuoka
Fukuoka Main Store

Hakata Gion
M-SQUARE

KushidaShrineChukan Sta.
(provisional name）

NakasuTenjinkirameki-dori building

102

Mik

Joten-ji

W

TaishoTenjinNishi-dori

DaimyoIwataya
Shinkan17

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

Gion Sta.

アクロス福岡前IMSn-dori VIORO

Saza

Tenjindori

Chuo Ward
OfficeTenjin
Prime

jin N

Subw

Akasaka Sta.

Line

Ten

uko
ay K

Ave.

-dori

Meiji

Chuo-kuyakusho

Shimin Center
Taiikukan

Tenjin Business Center

inkawanshkuiYa

Maizuru

Reisen-machi

gate’s（planned completion in Sept. 2021）

Hinode Tenjin
Building

Maizuru
1chomeMaizuru
2chomeYutaka JCT

202

Nishi-ohashi

Nishitetsu Inn Fukuoka

Chuoyubinkyoku-mae
Tenjinbashi-guchi

Katakasu

Gokusho-machi

Taihaku Street
Tenya-machiBusiness Center

Kamikawabata-machi

Fukuoka Kogin Building

552

Katakasu
1chome43

Nakasu-Kawabata Sta.

The Bank of Tenjin
Tenjin 1chome
Fukuoka Fukuoka Building
Tenjin Head OfficeTenjin Sta.
Center Buildingve.
Ari
Fukuokaa-doTenjin Mitsui
FukuokaShow
Building
Building
Securities PARCO Fukuoka
Tenjin-nishi
Building
Shinkan PARCO

21

Akasakanishi

Tenjin Nishi-DoriBusiness Center

Gofukumachi
Business Center

Gionmachi

18

F

Shofuku-ji

Hakata-za
Hotel
Theater
Okura Fukuoka
HakataRiverain
Business Center

NakasuD-WingTower

Maizuru JHS

2Tenjin North
Front Building

Bank ofJapan

Maizuru ES

Nagahama

ve

ri A

-do

tsu

nu
Na

空港通

吉塚1丁目

E

福岡高校

Yutaka 1chome

Kamigofuku-machi

13

550

D

Gofukumachi Sta.

Higashinakajimabashi

Tenjin Reverfront

Amex
Akasakamon
Tower

Gofuku machi

Ave.

Suzaki-machi

KBC
Kyushu Asahi Nanotsu-guchi
Broadcasting

Fukuoka Central wholesalemarket fish market

Meiji-DoriBusiness Center
Main building / Annex

Suzakikoen-mae

SuzakiPark

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

555
2009
2017 2019（actual）（actual）

2020

2021

2022

2023

2024 Hakata-ekiminami
2025
5chome2026

2027

2028 （FY）

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

Appendix53

Redevelopment in Tenjin area （Tenjin Big Bang）
2-year extension until the end of Tenjin Big Bang project in the end of Year 2026 （＊1）
Tenjin Northfront
Building■ Owned by Fukuoka Jisho （＊2）
■ Completed before 1978

Tenjin 2-chome south block along Meiji-dori Ave.
（relaxation of floor space ratio restriction）

de】【West sive.
dori A
Meiji- Hulic Fukuoka
Building

D-WingTower

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

ipal
Munic LineakoFuku ay Kuk o
Subw

de】
【East siTen jinFukuoka Kogin
Building
S t a.

Tenjin 1-chome
11th Block
Development Project（provisional name）●
Acros
Fukuoka
Fukuoka
City Hall●

Tenjin Nishi-Dori

100m◎Main deregulation in the Tenjin Meiji-dori area
①Relaxation of restrictions●Around Fukuoka City Hall approx.67m （15 floors）②City original Deregulationof floor space ratios●Tenjin 1-chome south block（West of the center of Watanabe-dor） approx.115m （26 floors）
800％→1400％（maximum）（East of the center of Watanabe-dor） approx.76m （17 floors）〜approx.100m （22 floors）●Tenjin Meiji-dori district（＊1） The deadline of phased or successive re-construction projects spreading multiple blocks will be determined individually.（Limited to projects that submit plan summaries to the city government by the end of 2022）（＊2） 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 and each company.

●In the Tenjin 1-chome 11th Block
Project: provisional name,
Demolition to start for
Tenjin Core Building（2019）●Completion of Tenjin
Business Center●Tenjin MM Building（IMS）
to close

Source: Prepared by Fukuoka Realty Co., Ltd. based on press releases of each company.

Officeentrance

Office lobby
Entrance Parking
Shop/Restaurant◎Tenjin Business Center

Self-propelled bicycle parking lot

EntityFukuoka Jisho Co.,Ltd

Location

1-Chome, Tenjin, Chuo Ward, Fukuoka City

Land area

3,917.18㎡

Total floor
space

61,116.98㎡

Floors19 aboveground floors,
penthouse 2 floors, basement 2 floors

Use

Office, shops, parking, etc.

HeightCompletion

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

approx. 89ｍ
September 2021（scheduled）

Initiatives for becoming an infection-controlling city

Redevelopment schedule in Tenjin area
Year 2021

concourse

AtriumTenjin Chuo Park●

TenjinTenjin MMT Building
MM Building（IMS）
Former Daimyo
CenterElementary School Site Business（relaxation of height
and floor space ratio）
Tenjin Nishi-Dori
CenterBuilding

SubwayTenjin Sta.

Lower level floor

e.
i Av
dor
betanaWa●●Bank of Japan
Fukuoka Chuo Post OfficeHigher level floor

AEON Shoppers Fukuoka
Tenjin 1-chome north block（14th Block）(Creation of office space for new tenants) （relaxation of floor space ratio restriction）

Tenjin Meiji-dori district（relaxation of height restriction）〜Year 2020

Tenjin Business Center floor map

Tenjin Riverfront Business Center◎Urban central areas

Year 2022●Completion of Daimyo
Elementary School site
redevelopment construction
workYear 2023 and beyond●Opening of Tenjin 1-chome 11th Block
Development Project: provisional name,Completion of Tenjin MM Building（IMS）
site construction work,
Hulic Fukuoka Building Rebuilding Project
to be completed（2024）

Anti-infection measures in central urban areas were added
as a new item of floor area ratio assessment to the measuresfacilitate renewal of city center functions.
Relaxation of floorarea ratio by up to（Tenjin Big Bang Area）

50％

Completion deadline ofbuildings that take anti-infection
measures is extended to
December 31, 2026

＊The deadline of phased or successive re-construction projects spreading multiple
blocks will be determined individually. （Limited to projects that submit plansummariesto the city government by the end of 2022)

Appendix54

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 target area
■ National Strategic Road Occupancy Project

Canal City Hakata／
Canal City Hakata・B

■J
ot
en
ji-d
or
iA
ve
.

The Nishi-Nippon
City Bank
Head Office
Annex

■T

Administrative
Head Office
Buildingaih

Chukan Sta.(provisional name）

ak

Hotel FORZA Hakataeki
Chikushi-guchi Ⅰu-Canal City Hakata
East Building

■

do

ri A

ve

.

SubwayKuko Line

JR Hakata Sta.
Hakata-ekimae
Business Center
Canal City BusinessCenter Building

is owned by Fukuoka REIT Corporation（As of August 31, 2020）
. ＊

s
diu
ra

①Increase the floor area ratio (up to 50%) for buildings
contributing to expand the bustle, such as creation ofopen spaces that generate connections and expanse.

Hotel FORZA Hakataeki
Chikushi-guchi Ⅱ
for the Fukuoka Higashi
General Prefectural
Office Building Site
Utilization Project

Higashi Hie Business Center
Hakata-Eki
Higashi 1-chome
Development Project（provisional name）

Existing
systemto relax floorarea ratio

New incentive
Floor area
ratio of up to●High-quality, high-value-added buildings●Provide floors for tenant relocation

Sanix Hakata Building
SUNLIFE

Higashi Hie Business Center �②Evaluate public open spaces, even including plazaswith roofs, by up to 2.5 times from the viewpoint of morebustles and excursions.
Even plazas withroofs are evaluated
Secure floor
as public open spaces.
areas for
Up to 2.5 times
upper floors

2.5

100m

owned by Fukuoka Jisho Group（As of August 31, 2020）
. ＊

50 ％

＊Solving problems specific to the area around Hakata Station（limited to the period of Hakata Connected）

Higashi Hie Business Center Ⅱ■C No.3 Building
hik
us
hido
ri A
ve
.

Hakata Connected Bonus◎Expand the system to relax the floor area ratio
requirement (measure to facilitate renewal ofcity center functions)

up to

e.
Av
i
r
o
i-d
sh
yo
i
um
■S

e.

＊

The Nishi-Nippon City Bank
Head Office Main Building

.
ve
iA
r
do
ok
Ku

■Chikushiguchi
chuo-dori Ave.

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

x.
ro
p
ap

0m
50

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.

times

Represents projects for which the Fukuoka Jisho Group participates in the development.

Redevelopment schedule in Hakata area
Year 2020 ～ 2022
●Demolition to start for The Nishi-Nippon
City Bank Head Office Main Building（2020）●Completion of Hakata-Eki Higashi 1-chome
Development Project: provisional name（2022）

Year 2023 ～ 2025
●Completion of new facilities for the Fukuoka Higashi General Prefectural
Office Building Site Utilization Project（2024）●Completion of The Nishi-Nippon City Bank New Head Office Building（2025）●Demolition to start for The Nishi-Nippon City Bank Head Office Annex and
Administrative Head Office Building （2025）

Year 2026 ～ 2028
●Completion of The Nishi-Nippon City Bank Head Office Annex and
Administrative Head Office Building （2028）

Source: Prepared by Fukuoka Realty Co., Ltd. based on press releases of each company.v

Appendix55

Sponsor pipeline （Fukuoka Jisho Group）
Overview of Fukuoka Jisho Co., Ltd.
Name

Major properties owned by Fukuoka Jisho Group

Fukuoka Jisho Co., Ltd.

Use

Established

July 1961

Industries

Real estate （comprehensive developer）

Representative

1

Ichiro Enomoto, President and C.E.O

Employees

213 （as of May 31, 2020）

Net sales

30.3 billion yen (period ended May 31, 2020）

Ordinary income

5.8 billion yen (period ended May 31, 2020）

Total assets

198.2 billion yen (period ended May 31, 2020）

Borrowings

106.0 billion yen (period ended May 31, 2020）

Equity ratio

31.0％ (period ended May 31, 2020）

Officebuildings■ Major properties owned or under development in the Tenjin Big Bang area
Tenjin Meiji-dori district●
Bank of Japan

Fukuoka Chuo
Post Office●(relaxation of height restriction)

Fukuoka Kogin Building
Tenjin Nishi-DoriBusiness CenterS t a.
Ten jin

e.
i Av
dor
betanaWa

100m

Tenjin Business Center（planned completionin Sept. 2021）

icipala Muno Line
k
o
u
k
k
Fu
ay Ku
Subw

RetailAcros
FukuokaHotel（during dismantling）

Fukuoka
City Hall●

Tenjin Chuo Park●

Determined district maintenance plan area

Logistics

Fukuoka Daiichi Building（during dismantling）

Year of completion

Total floor
space

1961

9,962㎡

2

Fukuoka Kogin Building

1970

15,160㎡

Fukuoka Asahi Building

1970

44,762㎡

1974（Main Building）/ 1986（Annex）

9,844㎡

1978

8,262㎡

4

Meiji-Dori Business Center

5

Sun Life No. 3 Building

6

Tenjin Nishi-Dori Business Center

1978

10,394㎡

7

Tenjin MMT Building（during dismantling）

1979

19,874㎡

8

Tenjin Riverfront Business Center

1999

4,106㎡

9

Hakata Ekimae Business Center

1999

23,542㎡

10

Naha Business Center

2018

8,994㎡

11

Tenjin Business Center

FY2021（scheduled）

12

Marinoa City Fukuoka（Outlet Building）

61,116 ㎡

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

46,663㎡

13

Tenjin Kirameki Dori Building

2003

24,525㎡

14

Canal City Hakata East Building

2011

18,534㎡

2008

6,500㎡

2012 / 2017（Annex Building）

7,335㎡

16

Tenjin MMT Building

Name

3

Residence 15●

Tenjin MM
Building
（IMS）

No.

Class Keyaki DoriHotel FORZA Hakataeki Chikushi-guchi Ⅰ

17

Hotel FORZA Hakataeki Chikushi-guchi Ⅱ

20194,876㎡

18

Hotel FORZA Sapporo Ekimae

2020

11,344㎡

19

LOGICITY Minato Kashii North

2020

47,150㎡＊Includes properties owned by the Fukuoka Jisho Group and properties co-owned with other companies.

■LOGICITY Minato Kashii North ■Naha Business Center■Tenjin Business Center
Officebuildings

Logistics

Officebuildings■ Projects for which the Fukuoka Jisho Group participates in development in the Hakata Connected area
Project namethe Fukuoka Higashi General Prefectural
Office Building Site Utilization Project
Successive redevelopment of buildings
owned by The Nishi-Nippon City Bank

planned completion

Mar.-Apr. 2024
Around Feb. 2025, around Sept. 2028
（Image）＊Prepared by Fukuoka Realty Co., Ltd. based on data from Fukuoka Jisho Co., Ltd.

Appendix56

Condition of Inbound Tourists
Trends of increase in international students and foreign workers （professionals）

Change in number of overseas visitors
thousand（ people ）Fukuoka Airport（people）

3,000

842

2,500

167

847

2,000

574

1,500

183

1,392

12,000800
14310,000

674
89

8,000

161
2,414

2,141

Junior college
specialized training colleges
Japanese language schools

The number of international students
is the third largest in Japan, after
Tokyo and Osaka Prefectures.

4,000

1,631
45
264

2015

universities/graduate school
preparatory school

6,000
2,205

1,000

0

and Japanese language schools in Fukuoka City

Number of persons landing on ships on overseas
irregular service routes

Port of Hakata

3,500

500

◎Trends of international students at universities, specialized training colleges

2016

2017

2018

7

at the end of June

2019

2020

（year）

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from “Statistics on Legal Migrants”（Ministry of Justice） and “Number of Passengers
on Overseas Routes”（Port and Airport Bureau, Fukuoka City）.

Breakdown of overseas visitors in 2019

[thousand people]

2,000
0

2010

2011

2012

2013

2014

2015

2016

2017

2018

（year）
Source: Prepared by Fukuoka Realty Co., Ltd. based on data from FUKUOKA Growth 2020 by the Fukuoka Asian Urban Research Center.

◎Trends in the number of foreign workers （with residential status in professional and technical areas）

in Fukuoka Prefecture （＊）（index）

350

Others300

5.5％[159]

South Korea

Thailand
2.0％[58]
Europe/U.S.A/
Australia
3.4％[99]
Hong Kong
7.4％[216]
Taiwan

11.0％[320]39.1％[1,136]

Number of persons landing
on ships on overseas
irregular services routes

23.2％
[674]

250
200
150
100

China

8.3％[242]

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from “Statistics on Legal Migrants”（Ministry of Justice） and “Number of Passengers
on Overseas Routes”（Port and Airport Bureau, Fukuoka City）.

50
0

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: Prepared by Fukuoka Realty Co., Ltd. based on data from the Ministry of Health, Labor and Welfare's "Employment of Foreigners."（＊） The figures for 2010 are indexed as 100.

Appendix（year）

57

Situation of Fukuoka City

Commuting scenery at Hakata station square（photo taken on Oct. 5）

Tenjin （Fukuoka） Sta.
Commuting scenery （photo taken on Oct. 5）

The Nishi-Nippon City Bank Head Office Main Building
during dismantling （photo taken on Oct. 7）

Canal City Hakata （photo taken on Oct. 11）

Konoha Mall Hashiamoto （photo taken on Oct. 12）

Trends in COVID-19 cases （nationwide, Tokyo and Fukuoka） from January to end of September 2020
（people）

2,000

Nationwide

Tokyo

The Fukuoka COVID-19 Alert announced on August 5, 2020
was lifted on October 8, 2020

Fukuoka

1,500
1,000
500
0

Jan.

Feb.

Mar.

Apr.

May

Source: Prepared by Fukuoka Realty Co., Ltd. based on the data of "DATA SALAD", Kyushu Economic Research Center.

Jun.

Jul.

Aug.

Sept.

Tenjin Business Center Construction site （photo taken on Oct. 3）

Appendix58