Financial Results for the 2nd Fiscal Period (“FP2”)
Sakura Sogo REIT Investment Corporation (Securities code: 3473)

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)

Contents

Sakura Sogo REIT Investment Corporation

Section 1 – The Sponsors
Overview of Sponsors
Sponsor Support Structure
Galileo Group – Development Capability
Portfolio Investment Guidelines

4
5
6
7

Section 2 – Fiscal Period 2 (“FP2”) Financial Results
FP2 Financial Results
DPU Forecast vs Actual

910Section 3 – FP2 Key Initiatives to Enhance U/holder Value
Capital Recycling
12
Loan Refinancing
13
Section 4 – JREIT Sector & Peer Comparison
JREIT Sector
JREIT Peer Comparison
JREIT Sector Update

15
16
17

Section 5 – Key Performance Indicators (KPI’s)
Portfolio KPI’s
Portfolio Sector Analysis
Office – Rent Reviews / Renewals
Financial KPI’s
Portfolio Summary

19
20
21
22
23

Section 6 – Management Key Priorities
Management Key Priorities
Part A – Internal GrowthPart B – External GrowthPart C – Capital Management
Overview of Borrowings
Status of Unitholders

25
27
32
33
34
35

Appendix
Balance Sheet and Statement of Income
Income and Expenditure by Property for FP2
Property – Appraisal & Yield Analysis
Portfolio Map
Overview of the Investment Corporation
Disclaimer

37
38
40
42
43
44

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)2

Sakura Sogo REIT Investment Corporation

Section 1 – The Sponsors

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)3

Overview of Sponsors

Sakura Sogo REIT Investment Corporation

Galileo GroupThe Nippon Kanzai Group, established in 1965, is headed by

The Ga lile o Group is a n inde pe nde nt Aus tra lia n re a l e s ta te a nd funds

Nippon Kanzai Co. Ltd., one of the major companies involved inbuilding management and operation in Japan, offering a full-line ofma na ge me nt bus ine s s with a n e xte ns ive tra ck re cord in re a l e s ta teinve s tme nt a nd de ve lopme nt in Aus tra lia , J a pa n a nd the U.S . Ga lile oreal estate management services. It is entrusted with the
management and operation of a variety of buildings including officeha s s ignifica nt re a l e s ta te ca pita l ma rke ts e xpe rie nce with s e niorpe rs onne l ha ving be e n dire ctly involve d in the IP O a nd ongoingbuildings, condominiums and retail facilities in major cities acrossJapan. Through its business operations, it has acquired extensive

ma na ge me nt of 9 lis te d REITs for ove r 20 ye a rs . The Group
comme nce d ope ra tions in J a pa n in 2006.

know-how in management and operation of buildings of various
sizes, asset types and location.
% Revenue from Building Maintenance Operations1

Galileo Group Total Global Acquisitions and Developments2

87.6%

558.7bn￥

Revenue from Building Maintenance Operations1￥

81.0bnTotal Revenue1

92.5bn￥REIT Track Record
2003

AS X lis te d REIT: Ga lile o S hopping Ame rica Trus t

2006

ASX listed REIT: Galileo Japan Trust

2016

TSE listed REIT: Sakura Sogo REIT

1 As at end of March 2017
2 Based on exchange rate TTP as at end September 2017

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)

4

Sponsor Support Structure

Sakura Sogo REIT Investment Corporation

Leverage off of the complementary skill sets of Nippon Kanzai and Galileo Group
Sakura Real Estate Funds Management, Inc. (“the Asset Management Company”) receives extensive support for external and internal growth based on
the Sponsor Support Agreements executed with Nippon Kanzai and Galileo Group1

Support Provided
Sales information on properties held and granting first rights of refusal
Information on external properties

External Growth Support

Warehousing functions
Information on the real estate transaction market and results of market analysis
Joint ownership of opportunities
Advice on investment strategies and global offerings
Advice on the management and operation of properties

Internal Growth Support

Support and cooperation with sourcing, redevelopment and renovations
Staff secondment and other human resource support

Same Boat Investment by the Nippon Kanzai Group and Galileo Group
Both sponsors2 acquired investment units of the Investment Corporation at the time of IPO in order to align their interests with those of the unitholders’.
As a result, each owns 2.6% of investment units issued and outstanding (5.2% in total by both sponsors)

Investment in the Investment Corporation
by Nippon Kanzai Group

Investment in the Investment
Corporation by Galileo Group

1 "Nippon Kanzai Group’s core companies" refers to Nippon Kanzai, Tokyo Capital Management and Japan Property Solutions
2 "Sponsors" refers to Nippon Kanzai,Tokyo Capital Management and Galileo which have executed Sponsor Support Agreements

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)5

Galileo Group – Development capability

Sakura Sogo REIT Investment Corporation

Galileo Group - impressive development track record






Delivered some of Australia’s most attractive and successful residential apartment and land subdivision projects
Equity partnerships with a number of leading Australian financial institutions and superannuation funds
Land and construction financing with a range of major domestic banking institutions
Galileo investigating opportunities to expand development operations in Japan
Japan focus - development of small / mid size assets. Potential pipeline for Sakura Sogo REIT

Examples of current / recent key projects in Australia
King & Phillip

Metro Residences

Arlington Grove

The Residences

Arena

Palisade

Location

SydneyLocation

SydneyLocation

SydneyLocation

SydneyLocation

Brisbane

Location

SydneyApartments

104

Apartments

553

Apartments

246

Apartments

87

Apartments

191

Apartments

245

Value

¥30bn

Value

¥44bn

Value

¥19bn

Value

¥28bn

Value

¥9bn

Value

¥14bn

Completion

2020

Completion

2015

Completion

2018

Completion

2014

Completion

2015

Completion

2018

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)

6

Portfolio Investment Guidelines

Sakura Sogo REIT Investment Corporation

Overview

Flexible investments possible with respect to asset type and location enabling the Asset Management Company to enhance unitholder value
Able to reduce portfolio concentration risks by aiming to diversify the portfolio by sector, location, tenant and lease type
Ongoing review of real estate market trends to identify potential new, and optimize existing revenue streams
Pursue opportunities to actively recycle capital to enhance unitholder returns

Investment Ratio by Asset Type1
Investment Ratio by Asset TypeGrowthCharacteristics of Asset Type

Office30～60％



During economic expansion, up-side potential can be capitalized on
By targeting B-grade office buildings for investment, it is possible to pursue a large
number of investment opportunities that offer relatively high liquidity and tenant diversity

Residential
10～30％



Rental demand and rent rates are relatively stable irrespective of economic changes andtenants are diversified making residential housing suitable as a medium to long-term
stable investment



Retail30～60％
Other
0～20％

Stability

Areas with stable population, expected to support ongoing retail sales that result insecure rental income A long-term stable cash flow possible via lease agreements with a tenure of at least
three years or more which do not allow for early termination


The potential and value of each individual property will be identified and the goal will be
to conduct flexible property acquisition and investment

Investment Ratio by Location1
Tokyo Metropolitan Area
Approx. 50%

Regional Major Cities
Approx. 40%

Other
Approx.
10%

1 The ratios above are target ratios over the medium to long-term

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)7

Sakura Sogo REIT Investment Corporation

Section 2 – FP2 Financial Results

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)8

FP2 Financial Results

Sakura Sogo REIT Investment Corporation

FP2 - Forecast vs. Actual
Unit: ￥mil

FP2 Forecast

FP2 Actual

Variance

Operating revenue

2,419

2,430

11



Increase in occupancy

Operating expenses

1,351

1,340

(11)



Savings in operating expenses

Operating profit

1,068

1,089

21

Non-operating expenses

133

135

2

Ordinary profit

934

954

20

Net profit

933

953

20

2,803

2,863

60

Distribution per unit (DPU) (¥)

Comment

Forecast for FP3 and FP4 (fiscal periods ending 28 February 2018 and 31 August 2018)
Unit: ￥mil

Unit: ￥mil

FP3 Forecast

FP4 Forecast

Comment

Operating revenue

2,645



Includes net realized gain onsale of Sannomiya (¥263m)

2,434Operating expenses

1,384



1,381

Operating profit

1,261

Management fee waiver basedon NOI ended FP2

152

Ordinary profit

1,109

900

Net profit

1,109

899

3,330

2,700

Distribution per unit (DPU) (¥)
Annualized DPU yield

1Stabilized NOI and Investment
corporation expenses

1,053

150

Non-operating expenses

Comment

6.7%

1Annualized DPU yield based on the closing price of ¥90,500 on 13 October 2017 and using the aggregate forecast DPU (¥6,030) for FP3 and FP4

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)9

DPU – Forecast vs Actual

Sakura Sogo REIT Investment Corporation¥ per unit
3,330
3,300
3,000

2,863

2,803

2,700

2,700

2,700
2,400
2,100
1,800
1,529
1,500
1,164

1,200
900
600
305
300
-

FP1

FP2

Forecast

Savings in investment unit
issuance costs
Annual building inspection
contingency not required
Lower than forecast costs foraudit, tax and accounting

FP4

Updated Forecast< 1 Apr 2016 to 28 Feb 2017 >

FP3< 1 Mar 2017 to 31 Aug 2017


Increase in occupancy
Savings in operating expenses< 1 Sep 2017 to 28 Feb 2018>


Actual< 1 Mar 2018 to 31 Aug 2018>

Includes net realized gain on saleof Sannomiya (¥263m)
Management fee waiver basedon NOI ended FP2

>Stabilized NOI and Investment
Corporation expenses

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)10

Sakura Sogo REIT Investment Corporation

Section 3 – FP 2 Key Initiatives to Enhance U/holder Value

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)11

Capital recycling

Sakura Sogo REIT Investment Corporation

Sale of Regional Residential asset at attractive premium

Acquisition of new Central Tokyo Residential

Royal Hill Kobe Sannomiya II

Abode Yoyogi Parkside, Shibuya-ku
NOI Yield 1

4.6%

NOI Yield 2

4.4%

Post dep’n NOI yield

3.3%

Post dep’n NOI yield

3.8%

Realised gain

317m

Build date

20 Sep 2017

Build date

Sep 2004

Acquisition date

29 Sep 2017

Acquisition date

9 Sep 2016

Appraisal value¥1.610bn

Date of sale

11 Sep 2017

Acquisition price¥1.600bn

Sale price¥1.800bn

Appraisal value¥1.550bn

Acquisition price¥1.480bn

Book value¥1.483bn

Portfolio weighting to Tokyo

SourceDirect

51% to 54%

Premium to September 2016 acquisition price

22%

Upgrade to FP3 DPU (¥2,700 to ¥3,330)

23%

Average age of residential portfolio reduced3

3 years

Reduction in medium term (12 year) capital expenditure4¥78m

Increase in post dep’n NOI yield

0.5%

1 NOI Yield equates to appraisal NOI / sale price

3 Average age of residential portfolio decreased from 22 to 19 years

2 NOI Yield equates to appraisal NOI / acquisition price4 Forecast capital expenditure decreased from ¥85.8 mil to ¥7.7 mil

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)12

Loan refinancing

Sakura Sogo REIT Investment Corporation

Initiatives for FP2
 Repaid ¥1.0bn consumption tax loan in June 2017 with c-tax refund Repaid short term loan of ¥0.9bn in June 2017 with surplus operating cash Stabilized borrowings following these repayments equates to ¥29.0bn (stabilized LTV of 45.9%)
 Refinanced ¥7.0bn loan maturity in August 2017 with IPO syndicate lenders
 New loans split (¥1.4bn for 1 year) and (¥5.6bn for 5 years)
 Refinance results in extension of weighted average loan maturity profile from 2.32 years to 2.94 years

9,000¥1.9bn repaid June 2017

8,000

Unit: ￥m

7,000
6,000
5,000
4,000
3,000
2,000
1,000
pre
post

2017
-

2018
6,000
7,400

2019
4,000
4,000

2020
6,000
6,000

2021
6,000
6,000

2022
5,600

Amount ¥bn

Interest rate

Fixed / Floating

Repayment date

Short term

1.4

Base rate + 0.20%

Floating

31 August 2018

Long term

5.6

Base rate + 0.80%

Floating

31 August 2022

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)13

Sakura Sogo REIT Investment Corporation

Section 4 – JREIT Sector & Peer Comparison

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)

14

JREIT Sector

Sakura Sogo REIT Investment Corporation

JREIT Sector
 Total market capitalization as at September 2017 of ￥11.3 trillion
 59 JREIT’s with 2 new entrants in 2017. The volume of IPO and PO has decreased relative to the level of activity over the past 4 to 5 years
 The TSE REIT Index is lower than as at 28 February 2017. The DPU yield gap of larger vs smaller REIT’s remains wide
Number of Listed J-REITs and Market Capitalisation1

JREIT DPU Yields – Spread with JGBs still attractive2(¥ Trillion)(%)

Number of Listed J-REITs and Market Capitalisation3

JREIT DPU Yields – Significant gap between small and large cap REITs4

IPO
Volume

2012
2013
2014
2015
2016
2017

PO

IPO+POValue(USDm)

VolumeValue(USDm)

2,520
4,098
2,151
1,088
2,775
894

11
37
30
35
30
17

1,976
6,770
5,255
6,355
4,962
2,980

4
6
6
5
7
2

Value
(USDm)

Volume

15
43
36
40
37
19

4,496
10,867
7,406
7,443
7,737
3,874

J-REIT
Total
MarketCap(USDm)
40,873
68,95995,802
95,638109,793
103,838

Note: As of 14 September 2017 (1 USD=¥110.74)

1 Source: ARES

3 Source: ARES

2 Source: Bloomberg

4 Source: Capital IQ

Market Cap. ¥ Billion

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)15

JREIT Peer Comparison

Sakura Sogo REIT Investment Corporation

JREIT Peer Comparison1Sakura Sogo REIT (“SKR”) undervalued compared to Diversified and Small Cap REIT peers
SKR’s DPU yield is 180 basis points (“bps”) higher than Diversified REITs and 150 bps higher than Small Cap REITs
Based on current trading price SKR’s implied NOI cap rate is 5.3%, 80 bps higher than Diversified REITs
SKR has a greater proportion of its portfolio (by value) located in Tokyo’s central five wards relative to:- The average for Diversified REITs- The average for Small Cap REITs
Price / Net Asset Value3

Annualised DPU Yield1
8.0%
7.0%

1.20

6.7

1.00

6.0%
4.9

5.0%

0.95

1.00
0.91

5.2
0.80

4.0%

0.60

3.0%

0.40

2.0%
0.20

1.0%

0.00

0.0%
SKR

Diversified REITs

Implied Capitalization Rate2
5.4%

SKR

Small Cap REITs

Diversified REITs

Small Cap REITs% of Portfolio located in Tokyo Central Five Wards4

5.3

5.2%
5.0

5.0%
4.8%
4.6%

4.5

4.4%
4.2%
4.0%
SKR

Diversified REITs

Small Cap REITs

1 Source: SMBC Nikko Securities Inc.- calculated using data obtained from Capital IQ

4 J-REIT DB – Weighted average calculated using AUM of each J-REIT

2,3 SMBC Nikko Securities Inc.

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)

16

JREIT sector update

Sakura Sogo REIT Investment Corporation

After some short term underperformance post IPO, SKR units generally traded in sync with the fluctuation of the TSE REIT index. However, sinceApril 2017 and the release of FP1 Financial Results SKR has out-performed the TSE REIT index, and has recently recovered to the offer price,
marking a historical high price of 91,800 yen in mid-August 2017

Notice concerning capital
recycling transaction.
Refer slide 12

Note: As of Sep 29th 2017. Indexation by using price of Sep. 8th 2016 as SKR offer price (91,000 yen).
Note 1: Dividend yield calculated using current DPU forecast for FP3 & FP4 (JPY3,330 and JPY2,700 respectively) and Sep. 29th 2017 SKR price (JPY89,700)
Source: Bloomberg
Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)17

Sakura Sogo REIT Investment Corporation

Section 5 - Key Performance Indicators

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)18

Portfolio KPI’s

Sakura Sogo REIT Investment Corporation

Overview
Real estate market conditions remain robust. According to CBRE Tokyo office vacancy continued to fall and is 2.3% as at Q2 2017.
 Increase of 0.9% in portfolio appraisal value. Office continued to be the strongest sector with 2.1% increase Continued high level of occupancy across the portfolio
 Evidence of continued upward rent reviews in the office portfolio

Portfolio Value
Appraisal Value (￥bn)

Book Value (￥bn)

Unrealized Gain (￥bn)@ FP1
28 February 201759.49357.712

1.781

@ FP2
31 August 201760.00557.655

2.350

Variance

0.9%

0.1%

0.569
Hiei Kudan Building

Portfolio PerformanceOccupancy (%)

NOI Cap Rate (%)1

NOI (¥bn)1@ FP1
28 February 2017

97.1

5.3

3.133

@ FP2
31 August 2017

98.0

5.3

3.152

Variance

0.9

0.0

0.6%

Office Market Rents2

Office Passing Rents3

Tokyo Office Vacancy (%)4

@ FP1
28 February 2017

16,05915,4422.5@ FP2
31 August 201716,295

15,738

2.3

Variance

1.5%

1.9%

0.2

Market Trends

Suroy Mall Chikushino

NK Building

1 As per independent appraisals dated February 2017 and August 2017
2 Weighted average office market rents (¥/tsubo/month) as per independent appraisals dated February 2017 and August 2017
3 Weighted average office passing rent (¥/tsubo/month) as per independent appraisals dated February 2017 and August 2017
4 Source: CBRE Market Overview Japan Office Q4 2016 and Q2 2017

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)19

Portfolio - Sector Analysis

Sakura Sogo REIT Investment Corporation

Occupancy (%)

OfficeRetailResidential

Other

@ FP1
28 February 2017
@ FP2
31 August 2017

94.3

98.1

94.7

99.7

97.9

98.8

95.9

97.8

Variance

3.6

0.7

1.2

1.9

OfficeRetailResidential

Other

15,467

4,432

4,611

4,545

15,602

4,411

4,556

4,542

0.9%

0.5%

1.2%

0.0%

OfficeRetailResidential

Other

@ FP1
28 February 2017
@ FP2
31 August 201725.70023.120

6.654

4.019

26.24023.170

6.575

4.020

Variance

2.1%

0.2%

1.2%

0.0%

OfficeRetailResidential

Other

@ FP1
28 February 2017
@ FP2
31 August 2017

4.5

5.7

6.3

6.0

4.5

5.7

6.3

6.0

Variance

0.0

0.0

0.0

0.0

Passing Rents1@ FP1
28 February 2017
@ FP2
31 August 2017
Variance

Appraisal Values (¥bn)2

NOI Cap Rates (%)2

1 ￥per tsubo per month reflecting in place passing rents
2 As per independent appraisals dated February 2017 and August 2017

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)20

Office - rent reviews / renewals

Sakura Sogo REIT Investment Corporation

Rent reviews1

New Leases / Lease renewals

Number of rent reviews

18

Number of leases expiring

12

Number of rent increases

6

Number of leases renewed

12

437.7

Number of leases cancelled

0

Average rent increase (%)

14.4

Tenant retention rate (%)2100

% of office portfolio reviewed

15.2

NRA with rent increase (tsubo)

Annual increase in office rental (¥m pa)

9.2

Office portfolio tenant movement in / out (Tsubo)
250
273

225

50

153

-74

-61

FP2

FP3
Move out area

-150
-518

-350
-550
FP1
Move in area

Average % change - replacement tenant vs previous passing rent
8.0%
7.6%

6.0%

6.7%

4.0%
Shin Yokohama Nara Building

NK Building

Azabu Amerex Building

2.0%

3.6%

0.0%
FP1
1 11 tenants with renewals due in FP3 & FP4 were approached for rent reviews during FP2

Average increase in rent

FP2

FP3
Average decrease in rent

2 Tenant retention rate is the # of office leases that renewed in the period / # leases expiring in the period

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)21

Financial KPI’s

Sakura Sogo REIT Investment Corporation

OverviewLTV down to 45.9% following repayment ¥1.9 bn of short term borrowings in June 2017
NAV per unit increased 1.8% due to an uplift in appraisal values
Increase in unit price of 10.6% since 28 February 2017
Annualized DPU yield of [6.7]%

Balance SheetLTV (%)

Ave. loan maturity (years)

Total Liabilities (￥bn)@ FP1
28 February 2017

48.0

2.32

34.7

@ FP2
31 August 2017

45.9

2.94

32.9

Variance

2.1

0.62

5.1%

Net Equity (￥bn)

NAV (￥per unit)

Total Assets (￥bn)@ FP1
28 February 201729.25

93,000

64.43

@ FP2
31 August 201729.25

94,91063.13

Variance

0.0%

1.8%

2.0%

Shin Yokohama Nara Building

Abode Yoyogi Parkside

Investment Units
Unit Price (¥ per unit)

Annualized DPU yield (%)

P/NAV

@ FP1
28 February 201781,8001

6.71

0.88

13 October 2017

90,5006.72

0.95

Variance

10.6%

0.0

8.0%
Funabashi Tesco

1 Annualized DPU yield based on unit price of ¥81,800 and the aggregate of FP2 and FP3 DPU Forecasts as at 13 April 2017
2 Annualized DPU yield based on aggregate of current FP3 and FP4 DPU Forecasts and closing price on 13 October 2017 of ¥90,500

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)22

Portfolio Summary

Sakura Sogo REIT Investment Corporation

At August 31, 201718

No. of properties

98.0

Average occupancy %Total appraised value ¥m

60,005

Average NOI yield %1

5.3

Total book value ¥m57,655

Average NOI yield post depreciation %1

4.4

Total appraised value ¥m60,105

Average NOI yield %1,3

5.2

Total book value ¥m

57,803

Average NOI yield post depreciation %1,3

4.4

At September 30, 2017218

No. of properties

98.4

Average occupancy %4

Portfolio Diversification2

Lease type (by income)■ Investment Ratio by Asset Type■ Investment Ratio by Location

Other
6.7%

Other
7.1%

Standard Japanese leases %55.9

Non-cancellable leases %544.1

Residential
11.1%
Office43.7%
Major
Regional
Cities38.7%

Tokyo
Metropolitan
Area
54.2%

WALE6 of non-cancellable leases (years)

7.9

Retail38.5%
1 Calculated based on 31 August 2017 independent appraisal.
2 Excludes Royal Hill Kobe Sannomiya II sold on 11 September 2017 and includes Abode Yoyogi Parkside acquired on 29 September 2017
3 Independent appraisal for Abode Yoyogi Parkside has an effective date of 1 July 2017
4 Abode Yoyogi Parkside is subject to a rent guarantee covering 100% of forecast revenue. For the purpose of this presentation we have reflected a stabilized occupancy of 95%
5 Includes leases that be cancelled by paying cancellation penalties
6 Weighted average lease term to expiry

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)23

Sakura Sogo REIT Investment Corporation

Section 6 - Management Key Priorities

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)24

Management Key Priorities

Sakura Sogo REIT Investment Corporation

External Growth

Identifying off market investment
opportunities via sponsor relationships



Add to existing pipeline support
network (currently 5)Foster relationships with mid-scale
developers that are not aligned with
JREITsCapital Management


Explore opportunities to recycle
assets which can:Internal Growth

Enhance Unitholder
Value



- Upward rent reviews particularly
in office- Increase distributions- Explore opportunities to create
new revenue streams- Enhance portfolio characteristicsCarefully manage borrowings to
mitigate maturity risk and minimize
ongoing cost of debt
Cumulative investment scheme for
the Asset Management Company
directors and employees to furtheralign interest with unitholders

Actively pursue growth

Utilize the expertise of Nippon
Kanzai to ensure buildings are wellmaintained while minimizing costs

Strategic capital expenditure initiativesto:- Maintain high occupancy- Minimize downtime on vacant space- Enhance prospects of current andfuture rent reviews

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)25

Sakura Sogo REIT Investment Corporation

Part A - Internal Growth Initiatives

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)26

Internal Growth

Sakura Sogo REIT Investment Corporation

Office Successful track record of achieving rent increases in office assets
 Average uplift of 14.4% for 6 rent reviews negotiated during FP2; 5 of these will take effect during FP3 & FP4
 Based on independent appraisals over 75% of office floor space is at or below assessed market rent
Rent Gap1

12.0%

10 tenants
887 tsubo> 20%

Will continue to pursue rent increases for tenants in this category

17.5%> 10% < 20%

14 tenants
1,291 tsubo

46.7%

between 0% - 10%

38 tenants
3,458 tsubo

Monitor / consider upward rent revisions for tenants with a rent gap ofless than 10%

23.8%

less than 0%

21 tenants
1,760 tsubo

Maintain sound relationships and ensure building services meet tenant
expectations
Focus on high level of tenant retention – target > 80%

76.2%

Rent Reviews undertaken during 2nd Fiscal Period

18

6

3

3

Under rent
Tenants
Reviewed

Total Successful
Rent increases

Successful
Rent increases
Between 0-10%

Successful
Rent increases> 10%

1 Average passing rent vs. assessed market rent from independent appraisals dated 31 August 2017

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)27

Internal Growth

Sakura Sogo REIT Investment Corporation

Internal Growth Initiatives
 Nippon Kanzai Group has been involved in identifying and implementing various initiatives across the portfolio to assist in achieving internal
growth.

OfficeTakadanobaba Access

Cost Reduction

Timer added to HVAC facilities for managing after hours electricity usage
 Forecast savings ¥1m p.a.
 Cost ¥140,000
 Return on cost 640%

Azabu Amerex

Office Portfolio

Electricity Provider Change

Re-tender of electricity supply for Tokyo office portfolio Target reduction in electricity expenses is ¥3m p.a.
 Effective from December 2017

Carpark lease terms

Negotiated new lease terms for carpark spaces
 Increase of ¥2.16m p.a.

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)28

Internal Growth

Sakura Sogo REIT Investment Corporation

Retail
La Park Kishiwada

2F Replacement of common area flooring This has not only improved the premises visually, but also improved
the overall lighting within the 2F creating a much brighter
environment better suited for shoppers
 Anticipated benefits from these works include higher tenant
retention, potential rent increases and reinforcing leasing efforts

La Park Kishiwada

New revenue stream

 Entered into a service agreement with a telecommunications
service provider for mobile antenna increasing revenue by
approximately ¥850k p.a.

Other

BeforeAfter

Residential
Matsuya Sekime

Confomall Sapporo

Interior works

 Replaced tatami mats with wood flooring in a trial apartment
 This resulted in an increase in rent by approximately 9% and areduction in forecast letting up period
 Considering extending this work to other apartment units

BeforeAfter

LED lighting works

 Undertook LED works within the Central Sports tenancy
 Forecast 62% reduction in electricity usage resulting in a costsavings of approximately Y0.5ｍ p.a.

BeforeAfter

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)29

Internal Growth

Sakura Sogo REIT Investment Corporation

Capital Expenditure Savings
 Nippon Kanzai Group has facilitated savings in maintenance capital expenditure of approximately ¥8 million since IPO in September 2016
 Capital expenditure work is tendered with at least three parties invited to submit cost estimates independently
 Nippon Kanzai Group has consistently provided cost savings for necessary work across the portfolio compared to alternative service providers

Seishin
Building

La Park Kishiwada
SC

Takadanobaba
AccessWorks included- HVAC replacement- Generator replacement
Total costs: ¥55.7m
Total savings : ¥2.6m
Overall saving : 4.5%

Shin Yokohama
Nara Building

Works included- Washroom upgrade- Pigeon control (nets /spikes)- Fire suppression
Total costs: ¥10.9m
Total savings : ¥1.4m
Overall saving : 11.3%

Azabu Amerex
BuildingNK
Building

Works included- HVAC replacement- Water / electric meters
Total costs: ¥24.9m
Total savings : ¥2.0m
Overall saving : 7.5%

Works included- Carpark Shutter- Pump foundation works
Total costs: ¥2.2m
Total savings : ¥0.3m
Overall saving : 11.1%

Works included- Emergency lighting- Signage renewal- Regulatory works
Total costs: ¥8.6m
Total savings : ¥0.6m
Overall saving : 6.6%

Works included- Water pump renewal- Install security camera
Total costs: ¥3.1m
Total savings : ¥0.4m
Overall saving : 11.2%

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)30

Sakura Sogo REIT Investment Corporation

Part B - External Growth Initiatives

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)31

External Growth

Sakura Sogo REIT Investment Corporation

Pipeline Support Agreements

Existing / New Relationships

Galileo Sponsor – Future Developments• Enhance investment opportunities throughdirect channels• Pipeline Support Agreements will provide
preferred negotiation rights for SKR• Five existing Pipeline Support Agreements
have been executed:• Three entered into by the Nippon
Kanzai Group• Two directly by the AssetManagement Company• Leverage off an existing broad range of realestate industry contacts• Fund Managers• Developers• Financiers• Explore opportunities to source from existing
relationships and continue to expand network
to identify off market acquisition opportunities

 Galileo Group is a very successful
developer in Australia
 The Group is now investigating
development opportunities in Japan with animmediate focus on the Greater Tokyo Area
 Potential future developments would
provide attractive acquisition opportunities
for SKR The Group has significant ongoing financial
partnerships with some of Australia's largest
institutional real estate investors Refer to slide 5 for more details of Galileo
developments

Example : Abode Yoyogi Parkside

Examples of Galileo projects

Medium-term Goal for Assets Under Management

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)32

Sakura Sogo REIT Investment Corporation

Part C - Capital Management

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)33

Overview of Borrowings

Sakura Sogo REIT Investment Corporation

Borrowings

Loan cost and duration (at 31 August 2017)
Loan amount(¥ mil)LenderShort-termLong-term

A Syndicate of lenders with Sumitomo
Mitsui Banking Corporation:
Sumitomo Mitsui Banking Corporation,
Shinsei Bank, Limited,
Resona Bank, Limited,
Aozora Bank, Ltd.,ORIX Bank Corporation,
The Nishi-Nippon City Bank, Ltd.,The Bank of Fukuoka, Ltd,
Sumitomo Mitsui Trust Bank, Limited

Total

Interest rate

Maturity date

1,400

Base Rate +0.2%(floating)

31-Aug-18

6,000

0.62473% (fixed)

31-Aug-18

4,000

0.71096% (fixed)

30-Aug-19

6,000

0.81842% (fixed)

31-Aug-20

6,000

0.93842% (fixed)

31-Aug-21

5,600

Base Rate +0.8%(floating)

31-Aug-22

Weighted average cost (%)

0.97

Average duration (Years)

2.94

31-Aug-17

Debt Ratio - Term
Short Term
25.5%

29,000Collateral: Unsecured and unguaranteedLong Term
74.5%

Balance of Borrowings by Lender
The Bank of Fukuoka,
Ltd.
3.5%
The Nishi-Nippon
City Bank, Ltd.
3.5%
ORIX Bank
Corporation
6.9%

Interest Rate Ratio
Sumitomo Mitsui
Trust Bank, Limited.
3.5%

Floating
interest rate
24.1%

Sumitomo Mitsui
Banking Corporation
31.0%

Aozora Bank, Ltd.
10.3%
Resona Bank,
Limited.
10.3%

Shinsei Bank,
Limited.
31.0%

Fixed
interest rate
75.9%
Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)34

Status of Unitholders

Sakura Sogo REIT Investment Corporation

No. of Investment Units by Investor Type

100%

5,244

1.6%

3,227

1.0%

37,121

11.1%

35,11010.5%

Main Unitholders

Securities firms

Foreigners
28,04180%

37,676Rank

at 31 August 2017

Name

Number ofUnits Owned

Percentage
Share (%)1

1Japan Trustee Service Bank, Ltd.

22,564

6.78

2

The Master Trust Bank of Japan, Ltd.

20,961

6.29

3

JP Morgan Bank (Ireland) Plc 380423

15,414

4.63

4

Trust & Custody Services Bank, Ltd. (Securities
Investment Trust Account)

13,371

4.02

5

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

10,593

3.18

6

Galaxy JREIT Pty. Ltd.

8,700

2.61

6

Nippon Kanzai Co., Ltd.

8,700

2.61

8

Credit Suisse Securities (Europe) Ltd. PB
Omnibus Client Account

6,802

2.04

9

Kinki Sangyo Credit Union

5,587

1.68

10

Sekai Shindokyo

3,219

0.97

8.4%

11.3%

Other domestic corporations

61,96618.6%

77,494

23.3%

Financial institutions

60%

Individuals/others

40%

190,99457.4%

189,129

56.8%

20%

1 Percentage share is the number of units owned expressed as a percentage of total investment

0%
Feb '17

Aug '17

units issued (rounded down to second decimal place).

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)35

Sakura Sogo REIT Investment Corporation

Appendix

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)36

Balance Sheet and Statement of Income

Balance Sheet at 31 August 2017

Sakura Sogo REIT Investment Corporation

Statement of Income
Unit: ￥mil

Unit: ￥mil

AssetsCurrent assets
Cash and deposits
Cash and deposits in trust
Other
Non-current assets
Property, plant and equipment
Investments and other assets
Total assets

5,132

2,430

868

Leasing business revenue

2,102

4,102

Other leasing business revenue
Operating expenses

327

162
58,001

Expenses related to rent business

57,677324

Asset management fee
Asset custody fee/Administrative service fees

63,133

Directors’ compensation

Liabilities
Current liabilities

Operating revenue

8,260

Other operating expenses
Operating profit

1,340
1,127
129
23
6
55
1,089

Operating accounts payable304

Non-operating expenses

136

Short-term loans payable

7,400

Interest expenses

96

Accounts payable – other80

Depreciation of deferred organization expenses

Advances received

381

Investment unit issuance expenses

Other
Non-current liabilities
Long-term loans payable40

24,665

Borrowing related expenses
Ordinary profit (loss)

954

21,600Net profit (loss) before income taxes

954

3,065

Net profit (loss)

953

Unappropriated retained earnings (undisposed loss)

953

95

Tenant leasehold and security deposits in trust
Total liabilities

32,,925

Total unitholders’ equity

30,208Unitholders’ capital

29,254953

Surplus
Total net assets

30,208

Total liabilities and equity

63,133

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)37

Income and Expenditure by Property for FP2

Sakura Sogo REIT Investment Corporation(184 operating days)

Unit: ￥’000

OF-01

OF-02

OF-03

OF-04

OF-05

OF-06

OF-07

RT-01

RT-02

Seishin
BuildingNK
Building

Tsukasamachi
Building

Takadanobaba
AccessAzabu Amerex
Building

Hiei Kudan
Building

Shin Yokohama
Nara Building

La Park
Kishiwada

Suroy Mall
Chikushino

Operating revenue fromreal estate leasing

237,142

122,601

96,43496,73566,292

67,24883,209533,898

295,831

Leasing businessrevenue

211,909109,371

84,02778,43361,49064,872

66,908414,902291,987

Other Leasing businessrevenue

25,232

13,23012,40718,302

4,802

2,376

16,301

118,995

3,844

Operating expenses fromreal estate leasing

49,63633,99722,881

36,163

21,697

18,19827,213

316,646

75,871

Management fees

12,626

12,893

7,940

16,168

8,903

10,5389,189

130,667

39,917

Utilities expenses

14,941

9,433

6,457

9,000

3,766

23

7,730

132,611

3,819

Insurance premium

238

158

149

178

90

133

165

1,241

677

Repair & Maintenance

350

368

240

899

1,080

184

1,546

1,417

329

Trust Fees

750

750

750

750

375

750

750

1,850

750

20,279

9,982

7,043

8,722

7,324

6,470

7,614

45,08919,886

450

410

298

442

156

97

217

3,767

10,4911

187,505

88,60473,55360,571

44,59449,04955,995217,252

219,960

11,254

6,336

6,696

7,881

2,188

2,699

7,768

40,04636,360176,250

82,26866,856

52,69042,40546,35048,227

177,206

183,599

Property Tax
Other expenses
Leasing NOI
Depreciation
Operating income (loss)
from real estate leasing

1 including ground lease rent

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)38

Income and Expenditure by Property for FP2

Sakura Sogo REIT Investment Corporation(184 operating days)

Unit: ￥’000

RT-03

RT-04

RS-01

RS-02

RS-03

RS-04

OT-01

OT-02

OT-03

Seiyu
Minakuchi

Suroy Mall
Nagamine

Shiroi
LogimanMatsuyaResidence
SekimeRoyal Hill Kobe
Sannomiya II

Urban Plaza
ImazatoFunabashi HiTech Park Hidan

Funabashi HiTech Park
Factory

Confomall
SapporoOperating revenue fromreal estate leasing

Non-disclosure

188,129

136,888

84,36855,452

37,771

Non-disclosure

Non-disclosure

73,059

Leasing businessrevenue

Non-disclosure

151,402

128,293

77,33651,44435,494Non-disclosure

Non-disclosure

60,099Other Leasing businessrevenue

Non-disclosure

36,726

8,595

7,032

4,007

2,277

Non-disclosure

Non-disclosure

12,960Operating expenses fromreal estate leasing

42,23558,981

54,68731,151

21,841

18,116

6,565

5,203

33,046

Management fees

6,039

15,917

26,81812,724

8,961

6,448

990

1,007

6,668

Utilities expenses

026,884

6

2,989

1,825

522

0

0

10,593

Insurance premium

528

266

638

255

154

122

122

64

280

5,935

837

9,390

9,347

6,017

7,138

0

0

5,050

750

750

1,285

375

375

375

750

750

750

12,183

13,26014,046

5,168

4,479

3,204

4,686

3,364

9,183

1,065

2,501

291

28

306

16

16

520

Non-disclosure

129,147

82,201

53,21733,611

19,654Non-disclosure

Non-disclosure

40,013

41,692

17,863

18,632

10,00011,814

5,819

9,550

2,955

13,528Non-disclosure

111,284

63,56943,216

21,796

13,835Non-disclosure

Non-disclosure

26,485

Repair & Maintenance
Trust Fees
Property Tax
Other expenses
Leasing NOI
Depreciation
Operating income (loss)
from real estate leasing

16,7971

1 including ground lease rent

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)39

Property – Appraisal & Yield Analysis

Sakura Sogo REIT Investment Corporation
at 31 August 2017

OfficeAsset Type

Retail

No.

OF-01

OF-02

OF-03

OF-04

OF-05

OF-06

OF-07

RT-01

RT-02

RT-03

Property Name

Seishin
BuildingNK
Building

Tsukasamachi
Building

Takadanobaba
AccessAzabu Amerex
Building

Hiei Kudan
Building

Shin Yokohama
Nara Building

La Park
Kishiwada

Suroy Mall
Chikushino

Seiyu
Minakuchi

Shinjuku-ku,
Tokyo

Chiyoda-ku,
Tokyo

Chiyoda-ku,
TokyoShinjuku-ku,
Tokyo

Minato-ku, Tokyo

Chiyoda-ku,
Tokyo

Kohoku-ku,
Yokohama

Kishiwada, Osaka

Chikushino,
KyushuMinakuchi, Shiga

Address
Appraisal @FP1 (¥bn)

8,360

3,860

3,910

3,430

2,140

2,050

1,950

6,600

7,820

4,240

Appraisal @FP2 (¥bn)

8,610

3,910

3,960

3,460

2,270

2,050

1,980

6,640

7,820

4,240

NOI Yield@ FP1 (%)

4.0%

4.5%

4.6%

4.7%

4.2%

4.7%

5.5%

5.9%

5.6%

6.0%

NOI Yield@ FP2 (%)

4.0%

4.5%

4.5%

4.7%

4.2%

4.7%

5.5%

5.9%

5.6%

6.0%

NOI Yield @FP1 post depr
(%)

3.8%

4.2%

4.2%

4.3%

4.0%

4.5%

4.7%

4.7%

4.7%

4.0%

NOI Yield @FP2 post depr
(%)

3.8%

4.2%

4.2%

4.2%

4.1%

4.5%

4.7%

4.7%

4.7%

4.0%

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)40

Property – Appraisal & Yield Analysis

Sakura Sogo REIT Investment Corporation
at 31 August 2017

Asset Type

RetailNo.

RT-04

Residential
RS-01

RS-02

Other
RS-03

RS-04

OT-01

OT-02

OT-03

Total
(18 properties)

Property Name

Address

Suroy Mall
Nagamine

Shiroi
LogimanMatsuyaResidence Sekime

Royal Hill Kobe
Sannomiya II

Urban Plaza
ImazatoFunabashi
Hi-Tech Park
Hidan

Funabashi Hi-TechPark

Confomall
SapporoKumamoto City,
Kumamoto

Shiroi City,
Chiba

Osaka City,
Osaka

Kobe City,
Hyogo

Osaka City,
Osaka

Funabashi City,
Chiba

Funabashi City,
Chiba

Sapporo City,
Hokkaido

Appraisal @FP1 (¥bn)

4,460

2,210

1,910

1,550

984

1,800

779

1,440

59,493

Appraisal @FP2 (¥bn)

4,470

2,170

1,930

1,510

965

1,800

780

1,440

60,005NOI Yield @FP1 (%)

5.6%

7.2%

6.4%

5.3%

5.9%

6.1%

6.2%

5.6%

5.3%

NOI Yield @FP2 (%)

5.6%

7.2%

6.4%

5.3%

5.9%

6.1%

6.2%

5.6%

5.3%

NOI Yield @FP1 post depr
(%)

4.8%

5.5%

5.4%

3.8%

4.8%

5.1%

5.4%

3.9%

4.4%

NOI Yield @FP2 post depr
(%)

4.8%

5.5%

5.3%

3.7%

4.7%

5.1%

5.4%

3.8%

4.4%

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)41

Portfolio Map

OF-01 Seishin Bldg

OF-02 NK Bldg.

Sakura Sogo REIT Investment Corporation

OF-03 Tsukasamachi Bldg

OF-04 Takadanobaba Access

OF-05 Azabu Amerex Bldg

OF-06 Hiei-Kudan Bldg

OF-07 Shin-Yokohama Nara Bldg

OT-03

RT-01 La Park Kishiwada

RT-02 Suroy Mall Chikushino

RT-03 Seiyu Minakuchi

RT-04 Suroy Mall Nagamine

Coming soon

Chiba
Tokyo

RS-01 Shiroi Logiman

RS-02 Matsuya Residence Sekime

RS-03 Royal Hill Kobe Sannomiya II

RS-04 Urban Plaza Imazato

RS-02
RT-02

RT-01

RT-03
RS-04

RS-01

OT-02

OF-02
OF-04
OF-03
OF-01
OF-06
RS-05
OF-05

OT-01

Kanagawa
OF-07

RT-04
OT-01 Funabashi Hi-Tech Park Hidan

OT-02 Funabashi Hi-Tech Park

OT-03 Confomall Sapporo

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)42

Overview of the Investment Corporation

Sakura Sogo REIT Investment Corporation

Schematic Diagram of the Investment Corporation’s Structure
Sponsor / Parent Company of Asset Management
Company

Investment Corporation❷

Asset Custody Company/Administrator ofUnitholder Registry/General Administrator related
to the operation of the administrative institution

Galileo Sydney Holdings Pty Limited

Sumitomo Mitsui Trust Bank, Limited.

❸
Asset Management Company❶

Sakura Sogo REIT Investment❹

Sakura Real Estate Funds Management, Inc.
❸
SponsorNippon Kanzai Co., Ltd.
Tokyo Capital Management Co., Ltd.

General Administrator for Accounting Affairs

General Meeting ofUnitholders

Kaneyama & Associates

Board of Officers
Executive Officer: Makoto Muranaka
Supervisory Officer： Hirotaka Isayama
Supervisory Officer： Shigeru Kaneda
Accounting Auditor
PricewaterhouseCoopers Arata❶ Asset Management Entrustment Agreement❷ Asset Custody Entrustment Agreement / Entrustment
Agreement for Administrator of the Investment Unitholder
Registry / Entrustment Agreement for Clerical
undertakings (Institution services）❸ Sponsor Support Agreement❹ Business Entrustment Agreement

Overview of Asset Management Company
Trade Name

Sakura Real Estate Funds Management, Inc.

Date of Incorporation

July 7, 2015

Stated Capital

101.52 million yen

Shareholder Composition

Galaxy JREIT Pty Limited 50%
Tokyo Capital Management Co., Ltd. 50%(based on voting rights: Galaxy JREIT Pty Limited 100%)

Principal Lines of Business

Discretionary Investment Business,management of Investment Corporation’s assets

Officers

6 Directors (2 Full-time Directors), 1 Statutory Auditor

Financial Instrument Business
Registration

Reg. No.: Director of Kanto Local Finance Bureau (FI) No. 2907
Member of Investment Trusts Association, Japan

Real estate agency business license

License No.: Tokyo Metropolitan Governor (1) No. 98232

Approval as Entrustment - Based
Agency Services for Transactions

Approval No.: Minister of Land, Infrastructure,
Transport and Tourism No. 100

General Meeting of Unitholders
Statutory Auditor
Board of Directors
Investment Committee

Compliance Committee

Representative Director and Chairman / Representative Director and President
Compliance Officer

Investment Division

Finance and Planning Division

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)43

Disclaimer

Sakura Sogo REIT Investment Corporation

This presentation material has been prepared solely for the purpose of providing information, and not for soliciting investments in certain products.
The presentation material includes, in addition to a description of Sakura Sogo REIT Investment Corporation (hereinafter the “Investment Corporation”), charts, data, etc.
prepared by Sakura Real Estate Funds Management, Inc. (hereinafter the “Asset Management Company”) based on data and indices published by third parties.
Furthermore, it includes present analysis, judgements and other opinions of the Asset Management Company regarding such information.
The contents of the presentation material have not been audited, and their accuracy nor integrity is guaranteed. The analysis and judgement by the Asset Management
Company are its current opinions and the contents may be modified or repealed without any advance notice.
The Investment Corporation or the Asset Management Company bear no responsibility with regard to the accuracy of the data or indices published by third parties(including data based on real estate appraisal reports).
The content of this presentation material include statements on forecast and future operating results. Such statements are based on the information available at the timeof preparation of this presentation material and certain assumptions for unforeseeable factors, and thus do not guarantee future operating results of the Investment
Corporation and may differ from actual operating results.

Sakura Sogo REIT Presentation Material for FP2 (Six months ended 31 August 2017)44