Green Bond Fact Sheet

Invesco Office J-REIT

Date: 14-Dec-2018

Issue date: 13-Dec-2018 Maturity date: 13-Dec-2023 Tenor: 5Issuer Name

Invesco Office J-REIT

Amount Issued

JPY5.5bn (USD48m)

Country of riskJapan

CBI Database

Included

Issuer Type1

Financial Corporate

Bond Type

Senior unsecured

Green Bond Framework

N/A

Second party opinion

Sustainalytics

Certification Standard

Not certified

Assurance report

N/A

Certification Verifier

N/AGreen bond rating

N/A☐ Energy☐ Solar☐ Onshore wind
☐ Offshore wind
☐ Geothermal☐ Hydro☐ Tidal☐ Biofuels☐ Bioenergy☐ District heating☐ Electricity grid

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☒ Buildings☒ Certified Buildings☐ HVAC systems☒ Energyperformance☐ Water performance☐ Energy storage/meters☐ Other energy related☐ Industry: components☐ Adaptation & resilience☐ Transport☐ Electric vehicles☐ Low emissionvehicles☐ Bus rapid transit☐ Passenger trains☐ Urban rail

☐ Freight rolling stock☐ Coach / public bus☐ Bicycle infrastructure☐ Energy performance☐ Transport logistics☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Water & wastewater☐ Water distribution☐ Water treatment☐ Wastewatertreatment☐ Water storage☐ Storm water mgmt
☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Waste to energy☐ Industry: components☐ Adaptation & resilience

Use of Proceeds☐ Land use & agriculture☐ Afforestation/parks☐ FSC Forestry☐ FSC Cellulose &paper☐ Land remediation☐ Energy/water efficiency☐ Sustainable agriculture☐ Adaptation & resilience☐ Other☐ Adaptation &resilience☐ ICT☐ Industry: process

Issue details
ReportingCompany information

The issuer will disclose the use of proceeds on its website on issuance date. This
disclosure includes the amount allocated and the portion directed to financing andrefinancing and completion dates of projects (dates of certification/recertificationachieved, and dates of refurbishments completed). Additionally, Invesco Office JREIT intends to disclose the use of proceeds annually on its website, along withquantitative environmental performance indicators. (source)
Invesco Office J-REIT was established on February 27, 2014 by Invesco Global Real
Estate Asia Pacific, Inc. as the organizer under the Act on Investment Trusts andInvestment Corporations of Japan and was listed on the Real Estate Investment
Trust Securities Market of the Tokyo Stock Exchange (Securities code: 3298) on
June 5, 2014. The Japan REIT owns office buildings in Japan with a strong focus onlarge-scale office buildings located in Japan’s major metropolitan areas. (source)Firsts, records andcertifications
Proceeds description

According to the issuer’s first allocation report, proceeds will be fully allocated torefinancing a portion of the loan used to acquire the Ebisu Prime Square by 28December 2018. The property obtained a 3 star DBJ Green Building Certification
and achieved a 15% CO2 emissions reduction in the last fiscal year.
Future eligible projects must meet one or more of the following requirements: i)
CASBEE certification of B+ or above and/or DBJ Green Building Certification
Program; ii) higher Cos reduction rate compared to the standard emissions volume
set out by the government in the most recent fiscal year; iii) for refurbishments:
10% CO2 emissions or energy consumption reduction, 10% water consumption
reduction and/or more than one level of improvement in the eligible green
building certifications.

Climate Bonds view

Underwriters

Disclosing an allocation report at issuance, which specifies the projects to befinanced, greatly enhances the deal’s transparency. We note that the generaleligibility requirements are not very stringent, especially for property
refurbishments where issuers should aim at a minimum of 20% energy efficiency
improvements. Achieving top-level rankings within green building certifications
should also be targeted to ensure the property’s high energy performance.
Nomura, MUFG, SMBC, Mizuho

Deal comments
Credit Rating

A+ (JCR)

Pricing summary
Investors summary

1Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, non-financial
corporate, sovereign