[For Translation Purposes Only]

March 20, 2023

For Immediate Release
To Whom It May Concern
Nomura Real Estate Master Fund, Inc.
Securities Code: 3462
Shuhei Yoshida, Executive Director
Asset Management Company: Nomura Real Estate Asset Management Co., Ltd.
Koki Miura, President & Chief Executive Officer
Inquiries: Hiroshi Ishigooka
Executive Officer
Head of NMF Investment Management GroupTEL +81-3-3365-8767 nmf3462@nomura-re.co.jp

Notice Concerning Disposition of Properties in Japanand Beneficial Interest in Real Property Trust in Japan
Nomura Real Estate Master Fund, Inc. (“NMF” or the “Fund”) announces that Nomura Real Estate Asset Management
Co., Ltd., a licensed asset management company retained by the Fund to provide asset management services, decided todispose of properties (the “Dispositions”) as described below.
1.

Summary of Assets to Be Disposed of

Property NameNMF Nagoya
Yanagibashi
Building
PRIME

Use

OfficeDate of
Purchaseand Sales
Agreement

Scheduled
Date of
Disposition

March 20,
2023

April 7,2023

Transferee

Intermediary

ScheduledTransferPrice(¥ million)

Undisclosed

Yes(Note 4)(Note 5)

4,410

URBAN
URBAN
URBAN
URBAN
URBAN

Residential

March 31,
2023

Undisclosed

Yes

6,283

1,827

(Note 4)(Note 5)(Note 6)(Note 6)

440

URBAN

849

Kasai II
PRIME

URBAN

379

Asakusa
PRIME

1,889

502
March 22,2023

Komagome
PRIME

2,520

708

Shinagawa Nishi
PRIME(Note 3)803

Sangen Jaya Ⅲ
PRIME(Note 2)339

Nishi Shinjuku II
PRIME

Difference(¥ million)(Note 1)

Yoyogi
PRIME

Book Value(¥ million)

URBAN

433

Gyotoku Ekimae
Total

10,693
－ １ －

6,976

3,717

(Note 1) The amounts stated exclude adjustment amounts of both property taxes and city planning taxes, as well as consumption taxes and local consumption
tax, etc.
(Note 2) Anticipated book value at the date of disposition.
(Note 3) This is only a reference value which is the difference between the scheduled transfer price and the anticipated book value, therefore, it is different
from gain or loss on sale.
(Note 4) Undisclosed, as consent has not obtained from the transferee.
(Note 5) Of the assets to be disposed of, the brokerage involved in the disposition of NMF Nagoya Yanagibashi Building is not considered a related party
under the Act on Investment Trusts and Investment Corporations ("Investment Trust Act"). The brokerage involved in the dispositions of theother properties, Nomura Real Estate Solutions Co., Ltd., is considered a related party under the Investment Trust Act.
(Note 6) Of the assets to be disposed of, the dispositions of PRIME URBAN Yoyogi, PRIME URBAN Nishi Shinjuku II, PRIME URBAN Sangen Jaya
III, PRIME URBAN Shinagawa Nishi, PRIME URBAN Komagome, PRIME URBAN Kasai II, PRIME URBAN Asakusa, and PRIME URBAN
Gyotoku Ekimae (collectively the "Eight Residential Facility Properties") are based on a single sale agreement with the same transferee. The
planned transfer prices of individual properties are undisclosed, as consent has not been obtained from the transferee. Accordingly, the differences
between the planned transfer prices and the book values of individual properties are also undisclosed. The planned transfer price of PRIMEURBAN Gyotoku Ekimae exceeds the anticipated book value at the date of disposition but falls below the appraisal value at the end of the mostrecent period (February 28, 2023). The planned transfer prices of the other individual properties exceed both the anticipated book values at thedate of disposition and the appraisal values at the end of the most recent period (February 28, 2023).
(Note 7) Of the assets to be disposed of, those relating to NMF Nagoya Yanagibashi Building and PRIME URBAN Komagome are beneficial interests ina trust in which a real estate is entrusted, and the others are the actual real properties. However, through consultation with the transferee, NMF
will conclude a trust agreement as of the same date as the scheduled date of disposition and dispose of them as beneficial interests in a trust.

The above assets to be disposed of are individually referred to as the "Asset" or collectively the "Assets."2.

Reasons for the Disposition
The Fund has continuously replaced assets as an external growth strategy mainly by acquiring sponsor developed
properties and selling properties where there are concerns about their future competitive advantage. The Fund decided to
implement the Disposition as part of such asset replacement pursuant to comprehensive consideration of the possibilityof a future decline in competitiveness including rising repair costs as the buildings age and the future supply situation.
The profits on sale will be directed to internal reserves with the intention of raising the distribution level or stabilizing

future distributions, while considering the future management status of the existing portfolio and others.

3.

Summary of the Asset to be Disposed of

NMF Nagoya Yanagibashi Building<Reasons for the Disposition>
The Fund selected the property based on the consideration of future area trends as well as decreasing competitiveness andincreasing expense due to an increase in the building age, and decided on the Disposition because it can secure profits on sale.
<Summary of the Asset to be Disposed of>Property Name
Type of Asset
Trustee of Trust
Term of Trust Agreement
Registry

Location(Note 1)StreetAccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Area(Note 1)Land

NMF Nagoya Yanagibashi Building
Beneficial interest in a trust in which a real estate is entrusted
Sumitomo Mitsui Trust Bank, Ltd.
From September 29, 2005 to September 30, 2025
1-1606 (comprising three parcels of land) Meieki-Minami, Nakamura
Ward, Nagoya City, Aichi
1-16-28 Meieki-Minami, Nakamura Ward, Nagoya City, Aichi
Seven-minute walk from Nagoya Station on the JR Line, theHigashiyama Subway Line, and the Sakura-dori Subway Line
March 18, 1991
OfficeTwelve-floor steel-framed reinforced structure with a flat roof and 2
basement floors
934.20 m2－ ２ －Floor Area

7,363.25 m2

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company
Type of Master Leasing
Seismic Risk (PML)(Note 3)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 4)
Difference
Appraisal Value and Method
Appraisal NOI (Note 5)

Ownership
Ownership
100%(Note 2)
800%
None
Nomura Real Estate Partners Co., Ltd.
4.0% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥2,280 million¥4,410 million¥2,520 million¥1,889 million¥2,230 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Japan Valuers Co., Ltd.)¥132 million

Leasing Status (As of January 31, 2023) (Note 6)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor
Space
Total Leasable Floor SpaceHistorical Occupancy
Rates

18
¥200 million(including common area charges)¥157 million
93.6%
4,356.57 m2
4,655.74 m2
February2018

February
2019

February
2020

February2021

February
2022

96.8%

100.0%

100.0%

100.0%

83.0%(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Building Coverage Ratio
The Asset is located in a commercial zone where the building coverage ratio is 80% in principle. However, because the Asset is a certified
fireproof building in a fire prevention zone, the applied coverage ratio is 100%.
(Note 3) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 4) Book Value
Anticipated book value at the date of disposition.
(Note 5) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 6) Leasing Status“Total Number of Tenants” is the total number of end tenants actually leasing space in the building of the Asset to be Acquired as of today.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreementswith the end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to the nearest
million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said lease agreements,
such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).

－ ３ －“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, accommodations, etc.
within the Asset that can be leased as of January 31, 2023 (if the common area, etc. are leased, the floor space thereof is included).

Eight Residential Facility Properties<Reasons for the Disposition>
The Fund selected the properties based on the comprehensive consideration of factors such as decreasing competitivenessand increasing expense due to an increase in the building age and the portfolio balance, and decided on the Dispositions
because they can secure profits on sale.
The planned transfer price of PRIME URBAN Gyotoku Ekimae falls below the appraisal value at the end of the most recent
period (February 28, 2023) though it exceeds the anticipated book value at the date of disposition, and the total plannedtransfer price of the Eight Residential Facility Properties, which is the object of a single transaction, exceeds the total
anticipated book value at the end of the most recent period (February 28, 2023). Based on the above sale terms, the Fund
determined that the Dispositions are reasonable.
<Summary of the Asset to be Disposed of>Property Name
Type of AssetRegistry
Location(Note 1)StreetPRIME URBAN Yoyogi
Real estate3-51-3 Yoyogi, Shibuya Ward, Tokyo
3-51-3 Yoyogi, Shibuya Ward, Tokyo
Five-minute walk from Minamishinjuku Station on the Odakyu
Odawara Line
September 30, 2003
Apartment
Seven-floor steel-reinforced concrete structure with a flat roof and 1
basement floor
19

AccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing UnitsLand
Area(Note 1)

121.95 m2(Note 2)

Floor Area

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 5)
Type of Master Leasing(Note 5)
Seismic Risk (PML)(Note 6)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 7)
Difference
Appraisal Value and Method
Appraisal NOI (Note 8)

551.63 m2
Ownership
Ownership
70%(Note 3)
400%
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
Pass through
6.4% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥359 million
Undisclosed(Note 4)¥339 million
Undisclosed(Note 4)¥357 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Chuo Real Estate Appraisal Co., Ltd.)¥15 million

Leasing Status (As of January 31, 2023) (Note 9)
Total Number of Tenants
Total Rental
Income(Annual)

1¥22 million (including common area charges)－ ４ －Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates¥1 million
100.0%
439.56 m2
439.56 m2
February2018

February
2019

February
2020

February2021

February2022

100.0%

100.0%

90.1%

87.8%

100.0%(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Land Area
Includes an area of approximately 2.90 m2 which is regarded as a road under Article 42, paragraph (2) of the Building Standards Act.
(Note 3) Building Coverage Ratio
The Asset is located in a category II residential zone where the building coverage ratio is 60% in principle. However, because the Asset is acertified fireproof building in a fire prevention zone, the applied coverage ratio is 70%.
(Note 4) Undisclosed because consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer priceand the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the date ofdisposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 5) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 6) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 7) Book Value
Anticipated book value at the date of disposition.
(Note 8) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 9) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block, and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
Asset that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name
Type of AssetRegistry
Location(Note 1)StreetAccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing UnitsLand
Area(Note 1)

PRIME URBAN Nishi Shinjuku II
Real estate5-533-16 Nishi Shinjuku, Shinjuku Ward, Tokyo
5-6-4 Nishi Shinjuku, Shinjuku Ward, Tokyo
Five-minute walk from Nishi Shinjuku 5-chome Station on the Toei
Subway Oedo Line
February 5, 2007
Apartment
Fourteen-floor steel-framed reinforced concrete structure with a flat
roof and 1 basement floor
46
180.26 m2(Note 2)－ ５ －Floor Area

1,365.40 m2

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 5)
Type of Master Leasing(Note 5)
Seismic Risk (PML)(Note 6)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 7)
Difference
Appraisal Value and Method
Appraisal NOI (Note 8)

Ownership
Ownership
100%(Note 3)
700%
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
Pass through
4.3% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥885 million
Undisclosed(Note 4)¥803 million
Undisclosed(Note 4)¥1,020 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Tanizawa Sogo Appraisal Co., Ltd.)¥39 million

Leasing Status (As of January 31, 2023) (Note 9)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates

1¥55 million(including common area charges)¥4 million
97.9%
1,138.03 m2
1,162.55 m2
February2018

February
2019

February
2020

February2021

February2022

100.0%

97.8%

100.0%

95.7%

95.8%

(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Land Area
Includes an area of approximately 1.77 m2 which is regarded as a road under Article 42, paragraph (2) of the Building Standards Act.
(Note 3) Building Coverage Ratio
The Asset is located in a commercial zone where the building coverage ratio is 80% in principle. However, because the Asset is a certified
fireproof building in a fire prevention zone, the applied coverage ratio is 100%.
(Note 4) Undisclosed because consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer priceand the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the date ofdisposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 5) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 6) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 7) Book Value
Anticipated book value at the date of disposition.
(Note 8) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 9) Leasing Status－ ６ －“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name
Type of AssetRegistry
Location(Note 1)StreetPRIME URBAN Sangen Jaya Ⅲ
Real estate
5-8-2 Kamiuma, Setagaya Ward, Tokyo
5-38-12 Kamiuma, Setagaya Ward, Tokyo
Six-minute walk from Shoin-jinja-mae Station on the Tokyu Setagaya
Line
March 4, 1992
Residence
Eight-floor steel-framed reinforced concrete/steel-reinforced
concrete structure with a flat roof
47

AccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing Units
Land
Area (Note 1)

409.68 m2

Floor Area

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 3)
Type of Master Leasing(Note 3)
Seismic Risk (PML)(Note 4)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 5)
Difference
Appraisal Value and Method
Appraisal NOI (Note 6)

1,105.76 m2
Ownership (right of site share 100%)
Ownership (unit ownership share 100%)
80%
300%
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
Pass through7.4% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥718 million
Undisclosed(Note 2)¥708 million
Undisclosed(Note 2)¥694 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Daiwa Real Estate Appraisal Co., Ltd.)¥35 million

Leasing Status (As of January 31, 2023) (Note 7)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor Space1¥47 million (including common area charges)¥3 million
98.2%
999.89 m2
1,018.72 m2－ ７ －Historical Occupancy Rates

February2018

February
2019

February
2020

February2021

February
2022

90.8%

100.0%

96.6%

94.6%

93.0%

(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Undisclosed because consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer priceand the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the date ofdisposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 3) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 4) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 5) Book Value
Anticipated book value at the date of disposition.
(Note 6) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 7) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name
Type of AssetRegistry
Location(Note 1)StreetAccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing Units
Land
Area (Note 1)

Floor Area

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 5)

PRIME URBAN Shinagawa Nishi
Real estate6-603-5 Yutaka-cho, Shinagawa Ward, Tokyo
6-24-13 Yutaka-cho, Shinagawa Ward, Tokyo
One-minute walk from Nakanobu Station on the Toei Subway
Asakusa LineJanuary 13, 1992
Store/Apartment
Ten-floor steel-framed reinforced concrete/steel-reinforced concrete
structure with a flat roof
46
313.32 m2(Note 2)
1,106.16 m2
Ownership
Ownership
100%(Note 3)
400%
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
－ ８ －Type of Master Leasing(Note 5)
Seismic Risk (PML)(Note 6)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 7)
Difference
Appraisal Value and Method
Appraisal NOI (Note 8)

Pass through
5.8% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥494 million
Undisclosed(Note 4)¥502 million
Undisclosed(Note 4)¥472 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Daiwa Real Estate Appraisal Co., Ltd.)¥31 million

Leasing Status (As of January 31, 2023) (Note 9)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates

1¥43 million (including common area charges)¥6 million
97.9%
941.54 m2
961.25 m2
February2018

February
2019

February
2020

February2021

February
2022

97.9%

100.0%

97.9%

93.8%

97.9%

(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Land Area
Includes an area of approximately 33.04 m2 which is regarded as a road under Article 42, paragraph (2) of the Building Standards Act.
(Note 3) Building Coverage Ratio
The Asset is located in a commercial zone where the building coverage ratio is 80% in principle. However, because the Asset is a certified
fireproof building in a fire prevention zone, the applied coverage ratio is 100%.
(Note 4) Undisclosed because consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer priceand the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the date ofdisposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 5) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 6) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 7) Book Value
Anticipated book value at the date of disposition.
(Note 8) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 9) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down

－ ９ －

to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name

PRIME URBAN Komagome
Beneficial interest in a trust in which a real estate is entrusted

Type of Asset

Mitsubishi UFJ Trust and Banking Corporation

Trustee of Trust
Term of Trust Agreement

From February 28, 2016 to February 27, 2026
6-517-20 (comprising two parcels of land) Komagome, Toshima
Ward, Tokyo
6-12-15 Komagome, Toshima Ward, Tokyo
Six-minute walk from Komagome Station on the Tokyo Metro
Namboku Line
September 1, 1988
Apartment/ResidenceFour-floor steel-reinforced concrete structure with a flat roof and 1
basement floor
22

Registry

Location(Note 1)StreetAccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing Units
Land
Area (Note 1)(i) 704.91 m2 (ii) 126.10 m2(Note 2)

Floor Area

1,374.14 m2

LandType ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 6)
Type of Master Leasing(Note 6)
Seismic Risk (PML)(Note 7)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 8)
Difference
Appraisal Value and Method
Appraisal NOI (Note 9)

Ownership (Partially co-owned)
Ownership (unit ownership share 100%)
80%(Note 3)
174%(Note 4)
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
Pass through5.6% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥437 million
Undisclosed(Note 5)¥440 million
Undisclosed(Note 5)¥455 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Chuo Real Estate Appraisal Co., Ltd.）¥26 million

Leasing Status (As of January 31, 2023) (Note 10)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates

1¥36 million (including common area charges)¥3 million
96.2%
954.65 m2
991.94 m2
February2018

February
2019

February
2020

February2021

February2022

100.0%

96.0%

100.0%

100.0%

100.0%(Note 1) Location and Other Items－ １０ －

Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Land Area(i) is an area of the owned land, and (ii) is an area of the co-owned land (the ratio of the Fund's share is a half). (i) includes an area ofapproximately 14.65 m2 (setback part) which is regarded as a road under Article 42, paragraph (2) of the Building Standards Act. (ii) is anarea whose location is designated as a road under Article 42, paragraph (1), item (v) of the Building Standards Act and an area which isregarded as a road (private road part) under Article 42, paragraph (2) of the Building Standards Act.
(Note 3) Building Coverage Ratio
The Asset is located in a category I medium-to-high-rise exclusive residential zone where the building coverage ratio is 60% in principle.
However, because the Asset is in a corner lot and is a certified fireproof building in a quasi-fire prevention zone, the applied coverage ratio
is 80%.
(Note 4) Floor Area Ratio
While the maximum floor area ratio for the Asset is designated as 300% in principle, the regulation on the width of the front road (approx.
4.35 m X 40%) is prioritized.
(Note 5) Undisclosed because the consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer
price and the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the dateof disposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 6) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 7) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 8) Book Value
Anticipated book value at the date of disposition.
(Note 9) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 10) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name
Type of AssetRegistry

Location(Note 1)StreetAccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing Units
Land
Area (Note 1)

Floor Area

PRIME URBAN Kasai II
Real estate
7-9-6 (comprising two parcels of land) Higashi Kasai, Edogawa Ward,Tokyo
7-9-7 Higashi Kasai, Edogawa Ward, Tokyo
Seven-minute walk from Kasai Station on the Tokyo Metro Tozai
Line
February 28, 2006
Apartment
Ten-floor steel reinforced concrete structure with flat roof
68502.89 m2
1,563.11 m2－ １１ －

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 4)
Type of Master Leasing(Note 4)
Seismic Risk (PML)(Note 5)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 6)
Difference
Appraisal Value and Method
Appraisal NOI (Note 7)

Ownership
Ownership
70%(Note 2)
300%
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
Pass through
6.1% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment Trust
Act.
¥981 million
Undisclosed(Note 3)¥849 million
Undisclosed(Note 3)¥1,030 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Chuo Real Estate Appraisal Co., Ltd.)¥47 million

Leasing Status (As of January 31, 2023) (Note 8)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates

1¥62 million(including common area charges)¥4 million
97.1%
1,395.55 m2
1,437.84 m2
February2018

February
2019

February
2020

February2021

February
2022

97.1%

100.0%

98.5%

100.0%

97.1%(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Building Coverage Ratio
The Asset is located in a category I medium-to-high-rise exclusive residential zone where the building coverage ratio is 60% in principle.
However, because the Asset is a certified fireproof building in a quasi-fire prevention zone, the applied coverage ratio is 70%.
(Note 3) Undisclosed because the consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer
price and the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the dateof disposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 4) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 5) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 6) Book Value
Anticipated book value at the date of disposition.
(Note 7) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 8) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.

－ １２ －

“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name
Type of AssetRegistry
Location(Note 1)StreetPRIME URBAN Asakusa
Real estate
3-8-2 (comprising two parcels of land) Asakusa, Taito Ward, Tokyo
3-33-11 Asakusa, Taito Ward, Tokyo
Ten-minute walk from Asakusa Station on the Tokyo Metro GinzaLine
February 23, 1987
Apartment
Seven-floor steel reinforced concrete structure with flat roof
22

AccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing Units
Land
Area (Note 1)

311.07 m2

Floor Area

1,101.69 m2

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company
Master Leasing Company(Note 5)
Type of Master Leasing(Note 5)
Seismic Risk (PML)(Note 6)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 7)
Difference
Appraisal Value and Method
Appraisal NOI (Note 8)

Ownership
Ownership
100%(Note 2)
360%(Note 3)
None
Nomura Real Estate Partners Co., Ltd.
Nomura Real Estate Partners Co., Ltd.
Pass through7.3% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥384 million
Undisclosed(Note 4)¥379 million
Undisclosed(Note 4)¥354 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Chuo Real Estate Appraisal Co., Ltd.）¥20 million

Leasing Status (As of January 31, 2023) (Note 9)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates

1¥27 million(including common area charges)¥2 million
90.9%
797.30 m2
876.70 m2
February2018

February
2019

February
2020

February2021

February2022

100.0%

95.6%

100.0%

100.0%

100.0%－ １３ －

(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Building Coverage Ratio
The Asset is located in a commercial zone where the building coverage ratio is 80% in principle. However, because the Asset is a certified
fireproof building in a fire prevention zone, the applied coverage ratio is 100%.
(Note 3) Floor Area Ratio
While the maximum floor area ratio for the Asset is designated as 400% in principle, the regulation on the width of the front road (6.00 m
X 60%) is prioritized.
(Note 4) Undisclosed because consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer priceand the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the date ofdisposition and the appraisal value at the end of the most recent period (February 28, 2023).
(Note 5) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 6) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 7) Book Value
Anticipated book value at the date of disposition.
(Note 8) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 9) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.
“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

Property Name
Type of AssetRegistry
Location(Note 1)StreetAccessCompletion Date (Note 1)
Use (Note 1)
Structure (Note 1)
Leasing Units
Land
Area (Note 1)

Floor Area

Land
Type ofOwnership
Building
Building Coverage Ratio
Floor Area Ratio
Collateral
Property Management Company

PRIME URBAN Gyotoku Ekimae
Real estate
2-26-8 Gyotoku Ekimae, Ichikawa City, Chiba
2-26-11 Gyotoku Ekimae, Ichikawa City, Chiba
Four-minute walk from Gyotoku Station on the Tokyo Metro Tozai
Line
May 27, 2006
Apartment
Five-floor steel reinforced concrete structure with flat roof
37427.00 m2
821.47 m2
Ownership
Ownership
60%
200%
None
Nomura Real Estate Partners Co., Ltd.
－ １４ －

Master Leasing Company(Note 3)
Type of Master Leasing(Note 3)
Seismic Risk (PML)(Note 4)
Notes
Acquisition Price
Scheduled Transfer PriceBook Value(Note 5)
Difference
Appraisal Value and Method
Appraisal NOI (Note 6)

Nomura Real Estate Partners Co., Ltd.
Pass through
5.9% (Based on the Earthquake PML Appraisal Report as of
September 2022 by Sompo Risk Management Inc.)
Nomura Real Estate Partners Co. Ltd., the property managementcompany, is considered a related party under the Investment TrustAct.
¥488 million
Undisclosed(Note 2)¥433 million
Undisclosed(Note 2)¥575 million (Based on the capitalization approach as of February
28, 2023)(Appraiser: Japan Real Estate Institute)¥25 million

Leasing Status (As of January 31, 2023) (Note 7)
Total Number of Tenants
Total Rental
Income(Annual)
Security Deposits
Occupancy Rate

Total Leased Floor Space
Total Leasable Floor SpaceHistorical Occupancy Rates

1¥30 million (including common area charges)¥2 million
94.6%
736.19 m2
778.19 m2
February2018

February
2019

February
2020

February2021

February2022

100.0%

100.0%

97.3%

97.3%

94.6%

(Note 1) Location and Other Items
Location (registry), Completion Date, Use, Structure and Area are based on the information in the real estate registry.
(Note 2) Undisclosed because consent has not been obtained from the transferee. Accordingly, the difference between the scheduled transfer priceand the book value is also undisclosed. The planned transfer price of the Asset exceeds both the anticipated book value at the date ofdisposition and the appraisal value at the end of the most recent period (February 28, 2023). The planned transfer price of the Asset
exceeds the anticipated book value at the date of disposition but falls below the appraisal value at the end of the most recent period(February 28, 2023).
(Note 3) Master Lease
The master lease agreement to be concluded is a “pass-through type” lease, which takes a form such that a master lease company pays theFund the same amount as the total rent based on lease agreements between the master lease company and end-tenants.
(Note 4) PML (Probable Maximum Loss)PML shows the probable maximum amount of loss that can be expected to incur once every 475 years or once every 50 years with 10%
probability during the anticipated period of use (i.e., 50 years as the expected lifetime of a standard building) as a ratio (percentage) of the
expected recovery cost to the replacement cost.
(Note 5) Book Value
Anticipated book value at the date of disposition.
(Note 6) Appraisal NOI“Appraisal NOI” is the annual NOI (operating income operating expenses) described in the real estate appraisal report with February 28,
2023 as the appraisal date.
(Note 7) Leasing Status“Total Number of Tenants” is stated as “1” because, for the purpose of subleasing, all of the rooms are leased as a block , and then thelessee under such lease agreement (the master lease agreement) sub leases each of the rooms to the end tenants.
“Total Rental Income” is the amount obtained by multiplying by 12 the monthly rent and common area charges stated in the lease agreements
by the total number of end tenants as of January 31, 2023, actually leasing space in the building of the Asset as of today (rounded down to
the nearest million yen). The figure does not include any other incidental rent that may be agreed upon in connection with the said leaseagreements, such as parking fees, signboard fees and warehouse fees.
“Security Deposits” indicates the amount of security and other deposits specified in the aforementioned lease agreements (rounded down
to the nearest million yen).
“Occupancy Rate” is calculated by dividing Total Leased Floor Space as of January 31, 2023, by Total Leasable Floor Space.
“Total Leased Floor Space” indicates the total floor space leased to end tenants as of January 31, 2023.

－ １５ －

“Total Leasable Floor Space” is the total floor space of offices, retail facilities, logistics facilities, residential facilities, hotels, etc. within the
As set that can be leased as of January 31, 2023 (if the common area, etc. is leased, the floor space thereof is included).

4.

Summary of Transferees of the Assets to Be Disposed of
Detailed information other than that the transferees are domestic specific purpose companies are not disclosed
because consent to the disclosure of detailed information has not been obtained from the transferees.
As of today, neither the Fund nor the Asset Management Company has any notable capital, personnel or transactional
relationships with the transferees, and the transferees are not related parties of either the Fund or the Asset Management
Company.

5.

Summary of Brokerage
Eight Residential Facility Properties
Company Name
Head Office
Representative
Principal Business

Nomura Real Estate Solutions Co., Ltd.
1-26-2 Nishi-Shinjuku, Shinjuku Ward, Tokyo
Kenichi Maeda, President

Brokerage of residential real estate, brokerage of commercial real estate,consignment sales business, insurance agency business, and operation of
information website on real estate¥1,000 million (as of April 1, 2022)

CapitalEstablished
November 6, 2000
Relationships with the Fund and/or the Asset Management Company and the Seller
CapitalPersonal

Transactions

Related Party
StatusBrokerage fee

6.

As a wholly owned subsidiary of Nomura Real Estate Holdings, Inc., which also holds
100% interests of the shares of the Asset Management Company, Nomura Real Estate
Solutions Co., Ltd. is a related party of the Asset Management Company as defined in
the Investment Trust Act.

Neither the Fund nor the Asset Management Company has any notable personal
relationship with the said company. In addition, any persons or companies
associated with the Fund or the Asset Management Company have no notablepersonal relationship with those associated with the relevant company.
Neither the Fund nor the Asset Management Company has any notabletransactions with the said company. In addition, any persons or companies
associated with the Fund or the Asset Management Company have no notabletransactions with those associated with the relevant company.
Nomura Real Estate Solutions Co., Ltd. does not fall under the definition of a
related party of the Fund for the accounting purpose. However, the said
company is a related party of the Asset Management Company as it is a
subsidiary of a common parent company, as stated above.
188,490 thousand yen (excluding consumption tax and local consumption tax.)

Transactions with Related Parties
The brokerage of the Dispositions involved in the Eight Residential Facility Properties, Nomura Real Estate Solutions
Co., Ltd., is a related party under the Investment Trust Act, as stated above. Accordingly, the consignment of the brokerage
service and the terms therefor, including the fees, have been duly examined and approved by the Asset Management
Company’s compliance committee and investment committee pursuant to its investment committee rules, rules ofcompliance, compliance manual, rules concerning transactions with related parties, and other relevant internal rules andguidelines.

－ １６ －

7.

Form of Payment, etc.

Regarding the disposition, on the scheduled sale date, the Fund will receive from the seller the entire purchaseprice of the Property to Be Sold in a lump sum. The Fund plans to use the cash obtained through the sale of
the Property for portfolio management, including the repayment of borrowings and the acquisition of properties.

8.

Schedule for the Transactions
March 20, 2023

March 31, 2023

Conclusion of a sale agreement for the disposition of NMF Nagoya Yanagibashi
Building
Conclusion of sale agreements for the dispositions of the Eight Residential Facility
Properties
Dispositions of the Eight Residential Facility Properties

April 7, 2023

Disposition of NMF Nagoya Yanagibashi Building

March 22, 2023

9.

Outlook
Regarding the impacts of the Transactions on the Fund’s management status in the fiscal periods ended
February 28, 2023 (September 1, 2022 to February 28, 2023) and ending August 31, 2023 (March 1, 2023 toAugust 31, 2023), please refer to “Notice Concerning Revised Forecasts of Financial Results for the Fiscal
Periods Ending August 31, 2023” announced as of today.

－ １７ －

10. Appraisal Summary

Property Name
Appraisal Value
Appraiser
Appraisal Date

NMF Nagoya Yanagibashi Building
2,230,000,000

Japan Valuers Co., Ltd.
February 28, 2023
(Yen)

Amount orPercentage

Item
Capitalization Approach Price
Price Calculated by
Capitalization Approach

2,230,000,000
theDirect2,230,000,000(1) Operating Income (a)-(b)(a) Gross Rental Income(b) Losses due to Vacancies, etc.

224,697,499
236,826,017(2) Operating Expenses
Maintenance Costs

91,708,751

12,128,518

19,803,000

Utilities Costs

18,450,000

Repair Costs

10,927,083

Property Management Fees

6,537,511

Advertisement for Leasing

1,557,384

Taxes
Insurance Premium

33,550,313

Other Expenses

425,407(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.
(5) Capital Expenditure Reserve(6) Net Cash Flow
(NCF = (3) + (4) - (5))(7) Capitalization Rate
Price calculated by the discounted cash
flow approach
Discount Rate

458,053

Calculated based on consideration of current rents, rent levels
Calculated on the assumption of a stable occupancy rate over the medium tolong term
Calculated based on consideration of the contract amount, and for fluctuating
portions, actual amounts
Calculated based on actual amounts and the general levels
Calculated with reference to the engineering report
Calculated with reference to the contract amount, the general levels and otherfactors
Calculated with reference to the contract amount, the general levels and otherfactors
Calculated based on actual amounts recorded in fiscal 2022
Calculated with reference to the contract amount, the general levels and otherfactors
Calculated based on consideration of CATV usage fee and various inspection
costs

1,883,756

Calculated based on an investment yield of 1.0%

32,396,333

Calculated with reference to the engineering report

102,476,171
4.6%
2,230,000,000
4.4%

4.8%

Matters
Noted
inReconciliationofIndicated Value andDeterminationofAppraisal Value

Calculated taking into account the capitalization approach price determinedusing both the direct capitalization approachCalculated by reducing based on the capitalization rate the standard level of
net revenue recognized as stable over the medium to long term calculated withreference to the cash flow analysis using the discounted cash flow approach

132,988,748

Terminal Capitalization Rate

Cost Approach Price
Ratio of Land
Ratio of Building

Grounds

Calculated with comprehensive consideration of the property’s specificcharacteristics with reference to yields on investments
Calculated based on a comprehensive consideration of factors such as the yieldon similar property transactions, the probable future movement of the yield
on investment, risks of the property as an investment, general forecasts of theeconomic

5,390,000,000
94.7%
5.3%
The Property is located in a prime commercial area surrounding Nagoya Station, which is the busiest area in the city, where
high-rise store and office buildings are densely built along Hirokoji-dori, a main street in Nagoya City. There areredevelopment projects around Nagoya Station in addition to the Linear Chuo Shinkansen project, and this area is expected
to continue to develop as a central district of Nagoya City. In addition, the Property is expected to continue to operate stably
as a store and office building of a certain grade. In view of the above factors, the appraisal value was determined with anemphasis on the capitalization approach price appropriately reflecting the value for typical investors.

－ １８ －

(Yen)

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Yoyogi¥357,000,000
Chuo Real Estate Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item
Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income

Amount orPercentage
357,000,000

360,000,000

23,818,000
1,528,000

397,000

Repair Costs

1,493,000

Property Management Fees

1,113,000

Advertisement for Leasing
Taxes
Insurance Premium
Other Expenses(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

1,108,000
1,042,000
43,00034,00017,0002,546,000(6) Net Cash Flow
(NCF = (3) + (4) - (5))

12,949,000

Price calculated by the discounted cash
flow approach
Discount Rate

3.6%

Calculated based on an investment yield of 1.0%
Large-scale repair costs and facility renewal costs expected to be incurred arerecorded equally in each year, and the annual

Calculated based on consideration of the particular characteristics of theProperty such as locational conditions, building conditions, and ownership andinterests concerned, with reference to the investment yields involved in thetransactions, etc. of comparable properties

355,000,000
3.4%

Terminal Capitalization Rate
3.8%
Cost Approach Price
Ratio of Land
Ratio of Building

Calculated on the assumption of a stable occupancy rate (vacancy rate) overthe medium to long term, taking into consideration the occupancy results ofthe property and similar properties as well as the future market outlook andother factors
Calculated based on past results taking in consideration cost levels at similar
properties and other factors
The total amount of small-scale repair costs and restoration costs is recorded.
The total amount of property management fees and construction
management fees is recorded.
The total amount of brokerage fees and other expenses, advertisement costand renewal fees is recorded.
The most recent results were adopted.
The most recent results were adopted.
CATV usage fee

15,478,000(5) Capital Expenditure Reserve(7) Capitalization Rate

Calculated based on appropriate rent levels recognized as stable over the
medium to long term.
Calculated based on a stable occupancy rate (vacancy rate) over the medium
to long term, taking into consideration the occupancy results of the property
and similar properties as well as the future market outlook and other factors

6,812,000
1,582,000

Utilities Costs

Calculated with an emphasis on the capitalization approach price calculatedusing the discounted cash flow approach, associating it also with thecapitalization approach price calculated using the direct capitalization
approachCalculated by reducing stable medium-to long-term net cash

22,290,000(b) Losses due to Vacancies, etc.

(2) Operating Expenses
Maintenance Costs

Grounds

Calculated with comprehensive consideration of the property’s specificcharacteristics with reference to yields on investments
Calculated based on a comprehensive consideration of factors such as the yieldon similar property transactions, the probable future movement of the yield
on investment, risks of the property as an investment, general forecasts of theeconomic

329,000,000
74.2%
25.8%

Calculated taking into account the capitalization approach price determinedusing both the direct capitalization approach－ １９ －

Matters
Notedin
ReconciliationofIndicated Value andDeterminationofAppraisal Value－

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Nishi Shinjuku II¥1,020,000,000
Tanizawa Sogo Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item
Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income(b) Losses due to Vacancies, etc.
(2) Operating Expenses
Maintenance Costs
Utilities Costs

Amount orPercentage
1,020,000,000
1,030,000,000
54,876,779
57,668,491
2,791,712
15,333,745
2,232,096
837,036

Repair Costs

Grounds
Calculated using the capitalization approach by using the value calculated using
the discounted cash flow approach as the baseline and evaluating it using thedirect capitalization approachCalculated by reducing the standardized net cash flow (NCF) by thecapitalization rate
Calculated based on the rent levels in the market and other factors
Calculated based on the medium-to-long term leveled vacancy rate
Calculated based on the current contract and the income and expenditure
results
Calculated based on the income and expenditure results and other factors

Property Management Fees
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Taxes
Insurance Premium

1,597,186
1,630,405
3,114,100
85,520

The restoration costs, and building repair costs calculated with consideration
given to building age and similar cases, etc. with reference to the ER arerecorded
Calculated based on the current contract
Calculated based on the current contract
Calculated based on the fiscal year 2022 information
Calculated based on the insurance premiums list

Other Expenses

3,018,223

Calculated based on the income and expenditure results and other factors

2,819,179(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

39,543,034
41,244(5) Capital Expenditure Reserve

4,462,000(6) Net Cash Flow
(NCF = (3) + (4) - (5))

35,122,278(7) Capitalization Rate
Price calculated by the discounted cash
flow approach
Discount Rate
Terminal Capitalization Rate
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

3.4%

Calculated based on an investment yield of 1.0%
The amount calculated with consideration given to building age and similarcases, etc. with reference to the ER is recorded

Calculated based mainly on the yields of similar rental condominiumtransactions, with reference to the characteristics of the area surrounding theproperty, the property's particular characteristics and other factors

1,010,000,000
3.4%
3.6%

Calculated with reference to the individual risks for the property and otherfactors
Calculated based on the capitalization rate, with consideration given to levelsof future forecast uncertainty

686,000,000
73.3%
26.7%

－ ２０ －

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Sangen JayaⅢ¥694,000,000
Daiwa Real Estate Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item
Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income(b) Losses due to Vacancies, etc.
(2)Operating Expenses
Maintenance Costs
Utilities Costs

Amount orPercentage
694,000,000
702,000,000

50,419,772
2,371,428

1,805,208
813,780

Property Management Fees
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Taxes
Insurance Premium

1,441,654
2,035,494
1,823,400
87,050

Other Expenses

288,290

36,083
6,526,930(6) Net Cash Flow
(NCF = (3) + (4) - (5))

28,769,357
4.1%

Calculated based on an investment yield of 1.0%
Calculated in consideration of the annual average amount equivalent torenewal fees given in the engineering report and CM fee

Calculated with reference to the yields on investments in similar properties andinvestors’ opinions with consideration of the characteristics of the areasurrounding the property and the property's particular characteristics

690,000,000
3.9%

Terminal Capitalization Rate
4.3%
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

Recorded based on the judgment that the current contract amount isreasonableCalculated with reference to the actual amounts recorded in the past fiscal
years
Repair cost: Calculated based on the annual average amount equivalent torepair cost given in the engineering report
Tenant replacement cost: Calculated in consideration of the replacement andvacancy rates
Recorded based on the judgment that the current contract
Calculated with reference to the levels of similar properties
Calculated based on actual amounts recorded in the fiscal year 2022
Recorded based on the judgement that the actual amount is reasonableCalculated and recorded with reference to the actual amounts recorded in thepast fiscal years

35,260,204(5) Capital Expenditure Reserve

Price calculated by the discounted cash
flow approach
Discount Rate

Calculated based on appropriate rent levels recognized as stable over the
medium to long term.
Calculated on the assumption of a stable occupancy rate over the medium tolong term

12,788,140

4,493,264(7) Capitalization Rate

Calculated by evaluating the capitalization approach price with the direct
capitalization approach, using the capitalization approach price calculated by
the discounted cash flow approach as the baseline.
Calculated by reducing stable medium-to long-term net cash

48,048,344

Repair Costs(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

Grounds

Calculated by comparing to the investment yields in similar properties andconsidering the yield on the financial asset with the property’s specificcharacteristics taken into account, and also referring to investors’ opinions
Calculated based on the above capitalization rate with comprehensive
consideration of the probable future movement of the yield on investment,risks of the property as an investment, general forecasts of the economic
growth rate and price trends in real estate and rents

516,000,000
83.6%
16.4%

－ ２１ －

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Shinagawa Nishi¥472,000,000
Daiwa Real Estate Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item
Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income(b) Losses due to Vacancies, etc.
(2) Operating Expenses
Maintenance Costs
Utilities Costs

Amount orPercentage
472,000,000
476,000,000
42,346,595
44,510,603
2,164,008
11,292,072
2,013,204
453,461

Repair Costs
3,952,008
Property Management Fees
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993,568
1,796,154

Taxes
Insurance Premium

1,795,300
79,087

Other Expenses

209,290(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

61,08011,590,108(6) Net Cash Flow
(NCF = (3) + (4) - (5))

19,525,495

Price calculated by the discounted cash
flow approach
Discount Rate

4.1%

Calculated based on consideration of current rents, rent levels
Calculated based on consideration of the current vacancy rate,vacancy rates in the market and other factors
Recorded based on the judgment that the current contract
Calculated and recorded with reference to the actual amounts recorded in thepast fiscal years
Repair cost: Calculated based on the annual average amount of repair cost
given in the engineering report
Tenant replacement cost: Calculated in consideration of the replacement andvacancy rates
Recorded based on the judgment that the current contract
Calculated and recorded with reference to the cost levels at comparable
properties and other factors
Calculated based on actual amounts recorded in the fiscal year 2022
Recorded based on the judgement that the actual amount is reasonableCalculated and recorded with reference to the actual amounts recorded in thepast fiscal years

Calculated based on an investment yield of 1.0%
Calculated in consideration of the annual average renewal fees given in theengineering report and CM fee

Calculated with reference to the yields on investments in similar properties andinvestors’ opinions with consideration of the characteristics of the areasurrounding the property and the property's particular characteristics

470,000,000
3.9%

Terminal Capitalization Rate
4.3%
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

Calculated by evaluating the capitalization approach price with the direct
capitalization approach, using the capitalization approach price calculated by
the discounted cash flow approach as the baseline.
Calculated by reducing stable medium-to long-term net cash

31,054,523(5) Capital Expenditure Reserve(7) Capitalization Rate

Grounds

Calculated by comparing to the investment yields in similar properties andconsidering the yield on the financial asset with the property’s specificcharacteristics taken into account, and also referring to investors’ opinions
Calculated based on the above capitalization rate with comprehensive
consideration of the probable future movement of the yield on investment,risks of the property as an investment, general forecasts of the economic
growth rate and price trends in real estate and rents

449,000,000
81.9%
18.1%

－ ２２ －

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Komagome¥455,000,000
Chuo Real Estate Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item

Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income

Amount orPercentage
455,000,000

452,000,000

38,519,000
2,086,000

Utilities Costs

2,083,000
1,131,000
1,946,000

Property Management Fees

1,130,000
1,310,000

Taxes
Insurance Premium

2,062,000
70,000

Other Expenses

36,000(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

27,0008,169,000(6) Net Cash Flow
(NCF = (3) + (4) - (5))

18,523,000

Price calculated by the discounted cash
flow approach
Discount Rate

4.1%

CATV usage fee

Calculated based on an investment yield of 1.0%
Large-scale repair costs and facility renewal costs expected to be incurred arerecorded equally in each year, and the annual

Calculated based on consideration of the particular characteristics of theProperty such as locational conditions, building conditions, and ownership andinterests concerned, with reference to the investment yields involved in thetransactions, etc. of comparable properties

456,000,000
3.9%

Terminal Capitalization Rate
4.3%
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

Calculated based on the current BM contract conditions in consideration of
the past results, the cost levels at similar
Calculated based on past results taking in consideration cost levels at similar
properties and other factors
The total amount of small-scale repair costs and restoration costs is recorded.
The total amount of property management fees and construction
management fees is recorded.
The total amount of brokerage fees and other expenses, advertisement costand renewal fees is recorded.
The most recent results were adopted.
The most recent results were adopted.

26,665,000(5) Capital Expenditure Reserve(7) Capitalization Rate

Calculated based on appropriate rent levels recognized as stable over the
medium to long term.
Calculated based on a stable occupancy rate (vacancy rate) over the medium
to long term, taking into consideration the occupancy results of the property
and similar properties as well as the future market outlook and other factors

9,768,000

Repair Costs

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Calculated with an emphasis on the capitalization approach price calculatedusing the discounted cash flow approach, associating it also with thecapitalization approach price calculated using the direct capitalization
approachCalculated by reducing stable medium-to long-term net cash

36,433,000(b) Losses due to Vacancies, etc.

(2) Operating Expenses
Maintenance Costs

Grounds

Calculated with comprehensive consideration of the property’s specificcharacteristics with reference to yields on investments
Calculated based on a comprehensive consideration of factors such as the yieldon similar property transactions, the probable future movement of the yield
on investment, risks of the property as an investment, general forecasts of theeconomic

550,000,000
88.9%
11.1%

－ ２３ －

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Kasai II¥1,030,000,000
Chuo Real Estate Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item

Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income

Amount orPercentage
1,030,000,000

1,040,000,000

Calculated with an emphasis on the capitalization approach price calculatedusing the discounted cash flow approach, associating it also with thecapitalization approach price calculated using the direct capitalization
approachCalculated by reducing stable medium-to long-term net cash

64,103,000
66,888,000(b) Losses due to Vacancies, etc.
2,785,000(2) Operating Expenses
Maintenance Costs

Grounds

Calculated based on appropriate rent levels recognized as stable over the
medium to long term.
Calculated based on a stable occupancy rate (vacancy rate) over the medium
to long term, taking into consideration the occupancy results of the property
and similar properties as well as the future market outlook and other factors

16,540,000

Taxes
Insurance Premium

3,057,000
93,000Calculated based on the current BM contract conditions in consideration of
the past results, the cost levels at similar
Calculated based on past results taking in consideration cost levels at similar
properties and other factors
The total amount of small-scale repair costs and restoration costs is recorded.
The total amount of property management fees and construction
management fees is recorded.
The total amount of brokerage fees and other expenses, advertisement costand renewal fees is recorded.
The most recent results were adopted.
The most recent results were adopted.

Other Expenses

408,000

CATV usage fee

Utilities Costs

2,761,000
828,000

Repair Costs

4,567,000

Property Management Fees

1,921,000

Advertisement for Leasing(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

2,905,000

47,563,000
96,000(5) Capital Expenditure Reserve

6,224,000(6) Net Cash Flow
(NCF = (3) + (4) - (5))

41,435,000(7) Capitalization Rate
Price calculated by the discounted cash
flow approach
Discount Rate

4.0%

Large-scale repair costs and facility renewal costs expected to be incurred arerecorded equally in each year, and the annual

Calculated based on consideration of the particular characteristics of theProperty such as locational conditions, building conditions, and ownership andinterests concerned, with reference to the investment yields involved in thetransactions, etc. of comparable properties

1,020,000,000
3.8%

Terminal Capitalization Rate
4.2%
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

Calculated based on an investment yield of 1.0%

Calculated with comprehensive consideration of the property’s specificcharacteristics with reference to yields on investments
Calculated based on a comprehensive consideration of factors such as the yieldon similar property transactions, the probable future movement of the yield
on investment, risks of the property as an investment, general forecasts of theeconomic

560,000,000
57.7%
42.3%

－ ２４ －

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Asakusa¥354,000,000
Chuo Real Estate Appraisal Co., Ltd.
February 28, 2023
(Yen)

Item

Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income

Amount orPercentage
354,000,000

356,000,000

32,582,000
1,381,000

Utilities Costs

2,104,000
1,005,000
2,306,000

Property Management Fees

1,579,000

Taxes
Insurance Premium
Other Expenses(3) Net Operating Income from
Leasing Business(NOI = (1) - (2))(4) Profit through Management of
Temporary Deposits, etc.

1,723,000
1,454,000
58,0006,000

24,0006,385,000(6) Net Cash Flow
(NCF = (3) + (4) - (5))

14,605,000

Price calculated by the discounted cash
flow approach
Discount Rate

4.1%

Utility pole use fee

Calculated based on an investment yield of 1.0%
Large-scale repair costs and facility renewal costs expected to be incurred arerecorded equally in each year, and the annual

Calculated based on consideration of the particular characteristics of theProperty such as locational conditions, building conditions, and ownership andinterests concerned, with reference to the investment yields involved in thetransactions, etc. of comparable properties

353,000,000
3.9%

Terminal Capitalization Rate
4.3%
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

Calculated based on the current BM contract conditions in consideration of
the past results, the cost levels at similar
Calculated based on past results taking in consideration cost levels at similar
properties and other factors
The total amount of small-scale repair costs and restoration costs is recorded.
The total amount of property management fees and construction
management fees is recorded.
The total amount of brokerage fees and other expenses, advertisement costand renewal fees is recorded.
The most recent results were adopted.
The most recent results were adopted.

20,966,000(5) Capital Expenditure Reserve(7) Capitalization Rate

Calculated based on appropriate rent levels recognized as stable over the
medium to long term.
Calculated based on a stable occupancy rate (vacancy rate) over the medium
to long term, taking into consideration the occupancy results of the property
and similar properties as well as the future market outlook and other factors

10,235,000

Repair Costs

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Calculated with an emphasis on the capitalization approach price calculatedusing the discounted cash flow approach, associating it also with thecapitalization approach price calculated using the direct capitalization
approachCalculated by reducing stable medium-to long-term net cash

31,201,000(b) Losses due to Vacancies, etc.

(2) Operating Expenses
Maintenance Costs

Grounds

Calculated with comprehensive consideration of the property’s specificcharacteristics with reference to yields on investments
Calculated based on a comprehensive consideration of factors such as the yieldon similar property transactions, the probable future movement of the yield
on investment, risks of the property as an investment, general forecasts of theeconomic

247,000,000
81.4%
18.6%

－ ２５ －

Property Name
Appraisal Value
Appraiser
Appraisal Date

PRIME URBAN Gyotoku Ekimae¥575,000,000
Japan Real Estate InstituteFebruary 28, 2023
(Yen)

Item
Capitalization Approach Price
Price Calculated by the Direct
Capitalization Approach(1) Operating Income (a)-(b)(a) Gross Rental Income(b) Losses due to Vacancies, etc.
(2) Operating Expenses
Maintenance Costs
Utilities Costs

Amount orPercentage

Grounds

575,000,000
580,000,000
32,333,000
34,034,000
1,701,000

1,556,000
320,000
1,828,000

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Taxes
Insurance Premium
Other Expenses(3) Net Operating Income from
Leasing Business(NOI=(1)-(2) )(4) Profit through Management of
Temporary Deposits, etc.

925,000
1,047,000
1,568,000
47,000024,0003,035,000(6) Net Cash Flow
(NCF = (3) + (4) - (5))

22,031,000

Price calculated by the discounted cash
flow approach
Discount Rate

3.8%

There are no specific expenses to record as other expenses.

Calculated based on an investment yield of 1.0%
Calculated based on the assumption of average allocations each period, capital
expenditure levels at similar properties, the building’s age, the annual average
maintenance and renewal fees given in the engineering report and other factors

Calculated based on a comprehensive consideration of the property’s
conditions of location, building and others

570,000,000
3.6%

Terminal Capitalization Rate
3.9%
Cost Approach Price
Ratio of Land
Ratio of Building
Matters
Noted
inReconciliationofIndicated Value and －DeterminationofAppraisal Value

Calculated with reference to the actual amounts in past fiscal years and costlevels for comparable properties
Calculated with reference to the actual amounts in past fiscal years and costlevels for comparable properties
Recorded based on a consideration of restoration cost calculated, the annual
average amount of repair and renewal costs given in the engineering reportand other factors
Calculated with reference to the current compensation fee rate, compensation
fee rates adopted to similar properties and other factors
Calculated with reference to the current contract conditions, the rental
conditions at similar properties in the surrounding area and other factors
Calculated based on the tax base amounts in the fiscal year 2022
Calculated with reference to the premium based on the current insurance
contract, the premium rates at similar properties and other factors

25,042,000(5) Capital Expenditure Reserve(7) Capitalization Rate

Calculated based on appropriate rent levels recognized as stable over the
medium to long term.
Calculated on the assumption of a stable occupancy rate over the medium tolong term

7,291,000

Repair Costs

Property Management Fees

Calculated taking into account the capitalization approach price determinedusing both the direct capitalization approachCalculated by reducing stable medium-to long-term net cash

Calculated with comprehensive consideration of the property’s specificcharacteristics with reference to yields on investments
Calculated based on a comprehensive consideration of factors such as the yieldon similar property transactions, the probable future movement of the yield
on investment, risks of the property as an investment, general forecasts of theeconomic

371,000,000
64.2%
35.8%

－ ２６ －

[Exhibit]
Exhibit

Overview of the Portfolio after the Transaction*Nomura Real Estate Master Fund, Inc.’s website: https://www.nre-mf.co.jp/en/－ ２７ －

Exhibit
Overview of the Portfolio after the Transaction(¥ million)
Area
SectorGreater Tokyo Area
(Note 1)Other Areas(Anticipated) Total

Investment Ratio

Acquisition Price(%)(by Sector)(Note 2)

Office403,585

65,100468,68542.7

Retail109,888

67,890177,779

16.2

Logistics

220,472

3,460

223,932

20.4

Residential

186,306

30,681

216,987

19.8

Hotels

-

6,250

6,250

0.6

Others

4,900

―

4,900

0.4

(Anticipated)
Total Acquisition
Price (by Area)

925,152

173,381

1,098,534

100.0

Investment Ratio (%)(Note 2)

84.2

15.8

100.0

(Note 1) “Greater Tokyo Area” refers to Tokyo Prefecture, Kanagawa Prefecture, Chiba Prefecture and Saitama Prefecture. “Other Areas” refers
to cabinet-order designated cities, prefectural capitals, and cities having a population of at least 100,000 and their peripheral areas,
excluding those in Greater Tokyo Area.
(Note 2) “Investment Ratio” indicates the ratio of the (anticipated) total acquisition price of properties for each use or in each area to the(anticipated) total acquisition price of the entire portfolio. As the figures are rounded to the first decimal place, they may not add up to
exactly 100%.