This document was prepared based on statements made at the earnings announcement meeting held on
July 19, 2017 (Wednesday) and should not be construed as a solicitation for investment in the Investment
Corporation. Moreover, please understand that we shall not be held liable for omissions and errors of dataand phrases used in this document. Furthermore, opinions and forecasts indicated in this document are theInvestment Corporation’s judgments as of the time this document was prepared. No assurances orpromises can be given regarding the accuracy and certainty of this information, and it can be modified
without prior notice.

Main Q&A at the 23rd Fiscal Period Earnings Announcement
Date and Time: 15:30-16:30, July 19, 2017 (Wednesday)
Presenter: Akira Yamanouchi / President and Representative Director
Daiwa Real Estate Asset Management Co. Ltd.
*Questions are presented in sequential order

Q1. On page 13 of the presentation material, it was stated that the pace of rent increase wassteady. Is rent likely to continue increasing?
(Answer)
The number of tenants subject to contract renewal changes for each fiscal period, but we always
negotiate for rent increase. However, there are those tenants renewing a contract for the second or
third time, and we do not think we can just keep raising the rent. That said, we will make necessary
efforts to maintain the upward trend.
Q2. Although the growth rate of dividend resources shown at the bottom of page 12 of thepresentation material indicates a favorable annualized 5.8% for the 23rd fiscal period, there is
an impression that such a figure has not led to dividend growth. How do you intend to raise
dividends going forward?
(Answer)
The current fiscal period ending November 2017 has seen some contract cancellations. Furthermore,
the number of new leases and cancellations has increased as shown in the graph on the lower left ofpage 11 of the presentation material. One reason for this has been the granting of free-rent periods
causing a delay in revenue generation. Under circumstances with a tight supply-demand balance,granting three to six months of free rent is acceptable in order to raise contract rent per tsubo. We, ofcourse, do not grant free-rent periods if a tenant does not want it. The cancellation rate for the fiscal
period ending May 2018 is forecasted to be about 2.3%, and if new leases and cancellations settle ataround this level, we believe it is possible to expect a dividend yield of 12,000 yen.

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Q3. What is your view on share buybacks and M&A?
(Answer)
We have maintained our stance to consider all measures that would benefit unitholders. On the other
hand, however, we do not think that the current level of our investment unit price is so low as torequire discussing share buybacks. If we were in a circumstance that allowed for purchasing abuilding with the NOI yield of Shin Kanda Mikuracho Building, we would rather focus on externalgrowth.
Q4. While explaining about CONCURRED Yokohama, you mentioned your possible intention ofstrategic asset replacement. If you are to sell a property, what would be the purpose?
(Answer)
Asset replacement is not the only option upon acquisition. That said, however, it may not be best to go
as far as to take out loans and actively raise LTV in order to increase dividends, and thus we considerstrategic replacement to be a better option. Concerning asset replacement, we have yet to decide on
candidate properties for sale, but candidates shall be narrowed down through negotiations withcandidate buyers. We do not look for sales that seek capital gain, but will proactively consider asset
replacement that would improve NAV per unit.
Q5. Although it has been said the period-average occupancy rate for the fiscal period ending May
2018 is expected to fall to 95.7%, 96% seems to be the normal level considering past trends. At
what level should the occupancy rate be in order to aim for DPU of 12,000 yen?
(Answer)Roughly 97% is the level that can realize 12,000 yen of DPU on a normal basis. The forecast
occupancy rate for the fiscal period ending May 2018 is a figure conservatively factoring in expected
new leases and cancellations. Since the changes in occupancy rate show around 96% on a normal
basis, I believe it is possible to foresee 12,000 yen if this level can be maintained.
Q6. Turning free-rent portions into revenue sources has been included as a measure to realize
DPU of 12,000 yen. How will it progress?
(Answer)If the cancellation rate is kept within the range of 2 to 3%, turning free-rent portions into revenue
sources will progress. In addition, we intend to shorten the free-rent period as well.

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