[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 Revised Forecasts of Financial Result
for the Fiscal Periods Ending August 31, 2023
Nomura Real Estate Master Fund, Inc. (“NMF” or the “Fund”) announced its decision to revise forecasts of the financial
result and distribution for the fiscal period ending August 31, 2023 (16th fiscal period: from March 1, 2023 to August 31,2023) announced on October 18, 2022 in the “Summary of Financial Results (REIT) for the 14th Fiscal Period Ended
August 31, 2022”, as described below.
1. Revised forecasts of the financial result for the fiscal period ending August 31, 2023 (16th fiscal period: from March 1,2023 to August 31, 2023)
Operating
Revenues(Millions ofYen)
Previousforecast(A)Net Income(Millions ofYen)

Distribution Per
Unit (Excluding
Distribution in
Excess of NetIncome)(Yen)

Distribution in
Excess of Net
Income Per Unit
(Yen)

Total
Distribution Per
Unit (Including
Distribution in
Excess of Net
Income)(Yen)

12,757

12,756

2,704

557

3,261

18,881

16,667

16,683

3,402

-

3,402

3,913

3,909

3,927

698

△557141

Operating Profit(Millions ofYen)

Ordinary
Income(Millions ofYen)

38,923

14,968

Revised
Forecast(B)

43,882

Change(B-A)

4,958

Rate ofchange((B-A)/A)%
12.7%
26.1%%

30.6

30.8%%
25.8△100.0(Reference)Anticipated total number of investment units outstanding as of August 31, 2023: 4,715,200 units
Anticipated net income per unit as of August 31, 2023: 3,538 yen-1-%
4.3

(Note 1)The forecasts presented in this document are calculated as of today, based on the assumptions set forth in the attached “Assumptions
for Forecasts of the Financial Results for the Fiscal Periods Ending August 31, 2023 (16th fiscal period: from March 1, 2023 toAugust 31, 2023)” as the Exhibit. The actual operating revenues, operating profit, ordinary income, net income, distribution per unit
(excluding distribution in excess of net income) and distribution in excess of net income per unit may differ due to future acquisition
or disposition of properties, changes in the real estate market and other factors affecting NMF. NMF does not guarantee the amountof cash distribution nor distribution in excess of net income stated above.
(Note 2)The forecasts may be revised if a certain variance from the forecasts mentioned above is expected.
(Note 3)Amounts less than the stated units are rounded down. The figures displayed as ratio are rounded to the first decimal place. The same
shall apply hereinafter.

2. Reasons for revision
Following the decisions of the disposition of the assets announced on “Notice Concerning Acquisition and Dispositionof Domestic Real Estate and Trust Beneficial Interests in Domestic Real estate” dated March 14, 2023 and “NoticeConcerning Disposition of Domestic Real Estate and Trust Beneficial Interests in Domestic Real estate” dated today, which
generates ¥4,339 million of gain on sale, NMF has revised its forecasts due to the changes in the assumption for forecastsof the financial result and distribution for the fiscal periods ending August 31, 2023 (16th fiscal period: from March 1, 2023
to August 31, 2023) announced in the “Summary of Financial Results (REIT) for the 14th Fiscal Period Ended August 31,2022” dated October 18, 2022. There will be no revision in earnings and distribution forecasts for the 15th fiscal period
ended February 28, 2023 released in the “Summary of Financial Results (REIT) for the 14th Fiscal Period Ended August31, 2022” dated October 18, 2022 on this announcement. Further, NMF is scheduled to announce financial results for the15th fiscal period ended February 28, 2023 on April 18, 2023.

*Nomura Real Estate Master Fund, Inc. URL: https://www.nre-mf.co.jp/en/-2-

[Exhibit]

Assumptions for Forecasts of the Financial Results for
the Fiscal Periods Ending August 31, 2023 (16th fiscal period: from March 1, 2023 to August 31, 2023)
Item
PeriodAssumptions
 16th Fiscal Period: March 1, 2023 to August 31, 2023

Assets underManagement

 In addition to properties held by the Fund as of the date hereof (292 properties)(the “Acquired Assets”), it is assumed that the Fund will acquire 9 properties anddispose of 11 properties by the end of the Fiscal Period Ending August 31, 2023
(16th Fiscal Period).
 Of the 5 properties to be acquired as announced in the “Notice Concerning
Property Acquisition” dated February 28, 2023, it is assumed that (i) Landport
Shinonome / Yasuda Soko will be acquired on March 24, 2023; and (ii) PROUDFLAT Kikukawa, PROUD FLAT Asakusa, PROUD FLAT Kinshicho II, andMEFULL Chayamachi will be acquired on April 3, 2023. It is also assumed that (iii)
SOMPO CARE La vie Re Residence Yoga, Grapes Tsujido Nishi-Kaigan, SOMPOCARE Sompo no ie Omori-Nishi, and SOMPO CARE La vie Re Residence Shonan
Tsujido which are the 4 properties to be acquired as announced in the “NoticeConcerning Acquisition and Disposition of Domestic Real Estate and Trust
Beneficial Interests in Domestic Real estate” dated March 14, 2023, will be acquired
on May 31, 2023 (those 9 properties are hereinafter collectively referred to as the“Assets to be Acquired”).
 Of the 9 properties to be disposed of as announced in the “Notice Concerning
Disposition of Domestic Real Estate and Trust Beneficial Interests in Domestic Realestate” dated today, it is assumed that (i) 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 will be disposed of on March 31,2023; and (ii) NMF Nagoya Yanagibashi Building will be disposed of on April 7,2023. It is also assumed that (iii) NMF Tenjin-Minami Building and PRIME URBAN
Otsuka, which are the 2 properties to be disposed of announced in the “NoticeConcerning Acquisition and Disposition of Domestic Real Estate” dated March 14,2023, will be disposed of on May 31, 2023 (those 11 properties are hereinaftercollectively referred to as the “Assets to be Disposed of ”).
 The forecasts are based on the assumption that (a) the Assets to be Acquired arerespectively acquired on the above-mentioned dates, (b) the Assets to be Disposedof are respectively disposed of on the above-mentioned dates, and that (c) there will
be no other changes in assets under management (such as new property acquisitions
and sales of portfolio properties) through the end of the Fiscal Period Ending
August 31, 2023 (16th Fiscal Period).
 The forecasts may be affected due to actual changes in the portfolio or other reasons.

Operating Revenues

 The rental revenues are estimated based on the tenant trends, competitive properties
located in adjacent areas, and the real estate market conditions, among other factors,
and it is assumed that there are no arrears and non-payment by tenants.

 Real estate rental expenses are estimated to be ¥17,893 million for the Fiscal PeriodEnding August 31, 2023 (16th Fiscal Period).
Operating Expenses
 Regarding property and other taxes, it is estimated that ¥3,339 million for the Fiscal(excluding Amortization ofPeriod Ending August 31, 2023 (16th Fiscal Period) will be recorded as real estateGoodwill)rental expenses. In general, the fixed asset taxes and urban planning taxes that will
be imposed, relevant to the year in which such properties will be acquired, will be-3-Item

Assumptions

Amortization ofGoodwill

Non-operatingExpensesInterest-bearingdebt

Investment Units

divided between the seller and the purchaser on a pro-rata basis based on holding
period and settled at the time of acquisition, and such taxes are deemed asacquisition costs and, are not included in the expenses. Therefore, the fixed asset
taxes and urban planning taxes regarding the Assets to be Acquired will not berecorded as expenses for the Fiscal Period Ending August 31, 2023 (16th Fiscal
Period).
Regarding property management costs (including building management fees andproperty management fees), it is estimated that ¥2,933 million for the Fiscal PeriodEnding August 31, 2023 (16th Fiscal Period) will be recorded as real estate rentalexpenses.
Expenses for repairs and maintenance required for each fiscal period expected to berecorded as real estate rental expenses are calculated based on the mid-to-long term
repair plans that the Asset Management Company of the Fund has established.
However, the actual expenses for the repairs and maintenance for the relevant fiscal
period may differ significantly from the estimates due to the expenses for urgent
repair of damages to a building caused by events difficult to foresee and the tendency
for significant fluctuation in amounts period by period or that the expenses forcertain types of repair are not required periodically. The amount of repair expenses
for the Fiscal Period Ending August 31, 2023 (16th Fiscal Period) is estimated to be¥1,750 million.
Regarding depreciation, it is estimated that ¥5,774 million for the Fiscal PeriodEnding August 31, 2023 (16th Fiscal Period) will be recorded as real estate rentalexpenses.
It is estimated that other operating expenses (including fees payable to the AssetManagement Company, the custodian of assets and the general administrators) willbe ¥4,485 million for the Fiscal Period Ending August 31, 2023 (16th Fiscal Period).
Goodwill will be amortized using the straight-line method over 20 years on a regularbasis pursuant to the Business Combination Accounting Standards, and the amountof amortization of goodwill for the Fiscal Period Ending August 31, 2023 (16thFiscal Period) is estimated to be ¥2,622 million.
Goodwill amortization cost is an item that causes difference between accounting
and tax treatment and may result in the imposition of corporation tax or other taxes.
The Fund intends to make distributions in excess of net income for the purpose oftax relief during the goodwill amortization period, and it is expected that the Fundwill be able to avoid such taxation.
Interest expenses and other borrowing related expenses are expected to be ¥2,204
million for the Fiscal Period Ending August 31, 2023 (16th Fiscal Period).
As of the date hereof, the outstanding interest-bearing debt of the Fund is ¥517,420
million, consisting of the amount of ¥485,420 million of outstanding borrowings
and the amount of ¥32,000 million of outstanding investment corporation bonds.
It is assumed that the Fund will conduct borrowings (¥4,000 million) in the FiscalPeriod Ending August 31, 2023 (16th Fiscal Period), for a part of the funds for theacquisition of the Assets to be Acquired. Regarding the borrowings of ¥30,842
million that will become due and payable by the end of the Fiscal Period Ending
August 31, 2023 (16th Fiscal Period), it is assumed that the Fund will repay ¥42
million each by cash on hand in the Fiscal Period Ending August 31, 2023 (16thFiscal Period), respectively, and will refinance the remaining amount throughborrowings.
It is assumed that there will be no changes in the amount of the outstanding interestbearing debt, other than as stated above.
Forecasts are based on the number of investment units issued and outstanding asof this document’s publication, 4,715,200 units. NMF assumes that there will be no-4-

ItemAssumptions

Distribution Per Unit

Distribution inExcess of Net IncomePer Unit

additional issuance of new investment units through August 31, 2023 (the end ofthe 16th fiscal period).
Distribution per unit is calculated in accordance with the Fund’s distribution policy
outlined in its Articles of Incorporation.
For the fiscal period under review, the figure arrived at by subtracting a portion ofgains on sale of real estate and others from net income after amortization ofgoodwill is planned as the amount of distribution. It is also assumed that a portionof gains on sale will be retained as reserve for reduction entry pursuant to Article65-7 of the Act on Special Measures Concerning Taxation “Special Provisions forTaxation in Cases of Repurchase of Specified Assets.”
NMF assumes that, of the allowance for temporary difference adjustments accrued
up to the present, the amount eliminated in the Fiscal Period Ending August 31,2023 (16th Fiscal Period) (¥26 million) will be reversed from retained earnings at
the period end.
Distribution per unit is calculated assuming that the variation in the market price ofinterest rate swaps do not affect distribution per unit in the Fiscal Period Ending
August 31, 2023 (16th Fiscal Period).
Distribution per unit may vary due to various factors, including changes in theinvestment portfolio, changes in rent income caused by tenant replacements, andunforeseen repairs.
Distribution in excess of net income (distribution in excess of net income per unit)
is not planned for the Fiscal Period Ending August 31, 2023 (16th Fiscal Period) asof today.


Other

It is assumed that there will be no amendments in legislation, taxation, accounting
principles, listing requirements, the Investment Trusts Association Japan Regulations
or other laws or regulations that would affect the above forecasts.
 It is assumed that there will be no unexpected material changes in general economic
conditions and real estate markets.

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