Translation
Japan Prime Realty Investment Corporation
Financial Report for the 40th Fiscal Period Results (July 1, 2021 – December 31, 2021)
February 16, 2022

REIT Securities Issuer:
Japan Prime Realty Investment Corporation
Listing:
Tokyo Stock Exchange
Securities Code:
8955
URL:
https://www.jpr-reit.co.jp/
Representative:
Yoshihiro Jozaki, Executive Officer
Asset Management Company: Tokyo Realty Investment Management, Inc.
Representative:
Yoshihiro Jozaki, President and Chief Executive Officer
Contact:
Yoshinaga Nomura, Director and Chief Financial Officer TEL: +81-3-3231-1051
Scheduled date of submission of securities report:
March 28, 2022
Scheduled date of commencement of distribution payout:
March 10, 2022
Preparation of supplementary explanatory materials on financial results: Yes / No
Holding of briefing session on financial results:
Yes / No (for analysts and institutional investors)
1. Financial Results for the 40th Fiscal Period (July 1, 2021 – December 31, 2021)[Amounts are rounded down to the nearest million yen, except for per unit figures.][% figures represent the increase (decrease) compared with the previous fiscal period](1) Operating Results
For the six months ended

December 31, 2021
June 30, 2021

Operating Revenue
million yen%
18,253
5.5
17,3051.0
Net Income per Unit
(EPU)
yen
8,236
8,474

For the six months ended

December 31, 2021
June 30, 2021

Operating Income
million yen
%
8,626
(1.9)
8,789
3.0

Net Income / Net Assets

Ordinary Income
million yen
%
7,893
(2.8)
8,121
3.6

Net Income
million yen
%
7,892
(2.8)
8,120
3.6

Ordinary Income /Total Assets

Ordinary Income /Operating Revenue
%
43.2
46.9

%
3.1
3.2

%
1.6
1.7

(2) Distributions
Distribution
per Unit(DPU)[excluding
exceeding profit
distribution
amount]Distribution
AmountExceedingProfitDistribution
per Unit

ExceedingProfitDistribution
AmountDividend
Payout Ratio

Distribution /Net Assets

For the six months ended

yenmillion yen
yenmillion yen
%
%
–
7,550
7,234
–
91.6
2.8
December 31, 2021
–
7,657
7,337
–
90.3
2.9
June 30, 2021
(Note 1) Dividend payout ratio is rounded down to the first decimal place.
(Note 2) The difference between the distribution amount and net income for the six months ended June 30, 2021, is attributable tothe fact that part of the unappropriated retained earnings (783 million yen) was internally reserved as reserve for reduction
entry.
(Note 3) The difference between the distribution amount and net income for the six months ended December 31, 2021, is attributable
to the fact that part of the unappropriated retained earnings (659 million yen) was internally reserved as reserve for reduction
entry.

(3) Financial Position
As ofDecember 31, 2021
June 30, 2021

Total Assets
million yen
495,615484,323

Net Assets
million yen
257,649
257,093

1

Net Assets / Total Assets
%
52.0
53.1

Net Asset Per Unityen
268,875
268,295

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(4) Cash Flows
Cash Flows fromOperating Activities
For the six months ended

Cash Flows from
Investing Activities

million yen
18,793
11,850December 31, 2021
June 30, 2021

million yen(29,876)(2,167)

Cash Flows from
Financing Activities
million yen
3,027(7,477)

Cash and Cash
Equivalents
at End of Period
million yen
35,54743,602

2. Forecasts for the 41st Fiscal Period Ending June 30, 2022 (January 1, 2022 – June 30, 2022) and the42nd Fiscal Period Ending December 31, 2022 (July 1, 2022 – December 31, 2022)[Amounts are rounded down to the nearest million yen, except for per unit figures.][% figures represent the increase (decrease) compared with the previous fiscal period]

Operating
Revenue

Operating
IncomeOrdinary
IncomeNet
IncomeDPU [excluding Exceedingexceeding profit
Profitdistribution per Distribution
unit]
Per Unit%yen
yenmillion yen% million yen% million yen% million yen
41st Fiscal Period
18,167
(0.5)
9,247
7.2
8,529
8.1
8,528
8.1
7,750
0
Ending June 30,
2022
42nd Fiscal Period
18,386
1.2
9,376
1.4
8,579
0.6
8,579
0.6
7,750
0
Ending December
31, 2022(Reference) Estimated net income per unit (forecast net income / forecast number of investment units at end of period)
41st fiscal period ending June 30, 2022:
8,552 yen
42nd fiscal period ending December 31, 2022: 8,603 yen(Note 1)
DPU for the 41st fiscal period ending June 30, 2022 is calculated on the assumption that part of the gain on sale of realestate (799 million yen) will be internally reserved in application of the Special Provisions for Taxation in Cases of
Repurchase of Specified Assets (Article 65-7 of the Act on Special Measures Concerning Taxation).
(Note 2)
DPU for the 42nd fiscal period ending December 31, 2022 is calculated on the assumption that part of the gain on sale ofreal estate (850 million yen) will be internally reserved in application of the Special Provisions for Taxation in Cases of
Repurchase of Specified Assets (Article 65-7 of the Act on Special Measures Concerning Taxation).

3. Other(1) Changes in Accounting Policies, Changes in Accounting Estimates and Retrospective Restatement(a) Changes in accounting policies accompanying amendments to accounting standards, etc.:(b) Changes in accounting policies other than in (a):(c) Changes in accounting estimates:(d) Retrospective restatement:

Yes
None
None
None

(2) Number of Investment Units Issued and Outstanding(a) Number of investment units (including treasury units) issued and outstanding at end of period
As of December 31, 2021:
958,250 units
As of June 30, 2021:
958,250 units(b) Number of treasury units at end of period
As of December 31, 2021:
0 units
As of June 30, 2021:
0 units(Note) With regard to the number of investment units, which serves as the basis for calculating net income per unit, please refer to“Per Unit Information,” on page 24.

* This financial report is not subject to audit procedures by public accountants or audit corporations.
* Special note
The forecasts for the 41st fiscal period ending June 30, 2022, and the 42nd fiscal period ending December 31,
2022, are calculated as of February 16, 2022, based on the assumptions described on pages 9 and 10 of this report.
Accordingly, actual operating revenue, operating income, ordinary income, net income, DPU and exceeding profit
distribution per unit may differ from the forecasts. Moreover, the forecasts should not be construed as a guaranteeof the distribution amount.
This is an English-language translation of original Japanese announcement on our website released on February
16, 2022. However, no assurance or warranties are given with respect to the accuracy or completeness of thisEnglish-language translation. The Japanese original shall prevail in the case of discrepancies between thistranslation and the Japanese original.
2Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

1. Management Status
1) Overview of Fiscal Period under Reviewa) Milestones of JPR
Japan Prime Realty Investment Corporation (JPR) was established on September 14, 2001, under the
Act on Investment Trusts and Investment Corporations (Act No. 198 of 1951, as amended), and waslisted on the Tokyo Stock Exchange Real Estate Investment Trust Section on June 14, 2002, with 289,600
outstanding investment units. With the subsequently implemented public offerings and other capitalraising measures by JPR, the number of investment units issued and outstanding totals 958,250 units asof the end of the 40th fiscal period (December 31, 2021). JPR has assigned the asset management of its
portfolio to Tokyo Realty Investment Management, Inc. (TRIM), through which JPR aims to maximize
unitholder value by efficiently managing the portfolio primarily comprising office properties and retailproperties.
b) Management Environment
During the 40th fiscal period, the Japanese economy had remained in a severe situation due to the impact
of COVID-19. A pickup trend was observed, however, as economic and social activities recovered
increasingly, with progress made in vaccinations to help decrease the number of cases and the state of
emergency declarations, etc., which had been issued nationwide against the pandemic, lifted. On the
demand side, consumer spending showed a trend for recover, while in terms of supply, production wasrecovering after temporary stagnancy due to global shortage of semiconductors, etc. Corporate earnings
demonstrated recovery, mainly within manufacturing industries, and the non-manufacturing sector was
also on a recovery path after some delay. Overseas economies also continued to show pickup amid asevere situation. In spite of these developments, however, with a new variant of COVID-19 starting to
spread both in and outside Japan toward the end of the fiscal period under review, there are concerns
about the negative impact on the economy.
The Office Property Leasing Market
In the office property leasing market, the occupancy rate and rent levels showed a downward trend,
primarily in Central Tokyo, under the impact of COVID-19. Reflecting the recovery in the domestic
economy and corporate earnings, however, the decrease in the occupancy rate is decelerating in themarket.
The Retail Property Leasing Market
At urban retail properties which JPR targets for investment, restaurants and eateries were negatively
impacted by the state-of-emergency declarations, etc. that had been issued nationwide against COVID19 issued. Demand is recovering, however, as the state-of-emergency declarations were lifted throughout
Japan.
The For-Sale Real Estate Market
In the for-sale real estate market, active transactions continued to take place against the backdrop of low
interest rates, etc. Investors keep showing a cautious attitude, however, for hotels and urban retailproperties for which the outlook is still uncertain due to the impact of COVID-19. For office properties,
on the other hand, blue-chip properties in which JPR targets for investment are in short supply while
investors both in and outside Japan still demonstrate a strong appetite to acquire them. Thus, with lowyield transactions continuing to prevail, the acquisition environment remains harsh. Accordingly,
investors continue to look for ways to effectively acquire properties, such as by diversifying the target
assets for investment and conducting asset replacement.
c) Portfolio Management Status
Acquisition of New Properties and Asset Replacement
JPR investigates possible investments mainly in office properties in the Tokyo area, plus office properties
in regional cities and retail properties, etc., with the primary aim of improving the quality of the portfolio
and achieving stable growth of earnings while giving attention to balancing the diversification of theportfolio, both in terms of location and asset type.
During the 40th fiscal period, JPR acquired additional ownership of Rise Arena Bldg. (acquisition price:
7,300 million yen) in October 2021. Moreover, JPR sold 40% ownership interest of JPR Umeda Loft
Bldg. (sale price of the relevant ownership interest: 7,000 million yen) and Tokyo Tatemono Honmachi
Bldg. (sale price: 3,600 million yen), and acquired GRAND FRONT OSAKA (Umekita Plaza and South
Building) (acquisition price: 11,800 million yen) and GRAND FRONT OSAKA (North Building)3

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(acquisition price: 9,500 million yen), all in December 2021. As a result of these transactions, the balanceof JPR’s assets under management totaled 66 properties, or 484.8 billion yen on an acquisition pricebasis as of the end of December 2021, with the total leasable floor space standing at 500,628 m2 and thenumber of tenants at 1,134.
Operational Management of Portfolio
In the office property leasing market in the 40th fiscal period, the vacancy rate was on an upward trend
and rent levels were on a downward trend under the impact of COVID-19, as stated above inManagement Environment, and close attention must be paid. Under such circumstances, JPR endeavored
to attract new tenants through strategic leasing activities and enhance the satisfaction of existing tenants
by maintaining close cooperation with property management companies and brokers, with an aim tosecure stable earnings across the entire portfolio as well as its occupancy rate. As a result of these efforts,
the occupancy rate at the end of the 40th fiscal period was kept at a high level, although it decreased 0.8
points period-on-period to 97.3%.
In terms of property management, based on JPR’s brand concept A/3S (Amenity/Service, Safety and
Save Energy), JPR continued to proactively implement value enhancement works based on tenant needs
with an aim to create spaces where the workers feel satisfaction. As an endeavor to reduce CO2 emissions,
JPR conducted renovation of air-conditioning systems and replacement of lighting equipment with LED
lamps, which are expected to be effective for the endeavor, at its multiple properties.
Moreover, as its initiatives on environmental issues, JPR has continuously obtained environmental
certifications. As of December 31, 2021, JPR has acquired DBJ Green Building Certification*1 for 15
properties (including one newly certified property) and CASBEE for Building Certification*2 for 28
properties (including 6 newly certified properties). In addition, JPR has acquired BELS*3 certification
for two of its properties. On top of these certifications JPR acquired, its endeavors on environmental
issues were so acknowledged that it was designated as “Green Star” in the GRESB*4 Real Estate
Assessment for 2021, marking the eighth consecutive year of recognition with the highest ranking in thesurvey. JPR has also been granted the highest rank of “5 Stars” in the rating, which makes relative
assessment based on total scores, for three consecutive years.
*1 The DBJ Green Building Certification is a certification system to select superior real estate that meets the demand of the times byscoring buildings based on the scoring model originally developed by Development Bank of Japan Inc. Its purpose is to promote
properties that are environmentally friendly, equipped to mitigate disasters and prevent crime, as well as meet the social
requirements surrounding real estate from various stakeholders (“Green Buildings”).
*2 CASBEE, which stands for Comprehensive Assessment System for Built Environment Efficiency, is a system for comprehensively
assessing the environmental performance of buildings. Efforts to develop and popularize the system in Japan are being carried out
under the leadership of the Ministry of Land, Infrastructure, Transport and Tourism.
*3 BELS is an abbreviation for Building-Housing Energy-efficiency Labeling System. It is a performance-labeling system created
for the purpose that a third-party organization accurately conducts the evaluation and indication of energy-efficiency performanceof non-residential buildings in accordance with the Assessment Guidelines on Energy Efficiency Performance of Non-residential
Buildings (2013) established by the Ministry of Land, Infrastructure, Transport and Tourism.
*4 GRESB is an annual benchmarking assessment to measure ESG (Environmental, Social and Governance) awareness of real estatecompanies and funds, as well as the name of the organization which runs the assessment system. It was founded in 2009 primarily
by major European pension fund groups. Of the survey subjects, GRESB Real Estate Assessment covers real estate companies
and funds that are mainly engaged in managing existing properties

Fund Procurement
JPR focuses its endeavors on debt financing with an emphasis placed on lengthening debt maturity anddiversifying repayment dates in an effort to make its financial base more solid and stronger against the
backdrop of the favorable fund procurement environment and low interest rates.
JPR borrowed 10.4 billion yen to fund the refinancing of interest-bearing debts it repaid during the 40th
fiscal period. The average maturity of and the average interest on the new interest-bearing debts(excluding short-term debts) stood at 8.8 years and 0.52%, respectively, in contrast to 5.6 years and
0.53% for the relevant interest-bearing debts before refinancing (excluding short-term debts).
As of the end of the 40th fiscal period, the balance of interest-bearing debts totaled 206.9 billion yen,with a balance of borrowings of 169.0 billion yen and a balance of investment corporation bonds of 37.9
billion yen. The ratio of interest-bearing debt to total assets (Note 1) was 41.7%, long-term and fixedinterest-bearing debt ratio (Note 2) was 94.2%, average debt cost (Note 3) was 0.73% and average
maturity (Note 4) was 4.6 years as of the end of the fiscal period.
Moreover, JPR established a commitment line with a credit limit of 24 billion yen with six financial
institutions.
4

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

The following represents the issuer ratings for JPR as of the end of the 40th fiscal period.
Details of Corporate Credit Ratings as of December 31, 2021
Credit Rating Agency
Corporate Credit Rating (outlook)
Japan Credit Rating Agency, Ltd. (JCR)
AA (Stable)
Rating and Investment Information, Inc. (R&I) AA− (Stable)
S & P Global Ratings Japan Inc. (S&P)
A (Stable)(Note 1) Ratio of interest-bearing debts to total assets (LTV): (balance of borrowings + balance of investment corporation bonds) / total
assets(Note 2) Long-term and fixed interest-bearing debt ratio: long-term, fixed-interest interest-bearing debts / total interest-bearing debt
(Note 3) Average debt cost: sum total of interest expenses, interest expenses on investment corporation bonds, borrowing expenses(excluding expenses for early repayment of borrowings and for commitment line agreements), amortization of investment
corporation bond issuance costs and investment corporation bond management expenses, divided by the number of businessdays for each fiscal period and annualized by multiplying by 365 days / average balance of borrowings and investment
corporation bonds for each fiscal period(Note 4) Average maturity is arrived at by calculating a weighted average of maturities from the end of the 40th fiscal period to therepayment deadlines for all interest-bearing debts based on the balance of each interest-bearing debt.

d) Operating Results and Cash Distributions
As a result of the aforementioned management performance, JPR posted operating revenue of 18,253
million yen, ordinary income of 7,893 million yen and net income of 7,892 million yen for its 40th fiscal
period ended December 31, 2021. With regard to the cash distributions, JPR decided to distribute part of
the retained earnings brought forward that had been internally reserved through the 39th fiscal period,
with the aim of having the profit distributions deducted as expenses based on application of the special
provision on taxation of investment corporations (Article 67-15 of the Act on Special Measures
Concerning Taxation) and in order to minimize the burden to unitholders incurred by accrual of corporate
income tax, etc. JPR also decided to internally reserve 659 million yen as reserve for reduction entry
from the unappropriated retained earnings, in application of the Special Provisions for Taxation in Cases
of Repurchase of Specified Assets (Article 65-7 of the Act on Special Measures Concerning Taxation).
As a result, the cash distribution per unit came to 7,550 yen for the 40th fiscal period.
2) Forecast for the Next Fiscal Perioda) Outlook for Management Status
Looking ahead, the Japanese economy is expected to continue showing a pickup, with domestic demand
recovering mainly in consumer spending, restrictions on supply of semiconductors and other products
loosening and overseas economies improving, among other factors. However, attention should be paid
to the trends of COVID-19 and the impacts of fluctuations in the financial and capital markets, etc.
The office property leasing market is anticipated to hit the bottom in a gradually increasing manner, butclose attention must be paid to the impact of mass supply of office buildings projected for 2023. In thisregard, JPR is resolved to continue its endeavors to enhance the competitiveness of its owned properties,
as it has focused on improving tenant satisfaction through proactive implementation of valueenhancement works and provision of elaborate management services.
In the for-sale real estate market, it has become even more important to discern the growth potential inearnings of respective properties, while continuously taking into account the impact of COVID-19 on
the leasing market. Moreover, given the current situation in which the low-interest-rate and low-yieldenvironment is maintained, it is necessary to firmly keep the attitude of vigorously selective investment
for implementing real estate investment that assumes possession of properties over the medium to longterm.
i) Acquisition of New Properties and Asset Replacement
JPR will continue to make investment focused on office properties in the Tokyo area, with an aim to
improve the quality of its portfolio and enhance its growth potential and stability over the long term. In
the for-sale office property market, the purchase cap rate and expected cap rate levels are still low, withproperties remaining in short supply. Although close attention must continuously be paid to the impact
of COVID-19, etc., JPR will fully investigate the stability and growth potential of candidate properties
when acquiring them. As for retail properties, etc., JPR will work to invest in strictly selected blue-chipproperties that can maintain stable revenues at a certain level in order to complement the stability ofearnings of the entire portfolio. In doing so, JPR will have to be more prudent in investigating, paying
close attention to sales trends, etc. of such properties under the influence of the spread of COVID-19.
JPR will continue its endeavors to acquire new properties under reasonable terms by negotiating prices
based on detailed market studies and property due diligence.
5

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Moreover, JPR will continue to make investment decisions after proactive collection of information
through such sources as sponsors of TRIM (Tokyo Tatemono Co., Ltd., Yasuda Real Estate Co., Ltd.,
Taisei Corporation and Meiji Yasuda Life Insurance Company), accurately assessing market trends andcarefully researching investment value, including the future potential of candidate properties.
Furthermore, JPR will also investigate asset replacement by taking into consideration the timing of
implementation, in order to improve the quality of its portfolio and enhance its growth potential over thelong term.
ii) Management of Portfolio
JPR will aim to secure stable earnings over the medium to long term by working to prevent move-outsof existing tenants, encourage them to expand office spaces in the same buildings and renew contracts
with upward revision of rents through endeavors to enhance tenant satisfaction, while continuously
attracting new tenants through strategic leasing activities. Specifically, JPR will conduct management
and operations based on the following policies:- Strengthen coordination with property management companies and respective tenant brokers- Propose leasing terms and conditions in consideration of the current leasing market situations andpromote rapid decision-making- Conduct strategic value enhancement with the intent to improve property earnings and increase tenantsatisfaction- Reinforce responses to business continuity plans and environmental friendliness that command highsocial demandiii) Fund Procurement
In accordance with its basic policy of implementing conservative financial operations that focus on
stability, JPR will control its LTV in a conservative manner. In debt financing, JPR will endeavor tofurther lengthen maturity with a focus on stability in an effort to diversify repayment dates and reduce
the repayment amount for each fiscal period, with an eye on reducing refinancing risks that may arise
with future changes in the financial environment. Moreover, JPR intends to work on fund procurement
through issuance of investment corporation bonds as it aims to diversify fund procurement means andsources.
iv) Information Disclosure
Positioning the proactive voluntary disclosure of information as one of its key management policies, JPR
voluntarily discloses information believed to be useful to investment decisions, along with theinformation disclosure required by the Tokyo Stock Exchange and that set forth by laws and regulations,etc. As a means for implementing voluntary disclosure, JPR is proactively employing its website(https://www.jpr-reit.co.jp/en/) to post information including monthly occupancy rates of all properties
in the portfolio and historical data as well as offer expanded information on sustainability and deliver
video presentations on financial results sessions for securities analysts.
v) Significant Subsequent Events
Issuance of new investment units
JPR resolved at its Board of Directors meetings held on January 4, 2022 and January 12, 2022 to issue
new investment units, as outlined below.
[Issuance of new investment units through public offering (primary offering)]
Number of new investment units issued:
38,100 units
Issue price (offer price):
368,480 yen per unit
Total issue price (total offer price):
14,039,088,000 yen
Paid-in amount (purchase price):
356,824 yen per unit
Total paid-in amount (total purchase price):
13,594,994,400 yen
Payment date:
January 18, 2022

6

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period[Issuance of new investment units through third-party allotment]
Number of new investment units issued:
1,900 units
Paid-in amount (purchase price):
356,824 yen per unit
Total paid-in amount (total purchase price):
677,965,600 yen
Allottee:Mizuho Securities Co., Ltd.
Payment date:February 16, 2022
<Reference Information>
Property Acquisition
After the settlement date, JPR acquired the following property.
< Tokyo Tatemono Higashi Shibuya Bldg.>
Property overview
Location:
26-20 Higashi 1-chome, Shibuya-ku, Tokyo (residential address)
Type of ownership:
Land: Ownership (co-ownership: 91.4% co-ownership interest),
ownership
Building: Sectional ownership
Site area:
2,643.15 m2 (equivalent to co-ownership interest: 2,424.20 m2)
Total floor space:
15,662.20 m2 (equivalent to co-ownership interest: 7,774.77 m2)
Structure/floors:
S, RC, SRC with flat roof, B3/14F
Completed:May 1993
Number of tenants;
14
Total leasable floor space:
7,821.01 m2
Total leased floor space:
7,447.43 m2
Occupancy rate:
95.2%(Note) Number of tenants, total leasable floor space, total leased floor space and occupancy rate indicate the figures
as of the acquisition date.

Transaction terms and conditions
Purchase price:
11,300 million yen
Asset type:
Real estate
Contract date:
December 23, 2021
Acquisition date:
January 18, 2022
Property Sale
JPR concluded a sale agreement regarding the following property on December 23, 2021.
< JPR Umeda Loft Bldg. (30.0% co-ownership interest)>
Asset type:
Beneficiary interest (30.0% co-ownership interest)
Sale price:
5,250 million yen
Delivery date:June 30, 2022 (scheduled)
Buyer:MBS Media Holdings, Inc.
Impact on operating results: JPR plans to record approximately 1,336 million yen in gain on sale ofreal estate as operating revenue for the fiscal period ending June 2022
(January 1, 2022 – June 30, 2022).
< JPR Umeda Loft Bldg. (30.0% co-ownership interest)>
Asset type:
Beneficiary interest (30.0% co-ownership interest)
Sale price:
5,250 million yen
Delivery date:
December 23, 2022 (scheduled)
Buyer:MBS Media Holdings, Inc.
Impact on operating results: JPR plans to record approximately 1,341 million yen in gain on sale ofreal estate as operating revenue for the fiscal period ending December
2022 (July 1, 2022 – December 31, 2022).

7

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Periodb) Outlook for Management Status (Operating Results)
JPR expects the following management status in the 41st fiscal period (from January 1, 2022 to June 30,2022) and the 42nd fiscal period (from July 1, 2022 to December 31, 2022).
Operating revenue
Operating income
Ordinary income
Net income
Distribution per unit
Exceeding profit
distribution per unit

41st Fiscal Period
18,167 million yen
9,247 million yen
8,529 million yen
8,528 million yen
7,750 yen

42nd Fiscal Period
18,386 million yen
9,376 million yen
8,579 million yen
8,579 million yen
7,750 yen

– yen

– yen

For the assumptions underlying this outlook of management status, please refer to “Assumptions for the
41st Fiscal Period (from January 1, 2022 to June 30, 2022) and the 42nd Fiscal Period (from July 1, 2022
to December 31, 2022)” shown below.
(Note) The forecast figures above are the current forecasts calculated based on certain assumptions. Accordingly, the actual operating
revenues, operating income, ordinary income, net income, distribution per unit and exceeding profit distribution per unit mayvary due to changes in the circumstances. Moreover, the forecast above should not be construed as a guarantee of the distribution
amount.

8Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Assumptions for the 41st Fiscal Period (from January 1, 2022 to June 30, 2022) andthe 42nd Fiscal Period (from July 1, 2022 to December 31, 2022)
Item

Assumptions
41st fiscal period: from January 1, 2022 to June 30, 2022 (investment period: 181 days)
Operation Period
42nd fiscal period: from July 1, 2022 to December 31, 2022 (investment period: 184 days)
・On the basis of the 67 properties owned by JPR as of February 16, 2022, it is assumed that JPR
will sell JPR Umeda Loft Bldg. ((1) scheduled for June 30, 2022 (30% co-ownership interest),
Property Portfolio(2) scheduled for December 23, 2022 (30% co-ownership interest).
・In practice, this assumption may vary due to such events as acquisition of additional properties
or sale of existing properties other than the above-mentioned property.
・Real estate rental revenues are calculated on the basis of the lease contracts effective as ofDecember 31, 2021, with consideration given to such factors as the market environment andstatus of negotiations with tenants, as well as taking into account the impact of certain tenantOperatingmove-ins and move-outs, among other factors. JPR also assumes that rents will be paid on time
Revenueand that no tenants will fail or decline to pay rents.
・Gain on sale of real estate is assumed to be 1,336 million yen for the 41st fiscal period and
1,341 million yen for the 42nd fiscal period.
・Among rental expenses, which are the principal operating expenses, outsourcing expenses andother expenses excluding depreciation are calculated based on historical data, etc., reflecting
variable factors of expenses. Outsourcing expenses are assumed to be 701 million yen for the
41st fiscal period and 708 million yen for the 42nd fiscal period.
・For property taxes and city planning taxes, JPR assumes 2,526 million yen for the 41st fiscal
period and 2,509 million yen for the 42nd fiscal period. In general practice, the property taxes
and city planning taxes levied on properties acquired are settled after prorating for the periodwith the previous owner at the time of acquisition, but JPR includes the amount equivalent tosuch settlement in the acquisition costs for the properties.
・For expenditures for the repair and maintenance of buildings, the amount expected to be required
Operatingin each of the fiscal periods has been recorded. However, the expenditures for repair andExpensesmaintenance for each of the fiscal periods could differ significantly from the estimated amount,as expenditures may arise due to damage to the building caused by unexpected factors, etc., andbecause the variance in amounts generally tends to grow from year to year and repair expenses
do not arise regularly.
・Depreciation is calculated using the straight line method, including additional future capital
expenditures. Depreciation is assumed to be 2,045 million yen for the 41st fiscal period and2,060 million yen for the 42nd fiscal period.
・ Operating expenses excluding rental expenses other than rental business expenses (asset
management fees, administrative service and custodian fees, etc.) are assumed to be 1,068
million yen for the 41st fiscal period and 1,061 million yen for the 42nd fiscal period.
・ As for major non-operating income, JPR assumes income on settlement of management
Non-Operating
association accounts to be 56 million yen for the 41st fiscal period and 3 million yen for the
Income42nd fiscal period.
・As for major non-operating expenses, JPR assumes 760 million yen for the 41st fiscal period
Non-Operating
and 784 million yen for the 42nd fiscal period for interest paid, fees related to loan arrangement,
Expensesinterest expenses on investment corporation bonds and amortization of investment corporationbond issuance costs, etc.
・The ratio of interest-bearing debt to total assets as of February 16, 2022, stands at 40.3%, withinterest-bearing debts of 203,900 million yen (comprised of 9,000 million yen in short-termloans payable, 157,000 million yen in long-term loans payable and 37,900 million yen in
investment corporation bonds).
Interest-Bearing
・It
is assumed that all interest-bearing debt for which repayment (redemption) dates will arrive
Debt and Ratio of
during the 41st and 42nd fiscal periods will be refinanced.
Interest-Bearing
・The
ratio of interest-bearing debt to total assets is assumed to be 40.0% at the end of the 41st
Debt to Total
fiscalperiod and 40.0% at the end of the 42nd fiscal period.
Assets・The following formula is used in calculating the ratio of interest-bearing debt to total assets inthis table.
Ratio of interest-bearing debt to total assets =Expected total interest-bearing debt / Expected total assets x 100
9Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Item
Total Units
Outstanding

Assumptions
・The total number of investment units issued and outstanding is 997,178 units as of February 16,
2022, and it is assumed that no additional investment units will be issued.
・ For distribution per unit, it is assumed that all revenues will be distributed based on the
distribution methods provided in the Articles of Incorporation.
・As for the gain on sale of real estate JPR expects to record for the respective fiscal periods (1,336
million yen for the 41st fiscal period and 1,341 million yen for the 42nd fiscal period), it isassumed that part of the amount (799 million yen for the 41st fiscal period and 850 million yen
Distribution Per
for the 42nd fiscal period) will be internally reserved as reserve for reduction entry, inUnitapplication of the Special Provisions for Taxation in Cases of Repurchase of Specified Assets asprovided in Article 65-7 of the Act on Special Measures Concerning Taxation, for the purposeof stable management and cash distributions in the future.
・There is the possibility that the distribution per unit may vary due to various factors including
variation of rental revenue due to transfer of assets under management and tenants moving out,
and unpredicted repairs and maintenance.
Exceeding Profit
Distribution Per ・Distribution of monies exceeding the profit is currently not assumed.
Unit
・It is assumed that there will be no changes in legislation, taxation, accounting standards,
regulations applying to publicly listed companies, rules and requirements imposed by the
OthersInvestment Trusts Association, Japan that will impact the aforementioned forecast.
・It is also assumed that there will be no unexpected material changes in general economic andreal estate market conditions.

10Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

2. Financial Statements(1) Balance Sheets(Thousands of Yen)

AssetsCurrent assets
Cash and deposits
Cash and deposits in trust
Operating accounts receivable
Prepaid expenses
Consumption taxes receivable
Other
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Buildings in trust
Accumulated depreciation
Buildings in trust, net
Structures
Accumulated depreciation
Structures, net
Structures in trust
Accumulated depreciation
Structures in trust, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
Machinery and equipment in trust
Accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net
LandLand in trust
Construction in progress
Construction in progress in trust
Total property, plant and equipment
Intangible assets
Leasehold right
Other
Total intangible assets
Investments and other assets
Investment securities
Lease and guarantee deposits
Long-term prepaid expenses
Other
Total investments and other assets
Total noncurrent assets
Deferred assets
Investment corporation bond issuance costs

Investment unit issuance expenses
Total deferred assets
Total assets

11

End of 39th Fiscal
PeriodEnd of 40th Fiscal
Period(Jun. 30, 2021)(Dec. 31, 2021)¥30,996,393
12,606,208
271,418
129,757–
13,36544,017,144¥22,803,957
12,743,466
315,031
132,731
346,039
15,98936,357,215

67,563,186(21,751,330)
45,811,855
94,393,778(37,637,077)
56,756,701
77,603(32,353)
45,250134,930(82,306)
52,623909,004(614,208)
294,796
1,938,236(1,471,289)
466,946
178,884(88,622)
90,262
289,486(189,451)
100,034
133,370,201
190,413,992
858
16,153
427,419,677

66,302,138(22,029,896)
44,272,242
98,874,885(37,976,679)
60,898,205
78,936(34,426)
44,510125,139(79,475)
45,664
826,696(548,197)
278,499
1,980,756(1,507,805)
472,951
186,134(98,400)
87,734279,230(185,202)
94,028129,361,642
210,654,006
1,077
1,865
446,212,429

11,801,831
3,028
11,804,859

11,801,831
2,307
11,804,138–
689,298
197,510–886,809440,111,346

88,860740,252
200,454710
1,030,276
459,046,844

171,560
23,487
195,047¥484,323,538

195,018
16,402
211,420¥495,615,481

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(Thousands of Yen)

Liabilities
Current liabilities
Operating accounts payable
Short-term loans payable
Current portion of long-term loans payable
Accounts payable-otherAccrued expenses
Income taxes payable
Accrued consumption taxes
Advances received
Other
Total current liabilities
Noncurrent liabilities
Investment corporation bonds
Long-term loans payable
Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Total noncurrent liabilities
Total liabilities
Net assets
Unitholders' equity
Unitholders' capital
Surplus
Voluntary reserve
Reserve for reduction entry
Total voluntary reserve
Unappropriated retained earnings(undisposed loss)
Total surplus
Total unitholders' equity
Total net assets
Total liabilities and net assets

12

End of 39th Fiscal
PeriodEnd of 40th Fiscal
Period(Jun. 30, 2021)(Dec. 31, 2021)¥2,459,629
2,000,000
20,500,000
1,001,109
91,137605
478,592
2,995,945
246
29,527,265¥2,910,219
12,000,000
18,500,000
1,124,191
92,329605
173,458
2,886,309
24,221
37,711,335

35,500,000
138,500,000
9,973,833
13,728,489
197,702,323
227,229,588

37,900,000
138,500,000
9,787,659
14,066,877
200,254,537
237,965,873

247,860,796

247,860,796

1,103,494
1,103,494

1,887,437
1,887,437

8,129,659

7,901,374

9,233,153
257,093,950
257,093,950¥484,323,538

9,788,811
257,649,607
257,649,607¥495,615,481

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(2) Statements of Income and Retained Earnings(Thousands of Yen)

Operating revenue
Rent revenue-real estate
Gain on sale of real estate
Total operating revenue
Operating expenses
Expenses related to rent business
Loss on sale of real estate
Asset management fee
Administrative service and asset custody fees
Directors' compensation
Trust fees
Other operating expenses
Total operating expenses
Operating income
Non-operating income
Interest income
Income on settlement of management associationaccounts
Insurance income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Borrowing expenses
Interest expenses on investment corporation bonds
Amortization of investment corporation bondissuance costs
Amortization of investment unit issuance expenses
Other
Total non-operating expenses
Ordinary income
Income before income taxes
Income taxes-current
Total income taxes
Net income
Retained earnings brought forward
Unappropriated retained earnings (undisposed loss)

13

39th Fiscal
Period40th Fiscal
Period(Jan. 1, 2021 –Jun. 30, 2021)(Jul. 1, 2021 –Dec. 31, 2021)¥16,521,229
783,966
17,305,196¥16,382,659
1,870,956
18,253,616

7,499,692–
788,824
83,053
4,200
20,946
119,022
8,515,738
8,789,457

7,731,428
856,197
750,590
82,7155,600
19,806
180,632
9,626,970
8,626,646

207

208

66,067

4,350

4,829
1,237
72,342

12,4752,266
19,301

505,779
25,081
189,149

505,001
28,240196,606

13,395

15,1666,969
258
740,633
8,121,166
8,121,166
605
605
8,120,561
9,097¥8,129,659

7,084
266
752,365
7,893,582
7,893,582
605
605
7,892,977
8,396¥7,901,374

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(3) Statements of Changes in Unitholders’ Equity(Thousands of Yen)

39th Fiscal
Period(Jan. 1, 2021 –Jun. 30, 2021)
Unitholders' equity
Unitholders' capital
Balance at beginning of current period
Changes of items during the period
Issuance of units
Total changes of items during the period
Balance at end of current period
Surplus
Voluntary reserve
Balance at beginning of current period
Changes of items during the period
Provision of reserve for reduction entry
Total changes of items during the period
Balance at end of current period
Unappropriated retained earnings (undisposed loss)
Balance at beginning of current period
Changes of items during the period
Provision of reserve for reduction entry
Dividends from surplus
Net income
Total changes of items during the period
Balance at end of current period
Total surplus
Balance at beginning of current period
Changes of items during the period
Provision of reserve for reduction entry
Dividends from surplus
Net income
Total changes of items during the period
Balance at end of current period
Total unitholders' equity
Balance at the beginning of current period
Changes of items during the period
Provision of reserve for reduction entry
Dividends from surplus
Net income
Total changes of items during the period
Balance at end of current period
Total net assets
Balance at beginning of current period
Changes of items during the period
Provision of reserve for reduction entry
Dividends from surplus
Net income
Total changes of items during the period
Balance at end of current period

14

40th Fiscal
Period(Jul. 1, 2021 –Dec. 31, 2021)¥247,860,796¥247,860,796–
247,860,796–
247,860,796

689,444

1,103,494

414,050
414,050
1,103,494

783,942783,942
1,887,437

7,849,585

8,129,659(414,050)(7,426,437)
8,120,561
280,073
8,129,659(783,942)(7,337,320)
7,892,977(228,284)
7,901,374

8,539,029

9,233,153–(7,426,437)
8,120,561
694,124
9,233,153–(7,337,320)
7,892,977
555,657
9,788,811

256,399,826

257,093,950–(7,426,437)
8,120,561
694,124
257,093,950–(7,337,320)
7,892,977
555,657
257,649,607

256,399,826

257,093,950–(7,426,437)
8,120,561
694,124¥257,093,950–(7,337,320)
7,892,977
555,657¥257,649,607

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(4) Statements of Cash Distributions

I.
II.

Unappropriated retained earnings
Distribution amount(Distribution amount per unit)

III.

Voluntary reserve39th Fiscal Period(Jan. 1, 2021 – Jun. 30, 2021)
8,129,659,190 yen
7,337,320,250 yen(7,657 yen)

40th Fiscal Period(Jul. 1, 2021 – Dec. 31, 2021)
7,901,374,244 yen
7,234,787,500 yen(7,550 yen)

783,942,395 yen

659,017,396 yen

8,396,545 yen
Pursuant to the policy on cash
distributions provided in Article 30 (2)of the Articles of Incorporation of JPR,
the distribution amount shall be inexcess of an amount equivalent to 90%of the “distributable income amount”
as stipulated in Article 67-15 of the Act
on Special Measures Concerning
Taxation, but no more than the amountof earnings. Based on such policy, JPR
decided to pay out distributions ofearnings of 7,337,320,250 yen, whichis the largest integral multiple of thetotal number of investment units issued
and outstanding (958,250 units), fromthe balance of unappropriated retained
earnings after deducting the provisionof reserve for reduction entry pursuant
to Article 65-7of the Act on Special
Measures Concerning Taxation, while
minimizing the burden to unitholders
incurred by accrual of corporate
income tax, etc. Furthermore, JPR
shall not distribute cash in excess ofearnings as stipulated in Article 30 (4)of the Articles of Incorporation.

7,569,348 yen
Pursuant to the policy on cash
distributions provided in Article 30 (2)of the Articles of Incorporation of JPR,
the distribution amount shall be inexcess of an amount equivalent to 90%of the “distributable income amount”
as stipulated in Article 67-15 of the Act
on Special Measures Concerning
Taxation, but no more than the amountof earnings. Based on such policy, JPR
decided to pay out distributions ofearnings of 7,234,787,500 yen, whichis the largest integral multiple of thetotal number of investment units issued
and outstanding (958,250 units), fromthe balance of unappropriated retained
earnings after deducting the provisionof reserve for reduction entry pursuant
to Article 65-7of the Act on Special
Measures Concerning Taxation, while
minimizing the burden to unitholders
incurred by accrual of corporate
income tax, etc. Furthermore, JPR
shall not distribute cash in excess ofearnings as stipulated in Article 30 (4)of the Articles of Incorporation.

Provision of reserve for reduction entry
IV. Retained earnings carried forward
Method for calculating distribution amount15

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(5) Statements of Cash Flows(Thousands of Yen)

39th Fiscal
Period(Jan. 1, 2021 –Jun. 30, 2021)
Net cash provided by (used in) operating activities
Income before income taxes
Depreciation and amortization
Amortization of investment corporation bond issuance costs
Amortization of investment unit issuance expenses
Interest income
Interest expenses
Decrease (increase) in operating accounts receivable
Decrease (increase) in consumption taxes receivable
Decrease (increase) in prepaid expenses
Increase (decrease) in operating accounts payable
Increase (decrease) in accounts payable-other
Increase (decrease) in accrued consumption taxes
Increase (decrease) in advances received
Decrease in property, plant and equipment in trust due to sale
Decrease in intangible assets due to sale
Other, net
SubtotalInterest income received
Interest expenses paid
Income taxes (paid) refund
Net cash provided by (used in) operating activities
Net cash provided by (used in) investing activities
Purchase of property, plant and equipment
Purchase of property, plant and equipment in trust
Purchase of investment securities
Payments of lease and guarantee deposits
Repayments of tenant leasehold and security deposits
Proceeds from tenant leasehold and security deposits
Repayments of tenant leasehold and security deposits in trust
Proceeds from tenant leasehold and security deposits in trust
Other, net
Net cash provided by (used in) investing activities
Net cash provided by (used in) financing activities
Proceeds from short-term loans payable
Repayment of short-term loans payable
Proceeds from long-term loans payable
Repayment of long-term loans payable
Proceeds from issuance of investment corporation bonds
Dividends paid
Net cash provided by (used in) financing activities
Net changes in cash and cash equivalents
Cash and cash equivalents at beginning of current period
Cash and cash equivalents at end of current period

16

40th Fiscal
Period(Jul. 1, 2021 –Dec. 31, 2021)¥8,121,166
2,100,584
13,3956,969(207)
694,928155–
760(68,528)(47,094)(23,402)
18,6791,866,664–(141,080)
12,542,989
207(692,072)(606)
11,850,518¥7,893,582
2,128,201
15,166
7,084(208)
701,608(43,613)(346,039)(2,974)
115,463
14,414(305,133)(109,635)
9,434,509
303(7,993)
19,494,737
208(700,416)(605)
18,793,924(988,767)(845,241)–(39,749)(476,047)
351,409(539,969)
371,336–(2,167,027)(752,677)(29,160,741)(88,860)(50,954)(279,722)
405,874(781,974)
833,127(710)(29,876,637)–(4,000,000)
10,800,000(9,820,000)
2,968,190(7,425,248)(7,477,057)

14,400,000(4,400,000)
8,000,000(10,000,000)
2,364,727(7,337,192)
3,027,534(8,055,178)
43,602,602¥35,547,423

2,206,433
41,396,168¥43,602,602

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(6) Notes to the Going Concern Assumption
No relevant items.
(7) Notes to Significant Accounting Policies
1. Standards and Method Investment securities
for Asset Evaluation
Other securities
Stocks and other securities with no market prices
Stocks and other securities with no market prices are stated at cost being
determined by the moving average method.
2. Depreciation/(1) Property and Equipment (including entrusted properties)
Amortization Method
Depreciation is calculated using the straight-line method. The estimated usefulfor Long-lived Assets
lives of major property and equipment ranges are as follows:
Buildings
3 - 65 years
Structures
10 - 35 years
Machinery and equipment
3 - 17 years
Tools, furniture and fixtures
3 - 20 years
Assets with purchase costs of 100,000 yen or more but less than 200,000 yen are
depreciated over three years based on the Corporation Tax Act.
(2) Intangible Assets
Intangible assets are amortized utilizing the straight-line method.
(3) Long-term Prepaid Expenses
Long-term prepaid expenses are amortized utilizing the straight-line method.
3. Accounting for
Deferred Assets

4. Standards for
Recording Revenues
and Expenses(1) Investment Corporation Bond Issuance Costs
Investment corporation bond issuance costs are amortized utilizing the straightline method over the redemption periods.
(2) Investment Unit Issuance Expenses
Investment unit issuance expenses are amortized utilizing the straight-line
method over three years.
(1) Standards for Revenue Recognition
The details of main performance obligations concerning revenue generated fromcontracts between JPR and its customers and the ordinary time to fulfil said
performance obligations (ordinary time to recognize revenue) are as follows.
a. Sale of real estate
For the proceeds from sale of real estate, JPR recognizes revenue when thepurchaser who is a customer obtains control of the relevant real estate as aresult of the seller fulfilling its delivery obligations stipulated in thetransaction agreement of the real estate.
b. Utilities income
JPR recognizes utilities income in accordance with the supply of electricity
and water, etc. to the lessee who is a customer based on the lease agreementof real estate and details of agreements incidental to it. Of the utilities
income, in the case that JPR deems itself to be an agent, the net amountobtained by deducting the amount it pays to other parties from the amount
it receives as charges for electricity and gas, etc. supplied by the said otherparties is recognized as revenue.
(2) Accounting Treatment of Taxes on Property and Equipment
In connection with property taxes, city planning taxes and depreciated asset taxes(the “property taxes”), JPR uses the method of charging the corresponding
amounts of assessed taxes to the current fiscal period as expenses related to rent
business.
Furthermore, JPR capitalized an amount equivalent to the property taxes paid tothe sellers during the first fiscal period as a part of the purchase cost, not as
expenses, in connection with the acquisition of real estate or entrusted beneficiaryinterests in real estate as entrusted property. Taxes on property and equipment
capitalized were nil for the fiscal period ended June 30, 2021, and amounted to
6,431 thousand yen for the fiscal period ended December 31, 2021.

17

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

5. Scope of Cash andCash Equivalents in
the Statements of Cash
Flows

6. Other Significant
Items Fundamental to
the Preparation of
Financial Statements

Cash and cash equivalents in the Statements of Cash Flows include the following
items.
(1) Cash on hand and cash in trust(2) Deposits placed with banks and deposits in trust that can be withdrawn at anytime(3) Short-term investments that are readily convertible to cash and have insignificant
risk of price fluctuations and have original maturities of three months or less fromthe acquisition date.
(1) Accounting Policies on Trust Beneficiary Interests in Real Estate as Property in
Trust
Regarding trust beneficiary interests in real estate, all asset and liability accountsof entrusted properties as well as all revenue and expense accounts generated by
the property in trust are recorded in relevant accounts on the Balance Sheets andStatements of Income and Retained Earnings.
Furthermore, the following material accounts are separately presented in the
Balance Sheets for properties in trust recorded in relevant accounts.
a. Cash and deposits in trustb. Buildings in trust, structures in trust, machinery and equipment in trust,
tools, furniture and fixtures in trust, land in trust and construction inprogress in trustc. Tenant leasehold and security deposits in trust(2) Accounting for Consumption Taxes
Revenues and expenses in the Statements of Income and Retained Earnings do
not include consumption taxes.

(8) Notes on Changes in Accounting Policies
1. Application of Accounting Standard for Revenue Recognition, Etc.
JPR has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29 (revised 2020),
issued on March 31, 2020) and the “Implementation Guidance on Accounting Standard for Revenue Recognition”(ASBJ Guidance No. 30 (revised 2021), issued on March 26, 2021 from the beginning of the 40th fiscal period,
and decided to recognize revenue at the amount expected to be received in exchange for the promised goods orservices when control of the goods or services is transferred to the customer. The impact of this change on thefinancial statements is minimal.
Furthermore, in accordance with the transitional treatment stipulated in Paragraph 89-3 of the AccountingStandard for Revenue Recognition, the note related to Revenue Recognition for the previous fiscal period is notshown.
2. Application of Accounting Standard for Fair Value Measurement, Etc.
JPR has applied the “Accounting Standard for Fair Value Measurement” (ASBJ Statement No. 30, issued on
July 4, 2019), etc. from the beginning of the 40th fiscal period, and decided to adopt the new accounting policies
set forth by the said Accounting Standard, etc. going forward in accordance with the transitional treatment as
stipulated in Paragraph 19 of the “Accounting Standard for Fair Value Measurement” and Paragraph 44-2 of the“Accounting Standard for Financial Instruments” (ASBJ Statement No. 10 (revised 2019), issued on July 4,2019). The impact of this change on the financial statements is minimal.
Furthermore, pursuant to the provision of Article 2-5 of the Supplementary Provision of the “Cabinet Office
Ordinance Partially Revising Regulation for Terminology, Forms, and Preparation Methods of Financial
Statements” (Cabinet Office Ordinance No. 61, September 24, 2021), the matters listed in Article 8-6-2,
paragraph 1, item 3 of the revised Regulation on Terminology, Forms, and Preparation Methods of Financial
Statements are omitted.

18

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(9) Notes to Financial Statements
Notes to Balance Sheets
1. Balance of Unused Commitment LineJPR has executed a commitment line agreement with its principal banks primarily to minimize refinancing risks
and enhance financial stability.

Credit limit
Outstanding debts at end of period
Unused commitment line at end of period

End of 39th Fiscal Period(as of June 30, 2021)¥24,000,000–¥24,000,000(Thousands of yen)
End of 40th Fiscal Period(as of December 31, 2021)¥24,000,000–¥24,000,000

2. Minimum Total Unitholders’ Equity Designated in Article 67-4 in the Act on Investment Trusts and Investment
Corporations
End of 39th Fiscal Period(as of June 30, 2021)¥50,000

19(Thousands of yen)
End of 40th Fiscal Period(as of December 31, 2021)¥50,000

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Notes to Statements of Income and Retained Earnings
1. Breakdown of Rent Revenue-Real Estate and Expenses Related to Rent Business(Thousands of yen)

39th Fiscal Period(January 1, 2021 –June 30, 2021)

40th Fiscal Period(July 1, 2021 –December 31, 2021)

A. Rent Revenue-Real Estate
Rent Revenue
Rents¥11,984,455¥11,911,724

Land rents
Common charges
Parking fees
Advertising fees
Antenna usage fees
Other

1,797,500
1,446,921
261,871
37,41928,72944,384

1,802,000
1,384,623

Subtotal
Other rental revenues
Incidental rent income

15,601,282

264,92136,93729,02045,95015,475,177

676,975

787,919

Time-based parking fees

8,855

8,725

Cancellation charges

66,725

10,473

Income equivalent to expenses forrestoration to original condition

133,597

56,320

Other miscellaneous income

33,79244,043

Subtotal

919,947

907,481

16,714,986
16,521,229

16,714,986
16,382,659¥630,769
714,170
2,436,042
26,796504,151
302,526
588,158
2,100,231
196,844¥628,945
849,905
2,422,872
27,256532,237
289,978
612,129
2,127,848
240,2537,499,692

7,731,428

9,103,323
9,021,537

9,103,323
8,651,231

Total rent revenue-real estate
B. Expenses Related to Rent BusinessOutsourcing expenses
Utilities expenses
Property and other taxes
Casualty insurance
Repairs and maintenance
Property management fees
Management association accounts
Depreciation
Other
Total expenses related to rent business
C. Profits for Rent Business (A-B)

2. Breakdown of Gain/Loss on Sale of Real Estate
39th fiscal period (January 1, 2021 – June 30, 2021)(Thousands of yen)

JPR Hakata Bldg. (65.0% co-ownership interest)
Proceeds from sale of real estate
Cost of sale of real estate¥2,665,000
1,866,664

Other expenses related to sale

14,368Gain on sale of real estate

783,966

20

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

40th fiscal period (July 1, 2021 – December 31, 2021)(Thousands of yen)

Part of land of Shibadaimon Center Bldg.
Proceeds from sale of real estate
Cost of sale of real estate¥110,000
8,838

Other expenses related to sale

3,835

Gain on sale of real estate

97,325JPR Umeda Loft Bldg. (40.0% co-ownership interest)
Proceeds from sale of real estate
Cost of sale of real estate¥7,000,000
4,980,376

Other expenses related to sale

245,992

Gain on sale of real estate

1,773,631

Tokyo Tatemono Honmachi Bldg.
Proceeds from sale of real estate¥3,600,000

Cost of sale of real estate
Other expenses related to sale

4,445,597
10,600Loss on sale of real estate

856,197

Notes to Statements of Changes in Unitholders’ Equity
39th Fiscal Period(January 1, 2021 – June 30, 2021)
Total number of authorizedunits and number of units
outstanding
Total number of authorizedunits
Number of units outstanding

40th Fiscal Period(July 1, 2021 – December 31, 2021)

5,000,000 units

5,000,000 units

958,250 units

958,250 units

Financial Instruments
1. Matters Concerning Status of Financial Instruments(1) Policy for Financial Instruments
In an aim to proactively expand asset size and maintain stable cash distributions to unitholders, JPR adopts
the asset management policy of paying heed to efficiently combining the procurement of long-term funds
that are stable and the procurement of short-term funds that emphasize flexibility.
There may be cases where JPR will engage in derivative transactions, but such will be limited to hedging forinterest rate fluctuation risk and other hedging purposes. Please note that JPR is not engaged in derivativetransactions at present.
(2) Description of Financial Instruments and Associated Risks, and Risk Management Structure
Tokyo Realty Investment Management, Inc. (TRIM), the asset management company of JPR, strives for risk
management by complying with the JPR Asset Management Guidelines and other rules and regulations. The
following outlines the description of individual financial instruments and the associated risks, and the risk
management.
Deposits are exposed to risks of bankruptcy of the financial institutions holding the deposits and other credit
risks, but the risks are managed through such measures as setting a minimum credit rating for the financial
institutions holding the deposits.
Loans payable and investment corporation bonds are exposed to liquidity risks at the time of
repayment/redemption, but the liquidity risks are managed through such measures as procuring funds fromthe capital market by increasing capital, executing a commitment line agreement with the main lending
financial institutions, and also having statements of cash receipts and disbursements prepared by the financial
division.
21

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(3) Supplementary Explanation on Matters Concerning Fair Value, etc. of Financial Instruments
Certain assumptions, etc. are used in calculating the fair value of financial instruments, and there can be cases
where the values may vary based on different assumptions, etc.
2. Matters Concerning Fair Value, etc. of Financial Instruments
The following are the carrying values and fair values as of June 30, 2021, of financial instruments, and thedifference between these amounts. Furthermore, notes on “Cash and deposits,” “Cash and deposits in trust” and“Short-term loans payable” are omitted as these are settled with cash and within a short period of time and thus
the fair value approximates the book value. Notes on “Tenant leasehold and security deposits” and “Tenantleasehold and security deposits in trust” are also omitted as they lack materiality.
(Thousands of yen)

(1) Current portion of long-term loans payable(2) Investment corporation bonds(3) Long-term loans payable

Carrying Value(Note 1)(¥20,500,000)(35,500,000)(¥138,500,000)

Fair Value(Note 1)(¥20,554,180)(36,431,425)(¥140,013,949)

Difference¥54,180
931,425¥1,513,949

The following are the carrying values and fair values as of December 31, 2021, of financial instruments, and thedifference between these amounts. Furthermore, notes on “Cash and deposits,” “Cash and deposits in trust” and“Short-term loans payable” are omitted as these are settled with cash and within a short period of time and thus
the fair value approximates the book value. Notes on “Tenant leasehold and security deposits” and “Tenantleasehold and security deposits in trust” are also omitted as they lack materiality.
(Thousands of yen)

(1) Current portion of long-term loans payable(2) Investment corporation bonds(3) Long-term loans payable

Carrying Value(Note 1)(¥18,500,000)(37,900,000)(¥138,500,000)

Fair Value(Note 1)(¥18,528,074)(38,761,615)(¥139,821,667)

Difference¥28,074
861,615¥1,321,667(Note 1) Liabilities are shown in parentheses.
(Note 2) Method of calculation of fair value of financial instruments(1) Current portion of long-term loans payable and (3) Long-term loans payable
The fair value of these financial instruments is calculated based on the discounted cash flow method under which the total amount ofprincipal and interests are discounted by the rate assumed as being applicable in the event of a new drawdown whose term iscorresponding to the remaining loan term.
(2) Investment corporation bonds
Of the fair value of these financial instruments, those with market price are calculated based on market price and those with no market
price are calculated in accordance with (1) and (3) above.
(Note 3) Amount of repayment of long-term loans payable or redemption of investment corporation bonds to be due subsequent to June30, 2021, and December 31, 2021

End of 39th Fiscal Period (as of June 30, 2021)

Investment
corporation bonds
Long-term loans
payable(Thousands of yen)
Due after
Four Years
Due after
throughFive Years
Five Years

Due in One
Year or Less

Due after
One Yearthrough
Two Years

Due after
Two Years
throughThree Years

Due afterThree Years
through
Four Years¥–¥2,000,000¥5,000,000¥3,000,000¥–¥25,500,000¥20,500,000¥16,000,000¥20,000,000¥21,000,000¥20,900,000¥60,600,000(Thousands of yen)
Due after
Four Years
Due after
throughFive Years
Five Years

End of 40th Fiscal Period (as of December 31, 2021)

Investment
corporation bonds
Long-term loans
payableDue in One
Year or Less

Due after
One Yearthrough
Two Years

Due after
Two Years
throughThree Years

Due afterThree Years
through
Four Years¥–¥2,000,000¥8,000,000¥–¥8,500,000¥19,400,000¥18,500,000¥21,000,000¥15,000,000¥23,900,000¥14,000,000¥64,600,000

22Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Investment and Rental Properties
JPR owns office properties (urban commercial facilities), retail properties (urban retail properties) and urban
complex properties for leasing in Tokyo and other regions. The following is the carrying value on the balance
sheets, amount of increase (decrease) during the period and fair value of these investment and rental properties.
(Thousands of yen)
39th Fiscal Period
40th Fiscal Period(January 1, 2021 – June 30, 2021)) (July 1, 2021 – December 31, 2021)
Carrying Value on the Balance Sheets
Balance at Beginning of Period¥441,758,455¥439,222,516

Amount of Increase(Decrease) during the Period(¥2,535,938)¥18,792,383

Balance at End of Period¥439,222,516¥458,014,900¥549,331,000¥574,963,000

Fair Value at End of Period(Note 1) The carrying value on the balance sheets is the cost of acquisition less accumulated depreciation.
(Note 2) Of the amount of change during the 39th fiscal period, the amount of decrease is primarily attributable to the sale of JPR Hakata Bldg.
(65.0% co-ownership interest) (1,866,664 thousand yen) and depreciation (2,100,231 thousand yen). Of the amount of change during the40th fiscal period, the amount of increase is primarily attributable to the acquisition of part of land of Shibadaimon Center Bldg. (3,460
thousand yen), the acquisition of additional ownership of Rise Arena Bldg. (7,345,010 thousand yen), the acquisition of GRAND FRONTOSAKA (Umekita Plaza and South Building) (11,864,400 thousand yen) and the acquisition of GRAND FRONT OSAKA (North Building)(9,554,879 thousand yen), and the amount of decrease is primarily attributable to the sale of part of land of Shibadaimon Center Bldg.
(8,838 thousand yen), the sale of Tokyo Tatemono Honmachi Bldg. (4,445,597 thousand yen), the sale of JPR Umeda Loft Bldg. (40.0%
co-ownership interest) (4,980,376 thousand yen) and depreciation (2,127,848 thousand yen).
(Note 3) The fair value at end of the period is the appraisal value or survey value as appraised by an outside real estate appraiser.

The income (loss) in the 39th and 40th fiscal periods for investment and rental properties are as presented in the“Notes to Statements of Income and Retained Earnings.”
Revenue Recognition
40th fiscal period (July 1, 2021 – December 31, 2021)
Breakdown information on revenue from contracts with customers
Revenue from Contracts with Customers(Note 1)
¥10,710,000(Thousands of yen)
Sales to External Customers(Note 2)
¥1,870,956

787,919

787,919

Others－

15,594,740

Total

11,497,919

18,253,616

Sale of real estate
Utilities income (Note 3)(Note 1) Rent revenue subject to the “Accounting Standard for Lease Transactions” (ASBJ Statement No.13) are excluded from “Revenue fromcontracts with customers” as such revenue is not subject to Accounting Standard for Revenue Recognition. Revenue from contracts withcustomers mainly represents proceeds from sale of real estate and utilities income.
(Note 2) As sale of real estate is recorded as gain or loss on sale of real estate, etc. in the Statements of Income and Retained Earnings, the amountobtained by deducting cost of sale of real estate and other expenses related to sale from proceeds from sale of real estate is indicated forsales to external customers. Furthermore, as JPR records gain on sale of real estate for operating revenue while recording loss on sale ofreal estate for operating expenses, the table above indicates the amount of gain on sale of real estate only.
(Note 3) Utilities income indicates the amount recorded as revenue in accordance with the supply of electricity and water, etc. to the lessee who isa customer based on the lease agreement of real estate and details of agreements incidental to it.

23

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Per Unit Information(Yen)
39th Fiscal Period(January 1, 2021 – June 30, 2021)

40th Fiscal Period(July 1, 2021 – December 31, 2021)¥268,295¥8,474¥268,875¥8,236

Total net assets per unit
Net income per unit

(Note 1) Net income per unit is calculated by dividing net income by the weighted-average number of units outstanding during the fiscal period.
Diluted net income per unit has not been presented since no warrants and convertible bonds are outstanding.
(Note 2) Net income per unit was calculated based on the following data.

(Thousands of yen)
39th Fiscal Period(January 1, 2021 – June 30, 2021)

40th Fiscal Period(July 1, 2021 – December 31, 2021)¥8,120,561¥7,892,977––¥8,120,561¥7,892,977

958,250 units

958,250 units

Net income
Amounts not attributable to ordinary
unitholders
Net income attributable to ordinary investment
units

Average number of units

Subsequent Events
Issuance of new investment units
JPR resolved at its Board of Directors meetings held on January 4, 2022 and January 12, 2022 to issue
new investment units, as outlined below.
[Issuance of new investment units through public offering (primary offering)]
Number of new investment units issued:
38,100 units
Issue price (offer price):
368,480 yen per unit
Total issue price (total offer price):
14,039,088,000 yen
Paid-in amount (purchase price):
356,824 yen per unit
Total paid-in amount (total purchase price):
13,594,994,400 yen
Payment date:
January 18, 2022
[Issuance of new investment units through third-party allotment]
Number of new investment units issued:
1,900 units
Paid-in amount (purchase price):
356,824 yen per unit
Total paid-in amount (total purchase price):
677,965,600 yen
Allottee:Mizuho Securities Co., Ltd.
Payment date:February 16, 2022
Omission of Disclosure
JPR omits the disclosure of notes to statements of cash flows, lease transactions, securities, derivativetransactions, transactions with affiliated parties, tax effect accounting, retirement benefits, asset retirement
obligations and segment information, etc. as it does not find substantial need for disclosure in the Fiscal Period
Results report.
(10) Changes in Investment Units Issued and Outstanding
There was no change in the number of units outstanding and unitholders’ capital in the 40th fiscal period. Thechanges in the number of units outstanding and unitholders’ capital in the last five years are summarized asfollows.
Date

Event

Number of Units
Outstanding
Variation
BalanceUnitholders' Capital(million yen)
Variation
Balance

Remarks

January 24, 2017

Additional public offering

47,600920,600

20,237

230,632(Note 1)February 14, 2017

Third-party allotment

2,400

923,000

1,020

231,653(Note 2)

March 3, 2020

Additional public offering

35,250958,250

16,207

247,860(Note 3)(Note 1) New investment units were issued through a public offering at 439,040 yen per unit (underwriting price of 425,152 yen per unit)
to fund acquisition of new specified assets and partly repay debt.
(Note 2) New investment units were issued through a third-party allotment at 425,152 yen per unit to fund acquisition of new specified
assets and partly repay debt.
(Note 3) New investment units were issued through a public offering at 474,810 yen per unit (underwriting price of 459,790 yen per unit)
to fund acquisition of new specified assets and partly repay debt.

24

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

3. Reference Information(1) JPR’s Asset Structure
39th Fiscal Period(as of June 30, 2021)
Category of
Investment Area Assets Owned by JPR Percentage of Total(thousands of yen)
Assets (%)

Asset Type40th Fiscal Period(as of December 31, 2021)
Assets Owned by JPR Percentage of Total(thousands of yen)
Assets (%)

Central Tokyo

98,365,928

20.3

98,478,170

19.9Greater Tokyo

73,195,537

15.1

67,625,678

13.6

Other Cities

19,853,821

4.1

19,743,902

4.0

Central Tokyo

155,764,625

32.2

155,773,488

31.4Greater Tokyo

49,248,446

10.2

61,562,431

12.4

Other Cities

42,794,155

8.8

54,831,227

11.1

Deposits and Other
Assets–45,101,021
(–)

9.3
(–)

37,600,580
(–)

7.6
(–)

Total Assets–

484,323,538(439,222,516)

100.0(90.7)

495,615,481(458,014,900)

100.0(92.4)

Real Estate

Real Estate in Trust(Note 1) Total assets owned are based on the amounts appropriated on the balance sheets as of the settlement date (book values after depreciation
for real estate and real estate in trust).
(Note 2) Figures in parenthesis are portions that practically fall on real estate owned in the object assets.
(Note 3) As for the category of investment area, please refer to (2) Investment Assets 1) Overview of Investment Assets below.

(2) Investment Assets
1) Overview of Investment Assets
The overview of the real estate and real estate in trust regarding trust beneficiary interests in real estate inwhich JPR invests are as follows. All of the real estate and trust beneficiary interests in real estate are shownin the table below.
Descriptions in the table below are based on the following policies.
・The table below indicates the properties JPR owned as of the end of the 40th fiscal period.
・JPR defines the categories of investment areas as designated below.
Category

Investment Area

Central Tokyo

Chiyoda, Chuo, Minato, Shinjuku, Shinagawa and Shibuya Wards

Greater Tokyo

All other areas of Tokyo, Chiba, Kanagawa and Saitama Prefectures

Other Cities

All other areas in Japan・“Location,” “Site Area,” “Total Floor Space,” “Structure/Floors” and “Completed” are based on data
recorded in the real estate registry.
・“Site Area” and “Total Floor Space” indicate the areas of the entire building sites and the entire
buildings, respectively, including the portions owned by other sectional owners, etc. except for thefollowing properties:
MS Shibaura Bldg.: The site area includes land of the Trinity Shibaura, which was developed
together with the property.
Shinjuku Square Tower: The site area and the total floor space are for the entire redevelopment
area.
Otemachi Financial City North Tower: The site area and the total floor space include South Tower.
Rise Arena Bldg.: The site area is for the entire redevelopment area including the residentialbuilding, and the total floor space includes the space of the residential building.
Olinas Tower: The site area and the total floor space are for the entire property including the retailand residential buildings.
Sencity Bldg.: The site area and the total floor space are for the entire redevelopment area.
Cupo-la Main Bldg.: The site area is for the entire redevelopment area.
・The abbreviations in the “Structure/Floors” represent the following phrases, respectively.
S: Steel-framed,
RC: Reinforced concrete,
SRC: Steel-framed reinforced concrete

25

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Area

Type

Location

Site Area(m2)

Total Floor
Space (m2)

Kyobashi 2-chome, Chuo-ku,
TokyoKyobashi 2-chome, Chuo-ku,
TokyoNihonbashi Ningyocho 1-chome,
Chuo-ku, Tokyo
Kojimachi 4-chome, Chiyoda-ku,
Tokyo
Kanda-Nishikicho 3-chome,
Chiyoda-ku, Tokyo
Shibaura 4-chome Minato-ku,
TokyoNishi-Gotanda 2-chome,
Shinagawa-ku, Tokyo

1,751.13

14,995.09

679.06

4,351.46

550.06

4,117.70

657.805,152.98

636.904,790.68

8,992.18

31,020.21

1,551.19

10,553.34

JPR Ichigaya Bldg.

Kudan-Minami 4-chome, Chiyodaku, Tokyo

1,058.04

5,888.82

SRC
B1/9F

Oval Court Osaki MarkWest

4,006.00

28,575.80

8,409.52

78,796.00

3,522.46

25,733.10

858.485,535.90

14,917.11

176,607.89

Minami Azabu Bldg.

Higashi-Gotanda 2-chome,
Shinagawa-ku, Tokyo
Nishi-Shinjuku 6-chome, Shinjukuku, Tokyo
Shinjuku 2-chome, Shinjuku-ku,
Tokyo
Shinkawa 1-chome, Chuo-ku,
TokyoNishi-Shinjuku 1-chome, Shinjukuku, Tokyo
Minami-Azabu 2-chome, Minatoku, Tokyo

778.094,570.63

Shinagawa Canal Bldg.

Konan 2-chome, Minato-ku, Tokyo

828.82

5,216.21

Rokubancho Bldg.

Rokubancho, Chiyoda-ku, Tokyo

716.95

4,205.09

JPR Harajuku Bldg.

1,205.07

6,466.94

937.597,190.82

JPR Sendagaya Bldg.

Jingumae 6-chome, Shibuya-ku,
TokyoNihonbashi-Horidomecho 1-chome,
Chuo-ku, Tokyo
Sendagaya 4-chome, Shibuya-ku,
Tokyo

2,217.49

7,683.19

Ginza Sanwa Bldg.

Ginza 4-chome, Chuo-ku, Tokyo

1,119.27

8,851.00

S, SRC
B2/17F
S, RC, SRC
B4/30F
SRC
B2/14F
S, SRC
B2/10F
SRC, RC, S
B5/54F
S
9F
S
B1/8F
SRC
B3/7F
SRC
B1/9F
S, RC
B1/9F
S
8F
SRC
B2/9F

Otemachi Tower (Landwith Leasehold Interest)

Otemachi 1-chome, Chiyoda-ku,
Tokyo

11,034.78–––

Science Plaza-Yonbancho
Plaza

Yonbancho, Chiyoda-ku, Tokyo

5,289.01

24,560.36

Feb. 1995

Shibadaimon Center Bldg.

1,915.50

11,419.93

8,124.72

112,645.83

643.134,438.46

Otemachi Financial City
North Tower

Shibadaimon 1-chome, Minato-ku,
TokyoKyobashi 3-chome, Chuo-ku,
TokyoKojimachi 5-chome, Chiyoda-ku,
Tokyo
Otemachi 1-chome, Chiyoda-ku,
Tokyo

15,838.93

239,769.07

S, SRC, RC
B2/12F
S, SRC
B1/10F
S, SRC
B4/24FS
B1/9F
S, SRC
B4/35FJPR Shibuya Tower
Records Bldg.

Jinnan 1-chome, Shibuya-ku,
Tokyo

1,010.47

8,449.56

SRC, S
B3/8F
S, SRC
B1/7F
S, SRC, RC
B3/14F
S, SRC
B4/20F

Property Name
Kanematsu Bldg.
Kanematsu Bldg. Annex
JPR Ningyo-cho Bldg.
Shin-Kojimachi Bldg.
JPR Crest Takebashi Bldg.
MS Shibaura Bldg.
Gotanda First Bldg.

Shinjuku Square Tower
BYGS Shinjuku Bldg.
Across Shinkawa Bldg.
Annex

Central Tokyo

OfficeShinjuku Center Bldg.

JPR Nihonbashi-horidome
Bldg.

Tokyo Square Garden
JPR Kojimachi Bldg.

Mar. 1989
Jun. 2001
Oct. 1994
Apr. 1985
Jun. 1994
Oct. 1979
Jun. 1992
Jul. 2008
Oct. 1991
Mar. 1989
Jun. 2002
May 2009
Oct. 1982

Jul. 1993
Feb. 2013
Feb. 1999
Oct. 2012
Feb. 1992

198.101,066.81

Shinjuku Sanchome East
Bldg.
Yurakucho Ekimae Bldg.
(Yurakucho Itocia)

Jingumae 4-chome, Shibuya-ku,
TokyoShinjuku 3-chome, Shinjuku-ku,
Tokyo
Yurakucho 2-chome, Chiyoda-ku,
Tokyo

2,578.69

24,617.65

6,808.12

71,957.65

JPR Ginza Namiki-dori
Bldg.

Ginza 5-chome, Chuo-ku, Tokyo

230.11

1,821.67

S
11F

Jun. 2008

FUNDES Suidobashi

Kanda Misakicho 2-chome,
Chiyoda-ku, Tokyo

281.591,477.91

S
9F

Jul. 2015

JPR Jingumae 432

Retail, etc.

Structure/
Completed
FloorsS, RC, SRC Feb. 1993
B2/13F
SRC Feb. 1993
B1/8F
SRC, RC
B1/8F Dec. 1989
SRC
B1/9F Oct. 1984
SRC
B1/9F Sep. 1999
SRC, RC, S Feb. 1988
B2/13F
SRC, RC
Jul. 1989
B2/11F26

Feb. 2006
Jan. 2007
Oct. 2007

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Area

Type

Location

Site Area(m2)

Total Floor
Space (m2)Arca East

Kinshi 3-chome, Sumida-ku, Tokyo

3,755.01

34,281.86

JPR Chiba Bldg.

Shinmachi, Chuo-ku, Chiba, Chiba

1,382.35

JPR Yokohama Nihon
Odori Bldg.
Shinyokohama 2nd Center
Bldg.

Yume-ooka Office Tower

Nihon-Odori, Naka-ku, Yokohama,
Kanagawa
Shinyokohama 3-chome, Kohokuku, Yokohama, Kanagawa
Honcho 4-chome, Kawaguchi,
SaitamaMatsugaya 1-chome, Taito-ku,
Tokyo
Akebonocho 2-chome, Tachikawa,
Tokyo
Higashi-Ikebukuro 4-chome,
Toshima-ku, Tokyo
Kamiooka Nishi 1-chome, Konanku, Yokohama, Kanagawa

Olinas Tower
JPR Yokohama Bldg.

Property Name

Kawaguchi Center Bldg.

Greater Tokyo

OfficeJPR Ueno East Bldg.
Tachikawa BusinessCenter Bldg.
Rise Arena Bldg.

Omiya Prime East

Retail, etc.

SRC B1/11F

Oct. 1989

841.71

7,781.93

Aug. 1991

4,524.61

28,420.85

1,242.97

8,490.44

2,047.22

14,706.36

9,377.28

91,280.94

12,011.00

185,974.87

Taihei 4-chome, Sumida-ku, Tokyo

27,335.29

257,842.41

Kitasaiwai 1-chome, Nishi-ku,
Yokohama, Kanagawa
Shimocho 2-chome, Omiya-ku,
Saitama, Saitama

1,110.28

8,772.51

2,268.09

9,203.98

S, SRC
B2/12F
S, SRC
B2/15F
S, SRC
B1/8F
S, SRC
B1/12F
RC, SRC, S
B3/42F
S, SRC, RC
B3/27F
SRC, RC, S
B2/45F
SRC
B1/9F
S
9F

Feb. 1994
Oct. 1992
Dec. 1994
Jan. 2007
Mar. 1997
Feb. 2006
May 1981
Feb. 2009

Shinmachi, Chuo-ku, Chiba, Chiba

20,054.15

158,663.55

S, SRC
B2/23F

Tanashi ASTA

12,326.30

80,675.27

SRC B2/17F

Feb. 1995

15,008.28

48,321.96

4,757.09

18,394.32

8,317.99

28,930.36

4,475.45

36,902.01

Aug. 2003

FUNDES Ueno

Ueno 7-chome, Taito-ku, Tokyo

383.742,235.60

Niigata Ekinan Center
Bldg.

Yoneyama 1-chome, Chuo-ku,
Niigata, Niigata
Matsuyama 1-chome, Naha,
Okinawa
Tsutsujigaoka 3-chome, Miyaginoku, Sendai, Miyagi
Misonocho 3-chome, Wakayama,
Wakayama
Tenjin 1-chome, Chuo-ku, Fukuoka,
Fukuoka
Sonezaki-Shinchi 2-chome, Kita-ku,
Osaka, Osaka
Sakae 1-chome, Naka-ku, Nagoya,
Aichi
Yakuin 1-chome, Chuo-ku,
Fukuoka, Fukuoka

2,706.99

19,950.42

959.875,780.71

S, RC, SRC
B2/10F
SRC, RC, S
B1/6F
S
B1/4F
S, SRC, RC
B2/11FS
B1/10F
S, SRC
B1/10F
SRC, S
12F

Jan. 2006

Kawasaki Dice Bldg.

Tanashicho 2-chome, Nishitokyo,
Tokyo
Kawaguchi 1-chome, Kawaguchi,
Saitama
Kosugimachi 3-chome, Nakaharaku, Kawasaki, Kanagawa
Bessho 7-chome, Minami-ku,
Saitama, Saitama
Ekimae-Honcho, Kawasaki-ku,
Kawasaki, Kanagawa

1,895.67

10,783.52

SRC B1/12F

Dec. 1997

1,128.45

6,715.07

Jul. 1996

1,164.39

8,690.95

668.11

5,696.01

1,610.38

10,201.44

4,486.44

22,286.35

S
9F
S, SRC
13F
SRC
B2/9F
SRC
B1/9F
SRC
14F

JPR Musashikosugi Bldg.
Musashiurawa Shopping
SquareSompo Japan Sendai
Bldg.
Sompo Japan Wakayama
Bldg.
Tenjin 121 Bldg.
JPR Dojima Bldg.
JPR Nagoya Fushimi
Bldg.

Office9,146.52

Jan. 1991

Sencity Bldg.

JPR Naha Bldg.

Retail, etc.

1,100.59

Mar. 1997

Apr. 1993
Aug. 1998
ExpandedCupo-la Main Bldg.

Other Cities

Completed

9,072.57

Structure/
FloorsS, SRC
B3/19F
S, SRC
B1/13F

Yakuin Business Garden
JPR Shinsaibashi Bldg.

Minamisemba 4-chome, Chuo-ku,
Osaka, Osaka

609.315,303.98

S
B2/10FJPR Shinsaibashi West

Minamisemba 4-chome, Chuo-ku,
Osaka, Osaka

1,405.74

7,738.47

SRC
B1/8F

GRAND FRONTOSAKA (Umekita Plazaand South Building)

Ofuka-cho, Kita-ku, Osaka, Osaka

GRAND FRONTOSAKA (North Building)

Ofuka-cho, Kita-ku, Osaka, Osaka

22,680.03

290,030.59

JPR Umeda Loft Bldg.

Chayamachi, Kita-ku, Osaka, Osaka

3,518.68

17,897.56

Housing Design Center
Kobe

Higashi-Kawasakicho 1-chome,
Chuo-ku, Kobe, Hyogo

3,994.47

33,877.71

JPR Chayamachi Bldg.

Chayamachi, Kita-ku, Osaka, Osaka

592.45

3,219.36

27

20,488.08

191,597.49

RC, S
B2/2F
(Umekita
Plaza)S, SRC
B3/38F(SouthBuilding)
S, SRC
B3/38F
SRC
B1/8F
SRC, S
B2/11F
S, SRC
9F

Mar. 1983
Oct. 2005

Jul. 2017
Mar. 1996
Oct. 1991

Jul. 2000
Oct. 1993
Mar. 1991
Jan. 2009
Feb. 2003
Jan. 2005
Expanded
Sep. 1986
Feb. 2007
Expanded
Feb. 2013(Umekita
Plaza)
Mar. 2013(SouthBuilding)
Feb. 2013
Apr. 1990
Jun. 1994
Jun. 1994

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

2) Price and Investment Ratio
・ “Acquisition Price” is the deal price (rounded down to the nearest million yen) described in the real estatetransaction contracts or trust beneficiary interest transfer contracts, and does not include expenses related toacquisitions of the relevant properties and consumption taxes.
Furthermore, the total amount is also rounded down to the nearest million yen after summing up respective
acquisition prices including fractions.
・ For “Appraisal Value at End of Period,” JPR adopts the assessed value in the real estate appraisal reports or
the survey value in the real estate price survey reports, prepared by the real estate appraisers indicated below,
based on the asset evaluation method designated by JPR and the rules of The Investment Trusts Association,
Japan. The adopted appraisal value has been rounded down to the nearest million yen.
Japan Real Estate InstituteTanizawa Sogo Appraisal Co., Ltd.
CBRE KK
Daiwa Real Estate Appraisal Co.,
Ltd.

Japan Valuers Co., Ltd.

JLL Morii Valuation & Advisory
K.K.

JPR Ningyo-cho Bldg., Shin-Kojimachi Bldg., MS Shibaura Bldg., Gotanda
First Bldg., Shinjuku Center Bldg., Minami Azabu Bldg., Shinagawa Canal
Bldg., Rokubancho Bldg., Science Plaza- Yonbancho Plaza, Shibadaimon
Center Bldg., JPR Kojimachi Bldg., Otemachi Financial City North Tower,
JPR Shibuya Tower Records Bldg., Shinjuku Sanchome East Bldg.,
Yurakucho Ekimae Bldg. (Yurakucho Itocia), FUNDES Suidobashi, Arca
East, Shinyokohama 2nd Center Bldg., Kawaguchi Center Bldg., JPR Ueno
East Bldg., Tachikawa Business Center Bldg., Yume-ooka Office Tower,
Olinas Tower, JPR Yokohama Bldg., Omiya Prime East, Sencity Bldg.,
Cupo-la Main Bldg., FUNDES Ueno, Sompo Japan Sendai Bldg., Sompo
Japan Wakayama Bldg., Tenjin 121 Bldg., JPR Dojima Bldg., Yakuin
Business Garden, JPR Shinsaibashi WestJPR Jingumae 432, Kawasaki Dice Bldg., Niigata Ekinan Center Bldg., JPR
Naha Bldg.
Rise Arena Bldg., JPR Nagoya Fushimi Bldg., JPR Shinsaibashi Bldg.,
Housing Design Center Kobe, JPR Chayamachi Bldg.
Kanematsu Bldg., Kanematsu Bldg. Annex, JPR Crest Takebashi Bldg., JPR
Ichigaya Bldg., Oval Court Ohsaki Mark West, BYGS Shinjuku Bldg.,
Across Shinkawa Bldg. Annex, Otemachi Tower (Land with Leasehold
Interest) , Tokyo Square Garden, JPR Chiba Bldg., JPR Yokohama Nihon
Odori Bldg., Tanashi ASTA
Shinjuku Square Tower, JPR Harajuku Bldg., JPR Nihonbashi-horidome
Bldg., JPR Sendagaya Bldg., Ginza Sanwa Bldg., JPR Ginza Namiki-dori
Bldg., JPR Musashikosugi Bldg., Musashiurawa Shopping Square, JPR
Umeda Loft Bldg.
GRAND FRONT OSAKA (Umekita Plaza and South Building), GRANDFRONT OSAKA (North Building)・ The “Investment Ratio” in terms of the “Acquisition Price” and the “Appraisal Value at End of Period”

represents the ratio of the Acquisition Price and the Appraisal Value at End of Period of respective properties,
including fractions not indicated herein, to the total amounts of the Acquisition Price or the Appraisal Valueat End of Period of the properties owned by JPR at end of the 40th fiscal period, indicated in a percentage
rounded to the first decimal place.

28

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Acquisition Price
Area

Type

Property Name

Dec. 27, 2001

16,276

3.4

14,900

2.6

Kanematsu Bldg. Annex

Dec. 27, 2001

2,874

0.6

3,410

0.6

JPR Ningyo-cho Bldg.

Nov. 16, 2001

2,100

0.4

3,040

0.5

Nov. 16, 2001

1,670

Shin-Kojimachi Bldg.

Nov. 21, 2002
Nov. 12, 2004

550
200

0.5

4,380

0.8

JPR Crest Takebashi Bldg.

Jun. 21, 2002

4,000

0.8

3,790

0.7

MS Shibaura Bldg.

Mar. 28, 2003

11,2002.3

15,9002.8

Gotanda First Bldg.

Jul. 23, 2003

2,920

0.6

4,270

0.7

JPR Ichigaya Bldg.

May 28, 2004

5,100

1.1

4,850

0.8

Oval Court Ohsaki Mark West

Jun. 1, 2004

3,500

0.7

5,110

0.9

Jul. 2, 2004
Sep. 26, 2008
Mar. 25, 2015
Oct. 21, 2015

10,000
180
4,000
786

3.1

14,8002.6

Nov. 9, 2004

2,900

Apr. 12, 2005

8,921

3.1

19,600

3.4

Jul. 13, 2010

3,300

Across Shinkawa Bldg. Annex

Nov. 26, 2004

710

0.1

783

0.1

Shinjuku Center Bldg.

Mar. 27, 2008

21,0004.3

19,0003.3

Minami Azabu Bldg.

Jul. 14, 2008

3,760

0.8

3,330

0.6

Dec. 19, 2008

1,870

Mar. 8, 2019

171

0.4

2,360

0.4

Rokubancho Bldg.

Dec. 2, 2009

2,800

0.6

3,630

0.6

JPR Harajuku Bldg.

Dec. 25, 2009

8,400

1.7

10,5001.8

JPR Nihonbashi-horidome Bldg.

Mar. 31, 2010

5,100

1.1

6,810

1.2

JPR Sendagaya Bldg.

May 31, 2010

15,0503.1

11,9002.1

Ginza Sanwa Bldg.
Otemachi Tower (Land with
Leasehold Interest)
Science Plaza-Yonbancho Plaza

Aug. 29, 2011

3,400

0.7

3,740

0.7

Mar. 13, 2012

36,0007.4

52,5009.1

Dec. 6, 2013

2,660

0.5

3,410

0.6

0.9

6,530

1.1

Jul. 30, 2014

3,413
(Note 1)800

Feb. 1, 2017

9,200

Apr. 4, 2017

9,200

3.8

20,8003.6

Jun. 27, 2019

5,750

1.2

6,840

1.2

Dec. 24, 2020

11,4002.4

12,7002.2

Jun. 30, 2003

12,0002.5

14,2002.5

Mar. 24, 2006

4,275

0.9

4,270

0.7

Mar. 14, 2007

540

Apr. 24, 2008

2,200

0.6

2,720

0.5

Aug. 27, 2008

3,400

0.7

3,330

0.6

Dec. 15, 2016
Dec. 15, 2016

10,1003,250
256,926

2.1
0.7
53.0

11,1003,390
297,893

1.9
0.6
51.8

OfficeBYGS Shinjuku Bldg.

Shinagawa Canal Bldg.

Shibadaimon Center Bldg.

Tokyo Square Garden
JPR Kojimachi Bldg.
Otemachi Financial City North
Tower
JPR Shibuya Tower Records
Bldg.
JPR Jingumae 432

Retail, etc.

(million yen)

Investment
Ratio
(%)

Price

Kanematsu Bldg.

Shinjuku Square Tower

Central Tokyo

Acquisition Date

Appraisal Value at
End of Period
Appraisal
Investment
Value
Ratio
(million yen)(%)

Shinjuku Sanchome East Bldg.

Yurakucho Ekimae Bldg.
(Yurakucho Itocia)
JPR Ginza Namiki-dori Bldg.
FUNDES Suidobashi
Subtotal of Central Tokyo

Dec. 6, 201329

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Acquisition Price
Area

Type

Property Name

Nov. 16, 2001

5,880

1.2

7,070

1.2

JPR Chiba Bldg.
JPR Yokohama Nihon Odori
Bldg.

Dec. 13, 2001

2,350

0.5

1,830

0.3

Nov. 16, 2001

2,927

0.6

2,350

0.4

Sep. 25, 2002

920

Mar. 28, 2013

570

0.3

2,460

0.4

Kawaguchi Center Bldg.

Feb. 13, 2004

8,100

1.7

10,6001.8

JPR Ueno East Bldg.

Mar. 1, 2004

3,250

0.7

5,740

1.0

Sep. 30, 2005

888

Feb. 28, 2007

2,300

0.7

4,620

0.8

Mar. 22, 2007

5,831

Oct. 28, 2021

7,300

2.7

17,700

3.1

Yume-ooka Office Tower

Jul. 10, 2007

6,510

1.3

7,310

1.3

Olinas Tower

Jun. 29, 2009

31,300

6.5

40,000

7.0

JPR Yokohama Bldg.

Dec. 27, 2010

7,000

1.4

10,2001.8

Omiya Prime East

Mar. 22, 2013

6,090

1.3

10,400

1.8

Sencity Bldg.

Mar. 27, 2020

13,8702.9

14,800

2.6

Tanashi ASTA

Nov. 16, 2001

10,2002.1

11,0001.9

Cupo-la Main Bldg.

Mar. 31, 2006

2,100

0.4

2,890

0.5

JPR Musashikosugi Bldg.

Sep. 28, 2006

7,254

1.5

5,500

1.0

Musashiurawa Shopping Square

Mar. 19, 2007

4,335

0.9

4,290

0.7

Kawasaki Dice Bldg.

Apr. 12, 2007

15,0803.1

14,1002.5

FUNDES Ueno

Jun. 27, 2019

OfficeTachikawa Business Center Bldg.

Retail, etc.

Rise Arena Bldg.

Retail, etc.

OfficeSubtotal of Greater Tokyo

Other Cities(million yen)

Investment
Ratio
(%)

Price

Arca East

Shinyokohama 2nd Center Bldg.

Greater Tokyo

Acquisition Date

Appraisal Value at
End of Period
Appraisal
Investment
Value
Ratio
(million yen)
(%)

3,800

0.8

4,000

0.7

147,855

30.5

176,860

30.8

Niigata Ekinan Center Bldg.

Nov. 16, 2001

2,140

0.4

2,270

0.4

JPR Naha Bldg.

Nov. 16, 2001

1,560

0.3

2,240

0.4

Sompo Japan Sendai Bldg.

Jun. 26, 2002

3,150

0.6

4,870

0.8

Sompo Japan Wakayama Bldg.

Jun. 26, 2002

1,670

0.3

1,640

0.3

Tenjin 121 Bldg.

Jun. 21, 2002

2,810

0.6

3,940

0.7

JPR Dojima Bldg.

Jan. 23, 2004

2,140

0.4

3,820

0.7

JPR Nagoya Fushimi Bldg.

Mar. 22, 2005

4,137

0.9

3,440

0.6

Yakuin Business Garden

Aug. 8, 2012

10,996

2.3

22,2003.9

JPR Shinsaibashi Bldg.

May 30, 2005

5,430

1.1

4,700

0.8

JPR Shinsaibashi West
GRAND FRONT OSAKA(Umekita Plaza and South
Building) (Note 2)
GRAND FRONT OSAKA(North Building) (Note 2)

Jan. 30, 2020

3,750

0.8

4,520

0.8

Dec. 24, 2021

11,8002.4

12,3002.1

Dec. 24, 2021

9,500

2.0

10,100

1.8

4,800
3,000
7,220

1.6

8,400

1.5

Housing Design Center Kobe

May 15, 2003
Jul. 16, 2003
Sep. 28, 2005

1.5

7,290

1.3

JPR Chayamachi Bldg.

Aug. 30, 2006

6,000

1.2

8,480

1.5

80,10316.5

100,21017.4

484,884

100.0

574,963

100.0

JPR Umeda Loft Bldg. (Note 3)

Subtotal of Other Cities
Total

30

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(Note 1) On October 15, 2021, JPR sold part of the site (3.52 m2) of the property to a third party and acquired part of the adjacent land (3.52 m2)
owned by the said third party from the third party. Furthermore, in accordance with the sale and acquisition of the land, the acquisition
price has been changed from 3,420 million yen to 3,413 million yen.
(Note 2) In association with the acquisition of GRAND FRONT OSAKA (Umekita Plaza and South Building) and GRAND FRONT OSAKA(North Building), JPR acquired 1,666 shares in KMO Corporation for 83,740 thousand yen, a claim for refund of funds of Knowledge
Capital, a general incorporated association, for 5,120 thousand yen, and a claim for refund of funds of GRAND FRONT OSAKA TMO,
a general incorporated association, for 710 thousand yen.
The appraisal value at end of the 40th fiscal period of these shares and claims for refund of funds is 83,740 thousand yen for the 1,666
shares of KMO Corporation, 5,120 thousand yen for the claim for refund of funds of Knowledge Capital, and 710 thousand yen for theclaim for refund of funds of GRAND FRONT OSAKA TMO.
(Note 3) For JPR Umeda Loft Bldg., JPR sold 40.0% of its co-ownership interest in real estate beneficiary interest on December 24, 2021.
Accordingly, the acquisition price of the property indicates the amount equivalent to 60.0% co-ownership interest JPR owns as of theend of the 40th fiscal period.

(3) Capital Expenditures
1) Planned Capital Expenditures
The following are major items of capital expenditures for renovation works, etc. planned as of the end of
the 40th fiscal period for real estate and real estate in trust regarding trust beneficiary interests in real estate
which JPR owns. Furthermore, the planned construction expenses include portions that are classified as
expenses in accounting.
Planned Amount(million yen)
Property Name

Location

PurposeSchedule

Shinjuku Center
Bldg.

Shinjuku-ku, Tokyo

Third phase of
replacement of piping
equipment

Jan. 2022 –May 2022

Kawaguchi Center
Bldg.

Kawaguchi, Saitama Repair of exterior walls

MS Shibaura Bldg.

Minato-ku, Tokyo

JPR Shinsaibashi
Bldg.

Osaka, Osaka

Sencity Bldg.

Chiba, Chiba

Replacement of toilets
in the west building

Omiya Prime East

Saitama, Saitama

Beautification of toilets

JPR Kojimachi Bldg.

Chiyoda-ku, Tokyo

Repair of exterior walls

Sencity Bldg.

Chiba, Chiba

Replacement offacilities at the third
electrical room

JPR Nagoya Fushimi
Bldg.

Nagoya, Aichi

Repair of rooftop
waterproofingFirst phase ofreinforcement ofelevators
Second phase of
replacement of airconditioning units

31

Oct. 2021 –Mar. 2022
Jul. 2021 –Apr. 2022
May 2022 –Jun. 2022
Jan. 2022 –Mar. 2022
Mar. 2022 –Apr. 2022
Jan. 2022 –Jun. 2022
Jan. 2022 –Mar. 2022
Apr. 2022 –Jun. 2022

Payment
Amountduring the
Total Value
Already
40th fiscal
Paidperiod
70

–

–

63

–

–

62

–

–

61

–

–

59

–

–

49

–

–

47

–

–

46

–

–

35

–

–

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period2) Capital Expenditures during the 40th Fiscal Period
The following are the capital expenditure amounts JPR invested in real estate and real estate in trust during
the 40th fiscal period. Among major capital expenditures, JPR conducted replacement of air-conditioning
units to maintain and enhance tenant satisfaction, as well as renovation of common-use areas with the aimof attracting new tenants, among other works. In addition, aside from these constructions, JPR conducted
construction of 545 million yen (Note), which was appropriated as expenditures for repair and maintenance.
Property Name

Construction
Expenses(million yen)

Location

Purpose

PeriodKanematsu Bldg.

Chuo-ku, Tokyo

Second phase of replacement of
toilets on standard floors andcorridors and ceilings in common
areas

Mar. 2021 –Dec. 2021

128

BYGS Shinjuku Bldg.

Shinjuku-ku,
TokyoSecond phase of repair of common
areas on B2F through 1st floor

Jul. 2021 –Oct. 2021

98

JPR Shinsaibashi West

Osaka, Osaka

Second phase of replacement of
toilets

Jul. 2021 –Dec. 2021

89

JPR Crest Takebashi Bldg.

Chiyoda-ku,
Tokyo

Replacement of air-conditioning
units

Mar. 2021 –Dec. 2021

88

BYGS Shinjuku Bldg.

Shinjuku-ku,
Tokyo

Third phase of reinforcement ofelevators

Feb. 2021 –Jul. 2021

68

Shinjuku Center Bldg.

Shinjuku-ku,
TokyoSecond phase of replacement of
piping equipment

Jun. 2021 –Nov. 2021

63

Kawasaki Dice Bldg.

Kawasaki,Kanagawa

Replacement of air-conditioning
units

Nov. 2021 –Dec. 2021

47

JPR Shinsaibashi Bldg.

Osaka, Osaka

First phase of replacement of airconditioning units

Nov. 2021 –Dec. 2021

44

Tokyo Tatemono
Honmachi Bldg.

Osaka, Osaka

Other capital expenditures

Second phase of shift to variable
Sep. 2021 –air-volume systems on the 5th andNov. 2021
8th floors
Replacement of air-conditioning units, repair ofcommon areas, replacement of lighting equipment with
LED lamps, etc.
Total

30
942
1,601

(Note) Expenditures for repair and maintenance included 13 million yen of construction management fees paid to construction managementcompanies as well as the amounts for repair and maintenance construction itself.

32

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(4) Major Investment Assets
The following is the investment property with rental revenues exceeding 10% of total rental revenues of theentire portfolio of JPR for the 40th fiscal period.
<Property Name: Otemachi Tower (Land with Leasehold Interest)>
Total Number of Tenants
Rental Revenues
Percentage to Total Rental Revenues (Note 1)
Total Leased Floor Space (Note 2)
Total Leasable Floor Space (Note 2)
Changes in Occupancy Rate in Last 5 years (Note 1)

2
1,802,000 thousand yen
11.0%
11,034.78 m2
11,034.78 m2
December 31, 2021

100.0%

June 30, 2021

100.0%

December 31, 2020

100.0%

June 30, 2020

100.0%

December 31, 2019100.0%

June 30, 2019100.0%

December 31, 2018

100.0%

June 30, 2018

100.0%

December 31, 2017100.0%

June 30, 2017100.0%(Note 1) The figure has been rounded to the first decimal place.
(Note 2) The total leased floor space and total leasable floor space are those as of the end of the 40th fiscal period(December 31, 2021).

33

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period(5) Information Concerning Tenants
1) Overview of Lease Status by JPR as a Whole
No. of Properties
June 30, 2017
December 31, 2017

Total No. of
Tenants

62
62

Total Leasable Floor Space

Occupancy Rate

730

477,972.54 m2

98.0%

745

478,169.25 m2

98.5%
98.8%

June 30, 2018

62

747

478,117.02 m2

December 31, 2018

62

747

478,088.25 m2

99.2%

June 30, 2019

63

757

480,277.86 m2

98.6%

760

480,284.17 m2

99.6%
99.7%

December 31, 2019

63

June 30, 2020

65

851

499,269.77 m2

December 31, 2020

66

857

501,162.78 m2

99.3%

June 30, 2021

65

804

496,876.92 m2

98.1%

799

496,876.92 m2

97.3%
97.3%

July 31, 2021

65

August 31, 2021

65

802

496,889.70 m2

September 30, 2021

65

800

496,906.36 m2

97.0%

October 31, 2021

65

799

501,414.13 m2

96.3%

November 30, 2021

65

803

501,440.58 m2

96.4%

1,134

500,628.05 m2

97.3%

December 31, 2021

66

(Note) Occupancy rates have been rounded to the first decimal place.

Furthermore, the following table shows the total number of tenants, total leased floor space and total leasable
floor space as of the end of the 40th fiscal period, as well as the total rental income for the 40th fiscal period.
Total Number of Tenants

1,134

Total Leased Floor Space

487,246.75 m2

Total Leasable Floor Space

500,628.05 m2

Total Rental Income

16,382,659 thousand yen

34

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period2) Overview of Lease Status for Respective Properties

Type

OfficeGreater Tokyo

Retail, etc.

Central Tokyo

OfficeArea

Property Name

40th Fiscal Period (July 1, 2021 – December 31, 2021)
Information on Period End Floor Space, Etc.
Rental Revenues
Total Leasable
Total Leased
No. ofOccupancy (thousands of
Ratio
Floor Space
Floor Space
Tenants
Rate (%)
yen)
(%)
2
2
(m )
(m )
(Note 1)

Kanematsu Bldg.

8,090.42

7,688.72

10

95.0

409,642

2.5

Kanematsu Bldg. Annex

2,291.13

2,291.131

100.0(Note 2)

(Note 2)

JPR Ningyo-cho Bldg.

2,802.22

2,802.22

5

100.0

91,566

0.6

Shin-Kojimachi Bldg.

3,319.37

3,208.22

16

96.7

109,527

0.7

JPR Crest Takebashi Bldg.

3,265.34

3,265.34

8

100.0

119,126

0.7

MS Shibaura Bldg.

14,468.38

14,468.38

10

100.0

493,272

3.0

Gotanda First Bldg.

4,241.22

4,241.222

100.0

141,3120.9

JPR Ichigaya Bldg.
Oval Court Ohsaki MarkWest
Shinjuku Square Tower

4,240.37

3,852.879

90.9

142,976

0.9

4,088.44

4,088.441

100.0(Note 2)

(Note 2)

19,266.38

18,037.05

23

93.6

421,688

2.6

BYGS Shinjuku Bldg.
Across Shinkawa Bldg.
Annex
Shinjuku Center Bldg.

15,227.80

14,553.02

22

95.6

607,969

3.7

1,253.39

966.93

2

77.1

30,2070.2

8,865.71

8,215.1330

92.7

Minami Azabu Bldg.

3,405.73

3,405.731

100.0

506,174(Note 2)

3.1
(Note 2)

Shinagawa Canal Bldg.

1,870.50

1,726.50

5

92.3

Rokubancho Bldg.

2,501.16

2,501.16

1

100.0

60,232(Note 2)0.4
(Note 2)

JPR Harajuku Bldg.
JPR Nihonbashi-horidome
Bldg.
JPR Sendagaya Bldg.

4,759.80

4,759.80

10

100.0

276,198

1.7

5,299.88

5,299.88

5

100.0

192,932

1.2

6,177.74

6,177.74

6

100.0

298,501

1.8

Ginza Sanwa Bldg.
Otemachi Tower (Land with
Leasehold Interest)
Science Plaza-Yonbancho
Plaza
Shibadaimon Center Bldg.

1,896.69

1,896.69

9

100.0

110,050

0.7

11,034.78

11,034.78

2

100.0

1,802,000

11.0

3,325.29

3,184.61

23

95.8

115,5480.7

5,401.49

5,401.49

9

100.0

181,516

1.1

Tokyo Square Garden

5,971.73

5,462.42

47

91.5

356,364

2.2

JPR Kojimachi Bldg.
Otemachi Financial City
North Tower
JPR Shibuya Tower Records
Bldg.
JPR Jingumae 432
Shinjuku Sanchome East
Bldg.
Yurakucho Ekimae Bldg.
(Yurakucho Itocia)
JPR Ginza Namiki-dori
Bldg.
FUNDES Suidobashi

3,493.67

2,476.50

5

70.9

123,3450.8

4,191.96

4,189.99

10

100.0

272,8621.7

8,076.85

8,076.851

100.0(Note 2)

(Note 2)

1,027.33

1,027.33

7

100.0

85,2530.5

2,347.81

2,347.811

100.0(Note 2)

(Note 2)

1,101.92

1,101.921

100.0(Note 2)

(Note 2)

1,665.79

1,233.94

8

74.1

187,3461.1

1,367.56

1,367.56

6

100.0

68,793

0.4

Arca East

7,022.76

7,022.76

7

100.0

264,044

1.6

JPR Chiba Bldg.
JPR Yokohama Nihon
Odori Bldg.
Shinyokohama 2nd Center
Bldg.
Kawaguchi Center Bldg.

5,541.49

5,289.70

40

95.5

138,372

0.8

6,079.73

6,079.73

19

100.0

133,2870.8

5,285.84

4,830.07

21

91.4

108,125

0.7

15,519.71

15,519.71

41

100.0

475,303

2.9

6,454.89

6,454.89

10

100.0

183,0121.1

4,588.89

4,478.25

22

97.6

150,673

0.9

JPR Ueno East Bldg.
Tachikawa Business Center
Bldg.

35

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

Retail, etc.
OfficeRetail, etc.

Other Cities

Greater Tokyo

OfficeRise Arena Bldg.

10,531.10

207,232

1.3

100.0

349,3402.1

98.3

1,017,448

6.2

20

98.8

308,4211.9

6,739.89

5

64.0

11,998.77

11,998.77

43

23,987.40

23,587.49

16

6,415.50

Yume-ooka Office Tower
Olinas Tower
JPR Yokohama Bldg.

6,493.99

Omiya Prime East

6,871.45

6,871.454

100.0

295,871

1.8

Sencity Bldg.

13,271.20

12,745.57

71

96.0

499,684

3.1

Tanashi ASTA

31,121.71

31,121.71

1

100.0

(Note 2)

(Note 2)Cupo-la Main Bldg.

5,963.00

5,963.001

100.0(Note 2)

(Note 2)
(Note 2)

JPR Musashikosugi Bldg.
Musashiurawa Shopping
SquareKawasaki Dice Bldg.

19,740.95

19,740.95

1

100.0

(Note 2)

14,960.69

14,960.69

3

100.0

127,0410.8

12,113.12

11,920.14

28

98.4

449,530

2.7

FUNDES Ueno
Niigata Ekinan Center
Bldg.
Tokyo Tatemono
Honmachi Bldg. (Note 3)
JPR Naha Bldg.

1,989.66

1,989.66

10

100.0

111,079

0.7

5,327.50

5,327.50

11

100.0

123,266

0.8

–

–

–

–

146,483

0.9

3,945.01

3,945.01

20

100.0

115,749

0.7

Sompo Japan Sendai Bldg.
Sompo Japan Wakayama
Bldg.
Tenjin 121 Bldg.

7,132.69

7,124.72

15

99.9

197,758

1.2

4,876.35

4,076.32

17

83.6

96,8890.6

3,257.07

3,197.39

14

98.2

123,079

0.8

JPR Dojima Bldg.

3,917.91

3,917.91

12

100.0

132,651

0.8

JPR Nagoya Fushimi Bldg.

7,086.23

6,666.685

94.1

150,188

0.9

Yakuin Business Garden

16,654.33

16,644.71

16

99.9

552,609

3.4

JPR Shinsaibashi Bldg.

4,021.63

4,021.638

100.0

127,995

0.8

JPR Shinsaibashi West
GRAND FRONT OSAKA(Umekita Plaza and South
Building)
GRAND FRONT OSAKA(North Building)
JPR Umeda Loft Bldg.
Housing Design Center
Kobe
JPR Chayamachi Bldg.

5,695.71

5,689.41

14

99.9

140,4320.9

5,290.60

5,157.67

239

97.5

(Note 2)

(Note 2)8,474.10

8,321.78

97

98.2(Note 2)

(Note 2)

11,152.18

11,152.18

1

100.0

(Note 2)

(Note 2)35,444.13

35,444.13

1

100.0

(Note 2)

(Note 2)

2,478.42

2,478.425

100.0

179,598

1.1

500,628.05

487,246.75

1,134

97.3

16,382,659

100.0

Total

(Note 1) The number of tenants at end of period is counted as follows except for Shinjuku Square Tower, Shinjuku Center Bldg., Residential part of Science
Plaza-Yonbancho Plaza, Tokyo Square Garden, Otemachi Financial City North Tower, Rise Arena Bldg., Sencity Bldg. and Kawasaki Dice Bldg.:
when a single tenant leases multiple rooms, it is counted as one if the tenant uses the same property. If the leased rooms are in multiple buildings, thetenant is counted in plural.
The tenants of Shinjuku Square Tower, Shinjuku Center Bldg., Residential part of Science Plaza-Yonbancho Plaza, Tokyo Square Garden, Otemachi
Financial City North Tower, Rise Arena Bldg., Sencity Bldg., Kawasaki Dice Bldg., GRAND FRONT OSAKA (Umekita Plaza and South Building)and part of GRAND FRONT OSAKA (North Building) have sublet space to sublessees and lease agreements have been executed where the rent paidby the tenants fluctuates in accordance with the lease conditions of the sublessees and thus the numbers of sublessees have been entered as thenumbers of tenants. (For, GRAND FRONT OSAKA (North Building), some portions employs fixed master lease or direct lease, but the figure
indicates the number of end tenants, including those of such portions.)(Note 2) JPR does not disclose rental revenues and their ratios for properties due to inevitable reasons, as JPR has not been able to obtain consent fromtenants or co-owners, etc. regarding disclosure of rental revenues, etc.
(Note 3) JPR sold Tokyo Tatemono Honmachi Bldg. on December 24, 2021.

36

Japan Prime Realty Investment Corporation (8955) Financial Report for 40th Fiscal Period

3) Ten Largest Tenants
The following table shows the ten largest tenants in terms of leased floor space as of December 31, 2021.

Rank

1

TenantTokyo Tatemono Co., Ltd

Property Name
Shinjuku Square Tower
Shinjuku Center Bldg.
Tokyo Square Garden
Olinas Tower
Kawasaki Dice Bldg.
Tokyo Tatemono Honmachi Bldg.
GRAND FRONT OSAKA (North
Building)

Leased Floor Space Percentage to Total
at End of Period Leased Floor Space(m2)
at End of Period(Note 1)
(Note 2)

48,645.33

9.8%(Note 3)

2

ABC Development Corporation

Housing Design Center Kobe

35,444.13

7.1%

3

Seiyu GK

Tanashi ASTA

31,121.71

6.3%

4

Taisei-Yuraku Real Estate Co.,Ltd.

Rise Arena Bldg.
Sencity Bldg.

24,075.05

4.9%

5

Ito-Yokado Co., Ltd.

JPR Musashikosugi Bldg.

19,740.95

4.0%

6

The LOFT Co., Ltd.

JPR Umeda Loft Bldg.

11,152.18

2.2%

7

Olympic Group Corporation

Musashiurawa Shopping Square

9,558.51

1.9%

4,191.96

0.8%

8Mitsubishi Estate Co., Ltd.

Otemachi Financial City North Tower
GRAND FRONT OSAKA (Umekita
Plaza and South Building)
GRAND FRONT OSAKA (North
Building)

9

Tower Records Japan Inc.

JPR Shibuya Tower Records Bldg.

8,076.85

1.6%

10

Y.K. Tokyo Prime Stage

Otemachi Tower (Land with Leasehold
Interest)

7,875.50

1.6%(Note 3)(Note 1) For co-owned properties, etc., the figure indicates the leased floor space corresponding to the ownership interest held by JPR.
(Note 2) The figures have been rounded to the first decimal place. The total leased floor space at end of period in the above table is based on
the space corresponding to the ownership interest held by JPR (496,032.25 m2).
(Note 3) Leased floor space at end of period for GRAND FRONT OSAKA (Umekita Plaza and South Building) and GRAND FRONT OSAKA(North Building) is not disclosed as no consent to disclosure has been obtained from the co-owners, etc.

37