Ichigo Office REIT
Semi-Annual Report (Audited)
35th Fiscal Period
November 1, 2022 – April 30, 2023

Ichigo Office REIT Investment Corporation
Imperial Hotel Tower, 1-1-1 Uchisaiwaicho, Chiyoda-ku, Tokyo 100-0011

Message from Management

We extend our gratitude to all Ichigo Office shareholders for your trust.
Ichigo Office has continuously worked to drive shareholder value by executing various measures, and as a result,achieved all-time highs in profits and dividends per share for the April 2023 period.
During the April 2023 period, we conducted a strategic asset acquisition and sales to drive sustainable growth. In
December 2022, we sold the Ichigo Ikenohata Building (sales price 10.6 billion yen) at nearly 2.0x book value,and earned gain on sales of 4.3 billion yen. In return, we acquired the Ichigo Marunouchi South Building (1.75
billion yen), an asset located in Nagoya, which is our second largest investment area following Tokyo, in November
2022. In January 2023, we acquired two assets located in Fukuoka, the Ichigo Hakataeki Higashi Building (3.5billion yen), and the Fukuoka Kensetsu Kaikan (2.75 billion yen) from a bridge fund established via sponsor
support, and increased our investments in Fukuoka.
As a result, Ichigo Office’s AUM (assets under management) at period-end has grown to 212.1 billion yen. Our
robust portfolio with a focus on the Tokyo Metropolitan Area and a diversified geographical mix aims to drive
sustainable growth to maximize shareholder value. Going forward, we will deploy our value-add capex capabilities
to our newly acquired assets to further enhance the competitiveness and profitability.
We have continuously made efforts to increase tenant satisfaction and focus on social contributions, while taking
into consideration rent levels and occupancy of our portfolio. As of April 30, 2023, 74% of the common space in
Ichigo Office’s portfolio has installed LED lights in order to implement sustainability initiatives which contributeto society.
As a result of these activities, Ichigo Office’s April 2023 earnings were: operating revenue of 12,380 million yen,operating profit of 7,189 million yen, recurring profit of 6,390 million yen, and net income of 6,390 million yen,which was an all-time high. The dividend per share was 4,224 yen, a 92 yen increase from our forecast at periodstart.
Ichigo Office held an Extraordinary Shareholder Meeting on June 23, 2023, based on a shareholder request fromBerkeley Global, LLC, as announced on March 17, 2023. All Ichigo Office proposals were approved, whereas allof Berkeley Global, LLC’s proposals were disapproved. We are deeply grateful for our shareholders’ support.
Ichigo Office will continue to work to build a robust mid-size office portfolio and promote its ESG activities withthe aim to drive sustainable growth and maximize shareholder value.

Thank you so much for your continued support.
Keisuke Chiba, Executive Director
Ichigo Office REIT Investment Corporation-2-

Asset Management Overview

1

Historical Investment Performance
31st Fiscal Period 32nd Fiscal Period 33rd Fiscal Period 34th Fiscal Period 35th Fiscal Period
From November 1, From May 1, 2021 From November 1, From May 1, 2022 From November 1,
2020 to April 30,
to October 31,
2021 to April 30,
to October 31,
2022 to April 30,
2021
2021
2022
2022
2023

Operating Revenue

million yen

7,725

7,843

8,675

7,800

12,380(Real Estate Rental Income)(Note 1)

million yen(7,725)(7,843)(7,735)(7,798)(7,985)

Operating Expenses

million yen

3,801

3,881

4,238

4,025

5,191

(Real Estate Rental
Expenses)million yen(2,841)(2,887)(2,991)(3,122)(3,223)Operating Profit

million yen

3,923

3,962

4,436

3,775

7,189

Recurring Profit

million yen

3,122

3,201

3,691

3,001

6,390

Net Income

million yen

3,121

3,200

3,690

3,001

6,390

Total Assets

million yen

227,654

227,653

228,020

229,966

235,897(Period-on-Period Change)
Net Assets(Period-on-Period Change)

%

(0.3)

(-0.0)

(0.2)

(0.9)

(2.6)

million yen

102,447

102,421102,806

102,011105,296%(-1.7)(-0.0)(0.4)(-0.8)(3.2)

Shareholders’ Equity

million yen

67,67567,67567,67567,67567,675

Number of Shares
Outstanding

shares1,513,367

1,513,367

1,513,367

1,513,367

1,513,367

Net Assets per Shareyen

67,69567,67867,932

67,407

69,577

Total Dividends

million yen

3,226

3,306

3,795

3,105

6,392

Dividend per Share

yen

2,132

2,185

2,508

2,052

4,224

(Payable Dividend per
Share)

yen(2,132)(2,185)(2,508)(2,052)(4,224)(Dividend per Share in
Excess of Earnings)

yen

(–)

(–)

(–)

(–)

(–)

Ratio of Recurring Profit to(Note 2)
Total Assets%

1.4(2.8)

1.4(2.8)

1.6(3.3)

1.3(2.6)

2.7(5.5)

Return on Equity(Note 2)%3.0(6.1)

3.1(6.2)

3.6(7.3)

2.9(5.8)

6.2(12.4)

Shareholder Equity Ratio(Note 2)

%

45.0

45.0

45.1

44.4

44.6

%

(-0.9)(-0.0)(0.1)(-0.7)

(0.3)

%

104.0

103.4

102.9

103.4

100.0

Number of Assets

assets

86

86

85

86

88

Number of Tenants at
Period-End

tenants

934

930

923

938

998

Total Leasable Aream2

264,651.68

264,701.15

263,948.70

266,866.48

269,700.94

Occupancy at Period-End

%

97.2

95.4

94.7

96.5

95.9

Depreciation

million yen

870

887

893

910

950

Capital Expenditure

thousand yen

677,483

625,613674,547

632,888828,674

NOI (Net Operating Income) (Note 2)

million yen

5,754

5,843

5,637

5,586

5,712

yen

2,638

2,701

2,408

2,584

1,947

days

181

184

181

184

181

(Period-on-Period Change)
Dividend Payout Ratio(Note 3)

Other Reference Information

FFO (Funds fromOperations) per Share(Note 2)

Number of Days in the
Period(Note 1)

The indicators stated are calculated using the formulas below. Figures in parentheses are annualized values.

Ratio of Recurring Profit toTotal Assets

Recurring Profit / (Total Assets at Beginning of Period + Total Assets at End of Period) ÷ 2

Return on Equity

Net Income / (Net Assets at Beginning of Period + Net Assets at End of Period) ÷ 2

Shareholder Equity Ratio

Net Assets at End of Period / Total Assets at End of Period

NOI

Real Estate Rental Income – Real Estate Rental Expenses + Depreciation

FFO per Share(Net Income + Depreciation + Loss on Retirement of Non-Current Assets + Expenses for Asset Retirement
Obligations ± Losses (Gains) on Sales of Assets ± Extraordinary Losses (Profits)) / Number of Shares Outstanding(Note 2)

Dividend Payout Ratio is calculated using the formula below and rounded down to the nearest unit:
Dividend per Share (not including dividend per share in excess of earnings) / Net Income per Share

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2

Summary of Operating Results for the Fiscal Period Ended April 30, 2023

(1) Overview
In the fiscal period ended April 30, 2023, Ichigo Office’s 35th fiscal period, Ichigo Office sold an asset located in Tokyo at 1.9x
appraisal value, and acquired three mid-size offices with growth potential located in Nagoya and Fukuoka, in order to increase earnings
stability and growth. Ichigo Office also made efforts to strengthen its organic growth potential by 1) increasing asset value andinvestment efficiency via its value-add capex (Note) and 2) driving earnings growth with a focus on tenant satisfaction. Ichigo Officeseeks to construct a portfolio specializing in mid-size offices which can generate both earnings stability and earnings growth.
(Note) “Value-add capex” is capital expenditure that enhances the competitiveness and profitability of Ichigo Office assets.

(2) Market Environment and Investment Performance(i) Market Environment
With expectations to the COVID pandemic settling down, both economic and social activities in Japan has almost recovered to preCOVID standards. Although there are some global investors making changes to their investment strategies due to concerns such as
the worldwide increase in interest rates, and Russia’s invasion on Ukraine, Japan’s continuously low interest rates and weak yen isdriving the market for Japanese real estate investments, we continue to see strong investment demands, and acquisition prices remain
at high standards.
Yield for office assets remain at low levels, and this trend is expected to continue for the time being. Meanwhile, increase in vacancy
and decrease in new rents are noteworthy concerns for assets located in non-prime areas, and this may have an effect on the market
environment going forward. Limited investment opportunities in Central Tokyo due to high prices is driving greater interest forinvestments in regional cities as investors look for higher yields and changes in working styles. Furthermore, a rising global interestin environmental and social issues is expected to accelerate ESG initiatives within the real estate market and become an increasingly
important factor for real estate investments. Ichigo Office is fully aware of these changes in market environment and will adjust its
investment activity accordingly and with a long-term perspective.
(ii) Investment Performance
During the current fiscal period, Ichigo Office worked to drive the earnings of individual assets with the aim of increasing portfolio
NOI, while taking into consideration rent levels and occupancy. Due to successful leasing activities, particularly in Central Tokyo, theoccupancy at period-end was 95.9%. In line with the spirit of RE100, a global initiative to accelerate the transition of electricity usedby businesses to 100% renewable energy, Ichigo Office has maintained its carbon-free operation across all assets, and is continuously
working to conserve energy by installing LED lights.
Ichigo Office increased its dividend per share and secured funds for growth opportunities through the sale of the Ichigo Ikenohata
Building. It also acquired the Ichigo Marunochi South Building located in Nagoya, the Ichigo Hakataeki Higashi Building andFukuoka Kensetsu Kaikan, both located in Fukuoka, in order to pursue a robust mid-size office portfolio. As a result, the number ofassets owned at period-end was 88 assets (total acquisition price: 212,167 million yen).

(3) Financing
During the current fiscal period, Ichigo Office borrowed a total of 9,623 million yen from banks in November 2022, to repay loansthat came due in those months (a total of 9,619 million yen). It also borrowed 1,800 million yen in new loans to acquire the Ichigo
Hakataeki Higashi Building and Fukuoka Kensetsu Kaikan. To maintain a stable financial base, Ichigo Office works to diversify
repayment dates and is prudent about interest rate risks.

-4-(4) Earnings and Dividends
As a result of the management initiatives above, Ichigo Office recorded an operating revenue of 12,380 million yen, operating profitof 7,189 million yen, recurring profit of 6,390 million yen and net income of 6,390 million yen for the fiscal period. With respect todividends, the dividend policy set out in Article 37 of the Articles of Incorporation of the Investment Corporation stipulates that theamount of dividends shall exceed the amount equivalent to 90% of distributable earnings as provided for in Article 67-15, Paragraph
1 of the Act on Special Measures Concerning Taxation (Act No. 26 of 1957 including subsequent amendments, hereinafter the “Special
Measures Taxation Act”).
Ichigo Office has voluntary reserves for temporary difference adjustments and dividends. Of these voluntary reserves, it uses
temporary difference adjustments of 105 million yen or more every period based on the revised Rules on Real Estate Investment
Trusts and Real Estate Investment Corporations in 2015 (hereinafter the “Rules of the Investment Trust Association, Japan”).
Similarly, Ichigo Office may use dividend reserves from the standpoint of stabilizing the dividend level, taking cash flows into account.
However, because Ichigo Office also has a tax loss carried forward (Note), mainly due to the loss on sales of real estate posted whenassets were transferred in the past for the purpose of improving portfolio quality, it may internally reserve profits if it has total net
gains on sales of real estate assets and other profits from operations.
For this period, Ichigo Office has decided to pay a total dividend of 6,392 million yen, which is the total amount (except for fractions
in which the dividend per share is less than one yen) of unappropriated retained earnings (6,391 million yen) and the reversal ofreserves for temporary difference adjustments (105 million yen) minus gain on sales of real estate transferred to dividend reserves incompliance with J-REIT conduit rules (103 million yen). As a result, the dividend per share came to 4,224 yen.

3

Issuance of New Shares

Increases and decreases in the total number of shares outstanding and the total amount of shareholders’ equity for the most recent five
years are as follows:
Date

Remarks

Number of Shares Outstanding(shares)
Increase/decrease

April 12, 2021

Shares Cancelled

Balance-18,920

1,513,367

Shareholders’ Equity(million yen)
Increase/decrease

Notes

Balance–

67,675(Note)(Note) Ichigo Office purchased its own shares in the Tokyo Stock Exchange, through in-market purchase via a securities firm between January 8, 2021 andFebruary 12, 2021. On March 26, 2021, the Board of Directors approved to cancel the acquired shares, and the shares were cancelled on April 12, 2021.
Since Ichigo Office used its Capital Reserve Surplus to purchase the shares, the amount of the Shareholders’ Equity did not change.

Share Price Performance
The table below shows the high and low prices (closing prices) on the Tokyo Stock Exchange REIT market, where Ichigo Office lists
its shares, for each period.
31st Fiscal Period
From November 1, 2020 toApril 30, 2021

32nd Fiscal Period
From May 1, 2021 toOctober 31, 2021

33rd Fiscal Period
From November 1, 2021 toApril 30, 2022

34th Fiscal Period
From May 1, 2022 to
October 31, 2022

35th Fiscal Period
From November 1, 2022 toApril 30, 2023

High98,600 yen

101,400 yen

88,600 yen

88,400 yen

101,700 yen

Low

68,100 yen

86,300 yen

76,300 yen

81,000 yen

83,300 yen

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4

Dividends

With respect to dividends in the current fiscal period, the dividend distribution policy set out in Article 37 of the Articles ofIncorporation of the Investment Corporation stipulates that the amount of dividends shall exceed an amount equivalent to 90% of
distributable earnings as provided for in Article 67-15, Paragraph 1 of the Special Measures Taxation Act. Based on this policy, Ichigo
Office has decided to pay a total dividend of 6,392 million yen, which is the entire amount (except for fractions in which the dividend
per share is less than one yen) of unappropriated retained earnings of 6,391 million yen, plus 105 million yen, which is the reversalof reserves for temporary difference adjustments and minus 103 million yen, which is gain on sales of real estate transferred todividend reserves in compliance with J-REIT conduit rules. As a result, the dividend per share came to 4,224 yen.
31st Fiscal Period
33rd Fiscal Period
35th Fiscal Period
32nd Fiscal Period
34th Fiscal Period
From November 1,
From November 1,
From November 1,
From May 1, 2021
From May 1, 2022
2020 to April 30,
2021 to April 30,
2022 to April 30,
to October 31, 2021
to October 31, 2022
2021
2022
2023
Unappropriated Retained Earnings

thousand yen

3,122,657

3,201,892

3,691,120

3,001,684

6,391,351

Retained Earnings for Dividend
Reservethousand yen

–

–

–

–

103,000

Total Dividends

thousand yen

3,226,498

3,306,706

3,795,524

3,105,429

6,392,462(2,132)(2,185)(2,508)(2,052)(4,224)3,226,498

3,306,706

3,795,524

3,105,429

6,392,462(4,224)(Dividend per Share)

yen

Distributable Earnings

thousand yen(Distributable Earnings per Share)(2,132)(2,185)(2,508)(2,052)

thousand yen

–

–

–

–

–

yen

(–)

(–)

(–)

(–)

(–)

Of the Total Refund of Capital, Total
Distribution from Reserves for
Temporary Difference Adjustment

thousand yen

–

–

–

–

–

(Of the Refund of Capital per Share,
Distribution from Reserves for
Temporary Difference Adjustment per
Share)

yen

(–)

(–)

(–)

(–)

(–)

Of the Total Refund of Capital, Total
Distribution from the Distribution
Associated with a Decrease in
Investment for Tax Purposes

thousand yen

–

–

–

–

–

(Of the Refund of Capital per Share,
Distribution from the Distribution
Associated with a Decrease in
Investment for Tax Purposes)

yen

(–)

(–)

(–)

(–)

(–)

Total Refund of Capital(Refund of capital per share)

yen

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5

Investment Policies and Strategies(1) Asset Acquisitions (Acquisition-Driven Growth)
Ichigo Office invests in real estate mainly located in central Tokyo, the Tokyo metropolitan area, major regional cities and prefectural
capitals whose primary use is as offices, as well as real estate-backed securities related to these assets. In particular, Ichigo Officebuilds a portfolio specializing in mid-size offices with a focus on growth potential while securing earnings stability, given that bothstability and growth potential can be expected in mid-size offices and that the replacement of assets in the portfolio in a mobilizedmanner according to the market conditions is also possible because the absolute number of assets is large and there are numerous
opportunities for acquisition.
When acquiring assets, Ichigo Office works to obtain quality investment information at an early stage and promote an arm’s lengthtransaction, using information from Ichigo Investment Advisors Co., Ltd., the asset management company (hereinafter the “AssetManager”) of Ichigo Office, based on the Asset Manager’s own network. In addition, Ichigo Office also promotes steady acquisitiondriven growth, by using external bridge funds as well as the warehousing function of Ichigo Inc., based on the sponsor support
agreement. Ichigo Office also strives to improve the quality of the portfolio through asset replacements by considering sales of assets
with limited room for organic growth.

(2) Portfolio Management (Organic Growth)
In the management and operation of the assets owned, Ichigo Office aims to build a robust portfolio and drive sustainable growththrough active promotion of the following initiatives that will lead to the strengthening of the earnings power of individual assets.
- Provide differentiated high-quality office spaces such as Ichigo Layout Office and Ichigo Lounge- Increase asset value and investment returns via value-add capex- Pursue investment efficiency- Minimize downtime at re-tenanting and free-rent periods(3) Financing Strategy
For the refinancing of existing loans, Ichigo Office will consider fixing borrowing rates and promoting the extension anddiversification of borrowing periods, due to the unstable social situations leading to a rise in interest rates. With respect to the longterm issuer rating it has acquired from Japan Credit Rating Agency, Ltd., Ichigo Office will strengthen its financial base and expand
its cash flows while diversifying its financing using investment corporation bonds, with the aim of further improving the current ratingof “A+ (Outlook: Stable).”6

Significant Subsequent Events

N/A

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Ichigo Office Overview

1

Shares and Shareholders’ Equity

Number of Authorized
SharesNumber of Shares
Outstanding
Shareholders’ Equity
Number of Shareholders

2

31st Fiscal Period
April 30, 2021

32nd Fiscal Period
October 31, 2021

33rd Fiscal Period
April 30, 2022

34th Fiscal Period
October 31, 2022

35th Fiscal Period
April 30, 2023

shares

14,000,000

14,000,000

14,000,000

14,000,000

14,000,000

shares1,513,367

1,513,367

1,513,367

1,513,367

1,513,367

million yen
persons

67,675
13,911

67,675
14,10467,675
15,99467,675
16,12567,67520,032Major Shareholders

Major shareholders as of April 30, 2023 are as follows:
Name

SharesIchigo Trust Pte. Ltd.
Custody Bank of Japan, Ltd., Trust Account
The Master Trust Bank of Japan, Trust AccountNomura Trust & Banking Co., Ltd. Investment Trust Account
BERKELEY GLOBAL, LLC
SMBC Nikko Securities Inc.
STATE STREET BANK WEST CLIENT – TREATY 505234
BNYM AS AGT/CLTS NON TREATY JASDEC
Mitsubishi UFJ Morgan Stanley Securities Co., Ltd.
Ichigo Inc.
Total

490,500
253,759
146,915
53,184
46,79928,16722,301
22,23020,482
16,547
1,100,884

Ratio of Shares Held to Total Numberof Shares Issued (%) (Note)
32.41
16.76
9.70
3.51
3.09
1.86
1.47
1.46
1.35
1.09
72.74

(Note) The ratio of shares held to the total number of shares issued is truncated after the second decimal place.

3

Executive Director and Supervisory Directors(1) Ichigo Office’s directors and auditor as of April 30, 2023 are as follows:
Title

Name of Director

Executive Director

Takaaki Fukunaga(Note 3)

Masahiro Terada
Supervisory
Directors

Noriko Ichiba

Accounting Auditor(Note 1)
(Note 2)
(Note 3)Grant Thornton Taiyo LLC

Other Major Positions

Total Compensation
During the Current Fiscal
Period(thousand yen)

Fukunaga CPA Office, Representative
Global Solutions Consulting Co., Ltd., Representative Director
Bentall GreenOak KK, External Corporate Auditor
AWP Ticket Guard Small Amount & Short Term Insurance Co., Ltd., External
Corporate Auditor
PP Japan Co., Ltd., Corporate Auditor
GMO Registry, Inc., External Corporate Auditor
Miura & Partners, Partner
SBI Shinsei Bank Limited, Independent Director
Ichiba CPA Office, Representative
UPRISE Certified Tax Accountant’s Co., Representative
Daiho Corporation, External Auditor
COMPASS Co. Ltd., Partner
Nisshinbo Holdings Inc., External Auditor
―

2,160

1,440

1,440

9,500

The Executive and Supervisory Directors do not own shares of Ichigo Office under either their own name or another person’s name.
Agreements of indemnity between Ichigo Office and the Executive and Supervisory Directors do not exist.
On April 7, 2023, Ichigo Office received a notice of resignation, effective April 30, 2023 from Takaaki Fukunaga, the Executive Officer.
Accordingly, Keisuke Chiba, the current Alternate Executive Director, has been appointed as the new Executive Director on May 1, 2023.

(2) Policy for Determining Dismissal or Non-Reappointment of Accounting Auditor
The Board of Directors will determine the dismissal of the accounting auditor pursuant to the provisions of the Act on Investment
Trusts and Investment Corporations and the refusal to reappoint the accounting auditor, taking various factors into consideration,
including the quality of the audit and compensation for the audit.
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4

Directors and Officers Liability Insurance

Ichigo Office has purchased the following D&O (directors and officers liability) insurance.
Beneficiary

Executive and Supervisory Directors

Details of the D&O Insurance(1) Insurance Coverage Overview
The D&O liability insurance covers damages and litigation expenses resulting from litigations arisingfrom the actions (including negligence) of persons serving in a role of Executive or Supervisory
Director.
(2) Insurance Premiums
Ichigo Office will bear the cost of insurance premiums, including the special provision for shareholder
derivative lawsuits.
(3) Measures to Ensure Appropriate Performance of Duties
Damages resulting from willful misconduct and gross negligence are not covered by this insurance.

5

Asset Management Company, Asset Custodian, and Administrative AgentsThe asset management company, asset custodian, and administrative agents as of April 30, 2023 are as follows:
Asset Management Company

Ichigo Investment Advisors Co., Ltd.

Asset Custodian
Administrative Agent (Administration)
Administrative Agent (Accounting)Mizuho Trust Banking & Co., Ltd.

Administrative Agent (Transfer Agent)
Administrative Agent (Special Accounts)

Sumitomo Mitsui Trust Bank, Limited

Administrative Agent (Special Accounts)

Mitsubishi UFJ Trust and Banking Corporation

Administrative Agent (Investment Corporation Bonds)

Sumitomo Mitsui Banking Corporation

Administrative Agent (Investment Corporation Bonds)

MUFG Bank, Ltd.

Administrative Agent (Investment Corporation Bonds)

Mizuho Bank, LTD.

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Assets under Management

1

Asset Composition
34th Fiscal Period (as of October 31, 2022)

Area(Note 1)

Asset TypeReal Estate
Trust BeneficiaryInterest in Real Estate(juekiken)(Note 3)35th Fiscal Period (as of April 30, 2023)

Book Value(million yen)(Note 2)

Ratio to Total Assets(%)

Book Value(million yen)(Note 2)

Ratio to Total Assets(%)

Central Tokyo

5,952

2.6

5,932

2.5

Tokyo Metropolitan Area

3,942

1.7

3,925

1.7

Four Major Regional Cities

10,176

4.4

10,140

4.3

Central Tokyo

107,83746.9

107,773

45.7

Tokyo Metropolitan Area

47,14520.5

42,072

17.8

Four Major Regional Cities

19,761

8.6

27,879

11.8

Other Regional Cities

10,282

4.5

10,2274.3

205,098

89.2

207,951

88.2

Subtotal
Investment in Securities (Note 4)

51

0.0

39

0.0

Deposits and Other Assets

24,816

10.8

27,905

11.8

Total Assets

229,966

100.0

235,897100.0(Note 1)

Areas are defined as follows:
Central Tokyo: Chiyoda, Minato, Chuo, Shinjuku, Shibuya and Shinagawa Wards
Tokyo Metropolitan Area : Tokyo (excluding the six wards above) and Kanagawa, Chiba and Saitama Prefectures
Four Major Regional Cities : Osaka, Nagoya, Fukuoka and Sapporo
Other Regional Cities: Regional cities other than the above (prefectural capitals, etc.)(Note 2) Book Value is the amount recorded on the balance sheet as of the closing date (for real estate and the trust beneficiary interest in real estate, the bookvalue after depreciation). Construction in progress and construction in progress in trust are not included in the subtotal of real estate and the trust
beneficiary interest in real estate.
(Note 3) Land leasehold rights in trust held together with buildings in trust are stated in the section on the trust beneficiary interest in real estate by adding
them to buildings in trust, etc.
(Note 4) TK (tokumei kumiai) real estate equity interest in Kizuna1 GK TK

2Major Assets Owned

The table below is a summary of the major assets owned by Ichigo Office as of April 30, 2023 (top ten assets in terms of book value).
Asset NameBook Value(million yen)
(Note 1)

Leasable Area(m2)

Leased Area(m2)

Occupancy(%)(Note 2)

Ratio to Total Rent
Revenue(%)

Ichigo Jingumae Building

7,414

4,510.00

4,510.00

100.0

2.3

OfficeIchigo Ebisu Green Glass

5,738

3,159.27

3,159.27

100.0

2.6

OfficeIchigo Akihabara North Building

5,453

6,250.53

6,250.53

100.0

2.9

OfficeIchigo Marunouchi Building

5,428

8,009.11

8,009.11

100.0

3.0

OfficeIchigo Sasazuka Building

4,868

6,425.29

6,425.29

100.0

2.5

OfficeIchigo Gotanda Building

4,769

5,346.39

4,802.34

89.8

2.5

OfficeIchigo Sakae Building

4,711

3,928.12

3,825.61

97.4

2.7

OfficeIchigo Higashi Ikebukuro Building

4,618

4,437.97

3,896.27

87.8

1.8

OfficeIchigo Nihonbashi East Building

4,314

4,216.97

4,216.97

100.0

1.9

OfficeIchigo Hiroo Building

3,977

3,510.44

3,510.44

100.0

1.7

OfficeTotal

51,29549,794.09

48,605.83

97.6

24.0

Asset Type

(Note 1) Book Value does not include construction in progress or construction in progress in trust.
(Note 2) Occupancy is the ratio of the Leased Area within the Leasable Area of the real estate or real estate in trust as of period-end. The ratio is rounded off
to the first decimal place.

- 10 -

3

Portfolio Overview

Details of Portfolio Assets
The table below shows the details of assets owned by Ichigo Office as of April 30, 2023.

Asset Name

Location

Form of Ownership

LeasableArea(m2)

Appraisal
Book Value at
Value at
Period-end
Period-end(million yen)(million yen)
(Note 2)
(Note 1)

O-02

Ichigo Nishisando Building

Yoyogi, Shibuya-ku, Tokyo

Trust beneficiary interest in real estate

4,523.19

3,260

3,330

O-03

Ichigo Mita Building

Shiba, Minato-ku, Tokyo

Trust beneficiary interest in real estate

4,119.74

3,640

2,722

O-04

Ichigo Nanpeidai Building

Nanpeidaicho, Shibuya-ku,
Tokyo

Trust beneficiary interest in real estate

1,925.24

2,630

1,880

O-05

Ichigo Hanzomon Building

Hayabusacho, Chiyoda-ku,
Tokyo

Trust beneficiary interest in real estate

2,080.37

2,230

1,490

O-06

Ichigo Hijirizaka Building

Mita, Minato-ku, Tokyo

Trust beneficiary interest in real estate

1,947.90

1,500

1,194

O-07

Ichigo Shibuya
Kamiyamacho Building

Kamiyamacho, Shibuya-ku,
TokyoReal estate

1,321.54

1,860

1,324

O-09

Ichigo Shibakoen Building

Shiba, Minato-ku, Tokyo

Real estate

1,602.29

1,270

1,089

O-10

Ichigo Ebisu Nishi Building

Ebisu-Nishi, Shibuya-ku, Tokyo

Real estate

1,484.39

2,620

1,908

O-11

Ichigo Ginza 612 Building

Ginza, Chuo-ku, Tokyo

Trust beneficiary interest in real estate

1,364.56

2,320

1,802

O-12

Ichigo Uchikanda Building

Uchikanda, Chiyoda-ku, Tokyo

Real estate

1,378.83

1,390

1,112

O-14

Ichigo Yotsuya 4 Chome
Building

Yotsuya, Shinjuku-ku, Tokyo

Trust beneficiary interest in real estate780.64

583

494

O-15

Ichigo Tameike Building

Akasaka, Minato-ku, Tokyo

Real estate494.14

726

496

O-16

Ichigo Jimbocho Building

Kanda Jimbocho, Chiyoda-ku,
Tokyo

Trust beneficiary interest in real estate

1,891.01

2,370

1,785

O-17

Ichigo Hakozaki Building

Nihonbashi Kakigaracho, Chuoku, Tokyo

Trust beneficiary interest in real estate

2,389.54

1,290

1,125

O-18

Ichigo Kudan 2 Chome
Building

Kudan Minami, Chiyoda-ku,
Tokyo

Trust beneficiary interest in real estate

1,265.76

1,160

755

O-19

Ichigo Kudan 3 Chome
Building

Kudan Minami, Chiyoda-ku,
Tokyo

Trust beneficiary interest in real estate

1,302.43

883

801

O-20

Ichigo Gotanda Building

Higashi Gotanda, Shinagawaku, Tokyo

Trust beneficiary interest in real estate

5,346.39

6,820

4,769

O-21

Ichigo Shin Yokohama
Building

Shin Yokohama, Kohoku-ku,
Yokohama City, Kanagawa

Trust beneficiary interest in real estate

4,021.32

1,660

1,647

O-22

Ichigo Minami Ikebukuro
Building

Minami Ikebukuro, Toshima-ku,
Trust beneficiary interest in real estateTokyo

1,491.50

2,010

1,333

O-23

Ichigo Nakano North
Building

Arai, Nakano-ku, Tokyo

Trust beneficiary interest in real estate

1,264.11

981

709

O-24

Ichigo Eitai Building

Eitai, Koto-ku, Tokyo

Real estate

2,605.54

1,470

1,407

O-26

Ichigo Ikejiri Building

Ohashi, Meguro-ku, Tokyo

Real estate

2,385.69

2,340

1,934

O-27

Ichigo Nishi Ikebukuro
Building

Ikebukuro, Toshima-ku, Tokyo

Real estate

1,261.91

1,050

583

O-28

Ichigo Nishi Gotanda
Building

Nishi Gotanda, Shinagawa-ku,
Tokyo

Trust beneficiary interest in real estate

1,334.68

931

759

O-29

Ichigo Kichijoji Building

Kichijoji Honcho, Musashino
City, Tokyo

Trust beneficiary interest in real estate

4,210.87

2,870

2,133

O-34

Ichigo Sakae Building

Sakae, Naka-ku, Nagoya City,
Aichi

Real estate

3,928.12

5,050

4,711

O-37

Ichigo Marunouchi Building

Marunouchi, Naka-ku, Nagoya
City, Aichi

Real estate

8,009.11

7,960

5,428

O-38

Ichigo Toyamaeki Nishi
Building

Jinzu Honmachi, Toyama City,
ToyamaTrust beneficiary interest in real estate

8,601.72

1,860

1,417

O-39

Ichigo Mirai Shinkin
Building

Niagemachi, Oita City, Oita

Trust beneficiary interest in real estate

3,551.46

1,400

1,096

- 11 -

Asset Name

Location

Form of Ownership

LeasableArea(m2)

Appraisal
Book Value at
Value at
Period-end
Period-end(million yen)(million yen)
(Note 2)
(Note 1)

O-42

Ichigo Takamatsu Building

Kotobukicho, Takamatsu City,
KagawaTrust beneficiary interest in real estate

6,329.33

3,990

2,030

O-46

Ichigo Kanda Nishikicho
Building

Kanda-Nishikicho, Chiyoda-ku,
Tokyo

Trust beneficiary interest in real estate

2,523.09

3,310

2,007

O-47

Ichigo Akihabara North
Building

Sotokanda, Chiyoda-ku, Tokyo

Trust beneficiary interest in real estate

6,250.53

7,780

5,453

O-48

Ichigo Sakaisuji Honmachi
Building

Honmachi, Chuo-ku, Osaka
City, Osaka

Trust beneficiary interest in real estate

3,729.35

2,480

1,688

O-49

Ichigo Kanda Ogawamachi
Building

Kanda-Ogawamachi, Chiyodaku, Tokyo

Trust beneficiary interest in real estate

2,309.39

2,400

2,186

O-50

Ichigo Hatchobori Building

Shintomi, Chuo-ku, Tokyo

Trust beneficiary interest in real estate

2,716.33

2,660

1,723

O-51

Ichigo Ebisu Green Glass

Ebisu Minami, Shibuya-ku,
Tokyo

Trust beneficiary interest in real estate

3,159.27

7,680

5,738

O-52

Ichigo Omori Building

Minami Oi, Shinagawa-ku,
Tokyo

Trust beneficiary interest in real estate

3,585.93

4,710

3,802

O-53

Ichigo Takadanobaba
Building

Takadanobaba, Shinjuku-ku,
Tokyo

Trust beneficiary interest in real estate

1,606.92

1,940

1,598

O-54

Ichigo Omiya Building

Miyacho, Omiya-ku, Saitama
City, Saitama

Trust beneficiary interest in real estate

6,213.30

4,300

3,511

O-55

Ichigo Sagamihara Building

Sagamihara, Chuo-ku,
Sagamihara City, Kanagawa

Trust beneficiary interest in real estate

2,960.81

1,300

1,210

O-56

Ichigo Ofuna Building

Ofuna, Kamakura City,
Kanagawa

Trust beneficiary interest in real estate

2,176.47

2,190

2,006

O-57

Ichigo Sendai East Building

Miyagino, Miyagino-ku, Sendai,
Trust beneficiary interest in real estate
Miyagi

5,205.49

2,190

1,544

O-58

Ichigo Kumamoto Building

Karashimacho, Chuo-ku,
Kumamoto City, Kumamoto

Trust beneficiary interest in real estate

4,507.59

1,610

1,564

O-59

Ichigo Jingumae Building

Jingumae, Shibuya-ku, Tokyo

Trust beneficiary interest in real estate

4,510.00

7,890

7,414

O-60

Ichigo Shibuya Dogenzaka
Building

Maruyamacho, Shibuya-ku,
Tokyo

Trust beneficiary interest in real estate

2,789.86

5,560

3,690

O-61

Ichigo Hiroo Building

Hiroo, Shibuya-ku, Tokyo

Trust beneficiary interest in real estate

3,510.44

4,740

3,977

O-62

Ichigo Sasazuka Building

Sasazuka, Shibuya-ku, Tokyo

Trust beneficiary interest in real estate

6,425.29

6,230

4,868

O-63

Ichigo Nihonbashi East
Building

Nihonbashi Bakurocho, Chuoku, Tokyo

Trust beneficiary interest in real estate

4,216.97

5,640

4,314

O-64

Ichigo Sakurabashi Building

Hatchobori, Chuo-ku, Tokyo

Trust beneficiary interest in real estate

2,971.22

3,240

2,533

O-65

Ichigo Shinkawa Building

Shinkawa, Chuo-ku, Tokyo

Trust beneficiary interest in real estate

2,312.03

3,120

2,385

O-66

Ichigo Kudan Building

Kanda Jimbocho, Chiyoda-ku,
Tokyo

Trust beneficiary interest in real estate

3,090.65

3,710

3,268

O-67

Ichigo Higashi Gotanda
Building

Higashi Gotanda, Shinagawaku, Tokyo

Trust beneficiary interest in real estate

4,548.10

4,430

3,634

O-68

Axior Mita

Mita, Minato-ku, Tokyo

Trust beneficiary interest in real estate

2,369.82

2,610

1,693

O-69

Ichigo Higashi Ikebukuro
Building

Higashi Ikebukuro, Toshima-ku,
Tokyo

Trust beneficiary interest in real estate

4,437.97

5,470

4,618

O-70

Koriyama Big-i (OfficeSection)Ekimae, Koriyama City,
Fukushima

Trust beneficiary interest in real estate

3,433.07

2,160

1,529

O-71

Ichigo Kawasaki Building

Higashi Tamachi, Kawasaki-ku,
Kawasaki City, Kanagawa

Trust beneficiary interest in real estate

3,871.06

2,300

1,815

O-72

Ichigo Shibuya East Building Higashi, Shibuya-ku, Tokyo

Trust beneficiary interest in real estate

1,041.36

1,620

1,378

O-73

Ichigo Ningyocho Building

Nihonbashi Horidomecho,
Chuo-ku, Tokyo

Trust beneficiary interest in real estate

1,769.75

1,680

1,491

O-74

Ichigo Nishi Honmachi
Building

Awaza, Nishi-ku, Osaka City,
Osaka

Trust beneficiary interest in real estate

6,152.00

2,530

2,205

O-75

Ichigo Hakata Building

Gionmachi, Hakata-ku,
Fukuoka City, Fukuoka

Trust beneficiary interest in real estate

2,423.86

1,580

1,383

O-76

Ichigo Nishiki First Building

Nishiki, Naka-ku, Nagoya City,
Aichi

Trust beneficiary interest in real estate

3,324.70

2,240

1,961

- 12 -

Appraisal
Book Value at
Value at
Period-end
Period-end(million yen)(million yen)
(Note 2)
(Note 1)

Asset Name

Location

Form of Ownership

Leasable
Area
(m2)

O-78

Ichigo Ikebukuro East
Building

Higashi Ikebukuro, Toshima-ku,
Tokyo

Trust beneficiary interest in real estate

3,118.69

3,600

2,995

O-79

Ichigo Motoazabu Building

Motoazabu, Minato-ku, Tokyo

Trust beneficiary interest in real estate

1,329.96

2,390

1,911

O-80

Ichigo Otsuka Building

Minami Otsuka, Toshima-ku,
Tokyo

Trust beneficiary interest in real estate

3,623.98

3,240

2,762

O-81

Ichigo Nagoya Building

Meieki, Nakamura-ku, Nagoya
City, Aichi

Trust beneficiary interest in real estate

4,930.30

3,910

3,557

O-82

Ichigo Fushimi Building

Nishiki, Naka-ku, Nagoya City,
Aichi

Trust beneficiary interest in real estate

4,155.60

2,570

2,323

O-83

Ichigo Nishiki Building

Nishiki, Naka-ku, Nagoya City,
Aichi

Trust beneficiary interest in real estate

2,006.78

1,490

1,299

O-84

Ichigo Minami Morimachi
Building

Matsugaecho, Kita-ku, Osaka
City, Osaka

Trust beneficiary interest in real estate

2,521.51

1,260

1,088

O-85

Ichigo Shibuya Udagawacho
Building

Udagawacho, Shibuya-ku,
Tokyo

Trust beneficiary interest in real estate

1,491.68

4,180

3,544

O-86

Win Gotanda Building

Nishi Gotanda, Shinagawa-ku,
Tokyo

Trust beneficiary interest in real estate

3,689.88

3,830

3,102

O-87

Ichigo Hongo Building

Hongo, Bunkyo-ku, Tokyo

Trust beneficiary interest in real estate

2,743.20

2,780

2,303

O-88

Oimachi Center Building

Oi, Shinagawa-ku, Tokyo

Trust beneficiary interest in real estate

2,771.41

2,100

1,710

O-89

Win Gotanda Building 2

Osaki, Shinagawa-ku, Tokyo

Trust beneficiary interest in real estate

3,434.69

3,730

3,291

O-90

MIF Building

Uchikanda, Chiyoda-ku, Tokyo

Trust beneficiary interest in real estate

1,690.27

2,320

2,188

O-91

Ichigo Uchi Honmachi
Building

Uchi Honmachi, Chuo-ku,
Osaka City, Osaka

Trust beneficiary interest in real estate

3,004.07

2,180

1,998

O-92

Ichigo Minami Otsuka
Building

Minami Otsuka, Toshima-ku,
Tokyo

Trust beneficiary interest in real estate

3,129.49

3,280

2,875

O-93

Ichigo Nogizaka Building

Akasaka, Minato-ku, Tokyo

Trust beneficiary interest in real estate

2,199.35

3,640

3,501

O-94

Ichigo Hakata East Building

Hakataeki Higashi, Hakata-ku,
Fukuoka City, Fukuoka

Trust beneficiary interest in real estate

2,901.99

2,850

2,307

O-95

Ichigo Nakameguro Building

Aobadai, Meguro-ku, Tokyo

Trust beneficiary interest in real estate

1,083.70

1,580

1,563

O-96

Ichigo Tachikawa Building

Akebonocho, Tachikawa, Tokyo

Trust beneficiary interest in real estate

4,879.78

4,020

3,823

O-97

Ichigo Higashi Ikebukuro 3
Chome Building

Higashi Ikebukuro, Toshima-ku,
Tokyo

Trust beneficiary interest in real estate

2,764.59

3,860

3,886

O-98

Ichigo Marunouchi South
Building

Nishiki, Naka-ku, Nagoya City,
Aichi

Trust beneficiary interest in real estate

1,973.27

1,850

1,801

O-99

Ichigo Hakataeki Higashi
Building

Hakataeki Higashi,Hakata-ku,
Fukuoka City, Fukuoka

Trust beneficiary interest in real estate

3,596.71

3,710

3,507

O-100 Fukuoka Kensetsu Kaikan

Hakataeki Higashi,Hakata-ku,
Fukuoka City, Fukuoka

Trust beneficiary interest in real estate

2,949.22

2,880

2,754

Z-09

Future IZUMIFuchucho, Izumi City, Osaka

Trust beneficiary interest in real estate

3,733.66

576

1,045

Z-10

Ichigo Shibuya Bunkamura
Dori Building

Udagawacho, Shibuya-ku,
Tokyo

Trust beneficiary interest in real estate778.77

3,040

2,447

Z-11

Twicere Yokohama Isogo(Retail Section)

Mori, Isogo-ku, Yokohama City,
Kanagawa

Trust beneficiary interest in real estate

2,717.77

1,510

1,426

Z-14

Ichigo Kamata Building

Nishi Kamata, Ota-ku, Tokyo

Trust beneficiary interest in real estate

Total(Note 1)

(Note 2)

2,124.68

1,530

1,447

269,700.94

255,330

207,951

The appraisal value at period-end is the value appraised by the real estate appraisers of Japan Real Estate Institute, Daiwa Real Estate Appraisal Co.,
Ltd., The Tanizawa Sogo Appraisal Co., Ltd. and Rich Appraisal Institute under the Articles of Incorporation of Ichigo Office and the Regulation on
Accounting of Investment Corporations (Cabinet Office Order No. 47 of 2006 including subsequent amendments).
The book value at period-end does not include construction in progress or construction in progress in trust.

- 13 -

The table below shows the status of rental activity at Ichigo Office assets in the 34th and 35th fiscal Periods:
34th Fiscal Period
From May 1, 2022 to October 31, 2022
Asset Name

35th Fiscal Period
From November 1, 2022 to April 30, 2023

Number of
Tenants at
Period-end(tenants)(Note 1)

Occupancy at
Period-end(%)(Note 2)

RentalIncome(thousandyen)

Ratio to Total
RentalIncome (%)

Number of
Tenants at
Period-end(tenants)(Note 1)

Occupancy at
Period-end(%)(Note 2)

RentalIncome(thousandyen)

Ratio to Total
RentalIncome (%)

O-02

Ichigo Nishisando Building

17

100.0

137,648

1.8

16

100.0

137,283

1.7

O-03

Ichigo Mita Building

9

89.8

93,329

1.2

9

73.4

118,749

1.5

O-04

Ichigo Nanpeidai Building

13

100.0

79,914

1.0

13

100.0

80,7941.0

O-05

Ichigo Hanzomon Building

5

100.0

65,557

0.8

5

100.0

65,3960.8

O-06

Ichigo Hijirizaka Building

4

100.0

60,295

0.8

3

94.1

59,2630.7

O-07

Ichigo Shibuya Kamiyamacho
Building

5100.0

50,329

0.6

5

87.0

54,0490.7

O-09

Ichigo Shibakoen Building

3

100.0

49,808

0.6

2

86.3

47,1540.6

O-10

Ichigo Ebisu Nishi Building

7

100.0

72,471

0.9

7

100.0

71,3380.9

O-11

Ichigo Ginza 612 Building

25

100.0

67,467

0.9

25

100.0

68,5520.9

O-12

Ichigo Uchikanda Building

10

100.0

45,448

0.6

9

89.8

47,4780.6

O-14

Ichigo Yotsuya 4 Chome
Building

981.8

17,947

0.2

9

81.8

18,1840.2

O-15

Ichigo Tameike Building

5

82.8

17,293

0.2

5

82.8

17,4770.2

O-16

Ichigo Jimbocho Building

8

100.0

78,591

1.0

8

100.0

79,2981.0

O-17

Ichigo Hakozaki Building

6

100.0

62,770

0.8

6

100.0

67,8470.8

O-18

Ichigo Kudan 2 Chome
Building

1

100.0

3,653

0.0

1

100.0

38,5390.5

O-19

Ichigo Kudan 3 Chome
Building

350.0

20,977

0.3

4

63.2

23,4680.3

O-20

Ichigo Gotanda Building

15

100.0

212,315

2.7

14

89.8

199,305

2.5

O-21

Ichigo Shin Yokohama
Building

14

97.7

82,218

1.1

14

97.7

83,0151.0

O-22

Ichigo Minami Ikebukuro
Building

9100.0

61,019

0.8

9

100.0

61,2690.8

O-23

Ichigo Nakano North Building

7

100.0

42,211

0.5

6

89.0

43,3750.5

O-24

Ichigo Eitai Building

10

100.0

73,221

0.9

10

100.0

73,6560.9

O-26

Ichigo Ikejiri Building

6

100.0

87,121

1.1

6

100.0

93,523

1.2

O-27

Ichigo Nishi Ikebukuro
Building

1

100.0

29,217

0.4

1

100.0

29,2170.4

O-28

Ichigo Nishi Gotanda Building

7

77.9

28,202

0.4

8

100.0

39,3190.5

O-29

Ichigo Kichijoji Building

14

100.0

118,839

1.5

14

100.0

121,955

1.5

O-34

Ichigo Sakae Building

18

97.4

214,947

2.8

19

97.4

213,068

2.7

O-37

Ichigo Marunouchi Building

26

100.0

243,338

3.1

26

100.0

242,130

3.0

O-38

Ichigo Toyamaeki Nishi
Building

14

100.0

118,241

1.5

15

100.0

117,966

1.5

O-39

Ichigo Mirai Shinkin Building

20

94.0

74,418

1.0

21

100.0

75,8991.0

O-42

Ichigo Takamatsu Building

15

100.0

157,300

2.0

15

100.0

161,201

2.0

O-46

Ichigo Kanda Nishikicho
Building

11

100.0

92,602

1.2

11

100.0

90,007

1.1

O-47

Ichigo Akihabara North
Building

1

100.0

230,325

3.0

1

100.0

232,734

2.9

O-48

Ichigo Sakaisuji Honmachi
Building

15

100.0

98,526

1.3

14

93.3

95,772

1.2

O-49

Ichigo Kanda Ogawamachi
Building

7

79.7

70,762

0.9

7

79.7

70,4890.9

O-50

Ichigo Hatchobori Building

7

100.0

98,074

1.3

6

84.6

94,742

1.2

O-51

Ichigo Ebisu Green Glass

6

100.0

175,209

2.2

6

100.0

211,123

2.6

O-52

Ichigo Omori Building

11

100.0

130,828

1.7

11

100.0

138,100

1.7

O-53

Ichigo Takadanobaba Building

8

100.0

63,701

0.8

6

75.2

57,596

0.7

O-54

Ichigo Omiya Building

29

100.0

165,827

2.1

28

97.5

165,094

2.1- 14 -

34th Fiscal Period
From May 1, 2022 to October 31, 2022
Asset Name

35th Fiscal Period
From November 1, 2022 to April 30, 2023

Number of
Tenants at
Period-end(tenants)(Note 1)

Occupancy at
Period-end(%)(Note 2)

RentalIncome(thousandyen)

Ratio to Total
RentalIncome (%)

Number of
Tenants at
Period-end(tenants)(Note 1)

Occupancy at
Period-end(%)(Note 2)

RentalIncome(thousandyen)

Ratio to Total
RentalIncome (%)

O-55

Ichigo Sagamihara Building

13

100.0

60,892

0.8

13

100.0

63,1370.8

O-56

Ichigo Ofuna Building

9

100.0

93,684

1.2

10

94.3

77,7461.0

O-57

Ichigo Sendai East Building

10

100.0

104,922

1.3

10

100.0

106,311

1.3

O-58

Ichigo Kumamoto Building

34

100.0

85,353

1.1

34

100.0

86,255

1.1

O-59

Ichigo Jingumae Building

7

100.0

196,591

2.5

6

100.0

184,565

2.3

O-60

Ichigo Shibuya Dogenzaka
Building

12

100.0

113,848

1.5

12

100.0

133,921

1.7

O-61

Ichigo Hiroo Building

5

100.0

138,118

1.8

5

100.0

138,891

1.7

O-62

Ichigo Sasazuka Building

6

100.0

190,891

2.4

6

100.0

198,123

2.5

O-63

Ichigo Nihonbashi East
Building

7

100.0

151,101

1.9

7

100.0

150,531

1.9

O-64

Ichigo Sakurabashi Building

6

100.0

87,574

1.1

6

100.0

88,943

1.1

O-65

Ichigo Shinkawa Building

6

100.0

70,820

0.9

6

100.0

79,837

1.0

O-66

Ichigo Kudan Building

10

100.0

100,223

1.3

10

100.0

106,304

1.3

O-67

Ichigo Higashi Gotanda
Building

1997.7

136,928

1.8

20

100.0

133,823

1.7

O-68

Axior Mita

11

100.0

56,228

0.7

11

100.0

68,181

0.9

O-69

Ichigo Higashi Ikebukuro
Building

16

87.9

145,293

1.9

17

87.8

147,056

1.8

O-70

Koriyama Big-i (OfficeSection)14

94.1

98,716

1.3

14

94.1

100,509

1.3

O-71

Ichigo Kawasaki Building

15

79.8

77,672

1.0

16

87.6

79,7911.0

O-72

Ichigo Shibuya East Building

3

100.0

44,952

0.6

3

100.0

44,971

0.6

O-73

Ichigo Ningyocho Building

8

100.0

43,853

0.6

8

100.0

49,1700.6

O-74

Ichigo Nishi Honmachi
Building

31

98.3

111,322

1.4

32

100.0

115,020

1.4

O-75

Ichigo Hakata Building

28

100.0

53,069

0.7

28

100.0

55,1580.7

O-76

Ichigo Nishiki First Building

6

100.0

79,418

1.0

7

100.0

71,027

0.9

7

100.0

165,273

2.1––

46,411

0.6

O-77

Ichigo Ikenohata Building(Note
3)

O-78

Ichigo Ikebukuro East
Building

2

100.0

96,397

1.2

2

100.0

97,627

1.2

O-79

Ichigo Motoazabu Building

3

100.0

69,261

0.9

3

100.0

68,3820.9

O-80

Ichigo Otsuka Building

7

84.1

86,200

1.1

8

100.0

94,4701.2

O-81

Ichigo Nagoya Building

31

80.7

140,427

1.8

32

81.6

128,801

1.6

O-82

Ichigo Fushimi Building

39

93.1

90,942

1.2

39

92.2

87,706

1.1

O-83

Ichigo Nishiki Building

24

94.3

47,959

0.6

24

94.3

48,5240.6

O-84

Ichigo Minami Morimachi
Building

12

100.0

46,454

0.6

12

100.0

48,577

0.6

O-85

Ichigo Shibuya Udagawacho
Building

889.0

54,385

0.7

8

89.0

61,4520.8

O-86

Win Gotanda Building

10

86.6

117,348

1.5

11

100.0

103,680

1.3

O-87

Ichigo Hongo Building

6

87.0

94,574

1.2

5

81.1

87,944

1.1

O-88

Oimachi Center Building

7

100.0

69,119

0.9

7

100.0

78,534

1.0

O-89

Win Gotanda Building 2

9

88.7

97,277

1.2

9

88.7

96,831

1.2

O-90

MIF Building

7

88.3

57,614

0.7

7

88.3

60,111

0.8

O-91

Ichigo Uchi Honmachi
Building

17

100.0

65,119

0.8

17

96.1

65,0970.8

O-92

Ichigo Minami Otsuka
Building

8

100.0

84,602

1.1

8

100.0

83,2621.0

O-93

Ichigo Nogizaka Building

6

100.0

88,916

1.1

6

100.0

88,600

1.1- 15 -

34th Fiscal Period
From May 1, 2022 to October 31, 2022
Asset Name

35th Fiscal Period
From November 1, 2022 to April 30, 2023

Number of
Tenants at
Period-end(tenants)(Note 1)

Occupancy at
Period-end(%)(Note 2)

RentalIncome(thousandyen)

Ratio to Total
RentalIncome (%)

Number of
Tenants at
Period-end(tenants)(Note 1)

Occupancy at
Period-end(%)(Note 2)

RentalIncome(thousandyen)

Ratio to Total
RentalIncome (%)

O-94

Ichigo Hakata East Building

19

100.0

75,388

1.0

19

100.0

74,6940.9

O-95

Ichigo Nakameguro Building

5

80.8

36,095

0.5

5

80.9

31,7450.4

O-96

Ichigo Tachikawa Building

13

81.5

103,078

1.3

14

83.1

98,155

1.2

O-97

Ichigo Higashi Ikebukuro 3
Chome Building

6

100.0

71,599

0.9

6

100.0

98,293

1.2

O-98

Ichigo Marunouchi South
Building

–

–

–

–

23

88.3

34,5800.4

O-99

Ichigo Hakataeki Higashi
Building

–

–

–

–

31

96.8

45,581

0.6

O-100 Fukuoka Kensetsu Kaikan

–

–

–

–

11

100.0

43,1320.5

Z-09

Future IZUMI

2

100.0

24,770

0.3

2

100.0

43,0720.5

Z-10

Ichigo Shibuya Bunkamura
Dori Building

4

100.0

74,426

1.0

4

100.0

76,9831.0

Z-11

Twicere Yokohama Isogo(Retail Section)

7

80.8

54,029

0.7

7

80.8

53,7150.7

Z-14

Ichigo Kamata Building

2

100.0

54,018

0.7

2

100.0

54,404

0.7

Total

938

96.5

7,798,741

100.0

998

95.9

7,985,103100.0(Note 1)In the column “Number of Tenants at Period-end,” the total number of tenants that have entered into a lease contract with Ichigo Office or the trustee
as the lessor is stated. If a master lease contract has been entered into with a master leasing company other than Ichigo Office, the number of tenants
is counted as one.
(Note 2) “Occupancy Rate at Period-end” is the ratio of the Leased Area within the Leasable Area of the real estate or real estate in trust as of period-end. The
ratio is rounded off to the first decimal place.
(Note 3) The asset was sold on December 20, 2022.

- 16 -

Details of Renewable Energy Power Generation Equipment
N/A

Details of PPP and PFI
N/ADetails of Investments in Securities
The table below is the summary of investments in securities owned by Ichigo Office as of April 30, 2023.
Type

Book Value(thousand yen)
Per Share

Equity Interest in Kizuna 1
GK TK

TK (tokumei kumiai)
equity interest

Total

Appraisal Value(thousand yen) (Note 1)

Total

Per Share

Difference

Note

Total

–

39,846–

39,846–(Note 2)–

39,846–

39,846––(Note 1) “Appraisal Value” shows the book value of the TK equity interest.
(Note 2) The underlying real estate in the Kizuna 1 GK TK is a trust beneficiary interest in real estate (juekiken) of Ichigo Hakata Meiji Dori Building and Ogaku
Building.

4

Status of Other Assets

Trust beneficiary rights whose major asset is real estate are included in “3. Portfolio Overview” above, and major specified assets inwhich the Investment Corporation invests as of April 30, 2023 are as follows.

Contract Value and Market Value of Specified Transactions
The table below shows the contract value and fair value of a specified transaction at Ichigo Office as of April 30, 2023.
Classification
Transactions Other thanMarket Transactions

Type
Interest rate swap (pay fixed,
receive floating)
Total

Contract Amount (thousand yen)
Exceeding One Year (Note 1)

Market Value (thousand yen)
(Note 2)

95,313,000

90,713,000–

95,313,000

90,713,000–(Note 1)

(Note 1) The contract amount of interest rate swap is based on the notional principal.
(Note 2) Since the above transaction meets the specific matching criteria of the Accounting Standard for Financial Instruments, market value is omitted.

5Assets by Country and Region

All Ichigo Office assets are located in Japan.

- 17 -

Capital Expenditures

1

Schedule of Capital Expenditures

The major renovation-related capital expenditures planned as of April 30, 2023 are as described below. The payment amount for thescheduled work below includes the amount classified as accounting expenses.
Expected Payment Amount (thousand yen)
Asset Name
(Location)

Purpose

PeriodIchigo Nishi Honmachi Building(Nishi-ku, Osaka)

Renovate exterior walls(Phase 2)

From May 2023
to July 2023

Ichigo Nishi Honmachi Building(Nishi-ku, Osaka)

Upgrade central
surveillance board

Ichigo Hanzomon Building(Chiyoda-ku, Tokyo)

Amount Paid in the
Fiscal Period under
Review

Amount Already Paid

62,134––

From November 2023
to November 2023

28,630––Renovate exterior walls

From October 2023
to November 2023

27,610––Ichigo Shibakoen Building(Minato-ku, Tokyo)

Renovate exterior walls

From December 2023
to January 2024

25,910–

1,360

Oimachi Center Building(Shinagawa-ku, Tokyo)

Upgrade air conditioning
systems

From March 2024
to March 2024

20,470––

Oimachi Center Building(Shinagawa-ku, Tokyo)

Upgrade air conditioning
systems

From June 2023
to June 2023

20,266––

Ichigo Shibakoen Building(Minato-ku, Tokyo)

Elevator Upgrade

From May 2023
to May 2023

18,083––

Ichigo Minami Morimachi
Building (Kita-ku, Osaka)

Maintenance of
mechanical car parking
spacesFrom November 2023
to November 2023

12,330––Ichigo Kudan 3 Chome Building(Chiyoda-ku, Tokyo)

Weather proofing of roof

From September 2023
to September 2023

8,725

–

–

Ichigo Yotsuya 4 Chome Building Renovation to Entrance(Shinjuku-ku, Tokyo)
space

From June 2023
to June 2023

8,270

–

–

Ichigo Yotsuya 4 Chome Building
Renovate tenant spaces(Shinjuku-ku, Tokyo)

From June 2023
to June 2023

5,120

–

–

2

Total Amount

Capital Expenditures during the Current Fiscal Period

Capital expenditures during the current fiscal period amounted to 928,876 thousand yen, and construction work of a total of 828,674
thousand yen were conducted, combined with repair expenses of 100,201 thousand yen.
Asset Name (Location)

Payment Amount(thousand yen)

Purpose

PeriodKoriyama Big-i (Office Section)(Koriyama City, Fukushima)

Upgrade air conditioning systems(Phase 3)

From April 2022
to December 2022

43,700Ichigo Minami Morimachi Building(Kita-ku, Osaka)

Renovate exterior walls

From September 2022
to December 2022

27,773

Ichigo Takadanobaba Building(Shinjuku-ku, Tokyo)

Elevator Upgrade

From October 2022
to November 2022

23,020Ichigo Shin Yokohama Building(Yokohama, Kanagawa)Elevator Upgrade

From March 2023
to March 2023

19,450Ichigo Sagamihara Building(Sagamihara City, Kanagawa)Elevator Upgrade

From January 2023
to January 2023

16,390

Other

698,341

Total

828,674- 18 -

3

Cash Reserves for Long-Term Repair and Maintenance Plans

Based on each asset’s long-term repair and maintenance plans, Ichigo Office reserves funds for future large-scale repairs and renovations
from cash flow during each fiscal period as follows.
31st Fiscal Period
From November 1, 2020
to April 30, 2021
Balance of Reserves at
Beginning of Period

32nd Fiscal Period
From May 1, 2021 toOctober 31, 2021

33rd Fiscal Period
From November 1, 2021
to April 30, 2022

34th Fiscal Period
From May 1, 2022 to
October 31, 2022

(Thousand yen)
35th Fiscal Period
From November 1, 2022
to April 30, 2023

1,586,617

1,557,530

1,555,616

1,508,839

1,597,254

Gains

695,825

739,142779,842868,312783,823

Reversals

724,912741,056

826,619

779,896

933,8121,557,530

1,555,616

1,508,839

1,597,254

1,447,264

Amount Brought Forward
to Next Period- 19 -

Expenses and Liabilities

1

Details of Operating Expenses
34th Fiscal Period
From May 1, 2022 to October 31, 2022

(Thousand yen)
35th Fiscal Period
From November 1, 2022 to April 30, 2023

a. Asset Management Fees

773,873

1,679,263

b. Asset Custody Fees

15,12015,198c. Administrative Service Fees

47,14944,850d. Directors’ Compensation

5,040

5,040

e. Other Operating Expenses

61,913

223,662

Total

903,097

1,968,015(Note) Other than the asset management fees shown above, there is an asset sales performance fee of 775,251 thousand yen, which has been deducted from thegain on on sales of investment properties for the 35th fiscal period.

2

Borrowings

The table below shows borrowings as of April 30, 2023.
Balance at
Period-start(million yen)

Balance at
Period-end(million yen)

SMBC

1,431

–

Mizuho Bank

1,036

–

888

–

493

–

1,776

–

Mizuho Bank

888–

MUFG Bank

690

–

592

–

493

–

Bank of Fukuoka

493–

Nishi-Nippon City Bank

493–

Resona Bank

345

–

1,000

1,000

1,100

1,100

1,000

1,000

900

900

400

400

2,000

2,000

Lender

MUFG Bank

Loan
Date

May 9,2016

SBI Shinsei Bank
(Note 5)SMBC

SBI Shinsei Bank
(Note 5)
Aozora BankLongTerm
Loans

SMBC
SMBC
Mizuho BankSBI Shinsei Bank
(Note 5)Resona Bank
Development Bank ofJapan

May 24,
2016

November 2,
2016
May 10,2017
May 10,2017
May 10,2017
May 10,2017
May 10,2017- 20 -

Average
Interest Rate(%)
(Note 1)

Repayment
Date

Repayment
Terms

0.858 November 30,(Note 2)2022

(Note 3)0.750 November 30,(Note 2)2022

(Note 3)0.845
(Note 2)0.852
(Note 2)0.852
(Note 2)0.852
(Note 2)0.852
(Note 2)October 31,
2023
November 10,
2024
November 10,
2024
November 10,
2024
November 10,
2024
May 10,0.871
2023

Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

Use

Collateralized(Note 4)

No
(No Guarantee)

Repayment
Date

Repayment
Terms

0.761
(Note 2)October 31,
2023

Lump-sum
repayment

0.948(Note 2)October 31,
2025

Lump-sum
repayment

0.990(Note 2)

April 30,2026

Lump-sum
repayment

0.795(Note 2)

April 30,2024

Lump-sum
repayment

Balance at
Period-end(million yen)

SMBC

215

215

Mizuho Bank

340

340

MUFG Bank

283

283

237

237

135

135

Bank of Fukuoka

195

195

ORIX Bank

195

195

SMBC

633

633

Mizuho Bank

508

508

MUFG Bank

425

425

356

356

SBI Shinsei Bank
(Note 5)

201

201

Aozora Bank

257

257

SMBC

352

352

1,352

1,352

901

901

901

901

Resona Bank

448

448

SMBC

400

400

Mizuho Bank

350

350

300

300

300

300

Bank of Fukuoka

225

225

The Kagawa Bank

200

200

Nishi-Nippon City Bank

225

225

SMBC

835

835

Mizuho Bank

491

491

393

393

393

393

Aozora Bank

393

393

Resona Bank

294

294

The Kagawa Bank

147

147

500

500

0.627

400

400

0.627

1,000

1,000

0.962
(Note 2)

400

400

0.707

200

200

0.707

SMBC

954

954

Aozora Bank

656

656

773

773

483

483

830

830

570

570

LenderResona BankSBI Shinsei Bank
(Note 5)Resona Bank

November 7,
2017

November 7,
2017

Mizuho Trust
Aozora BankSBI Shinsei Bank
(Note 5)

SBI Shinsei Bank
(Note 5)
LongTerm
Loans

Average
Interest Rate(%)
(Note 1)

Balance at
Period-start(million yen)

Loan
Date

MUFG BankSBI Shinsei Bank
(Note 5)
MUFG Bank

SMBC
Mizuho Bank
SMBC
Mizuho BankSBI Shinsei Bank
(Note 5)

Mizuho Bank

April 27,2018

May 9,
2018

June 15,2018

September 28,
2018
September 28,
2018
October 31,
2018
October 31,
2018
October 31,
2018

November 30,
2018

SBI Shinsei Bank
(Note 5)
SMBC
Aozora Bank

December 21,
2018- 21 -

0.860 November 11, Lump-sum(Note 2)2024
repayment

February 29,
2024
February 29,
2024
April 30,
2026
April 30,
2026
April 30,2026

Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

0.975 September 30, Lump-sum(Note 2)
2026
Repayment

0.907 September 30, Lump-sum(Note 2)
2026
Repayment

Use

Collateralized(Note 4)

No
(No Guarantee)

Balance at
Period-start(million yen)

Balance at
Period-end(million yen)

SMBC

250

250

Mizuho Bank

400

400

400

400

MUFG Bank

300

300

SBI Shinsei Bank
(Note 5)

250

250

1,000

1,000

1,000

1,000

1,000

1,000

SMBC

1,239

1,239

Mizuho Bank

1,074

1,074

743

743

743

743

743

743

413

413

413

413

692

692

672

672

610

610

641

641

549

549

SMBC

1,224

1,224

Mizuho Bank

1,224

1,224

783

783

783

783

Aozora Bank

783

783

Resona Bank

587

587

955

955

827

827

790

790

LenderDevelopment Bank of
Japan

SMBC
Resona Bank
Bank of Fukuoka

SBI Shinsei Bank
(Note 5)
Aozora Bank

Loan
Date

December 28,
2018

April 26,
2019
April 26,
2019
April 26,
2019

July 31,
2019

Resona BankORIX Bank
The Kagawa Bank
SMBC

July 31,2019
September 30,
2019

SMBC
Mizuho BankLongTermLoans

SBI Shinsei Bank
(Note 5)

November 29,
2019

MUFG BankSBI Shinsei Bank
(Note 5)
MUFG Bank

The Kagawa Bank

December 16,
2019

March 31,
2020

SMBC
SBI Shinsei Bank
(Note 5)
Mizuho BankMay 29,
2020

753

753

MUFG Bank

677

677

SMBC

543

543

518

518

494

494

445

445

2,127

2,127

998

998

1,000

1,000

400

400

SBI Shinsei Bank
(Note 5)
Mizuho BankMay 29,2020

MUFG Bank
Aozora BankSBI Shinsei Bank
(Note 5)
SBI Shinsei Bank
(Note 5)
Mizuho Bank

August 31,
2020
August 31,
2020
August 31,
2020
August 31,
2020- 22 -

Average
Interest Rate(%)
(Note 1)

Repayment
Date

Repayment
Terms

0.850
(Note 2)

April 30,2026

Lump-sum
repayment

Use

Collateralized(Note 4)

No
(No Guarantee)

0.867 September 25, Lump-sum(Note 2)2026
repayment
0.867 September 25, Lump-sum(Note 2)2026
repayment
0.867 September 25, Lump-sum(Note 2)2026
repayment

0.822(Note 2)

March 25,2027

0.698 September 25,(Note 2)2025
0.726
March 25,
(Note 2)2026

Lump-sum
repayment

Lump-sum
repayment
Lump-sum
repayment

0.844 September 25, Lump-sum(Note 2)2027
repayment

0.876 September 25, Lump-sum(Note 2)2027
repayment

0.654

0.474

March 25,
2027

Lump-sum
repayment

September 25, Lump-sum
2023
repayment

0.740(Note 2)

March 25,
2027

Lump-sum
repayment

0.828(Note 2)
0.722
(Note 2)0.828
(Note 2)0.828
(Note 2)

August 25,
2028
March 25,
2027
August 25,
2028
August 25,
2028

Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

Balance at
Period-start(million yen)

Balance at
Period-end(million yen)

SMBC

407

407

MUFG Bank

781

781

Resona Bank

586

586

407

407

SBI Shinsei Bank
(Note 5)260

260

Aozora Bank

260

260

SMBC

814

814

814

814

521

521

521

521

800

800

700

700

500

500

527

527

494

494

355

355

285

285

LenderMizuho Bank

Mizuho BankSBI Shinsei Bank
(Note 5)

Loan
Date

December 10,
2020

December 10,
2020

Aozora Bank
SMBC
Mizuho Bank
Bank of Yokohama

December 18,
2020
December 18,
2020
December 18,
2020

SMBC
MUFG Bank
Mizuho Bank

March 31,2021

Bank of Yokohama
Mizuho Trust & Banking

95

95

1,055

1,055

710

710

571

571

Resona Bank

571

571

Mizuho Trust & Banking

190

190

SMBC
Mizuho Bank
Aozora BankLongTerm
Loans

March 31,
2021

SMBC

329

329

1,372

1,372

376

376

Mizuho Bank

329

329

Bank of Yokohama

30

30

SMBC

329

329

Mizuho Bank

329

329

287

287

174

174

SBI Shinsei Bank
(Note 5)

162

162

Bank of Yokohama

161

161

SMBC

988

988

988

988

862

862

487

487

422

422

500

500

SMBC

194

194

Mizuho Bank

194

194

1,622

1,622

Bank of Fukuoka

446

446

Bank of Yokohama

90

90

MUFG Bank
Bank of Fukuoka

Resona Bank
Aozora Bank

May 7,
2021

May 7,
2021

Mizuho Bank
Resona BankSBI Shinsei Bank
(Note 5)

May 7,
2021

Aozora Bank
Development Bank ofJapan

MUFG Bank

September 30,
2021

November 8,
2021- 23 -

Average
Interest Rate(%)
(Note 1)

Repayment
Date

Repayment
Terms

Use

Collateralized(Note 4)

No
(No Guarantee)

0.569 September 25, Lump-sum(Note 2)2025
repayment

0.787 November 25, Lump-sum(Note 2)2028
repayment

0.802 November 25, Lump-sum(Note 2)2028
repayment
0.802 November 25, Lump-sum(Note 2)2028
repayment
0.802 November 25, Lump-sum(Note 2)2028
repayment

0.467

0.876
(Note 2)0.467

September 25, Lump-sum
2024
repayment

March 25,
2029

Lump-sum
repayment

September 25, Lump-sum
2024
repayment

0.733(Note 2)

March 25,
2028

Lump-sum
repayment

0.819(Note 2)

May 25,2029

Lump-sum
repayment

0.764

September 25, Lump-sum
2028
repayment

0.612 September 25, Lump-sum(Note 2)2026
repayment

Balance at
Period-start(million yen)

Balance at
Period-end(million yen)

SMBC

389

389

Mizuho Bank

389

389

Resona Bank

271

271

154

154

117

117

Lender

SBI Shinsei Bank
(Note 5)

Loan
Date

November 8,
2021

Aozora Bank
Bank of Yokohama

356

356

SMBC

1,363

1,363

Mizuho Bank

1,363

1,363

1,086

1,086

617

617

470

470

500

500

SMBC

222

222

Mizuho Bank

193

193

1,580

1,580

Bank of Fukuoka

494

494

Nishi-Nippon City Bank

100

100

SMBC

628

628

Mizuho Bank

385

385

217

217

98

98

111

111

Resona BankSBI Shinsei Bank
(Note 5)

November 8,
2021

Aozora Bank
Development Bank ofJapan

MUFG BankSBI Shinsei Bank
(Note 5)
LongTerm
Loans

Aozora Bank

January 31,
2022

May 31,
2022

May 31,
2022

Nishi-Nippon City Bank
Resona Bank

125

125

SMBC

2,360

2,360

Mizuho Bank

1,348

1,348

869

869

396

396

283

283

220

220

950

950

950

950

SMBC

–

1,000

Mizuho Bank

–

524

–

1,579

–

307

Bank of Fukuoka–

493

Nishi-Nippon City Bank–

493

Resona Bank

–

245

SMBC

–

1,500

–

800

–

778

–

200

SBI Shinsei Bank
(Note 5)
Aozora Bank

May 31,
2022

Nishi-Nippon City Bank
Resona Bank
SMBC
Mizuho Bank

June 20,2022
June 20,2022

MUFG BankSBI Shinsei Bank
(Note 5)

Mizuho BankSBI Shinsei Bank
(Note 5)
Aozora Bank

November 30,
2022

November 30,
2022- 24 -

Average
Interest Rate(%)
(Note 1)

Repayment
Date

Repayment
Terms

0.720
(Note 2)

March 25,
2028

Lump-sum
repayment

Use

Collateralized(Note 4)

No
(No Guarantee)

0.833 November 25, Lump-sum(Note 2)2029
repayment

0.859

January 25,
2029

Lump-sum
repayment

0.717(Note 2)

May 25,2027

Lump-sum
repayment

0.816(Note 2)

May 25,2028

Lump-sum
repayment

1.019(Note 2)

May 27,2030

Lump-sum
repayment

1.107(Note 2)
1.107
(Note 2)

May 25,2029
May 25,2029

Lump-sum
repayment
Lump-sum
repayment

0.958 November 25, Lump-sum(Note 2)2027
repayment

1.036(Note 2)

August 25,
2028

Lump-sum
repayment

Lender

Loan
Date

SMBC
Mizuho Bank

November 30,
2022

Aozora Bank
Resona BankLongTerm
Loans

Bank of Fukuoka
Nishi-Nippon City Bank
SMBC
Mizuho Bank
Total

(Note 1)
(Note 2)
(Note 3)(Note 4)(Note 5)January 27,
2023
January 27,
2023
January 27,
2023
January 27,
2023

Balance at
Period-start(million yen)

Balance at
Period-end(million yen)

–

707

–

600

–

293

–

100

–

300

–

200

–

700

–

600

106,211

108,007

Average
Interest Rate(%)
(Note 1)

Repayment
Date

Repayment
Terms

Use

Collateralized

1.609 September 25, Lump-sum(Note 2)2032
repayment

1.405(Note 2)
1.405
(Note 2)
1.723
(Note 2)
1.723
(Note 2)October 25,
2029
October 25,
2029
January 25,
2032
January 25,
2023

Lump-sumNo
repayment (Note 4)(No Guarantee)
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

Average Interest Rate indicates a weighted average of interest rates during the period based on the number of days, and it is rounded down to the statedunit.
To avoid interest rate risk, an interest rate swap agreement has been signed separately to fix the interest rates, and the weighted average interest rateduring the period after the effect of the interest rate swap is stated.
The remaining balance was repaid on November 30, 2022.
The proceeds are used for acquisition of assets and/or beneficiary rights of real estate in trust and repayment of loans.
Shinsei Bank changed its corporate name to SBI Shinsei Bank as of January 4, 2023.

- 25 -

3

Investment Corporation Bonds

The status of investment corporation bonds outstanding as of April 30, 2023 is as follows:
Date ofIssuance

Balance at
Period-start(million yen)

Balance at
Period-end(million yen)Interest Rate(%)

First unsecured investment
corporation bonds

September 22,
2017

1,200

1,200

0.900

Second unsecured investment
corporation bonds

April 26, 2018

1,000

1,000

0.900

Third unsecured investment
corporation bonds

November 29,
2018

1,000

1,000

0.750

Fourth unsecured investment
corporation bonds

July 26, 2019

1,200

1,200

Fifth unsecured investment
corporation bonds

March 26,
2020

1,000

Sixth unsecured investment
corporation bonds

May 6, 2021

Total

April 26,
2028

November 28, Lump-sum
2025
repayment

1,000

0.300

March 26,2025

Lump-sum
repayment

1,500

1,500

0.850

May 2,
2031

Lump-sum
repayment

6,900

6,900

Share Options

N/A- 26 -

Collateralized(Note 1)No
(No guarantee)

Lump-sum
repayment

0.890

Short-Term Investment Corporation Bonds

Use

September 22, Lump-sum
2027
repayment

Lump-sum
repayment

N/A

5

Redemption
MethodJuly 26,
2029(Note 1) The proceeds are used for repaying existing loans and acquisition of assets.
(Note 2) A ranking pari passu among Ichigo Office investment corporation bonds is attached.

4

Redemption
DateAcquisitions and Sales during the Fiscal Period
Acquisitions and Sales of Real Estate and Asset-Backed Securities, Infrastructure Assets, and1

Infrastructure-Related Assets
Acquisitions

Sales

Price
(million yen)
(Note)

1,750

Date

Price
(million yen)
(Note)

Book Value(million yen)

Gain (loss)
on Sales(million yen)

–

–

–

–

10,600

5,111

4,393

Asset Type

Asset Name

Trust
beneficiaryinterest in realestateIchigo Marunouchi South Building

Trustbeneficiaryinterest in realestateIchigo Ikenohata Building

Trustbeneficiaryinterest in realestateIchigo Hakataeki Higashi Building

January 27,
2023

3,500

–

–

–

–

Trust
beneficiaryinterest in realestateFukuoka Kensetsu Kaikan

January 27,
2023

2,750

–

–

–

–

(Note)

Date

November 30,
2022

–

–

December 20,
2022

Acquisition and sales prices exclude incidental expenses such as fees and property, city planning, and consumption taxes.

2

Acquisition and Sales of Other Assets

Assets other than the assets acquired shown above are mostly bank deposits and bank deposits in trust.

3

Review of Asset Values (Appraisal Values)(1) Real EstateTransaction

Asset NameTransaction
Date

Transaction Price(million yen)
(Note 1)

Appraisal Value(million yen)
(Note 2)

Appraiser

Date of
Appraisal

Acquisition

Ichigo Marunouchi South
Building

November 30,
2022

1,750

1,850

The Tanizawa Sogo
Appraisal Co., Ltd.

November 1,
2022

Sales

Ichigo Ikenohata Building

December 20,
2022

10,6005,500

The Tanizawa Sogo
Appraisal Co., Ltd.

April 30,
2022

Acquisition

Ichigo Hakataeki Higashi
Building

January 27,
2023

3,500

3,630

The Tanizawa Sogo
Appraisal Co., Ltd.

December 1,
2022

Acquisition Fukuoka Kensetsu Kaikan

January 27,
2023

2,750

2,810

The Tanizawa Sogo
Appraisal Co., Ltd.

December 1,
2022(Note 1) Transaction Prices exclude incidental expenses such as fees and property, city planning, and consumption taxes.
(Note 2) The appraisal above is carried out by applying the “Appraisal of Value of Real Estate for Securitization in Chapter 3 of the Specific Standards of theJapanese Real Estate Appraisal Standards.”- 27 -

(2) Other
For assets that require a transaction price investigation pursuant to Article 201 of the Act on Investment Trusts and Investment
Corporations and were not part of the list shown above, Ichigo Office entrusted the price inspection to Grant Thornton Taiyo LLC. For
the inspection period from November 1, 2022 to April 30, 2023, the transactions subject to price verification were seven interest rate
swaps.
With respect to the price verification of these interest rate swaps, all related research work was outsourced, including identification of
the transaction counterparties, currency, interest rates, maturity, and other relevant transaction information.

4

Transactions with Related Parties(1) Transactions
N/A(2) Leases
N/A(3) Amount of Fees Paid
N/A

5

Transactions between the Asset Management Company and its Other Businesses

While Ichigo Investment Advisors Co., Ltd., the Asset Management Company of Ichigo Office, concurrently engages in operations of
the Type II Financial Instruments Business, Real Estate Brokerage Business, and Real Estate Syndication Business, there are no
applicable transactions.

Financial Statements

1

Assets, Liabilities, Principal, Profit and Loss

Please refer to “II. Balance Sheet,” “III. Income Statement,” “IV. Statement of Changes in Net Assets,” “V. Notes to Financial
Statements,” and “VI. Statement of Dividends” later in this report.

2

Changes in Method of Depreciation

N/A

3

Changes in Method of Real Estate and Infrastructure Assets Appraisal

N/A- 28 -

Other

1

Ichigo Office Shares Held by Asset Management Company

Details of Ichigo Office shares held by Ichigo Investment Advisors Co., Ltd., the Asset Management Company, are as follows:(1) Transactions
Date

Number of Shares Acquired (shares)

Number of Shares Sold (shares)

Number of Shares Held (shares)

November 1, 2011

(Note)1,200

–

1,400

Cumulative total

1,400

–

1,400

(Note) Reflects a 7-for-1 share split with November 1, 2011 as the effective date.

(2) Status of Holdings
Number of Shares Heldat Period-end (shares)

Value of Shares Heldat Period-end(thousand yen)(Note)

Ratio of Total
Outstanding Shares (%)

26th Fiscal Period (May 1, 2018 to October 31, 2018)

1,400

129,640

0.1

27th Fiscal Period (November 1, 2018 to April 30, 2019)

1,400

143,640

0.1

28th Fiscal Period (May 1, 2019 to October 31, 2019)

1,400

155,540

0.1

29th Fiscal Period (November 1, 2019 to April 30, 2020)

1,400

95,7600.1

30th Fiscal Period (May 1, 2020 to October 31, 2020)

1,400

94,5000.1

31st Fiscal Period (November 1, 2020 to April 30, 2021)

1,400

133,700

0.1

32nd Fiscal Period (May 1, 2021 to October 31, 2021)

1,400

120,820

0.1

33rd Fiscal Period (November 1, 2021 to April 30, 2022)

1,400

116,620

0.1

34th Fiscal Period (May 1, 2022 to October 31, 2022)

1,400

117,460

0.1

35th Fiscal Period (November 1, 2022 to April 30, 2023)

1,400

123,3400.1(Note) The Value of Shares Held at Period-end is calculated by multiplying the Number of Shares Held by the share price at period-end.

- 29 -

2

Notices(1) Shareholder Meeting
N/A(2) Board of Directors
N/A

3

Disclosure of Affiliated Foreign Real Estate Holding Companies

N/A

4

Disclosure of Assets Owned by Affiliated Foreign Real Estate Holding Companies

N/A

5

Other

In this document, whole numbers are rounded down and ratios are rounded off, unless otherwise specified.

- 30 -

1. Financial Statements(1) Balance Sheet(Thousand Yen)
Previous fiscal period(As of October 31, 2022)
AssetsCurrent assets
Cash and deposits
Cash and deposits in trust
Operating accounts receivable
Prepaid expenses
Consumption taxes receivable
Other
Total current assets
Non-current assets
Property, plant and equipment
Buildings
Accumulated depreciation
Buildings, net
Structures
Accumulated depreciation
Structures, net
Machinery and equipment
Accumulated depreciation
Machinery and equipment, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
Buildings in trust
Accumulated depreciation
Buildings in trust, net
Structures in trust
Accumulated depreciation
Structures in trust, net
Machinery and equipment in trust
Accumulated depreciation
Machinery and equipment in trust, net
Tools, furniture and fixtures in trust
Accumulated depreciation
Tools, furniture and fixtures in trust, net
Land in trust
Construction in progress in trust
Total property, plant and equipment
Intangible assets
Leasehold rights in trust
Total intangible assets
Investments and other assets
TK (tokumei kumiai) equity interest
Lease and guarantee deposits
Long-term prepaid expenses
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Deferred assets
Bond issuance expenses
Total deferred assets
Total Assets- 34 -

Current fiscal period(As of April 30, 2023)

8,697,113
14,067,194
1,572
469,881
5,732
2,643
23,244,138

11,503,977
14,259,512
21,317
477,828－
3,006
26,265,643

7,153,708(2,250,823)
4,902,884
29,066(25,229)
3,837
349,004(234,377)
114,626
75,136(57,195)
17,94015,031,993
1,360
47,859,465(11,892,165)
35,967,300
73,249(40,371)
32,878872,824(455,189)
417,634
332,658(221,178)
111,479
144,003,252
4,480
200,609,669

7,189,308(2,356,994)
4,832,314
30,478(25,530)
4,948
352,982(247,867)
105,115
85,494(61,373)
24,12015,031,993
1,649
49,089,328(12,497,544)
36,591,784
79,965(42,354)
37,611
949,160(487,669)
461,490357,810(238,697)
119,112146,248,541
14,345
203,473,027

4,494,579
4,494,579

4,494,579
4,494,579

51,62810,0001,376,658
142,316(3,898)
1,576,705
206,680,954

39,846
10,0001,442,675
137,968(3,898)
1,626,593
209,594,201

41,87541,875229,966,968

37,54737,547
235,897,392

(Thousand Yen)
Previous fiscal period(As of October 31, 2022)
Liabilities
Current Liabilities
Operating accounts payable
Long-term loans (due within one year)
Accounts payable – otherAccrued expenses
Income taxes payable
Accrued consumption taxes
Advances received
Other
Total current liabilities
Long-Term Liabilities
Investment corporation bonds
Long-term borrowings
Tenant leasehold and security deposits
Tenant leasehold and security deposits in trust
Asset retirement obligations
Other
Total long-term liabilities
Total Liabilities
Net Assets
Shareholders’ Equity
Shareholders’ capital
SurplusCapital reserve surplus
Capital reserve surplus deduction
Capital reserve surplus (net)Discretionary reserves
Reserve for dividends
Reserve for temporary difference adjustments
Total discretionary reserves
Unappropriated retained earnings (undisposed loss)
Total surplus
Total Shareholders’ Equity
Total Net Assets
Total Liabilities and Net Assets- 35 -*2

Current fiscal period(As of April 30, 2023)

575,417
17,270,250
908,581
25,027605
76,0652,603,873
15,067
21,474,887

1,477,513
10,547,000
1,906,537
26,638605
73,676
1,484,456
17,524
15,533,950

6,900,000
88,941,000
1,517,862
9,011,058
19,55890,971
106,480,450
127,955,338

6,900,000
97,460,000
1,488,679
9,102,764
19,62596,074
115,067,144
130,601,095

67,675,274

67,675,274

20,566,420(1,499,919)
19,066,500

3,368,625
8,899,544
12,268,170
3,001,684
34,336,355
102,011,630*1 102,011,630
229,966,968

*2

*3

*3

*1

20,566,420(1,499,919)
19,066,500
3,368,625
8,794,544
12,163,170
6,391,351
37,621,022
105,296,297
105,296,297
235,897,392

(2) Income Statement(Thousand yen)Previous fiscal period(May 1, 2022 to
October 31 2022)
Operating Revenue
Rental revenue
Other rental revenue
Gain on sales of real estate
Dividend from TK (tokumei kumiai)
Total operating revenue
Operating Expenses
Rental expenses
Asset management fee
Asset custody fee
Administrative service fees
Directors' compensation
Other operating expenses
Total operating expenses
Operating Profit
Non-Operating Revenues
Interest income
Reversal of distribution payable
Insurance payment income
Other
Total non-operating revenues
Non-operating expenses
Interest expenses
Borrowing expenses
Amortization of bond issuance expenses
Other
Total non-operating expenses
Recurring Profit
Pre-tax income
Income taxes - current
Total income taxes
Net Income
Retained earnings brought forward
Unappropriated retained earnings (undisposed loss)

*1
*1

*1

- 36 -

Current fiscal period(November 1, 2022 toApril 30, 2023)

7,180,483
618,257–
2,103
7,800,844*1

7,287,685
697,418*2 4,393,094
2,506
12,380,703

3,122,066
773,873
15,12047,1495,040
61,913
4,025,164
3,775,680*1*1

3,223,121
1,679,263
15,19844,8505,040
223,662
5,191,136
7,189,567

110
607
533
–
1,251

113
505
–
9
628

457,184
313,653
4,399–
775,2383,001,693
3,001,693
605
605
3,001,088
596
3,001,684

472,895
322,0024,327
269
799,494
6,390,701
6,390,701
605
605
6,390,096
1,255
6,391,351

(3) Statement of Changes in Net Assets
Previous fiscal period (May 1, 2022 to October 31, 2022)(Thousand yen)
Shareholders’ equity
Surplus

Balance at beginning of
periodDiscretionary reserves

Shareholders’capitalCapitalreserve
surplusCapitalreserve
surplusdeduction

Capitalreserve
surplus (net)

Dividend
reserve

Temporarydifference
adjustment
reserve

Total
discretionary
reserves

67,675,274

20,566,420(1,499,919)

19,066,500

3,368,625

9,004,544

12,373,170(105,000)(105,000)

Changes during the period
Release from temporary
difference adjustment
reserve
Dividends
Net Income
Total changes during theperiodBalance at period-end

–

–

–

–

–

(105,000)(105,000)

67,675,274

20,566,420(1,499,919)

19,066,500

3,368,625

8,899,544

12,268,170

Shareholders’ equity
Surplus
Unappropriatedretained earnings(undisposed loss)
Balance at beginning of
periodTotal
shareholders’equityTotal surplus

Total net assets

3,691,120

35,130,791

102,806,066

102,806,066

105,000–––

Dividends(3,795,524)(3,795,524)(3,795,524)(3,795,524)

Net Income

3,001,088

3,001,088

3,001,088

3,001,088

Total changes during
period(689,435)(794,435)(794,435)(794,435)

Balance at period-end

3,001,684

34,336,355

102,011,630

102,011,630

Changes during the period
Release from temporary
difference adjustment
reserve- 37 -

Current fiscal period (November 1, 2022 to April 30, 2023)(Thousand yen)
Shareholders’ equity
Surplus

Balance at beginning of
periodDiscretionary reserves

Shareholders’capitalCapitalreserve
surplusCapitalreserve
surplusdeduction

Capitalreserve
surplus (net)

Dividend
reserve

Temporarydifference
adjustment
reserve

Total
discretionary
reserves

67,675,274

20,566,420(1,499,919)

19,066,500

3,368,625

8,899,544

12,268,170(105,000)(105,000)

Changes during the period
Release from temporary
difference adjustment
reserve
Dividends
Net Income
Total changes during theperiodBalance at period-end

–

–

–

–

–

(105,000)(105,000)

67,675,274

20,566,420(1,499,919)

19,066,500

3,368,625

8,794,544

12,163,170

Shareholders’ equity
Surplus
Unappropriatedretained earnings(undisposed loss)
Balance at beginning of
periodTotal
shareholders’equityTotal surplus

Total net assets

3,001,684

34,336,355

102,011,630

102,011,630

105,000–––

Dividends(3,105,429)(3,105,429)(3,105,429)(3,105,429)

Net Income

6,390,096

6,390,096

6,390,096

6,390,096

Total changes during
period3,389,666

3,284,666

3,284,666

3,284,666

Balance at period-end

6,391,351

37,621,022

105,296,297

105,296,297

Changes during the period
Release from temporary
difference adjustment
reserve- 38 -

(4) Statement of Dividends
Previous fiscal period(May 1,2022 to
October 31,2022)
Ⅰ. Unappropriated Retained Earnings
II. Discretionary Reserve Reversal
Reversal of Temporary Difference
Adjustment Reserve
III. Total Dividends(Dividend per share)

3,001,684,742 yen

6,391,351,735 yen

105,000,000 yen

105,000,000 yen

3,105,429,084 yen（2,052 yen）

6,392,462,208 yen（4,224 yen）

IV. Discretionary Reserves
Provision to Dividend Reserve
V. Retained Earnings Carried Forward
Method for calculating the amount of dividends

Current fiscal period(November 1, 2022 toApril 30, 2023)–

103,000,000 yen

1,255,658 yen

889,527 yen

The distribution policy set out in
Article 37 of the Articles of

The distribution policy set out in
Article 37 of the Articles ofIncorporation of the Investment
Corporation stipulates that the amount

Incorporation of the Investment
Corporation stipulates that the amountof dividends shall exceed 90% of“profit available for dividend” asof dividends shall exceed 90% of“profit available for dividend” asprovided for in Article 67-15,
Paragraph 1 of the Act on Special

provided for in Article 67-15,
Paragraph 1 of the Act on Special

Measures Concerning Taxation. Basedon this policy, the decision was madeMeasures Concerning Taxation. Basedon this policy, the decision was madeto distribute, as dividends,
3,105,429,084 yen, which was theto distribute, as dividends,
6,392,462,208 yen, which was theentire amount excluding the fractional entire amount excluding the fractional
portion where the amount of dividends portion where the amount of dividends
per share was less than 1 yen from theamount after adding 105,000,000 yen

per share was less than 1 yen from theamount after adding 105,000,000 yenof the reversal of the temporary
difference adjustment reserve toof the reversal of the temporary
difference adjustment reserve to

3,001,684,742 yen of unappropriatedretained earnings. As a result,

6,391,351,735 yen of unappropriatedretained earnings, and transferring

dividend per share came to 2,052 yen.

103,000,000 yen of gains on sales ofreal estate to dividend reserves, within
J-REIT conduit rules. As a result,dividend per share came to 4,224 yen.

- 39 -

(5) Cash Flow Statement(Thousand yen)Previous fiscal period(May 1,2022 to
October 31,2022)
Cash flows from operating activities
Pre-tax income
Depreciation
Interest income
Interest expense
Decrease (increase) in operating accounts receivable
Decrease (increase) in consumption taxes receivable
Decrease (increase) in prepaid expenses
Decrease (increase) in long-term prepaid expenses
Increase (decrease) in accrued consumption taxes
Increase (decrease) in operating accounts payable
Increase (decrease) in accounts payable
Increase (decrease) in advances received
Decrease due to sales of property, plant, and equipment
Other
SubtotalInterest income received
Interest expenses paid
Income taxes paid
Net Cash flows from (used for) operations
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of property, plant and equipment in trust
Proceeds from tenant leasehold and security deposits
Repayments from tenant leasehold and security deposits
Proceeds from tenant leasehold and security deposits in trust
Repayments from tenant leasehold and security deposits in trust
Proceeds from redemption of investment securities refund
Net Cash flows from (used for) investments
Cash flows from financing activities
Increase in long-term borrowings
Decrease in long-term borrowings
Dividends paid
Net Cash flows from (used for) financing
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 40 -

Current fiscal period(November 1, 2022 toApril 30, 2023)

3,001,693
910,042(110)
457,184
1,347(5,732)(22,005)(84,610)(77,689)(119,277)(205,934)
1,101,173–(8,719)4,947,360
110(456,022)(605)
4,490,843

6,390,701
950,851(113)
472,895(19,745)
5,732(7,947)(66,017)(2,389)792,548
997,956(1,119,417)
5,111,918
4,622
13,511,596
113(471,284)(605)
13,039,821(39,500)(4,513,654)
81,124(25,520)
413,878(280,646)–(4,364,318)(53,290)(8,761,990)
14,743(43,926)
597,403(505,697)
11,096(8,741,662)

11,529,000(9,642,750)(3,794,607)(1,908,357)(1,781,832)
24,449,663*1 22,667,831

11,419,000(9,623,250)(3,102,644)(1,306,894)
2,991,264
22,667,831*1 25,659,096

(6) Notes to Financial Statements(Going concern note)
N/A(Summary of Significant Accounting Policies)
1. Standards and methods forvaluation of assets

Securities
Other securities
Securities without market value
Securities are accounted at cost based on the moving-average method.
Investments in TK (tokumei kumiai) real estate equity interest
Investments in TK (tokumei kumiai) real estate equity interest are accounted for using the equity
method of accounting.

2. Method of depreciation of fixed
assets(1) Property, plant and equipment (including assets in trust)The depreciation of property, plant and equipment is calculated using the straight-line method.
The useful lives of assets are as stated below.
Buildings: 1 to 63 years

Structures: 2 to 45 years

Machinery andequipment: 1 to 15 years

Tools, furniture andfixtures: 1 to 15 years(2) Long-term prepaid expenses
The depreciation of long-term prepaid expenses is calculated using the straight-line method.
3. Accounting for deferred assets

Investment corporation bond issuance costs
Investment corporation bond issuance costs are amortized equally over the period up to theredemption.

4. Standards for recognition ofallowances
5. Standards for recognition ofrevenues and expenses

Accounting for allowance of doubtful accounts
Estimated uncollectible amounts are recognized based on a case-by-case evaluation of thecollectability of certain receivables, such as receivables with default possibility.
(1) Accounting for revenues
Details of performance obligations regarding revenue from contracts between Ichigo Office
and its customers and the general point of time under normal circumstances such revenues
should be recognized are as follows:(i) Real estate property sales
Revenue from real estate property sales is recognized as revenues when the buyer(customer) obtains control over a real estate property following the seller’s fulfilment of its
obligation to hand over the property which is stipulated in the contract associated with thesale of real estate property.
(ii) Utility charge reimbursements
Revenue from utility charge reimbursements is recognized according to the supply ofelectricity, water, etc. to lessees who are customers based on lease agreements and otherterms related to the real estate properties.
For utility charge reimbursements which Ichigo Office regards itself as an agent, the net
amount calculated by subtracting the amount paid to a party from the total amount received
as charges for electricity, gas, etc. supplied by the same party is recognized as revenue.

- 41 -

(2) Accounting for fixed asset taxes, etc.
Of the amount of fixed asset taxes, city planning taxes and depreciable asset taxes imposedon real estate owned that was assessed and determined, the amount corresponding to therelevant computation period is recognized as expenses in the rental business.
The amount corresponding to fixed asset taxes for the first fiscal year that the Investment
Corporation should incur associated with the acquisition of real estate or trust beneficiaryinterests in real estate is not expensed, but is included in the acquisition costs of the real estate.
The amount corresponding to fixed asset taxes that was included in the acquisition costs ofreal estate for the previous fiscal period was 20,740 thousand yen.
6. Method of hedge accounting(1) Method of hedge accounting
In cases where the interest rate swaps meet the conditions for special treatment, the special
treatment is adopted.
(2) Hedging instruments and hedged items
Hedging instruments: Interest rate swap transactions
Hedged items: Interest on loans(3) Hedging policy
The Investment Corporation conducts derivative transactions to hedge the risks set out in the
Articles of Incorporation based on the risk management regulations.
(4) Method for assessing the effectiveness of hedging
The evaluation of the effectiveness of interest rate swaps is omitted because they meet therequirements for special treatment.

7. Scope of funds on the cash flow
statement

Funds (cash and cash equivalents) on the cash flow statement consist of cash on hand, cash heldin trust, bank deposits and bank deposits held in trust that can be withdrawn at any time, andshort-term investments, with a maturity of 3 months or less from the date of acquisition, which
are readily convertible to cash and contain only an insignificant risk of value fluctuation.

8. Other significant mattersserving as the basis for
preparing financial statements(1) Accounting for trust beneficiary interests in real estate
For trust beneficiary interests in real estate, all trust assets and liabilities as well as all income
generated and expenses incurred in trusts are recorded in the relevant accounts on the balance
sheet and the income statement.
The following material items of the trust accounts recorded in the relevant accounts are listed
separately on the balance sheet.
(i) Cash and deposits in trust(ii) Buildings in trust; structures in trust; machinery and equipment in trust; tools, furnitureand fixtures in trust; land in trust; construction in progress in trust; and land leasehold
rights in trust(iii) Tenant leasehold and security deposits in trust(2) Accounting for non-deductible consumption taxes
Non-deductible consumption taxes on assets are included in the acquisition costs of individual
assets.

- 42 -

Notes(Notes to balance sheet)*1. Minimum net assets as provided in Article 67, Paragraph 4 of the Act on Investment Trusts and Investment Corporation(Thousand yen)Previous fiscal period(As of October 31, 2022)

Current fiscal period(As of April 30, 2023)

50,00050,000Previous fiscal period(As of October 31, 2022)

Current fiscal period(As of April 30, 2023)*2. Cancellation of Treasury Shares

No. of shares cancelled
Total amount of shares

18,92018,9201,499,919
cancelled (JPY thousand)(Note) There were no cancellation of treasury shares during the current fiscal period.

1,499,919*3. Provision and reversal of temporary difference adjustment reserves
Previous fiscal period (As of October 31, 2022)(Thousand yen)

Gain on
Negativegoodwill(Note)

Initial amount

Balance at
beginning of
periodAmountreserved
during period

Amountreversedduring period

Balance at endof period

Reasons forprovision andreversal

10,432,940

9,004,544–

105,000

8,899,544

Appropriation
to dividends(Note) The initial amount of gain on negative goodwill is the amount previously transferred from gain on negative goodwill
to the temporary difference adjustment reserves account. The entire amount will be equally reversed within 50
years. For the current fiscal period, 105,000,000 yen was reversed from the reserve.
Current fiscal period (As of April 30, 2023)(Thousand yen)

Gain on
Negativegoodwill(Note)

Initial amount

Balance at
beginning of
periodAmountreserved
during period

Amountreversedduring period

Balance at endof period

Reasons forprovision andreversal

10,432,940

8,899,544–

105,000

8,794,544

Appropriation
to dividends(Note) The initial amount of gain on negative goodwill is the amount previously transferred from gain on negative goodwill
to the temporary difference adjustment reserves account. The entire amount will be equally reversed within 50
years. For the current fiscal period, 105,000,000 yen was reversed from the reserve.

- 43 -

(Notes to Income Statement)*1. Details of real estate rental income(Thousand yen)Previous fiscal period(May 1, 2022 toCurrent fiscal period(November 1, 2022 to

October 31 2022)

April 30, 2023)

A． Real estate rental revenue
Rental Revenue
Rental revenue
Common area charges
Parking lot rental revenue
Facility use charges

5,887,330
948,762
280,095
64,294

5,992,526
943,511
7,180,483

283,605
68,040618,257

658,821
38,596

7,287,685

Other rental revenue
Utilities revenue
Other590,724
27,533

Total real estate rental revenue

7,798,741

697,418
7,985,103

B． Real estate rental expenses
Rental expenses
Service provider expenses
Utilities

667,705
665,464

661,897
716,926

Trust fees
Depreciation

33,312910,042

36,691
950,851

Repair expenses
Taxes and public dues

93,192
689,651

100,201
696,242

Non-life insurance expenses
Other rental expenses

18,76743,92916,18844,120Total real estate rental expenses

3,122,066

3,223,121

4,676,674

4,761,981

C． Net rental income（A-B）*2. Details of real estate sales
Previous fiscal period (May 1, 2022 to October 31, 2022)
N/A
Current fiscal period (November 1, 2022 to April 30, 2023)
Ichigo Ikenohata Building
Real estate sale revenue

10,600,000

Real estate sale cost

5,111,918

Other real estate sale expenses

1,094,987

Gain on real estate sales

4,393,094- 44 -

(Statement of changes in net assets)
Previous fiscal period

Current fiscal period(May 1, 2022 to
October 31 2022)(November 1, 2022 toApril 30, 2023)

Total number of authorized shares and total number ofshares issued and outstanding
Total number of authorized shares
Total number of shares issued and outstanding

14,000,000 shares
1,513,367 shares

14,000,000 shares
1,513,367 shares(Notes to statement of dividends)
Previous fiscal period

Current fiscal period(May 1, 2022 to
October 31 2022)(November 1, 2022 toApril 30, 2023)

By applying the transitional measures of Paragraph 3 of theBy applying the transitional measures of Paragraph 3 of the

Supplementary Provisions of the “Regulation on
Accountings of Investment Corporations” (Cabinet Office

Supplementary Provisions of the “Regulation on
Accountings of Investment Corporations” (Cabinet Office

Order No. 27 of 2015), an amount of 10,432,940,000 yen,which was the remaining balance of gain on negative

Order No. 27 of 2015), an amount of 10,432,940,000 yen,which was the remaining balance of gain on negative

goodwill was transferred to the temporary difference
adjustment reserve account, and planned to equally reverse

goodwill was transferred to the temporary difference
adjustment reserve account, and planned to equally reverse

the entire amount within 50 years. The original policy was
to reverse a minimum of 200,000,000 yen starting from thethe entire amount within 50 years. The original policy was
to reverse a minimum of 200,000,000 yen starting from the23rd fiscal period, as stated on the statement of dividends
for the 22nd fiscal period. But the policy has been changed

23rd fiscal period, as stated on the statement of dividends
for the 22nd fiscal period. But the policy has been changed

to reversing a minimum of 105,000,000 yen starting fromthe 24th fiscal period. For this fiscal period, 105,000,000

to reversing a minimum of 105,000,000 yen starting fromthe 24th fiscal period. For this fiscal period, 105,000,000

yen will be reversed.

yen will be reversed.

- 45 -

(Notes to cash flow statement)*1. Relationship between cash and cash equivalents at the end of the fiscal period and items shown on the Balance Sheet(Thousand yen)Previous fiscal period

Current fiscal period(May 1, 2022 to
October 31 2022)(November 1, 2022 toApril 30, 2023)

Cash and deposits
Cash and deposits in trust

8,697,113
14,067,194

11,503,977
14,259,512

Miscellaneous deposits(96,476)(104,393)

Cash and cash equivalents

22,667,831

25,659,096(Notes to lease transactions)Operating lease transactions(Lessee)(Thousand yen)Previous fiscal period

Current fiscal period(As of October 31, 2022)(As of April 30, 2023)

Outstanding lease charges
One year or lessOver one year
Total

74,5701,427,742

78,583
1,470,845

1,502,312

1,549,429(Lessor)(Thousand yen)Previous fiscal period

Current fiscal period(As of October 31, 2022)(As of April 30, 2023)

Outstanding lease charges
One year or lessOver one year
Total

- 46 -

7,158,170
680,979

7,346,552
738,858

7,839,150

8,085,410

(Notes to financial instruments)
1. Matters concerning the status of financial instruments(1) Policy for handling financial instruments
Ichigo Office manages its assets by investing mainly in specified assets such as real estate with the aim of securing stable earnings in
the medium to long term. It raises funds primarily through the issuance of investment units, the borrowing of bank loans and theissuance of investment corporation bonds. Derivative transactions are used for the purpose of mitigating the risk of future fluctuationsin interest rates, and not for trading or speculative purposes. Ichigo Office also carefully invests surplus funds in consideration ofsafety and liquidity so as not to bear excess risks, taking the financial environment and cash management into full consideration.
(2) Description of financial instruments and associated risks, and risk management structure
Funds raised from loans and investment corporation bonds are used for the purchase of real estate and trust beneficiary interests inreal estate and the repayment of loans, and they are exposed to the liquidity risk on the dates of repayment and redemption. Ichigo
Office not only works to reduce the liquidity risk through the diversification of financing and the decentralization of repayment dates
and lenders by controlling LTV in the range that is deemed appropriate, but also manages the liquidity risk in terms of the way theasset management company formulates a cash management plan. Loans with floating interest rates are exposed to the risk offluctuations in interest rates, but the impact of rising market interest rates on Ichigo Office’s operations are controlled by managing
the LTV appropriately and by utilizing derivatives (interest rate swaps) as a hedging method.
(3) Supplementary explanation of matters concerning the market value, etc. of financial instruments
Because of certain parameters, etc. are adopted in the calculation of the market values of financial instruments, there may be cases
where the values concerned will vary when different parameters, etc. are adopted.
2. Matters concerning the market value, etc. of financial instruments
The carrying amount on the balance sheet on October 31, 2022, the market value, and the difference between the carrying amount andthe market value were as follows. Investments in TK (tokumei kumiai) real estate equity interest (Note 2) are not included in the tablebelow.
“Cash and deposits” and “Cash and deposits in trust” has been omitted because the market value of these items are almost equal to theirbook values since they are settled within a short period.
“Tenant leasehold and security deposits” and “Tenant leasehold and security deposits in trust” also has been omitted since these items
are not material.
(Thousand yen)
Carrying valueMarket value

Difference(1) Long-term borrowings (due within one year)

17,270,250

17,276,037

5,787(2) Investment corporation bonds

6,900,000

6,792,043(107,956)(3) Long-term borrowings

88,941,000

88,866,152(74,847)

113,111,250

112,934,233(177,016)–––

Total liabilities(4) Derivative transactions

The carrying amount on the balance sheet on April 30, 2023, the market value, and the difference between the carrying amount and themarket value were as follows. Investments in TK (tokumei kumiai) real estate equity interest (Note 2) are not included in the table below.
“Cash and deposits” and “Cash and deposits in trust” has been omitted because the market value of these items are almost equal to theirbook values since they are settled within a short period.
“Tenant leasehold and security deposits” and “Tenant leasehold and security deposits in trust” also has been omitted since these items
are not material.
(Thousand yen)
Carrying valueMarket value

Difference(1) Long-term borrowings (due within one year)

10,547,000

10,550,668

3,668(2) Investment corporation bonds

6,900,000

6,772,445(127,554)(3) Long-term borrowings

97,460,000

97,017,763(442,236)

114,907,000

114,340,876(566,123)–––

Total liabilities(4) Derivative transactions- 47 -

(Note 1) Matters concerning the calculation method of the market value of financial instruments and derivative transactions(1) Long-term borrowings (due within one year) (3) Long-term borrowings
The market value of long-term loans with fixed interest rates is calculated by discounting the present value by using aninterest rate that is assumed if the total amount of principal and interest is borrowed in similar new loans. The market valueof long-term loans with floating interest rates is based on the book value because the market value is approximately equal
to the book value due to the situation in which the interest rate is renewed periodically. For some long-term loans withfloating interest rates that are subject to the special treatment of interest rate swaps (see “Notes to Derivative Transactions”
below), the present value is calculated by discounting the combined total of principal and interest translated at the logicallyestimated rates for similar loans.
(2) Investment corporation bonds
The market value of investment corporation bonds is calculated by discounting it based on the reference values announced
by the Japan Securities Dealers Association.
(4) Derivative transactions
Please refer to “Notes to Derivative Transactions” below.
(Note 2) Investments in TK (tokumei kumiai) real estate equity interest
Previous fiscal period (As of October 31, 2022)
In accordance with the treatments stipulated in Paragraph 24-16 of “Implementation Guidance on Accounting for Fair Value
Measurement” (ASBJ Guidance No.31, June 17, 2021, Accounting Standards Board of Japan), matters set down on Paragraph4-1 of “Implementation Guidance on Fair Value Measurement of Financial Instruments” (ASBJ Guidance No.19, March 31,2020) has been omitted.
The carrying amount on the balance sheet for the Investment in TK real estate equity interest according to the above
implementation is 51,628 thousand yen.
Current fiscal period (As of April 30, 2023)
In accordance with the treatments stipulated in Paragraph 24-16 of “Implementation Guidance on Accounting for Fair Value
Measurement” (ASBJ Guidance No.31, June 17, 2021, Accounting Standards Board of Japan), matters set down on Paragraph4-1 of “Implementation Guidance on Fair Value Measurement of Financial Instruments” (ASBJ Guidance No.19, March 31,2020) has been omitted.
The carrying amount on the balance sheet for the Investment in TK real estate equity interest according to the above
implementation is 39,846 thousand yen.

(Note 3) Maturity profile of investment corporation bonds and long-term loans after the fiscal period-end date (October 31, 2022)(Thousand yen)
Due after
Due after
Due after
Due after
Due within
Due after
1 year but
2 years but
3 years but
4 years but
1 year
5 years
within 2 years within 3 years within 4 years within 5 years
Long-term borrowings
17,270,250
–
–
–
–
–
(due within one year)
Investment corporation bonds––

1,000,000

1,000,000

1,200,000

3,700,000

Long-term borrowings–

7,092,000

11,840,000

17,658,000

19,353,000

32,998,000

17,270,250

7,092,000

12,840,000

18,658,000

20,553,000

36,698,000

Total

Maturity profile of investment corporation bonds and long-term loans after the fiscal period-end date (April 30, 2023)(Thousand yen)
Due within
1 yearLong-term borrowings(due within one year)

Due after
Due after
Due after
Due after
1 year but
2 years but
3 years but
4 years but
within 2 years within 3 years within 4 years within 5 years

Due after
5 years

10,547,000

–

–

–

–

–

Investment corporation bonds–

1,000,000

1,000,000–

2,200,000

2,700,000

Long-term borrowings–

10,538,000

13,340,000

18,720,000

18,204,000

36,658,000

10,547,000

11,538,000

14,340,000

18,720,000

20,404,000

39,358,000

Total- 48 -

(Securities)
Previous fiscal period (As of October 31, 2022)
Investments in TK (tokumei kumiai) real estate equity interest (carrying amount on the balance sheet: 51,628 thousand yen) has been
omitted in accordance with the regulations noted on Article 8-6-2, Paragraph 3 of the amended Ordinance on the Terminology, Forms,
and Preparation Methods of Financial Statements, etc.
Current fiscal period (As of April 30, 2023)
Investments in TK (tokumei kumiai) real estate equity interest (carrying amount on the balance sheet: 39,846 thousand yen) has been
omitted in accordance with the regulations noted on Article 8-6-2, Paragraph 3 of the amended Ordinance on the Terminology, Forms,
and Preparation Methods of Financial Statements, etc.
(Notes to derivative transactions)
1. Non-hedge accounting derivatives
Not applicable in the previous fiscal period (ended October 31, 2022) and the current fiscal period (ended April 30, 2023).
2. Hedge accounting derivatives
Previous fiscal period (As of October 31, 2022)(Thousand yen)
Method of hedge
accounting

Type of derivativetransaction

Contract amount
Main hedged item

Over one year

Marketvalue

81,294,000(Note)

Calculation
method ofmarket value

Interest rate swap
Special treatment ofinterest rate swaps

transaction(pay fixed, receive

Long-term
borrowings

93,517,250–

floating)(Note) Interest rate swaps accounted under the special treatment method are processed together with the hedged items (in this case,long-term borrowings). Therefore, their market values are included in the market values of (1) Long-term borrowings (due within
one year) (3) long-term borrowings payable in (Note 1) of “Notes to financial instruments, 2. Matters concerning the market
value, etc. of financial instruments” above.
Current fiscal period (As of April 30, 2023)(Thousand yen)
Method of hedge
accounting

Type of derivativetransaction

Contract amount
Main hedged item

Over one year

Marketvalue

90,713,000(Note)

Calculation
method ofmarket value

Interest rate swap
Special treatment ofinterest rate swaps

transaction(pay fixed, receive

Long-term
borrowings

95,313,000–

floating)(Note) Interest rate swaps accounted under the special treatment method are processed together with the hedged items (in this case, along-term borrowing). Therefore, their market values are included in the market values of (1) Long-term borrowings (due within
one year) (3) long-term borrowings payable in (Note 1) of “Notes to financial instruments, 2. Matters concerning the market
value, etc. of financial instruments” above.
(Notes to retirement benefits)
Previous fiscal period (As of October 31, 2022)
N/A
Current fiscal period (As of April 30, 2023)
N/A- 49 -

(Notes to tax effect accounting)
1. Breakdown of deferred tax assets and liabilities by major cause(Thousand yen)Previous fiscal period(As of October 31, 2022)

Current fiscal period(As of April 30, 2023)

Deferred tax assets
Valuation difference of assets transferred at merger
Asset retirement obligations

5,190,018
1,651

5,178,387
1,755

1,226

1,226

Allowance for doubtful accounts
Subtotal

5,192,896

5,181,369

Valuation allowance(5,192,896)(5,181,369)

–

–

–

–

Total deferred tax assets
Deferred tax assets (net)

2. Breakdown of tax rate differences between the statutory tax rate and the effective tax rate by major cause
Previous fiscal period

Current fiscal period(As of October 31, 2022)(As of April 30, 2023)

Statutory tax rate
(Adjustment)

31.46%

31.46%(31.11 %)(0.35 %)

(31.30%)(0.16%)

Other

0.02%

0.01%

Effective tax rate

0.02%

0.01%

Deductible dividend distribution
Change in valuation allowance(Notes to share of profit and loss of entities accounted for using the equity method)
Previous fiscal period (May 1, 2022 to October 31, 2022)
N/A
Current fiscal period (November 1, 2022 to April 30, 2023)
N/A(Notes to related party transactions)
1. The parent company and principal shareholders of Ichigo Office
Not applicable in the previous fiscal period (from May 1, 2022 to October 31, 2022) and the current fiscal period (from November 1,
2022 to April 30, 2023)
2. Affiliated companies
Not applicable in the previous fiscal period (from May 1, 2022 to October 31, 2022) and the current fiscal period (from November 1,
2022 to April 30, 2023)
3. Fellow subsidiaries
Not applicable in the previous fiscal period (from May 1, 2022 to October 31, 2022) and the current fiscal period (from November 1,
2022 to April 30, 2023)
4. Directors and principal individual shareholders
Not applicable in the previous fiscal period (from May 1, 2022 to October 31, 2022) and the current fiscal period (from November 1,
2022 to April 30, 2023)(Asset retirement obligations)
Previous fiscal period (May 1, 2022 to October 31, 2022)
The statement is omitted because the total amount of asset retirement obligations is not material.
Current fiscal period (November 1, 2022 to April 30, 2023)
The statement is omitted because the total amount of asset retirement obligations is not material.
- 50 -

(Notes to rental assets)
Ichigo Office owns rental assets mainly in the six wards of central Tokyo, other Tokyo metropolitan areas, the four largest cities andother major cities for the purpose of earning stable rental revenues. The carrying amounts, increase (decrease) during the period, andmarket values of these rental assets are as follows:(Thousand yen)Previous fiscal period(May 1, 2022 to
October 31 2022)

Use

Current fiscal period(November 1, 2022 toApril 30, 2023)

Carrying amount
OfficeBalance at the beginning of period

195,094,739

198,708,273

Increase (decrease) during period

3,613,533

2,876,466

Balance at period-end

198,708,273

201,584,740

Market value at period-end

246,454,000

248,674,000

6,394,603

6,390,133

Carrying amount
Balance at the beginning of period
Other

Increase (decrease) during period(4,469)(23,261)

Balance at period-end

6,390,133

6,366,871

Market value at period-end

6,656,000

6,656,000

201,489,343

205,098,407

Carrying amount
Balance at the beginning of period
Total

Increase (decrease) during period

3,609,064

2,853,204

Balance at period-end

205,098,407

207,951,612

Market value at period-end

253,110,000

255,330,000(Note 1) The carrying amounts represent the amounts after deducting the accumulated depreciation from the acquisition costs.
(Note 2) The major increase in rental assets during the previous fiscal period was due to the acquisition of trust beneficiary interests inreal estate of asset one asset (3,886,026 thousand yen), and the decrease due to depreciation.
The major increase during the current fiscal period was due to the acquisition of trust beneficiary interests in real estate ofthree assets (8,085,918 thousand yen), and the major decrease was due to sales of trust beneficiary interests in real estate of
one asset (5,111,918 thousand yen) and depreciation.
(Note 3) The market value at the end of the period was based on the appraisal value or investigation value estimated by external realestate appraisers.
The details of real estate rental income are stated in “Notes to Income Statement.”(Notes regarding revenue recognition)
1. Breakdown of revenue from contracts with customers
Previous fiscal period (May 1, 2022 to October 31, 2022)(Thousand yen)
Revenues generated from contracts

Sales to external customers

with customers
Real estate property sales–

Utility charge reimbursements–

590,724

590,724

Other–

7,208,016

Total

590,724

7,798,741(Note) Rental revenues, etc. which are subject to Accounting Standard for Lease Transactions (ASBJ Statement No. 13) and the transfer
of real estate properties which is subject to Practical Guidelines on Accounting by Transferors for Securitization of Real Estate
Using Special Purpose Companies (Accounting System Committee Report No.15 of the Japanese Institute of Certified Public
Accountants) are not included in the above amounts as they are excluded from revenue recognition accounting standards.
Revenues generated from contracts with major customers are real estate property sales and utility charge reimbursements.

- 51 -

Current fiscal period (November 1, 2022 to April 30, 2023)(Thousand yen)
Revenues generated from contracts
with customers
Real estate property sales

Sales to external customers

10,600,000(Note 2) 4,393,094

658,821658,821

Utility charge reimbursements
Other

–

7,326,281

Total

11,258,821

12,378,197(Note 1) Rental revenues, etc. which are subject to Accounting Standard for Lease Transactions (ASBJ Statement No. 13) and thetransfer of real estate properties which is subject to Practical Guidelines on Accounting by Transferors for Securitization ofReal Estate Using Special Purpose Companies (Accounting System Committee Report No.15 of the Japanese Institute ofCertified Public Accountants) are not included in the above amounts as they are excluded from revenue recognition accounting
standards. Revenues generated from contracts with major customers are real estate property sales and utility charge
reimbursements.
(Note 2) Real estate property sales is shown as gain on sales of real estate (cost related to sales of real estate and other expenses related
to sales of real estate subtracted from revenue from real estate sales) on the Income Statement. Ichigo Office recognizes gainon sales of real estate as operating revenue, and loss on sales of real estate as operating expenses, therefore the amount of gainon sales of real estate is shown above.
2. Basis for understanding of revenues generated from contracts with customers
Previous fiscal period (May 1, 2022 to October 31, 2022)
Basis is as indicated in the Summary of Significant Accounting Policies.
Current fiscal period (November 1, 2022 to April 30, 2023)
Basis is as indicated in the Summary of Significant Accounting Policies.
3. Information on revenue recognized during the current fiscal period, or that expected to be recognized in the next fiscal period or
thereafter
Previous fiscal period (May 1, 2022 to October 31, 2022)(Thousand yen)
(1) Balance of contract assets and contract liabilities, etc.
Previous fiscal period(May 1, 2022 to October 31, 2022)
Receivables generated from contracts with customers

1,504(balance at the beginning of period)
Receivables generated from contracts with customers(balance at period-end)

1,328

Contract assets (balance at the beginning of period)–

Contract assets (balance at period-end)–

Contract liabilities (balance at the beginning of period)–

Contract liabilities (balance at period-end)–(2) Transaction price allocated to remaining performance obligations
N/A
For utility charge reimbursements, as Ichigo Office has the rights to receive from customers an amount directly corresponding to
the value for the lessees who are customers of sections for which performance is complete by the end of the fiscal period, theamount it has the right to claim according to Paragraph 19 of the Implementation Guidelines of the Accounting Standard for
Revenue Recognition is recognized as revenue. Accordingly, such is not included in the note on transaction price allocated toremaining performance obligations through application of the provisions of Paragraph 80-22 (2) of the Accounting Standard for
Revenue Recognition.

- 52 -

Current fiscal period (November 1, 2022 to April 30, 2023)(Thousand yen)
(1) Balance of contract assets and contract liabilities, etc.
Current fiscal period(November 1, 2022 to April 30, 2023)
Receivables generated from contracts with customers

1,328(balance at the beginning of period)
Receivables generated from contracts with customers(balance at period-end)

953

Contract assets (balance at the beginning of period)–

Contract assets (balance at period-end)–

Contract liabilities (balance at the beginning of period)–

Contract liabilities (balance at period-end)–(2) Transaction price allocated to remaining performance obligations
N/A
For utility charge reimbursements, as Ichigo Office has the rights to receive from customers an amount directly corresponding to
the value for the lessees who are customers of sections for which performance is complete by the end of the fiscal period, theamount it has the right to claim according to Paragraph 19 of the Implementation Guidelines of the Accounting Standard for
Revenue Recognition is recognized as revenue. Accordingly, such is not included in the note on transaction price allocated toremaining performance obligations through application of the provisions of Paragraph 80-22 (2) of the Accounting Standard for
Revenue Recognition.
(Segment information)
The segment information is omitted because Ichigo Office has only one segment of real estate rental business.

- 53 -

(Related information)
Previous fiscal period (May 1, 2022 to October 31, 2022)
1. Information by product and service
The statement is omitted because operating revenue from external customers in a single product and service category comprises morethan 90% of operating revenue on the income statement.
2. Information by region(1) Operating revenue
The statement is omitted because operating revenue from external customers in Japan comprises more than 90% of operating revenue
on the income statement.
(2) Property, plant and equipment
The statement is omitted because the amount of property, plant and equipment located in Japan comprises more than 90% of theamount of property, plant and equipment on the balance sheet.
3. Information by main customer
The statement is omitted because all operating revenue from a single external customer comprises less than 10% of operating revenue
on the income statement.
Current fiscal period (November 1, 2022 to April 30, 2023)
1. Information by product and service
The statement is omitted because operating revenue from external customers in a single product and service category comprises morethan 90% of operating revenue on the Income Statement.
2. Information by region(1) Operating revenue
The statement is omitted because operating revenue from external customers in Japan comprises more than 90% of operating revenue
on the income statement.
(2) Property, plant and equipment
The statement is omitted because the amount of property, plant and equipment located in Japan comprises more than 90% of theamount of property, plant and equipment on the balance sheet.
3. Information by main customer
The statement is omitted because all operating revenue from a single external customer comprises less than 10% of operating revenue
on the income statement.
(Notes to per-share information)
Previous fiscal period

Current fiscal period(May 1, 2022 to
October 31 2022)(November 1, 2022 toApril 30, 2023)

Net assets per share (yen)67,407

69,577

Net income per share (yen)

1,983

4,222

(Note 1) Net income per share is calculated by dividing net income by the daily weighted average number of shares. Diluted net income
per share is not stated because there are no dilutive shares.
(Note 2) The basis for calculating net income per share is as follows.
Previous fiscal period

Current fiscal period(May 1, 2022 to
October 31 2022)(November 1, 2022 toApril 30, 2023)

Net Income(Thousand yen)

3,001,088

6,390,096

Amount not attributable to common shareholders(Thousand yen)––

Net income attributable to common shareholders(Thousand yen)

3,001,088

6,390,096(Shares)

1,513,367

1,513,367

Average number of shares during period(Notes to Significant Subsequent Events)
N/A- 54 -

(7) Supplementary Schedules(i) Schedule of securities(a) Stocks
N/A(b) Securities other than stocks(Thousand yen)Type

Name of Security

AccruedAccruedAppraisal

Value

Interest
Receivable

Interest
Paid

Value
(Note 1)

Difference

Note

–

39,846––

39,846–(Note 2)–

39,846––

39,846––Aggregate

Book

Value

TK (tokumei
kumiai) realestate equity

Equity interest in
Kizuna 1 GK TK

interest
Total(Note 1) Appraisal value shows the book value of the TK real estate equity interest.
(Note 2) The underlying real estate in the Kizuna 1 GK TK is a trust beneficiary interest in real estate (juekiken) of Ichigo Hakata Meiji
Dori Building, and Ogaku Building.
(ii) Contract value and market value of derivative transactions and forward exchange contracts(Thousand yen)Classification

Type

Transactions other than market

Interest rate swap

transactions(pay fixed, receive floating)
Total

Contract amount (Note 1)
Exceeding 1 year

Market value (Note 2)

95,313,000

90,713,000–

95,313,000

90,713,000–(Note 1) The contract amount of interest rate swap is based on the notional principal.
(Note 2) Since the above transaction meets the specific matching criteria of the Accounting Standard for Financial Instruments, thestatement of market value is omitted.

- 55 -

(iii) Summary table of schedule of real estate(Thousand yen)

Asset type

Accumulated depreciationor accumulated
amortization
Balance atBalance atBalance atIncrease
Decrease
beginning of
end of current
Depreciation end of current Remarks
during period during period
current period
periodperiodoramortization
during period

Buildings

7,153,708

35,600–7,189,308

2,356,994

106,170

4,832,314(Note)

Structures

29,066

1,412–

30,47825,530301

4,948(Note)

Machinery and equipment

349,004

3,977–

352,982

247,867

13,489105,115(Note)

Tools, furniture andfixtures75,136

10,357–85,494

61,373

4,178

24,120(Note)

15,031,993––

15,031,993––

15,031,993

1,360

289

–

1,649

–

–

1,649

Buildings in trust

47,859,465

2,077,553

847,690

49,089,328

12,497,544

771,995

36,591,784(Note)

Structures in trust

73,2496,835

118

79,96542,354

2,100

37,611(Note)

872,824

76,528193

949,160

487,669

32,671

461,490(Note)

332,658

28,317

3,166

357,810

238,697

19,945

119,112(Note)

144,003,252

6,675,391

4,430,102 146,248,541–– 146,248,541(Note)

4,480

11,036

14,345––5,282,443 219,431,059

15,958,031

Land
Construction in progress
Property,plant andequipment

Machinery and equipmentin trust
Tools, furniture andfixtures in trust
Land in trust
Construction in progress intrust

Intangible
assets1,172

14,345

Subtotal

215,786,200

8,927,301

Land leasehold rights intrust

4,494,579––

4,494,579––

4,494,579

Subtotal

4,494,579––

4,494,579––

4,494,579

220,280,780

8,927,301

5,282,443 223,925,638

15,958,031

Total

950,851 203,473,027

950,851 207,967,607(Note) The major increase during the current fiscal period was due to the acquisition of trust beneficiary interests in real estate of three
assets (8,085,918 thousand yen), and the major decrease was due to sales of trust beneficiary interests in real estate of Ichigo
Ikenohata Building (5,111,918 thousand yen) and depreciation.
(iv) Schedule of other specified assets
N/A- 56 -

(v) Schedule of investment corporation bonds(Thousand yen)
Date ofissuance
First unsecured
investment
corporation bonds
Second unsecured
investment
corporation bonds
Third unsecured
investment
corporation bonds
Fourth unsecured
investment
corporation bonds
Fifth unsecured
investment
corporation bonds
Sixth unsecured
investment
corporation bonds

Balance at
Decrease
Balance at Interest rate
period-start during period period-end(%)

Redemption
date

September 22,
2017

1,200,000–

1,200,000

0.900

September 22,
2027

April 26,2018

1,000,000–

1,000,000

0.900

April 26,
2028

November 29,
2018

1,000,000–

1,000,000

0.750

November 28,
2025

July 26,2019

1,200,000–

1,200,000

0.890

July 26,
2029

March 26,2020

1,000,000–

1,000,000

0.300

March 26,2025

May 6,
2021

1,500,000–

1,500,000

0.850

May 2,
2031

6,900,000–

6,900,000

Total

–

Use

Security(Note 1)

Unsecured/
unguaranteed

–

–

–

(Note 1) The proceeds are used for repaying existing loans and acquisition of assets.
(Note 2) A ranking pari passu among Ichigo Office investment corporation bonds is attached.
(Note 3) The maturity profile of investment corporate bonds for each year within five years after the balance sheet date is as follows.
(Thousand yen)
Due within 1 year
Investment corporation bonds–

Due after 1 year Due after 2 years Due after 3 years Due after 4 years
but within 2 years but within 3 years but within 4 years but within 5 years
1,000,000

1,000,000–

2,200,000(vi) Schedule of loans
Balance atperiod-start(Thousandyen)

Increaseduringperiod(Thousandyen)

Decreaseduringperiod(Thousandyen)

Balance atperiod-end(Thousand
yen)

SMBC

1,431,150–

1,431,150–

Mizuho Bank

1,036,350–

1,036,350–

MUFG Bank

888,300–

SBI Shinsei Bank (Note 5)493,500

Repayment
date

Repayment
terms

888,300

0.858
November 30,
2022– (Note 2)(Note 3)–

493,500–

1,776,600–

1,776,600–

Mizuho Bank

888,300–

888,300–

MUFG Bank

690,900–

690,900–

SBI Shinsei Bank (Note 5)592,200–

592,200–

Aozora Bank

493,500–

493,500

0.750
November 30,
2022– (Note 2)

Bank of Fukuoka

493,500–

493,500–

Nishi-Nippon City Bank

493,500–

493,500–

Resona Bank

345,450–

345,450–

SMBC

1,000,000––

1,000,000

SMBC

1,100,000––

Mizuho Bank

1,000,000––

LenderSMBC

LongTerm
Loans

Averageinterest
rate(%)(Note 1)

(Note 3)0.845
October 31, Lump-sum(Note 2)2023
repayment
0.852
November 10, Lump-sum
1,100,000(Note 2)2024
repayment
0.852
November 10, Lump-sum
1,000,000(Note 2)2024
repayment- 57 -

Use(Note 4)

CollateralizedNo(No Guarantee)

Balance atperiod-start(Thousandyen)

Increaseduringperiod(Thousandyen)

Decreaseduringperiod(Thousandyen)

SBI Shinsei Bank (Note 5)

900,000––

Resona Bank

400,000––

2,000,000

–

–

SMBC

215,000––

215,000

Mizuho Bank

340,000––

340,000

MUFG Bank

283,000––

283,000

Resona Bank

237,000––

237,000

SBI Shinsei Bank (Note 5)

135,000––

135,000

Bank of Fukuoka

195,000––

195,000

ORIX Bank

195,000––

195,000

SMBC

633,000––

633,000

Mizuho Bank

508,000––

508,000

MUFG Bank

425,000––

425,000

Resona Bank

356,000–

SBI Shinsei Bank (Note 5)

201,000

Aozora Bank
SMBC

LenderDevelopment Bank of
Japan

LongTerm
Loans

Averageinterest
Repayment Repayment
rate
date
terms
(%)
(Note 1)
0.852
November 10, Lump-sum
900,000(Note 2)2024
repayment
0.852
November 10, Lump-sum
400,000(Note 2)2024
repayment
May 10,Lump-sum
2,000,000 0.871
2023
repayment

Balance atperiod-end(Thousand
yen)

0.761
(Note 2)October 31,
2023

Lump-sum
repayment–

0.948
356,000 (Note 2)

October 31,
2025

Lump-sum
repayment––

201,000

257,000––

257,000

352,000––

352,000

Mizuho Trust

1,352,000––

1,352,000

Aozora Bank

901,000––

901,000

April 30,2026

Lump-sum
repayment

SBI Shinsei Bank (Note 5)

901,000––

901,000

Resona Bank

448,000––

448,000

SMBC

400,000––

400,000

Mizuho Bank

350,000––

350,000

SBI Shinsei Bank (Note 5)

300,000––

300,000

MUFG Bank

300,000––

300,000

Bank of Fukuoka

225,000––

225,000

The Kagawa Bank

200,000––

200,000

Nishi-Nippon City Bank

225,000––

225,000

SMBC

835,000––

835,000

Mizuho Bank

491,000––

491,000

SBI Shinsei Bank (Note 5)

393,000––

393,000

MUFG Bank

393,000––

393,000

Aozora Bank

393,000––

393,000

Resona Bank

294,000––

294,000

The Kagawa Bank

147,000––

147,000

SMBC

500,000––

500,000

0.627

Mizuho Bank

400,000––

400,000

0.627

1,000,000––

1,000,000

0.962(Note 2)

Mizuho Bank

400,000––

400,000

0.707

SBI Shinsei Bank (Note 5)

200,000––

200,000

0.707

SMBC

- 58 -

0.990(Note 2)0.795
(Note 2)

April 30,2024

Lump-sum
repayment

0.860
November 11, Lump-sum(Note 2)2024
repayment

February 29,
2024
February 29,
2024
April 30,
2026
April 30,
2026
April 30,2026

Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

Use

Collateralized(Note 4)

No
(No Guarantee)

Balance atperiod-start(Thousandyen)

Increaseduringperiod(Thousandyen)

Decreaseduringperiod(Thousandyen)

Balance atperiod-end(Thousand
yen)

SMBC

954,000––

954,000

Aozora Bank

656,000––

656,000

Mizuho Bank

773,000––

0.975 September 30, Lump-sum
2026
repayment
773,000 (Note 2)

SBI Shinsei Bank (Note 5)

483,000––

483,000

SMBC

830,000––

830,000

Aozora Bank

570,000––

0.907 September 30, Lump-sum
2026
repayment
570,000 (Note 2)

SMBC

250,000––

250,000

Mizuho Bank

400,000––

400,000

Development Bank ofJapan

400,000––

400,000

MUFG Bank

300,000––

300,000

SBI Shinsei Bank (Note 5)

250,000––

250,000

SMBC

1,000,000––

1,000,000

Resona Bank

1,000,000––

Bank of Fukuoka

1,000,000

–

–

SMBC

1,239,000––

1,239,000

Mizuho Bank

LenderLongTerm
Loans

Averageinterest
rate(%)(Note 1)0.850
(Note 2)

April 30,
2026

Repayment
terms

Use

Collateralized

Lump-sum
repayment

0.867 September 25, Lump-sum(Note 2)2026
repayment
0.867
September 25 Lump-sum
1,000,000(Note 2)2026
repayment
0.867 September 25, Lump-sum
1,000,000(Note 2)2026
repayment

1,074,000––

1,074,000

SBI Shinsei Bank (Note 5)

743,000––

743,000

Aozora Bank

743,000

–

–

0.822
743,000 (Note 2)

Resona Bank

743,000––

743,000

ORIX Bank

413,000––

413,000

The Kagawa Bank

413,000––

413,000

SMBC

692,000

–

–

SMBC

672,000––

672,000

Mizuho Bank

610,000––

610,000

SBI Shinsei Bank (Note 5)

641,000––

MUFG Bank

Repayment
date

March 25,
2027

Lump-sum
repayment

No
0.698 September 25, Lump-sum (Note 4)(No Guarantee)(Note 2)2025
repayment
0.726
March 25, Lump-sum
692,000(Note 2)2026
repayment

0.844 September 25, Lump-sum
2027
repayment
641,000 (Note 2)

549,000––

549,000

SMBC

1,224,000––

1,224,000

Mizuho Bank

1,224,000––

1,224,000

SBI Shinsei Bank (Note 5)

783,000––

783,000

MUFG Bank

783,000––

0.876 September 25, Lump-sum
2027
repayment
783,000 (Note 2)

Aozora Bank

783,000––

783,000

Resona Bank

587,000––

587,000

The Kagawa Bank

955,000––

955,000

SMBC

827,000––

827,000

SBI Shinsei Bank (Note 5)

790,000––

790,000

Mizuho Bank

753,000––

753,000

MUFG Bank

677,000––

677,000

SMBC

543,000––

543,000

SBI Shinsei Bank (Note 5)

518,000––

518,000

Mizuho Bank

494,000

–

–

0.740
494,000 (Note 2)

MUFG Bank

445,000––

445,000- 59 -

0.654

0.474

March 25,
2027

Lump-sum
repayment

September 25, Lump-sum
2023
repayment

March 25,
2027

Lump-sum
repayment

Balance atperiod-start(Thousandyen)

Increaseduringperiod(Thousandyen)

Decreaseduringperiod(Thousandyen)

Balance atperiod-end(Thousandyen)

2,127,000––

2,127,000

SBI Shinsei Bank (Note 5)

998,000––

998,000

SBI Shinsei Bank (Note 5)

1,000,000––

1,000,000

Mizuho Bank

400,000––

400,000

SMBC

407,000––

407,000

MUFG Bank

781,000––

781,000

Resona Bank

586,000––

586,000

Mizuho Bank

407,000––

407,000

SBI Shinsei Bank (Note 5)

260,000––

260,000

Aozora Bank

260,000––

260,000

SMBC

814,000––

814,000

Mizuho Bank

814,000––

814,000

SBI Shinsei Bank (Note 5)

521,000––

521,000

Aozora Bank

521,000––

521,000

SMBC

800,000––

800,000

Mizuho Bank

700,000––

Bank of Yokohama

500,000

–

–

SMBC

527,000––

527,000

MUFG Bank

494,000––

494,000

Mizuho Bank

355,000––

355,000

Bank of Yokohama

285,000––

285,000

Mizuho Trust & Banking

95,000––95,0001,055,000––

1,055,000

Mizuho Bank

710,000––

710,000

Aozora Bank

571,000––

571,000

Resona Bank

571,000––

571,000

Mizuho Trust & Banking

190,000––

190,000

SMBC

329,000––

329,000

1,372,000––

1,372,000

Bank of Fukuoka

376,000––

376,000

Mizuho Bank

329,000––

329,000

Bank of Yokohama

30,000––30,000

LenderAozora BankLongTerm
Loans

SMBC

MUFG Bank

Averageinterest
rate(%)(Note 1)
0.828
(Note 2)
0.722
(Note 2)0.828
(Note 2)0.828
(Note 2)

Repayment
date

Repayment
terms

August 25,
2028
March 25,
2027
August 25,
2028
August 25,
2028

Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

Use

Collateralized

0.569 September 25, Lump-sum(Note 2)2025
repayment

0.787
November 25, Lump-sum(Note 2)2028
repayment

0.802
November 25, Lump-sum(Note 2)2028
repayment
0.802
November 25, Lump-sum
No700,000(Note 2)2028
repayment (Note 4) (No Guarantee)
0.802
November 25, Lump-sum
500,000(Note 2)2028
repayment- 60 -

0.467

0.876
(Note 2)0.467

September 25, Lump-sum
2024
repayment

March 25,
2029

Lump-sum
repayment

September 25, Lump-sum
2024
repayment

Balance atperiod-start(Thousandyen)

Increaseduringperiod(Thousandyen)

Decreaseduringperiod(Thousandyen)

Balance atperiod-end(Thousand
yen)

SMBC

329,000––

329,000

Mizuho Bank

329,000––

329,000

Resona Bank

287,000––

287,000

Aozora Bank

174,000––

174,000

SBI Shinsei Bank (Note 5)

162,000––

162,000

Bank of Yokohama

161,000––

161,000

SMBC

988,000––

988,000

Mizuho Bank

988,000––

988,000

Resona Bank

862,000––

862,000

SBI Shinsei Bank (Note 5)

487,000––

487,000

Aozora Bank

422,000––

422,000

Development Bank ofJapan

500,000––

500,000

SMBC

194,000––

194,000

Mizuho Bank

194,000––

194,000

MUFG Bank

1,622,000––

1,622,000

Bank of Fukuoka

446,000––

446,000

Bank of Yokohama

90,000––90,000SMBC

389,000––

389,000

Mizuho Bank

389,000––

389,000

Resona Bank

271,000––

271,000

SBI Shinsei Bank (Note 5)

154,000––

154,000

Aozora Bank

117,000––

117,000

Bank of Yokohama

356,000––

356,000

SMBC

1,363,000––

1,363,000

Mizuho Bank

1,363,000––

1,363,000

Resona Bank

1,086,000––

1,086,000

SBI Shinsei Bank (Note 5)

617,000––

617,000

Aozora Bank

470,000––

470,000

Development Bank ofJapan

500,000––

500,000

SMBC

222,000––

222,000

Mizuho Bank

193,000––

193,000

MUFG Bank

1,580,000––

1,580,000

Bank of Fukuoka

494,000––

494,000

Nishi-Nippon City Bank

100,000––

100,000

LenderLongTerm
Loans- 61 -

Averageinterest
rate(%)(Note 1)

Repayment
date

Repayment
terms

0.733
(Note 2)

March 25,
2028

Lump-sum
repayment

0.819(Note 2)

May 25,2029

Lump-sum
repayment

0.764

Use

Collateralized(Note 4)

No
(No Guarantee)

September 25, Lump-sum
2028
repayment

0.612 September 25, Lump-sum(Note 2)2026
repayment

0.720(Note 2)

March 25,
2028

Lump-sum
repayment

0.833
November 25, Lump-sum(Note 2)2029
repayment

0.859

January 25,
2029

Lump-sum
repayment

0.717(Note 2)

May 25,2027

Lump-sum
repayment

Balance atperiod-start(Thousandyen)

Increaseduringperiod(Thousandyen)

Decreaseduringperiod(Thousandyen)

Balance atperiod-end(Thousand
yen)

SMBC

628,000––

628,000

Mizuho Bank

385,000––

385,000

SBI Shinsei Bank (Note 5)

217,000––

217,000

Aozora Bank

98,000––98,000

Nishi-Nippon City Bank

111,000––

111,000

Resona Bank

125,000––

125,000

SMBC

2,360,000––

2,360,000

Mizuho Bank

1,348,000––

1,348,000

SBI Shinsei Bank (Note 5)

869,000––

869,000

Aozora Bank

396,000––

396,000

Nishi-Nippon City Bank

283,000––

283,000

Resona Bank

220,000––

220,000

SMBC

950,000––

950,000

Mizuho Bank

950,000

–

–

SMBC

–

1,000,000–

1,000,000

Mizuho Bank–

524,000–

524,000

MUFG Bank–

1,579,000–

1,579,000

SBI Shinsei Bank (Note 5)–

307,000–

307,000

Bank of Fukuoka–

493,000–

493,000

Nishi-Nippon City Bank–

493,000–

493,000

Resona Bank–

245,000–

245,000

SMBC–

1,500,000–

1,500,000

Mizuho Bank–

800,000–

800,000

SBI Shinsei Bank (Note 5)–

778,000–

778,000

Aozora Bank–

200,000–

200,000

SMBC–

707,000–

707,000

Mizuho Bank–

600,000–

600,000

Aozora Bank–

293,000–

293,000

Resona Bank–

100,000–

100,000

Bank of Fukuoka–

300,000–

300,000

Nishi-Nippon City Bank–

200,000

–

SMBC

–

700,000–

Mizuho Bank–

600,000–

106,211,250

11,419,000

LenderLongTerm
Loans

Total

Averageinterest
rate(%)(Note 1)

Repayment
date

Repayment
terms

0.816
(Note 2)

May 25,2028

Lump-sum
repayment

1.019(Note 2)

May 27,2030

Lump-sum
repayment

1.107(Note 2)1.107
950,000(Note 2)

May 25,2029
May 25,2029

Lump-sum
repayment
Lump-sum
repayment

0.958
November 25, Lump-sum(Note 2)2027
repayment

1.036(Note 2)

August 25,
2028

Use

Collateralized(Note 4)

No
(No Guarantee)

Lump-sum
repayment

1.609 September 25, Lump-sum(Note 2)2032
repayment

1.405(Note 2)1.405
200,000(Note 2)1.723
700,000(Note 2)1.723
600,000(Note 2)October 25,
2029
October 25,
2029
January 25,
2032
January 25,
2032

Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment
Lump-sum
repayment

9,623,250 108,007,000(Note 1)

Average Interest Rate indicates a weighted average of interest rates during the period based on the number of days, and it isrounded down to the stated unit.
(Note 2) To avoid interest rate risk, an interest rate swap agreement has been signed separately to fix the interest rates, and theweighted average interest rate during the period after the effect of the interest rate swap is stated.
- 62 -

(Note 3)(Note 4)(Note 5)(Note 6)

The remaining balance was repaid on November 30, 2022.
The proceeds are used for acquisition of assets and/or beneficiary rights of real estate in trust and repayment of loans.
Shinsei Bank changed its corporate name to SBI Shinsei Bank on January 4, 2023.
The total amounts of long-term loans to be repaid for each year within five years after the balance sheet date are as follows.
(Thousand yen)
Due after 1 year Due after 2 years Due after 3 years Due after 4 years
Due within 1 year
but within 2 years but within 3 years but within 4 years but within 5 years
Long-term borrowings
due within one year

10,547,000

–

–

–

–

Long-term borrowings–

10,538,000

13,340,000

18,720,000

18,204,000

10,547,000

10,538,000

13,340,000

18,720,000

18,204,000

Total- 63 -