This English translation is provided for information purposes only. If any discrepancy is identified between thistranslation and the Japanese original, the Japanese original shall prevail.
June 24, 2024
REIT Issuer:
Japan Hotel REIT Investment Corporation (TSE code: 8985)
Kaname Masuda, Executive Director
Asset Management Company:
Japan Hotel REIT Advisors Co., Ltd.
Hiroyuki Aoki, President and CEO
Contact:
Makoto Hanamura
Director of the Board, Managing Director
Head of Finance and Planning Division
TEL: +81-3-6422-0530
Notice Concerning Acquisition and Lease of Domestic Real Estate Beneficial Interests in Trust(OKINAWA HARBORVIEW HOTEL, Southern Beach Hotel & Resort OKINAWA,
MIMARU Tokyo Shinjuku West and HOTEL AMANEK Shinjuku-Kabukicho.)This is to inform you that Japan Hotel REIT Advisors, Co., Ltd. (hereinafter called the “Asset Management Company”),
the asset management company of Japan Hotel REIT Investment Corporation (hereinafter called “JHR”), has resolved toacquire and lease the domestic real estate beneficial interests in trust below (hereinafter called the “Assets for AnticipatedAcquisition”) today on behalf of JHR.
The lessee of OKINAWA HARBORVIEW HOTEL falls under an “Interested Party, etc.” as stipulated in the Act on
Investment Trust and Investment Corporation (Act No. 198 of 1951, as amended; hereinafter called the “Investment TrustAct”). Therefore, the execution of lease contract of OKINAWA HARBORVIEW HOTEL has been approved by JHR
based on a resolution at JHR’s Board of Directors meeting pursuant to the Investment Trust Act and the Code forTransactions with Sponsor-related Parties stipulated by the Asset Management Company (Please see “6. Transactions
with Interested Party” below.).
1. Summary of the Assets for Anticipated Acquisition
Name of the Assets for AnticipatedAcquisitions

Asset type(*1)

Rent type

Anticipated acquisition
price (*2)

OKINAWA HARBORVIEW HOTEL

Full-service
hotel

Fixed rent andVariable rent (*3)

JPY21,500,000 thousand

Southern Beach Hotel & Resort
OKINAWA

Resort hotel

Fixed rent andVariable rent

JPY16,200,000 thousand

MIMARU Tokyo Shinjuku West

Limitedservice hotel

Fixed rent andVariable rent

JPY9,645,000 thousand

HOTEL AMANEK Shinjuku-Kabukicho.

Limitedservice hotel

Fixed rent andVariable rent

JPY8,845,000 thousand

Total

Anticipatedacquisition date(*2)

Collateral

July 31, 2024
Unsecured
July 12, 2024

JPY56,190,000 thousand(*1) JHR categorizes hotels into three types, “Limited-service hotel” (hotels specialized in selling guest rooms), “Full-service hotel” (hotels
providing comprehensive services, not only selling guest rooms) and “Resort hotel” (among full-service hotels, hotels located in vacation
resorts, which are areas with rich natural environment or tourist attractions such as hot spring resorts and scenic spots, or areas surrounding
famous leisure facilities, leisure facilities attracting customers, etc.) according to the manner of operation provided. The same shall apply
hereinafter.
(*2) The purchase and sale agreement for beneficial interest in trust, etc. (hereinafter called the “PSA, etc.”) for each real estate beneficial interestin trust has been concluded with the relevant seller to acquire the relevant Assets for Anticipated Acquisition. The anticipated acquisition
Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

1

price is the price set forth in the PSA, etc. for acquisition of the relevant Assets for Anticipated Acquisition (consumption tax, local
consumption tax and the acquisition expense such as brokerage fee are not included). Note that of the Assets for Anticipated Acquisition, the
PSA concerning the OKINAWA HARBORVIEW HOTEL and Southern Beach Hotel & Resort OKINAWA fall under the contract withforward commitments. Please see “9. Matters concerning forward commitments” for details on the PSA.
(*3) Rent will be based on only fixed rent from July 2024 to July 2026. From August 2026 onwards, rent will be based on fixed rent and variable
rent. Please see “2. Rationale for Acquisition and Lease” below for details.
(*4) Please see “5. Summary of the Sellers” below for the sellers.

2. Rationale for Acquisition and Lease
JHR aims to provide investors with attractive investment opportunities in hotels that can realize “both stability andupside potential.” The Asset Management Company has made the determination to acquire the Assets for AnticipatedAcquisition (hereinafter called the “Acquisition”) as it considers the Acquisition is in line with such aim for thefollowing reasons.
The Assets for Anticipated Acquisition are four properties: OKINAWA HARBORVIEW HOTEL, Southern Beach
Hotel & Resort OKINAWA, MIMARU Tokyo Shinjuku West and HOTEL AMANEK Shinjuku-Kabukicho.
OKINAWA HARBORVIEW HOTEL is a full-service hotel located in Naha city, Okinawa Prefecture. It has such as
approx. 10-minute drive from Naha Airport/approx. 10-minute walk from both Tsubogawa Station and Asahibashi
Station on the Okinawa Urban Monorail. In addition, it has convenient access to various tourist spots such as Kokusai
dori street and also it is very close to the Okinawa Prefectural Government Building and the Naha city Hall. JHR
believes it is a hotel that can accommodate the abundant demand for both leisure and business.
JHR’s strategic partner, HMJ (*1), intends to acquire the 100% of outstanding stock of lessee of this hotel to make it
a 100% subsidiary of HMJ. JHR plans to implement a large-scale renovation of guest rooms, restaurants, pools, etc.
in 2025, following the acquisition (hereinafter called the “Renovations”). JHR will undertake the Renovations needed
to unlock the maximum growth potential of this hotel, and together with the lessee (which becomes 100% subsidiaryof HMJ), aim to maximize growth and revenue through an active asset management (*2) strategy.
The lease contract has only fixed rent for the initial 2 years from July 2024 to July 2026, followed by a rent structurethat combines fixed and variable rents from August 2026 after the completion of the Renovations and the operations
by the HMJ subsidiary will be fully on track. JHR intends to adopt a new rent structure that captures upside while
securing stability.
Southern Beach Hotel & Resort OKINAWA is a large resort hotel in Itoman city, the southernmost part of Okinawa’s
main island, located approx. 20-minute by car from Naha Airport. It is a resort hotel that has particularly convenient
access to Naha Airport. It also has easy access to tourist spots in Naha city and southern Okinawa. The hotel is equippedwith a garden pool with a water slide, an indoor pool, banquet halls, wedding chapel, restaurants, etc. A variety ofactivities can be enjoyed at the beach adjacent to the hotel. There are no nearby buildings that block the view from theguest rooms over 30 m2 with balconies, so the view from this hotel can be enjoyed.
The lease contract for this hotel has a rent structure that combines fixed and variable rents. This lease contract isscheduled to expire in December 2025, and there are possibilities for further upside by changing the rent scheme orby revising the existing contract when it expires.
JHR already owns four hotels in the Okinawa prefecture. JHR aims to expand its portfolio in Okinawa prefecture, anarea with potential high growth, by acquiring large hotels in the Naha area and resort areas nearby Naha area to capture
tourist demand through operations that utilize expertise gained from operating existing properties.
MIMARU Tokyo Shinjuku West and HOTEL AMANEK Shinjuku-Kabukicho are both relatively newly built limitedservice hotels located in the Shinjuku area. Both hotels are equipped with highly competitive guest rooms, all of which
can accommodate two or more people, in order to capture foreign tourists (hereinafter called “inbound”) demand.
Actual results show that inbound accounted for 90% or more of guests on a room sales basis. In addition, MIMARU
Tokyo Shinjuku West has large guest rooms accommodating four or more guests (up to six). Since kitchenettes anddining tables are also placed in all rooms, availing medium to long-term stays for a large number of guests.
The lease contracts for MIMARU Tokyo Shinjuku West and HOTEL AMANEK Shinjuku-Kabukicho have a rent
structure that can pursue upside potential, with the combination of variable rents linked to GOP (*3) and stable fixed
rents.
Shinjuku is an area visited by many tourists and is also an area with excellent accessibility to tourist spots across Japan,
and is particularly popular for inbound tourism. JHR expects upside potential from diverse inbound accommodation
Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

2

demand with further growth potential.
Each of the Assets for Anticipated Acquisition is a large high-quality property located in areas where stableaccommodation demand and growth can be expected going forward. Following the Acquisition, we are planning topursue improvements in portfolio quality and medium to long-term growth through the active asset management
strategy utilizing JHR’s experience and knowledge. In addition, the lease contracts have the rent structure that can be
expected to have upside potential through variable rents linked to GOP or AGOP (*4) (OKINAWA HARBORVIEW
HOTEL will shift to a combined fixed/variable rent structure from August 2026 onwards.), and JHR believes that theAcquisition will enhance the quality of the portfolio. Also, the Acquisitions of these hotels at attractive prices (*5),
which are considerably lower than the appraisal values, will improve NAV per unit (*6).
JHR sets its criteria to select hotel lessees combining credibility and hotel management capability. JHR has confirmed
each of the lessees of the Assets for Anticipated Acquisition satisfies its criteria to select hotel tenants mentioned in“Report on the Management Structure and System, etc. of the Issuer of Real Estate Investment Trust Securities andRelated Parties,” which was disclosed on March 29, 2024.
(*1) HMJ refers to Hotel Management Japan Co., Ltd. (a corporation in which SC J-Holdings Pte. Ltd. indirectly holds 100% of the issued shares),and HMJ Group refers to HMJ and its subsidiaries (a corporation in which HMJ holds more than 50% of the issued shares). The same shallapply hereinafter.
(*2) Active asset management refers to active asset management that aims to achieve strong internal growth, increase revenue, and particularly
increase the asset value of the portfolio. Specific examples include (a) a policy to improve ADR (*) by implementing strategic capital
expenditure (hereinafter called the “Strategic CAPEX”) (**) such as renovation of guest rooms aimed at improving a hotel’s competitiveness,(b) a change and rebranding (***) to an operator (company which is entrusted management of hotel. The same shall apply hereinafter.) thatis optimal for the features of the hotel, (c) change to a rent structure that can capture upside potential, and (d) switching (selling) assets aimed
at improving the quality of the portfolio. The same shall apply hereinafter.
(*) ADR represents the Average Daily Rate, which is calculated by dividing the total room revenue of the rooms department (including
service charges) for a certain period by the total number of rooms sold during the period.
(**) JHR classifieds capital expenditures into the following three categories. (I) Capital expenditures related to the renewal of facilities andequipment of buildings, which is required to maintain proper values of properties; (II) capital expenditures for fixtures, furniture, andequipment that are not directly related to building structure or facilities but necessary for operating hotels, and (III) Strategic CAPEX
such as renovating guest rooms and others in order to improve the competitiveness of the hotels.
(***) Rebranding means the reconstruction of a hotel brand through a combination of hotel name change, operator change and Strategic
CAPEX.
(*3) GOP represents Gross Operating Profit, which is the remainder after expenses incurred in hotel operation, such as personnel costs and generaland administrative expenses, are deducted from total sales. The same shall apply hereinafter.
(*4) AGOP (Adjusted GOP = GOP after adjustment) is the remaining amount after deducting certain payment of fees and other charges from the
GOP. The same shall apply hereinafter.
(*5) “Attractive prices” means that the acquisition prices of Anticipated Acquisitions are considerably lower than the appraisal values. The ratio
calculated as the anticipated acquisition price of each Asset for Anticipated Acquisition divided by the appraisal value of each asset as ofApril 30, 2024 is as follows. OKINAWA HARBORVIEW HOTEL: 88.8%; Southern Beach Hotel & Resort OKINAWA: 79.8%; MIMARU
Tokyo Shinjuku West: 82.4%; HOTEL AMANEK Shinjuku-Kabukicho: 69.1%.
(*6) NAV (Net Asset Value) per unit is the amount obtained by subtracting the total amount of distributed dividend from the amount of net assets
stated in the balance sheet, adding difference between appraisal value and book value on the entire portfolio as of the end of the relevant
fiscal year, and then dividing the result by the total number of investment units issued and outstanding as of the end of the relevant fiscal year.
It differs from the amount of net assets per unit for accounting purposes.

3. Features of the Assets for Anticipated Acquisition
I. OKINAWA HARBORVIEW HOTEL(1) Okinawa Market
Okinawa has beautiful nature and abundant tourism resources and is one of the Japan’s popular tourist destinations
as a domestic resort. According to officials in the Okinawa Prefecture, the accumulated number of tourists visiting
Okinawa from January to April in 2024 recovered to approx. 90% in comparison to the pre-COVID levels in thesame period in 2019. This figure is primary made up of strong demand from domestic tourists, which exceeds thatof the same period in 2019. Conversely, inbound demand has only recovered to approx. 62%, in comparison to
the same period in 2019. This is due to the delayed recovery of international flights and cruise ships. However,inbound demand is expected to recover in 2024 with predictions of increased international flights and cruise ship
destinations.
To accommodate the anticipated increase in demand, Naha Airport started operation of a second runway in March
2020 aimed at improving the capacity of their runways for increased numbers of flights from inbound demandand freight. There have been ongoing initiatives to improve the airport functions for further development of the
tourism, a main industry in Okinawa, such as seven large companies in Okinawa submitting a proposal (*) in
Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

3

December 2023 to expand the airport capacity to boost the economy.
(*)

The recommendations by the “Okinawa Future Creation Council,” composed of seven large Okinawa based companies, will be
discussed by a task force, which is planning to be established in 2024 to develop specific measures. These measures aim to incorporate
the recommendations into the “New Basic Plan for 21st Century Vision of Okinawa (Okinawa Promotion Plan)” expected to be revisedaround FY2027. However, there is no guarantee that the suggested structural of the airport expansion will be implemented.

(2) Features of the Assets for Anticipated Acquisitiona. Superiority in location
OKINAWA HARBORVIEW HOTEL is located in central Naha city, approx. a 10-minute drive from Naha
Airport and 10-minute walk from Tsubogawa Station and Asahibashi Station on the Okinawa Urban Monorail.
Despite its proximity to the major public transportation hubs, the hotel has a sense of calm within a quiet
residential neighborhood. Moreover, the hotel captures the rich history and tradition of Okinawa. The hotel islocated approx. 7-minute walk from Kokusai Dori, Okinawa’s largest downtown area and it is very close to the
Okinawa Prefectural Government Building, the Naha city Hall and the Okinawa Prefectural Assembly, so it isa location expected to capture diverse demand for both leisure and business.
b. Superiority in infrastructure
OKINAWA HARBORVIEW HOTEL was built as a full-fledged city hotel in Naha city by leveraging the
Okinawa International Ocean Exposition held in 1975 to commemorate the reversion of Okinawa to Japan in
1972. At the time, the facility operated as the Harborview Club with the atmosphere of a salon for leaders fromvarious fields in politics and business from Japan and the US to wine and dine. Even now, it is used by themembers of the Japanese imperial family and VIPs from Japan and overseas and is loved as a very formal, longestablished hotel.
There is a variety of guest room types from standard rooms to suites. All guest rooms are over 25 m2, making
them some of the largest guest rooms for hotels in Naha city. In addition to 352 guest rooms, the facilities
include restaurants, bar lounge, banquet halls, wedding chapel, a garden swimming pool, and club lounge. Theinterior is decorated with appealing art that gives a sense of Okinawan culture and tradition, such as banyan
trees and Shisa (Okinawa’s guardian lion) walls. As a full-service hotel providing refined service, the facility
caters to the diverse needs of guests from Japan and overseas.
c. Superiority in operations
OKINAWA HARBORVIEW HOTEL is currently operated by HMJ. At the timing of the Acquisition, HMJ
intends to acquire the 100% of outstanding shares of lessee of this hotel to make it a 100% subsidiary of HMJ.
We aim for growth through the active asset management strategy that utilizes the HMJ platform needed torealize the impact of the planned Renovations to the maximum extent.
II. Southern Beach Hotel & Resort OKINAWA(1) Features of the Assets for Anticipated Acquisitiona. Superiority in location
The Southern Beach Hotel & Resort OKINAWA is a southern resort hotel close to Naha Airport, located on thesouthern tip of Okinawa’s main island in Itoman city, an approx. 20-minute drive from Naha Airport and approx.
45-minute ride on Tokyo Bus (Umikaji Liner) from Naha Airport Domestic Terminal. Additionally, the hotel
has convenient access to tourist spots within Naha city, such as the Peace Memorial Park and the Himeyuri
Memorial Tower in southern Okinawa, with direct access to the white-sand public beach Bibi Beach Itoman.
b. Superiority in infrastructure
The Southern Beach Hotel & Resort OKINAWA is a large resort hotel with 448 guest rooms. This establishment
opened in June 2009. All guest rooms are over 30 m² and comes with a balcony, with no buildings nearby toblock the view. The ocean view guest rooms provide a distant view of the Kerama Islands and a view of thehorizon. Additionally, the harbor view rooms have views of Itoman city and its famous fishing harbor. Activities
include various marine sports and guests can enjoy BBQing on the beach right in front of the hotel.
In addition to restaurants, banquet halls and wedding chapel, this hotel is equipped with a 70m-long pool witha water slide, as well as an indoor pool that can be enjoyed all year round. Additionally, the hotel features a
Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

4

premium lounge located on the top floor of the hotel, a dedicated desk for checking in and out, light snacks anddrinks from 7am to 11pm daily.
c. Superiority in operations
The lessee, Okinawa Hotel Management Co., Ltd, is a 100% owned subsidiary of Green House Co., Ltd. The
current lease contract allows for upside potential with a rent structure that combines fixed and variable rents,
but the fixed-term lease contract is due to expire at the end of December 2025. JHR believes further upside
potential can be gained by changing the rent scheme or revising the contract.
III. MIMARU Tokyo Shinjuku West
(1) Tokyo and Shinjuku Markets
The Tokyo market is strong due to the increase of inbound demand in addition to the stable domestic business andtourism demand. Shinjuku has Shinjuku Station, one of the Japan’s leading terminals, and has developed atransportation network that includes express buses originating from the Shinjuku Expressway Bus Terminal. In
addition to enabling excellent tourism access within the Tokyo Metropolitan Area, Shinjuku Station provides easy
access to Nikko and Mt. Fuji, and other popular tourist areas representative of Japan. All this makes Shinjuku an
excellent destination for tourists.
There are various features within the vicinity of Shinjuku. West Shinjuku, where MIMARU Tokyo Shinjuku Westis located, has Shinjuku Central Park and the Tokyo Metropolitan Government Buildings and is a leading officebuilding area in Japan with rows of skyscrapers. Additionally, the Kabukicho area, where HOTEL AMANEK
Shinjuku-Kabukicho is located, is a lively area representative of Japan as area full of entertainment and nightlife
facilities. Shinjuku is particularly popular with inbound guests and JHR believes that further growth is possible
driven by the inbound demand.
(2) Features of the Assets for Anticipated Acquisitiona. Superiority in location
MIMARU Tokyo Shinjuku West is located in a convenient location approx. 10-minute walk from JR Shinjuku
Station, approx. a 5-minute walk from the Toei Subway Shinjuku Line Shinjuku Station, and approx. an 8minute walk from the Toei Subway Oedo Line Tochomae Station. Additionally, located nearby is a large
observatory at the Tokyo Metropolitan Government Building and many large commercial facilities which
altogether make it an excellent location as a tourist spot.
b. Superiority in infrastructure
MIMARU Tokyo Shinjuku West is a newly built limited-service hotel that opened in March 2020. It has 76
spacious guest rooms, averaging 41.5 m². All rooms (except a universal room) accommodate four or more
guests (up to six). All guest rooms come with a kitchenette, dining table, cookware and tableware, all in anapartment-style hotel that enables long-term stays for families and groups. In addition, rooms are equipped withindependent washstands and bathtubs, which provide a comfortable and relaxing space. There are few limitedservice hotels with spacious guest rooms in the surrounding area, and as such JHR believes it makes this hotel
distinct and very competitive.
c. Superiority in operations
The lessee, Cosmos Initia Co., Ltd., is part of the Daiwa House Group, and the operator is its affiliate, COSMOS
Hotel Management Co., Ltd. There are 27 hotels under the MIMARU brand nationwide, and it has management
know-how with a track record that is referred to as a market leader in apartment hotels. The rent scheme adopts
GOP linked variable rent in addition to fixed rent and the lease contract allows for upside potential.
IV. HOTEL AMANEK Shinjuku-Kabukicho.
(1) Features of the Assets for Anticipated Acquisitiona. Superiority in location
HOTEL AMANEK Shinjuku-Kabukicho is located in the Kabukicho area, approx. 10-minute walk from JR
Shinjuku Station, approx. 7-minute walk from Higashi Shinjuku Station on Tokyo Metro Fukutoshin Line andToei Subway Oedo Line and approx. 8-minute walk from the Shinjuku Sanchome Station on the Tokyo Metro
Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

5

Fukutoshin and Marunouchi Line. Kabukicho is a popular area for inbound, and suitable for capturing leisuredemand. The hotel is in a convenient location with excellent access to nearby tourist attractions.
b. Superiority in infrastructure
HOTEL AMANEK Shinjuku-Kabukicho is a newly built limited-service hotel that opened in April 2023. It has
169 guest rooms and all rooms accommodate two or more guests, mainly with doubles (16-18 m²). Twin (19m²)/ triple (21-24 m²) rooms are also available, each serving various needs with a focus on inbound demand.
The hotel caters to broad accommodation demand focused on inbound demand. All of the guest rooms havethree separate areas for the bathtub, toilet and sink, with the aim to differentiate them and provide guests with
comfortable rooms including the installation of bathtubs in all rooms. Food is also provided in the lounge andcourtyard.
c. Superiority in operations
The lessee, AMANEK Corporation, operates nine AMANEK brand hotels nationwide. It excels at low-cost
operations such as multi-tasking, and is expected to maximize GOP from a cost management perspective. The
rent scheme adopts GOP linked variable rent in addition to fixed rent and the lease contract allows for upside
potential.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

6

4. Details of the Assets for Anticipated Acquisition(1) OKINAWA HARBORVIEW HOTEL

Property No.

63

Property Name

OKINAWA HARBORVIEW HOTEL

1. Asset summary (*1)
Asset category
Anticipated acquisition date
Anticipated acquisition priceReal estate beneficial interest in trust and movable assets associated with the hotel

Appraisal value

JPY24,200,000 thousand (See “13. Real Estate Appraisal Report Summary” below for details.)

July 31, 2024
JPY21,500,000 thousand

2. Summary of real estate (or trusted real estate) (*2)
Intended use of the property
OwnershipLand

Building

Hotel/Full-service hotel

Land

Ownership

Building
Plot No

Ownership
46, 101-20, 101-21 and 299, Izumizaki 2-chome, Naha city, Okinawa

Address

2-46, Izumizaki, Naha city, Okinawa

Acreage

13,500.80 m2

Zoning, etc.

Category 2 residential district

Building-to-land ratio

60%

Floor area ratio
Structure and stories

200%
SRC with flat roof; 12 stories above ground with 2 stories below ground

Intended use

Hotel

Completion

Main building: April 24, 1975, South Annex: September 27, 1983

Total floor space (*3)

26,402.86 m2

Designer

Shimizu Corporation

Constructor
Institute that
confirmed building

Consortium of Shimizu Corporation, Obayashi Corporation and KOKUBA-GUMI Co., Ltd.

Present owner
Collateral

Naha City Building Official
Trustee: Mitsubishi UFJ Trust and Banking Corporation (Trust period expiration date: December 31,
2034)
Beneficiary: Not disclosed (*4)
None

3. Transportation (*5)
Approx. 10-minute by car from Naha Airport
Approx. 10-minute walk from Tsubogawa station and Asahibashi station on the Okinawa Urban Monorail
4. Lease status
Total number of tenants

1

Leasable area (*6)
Leased area (*6)

26,402.86 m2
26,402.86 m2
Fixed-term lease contract (fixed-term building lease contract as stipulated in Article 38 of the Act on Land
and Building Leases)
July 31, 2024 to July 31, 2026: JPY87,500 thousand per month
Fixed rent
From August 1, 2026 onwards: JPY55,000 thousand per month
August 1, 2026 to December 31, 2026: (AGOP for the said period – base amount
Variable(JPY300,000 thousand)) × 95%
rent
From January 1, 2027 onwards: (annual AGOP – base amount (JPY720,000
thousand/year)) × 95%
From July 31, 2024 to December 31, 2034

Form of lease

Contractual rent (*7)

Term of contract (*7)
Deposit and guarantee money
Change in occupancy rate for the past
five years (based on area)

JPY0
End ofDecember 2019100%

End ofDecember 2020
100%

End ofDecember 2021
100%

End ofDecember 2022
100%

End ofDecember 2023
100%

5. Related parties for hotel operation
Hotel lessee

The Hotelier Group Naha K.K.

Property manager
6. Hotel website (*8)

The Dai-Ichi Building Co., Ltd.

https://oka-hvh.com.e.asa.hp.transer.com/

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

77. Summary of the building inspection report
Investigation company
Tokyo Bldg-Tech Center Co., Ltd.
Investigation date
April 8, 2024
Urgently required
JPY0
Required within
RepairJPY0
one year
expenses
Total amount for
JPY1,974,260 thousand
another 12 years
Earthquake PML value (*9)
4.5%
8. Special remarkNone(*1) “Asset summary”• “Asset category” indicates category of real estate beneficial interest in trust as specified asset and the hotel’s movable assets to bepurchased together with the real estate beneficial interest in trust (hereinafter called the “Real estate and other assets”).
• “Anticipated acquisition price” is the price stated on the PSA, etc. and does not include various expenses required for the acquisition of
the Real estate, etc. (e.g., brokerage fee).
(*2) “Summary of real estate (or trusted real estate)”• Information set out in the “Structures and stories”, “Intended use” and “Completion” of the building are taken from the certified copy ofreal estate registry. However, if erroneous information is identified by investigation, correct information is stated.
• In the “Structure and stories” column, S means Steel-framed structure, RC means Reinforced Concrete structure and SRC means Steel
Reinforced Concrete structure.
• “Zoning, etc.” (“use district”, “special use district” and “fire prevention district or quasi-fire prevention district”) are stated based on
Article 8, Clause 1-1, Clause 1-2, and Clause 1-5 of City Planning Act.
(*3) “Total floor space”• It is a total floor space of the building and attached buildings taken from the certified copy of real estate registry.
(*4) “Beneficiary on “Present owner” section• Undisclosed as consent of the beneficiary has not been obtained.
(*5) “Transportation”• It is stated according to the information from the market report prepared by KPMG FAS Co., Ltd.
(*6) “Leasable area” and “Leased area”• It is a total contracted area (including car parking space in the basement) based on the building lease contract with hotel lessees, retailspace lessees and office lessees.
(*7) “Contractual rent” and “Term of contract”• On the anticipated acquisition date, the lease contract in effect as of today will be terminated upon agreement and a new fixed-termbuilding lease contract will be concluded. “Contractual rent” and “Term of contract” describe the terms of the new contract.
(*8) “Hotel website”• It states the website address currently operated by the hotel lessee.
(*9) “PML”• “PML (Probable Maximum Loss)” means the anticipated maximum damage ratio resulting from an earthquake. Since no uniform
definition has been made yet on PML, we used the following method. Probability and anticipated loss amount caused by a major
earthquake that may occur once every 475 years are evaluated and statistically processed to identify the anticipated percentage of loss
amount against the building replacement cost. It has been calculated based on site inspection, assessment of building condition,
confirmation of the consistency with the design document, ground investigation, local factors and structural investigation.
(*10) All amounts are rounded down to the nearest JPY1,000.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

8(2) Southern Beach Hotel & Resort OKINAWA

Property No.

64

Property NameSouthern Beach Hotel & Resort OKINAWA

1. Asset summary (*1)
Asset category
Anticipated acquisition date

Real estate beneficial interest in trust and movable assets associated with the hotel

Anticipated acquisition price

JPY16,200,000 thousand
JPY20,300,000 thousand (See “13. Real Estate Appraisal Report Summary” below for details.)

Appraisal value

July 31, 2024

2. Summary of real estate (or trusted real estate) (*2)
Intended use of the property
OwnershipLand

Building

Hotel/Resort Hotel

Land

Ownership

Building

Ownership

Plot No
Address

1-6-1, Nishizakicho, Itoman city, Okinawa
1-6-1, Nishizakicho, Itoman city, Okinawa

Acreage

34,927.46 m2

Zoning, etc.
Building-to-landratio
Floor area ratio
Structure andstories
Intended use

Quasi-industrial district

Completion
Total floor space(*3)
Designer

April 30, 2009

Constructor
Institute that
confirmed building

Takenaka Corporation Kyushu BranchPresent owner

60%
200%
S with flat roof; 10stories above groundHotel29,874.76 m2
Tokyo First Class Architects Office of Takenaka Corporation
ERI Holdings
Trustee: Sumitomo Mitsui Trust Bank, Limited (Trust period expires on July 31, 2034)
Beneficiary: Not disclosed (*4)
NoneCollateral
3. Transportation (*5)
Approx. 20-minute by car from Naha Airport
Approx. 45-minute by Tokyo Bus (Umikaji Liner) from Naha Airport Domestic Terminal
4. Lease status
Total number of tenants
1
Leasable area (*6)

29,874.76 m2

Leased area (*6)

29,874.76 m2
Fixed-term lease contract (fixed-term building lease contract as stipulated in Article 38 of the Act on Land andBuilding Leases)
JPY50,000 thousand per month
Fixed rent
Linked to GOP
Variable rent

Form of lease
Contractual rent
Terms of contract

From December 28, 2015 to December 27, 2025

Deposit and guarantee money

JPY150,000 thousand
End of
End ofDecember 2019
December 2020
100%
100%

Change in occupancy rate for the
past five years (based on area)

End ofDecember 2021
100%

End ofDecember 2022
100%

End ofDecember 2023
100%

5. Related parties for hotel operation
Okinawa Hotel Management Co., Ltd.
Hotel lessee
Property manager

Okinawa Hotel Management Co., Ltd.

6. Hotel website (*7)
https://www.southernbeach-okinawa.com/en/

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

9

7. Summary of the building inspection report
Investigation company

Tokyo Bldg-Tech Center Co., Ltd.

Investigation date

April 9, 2024

Urgently required
Required within one
Repairyear
expenses
Total amount foranother 12 years
Earthquake PML value (*8)

JPY0
JPY0
JPY1,002,320 thousand
10.5%

8. Special remark
The roads adjacent to this property are fishing port roads managed by Okinawa Prefecture and is not a road under the Building Standards Act, so it
does not satisfy the road access obligation. As such, the building was constructed with permission from Nanbu Regional Public Works Office. For
future reconstruction or expansion or renovation of this property, another permission from Nanbu Regional Public Works Office will be required.

(*1) “Asset summary”•“Asset category” indicates category of real estate beneficial interest in trust as specified asset and the hotel’s movable
assets to be purchased together with the real estate beneficial interest in trust (hereinafter called the “Real estate andother assets”).
•“Anticipated acquisition price” is the price stated on the PSA, etc. and does not include various expenses required forthe acquisition of the Real estate and other assets (e.g., brokerage fee).
(*2) “Summary of real estate (or trusted real estate)”•
Information set out in the “Structures and stories”, “Intended use” and “Completion” of the building are taken from thecertified copy of real estate registry. However, if erroneous information is identified by investigation, correct
information is stated.
•
In the “Structure and stories” column, S means Steel-framed structure, RC means Reinforced Concrete structure and
SRC means Steel Reinforced Concrete structure.
•“Zoning, etc.” (“use district”, “special use district” and “fire prevention district or quasi-fire prevention district”) arestated based on Article 8, Clause 1-1, Clause 1-2, and Clause 1-5 of City Planning Act.
(*3) “Total floor space”•
It is a total of the exclusive areas of the building and the floor space of attached buildings taken from the certified copyof real estate registry.
(*4) “Beneficiary on “Present owner” section•
Undisclosed as consent of the beneficiary has not been obtained.
(*5) “Transportation”•
It is stated according to the information from the market report prepared by KPMG FAS Co., Ltd.
(*6) “Leasable area” and “Leased area”•
It is a total contracted area (including car parking space in the basement) based on the building lease contracts withhotel lessees, retail space lessees and office lessees.
(*7) “Hotel website”•
It states the website address currently operated by the hotel lessee.
(*8) “PML”•“PML (Probable Maximum Loss)” means the anticipated maximum damage ratio resulting from an earthquake. Sinceno uniform definition has been made yet on PML, we used the following method. Probability and anticipated loss
amount caused by a major earthquake that may occur once every 475 years are evaluated and statistically processed to
identify the anticipated percentage of loss amount against the building replacement cost. It has been calculated basedon site inspection, assessment of building condition, confirmation of the consistency with the design document, groundinvestigation, local factors and structural investigation.
(*9) All amounts are rounded down to the nearest JPY1,000.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

10(3) MIMARU Tokyo Shinjuku West

Property No.

61

Property Name

MIMARU Tokyo Shinjuku West

1. Asset summary (*1)
Asset category

Real estate beneficial interest in trust and movable assets associated with the hotel

Anticipated acquisition dateJuly 12, 2024

Anticipated acquisition priceAppraisal value

JPY9,645,000 thousand
JPY11,700,000 thousand (See “13. Real Estate Appraisal Report Summary” below for details.)

2. Summary of real estate (or trusted real estate) (*2)
Intended use of the property
Ownership

Ownership

Building

Address

Ownership
152-29, 152-30, 152-47, 152-48, 152-49, 152-50, 152-51, 152-52, 152-53, 152-54, Nishi-Shinjuku 3-chome,
Shinjuku-ku, Tokyo
3-11 Nishi-Shinjuku 3-chome, Shinjuku-ku, Tokyo

Acreage491.34 m2

Zoning, etc.
Building-to-landratio
Floor area ratio
Structure andstories
Intended use

Commercial district, fire prevention district, parking place development zone

Completion
Total floor space(*3)
Designer
Constructor
Institute that
confirmed building

February 14, 2020

Plot No.

Land

Building

Hotel/Limited-service hotel

Land

Present owner

80%
800%
RC with flat roof; 14 stories above groundHotel
3,972.70 m2
ATAKA SEKKEI CO., LTD
Tokyo Branch of Fujita Corporation
The Building Center of Japan
Trustee: Sumitomo Mitsui Trust Bank, Limited (Trust period expires on July 31, 2034)
Beneficiary: Not disclosed (*4)
NoneCollateral
3. Transportation (*5)
Approx. 5-minute walk from Shinjuku station on Toei Subway Shinjuku Line
Approx. 10-minute walk from Shinjuku station on JR Lines
Approx. 8-minute walk from Tochomae station on Toei Subway Oedo Line.
4. Lease status
Total number of tenants
2
Leasable area (*6)

4,181.68 m2

Leased area (*6)

4,181.68 m2
Fixed-term lease contract (fixed-term building lease contract as stipulated in Article 38 of the Act on Land andBuilding Leases)
Fixed rentNot disclosed (*7)

Form of lease
Contractual rent

Variable rent

Linked to GOP

Terms of contract

From February 28, 2020 to February 27, 2040

Deposits and guarantee money

Not disclosed (*7)
End ofDecember 2019-

Change in occupancy rate for the
past five years (based on area)

End ofDecember 2020
100%

End ofDecember 2021
100%

End ofDecember 2022
100%

End ofDecember 2023
100%

5. Related parties for hotel operation
Hotel lessee

Cosmos Initia Co.,Ltd.

Property manager

FUJITA BUILDING MAINTENANCE CO., LTD.

6. Hotel website (*8)
https://mimaruhotels.com/en/hotel/shinjuku-west/

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

11

7. Summary of the building inspection report
Investigation company

Tokio Marine dR Co., Ltd.

Investigation dateNovember 20, 2023

Urgently required
Required within one
Repairexpenses year
Total amount foranother 12 years
Earthquake PML value (*9)

JPY0
JPY0
JPY148,432 thousand
4.2%

8. Special remarkNone(*1) “Asset summary”• “Asset category” indicates category of real estate beneficial interest in trust as specified asset and the hotel’s movable assets to bepurchased together with the real estate beneficial interest in trust (hereinafter called the “Real estate and other assets”).
• “Anticipated acquisition price” is the price stated on the PSA, etc. and does not include various expenses required for the acquisition of
the Real estate and other assets (e.g., brokerage fee).
(*2) “Summary of real estate (or trusted real estate)”• Information set out in the “Structures and stories”, “Intended use” and “Completion” of the building are taken from the certified copy ofreal estate registry. However, if erroneous information is identified by investigation, correct information is stated.
• In the “Structure and stories” column, S means Steel-framed structure, RC means Reinforced Concrete structure and SRC means Steel
Reinforced Concrete structure.
• “Zoning, etc.” (“use district”, “special use district”, “fire prevention district or quasi-fire prevention district” and “parking placedevelopment zone”) are stated based on Article 8, Clause 1-1, Clause 1-2, Clause 1-5, and Clause 1-8 of City Planning Act.
(*3) “Total floor space”• It is a total of the exclusive areas of the building and the floor space of attached buildings taken from the certified copy of real estateregistry.
(*4) Beneficiary on Present Owner section• Undisclosed as consent of the beneficiary has not been obtained.
(*5) “Transportation”• It is stated according to the information from the market report prepared by Japan Real Estate Institute.
(*6) “Leasable area” and “Leased area”• It is a total contracted area (including car parking space in the basement) based on the building lease contracts with hotel lessees, retailspace lessees and office lessees.
(*7) "Fixed rent" in "Contractual rent" and "Deposits and guarantee money"• Undisclosed as consent of the tenant has not been obtained.
(*8) “Hotel website”• It states the website address currently operated by the hotel lessee.
(*9) “PML”• “PML (Probable Maximum Loss)” means the anticipated maximum damage ratio resulting from an earthquake. Since no uniform
definition has been made yet on PML, we used the following method. Probability and anticipated loss amount caused by a major
earthquake that may occur once every 475 years are evaluated and statistically processed to identify the anticipated percentage of loss
amount against the building replacement cost. It has been calculated based on site inspection, assessment of building condition,
confirmation of the consistency with the design document, ground investigation, local factors and structural investigation.
(*10) All amounts are rounded down to the nearest JPY1,000.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

12(4) HOTEL AMANEK Shinjuku-Kabukicho.

Property No.

62

Property Name

HOTEL AMANEK Shinjuku-Kabukicho.

1. Asset summary (*1)
Asset category

Real estate beneficial interest in trust

Anticipated acquisition dateJuly 12, 2024

Anticipated acquisition priceAppraisal value

JPY8,845,000 thousand
JPY12,800,000 thousand (See “13. Summary of Real Estate Appraisal Report” below for details.)

Summary of real estate (or trusted real estate) (*2)
Intended use of the property
OwnershipLand

Building

Hotel/Limited-service hotel

Land

Ownership

Building

Ownership

Plot No.
Address

441-1 Kabukicho 2-chome, Shinjuku-ku, Tokyo
24-10 Kabukicho 2-chome, Shinjuku-ku, Tokyo

Acreage

760.36 m2

Zoning, etc.
Building-to-landratio
Floor space ratio
Structure andstories
Intended use

Commercial district, fire prevention district, parking place development zone

Completion
Total floor space(*3)
Designer

March 9, 2023

Constructor
Institute that
confirmed building

HIRAIWA Construction, Co., Ltd.

Present owner

80%
600%
SRC with flat roof; 14 stories above ground with one story below ground
Hotel/Retail
4,326.52 m2
UNIVERSAL DESIGN OFFICE INC.
JAPAN ERI CO.,LTD.
Trustee: Shinsei Trust & Banking Co., Ltd. (Trust period expires on December 31, 2034)
Beneficiary: Not disclosed (*4)
NoneCollateral
3. Transportation (*5)
Approx. 10-minute walk from Shinjuku station on JR Lines
Approx. 7-minute walk from Higashi-Shinjuku station on Fukutoshin Line and Toei Subway Oedo Line
Approx. 8-minute walk from Shinjuku Sanchome station on Fukutoshin and Marunouchi Line
4. Lease status
Total number of tenants

2

Leasable area (*6)

4,326.52 m2

Leased area (*6)

4,326.52 m2
Fixed-term lease contract (fixed-term building lease contract as stipulated in Article 38 of the Act on Land andBuilding Leases)
Fixed rentNot disclosed (*7)

Form of lease
Contractual rent

Variable rent

Linked to GOP

Terms of contract

From March 20, 2023 to March 19, 2043

Deposits and guarantee money

Not disclosed (*7)
End ofDecember 2019-

Change in occupancy rate for the
past five years (based on area)

End ofDecember 2020-

End ofDecember 2021-

End ofDecember 2022-

End ofDecember 2023
100%

5. Related parties for hotel operation
Hotel lessee
Property manager

AMANEK Corporation
FUJITA BUILDING MAINTENANCE CO., LTD.

6. Hotel website (*8)
https://amanekhotels.jp/kabuki/

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

13

7. Summary of the building inspection report
Investigation company

Tokio Marine dR Co., Ltd.

Investigation dateNovember 20, 2023

Urgently required
Required within one
Repairexpenses year
Total amount foranother 12 years
Earthquake PML value (*9)

JPY0
JPY0
JPY103,617 thousand
3.0%

8. Special remarkNone(*1) “Asset summary”• “Asset category” indicates category of real estate beneficial interest in trust as specified asset and the hotel’s movable assets to bepurchased together with the real estate beneficial interest in trust (hereinafter called the “Real estate and other assets”).
• “Anticipated acquisition price” is the price stated on the PSA, etc. and does not include various expenses required for the acquisition of
the Real estate and other assets (e.g., brokerage fee).
(*2) “Summary of real estate (or trusted real estate)”• Information set out in the “Structures and stories”, “Intended use” and “Completion” of the building are taken from the certified copy ofreal estate registry. However, if erroneous information is identified by investigation, correct information is stated.
• In the “Structure and stories” column, S means Steel-framed structure, RC means Reinforced Concrete structure and SRC means Steel
Reinforced Concrete structure.
• “Zoning, etc.” (“use district”, “special use district”, “fire prevention district or quasi-fire prevention district” and “parking placedevelopment zone”) are stated based on Article 8, Clause 1-1, Clause 1-2, Clause 1-5, and Clause 1-8 of City Planning Act.
(*3) “Total floor space”• It is a total of the exclusive areas of the hotel and the floor space of attached buildings taken from the certified copy of real estate registry.
(*4) Beneficiary on Present Owner section• Undisclosed as consent of the beneficiary has not been obtained.
(*5) “Transportation”• It is stated according to the information from the market report prepared by Japan Real Estate Institute.
(*6) “Leasable area” and “Leased area”• It is a total contracted area (including car parking space in the basement) based on the building lease contracts with hotel lessees, retailspace lessees and office lessees.
(*7) "Fixed rent" in "Contractual rent" and "Deposits and guarantee money"• Undisclosed as consent of the tenant has not been obtained.
(*8) “Hotel website”• It states the website address currently operated by the hotel lessee.
(*9) “PML”• “PML (Probable Maximum Loss)” means the anticipated maximum damage ratio resulting from an earthquake. Since no uniform
definition has been made yet on PML, we used the following method. Probability and anticipated loss amount caused by a major
earthquake that may occur once every 475 years are evaluated and statistically processed to identify the anticipated percentage of loss
amount against the building replacement cost. It has been calculated based on site inspection, assessment of building condition,
confirmation of the consistency with the design document, ground investigation, local factors and structural investigation.
(*10) All amounts are rounded down to the nearest JPY1,000.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

14

5. Summary of the Sellers(1) OKINAWA HARBORVIEW HOTEL, MIMARU Tokyo Shinjuku West and HOTEL AMANEK ShinjukuKabukicho.
The relevant information is not disclosed as consent on disclosure has not been obtained from each seller. There areno capital, human or business relationships to be specifically noted between JHR or the Asset Management
Company and the sellers.
(2) Southern Beach Hotel & Resort OKINAWA
The relevant information is not disclosed as consent on disclosure has not been obtained from the seller. There areno capital, human or business relationships to be specifically noted between JHR or the Asset Management
Company and the seller, except for those stated in “6. Transactions with Interested Party” below. Moreover, theaffiliated parties and companies of JHR and the Asset Management Company do not have any capital, human andbusiness relationships with the affiliated parties and companies of the seller that should be specifically reported.
6. Transactions with Interested Party
With respect to OKINAWA HARBORVIEW HOTEL, one of the Assets for Anticipated Acquisition, HMJ plans toacquire 100% of the issued shares of the hotel lessee, THE HOTELIER GROUP NAHA K.K.. Since HMJ falls under
the category of an interested party, etc. as stipulated in Article 201 of the Investment Trust Act as well as Article 123of the Order for Enforcement of the Act on Investment Trusts and Investment Corporations (Cabinet Order No. 480
of 2000, as amended), the above hotel lessee, whose 100% of the issued shares are to be held by HMJ, will also fallunder the category of interested party, etc. Therefore, in accordance with the “Code for Transactions with Sponsorrelated Party” stipulated by the Asset Management Company, appropriate procedures stipulated in the Code forTransactions with Sponsor-related Party such as approval of the compliance committee with outside experts attending
and of the Board of Directors meeting of JHR have been obtained, prior to the conclusion of the amendment to the
fixed-term building lease contract with THE HOTELIER GROUP NAHA K.K..
With respect to Southern Beach Hotel & Resort OKINAWA, one of the Assets for Anticipated Acquisition, the seller
is a business corporation with which the Asset Management Company has concluded an investment (advisory)
agreement, and falls under the category of sponsors as defined in the internal rules of the Asset Management Company.
As a result, the acquisition of the asset by JHR falls under a transaction with a sponsor-related party as defined in theinternal rules of the Asset Management Company. Therefore, in accordance with the “Code for Transactions withSponsor-related Party,” appropriate procedures have been taken such as approval at a compliance committee meeting
attended by outside experts and JHR’s Board of Directors meeting, as well as the consent of the seller’s end investors.
7. Status of Previous Owners, etc.
With the exception of Southern Beach Hotel & Resort OKINAWA, the previous owners do not have any special interest
relationship with either JHR or the Asset Management Company. The status of Southern Beach Hotel & Resort
OKINAWA is as follows.
Present Owners, etc.

Previous Owners, etc.
Other than those with a special
interest relationship

Company nameNot disclosed

Relationship with parties having a
special interest relationship with
JHR or the Asset Management
Company

Does not fall under Interested parties, etc. of theInvestment Trust Act, but falls under Sponsorrelated Party as defined in the “Code forTransactions with Sponsor-related Party” as theinvestment advisory business is outsourced to the
Asset Management Company-

Background, reason, etc. foracquisition

Investment-

Acquisition date

September 2019-

Acquisition priceNot disclosed (Omitted since the present owners
have owned the property for more than one year.)-

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

15

8. Summary of Broker
There is no broker in the transactions for the Assets for Anticipated Acquisition.
9. Forward Commitments (*)(1) Assets for Anticipated Acquisition subject to Forward Commitment
Property nameConclusion of sales contract

Scheduled payment and acquisition

OKINAWA HARBORVIEW HOTEL

June 24, 2024

July 31, 2024 (scheduled)Southern Beach Hotel & Resort OKINAWA

June 24, 2024

July 31, 2024 (scheduled)(*) In the “Comprehensive Guidelines for Supervision of Financial Instruments Business Operators, etc.” of Financial Services Agency,“forward commitment” is defined as “a postdated sales contract under which payment and delivery shall be made at least one month after
the conclusion of the contract, or any other contract similar thereto”.

(2) Impact on JHR’s Financial Standing if Forward Commitment is not implemented
In order to secure the Assets for Anticipated Acquisition, JHR executed the PSA, etc. for the properties listed in (1)above with the respective sellers as of today. Under the PSA, etc., either party may terminate the agreement if theother party has breached its obligations thereunder (hereinafter called the “breaching party”), after giving a written
notice with a reasonable period of time for cure. In such case, the breaching party shall pay an amount equivalentto (i) 20% of the acquisition price for OKINAWA HARBORVIEW HOTEL, (ii) up to 10% of the acquisition pricefor Southern Beach Hotel & Resort OKINAWA.
However, the PSA, etc. stipulates that the completion of financing necessary for the payment by JHR is a condition
precedent for the payment of the acquisition price, and in addition, it is stipulated that the failure of JHR to complete
the financing shall not constitute an event of default and grounds for compensation for damages, etc. under theagreement. Therefore, even if JHR is unable to fulfill the forward commitment, etc. due to its failure to complete
the procurement of funds for the payment of the purchase price, JHR will not be obligated to pay the penalty, andtherefore, JHR believes that the possibility of a material impact on its financial standing is low.
10. Settlement Method
JHR plans to pay the transaction amounts in the lump sum payment at the time of settlement by using new loans, funds
to be procured through issuance of new investment units, together with cash on hand.
11. Schedule of Settlement Dates(1) OKINAWA HARBORVIEW HOTEL and Southern Beach Hotel & Resort OKINAWA
Resolution for the acquisition
June 24, 2024
Conclusion of purchase and sale agreement

June 24, 2024

Settlement and transfer

July 31, 2024 (scheduled)(2) MIMARU Tokyo Shinjuku West and HOTEL AMANEK Shinjuku-Kabukicho.
Resolution for the acquisition
June 24, 2024
Conclusion of purchase and sale agreement

June 24, 2024

Settlement and transfer

July 12, 2024 (scheduled)

12. Future prospects
With respect to the operating forecast after the acquisition of the Assets for Anticipated Acquisition, please refer to“Notice Concerning Revision of Operating and Dividend Forecast for the Fiscal Year Ending December 2024 (25thPeriod)” dated today.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

1613. Real Estate Appraisal Report Summary(1) OKINAWA HARBORVIEW HOTEL

Real Estate Appraisal Report Summary
Property nameAppraisal value
Name of appraiser
Date of appraisal
Item
Indicated value by income approach
Value by direct capitalization method
Operating income
Potential gross income
Rental revenue
Common service feerevenue
Utilities revenue
Parking lot revenue
Other revenue
Vacancy loss, etc.
Operating expenses
Maintenance andmanagement expenses
Utilities cost
Repair expenses
Property management fee
Tenant recruitment cost, etc.
Tax and public dues
Non-life insurance premium
Other Expenses
Net operating income
Gain on management ofdeposits
Capital expenditures
FF&E reserve
Net cash flow
Cap rate
Value by DCF method
Discount rate
Terminal cap rate
Indicated value by cost approach
Land ratio
Building ratio
Other matters noted in appraisal byappraiser

OKINAWA HARBORVIEW HOTEL
JPY24,200,000 thousand
Japan Real Estate Institute
April 30, 2024
Details
JPY24,200,000 thousand
JPY24,600,000 thousand
JPY1,559,885 thousand
JPY1,559,885 thousand
JPY1,559,885 thousand

Summary, etc.

JPY0
JPY0
JPY0
JPY0
JPY0
JPY85,051 thousand
JPY0
JPY0
JPY42,900 thousand
JPY2,400 thousand
JPY0
JPY36,627 thousand
JPY3,124 thousand
JPY0
JPY1,474,834 thousand
JPY0
JPY101,950 thousand

Assessed considering the level of capital expenditure for similar
properties, the building age, the average value of annual repair andrenewal expenses on the engineering report and renewal costs forfurniture, fixtures and equipment

JPY67,807 thousand
JPY1,305,077 thousand
5.3%
JPY23,800,000 thousand
4.3%
4.6%
JPY15,500,000 thousand
91.4%
8.6% Including movable assets
The appraiser considered that indicated value by income approach which reliably reproduced priceformation process from earnings’ perspective is more persuasive than indicated value by cost
approach. Therefore, the appraiser determined the appraisal value by standardizing on the indicatedvalue by income approach and by using the indicated value by cost approach as reference.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

17

(2) Southern Beach Hotel & Resort OKINAWA

Real Estate Appraisal Report Summary
Property nameAppraisal value
Name of appraiser
Date of appraisal
Item
Indicated value by income approach
Value by direct capitalization method
Operating income
Potential gross income
Rental revenue
Common service feerevenue
Utilities revenue
Parking lot revenue
Other revenue
Vacancy loss, etc.
Operating expenses
Maintenance andmanagement expenses
Utilities cost
Repair expenses
Property management fee
Tenant recruitment cost, etc.
Tax and public dues
Non-life insurance premium
Other expenses
Net operating income
Gain on management ofdeposits
Capital expenditures
FF&E reserve
Net cash flow
Cap rate
Value by DCF method
Discount rate
Terminal cap rate
Indicated value by cost approach
Land ratio
Building ratio
Other matters noted in appraisal byappraiserSouthern Beach Hotel & Resort OKINAWA
JPY20,300,000 thousand
Japan Real Estate Institute
April 30, 2024
Details
JPY20,300,000 thousand
JPY20,600,000 thousand
JPY1,224,998 thousand
JPY1,224,998 thousand
JPY1,224,728 thousand

Summary, etc.

JPY0
JPY0
JPY0
JPY270 thousand
JPY0
JPY89,696 thousand
JPY0
JPY0
JPY25,058 thousand
JPY2,400 thousand
JPY0
JPY58,811 thousand
JPY3,427 thousand
JPY0
JPY1,135,302 thousand
JPY0
JPY61,392 thousand

Assessed considering the level of capital expenditure for similar
properties, the building age, the average value of annual repair andrenewal expenses on the engineering report and renewal costs forfurniture, fixtures and equipment

JPY45,179 thousand
JPY1,028,731 thousand
5.0%
JPY19,900,000 thousand
4.6%
4.9%
JPY15,500,000 thousand
54.8%
45.2% Including movable assets
The appraiser considered that indicated value by income approach which reliably reproduced priceformation process from earnings’ perspective is more persuasive than indicated value by cost
approach. Therefore, the appraiser determined the appraisal value by standardizing on the indicatedvalue by income approach and by using the indicated value by cost approach as reference.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

18

(3) MIMARU Tokyo Shinjuku West

Real Estate Appraisal Report Summary
Property nameAppraisal value
Name of appraiser
Date of appraisal
Item
Indicated value by income approach
Value by direct capitalization method
Operating income
Potential gross income
Rental revenue
Common service feerevenue
Utilities revenue
Parking lot revenue
Other revenue
Vacancy loss, etc.
Operating expenses
Maintenance andmanagement expenses
Utilities cost
Repair expenses
Property management fee
Tenant recruitment cost, etc.
Tax and public dues
Non-life insurance premium
Other expenses
Net operating income
Gain on management ofdeposits
Capital expenditures
Net cash flow
Cap rate
Value by DCF method
Discount rate
Terminal cap rate
Indicated value by cost approach
Land ratio
Building ratio
Other matters noted in appraisal byappraiser

MIMARU Tokyo Shinjuku West
JPY11,700,000 thousand
DAIWA REAL ESTATE APPRAISAL CO.,LTD.
April 30, 2024
Details
JPY11,700,000 thousand
JPY12,000,000 thousand
JPY497,282 thousand
JPY497,282 thousand
JPY493,862 thousand

Summary, etc.

JPY0
JPY0
JPY3,420 thousand
JPY0
JPY0
JPY38,251 thousand
JPY321 thousand
JPY0
JPY3,723 thousand
JPY1,800 thousand
JPY0
JPY31,630 thousand
JPY775 thousand
JPY0
JPY459,030 thousand
JPY425 thousand
JPY26,181 thousand

Assessed considering the level of capital expenditure for similar
properties, the building age, the average value of annual repair andrenewal expenses on the engineering report and renewal costs forfurniture, fixtures and equipment

JPY433,273 thousand
3.6%
JPY11,600,000 thousand
3.4%
3.8%
JPY6,960,000 thousand
79.4%
20.6% Including movable assets
The appraiser considered that indicated value by income approach which reliably reproduced priceformation process from earnings’ perspective is more persuasive than indicated value by cost
approach. Therefore, the appraiser determined the appraisal value by standardizing on the indicatedvalue by income approach and by using the indicated value by cost approach as reference.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

19

(4) HOTEL AMANEK Shinjuku-Kabukicho.

Real Estate Appraisal Report Summary
Property nameAppraisal value
Name of appraiser
Date of appraisal
Item
Indicated value by income approach
Value by direct capitalization method
Operating income
Potential gross income
Rental revenue
Common service feerevenue
Utilities revenue
Parking lot revenue
Other revenue
Vacancy loss, etc.
Operating expenses
Maintenance andmanagement expenses
Utilities cost
Repair expenses
Property management fee
Tenant recruitment cost, etc.
Tax and public dues
Non-life insurance premium
Other expenses
Net operating income
Gain on management ofdeposits
Capital expenditures
Net cash flow
Cap rate
Value by DCF method
Discount rate
Terminal cap rate
Indicated value by cost approach
Land ratio
Building ratio
Other matters noted in appraisal byappraiser

HOTEL AMANEK Shinjuku-Kabukicho.
JPY12,800,000 thousand
DAIWA REAL ESTATE APPRAISAL CO.,LTD.
April 30, 2024
Details
JPY12,800,000 thousand
JPY13,100,000 thousand
JPY521,477 thousand
JPY521,477 thousand
JPY517,037 thousand

Summary, etc.

JPY0
JPY0
JPY4,440 thousand
JPY0
JPY0
JPY31,864 thousand
JPY517 thousand
JPY0
JPY4,472 thousand
JPY1,800 thousand
JPY0
JPY24,232 thousand
JPY843 thousand
JPY0
JPY489,613 thousand
JPY942 thousand
JPY4,399 thousand

Assessed considering the level of capital expenditure for similar
properties, the building age, the average value of annual repair andrenewal expenses on the engineering report

JPY486,156 thousand
3.7%
JPY12,700,000 thousand
3.5%
3.9%
JPY5,560,000 thousand
69.1%
30.9%
The appraiser considered that indicated value by income approach which reliably reproduced priceformation process from earnings’ perspective is more persuasive than indicated value by cost
approach. Therefore, the appraiser determined the appraisal value by standardizing on the indicatedvalue by income approach and by using the indicated value by cost approach as reference.

* Website of Japan Hotel REIT Investment Corporation: https://www.jhrth.co.jp/en/

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

20

<Attachment 1> Map of the area around the Assets for Anticipated Acquisition(1) OKINAWA HARBORVIEW HOTEL(2) Southern Beach Hotel & Resort OKINAWA

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

21

(3) MIMARU Tokyo Shinjuku West

(4) HOTEL AMANEK Shinjuku-Kabukicho.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

22

<Attachment 2> Exterior appearance and interior of the Assets for Anticipated Acquisition(1) OKINAWA HARBORVIEW HOTEL
Appearance of Building

Guest Room

Lobby

Swimming Pool

(2) Southern Beach Hotel & Resort OKINAWA
Appearance of Building

Guest Room

Swimming Pool

Restaurant

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

23

(3) MIMARU Tokyo Shinjuku West
Appearance of Building

Front Desk/Lobby

Guest Room

Guest Room (Kitchen/Dining Room)(4) HOTEL AMANEK Shinjuku-Kabukicho.
Appearance of Building

Front Desk/Lobby

Guest Room

LoungeNote: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

24

(Reference) The portfolio list after the acquisition of the Assets for Anticipated Acquisition
Property
No.

Property name

Type

Grade
(*1)

Total
number of
guest rooms(*2)

1

Kobe Meriken Park Oriental Hotel

Full-service Upper-middle

323

2

Oriental Hotel Tokyo Bay

Full-service Upper-middle

511

3

Namba Oriental Hotel

Limitedservice

Mid-price258

4

Hotel Nikko Alivila

ResortLuxury5

Oriental Hotel Hiroshima

8

The Beach Tower Okinawa

Resort9

Hakone Setsugetsuka

10

Area
(*3)

Kansai(excluding
Osaka)
Kanto(excluding
Tokyo)

Building
completion(Anticipated)
Acquisition Investment
price
ratio
(*4)
(*5)
(JPY MM)

Jul. 1995

10,900

2.4%

May 1995

19,900

4.4%

Osaka

Mar. 1996

15,0003.3%

397

Okinawa

Apr. 1994

18,9004.2%

227

Chugoku

4,100

0.9%

Mid-price

280

Okinawa

7,610

1.7%

ResortMid-price

158

Oct. 2006

4,070

0.9%

dormy inn Kumamoto

Limitedservice

Mid-price

291

Jan. 2008

2,334

0.5%

12

the b suidobashi

Limitedservice

Mid-price

99

Tokyo

1,120

0.2%

13

dormy inn EXPRESS Asakusa

Limitedservice

Aug. 1986
Extended in
Sep. 1989

Economy75

Tokyo

Mar. 1997

999

0.2%

14

Washington Hotel Plaza Hakata, Nakasu

Limitedservice

Mid-price

247

Mar. 1995

2,130

0.5%

15

Washington Hotel Plaza Nara

Limitedservice

Mid-price

203

Mar. 2000

2,050

0.5%

16

R&B Hotel Ueno-hirokoji

Economy

176

Tokyo

Apr. 2002

1,720

0.4%

18

Comfort Hotel Tokyo Higashi Nihombashi

Economy

259

Tokyo

Jan. 2008

3,746

0.8%

22

Smile Hotel Nihombashi Mitsukoshimae

Economy

164

Tokyo

Mar. 1997

2,108

0.5%

24

Toyoko Inn Hakata-guchi Ekimae

Economy

256

1,652

0.4%

25

Chisun Hotel Kamata

Economy

105

Tokyo

Jan. 1992

1,512

0.3%

26

Chisun Inn Kamata

Economy70

Tokyo

Apr. 2003

823

0.2%

29

Oriental Hotel Universal City

Upper-middle

330

Osaka

Jun. 2001

6,753

1.5%

Jun. 1988

26,0505.7%

Mar. 2009

6,600

1.5%

Full-service Upper-middle

Limitedservice
Limitedservice
Limitedservice
Limitedservice
Limitedservice
Limitedservice
ResortKanto(excluding
Tokyo)
Kyushu(excluding
Okinawa)

Kyushu(excluding
Okinawa)
Kansai(excluding
Osaka)

Sep. 1993
Extended in
Sep. 2006
Mar. 2004
Extended inJun. 2005
Extended in
May 2006

KyushuSep. 2001(excluding for both main
Okinawa) building and annex

Kanto(excluding
Tokyo)
Kansai(excluding
Osaka)

31

Hilton Tokyo Bay

ResortLuxury828

32

ibis Styles Kyoto Station

Limitedservice

Mid-price215

33

ibis Styles Sapporo

Mid-price278

HokkaidoJul. 2010

6,797

1.5%

34

Mercure Sapporo

Mid-price285

Hokkaido

Apr. 2009

6,000

1.3%

35

Mercure Okinawa Naha

Mid-price

260

Okinawa

Aug. 2009

3,000

0.7%

Limitedservice
Limitedservice
Limitedservice

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

25

Property
No.

Property name

Type

Grade
(*1)

Total
number of
guest rooms
(*2)

Area
(*3)

Building
completion(Anticipated)
Acquisition Investment
price
ratio
(*4)
(*5)
(JPY MM)37

the b ikebukuro

Limitedservice

Mid-price

175

Tokyo

Jun. 1982

6,520

1.4%

39

the b hachioji

Limitedservice

Mid-price

196

Tokyo

Aug. 1986
Extended in
Apr. 1987

2,610

0.6%

40

the b hakata

Limitedservice

Mid-price

175

Sep. 1997

2,300

0.5%

41

Hotel Francs

Full-service

Mid-price

222

Aug. 1991

3,105

0.7%

42

Mercure Yokosuka

Full-service Upper-middle

Nov. 1993

1,650

0.4%

43

Oriental Hotel Okinawa Resort & Spa

44
45

160

Kyushu(excluding
Okinawa)
Kanto(excluding
Tokyo)
Kanto(excluding
Tokyo)

ResortUpper-middle

361

Okinawa

14,9503.3%

ACTIVE-INTER CITY HIROSHIMA (*6)
(Sheraton Grand Hiroshima Hotel)

Feb. 2005
Extended in
Dec. 2006

Full-service

Luxury238

ChugokuAug. 2010

17,3203.8%

CANDEO HOTELS Ueno Koen

Limitedservice

Mid-price

268

Tokyo

Dec. 2009

6,705

1.5%

Kyushu(excluding
Okinawa)

Jul. 1985

7,197

1.6%

46

Oriental Hotel Fukuoka Hakata Station

Full-service Upper-middle

221

47

Holiday Inn Osaka Namba

Limitedservice

Mid-price

314

Osaka

Aug. 2008

27,000

6.0%

Apr. 1999

5,248

1.2%

Feb. 1989

15,2503.4%

Aug. 1993

13,1752.9%

May 1996

9,125

2.0%

Feb. 1998

10,373

2.3%

48

Hotel Oriental Express Fukuoka Tenjin

Limitedservice

Mid-price

263

Kyushu(excluding
Okinawa)

49

Hilton Nagoya

Full-service

Luxury

460

Chubu

50

Hilton Tokyo Narita Airport

Full-service Upper-middle

548

51

International Garden Hotel Narita

Full-service

463

52

Hotel Nikko Nara

Full-service Upper-middle

330

53

Hotel Oriental Express Osaka Shinsaibashi

Limitedservice

124

Osaka

Jan. 2018

2,738

0.6%

54

Hilton Tokyo Odaiba

Full-service Upper-middle

453

Tokyo

Jan. 1996

62,40013.8%

55

UAN kanazawa

Upper-middle

47

Chubu

Sep. 2017

2,050

0.5%

56

Sotetsu Fresa Inn
Shimbashi-Karasumoriguchi

Mid-price

220

Tokyo

Mar. 2008

8,400

1.9%

57

La’gent Stay Sapporo Odori

Mid-price219

Hokkaido

Jun. 2016

10,0202.2%58Oriental Hotel Kyoto Rokujo

Limitedservice

Mid-price

166

Sep. 2019

4,446

1.0%

59

Hotel Oriental Express Fukuoka
Nakasukawabata

Limitedservice

Mid-price183

Apr. 2021

4,460

1.0%

60

Hotel JAL City Kannai Yokohama

Limitedservice

Mid-price170

Nov. 2006

4,000

0.9%

61

MIMARU Tokyo Shinjuku West

Upper-middle

76

Tokyo

Feb. 2020

9,645

2.1%

62

HOTEL AMANEK Shinjuku-Kabukicho.

Mid-price

169

Tokyo

Mar. 2023

8,845

2.0%

Limitedservice
Limitedservice
Limitedservice

Limitedservice
Limitedservice

Mid-price

Mid-priceKanto(excluding
Tokyo)
Kanto(excluding
Tokyo)
Kansai(excluding
Osaka)

Kansai(excluding
Osaka)
Kyushu(excluding
Okinawa)
Kanto(excluding
Tokyo)

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

26

Property
No.

Property nameTotal
number of
guest rooms
(*2)

Type

Grade
(*1)

Area
(*3)

Building
completion

Full-service

Mid-price

352

Okinawa

Main building:Apr. 1975
South wing:
Sep. 1983

63

OKINAWA HARBORVIEW HOTEL

64

Southern Beach Hotel & Resort OKINAWA

ResortMid-price

448

Okinawa

Total

-

-

13,316-(Anticipated)
Acquisition Investment
price
ratio
(*4)
(*5)
(JPY MM)

21,5004.7%

Apr. 2009

16,2003.6%-

453,108

100.0%(*1) Mainly from the viewpoint of ADR, etc., JHR classifies its hotels into 4 grade categories: “Luxury,” “Upper middle,” “Mid price,” and“Economy. ” The hotel grade for Oriental Hotel Tokyo Bay, Oriental Hotel Universal City and Mercure Yokosuka is changed from Mid priceto Upper middle as of the date of this document.
(*2) Total number of guest rooms column refers to the number of guest rooms available for sale as of May 31, 2024 (excluding rooms for our own
long-term use). For the Anticipated Acquisitions, the (expected) number of guest rooms available for sale as of the acquisition date of each
property is shown.
(*3) “Tokyo” means Tokyo metropolitan area. “Kanto (excluding Tokyo)” means Kanagawa, Chiba, Saitama, Ibaraki, Gunma, Tochigi and
Yamanashi prefectures. “Chubu” means Aichi, Mie, Shizuoka, Nagano, Gifu, Niigata, Toyama, Ishikawa and Fukui prefectures. “Osaka”
means Osaka prefecture. “Kansai (excluding Osaka)” means Kyoto, Shiga, Hyogo, Nara and Wakayama prefectures. “Chugoku” means
Hiroshima, Okayama, Tottori, Yamaguchi and Shimane prefectures. “Kyushu (excluding Okinawa)” means Fukuoka, Nagasaki, Miyazaki,
Kumamoto, Saga, Oita and Kagoshima prefectures. “Okinawa” means Okinawa prefecture.
(*4) The acquisition prices stated on the purchase and sale agreement for beneficial interest in trust and other agreements are indicated(consumption tax, local consumption tax and the acquisition expense such as brokerage fee are not included). The acceptance prices areindicated for the assets that have been accepted through the merger.
(*5) The percentage of each acquisition price or anticipated acquisition price to the total of acquisition price (including anticipated acquisition
price) is indicated and the numbers are rounded off to one decimal place. Therefore, the sum of investment ratio may not match the total.
(*6) Type, grade and total number of guest rooms of ACTIVE-INTER CITY HIROSHIMA are those of the main facility, Sheraton Grand
Hiroshima Hotel.
(*7) Property numbers for the assets having been disposed of are excluded from the table above.

Note: This document is intended to serve as a press release to make available information on the acquisition and lease of domestic real estate beneficial
interests in trust of JHR. The document should not be considered as an offer to sell or solicitation of an offer to purchase any investment unit orother security of JHR. Prospective investors are advised to make any investment decision at their own risk and responsibility.
This document does not constitute an offer of securities in the United States. The securities referred to above have not been, and will not be,registered under the United States Securities Act of 1993, as amended (hereinafter called the “Securities Act”). The securities may not be offeredor sold in the United States absent registration or an exemption from registration under the Securities Act. The securities referred to above will
not be publicly offered or sold in the United States.

27